[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[S. 896 Engrossed in Senate (ES)]

111th CONGRESS
  1st Session
                                 S. 896

_______________________________________________________________________

                                 AN ACT


 
     To prevent mortgage foreclosures and enhance mortgage credit 
                             availability.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Helping Families 
Save Their Homes Act of 2009''.
    (b) Table of Contents.--The table of contents of this Act is the 
following:

Sec. 1. Short title; table of contents.
              TITLE I--PREVENTION OF MORTGAGE FORECLOSURES

Sec. 101. Guaranteed rural housing loans.
Sec. 102. Modification of housing loans guaranteed by the Department of 
                            Veterans Affairs.
Sec. 103. Additional funding for HUD programs to assist individuals to 
                            better withstand the current mortgage 
                            crisis.
Sec. 104. Mortgage modification data collecting and reporting.
Sec. 105. Neighborhood Stabilization Program Refinements.
        TITLE II--FORECLOSURE MITIGATION AND CREDIT AVAILABILITY

Sec. 201. Servicer safe harbor for mortgage loan modifications.
Sec. 202. Changes to HOPE for Homeowners Program.
Sec. 203. Requirements for FHA-approved mortgagees.
Sec. 204. Enhancement of liquidity and stability of insured depository 
                            institutions to ensure availability of 
                            credit and reduction of foreclosures.
Sec. 205. Application of GSE conforming loan limit to mortgages 
                            assisted with TARP funds.
Sec. 206. Mortgages on certain homes on leased land.
Sec. 207. Sense of Congress regarding mortgage revenue bond purchases.
                  TITLE III--MORTGAGE FRAUD TASK FORCE

Sec. 301. Sense of the Congress on establishment of a Nationwide 
                            Mortgage Fraud Task Force.
              TITLE IV--FORECLOSURE MORATORIUM PROVISIONS

Sec. 401. Sense of the Congress on foreclosures.
Sec. 402. Public-Private Investment Program; Additional Appropriations 
                            for the Special Inspector General for the 
                            Troubled Asset Relief Program.
Sec. 403. Removal of requirement to liquidate warrants under the TARP.
Sec. 404. Notification of sale or transfer of mortgage loans.
                    TITLE V--FARM LOAN RESTRUCTURING

Sec. 501. Congressional Oversight Panel special report.
   TITLE VI--ENHANCED OVERSIGHT OF THE TROUBLED ASSET RELIEF PROGRAM

Sec. 601. Enhanced oversight of the Troubled Asset Relief Program.
            TITLE VII--PROTECTING TENANTS AT FORECLOSURE ACT

Sec. 701. Short title.
Sec. 702. Effect of foreclosure on preexisting tenancy.
Sec. 703. Effect of foreclosure on section 8 tenancies.
Sec. 704. Sunset.
      TITLE VIII--COMPTROLLER GENERAL ADDITIONAL AUDIT AUTHORITIES

Sec. 801. Comptroller General additional audit authorities.

              TITLE I--PREVENTION OF MORTGAGE FORECLOSURES

SEC. 101. GUARANTEED RURAL HOUSING LOANS.

    (a) Guaranteed Rural Housing Loans.--Section 502(h) of the Housing 
Act of 1949 (42 U.S.C. 1472(h)) is amended--
            (1) by redesignating paragraphs (13) and (14) as paragraphs 
        (16) and (17), respectively; and
            (2) by inserting after paragraph (12) the following new 
        paragraphs:
            ``(13) Loss mitigation.--Upon default or imminent default 
        of any mortgage guaranteed under this subsection, mortgagees 
        shall engage in loss mitigation actions for the purpose of 
        providing an alternative to foreclosure (including actions such 
        as special forbearance, loan modification, pre-foreclosure 
        sale, deed in lieu of foreclosure, as required, support for 
        borrower housing counseling, subordinate lien resolution, and 
        borrower relocation), as provided for by the Secretary.
            ``(14) Payment of partial claims and mortgage 
        modifications.--The Secretary may authorize the modification of 
        mortgages, and establish a program for payment of a partial 
        claim to a mortgagee that agrees to apply the claim amount to 
        payment of a mortgage on a 1- to 4-family residence, for 
        mortgages that are in default or face imminent default, as 
        defined by the Secretary. Any payment under such program 
        directed to the mortgagee shall be made at the sole discretion 
        of the Secretary and on terms and conditions acceptable to the 
        Secretary, except that--
                    ``(A) the amount of the partial claim payment shall 
                be in an amount determined by the Secretary, and shall 
                not exceed an amount equivalent to 30 percent of the 
                unpaid principal balance of the mortgage and any costs 
                that are approved by the Secretary;
                    ``(B) the amount of the partial claim payment shall 
                be applied first to any outstanding indebtedness on the 
                mortgage, including any arrearage, but may also include 
                principal reduction;
                    ``(C) the mortgagor shall agree to repay the amount 
                of the partial claim to the Secretary upon terms and 
                conditions acceptable to the Secretary;
                    ``(D) expenses related to a partial claim or 
                modification are not to be charged to the borrower;
                    ``(E) the Secretary may authorize compensation to 
                the mortgagee for lost income on monthly mortgage 
                payments due to interest rate reduction;
                    ``(F) the Secretary may reimburse the mortgagee 
                from the appropriate guaranty fund in connection with 
                any activities that the mortgagee is required to 
                undertake concerning repayment by the mortgagor of the 
                amount owed to the Secretary;
                    ``(G) the Secretary may authorize payments to the 
                mortgagee on behalf of the borrower, under such terms 
                and conditions as are defined by the Secretary, based 
                on successful performance under the terms of the 
                mortgage modification, which shall be used to reduce 
                the principal obligation under the modified mortgage; 
                and
                    ``(H) the Secretary may authorize the modification 
                of mortgages with terms extended up to 40 years from 
                the date of modification.
            ``(15) Assignment.--
                    ``(A) Program authority.--The Secretary may 
                establish a program for assignment to the Secretary, 
                upon request of the mortgagee, of a mortgage on a 1- to 
                4-family residence guaranteed under this chapter.
                    ``(B) Program requirements.--
                            ``(i) In general.--The Secretary may 
                        encourage loan modifications for eligible 
                        delinquent mortgages or mortgages facing 
                        imminent default, as defined by the Secretary, 
                        through the payment of the guaranty and 
                        assignment of the mortgage to the Secretary and 
                        the subsequent modification of the terms of the 
                        mortgage according to a loan modification 
                        approved under this section.
                            ``(ii) Acceptance of assignment.--The 
                        Secretary may accept assignment of a mortgage 
                        under a program under this subsection only if--
                                    ``(I) the mortgage is in default or 
                                facing imminent default;
                                    ``(II) the mortgagee has modified 
                                the mortgage or qualified the mortgage 
                                for modification sufficient to cure the 
                                default and provide for mortgage 
                                payments the mortgagor is reasonably 
                                able to pay, at interest rates not 
                                exceeding current market interest 
                                rates; and
                                    ``(III) the Secretary arranges for 
                                servicing of the assigned mortgage by a 
                                mortgagee (which may include the 
                                assigning mortgagee) through procedures 
                                that the Secretary has determined to be 
                                in the best interests of the 
                                appropriate guaranty fund.
                    ``(C) Payment of guaranty.--Under the program under 
                this paragraph, the Secretary may pay the guaranty for 
                a mortgage, in the amount determined in accordance with 
                paragraph (2), without reduction for any amounts 
                modified, but only upon the assignment, transfer, and 
                delivery to the Secretary of all rights, interest, 
                claims, evidence, and records with respect to the 
                mortgage, as defined by the Secretary.
                    ``(D) Disposition.--After modification of a 
                mortgage pursuant to this paragraph, and assignment of 
                the mortgage, the Secretary may provide guarantees 
                under this subsection for the mortgage. The Secretary 
                may subsequently--
                            ``(i) re-assign the mortgage to the 
                        mortgagee under terms and conditions as are 
                        agreed to by the mortgagee and the Secretary;
                            ``(ii) act as a Government National 
                        Mortgage Association issuer, or contract with 
                        an entity for such purpose, in order to pool 
                        the mortgage into a Government National 
                        Mortgage Association security; or
                            ``(iii) re-sell the mortgage in accordance 
                        with any program that has been established for 
                        purchase by the Federal Government of mortgages 
                        insured under this title, and the Secretary may 
                        coordinate standards for interest rate 
                        reductions available for loan modification with 
                        interest rates established for such purchase.
                    ``(E) Loan servicing.--In carrying out the program 
                under this subsection, the Secretary may require the 
                existing servicer of a mortgage assigned to the 
                Secretary under the program to continue servicing the 
                mortgage as an agent of the Secretary during the period 
                that the Secretary acquires and holds the mortgage for 
                the purpose of modifying the terms of the mortgage. If 
                the mortgage is resold pursuant to subparagraph 
                (D)(iii), the Secretary may provide for the existing 
                servicer to continue to service the mortgage or may 
                engage another entity to service the mortgage.''.
    (b) Technical Amendments.--Subsection (h) of section 502 of the 
Housing Act of 1949 (42 U.S.C. 1472(h)) is amended--
            (1) in paragraph (5)(A), by striking ``(as defined in 
        paragraph (13)'' and inserting ``(as defined in paragraph 
        (17)''; and
            (2) in paragraph (18)(E)(as so redesignated by subsection 
        (a)(2)), by--
                    (A) striking ``paragraphs (3), (6), (7)(A), (8), 
                and (10)'' and inserting ``paragraphs (3), (6), (7)(A), 
                (8), (10), (13), and (14)''; and
                    (B) striking ``paragraphs (2) through (13)'' and 
                inserting ``paragraphs (2) through (15)''.
    (c) Procedure.--
            (1) In general.--The promulgation of regulations 
        necessitated and the administration actions required by the 
        amendments made by this section shall be made without regard 
        to--
                    (A) the notice and comment provisions of section 
                553 of title 5, United States Code;
                    (B) the Statement of Policy of the Secretary of 
                Agriculture effective July 24, 1971 (36 Fed. Reg. 
                13804), relating to notices of proposed rulemaking and 
                public participation in rulemaking; and
                    (C) chapter 35 of title 44, United States Code 
                (commonly known as the ``Paperwork Reduction Act'').
            (2) Congressional review of agency rulemaking.--In carrying 
        out this section, and the amendments made by this section, the 
        Secretary shall use the authority provided under section 808 of 
        title 5, United States Code.

SEC. 102. MODIFICATION OF HOUSING LOANS GUARANTEED BY THE DEPARTMENT OF 
              VETERANS AFFAIRS.

    (a) Maturity of Housing Loans.--Section 3703(d)(1) of title 38, 
United States Code, is amended by inserting ``at the time of 
origination'' after ``loan''.
    (b) Implementation.--The Secretary of Veterans Affairs may 
implement the amendments made by this section through notice, procedure 
notice, or administrative notice.

SEC. 103. ADDITIONAL FUNDING FOR HUD PROGRAMS TO ASSIST INDIVIDUALS TO 
              BETTER WITHSTAND THE CURRENT MORTGAGE CRISIS.

    (a) Additional Appropriations for Advertising To Increase Public 
Awareness of Mortgage Scams and Counseling Assistance.--In addition to 
any amounts that may be appropriated for each of the fiscal years 2010 
and 2011 for such purpose, there is authorized to be appropriated to 
the Secretary of Housing and Urban Development, to remain available 
until expended, $10,000,000 for each of the fiscal years 2010 and 2011 
for purposes of providing additional resources to be used for 
advertising to raise awareness of mortgage fraud and to support HUD 
programs and approved counseling agencies, provided that such amounts 
are used to advertise in the 100 metropolitan statistical areas with 
the highest rate of home foreclosures, and provided, further that up to 
$5,000,000 of such amounts are used for advertisements designed to 
reach and inform broad segments of the community.
    (b) Additional Appropriations for the Housing Counseling Assistance 
Program.--In addition to any amounts that may be appropriated for each 
of the fiscal years 2010 and 2011 for such purpose, there is authorized 
to be appropriated to the Secretary of Housing and Urban Development, 
to remain available until expended, $50,000,000 for each of the fiscal 
years 2010 and 2011 to carry out the Housing Counseling Assistance 
Program established within the Department of Housing and Urban 
Development, provided that such amounts are used to fund HUD-certified 
housing-counseling agencies located in the 100 metropolitan statistical 
areas with the highest rate of home foreclosures for the purpose of 
assisting homeowners with inquiries regarding mortgage-modification 
assistance and mortgage scams.
    (c) Additional Appropriations for Personnel at the Office of Fair 
Housing and Equal Opportunity.--In addition to any amounts that may be 
appropriated for each of the fiscal years 2010 and 2011 for such 
purpose, there is authorized to be appropriated to the Secretary of 
Housing and Urban Development, to remain available until expended, 
$5,000,000 for each of the fiscal years 2010 and 2011 for purposes of 
hiring additional personnel at the Office of Fair Housing and Equal 
Opportunity within the Department of Housing and Urban Development, 
provided that such amounts are used to hire personnel at the local 
branches of such Office located in the 100 metropolitan statistical 
areas with the highest rate of home foreclosures.

SEC. 104. MORTGAGE MODIFICATION DATA COLLECTING AND REPORTING.

    (a) Reporting Requirements.--Not later than 120 days after the date 
of the enactment of this Act, and quarterly thereafter, the Comptroller 
of the Currency and the Director of the Office of Thrift Supervision, 
shall jointly submit a report to the Committee on Banking, Housing, and 
Urban Affairs of the Senate, the Committee on Financial Services of the 
House of Representatives on the volume of mortgage modifications 
reported to the Office of the Comptroller of the Currency and the 
Office of Thrift Supervision, under the mortgage metrics program of 
each such Office, during the previous quarter, including the following:
            (1) A copy of the data collection instrument currently used 
        by the Office of the Comptroller of the Currency and the Office 
        of Thrift Supervision to collect data on loan modifications.
            (2) The total number of mortgage modifications resulting in 
        each of the following:
                    (A) Additions of delinquent payments and fees to 
                loan balances.
                    (B) Interest rate reductions and freezes.
                    (C) Term extensions.
                    (D) Reductions of principal.
                    (E) Deferrals of principal.
                    (F) Combinations of modifications described in 
                subparagraph (A), (B), (C), (D), or (E).
            (3) The total number of mortgage modifications in which the 
        total monthly principal and interest payment resulted in the 
        following:
                    (A) An increase.
                    (B) Remained the same.
                    (C) Decreased less than 10 percent.
                    (D) Decreased between 10 percent and 20 percent.
                    (E) Decreased 20 percent or more.
            (4) The total number of loans that have been modified and 
        then entered into default, where the loan modification resulted 
        in--
                    (A) higher monthly payments by the homeowner;
                    (B) equivalent monthly payments by the homeowner;
                    (C) lower monthly payments by the homeowner of up 
                to 10 percent;
                    (D) lower monthly payments by the homeowner of 
                between 10 percent to 20 percent; or
                    (E) lower monthly payments by the homeowner of more 
                than 20 percent.
    (b) Data Collection.--
            (1) Required.--
                    (A) In general.--Not later than 60 days after the 
                date of the enactment of this Act, the Comptroller of 
                the Currency and the Director of the Office of Thrift 
                Supervision, shall issue mortgage modification data 
                collection and reporting requirements to institutions 
                covered under the reporting requirement of the mortgage 
                metrics program of the Comptroller or the Director.
                    (B) Inclusiveness of collections.--The requirements 
                under subparagraph (A) shall provide for the collection 
                of all mortgage modification data needed by the 
                Comptroller of the Currency and the Director of the 
                Office of Thrift Supervision to fulfill the reporting 
                requirements under subsection (a).
            (2) Report.--The Comptroller of the Currency shall report 
        all requirements established under paragraph (1) to each 
        committee receiving the report required under subsection (a).

SEC. 105. NEIGHBORHOOD STABILIZATION PROGRAM REFINEMENTS.

    (a) In General.--Section 2301 of the Foreclosure Prevention Act of 
2008 (42 U.S.C. 5301 note) is amended--
            (1) in subsection (b), by adding at the end the following:
            ``(5) Distribution of funds in certain states; competition 
        for funds.--Each State that receives the minimum allocation of 
        amounts pursuant to the requirement under section 2302 shall be 
        permitted to use such amounts to address statewide concerns, 
        provided that such amounts are made available for an eligible 
        use described under paragraphs (3) and (4) of subsection 
        (c).''; and
            (2) in subsection (c), by adding at the end the following:
            ``(4) Foreclosure prevention and mitigation.--
                    ``(A) In general.--Each State and unit of general 
                local government that receives an allocation of any 
                covered amounts, as such amounts are distributed 
                pursuant to section 2302, may use up to 10 percent of 
                such amounts for foreclosure prevention programs, 
                activities, and services, foreclosure mitigation 
                programs, activities, and services, or both, as such 
                programs, activities, and services are defined by the 
                Secretary.
                    ``(B) Definition of covered amounts.--For purposes 
                of this paragraph, the term `covered amount' means any 
                amounts appropriated--
                            ``(i) under this section as in effect on 
                        the date of enactment of this section; and
                            ``(ii) under the heading `Community 
                        Development Fund' of title XII of division A of 
                        the American Recovery and Reinvestment Act of 
                        2009 (Public Law 111-5; 123 Stat. 217).''.
    (b) Retroactive Effective Date.--The amendment made by subsection 
(a) shall take effect as if enacted on the date of enactment of the 
Foreclosure Prevention Act of 2008 (Public Law 110-289).

        TITLE II--FORECLOSURE MITIGATION AND CREDIT AVAILABILITY

SEC. 201. SERVICER SAFE HARBOR FOR MORTGAGE LOAN MODIFICATIONS.

    (a) Congressional Findings.--Congress finds the following:
            (1) Increasing numbers of mortgage foreclosures are not 
        only depriving many Americans of their homes, but are also 
        destabilizing property values and negatively affecting State 
        and local economies as well as the national economy.
            (2) In order to reduce the number of foreclosures and to 
        stabilize property values, local economies, and the national 
        economy, servicers must be given--
                    (A) authorization to--
                            (i) modify mortgage loans and engage in 
                        other loss mitigation activities consistent 
                        with applicable guidelines issued by the 
                        Secretary of the Treasury or his designee under 
                        the Emergency Economic Stabilization Act of 
                        2008; and
                            (ii) refinance mortgage loans under the 
                        Hope for Homeowners program; and
                    (B) a safe harbor to enable such servicers to 
                exercise these authorities.
    (b) Safe Harbor.--Section 129A of the Truth in Lending Act (15 
U.S.C. 1639a) is amended to read as follows:

``SEC. 129. DUTY OF SERVICERS OF RESIDENTIAL MORTGAGES.

    ``(a) In General.--Notwithstanding any other provision of law, 
whenever a servicer of residential mortgages agrees to enter into a 
qualified loss mitigation plan with respect to 1 or more residential 
mortgages originated before the date of enactment of the Helping 
Families Save Their Homes Act of 2009, including mortgages held in a 
securitization or other investment vehicle--
            ``(1) to the extent that the servicer owes a duty to 
        investors or other parties to maximize the net present value of 
        such mortgages, the duty shall be construed to apply to all 
        such investors and parties, and not to any individual party or 
        group of parties; and
            ``(2) the servicer shall be deemed to have satisfied the 
        duty set forth in paragraph (1) if, before December 31, 2012, 
        the servicer implements a qualified loss mitigation plan that 
        meets the following criteria:
                    ``(A) Default on the payment of such mortgage has 
                occurred, is imminent, or is reasonably foreseeable, as 
                such terms are defined by guidelines issued by the 
                Secretary of the Treasury or his designee under the 
                Emergency Economic Stabilization Act of 2008.
                    ``(B) The mortgagor occupies the property securing 
                the mortgage as his or her principal residence.
                    ``(C) The servicer reasonably determined, 
                consistent with the guidelines issued by the Secretary 
                of the Treasury or his designee, that the application 
                of such qualified loss mitigation plan to a mortgage or 
                class of mortgages will likely provide an anticipated 
                recovery on the outstanding principal mortgage debt 
                that will exceed the anticipated recovery through 
                foreclosures.
    ``(b) No Liability.--A servicer that is deemed to be acting in the 
best interests of all investors or other parties under this section 
shall not be liable to any party who is owed a duty under subsection 
(a)(1), and shall not be subject to any injunction, stay, or other 
equitable relief to such party, based solely upon the implementation by 
the servicer of a qualified loss mitigation plan.
    ``(c) Standard Industry Practice.--The qualified loss mitigation 
plan guidelines issued by the Secretary of the Treasury under the 
Emergency Economic Stabilization Act of 2008 shall constitute standard 
industry practice for purposes of all Federal and State laws.
    ``(d) Scope of Safe Harbor.--Any person, including a trustee, 
issuer, and loan originator, shall not be liable for monetary damages 
or be subject to an injunction, stay, or other equitable relief, based 
solely upon the cooperation of such person with a servicer when such 
cooperation is necessary for the servicer to implement a qualified loss 
mitigation plan that meets the requirements of subsection (a).
    ``(e) Reporting.--Each servicer that engages in qualified loss 
mitigation plans under this section shall regularly report to the 
Secretary of the Treasury the extent, scope, and results of the 
servicer's modification activities. The Secretary of the Treasury shall 
prescribe regulations or guidance specifying the form, content, and 
timing of such reports.
    ``(f) Definitions.--As used in this section--
            ``(1) the term `qualified loss mitigation plan' means--
                    ``(A) a residential loan modification, workout, or 
                other loss mitigation plan, including to the extent 
                that the Secretary of the Treasury determines 
                appropriate, a loan sale, real property disposition, 
                trial modification, pre-foreclosure sale, and deed in 
                lieu of foreclosure, that is described or authorized in 
                guidelines issued by the Secretary of the Treasury or 
                his designee under the Emergency Economic Stabilization 
                Act of 2008; and
                    ``(B) a refinancing of a mortgage under the Hope 
                for Homeowners program;
            ``(2) the term `servicer' means the person responsible for 
        the servicing for others of residential mortgage 
        loans(including of a pool of residential mortgage loans); and
            ``(3) the term `securitization vehicle' means a trust, 
        special purpose entity, or other legal structure that is used 
        to facilitate the issuing of securities, participation 
        certificates, or similar instruments backed by or referring to 
        a pool of assets that includes residential mortgages (or 
        instruments that are related to residential mortgages such as 
        credit-linked notes).''.

SEC. 202. CHANGES TO HOPE FOR HOMEOWNERS PROGRAM.

    (a) Program Changes.--Section 257 of the National Housing Act (12 
U.S.C. 1715z-23) is amended--
            (1) in subsection (c)--
                    (A) in the heading for paragraph (1), by striking 
                ``the board'' and inserting ``secretary'';
                    (B) in paragraph (1), by striking ``Board'' 
                inserting ``Secretary, after consultation with the 
                Board,'';
                    (C) in paragraph (1)(A), by inserting ``consistent 
                with section 203(b) to the maximum extent possible'' 
                before the semicolon; and
                    (D) by adding after paragraph (2) the following:
            ``(3) Duties of board.--The Board shall advise the 
        Secretary regarding the establishment and implementation of the 
        HOPE for Homeowners Program.'';
            (2) by striking ``Board'' each place such term appears in 
        subsections (e), (h)(1), (h)(3), (j), (l), (n), (s)(3), and (v) 
        and inserting ``Secretary'';
            (3) in subsection (e)--
                    (A) by striking paragraph (1) and inserting the 
                following:
            ``(1) Borrower certification.--
                    ``(A) No intentional default or false 
                information.--The mortgagor shall provide a 
                certification to the Secretary that the mortgagor has 
                not intentionally defaulted on the existing mortgage or 
                mortgages or any other substantial debt within the last 
                5 years and has not knowingly, or willfully and with 
                actual knowledge, furnished material information known 
                to be false for the purpose of obtaining the eligible 
                mortgage to be insured and has not been convicted under 
                Federal or State law for fraud during the 10-year 
                period ending upon the insurance of the mortgage under 
                this section.
                    ``(B) Liability for repayment.--The mortgagor shall 
                agree in writing that the mortgagor shall be liable to 
                repay to the Secretary any direct financial benefit 
                achieved from the reduction of indebtedness on the 
                existing mortgage or mortgages on the residence 
                refinanced under this section derived from 
                misrepresentations made by the mortgagor in the 
                certifications and documentation required under this 
                paragraph, subject to the discretion of the Secretary.
                    ``(C) Current borrower debt-to-income ratio.--As of 
                the date of application for a commitment to insure or 
                insurance under this section, the mortgagor shall have 
                had, or thereafter is likely to have, due to the terms 
                of the mortgage being reset, a ratio of mortgage debt 
                to income, taking into consideration all existing 
                mortgages of that mortgagor at such time, greater than 
                31 percent (or such higher amount as the Secretary 
                determines appropriate).'';
                    (B) in paragraph (4)--
                            (i) in subparagraph (A), by striking ``, 
                        subject to standards established by the Board 
                        under subparagraph (B),''; and
                            (ii) in subparagraph (B)(i), by striking 
                        ``shall'' and inserting ``may''; and
                    (C) in paragraph (7), by striking ``; and provided 
                that'' and all that follows through ``new second 
                lien'';
                    (D) in paragraph (9)--
                            (i) by striking ``by procuring (A) an 
                        income tax return transcript of the income tax 
                        return of the mortgagor, or (B)'' and inserting 
                        ``in accordance with procedures and standards 
                        that the Secretary shall establish (provided 
                        that such procedures and standards are 
                        consistent with section 203(b) to the maximum 
                        extent possible) which may include requiring 
                        the mortgagee to procure''; and
                            (ii) by striking ``and by any other method, 
                        in accordance with procedures and standards 
                        that the Board shall establish'';
                    (E) in paragraph (10)--
                            (i) by striking ``The mortgagor shall not'' 
                        and inserting the following:
                    ``(A) Prohibition.--The mortgagor shall not''; and
                            (ii) by adding at the end the following:
                    ``(B) Duty of mortgagee.--The duty of the mortgagee 
                to ensure that the mortgagor is in compliance with the 
                prohibition under subparagraph (A) shall be satisfied 
                if the mortgagee makes a good faith effort to determine 
                that the mortgagor has not been convicted under Federal 
                or State law for fraud during the period described in 
                subparagraph (A).'';
                    (F) in paragraph (11), by inserting before the 
                period at the end the following: ``, except that the 
                Secretary may provide exceptions to such latter 
                requirement (relating to present ownership interest) 
                for any mortgagor who has inherited a property''; and
                    (G) by adding at the end:
            ``(12) Ban on millionaires.--The mortgagor shall not have a 
        net worth, as of the date the mortgagor first applies for a 
        mortgage to be insured under the Program under this section, 
        that exceeds $1,000,000.'';
            (4) in subsection (h)(2), by striking ``The Board shall 
        prohibit the Secretary from paying'' and inserting ``The 
        Secretary shall not pay''; and
            (5) in subsection (i)--
                    (A) by redesignating paragraphs (1) and (2) as 
                subparagraphs (A) and (B), respectively, and adjusting 
                the margins accordingly;
                    (B) in the matter preceding subparagraph (A), as 
                redesignated by this paragraph, by striking ``For 
                each'' and inserting the following:
            ``(1) Premiums.--For each'';
                    (C) in subparagraph (A), as redesignated by this 
                paragraph, by striking ``equal to 3 percent'' and 
                inserting ``not more than 3 percent''; and
                    (D) in subparagraph (B), as redesignated by this 
                paragraph, by striking ``equal to 1.5 percent'' and 
                inserting ``not more than 1.5 percent'';
                    (E) by adding at the end the following:
            ``(2) Considerations.--In setting the premium under this 
        subsection, the Secretary shall consider--
                    ``(A) the financial integrity of the HOPE for 
                Homeowners Program; and
                    ``(B) the purposes of the HOPE for Homeowners 
                Program described in subsection (b).'';
            (6) in subsection (k)--
                    (A) by striking the subsection heading and 
                inserting ``Exit Fee'';
                    (B) in paragraph (1), in the matter preceding 
                subparagraph (A), by striking ``such sale or 
                refinancing'' and inserting ``the mortgage being 
                insured under this section''; and
                    (C) in paragraph (2), by striking ``and the 
                mortgagor'' and all that follows through the end and 
                inserting ``may, upon any sale or disposition of the 
                property to which the mortgage relates, be entitled to 
                up to 50 percent of appreciation, up to the appraised 
                value of the home at the time when the mortgage being 
                refinanced under this section was originally made. The 
                Secretary may share any amounts received under this 
                paragraph with the holder of the existing senior 
                mortgage on the eligible mortgage, the holder of any 
                existing subordinate mortgage on the eligible mortgage, 
                or both.'';
            (7) in the heading for subsection (n), by striking ``the 
        Board'' and inserting ``Secretary'';
            (8) in subsection (p), by striking ``Under the direction of 
        the Board, the'' and inserting ``The'';
            (9) in subsection (s)--
                    (A) in the first sentence of paragraph (2), by 
                striking ``Board of Directors of'' and inserting 
                ``Advisory Board for''; and
                    (B) in paragraph (3)(A)(ii), by striking 
                ``subsection (e)(1)(B) and such other'' and inserting 
                ``such'';
            (10) in subsection (v), by inserting after the period at 
        the end the following: ``The Secretary shall conform documents, 
        forms, and procedures for mortgages insured under this section 
        to those in place for mortgages insured under section 203(b) to 
        the maximum extent possible consistent with the requirements of 
        this section.''; and
            (11) by adding at the end the following new subsections:
    ``(x) Payments to Servicers and Originators.--The Secretary may 
establish a payment to the--
            ``(1) servicer of the existing senior mortgage for every 
        loan insured under the HOPE for Homeowners Program; and
            ``(2) originator of each new loan insured under the HOPE 
        for Homeowners Program.
    ``(y) Auctions.--The Secretary, with the concurrence of the Board, 
shall, if feasible, establish a structure and organize procedures for 
an auction to refinance eligible mortgages on a wholesale or bulk 
basis.''.
    (b) Reducing TARP Funds To Offset Costs of Program Changes.--
Paragraph (3) of section 115(a) of the Emergency Economic Stabilization 
Act of 2008 (12 U.S.C. 5225) is amended by inserting ``, as such amount 
is reduced by $2,316,000,000,'' after ``$700,000,000,000''.
    (c) Technical Correction.--The second section 257 of the National 
Housing Act (Public Law 110-289; 122 Stat. 2839; 12 U.S.C. 1715z-24) is 
amended by striking the section heading and inserting the following:

``SEC. 258. PILOT PROGRAM FOR AUTOMATED PROCESS FOR BORROWERS WITHOUT 
              SUFFICIENT CREDIT HISTORY.''.

SEC. 203. REQUIREMENTS FOR FHA-APPROVED MORTGAGEES.

    (a) Mortgagee Review Board.--
            (1) In general.--Section 202(c)(2) of the National Housing 
        Act (12 U.S.C. 1708(c)) is amended--
                    (A) in subparagraph (E), by inserting ``and'' after 
                the semicolon;
                    (B) in subparagraph (F), by striking ``; and'' and 
                inserting ``or their designees.''; and
                    (C) by striking subparagraph (G).
            (2) Prohibition against limitations on mortgagee review 
        board's power to take action against mortgagees.--Section 
        202(c) of the National Housing Act (12 U.S.C. 1708(c)) is 
        amended by adding at the end the following new paragraph:
            ``(9) Prohibition against limitations on mortgagee review 
        board's power to take action against mortgagees.--No State or 
        local law, and no Federal law (except a Federal law enacted 
        expressly in limitation of this subsection after the effective 
        date of this sentence), shall preclude or limit the exercise by 
        the Board of its power to take any action authorized under 
        paragraphs (3) and (6) of this subsection against any 
        mortgagee.''.
    (b) Limitations on Participation and Mortgagee Approval and Use of 
Name.--Section 202 of the National Housing Act (12 U.S.C. 1708) is 
amended--
            (1) by redesignating subsections (d), (e), and (f) as 
        subsections (e), (f), and (g), respectively;
            (2) by inserting after subsection (c) the following new 
        subsection:
    ``(d) Limitations on Participation in Origination and Mortgagee 
Approval.--
            ``(1) Requirement.--Any person or entity that is not 
        approved by the Secretary to serve as a mortgagee, as such term 
        is defined in subsection (c)(7), shall not participate in the 
        origination of an FHA-insured loan except as authorized by the 
        Secretary.
            ``(2) Eligibility for approval.--In order to be eligible 
        for approval by the Secretary, an applicant mortgagee shall not 
        be, and shall not have any officer, partner, director, 
        principal, manager, supervisor, loan processor, loan 
        underwriter, or loan originator of the applicant mortgagee who 
        is--
                    ``(A) currently suspended, debarred, under a 
                limited denial of participation (LDP), or otherwise 
                restricted under part 25 of title 24 of the Code of 
                Federal Regulations, 2 Code of Federal Regulations, 
                part 180 as implemented by part 2424, or any successor 
                regulations to such parts, or under similar provisions 
                of any other Federal agency;
                    ``(B) under indictment for, or has been convicted 
                of, an offense that reflects adversely upon the 
                applicant's integrity, competence or fitness to meet 
                the responsibilities of an approved mortgagee;
                    ``(C) subject to unresolved findings contained in a 
                Department of Housing and Urban Development or other 
                governmental audit, investigation, or review;
                    ``(D) engaged in business practices that do not 
                conform to generally accepted practices of prudent 
                mortgagees or that demonstrate irresponsibility;
                    ``(E) convicted of, or who has pled guilty or nolo 
                contendre to, a felony related to participation in the 
                real estate or mortgage loan industry--
                            ``(i) during the 7-year period preceding 
                        the date of the application for licensing and 
                        registration; or
                            ``(ii) at any time preceding such date of 
                        application, if such felony involved an act of 
                        fraud, dishonesty, or a breach of trust, or 
                        money laundering;
                    ``(F) in violation of provisions of the S.A.F.E. 
                Mortgage Licensing Act of 2008 (12 U.S.C. 5101 et seq.) 
                or any applicable provision of State law; or
                    ``(G) in violation of any other requirement as 
                established by the Secretary.
            ``(3) Rulemaking and implementation.--The Secretary shall 
        conduct a rulemaking to carry out this subsection. The 
        Secretary shall implement this subsection not later than the 
        expiration of the 60-day period beginning upon the date of the 
        enactment of this subsection by notice, mortgagee letter, or 
        interim final regulations, which shall take effect upon 
        issuance.''; and
            (3) by adding at the end the following new subsection:
    ``(h) Use of Name.--The Secretary shall, by regulation, require 
each mortgagee approved by the Secretary for participation in the FHA 
mortgage insurance programs of the Secretary--
            ``(1) to use the business name of the mortgagee that is 
        registered with the Secretary in connection with such approval 
        in all advertisements and promotional materials, as such terms 
        are defined by the Secretary, relating to the business of such 
        mortgagee in such mortgage insurance programs; and
            ``(2) to maintain copies of all such advertisements and 
        promotional materials, in such form and for such period as the 
        Secretary requires.''.
    (c) Payment for Loss Mitigation.--Section 204(a)(2) of the National 
Housing Act (12 U.S.C. 1710(a)(2)) is amended--
            (1) by inserting ``or faces imminent default, as defined by 
        the Secretary'' after ``default'';
            (2) by inserting ``support for borrower housing counseling, 
        partial claims, borrower incentives, preforeclosure sale,'' 
        after ``loan modification,''; and
            (3) by striking ``204(a)(1)(A)'' and inserting ``subsection 
        (a)(1)(A) or section 203(c)''.
    (d) Payment of FHA Mortgage Insurance Benefits.--
            (1) Additional loss mitigation actions.--Section 230(a) of 
        the National Housing Act (12 U.S.C. 1715u(a)) is amended--
                    (A) by inserting ``or imminent default, as defined 
                by the Secretary'' after ``default'';
                    (B) by striking ``loss'' and inserting ``loan'';
                    (C) by inserting ``preforeclosure sale, support for 
                borrower housing counseling, subordinate lien 
                resolution, borrower incentives,'' after ``loan 
                modification,'';
                    (D) by inserting ``as required,'' after ``deeds in 
                lieu of foreclosure,''; and
                    (E) by inserting ``or section 230(c),'' before ``as 
                provided''.
            (2) Amendment to partial claim authority.--Section 230(b) 
        of the National Housing Act (12 U.S.C. 1715u(b)) is amended to 
        read as follows:
    ``(b) Payment of Partial Claim.--
            ``(1) Establishment of program.--The Secretary may 
        establish a program for payment of a partial claim to a 
        mortgagee that agrees to apply the claim amount to payment of a 
        mortgage on a 1- to 4-family residence that is in default or 
        faces imminent default, as defined by the Secretary.
            ``(2) Payments and exceptions.--Any payment of a partial 
        claim under the program established in paragraph (1) to a 
        mortgagee shall be made in the sole discretion of the Secretary 
        and on terms and conditions acceptable to the Secretary, except 
        that--
                    ``(A) the amount of the payment shall be in an 
                amount determined by the Secretary, not to exceed an 
                amount equivalent to 30 percent of the unpaid principal 
                balance of the mortgage and any costs that are approved 
                by the Secretary;
                    ``(B) the amount of the partial claim payment shall 
                first be applied to any arrearage on the mortgage, and 
                may also be applied to achieve principal reduction;
                    ``(C) the mortgagor shall agree to repay the amount 
                of the insurance claim to the Secretary upon terms and 
                conditions acceptable to the Secretary;
                    ``(D) the Secretary may permit compensation to the 
                mortgagee for lost income on monthly payments, due to a 
                reduction in the interest rate charged on the mortgage;
                    ``(E) expenses related to the partial claim or 
                modification may not be charged to the borrower;
                    ``(F) loans may be modified to extend the term of 
                the mortgage to a maximum of 40 years from the date of 
                the modification; and
                    ``(G) the Secretary may permit incentive payments 
                to the mortgagee, on the borrower's behalf, based on 
                successful performance of a modified mortgage, which 
                shall be used to reduce the amount of principal 
                indebtedness.
            ``(3) Payments in connection with certain activities.--The 
        Secretary may pay the mortgagee, from the appropriate insurance 
        fund, in connection with any activities that the mortgagee is 
        required to undertake concerning repayment by the mortgagor of 
        the amount owed to the Secretary.''.
            (3) Assignment.--Section 230(c) of the National Housing Act 
        (12 U.S.C. 1715u(c)) is amended--
                    (A) by inserting ``(1)'' after ``(c)'';
                    (B) by redesignating paragraphs (1), (2), and (3) 
                as subparagraphs (A), (B), and (C), respectively;
                    (C) in paragraph (1)(B) (as so redesignated)--
                            (i) by redesignating subparagraphs (A), 
                        (B), and (C) as clauses (i), (ii), and (iii), 
                        respectively;
                            (ii) in the matter preceding clause (i) (as 
                        so redesignated), by striking ``under a program 
                        under this subsection'' and inserting ``under 
                        this paragraph''; and
                            (iii) in clause (i) (as so redesignated), 
                        by inserting ``or facing imminent default, as 
                        defined by the Secretary'' after ``default'';
                    (D) in paragraph (1)(C) (as so redesignated), by 
                striking ``under a program under this subsection'' and 
                inserting ``under this paragraph''; and
                    (E) by adding at the end the following:
            ``(2) Assignment and loan modification.--
                    ``(A) Authority.--The Secretary may encourage loan 
                modifications for eligible delinquent mortgages or 
                mortgages facing imminent default, as defined by the 
                Secretary, through the payment of insurance benefits 
                and assignment of the mortgage to the Secretary and the 
                subsequent modification of the terms of the mortgage 
                according to a loan modification approved by the 
                mortgagee.
                    ``(B) Payment of benefits and assignment.--In 
                carrying out this paragraph, the Secretary may pay 
                insurance benefits for a mortgage, in the amount 
                determined in accordance with section 204(a)(5), 
                without reduction for any amounts modified, but only 
                upon the assignment, transfer, and delivery to the 
                Secretary of all rights, interest, claims, evidence, 
                and records with respect to the mortgage specified in 
                clauses (i) through (iv) of section 204(a)(1)(A).
                    ``(C) Disposition.--After modification of a 
                mortgage pursuant to this paragraph, the Secretary may 
                provide insurance under this title for the mortgage. 
                The Secretary may subsequently--
                            ``(i) re-assign the mortgage to the 
                        mortgagee under terms and conditions as are 
                        agreed to by the mortgagee and the Secretary;
                            ``(ii) act as a Government National 
                        Mortgage Association issuer, or contract with 
                        an entity for such purpose, in order to pool 
                        the mortgage into a Government National 
                        Mortgage Association security; or
                            ``(iii) re-sell the mortgage in accordance 
                        with any program that has been established for 
                        purchase by the Federal Government of mortgages 
                        insured under this title, and the Secretary may 
                        coordinate standards for interest rate 
                        reductions available for loan modification with 
                        interest rates established for such purchase.
                    ``(D) Loan servicing.--In carrying out this 
                paragraph, the Secretary may require the existing 
                servicer of a mortgage assigned to the Secretary to 
                continue servicing the mortgage as an agent of the 
                Secretary during the period that the Secretary acquires 
                and holds the mortgage for the purpose of modifying the 
                terms of the mortgage, provided that the Secretary 
                compensates the existing servicer appropriately, as 
                such compensation is determined by the Secretary 
                consistent, to the maximum extent possible, with 
                section 203(b). If the mortgage is resold pursuant to 
                subparagraph (C)(iii), the Secretary may provide for 
                the existing servicer to continue to service the 
                mortgage or may engage another entity to service the 
                mortgage.''.
            (4) Implementation.--The Secretary of Housing and Urban 
        Development may implement the amendments made by this 
        subsection through notice or mortgagee letter.
    (e) Change of Status.--The National Housing Act is amended by 
striking section 532 (12 U.S.C. 1735f-10) and inserting the following 
new section:

``SEC. 532. CHANGE OF MORTGAGEE STATUS.

    ``(a) Notification.--Upon the occurrence of any action described in 
subsection (b), an approved mortgagee shall immediately submit to the 
Secretary, in writing, notification of such occurrence.
    ``(b) Actions.--The actions described in this subsection are as 
follows:
            ``(1) The debarment, suspension or a Limited Denial of 
        Participation (LDP), or application of other sanctions, other 
        exclusions, fines, or penalties applied to the mortgagee or to 
        any officer, partner, director, principal, manager, supervisor, 
        loan processor, loan underwriter, or loan originator of the 
        mortgagee pursuant to applicable provisions of State or Federal 
        law.
            ``(2) The revocation of a State-issued mortgage loan 
        originator license issued pursuant to the S.A.F.E. Mortgage 
        Licensing Act of 2008 (12 U.S.C. 5101 et seq.) or any other 
        similar declaration of ineligibility pursuant to State law.''.
    (f) Civil Money Penalties.--Section 536 of the National Housing Act 
(12 U.S.C. 1735f-14) is amended--
            (1) in subsection (b)--
                    (A) in paragraph (1)--
                            (i) in the matter preceding subparagraph 
                        (A), by inserting ``or any of its owners, 
                        officers, or directors'' after ``mortgagee or 
                        lender'';
                            (ii) in subparagraph (H), by striking 
                        ``title I'' and all that follows through 
                        ``under this Act.'' and inserting ``title I or 
                        II of this Act, or any implementing regulation, 
                        handbook, or mortgagee letter that is issued 
                        under this Act.''; and
                            (iii) by inserting after subparagraph (J) 
                        the following:
                    ``(K) Violation of section 202(d) of this Act (12 
                U.S.C. 1708(d)).
                    ``(L) Use of `Federal Housing Administration', 
                `Department of Housing and Urban Development', 
                `Government National Mortgage Association', `Ginnie 
                Mae', the acronyms `HUD', `FHA', or `GNMA', or any 
                official seal or logo of the Department of Housing and 
                Urban Development, except as authorized by the 
                Secretary.'';
                    (B) in paragraph (2)--
                            (i) in subparagraph (B), by striking ``or'' 
                        at the end;
                            (ii) in subparagraph (C), by striking the 
                        period at the end and inserting ``; or''; and
                            (iii) by adding at the end the following 
                        new subparagraph:
                    ``(D) causing or participating in any of the 
                violations set forth in paragraph (1) of this 
                subsection.''; and
                    (C) by amending paragraph (3) to read as follows:
            ``(3) Prohibition against misleading use of federal entity 
        designation.--The Secretary may impose a civil money penalty, 
        as adjusted from time to time, under subsection (a) for any use 
        of `Federal Housing Administration', `Department of Housing and 
        Urban Development', `Government National Mortgage Association', 
        `Ginnie Mae', the acronyms `HUD', `FHA', or `GNMA', or any 
        official seal or logo of the Department of Housing and Urban 
        Development, by any person, party, company, firm, partnership, 
        or business, including sellers of real estate, closing agents, 
        title companies, real estate agents, mortgage brokers, 
        appraisers, loan correspondents, and dealers, except as 
        authorized by the Secretary.''; and
            (2) in subsection (g), by striking ``The term'' and all 
        that follows through the end of the sentence and inserting 
        ``For purposes of this section, a person acts knowingly when a 
        person has actual knowledge of acts or should have known of the 
        acts.''.
    (g) Expanded Review of FHA Mortgagee Applicants and Newly Approved 
Mortgagees.--Not later than the expiration of the 3-month period 
beginning upon the date of the enactment of this Act, the Secretary of 
Housing and Urban Development shall--
            (1) expand the existing process for reviewing new 
        applicants for approval for participation in the mortgage 
        insurance programs of the Secretary for mortgages on 1- to 4-
        family residences for the purpose of identifying applicants who 
        represent a high risk to the Mutual Mortgage Insurance Fund; 
        and
            (2) implement procedures that, for mortgagees approved 
        during the 12-month period ending upon such date of enactment--
                    (A) expand the number of mortgages originated by 
                such mortgagees that are reviewed for compliance with 
                applicable laws, regulations, and policies; and
                    (B) include a process for random reviews of such 
                mortgagees and a process for reviews that is based on 
                volume of mortgages originated by such mortgagees.

SEC. 204. ENHANCEMENT OF LIQUIDITY AND STABILITY OF INSURED DEPOSITORY 
              INSTITUTIONS TO ENSURE AVAILABILITY OF CREDIT AND 
              REDUCTION OF FORECLOSURES.

    (a) Temporary Increase in Deposit Insurance Extended.--Section 136 
of the Emergency Economic Stabilization Act of 2008 (12 U.S.C. 5241) is 
amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by striking ``December 31, 
                2009'' and inserting ``December 31, 2013'';
                    (B) by striking paragraph (2);
                    (C) by redesignating paragraph (3) as paragraph 
                (2); and
                    (D) in paragraph (2), as so redesignated, by 
                striking ``December 31, 2009'' and inserting ``December 
                31, 2013''; and
            (2) in subsection (b)--
                    (A) in paragraph (1), by striking ``December 31, 
                2009'' and inserting ``December 31, 2013'';
                    (B) by striking paragraph (2);
                    (C) by redesignating paragraph (3) as paragraph 
                (2); and
                    (D) in paragraph (2), as so redesignated, by 
                striking ``December 31, 2009'' and inserting ``December 
                31, 2013''; and
    (b) Extension of Restoration Plan Period.--Section 7(b)(3)(E)(ii) 
of the Federal Deposit Insurance Act (12 U.S.C. 1817(b)(3)(E)(ii)) is 
amended by striking ``5-year period'' and inserting ``8-year period''.
    (c) FDIC and NCUA Borrowing Authority.--
            (1) FDIC.--Section 14(a) of the Federal Deposit Insurance 
        Act (12 U.S.C. 1824(a)) is amended--
                    (A) by striking ``$30,000,000,000'' and inserting 
                ``$100,000,000,000'';
                    (B) by striking ``The Corporation is authorized'' 
                and inserting the following:
            ``(1) In general.--The Corporation is authorized'';
                    (C) by striking ``There are hereby'' and inserting 
                the following:
            ``(2) Funding.--There are hereby''; and
                    (D) by adding at the end the following:
            ``(3) Temporary increases authorized.--
                    ``(A) Recommendations for increase.--During the 
                period beginning on the date of enactment of this 
                paragraph and ending on December 31, 2010, if, upon the 
                written recommendation of the Board of Directors (upon 
                a vote of not less than two-thirds of the members of 
                the Board of Directors) and the Board of Governors of 
                the Federal Reserve System (upon a vote of not less 
                than two-thirds of the members of such Board), the 
                Secretary of the Treasury (in consultation with the 
                President) determines that additional amounts above the 
                $100,000,000,000 amount specified in paragraph (1) are 
                necessary, such amount shall be increased to the amount 
                so determined to be necessary, not to exceed 
                $500,000,000,000.
                    ``(B) Report required.--If the borrowing authority 
                of the Corporation is increased above $100,000,000,000 
                pursuant to subparagraph (A), the Corporation shall 
                promptly submit a report to the Committee on Banking, 
                Housing, and Urban Affairs of the Senate and the 
                Committee on Financial Services of the House of 
                Representatives describing the reasons and need for the 
                additional borrowing authority and its intended uses.
                    ``(C) Restriction on usage.--The Corporation may 
                not borrow pursuant to subparagraph (A) to fund 
                obligations of the Corporation incurred as a part of a 
                program established by the Secretary of the Treasury 
                pursuant to the Emergency Economic Stabilization Act of 
                2008 to purchase or guarantee assets.''.
            (2) NCUA.--Section 203(d)(1) of the Federal Credit Union 
        Act (12 U.S.C. 1783(d)(1)) is amended to read as follows:
            ``(1) If, in the judgment of the Board, a loan to the 
        insurance fund, or to the stabilization fund described in 
        section 217 of this title, is required at any time for purposes 
        of this subchapter, the Secretary of the Treasury shall make 
        the loan, but loans under this paragraph shall not exceed in 
        the aggregate $6,000,000,000 outstanding at any one time. 
        Except as otherwise provided in this subsection, section 217, 
        and in subsection (e) of this section, each loan under this 
        paragraph shall be made on such terms as may be fixed by 
        agreement between the Board and the Secretary of the 
        Treasury.''.
            (3) Temporary increases of borrowing authority for ncua.--
        Section 203(d) of the Federal Credit Union Act (12 U.S.C. 
        1783(d)) is amended by adding at the end the following:
            ``(4) Temporary increases authorized.--
                    ``(A) Recommendations for increase.--During the 
                period beginning on the date of enactment of this 
                paragraph and ending on December 31, 2010, if, upon the 
                written recommendation of the Board (upon a vote of not 
                less than two-thirds of the members of the Board) and 
                the Board of Governors of the Federal Reserve System 
                (upon a vote of not less than two-thirds of the members 
                of such Board), the Secretary of the Treasury (in 
                consultation with the President) determines that 
                additional amounts above the $6,000,000,000 amount 
                specified in paragraph (1) are necessary, such amount 
                shall be increased to the amount so determined to be 
                necessary, not to exceed $30,000,000,000.
                    ``(B) Report required.--If the borrowing authority 
                of the Board is increased above $6,000,000,000 pursuant 
                to subparagraph (A), the Board shall promptly submit a 
                report to the Committee on Banking, Housing, and Urban 
                Affairs of the Senate and the Committee on Financial 
                Services of the House of Representatives describing the 
                reasons and need for the additional borrowing authority 
                and its intended uses.''.
    (d) Expanding Systemic Risk Special Assessments.--Section 
13(c)(4)(G)(ii) of the Federal Deposit Insurance Act (12 U.S.C. 
1823(c)(4)(G)(ii)) is amended to read as follows:
                            ``(ii) Repayment of loss.--
                                    ``(I) In general.--The Corporation 
                                shall recover the loss to the Deposit 
                                Insurance Fund arising from any action 
                                taken or assistance provided with 
                                respect to an insured depository 
                                institution under clause (i) from 1 or 
                                more special assessments on insured 
                                depository institutions, depository 
                                institution holding companies (with the 
                                concurrence of the Secretary of the 
                                Treasury with respect to holding 
                                companies), or both, as the Corporation 
                                determines to be appropriate.
                                    ``(II) Treatment of depository 
                                institution holding companies.--For 
                                purposes of this clause, sections 
                                7(c)(2) and 18(h) shall apply to 
                                depository institution holding 
                                companies as if they were insured 
                                depository institutions.
                                    ``(III) Regulations.--The 
                                Corporation shall prescribe such 
                                regulations as it deems necessary to 
                                implement this clause. In prescribing 
                                such regulations, defining terms, and 
                                setting the appropriate assessment rate 
                                or rates, the Corporation shall 
                                establish rates sufficient to cover the 
                                losses incurred as a result of the 
                                actions of the Corporation under clause 
                                (i) and shall consider: the types of 
                                entities that benefit from any action 
                                taken or assistance provided under this 
                                subparagraph; economic conditions, the 
                                effects on the industry, and such other 
                                factors as the Corporation deems 
                                appropriate and relevant to the action 
                                taken or the assistance provided. Any 
                                funds so collected that exceed actual 
                                losses shall be placed in the Deposit 
                                Insurance Fund.''.
    (e) Establishment of a National Credit Union Share Insurance Fund 
Restoration Plan Period.--Section 202(c)(2) of the Federal Credit Union 
Act (12 U.S.C. 1782(c)(2)) is amended by adding at the end the 
following new subparagraph:
                    ``(D) Fund restoration plans.--
                            ``(i) In general.--Whenever--
                                    ``(I) the Board projects that the 
                                equity ratio of the Fund will, within 6 
                                months of such determination, fall 
                                below the minimum amount specified in 
                                subparagraph (C); or
                                    ``(II) the equity ratio of the Fund 
                                actually falls below the minimum amount 
                                specified in subparagraph (C) without 
                                any determination under sub-clause (I) 
                                having been made,
                        the Board shall establish and implement a 
                        restoration plan within 90 days that meets the 
                        requirements of clause (ii) and such other 
                        conditions as the Board determines to be 
                        appropriate.
                            ``(ii) Requirements of restoration plan.--A 
                        restoration plan meets the requirements of this 
                        clause if the plan provides that the equity 
                        ratio of the Fund will meet or exceed the 
                        minimum amount specified in subparagraph (C) 
                        before the end of the 8-year period beginning 
                        upon the implementation of the plan (or such 
                        longer period as the Board may determine to be 
                        necessary due to extraordinary circumstances).
                            ``(iii) Transparency.--Not more than 30 
                        days after the Board establishes and implements 
                        a restoration plan under clause (i), the Board 
                        shall publish in the Federal Register a 
                        detailed analysis of the factors considered and 
                        the basis for the actions taken with regard to 
                        the plan.''.
    (f) Temporary Corporate Credit Union Stabilization Fund.--
            (1) Establishment of stabilization fund.--Title II of the 
        Federal Credit Union Act (12 U.S.C. 1781 et seq.) is amended by 
        adding at the end the following new section:

``SEC. 217. TEMPORARY CORPORATE CREDIT UNION STABILIZATION FUND.

    ``(a) Establishment of Stabilization Fund.--There is hereby created 
in the Treasury of the United States a fund to be known as the 
`Temporary Corporate Credit Union Stabilization Fund.' The Board will 
administer the Stabilization Fund as prescribed by section 209.
    ``(b) Expenditures From Stabilization Fund.--Money in the 
Stabilization Fund shall be available upon requisition by the Board, 
without fiscal year limitation, for making payments for the purposes 
described in section 203(a), subject to the following additional 
limitations:
            ``(1) All payments other than administrative payments shall 
        be connected to the conservatorship, liquidation, or threatened 
        conservatorship or liquidation, of a corporate credit union.
            ``(2) Prior to authorizing each payment the Board shall--
                    ``(A) certify that, absent the existence of the 
                Stabilization Fund, the Board would have made the 
                identical payment out of the National Credit Union 
                Share Insurance Fund (Insurance Fund); and
                    ``(B) report each such certification to the 
                Committee on Banking, Housing, and Urban Affairs of the 
                Senate and the Committee on Financial Services of the 
                House of Representatives.
    ``(c) Authority To Borrow.--
            ``(1) In general.--The Stabilization Fund is authorized to 
        borrow from the Secretary of the Treasury from time-to-time as 
        deemed necessary by the Board. The maximum outstanding amount 
        of all borrowings from the Treasury by the Stabilization Fund 
        and the National Credit Union Share Insurance Fund, combined, 
        is limited to the amount provided for in section 203(d)(1), 
        including any authorized increases in that amount.
            ``(2) Repayment of advances.--
                    ``(A) In general.--The advances made under this 
                section shall be repaid by the Stabilization Fund, and 
                interest on such advance shall be paid, to the General 
                fund of the Treasury.
                    ``(B) Variable rate of interest.--The Secretary of 
                the Treasury shall make the first rate determination at 
                the time of the first advance under this section and 
                shall reset the rate again for all advances on each 
                anniversary of the first advance. The interest rate 
                shall be equal to the average market yield on 
                outstanding marketable obligations of the United States 
                with remaining periods to maturity equal to 12 months.
            ``(3) Repayment schedule.--The Stabilization Fund shall 
        repay the advances on a first-in, first-out basis, with 
        interest on the amount repaid, at times and dates determined by 
        the Board at its discretion. All advances shall be repaid not 
        later than the date of the seventh anniversary of the first 
        advance to the Stabilization Fund, unless the Board extends 
        this final repayment date. The Board shall obtain the 
        concurrence of the Secretary of the Treasury on any proposed 
        extension, including the terms and conditions of the extended 
        repayment.
    ``(d) Assessment to Repay Advances.--At least 90 days prior to each 
repayment described in subsection (c)(3), the Board shall set the 
amount of the upcoming repayment and determine if the Stabilization 
Fund will have sufficient funds to make the repayment. If the 
Stabilization Fund might not have sufficient funds to make the 
repayment, the Board shall assess each federally insured credit union a 
special premium due and payable within 60 days in an aggregate amount 
calculated to ensure the Stabilization Fund is able to make the 
repayment. The premium charge for each credit union shall be stated as 
a percentage of its insured shares as represented on the credit union's 
previous call report. The percentage shall be identical for each credit 
union. Any credit union that fails to make timely payment of the 
special premium is subject to the procedures and penalties described 
under subsections (d), (e), and (f) of section 202.
    ``(e) Distributions From Insurance Fund.--At the end of any 
calendar year in which the Stabilization Fund has an outstanding 
advance from the Treasury, the Insurance Fund is prohibited from making 
the distribution to insured credit unions described in section 
202(c)(3). In lieu of the distribution described in that section, the 
Insurance Fund shall make a distribution to the Stabilization Fund of 
the maximum amount possible that does not reduce the Insurance Fund's 
equity ratio below the normal operating level and does not reduce the 
Insurance Fund's available assets ratio below 1.0 percent.
    ``(f) Investment of Stabilization Fund Assets.--The Board may 
request the Secretary of the Treasury to invest such portion of the 
Stabilization Fund as is not, in the Board's judgment, required to meet 
the current needs of the Stabilization Fund. Such investments shall be 
made by the Secretary of the Treasury in public debt securities, with 
maturities suitable to the needs of the Stabilization Fund, as 
determined by the Board, and bearing interest at a rate determined by 
the Secretary of the Treasury, taking into consideration current market 
yields on outstanding marketable obligations of the United States of 
comparable maturity.
    ``(g) Reports.--The Board shall submit an annual report to Congress 
on the financial condition and the results of the operation of the 
Stabilization Fund. The report is due to Congress within 30 days after 
each anniversary of the first advance made under subsection (c)(1). 
Because the Fund will use advances from the Treasury to meet corporate 
stabilization costs with full repayment of borrowings to Treasury at 
the Board's discretion not due until 7 years from the initial advance, 
to the extent operating expenses of the Fund exceed income, the 
financial condition of the Fund may reflect a deficit. With planned and 
required future repayments, the Board shall resolve all deficits prior 
to termination of the Fund.
    ``(h) Closing of Stabilization Fund.--Within 90 days following the 
seventh anniversary of the initial Stabilization Fund advance, or 
earlier at the Board's discretion, the Board shall distribute any 
funds, property, or other assets remaining in the Stabilization Fund to 
the Insurance Fund and shall close the Stabilization Fund. If the Board 
extends the final repayment date as permitted under subsection (c)(3), 
the mandatory date for closing the Stabilization Fund shall be extended 
by the same number of days.''.
            (2) Conforming amendment.--Section 202(c)(3)(A) of the 
        Federal Credit Union Act (12 U.S.C. 1782(c)(3)(A)) is amended 
        by inserting ``, subject to the requirements of section 
        217(e),'' after ``The Board shall''.

SEC. 205. APPLICATION OF GSE CONFORMING LOAN LIMIT TO MORTGAGES 
              ASSISTED WITH TARP FUNDS.

    In making any assistance available to prevent and mitigate 
foreclosures on residential properties, including any assistance for 
mortgage modifications, using any amounts made available to the 
Secretary of the Treasury under title I of the Emergency Economic 
Stabilization Act of 2008, the Secretary shall provide that the 
limitation on the maximum original principal obligation of a mortgage 
that may be modified, refinanced, made, guaranteed, insured, or 
otherwise assisted, using such amounts shall not be less than the 
dollar amount limitation on the maximum original principal obligation 
of a mortgage that may be purchased by the Federal Home Loan Mortgage 
Corporation that is in effect, at the time that the mortgage is 
modified, refinanced, made, guaranteed, insured, or otherwise assisted 
using such amounts, for the area in which the property involved in the 
transaction is located.

SEC. 206. MORTGAGES ON CERTAIN HOMES ON LEASED LAND.

    Section 255(b)(4) of the National Housing Act (12 U.S.C. 1715z-
20(b)(4)) is amended by striking subparagraph (B) and inserting:
                    ``(B) under a lease that has a term that ends no 
                earlier than the minimum number of years, as specified 
                by the Secretary, beyond the actuarial life expectancy 
                of the mortgagor or comortgagor, whichever is the later 
                date.''.

SEC. 207. SENSE OF CONGRESS REGARDING MORTGAGE REVENUE BOND PURCHASES.

    It is the sense of the Congress that the Secretary of the Treasury 
should use amounts made available in this Act to purchase mortgage 
revenue bonds for single-family housing issued through State housing 
finance agencies and through units of local government and agencies 
thereof.

                  TITLE III--MORTGAGE FRAUD TASK FORCE

SEC. 301. SENSE OF CONGRESS ON ESTABLISHMENT OF A NATIONWIDE MORTGAGE 
              FRAUD TASK FORCE.

    (a) In General.--It is the sense of the Congress that the 
Department of Justice establish a Nationwide Mortgage Fraud Task Force 
(hereinafter referred to in this section as the ``Task Force'') to 
address mortgage fraud in the United States.
    (b) Support.--If the Department of Justice establishes the Task 
Force referred to in subsection (a), it is the sense of the Congress 
that the Attorney General should provide the Task Force with the 
appropriate staff, administrative support, and other resources 
necessary to carry out the duties of the Task Force.
    (c) Mandatory Functions.--If the Department of Justice establishes 
the Task Force referred to in subsection (a), it is the sense of the 
Congress that the Attorney General should--
            (1) establish coordinating entities, and solicit the 
        voluntary participation of Federal, State, and local law 
        enforcement and prosecutorial agencies in such entities, to 
        organize initiatives to address mortgage fraud, including 
        initiatives to enforce State mortgage fraud laws and other 
        related Federal and State laws;
            (2) provide training to Federal, State, and local law 
        enforcement and prosecutorial agencies with respect to mortgage 
        fraud, including related Federal and State laws;
            (3) collect and disseminate data with respect to mortgage 
        fraud, including Federal, State, and local data relating to 
        mortgage fraud investigations and prosecutions; and
            (4) perform other functions determined by the Attorney 
        General to enhance the detection of, prevention of, and 
        response to mortgage fraud in the United States.
    (d) Optional Functions.--If the Department of Justice establishes 
the Task Force referred to in subsection (a), it is the sense of the 
Congress that the Task Force should--
            (1) initiate and coordinate Federal mortgage fraud 
        investigations and, through the coordinating entities described 
        under subsection (c), State and local mortgage fraud 
        investigations;
            (2) establish a toll-free hotline for--
                    (A) reporting mortgage fraud;
                    (B) providing the public with access to information 
                and resources with respect to mortgage fraud; and
                    (C) directing reports of mortgage fraud to the 
                appropriate Federal, State, and local law enforcement 
                and prosecutorial agency, including to the appropriate 
                branch of the Task Force established under subsection 
                (d);
            (3) create a database with respect to suspensions and 
        revocations of mortgage industry licenses and certifications to 
        facilitate the sharing of such information by States;
            (4) make recommendations with respect to the need for and 
        resources available to provide the equipment and training 
        necessary for the Task Force to combat mortgage fraud; and
            (5) propose legislation to Federal, State, and local 
        legislative bodies with respect to the elimination and 
        prevention of mortgage fraud, including measures to address 
        mortgage loan procedures and property appraiser practices that 
        provide opportunities for mortgage fraud.

              TITLE IV--FORECLOSURE MORATORIUM PROVISIONS

SEC. 401. SENSE OF THE CONGRESS ON FORECLOSURES.

    (a) In General.--It is the sense of the Congress that mortgage 
holders, institutions, and mortgage servicers should not initiate a 
foreclosure proceeding or a foreclosure sale on any homeowner until the 
foreclosure mitigation provisions, like the Hope for Homeowners 
program, as required under title II, and the President's ``Homeowner 
Affordability and Stability Plan'' have been implemented and determined 
to be operational by the Secretary of Housing and Urban Development and 
the Secretary of the Treasury.
    (b) Scope of Moratorium.--The foreclosure moratorium referred to in 
subsection (a) should apply only for first mortgages secured by the 
owner's principal dwelling.
    (c) FHA-Regulated Loan Modification Agreements.--If a mortgage 
holder, institution, or mortgage servicer to which subsection (a) 
applies reaches a loan modification agreement with a homeowner under 
the auspices of the Federal Housing Administration before any plan 
referred to in such subsection takes effect, subsection (a) shall cease 
to apply to such institution as of the effective date of the loan 
modification agreement.
    (d) Duty of Consumer To Maintain Property.--Any homeowner for whose 
benefit any foreclosure proceeding or sale is barred under subsection 
(a) from being instituted, continued , or consummated with respect to 
any homeowner mortgage should not, with respect to any property 
securing such mortgage, destroy, damage, or impair such property, allow 
the property to deteriorate, or commit waste on the property.
    (e) Duty of Consumer To Respond to Reasonable Inquiries.--Any 
homeowner for whose benefit any foreclosure proceeding or sale is 
barred under subsection (a) from being instituted, continued, or 
consummated with respect to any homeowner mortgage should respond to 
reasonable inquiries from a creditor or servicer during the period 
during which such foreclosure proceeding or sale is barred.

SEC. 402. PUBLIC-PRIVATE INVESTMENT PROGRAM; ADDITIONAL APPROPRIATIONS 
              FOR THE SPECIAL INSPECTOR GENERAL FOR THE TROUBLED ASSET 
              RELIEF PROGRAM.

    (a) Short Title.--This section may be cited as the ``Public-Private 
Investment Program Improvement and Oversight Act of 2009''.
    (b) Public-Private Investment Program.--
            (1) In general.--Any program established by the Federal 
        Government to create a public-private investment fund shall--
                    (A) in consultation with the Special Inspector 
                General of the Trouble Asset Relief Program (in this 
                section referred to as the ``Special Inspector 
                General''), impose strict conflict of interest rules on 
                managers of public-private investment funds to ensure 
                that securities bought by the funds are purchased in 
                arms-length transactions, that fiduciary duties to 
                public and private investors in the fund are not 
                violated, and that there is full disclosure of relevant 
                facts and financial interests (which conflict of 
                interest rules shall be implemented by the manager of a 
                public-private investment fund prior to such fund 
                receiving Federal Government financing);
                    (B) require each public-private investment fund to 
                make a quarterly report to the Secretary of the 
                Treasury (in this section referred to as the 
                ``Secretary'') that discloses the 10 largest positions 
                of such fund (which reports shall be publicly disclosed 
                at such time as the Secretary of the Treasury 
                determines that such disclosure will not harm the 
                ongoing business operations of the fund);
                    (C) allow the Special Inspector General access to 
                all books and records of a public-private investment 
                fund, including all records of financial transactions 
                in machine readable form, and the confidentiality of 
                all such information shall be maintained by the Special 
                Inspector General;
                    (D) require each manager of a public-private 
                investment fund to retain all books, documents, and 
                records relating to such public-private investment 
                fund, including electronic messages;
                    (E) require each manager of a public-private 
                investment fund to acknowledge, in writing, a fiduciary 
                duty to both the public and private investors in such 
                fund;
                    (F) require each manager of a public-private 
                investment fund to develop a robust ethics policy that 
                includes methods to ensure compliance with such policy;
                    (G) require strict investor screening procedures 
                for public-private investment funds; and
                    (H) require each manager of a public-private 
                investment fund to identify for the Secretary each 
                investor that, individually or together with its 
                affiliates, directly or indirectly holds equity 
                interests in the fund acquired as a result of--
                            (i) any investment by such investor or any 
                        of its affiliates in a vehicle formed for the 
                        purpose of directly or indirectly investing in 
                        the fund; or
                            (ii) any other investment decision by such 
                        investor or any of its affiliates to directly 
                        or indirectly invest in the fund that, in the 
                        aggregate, equal at least 10 percent of the 
                        equity interests in such fund.
            (2) Interaction between public-private investment funds and 
        the term-asset backed securities loan facility.--The Secretary 
        shall consult with the Special Inspector General and shall 
        issue regulations governing the interaction of the Public-
        Private Investment Program, the Term-Asset Backed Securities 
        Loan Facility, and other similar public-private investment 
        programs. Such regulations shall address concerns regarding the 
        potential for excessive leverage that could result from 
        interactions between such programs.
            (3) Report.--Not later than 60 days after the date of the 
        establishment of a program described in paragraph (1), the 
        Special Inspector General shall submit a report to Congress on 
        the implementation of this section.
    (c) Additional Appropriations for the Special Inspector General.--
            (1) In general.--Of amounts made available under section 
        115(a) of the Emergency Economic Stabilization Act of 2008 
        (Public Law 110-343), $15,000,000 shall be made available to 
        the Special Inspector General, which shall be in addition to 
        amounts otherwise made available to the Special Inspector 
        General.
            (2) Priorities.--In utilizing funds made available under 
        this section, the Special Inspector General shall prioritize 
        the performance of audits or investigations of recipients of 
        non-recourse Federal loans made under the Public Private 
        Investment Program established by the Secretary of the Treasury 
        or the Term Asset Loan Facility established by the Board of 
        Governors of the Federal Reserve System (including any 
        successor thereto or any other similar program established by 
        the Secretary or the Board), to the extent that such priority 
        is consistent with other aspects of the mission of the Special 
        Inspector General. Such audits or investigations shall 
        determine the existence of any collusion between the loan 
        recipient and the seller or originator of the asset used as 
        loan collateral, or any other conflict of interest that may 
        have led the loan recipient to deliberately overstate the value 
        of the asset used as loan collateral.
    (d) Rule of Construction.--Notwithstanding any other provision of 
law, nothing in this section shall be construed to apply to any 
activity of the Federal Deposit Insurance Corporation in connection 
with insured depository institutions, as described in section 
13(c)(2)(B) of the Federal Deposit Insurance Act.
    (e) Definition.--In this section, the term ``public-private 
investment fund'' means a financial vehicle that is--
            (1) established by the Federal Government to purchase pools 
        of loans, securities, or assets from a financial institution 
        described in section 101(a)(1) of the Emergency Economic 
        Stabilization Act of 2008 (12 U.S.C. 5211(a)(1)); and
            (2) funded by a combination of cash or equity from private 
        investors and funds provided by the Secretary of the Treasury 
        or funds appropriated under the Emergency Economic 
        Stabilization Act of 2008.
    (f) Offset of Costs of Program Changes.--Notwithstanding the 
amendment made by section 202(b) of this Act, paragraph (3) of section 
115(a) of the Emergency Economic Stabilization Act of 2008 (12 U.S.C. 
5225) is amended by inserting ``, as such amount is reduced by 
$2,331,000,000,'' after ``$700,000,000,000''.

SEC. 403. REMOVAL OF REQUIREMENT TO LIQUIDATE WARRANTS UNDER THE TARP.

    Section 111(g) of the Emergency Economic Stabilization Act of 2008 
(12 U.S.C. 5221(g)) is amended by striking ``shall liquidate warrants 
associated with such assistance at the current market price'' and 
inserting ``, at the market price, may liquidate warrants associated 
with such assistance''.

SEC. 404. NOTIFICATION OF SALE OR TRANSFER OF MORTGAGE LOANS.

    (a) In General.--Section 131 of the Truth in Lending Act (15 U.S.C. 
1641) is amended by adding at the end the following:
    ``(g) Notice of New Creditor.--
            ``(1) In general.--In addition to other disclosures 
        required by this title, not later than 30 days after the date 
        on which a mortgage loan is sold or otherwise transferred or 
        assigned to a third party, the creditor that is the new owner 
        or assignee of the debt shall notify the borrower in writing of 
        such transfer, including--
                    ``(A) the identity, address, telephone number of 
                the new creditor;
                    ``(B) the date of transfer;
                    ``(C) how to reach an agent or party having 
                authority to act on behalf of the new creditor;
                    ``(D) the location of the place where transfer of 
                ownership of the debt is recorded; and
                    ``(E) any other relevant information regarding the 
                new creditor.
            ``(2) Definition.--As used in this subsection, the term 
        `mortgage loan' means any consumer credit transaction that is 
        secured by the principal dwelling of a consumer.''.
    (b) Private Right of Action.--Section 130(a) of the Truth in 
Lending Act (15 U.S.C. 1640(a)) is amended by inserting ``subsection 
(f) or (g) of section 131,'' after ``section 125,''.

                    TITLE V--FARM LOAN RESTRUCTURING

SEC. 501. CONGRESSIONAL OVERSIGHT PANEL SPECIAL REPORT.

    Section 125(b) of the Emergency Economic Stabilization Act of 2008 
(12 U.S.C. 5233(b)) is amended by adding at the end the following:
            ``(3) Special report on farm loan restructuring.--Not later 
        than 60 days after the date of enactment of this paragraph, the 
        Oversight Panel shall submit a special report on farm loan 
        restructuring that--
                    ``(A) analyzes the state of the commercial farm 
                credit markets and the use of loan restructuring as an 
                alternative to foreclosure by recipients of financial 
                assistance under the Troubled Asset Relief Program; and
                    ``(B) includes an examination of and recommendation 
                on the different methods for farm loan restructuring 
                that could be used as part of a foreclosure mitigation 
                program for farm loans made by recipients of financial 
                assistance under the Troubled Asset Relief Program, 
                including any programs for direct loan restructuring or 
                modification carried out by the Farm Service Agency of 
                the Department of Agriculture, the farm credit system, 
                and the Making Home Affordable Program of the 
                Department of the Treasury.''.

   TITLE VI--ENHANCED OVERSIGHT OF THE TROUBLED ASSET RELIEF PROGRAM

SEC. 601. ENHANCED OVERSIGHT OF THE TROUBLED ASSET RELIEF PROGRAM.

    Section 116 of the Emergency Economic Stabilization Act of 2008 (12 
U.S.C. 5226) is amended--
            (1) in subsection (a)(1)(A)--
                    (A) in clause (iii), by striking ``and'' at the 
                end;
                    (B) in clause (iv), by striking the period at the 
                end and inserting ``; and''; and
                    (C) by adding at the end the following:
                            ``(v) public accountability for the 
                        exercise of such authority, including with 
                        respect to actions taken by those entities 
                        participating in programs established under 
                        this Act.''; and
            (2) in subsection (a)(2)--
                    (A) by redesignating subparagraph (C) as 
                subparagraph (F); and
                    (B) by striking subparagraphs (A) and (B) and 
                inserting the following:
                    ``(A) Definition.--In this paragraph, the term 
                `governmental unit' has the meaning given under section 
                101(27) of title 11, United States Code, and does not 
                include any insured depository institution as defined 
                under section 3 of the Federal Deposit Insurance Act 
                (12 U.S.C. 8113).
                    ``(B) GAO presence.--The Secretary shall provide 
                the Comptroller General with appropriate space and 
                facilities in the Department of the Treasury as 
                necessary to facilitate oversight of the TARP until the 
                termination date established in section 5230 of this 
                title.
                    ``(C) Access to records.--
                            ``(i) In general.--Notwithstanding any 
                        other provision of law, and for purposes of 
                        reviewing the performance of the TARP, the 
                        Comptroller General shall have access, upon 
                        request, to any information, data, schedules, 
                        books, accounts, financial records, reports, 
                        files, electronic communications, or other 
                        papers, things, or property belonging to or in 
                        use by the TARP, any entity established by the 
                        Secretary under this Act, any entity that is 
                        established by a Federal reserve bank and 
                        receives funding from the TARP, or any entity 
                        (other than a governmental unit) participating 
                        in a program established under the authority of 
                        this Act, and to the officers, employees, 
                        directors, independent public accountants, 
                        financial advisors and any and all other agents 
                        and representatives thereof, at such time as 
                        the Comptroller General may request.
                            ``(ii) Verification.--The Comptroller 
                        General shall be afforded full facilities for 
                        verifying transactions with the balances or 
                        securities held by, among others, depositories, 
                        fiscal agents, and custodians.
                            ``(iii) Copies.--The Comptroller General 
                        may make and retain copies of such books, 
                        accounts, and other records as the Comptroller 
                        General determines appropriate.
                    ``(D) Agreement by entities.--Each contract, term 
                sheet, or other agreement between the Secretary or the 
                TARP (or any TARP vehicle, officer, director, employee, 
                independent public accountant, financial advisor, or 
                other TARP agent or representative) and an entity 
                (other than a governmental unit) participating in a 
                program established under this Act shall provide for 
                access by the Comptroller General in accordance with 
                this section.
                    ``(E) Restriction on public disclosure.--
                            ``(i) In general.--The Comptroller General 
                        may not publicly disclose proprietary or trade 
                        secret information obtained under this section.
                            ``(ii) Exception for congressional 
                        committees.--This subparagraph does not limit 
                        disclosures to congressional committees or 
                        members thereof having jurisdiction over a 
                        private or public entity referred to under 
                        subparagraph (C).
                            ``(iii) Rule of construction.--Nothing in 
                        this section shall be construed to alter or 
                        amend the prohibitions against the disclosure 
                        of trade secrets or other information 
                        prohibited by section 1905 of title 18, United 
                        States Code, section 714(c) of title 31, United 
                        States Code, or other applicable provisions of 
                        law.''.

            TITLE VII--PROTECTING TENANTS AT FORECLOSURE ACT

SEC. 701. SHORT TITLE.

    This title may be cited as the ``Protecting Tenants at Foreclosure 
Act of 2009''.

SEC. 702. EFFECT OF FORECLOSURE ON PREEXISTING TENANCY.

    (a) In General.--In the case of any foreclosure on a federally-
related mortgage loan or on any dwelling or residential real property 
after the date of enactment of this title, any immediate successor in 
interest in such property pursuant to the foreclosure shall assume such 
interest subject to--
            (1) the provision, by such successor in interest of a 
        notice to vacate to any bona fide tenant at least 90 days 
        before the effective date of such notice; and
            (2) the rights of any bona fide tenant, as of the date of 
        such notice of foreclosure--
                    (A) under any bona fide lease entered into before 
                the notice of foreclosure to occupy the premises until 
                the end of the remaining term of the lease, except that 
                a successor in interest may terminate a lease effective 
                on the date of sale of the unit to a purchaser who will 
                occupy the unit as a primary residence, subject to the 
                receipt by the tenant of the 90 day notice under 
                paragraph (1); or
                    (B) without a lease or with a lease terminable at 
                will under State law, subject to the receipt by the 
                tenant of the 90 day notice under subsection (1),
        except that nothing under this section shall affect the 
        requirements for termination of any Federal- or State-
        subsidized tenancy or of any State or local law that provides 
        longer time periods or other additional protections for 
        tenants.
    (b) Bona Fide Lease or Tenancy.--For purposes of this section, a 
lease or tenancy shall be considered bona fide only if--
            (1) the mortgagor under the contract is not the tenant;
            (2) the lease or tenancy was the result of an arms-length 
        transaction; or
            (3) the lease or tenancy requires the receipt of rent that 
        is not substantially less than fair market rent for the 
        property.
    (c) Definition.--For purposes of this section, the term 
``federally-related mortgage loan'' has the same meaning as in section 
3 of the Real Estate Settlement Procedures Act of 1974 (12 U.S.C. 
2602).

SEC. 703. EFFECT OF FORECLOSURE ON SECTION 8 TENANCIES.

    Section 8(o)(7) of the United States Housing Act of 1937 (42 U.S.C. 
1437f(o)(7)) is amended--
            (1) by inserting before the semicolon in subparagraph (C) 
        the following: ``and in the case of an owner who is an 
        immediate successor in interest pursuant to foreclosure during 
        the initial term of the lease vacating the property prior to 
        sale shall not constitute other good cause, except that the 
        owner may terminate the tenancy effective on the date of 
        transfer of the unit to the owner if the owner--
                            ``(i) will occupy the unit as a primary 
                        residence; and
                            ``(ii) has provided the tenant a notice to 
                        vacate at least 90 days before the effective 
                        date of such notice.''; and
            (2) by inserting at the end of subparagraph (F) the 
        following: ``In the case of any foreclosure on any federally-
        related mortgage loan (as that term is defined in section 3 of 
        the Real Estate Settlement Procedures Act of 1974 (12 U.S.C. 
        2602)) or on any residential real property in which a recipient 
        of assistance under this subsection resides, the immediate 
        successor in interest in such property pursuant to the 
        foreclosure shall assume such interest subject to the lease 
        between the prior owner and the tenant and to the housing 
        assistance payments contract between the prior owner and the 
        public housing agency for the occupied unit, except that this 
        provision and the provisions related to foreclosure in 
        subparagraph (C) shall not shall not affect any State or local 
        law that provides longer time periods or other additional 
        protections for tenants.''.

SEC. 704. SUNSET.

    This title, and any amendments made by this title are repealed, and 
the requirements under this title shall terminate, on December 31, 
2012.

      TITLE VIII--COMPTROLLER GENERAL ADDITIONAL AUDIT AUTHORITIES

SEC. 801. COMPTROLLER GENERAL ADDITIONAL AUDIT AUTHORITIES.

    (a) Board of Governors of the Federal Reserve System.--Section 714 
of title 31, United States Code, is amended--
            (1) in subsection (a), by striking ``Federal Reserve 
        Board,'' and inserting ``Board of Governors of the Federal 
        Reserve System (in this section referred to as the `Board'),''; 
        and
            (2) in subsection (b)--
                    (A) in the matter preceding paragraph (1), by 
                striking ``Federal Reserve Board,'' and inserting 
                ``Board''; and
                    (B) in paragraph (4), by striking ``of Governors''.
    (b) Confidential Information.--Section 714(c) of title 31, United 
States Code, is amended by striking paragraph (3) and inserting the 
following:
            ``(3) Except as provided under paragraph (4), an officer or 
        employee of the Government Accountability Office may not 
        disclose to any person outside the Government Accountability 
        Office information obtained in audits or examinations conducted 
        under subsection (e) and maintained as confidential by the 
        Board or the Federal reserve banks.
            ``(4) This subsection shall not--
                    ``(A) authorize an officer or employee of an agency 
                to withhold information from any committee or 
                subcommittee of jurisdiction of Congress, or any member 
                of such committee or subcommittee; or
                    ``(B) limit any disclosure by the Government 
                Accountability Office to any committee or subcommittee 
                of jurisdiction of Congress, or any member of such 
                committee or subcommittee.''.
    (c) Access to Records.--Section 714(d) of title 31, United States 
Code, is amended--
            (1) in paragraph (1), by inserting ``The Comptroller 
        General shall have access to the officers, employees, 
        contractors, and other agents and representatives of an agency 
        and any entity established by an agency at any reasonable time 
        as the Comptroller General may request. The Comptroller General 
        may make and retain copies of such books, accounts, and other 
        records as the Comptroller General determines appropriate.'' 
        after the first sentence;
            (2) in paragraph (2), by inserting ``, copies of any 
        record,'' after ``records''; and
            (3) by adding at the end the following:
            ``(3)(A) For purposes of conducting audits and examinations 
        under subsection (e), the Comptroller General shall have 
        access, upon request, to any information, data, schedules, 
        books, accounts, financial records, reports, files, electronic 
        communications, or other papers, things or property belonging 
        to or in use by--
                    ``(i) any entity established by any action taken by 
                the Board described under subsection (e);
                    ``(ii) any entity receiving assistance from any 
                action taken by the Board described under subsection 
                (e), to the extent that the access and request relates 
                to that assistance; and
                    ``(iii) the officers, directors, employees, 
                independent public accountants, financial advisors and 
                any and all representatives of any entity described 
                under clause (i) or (ii); to the extent that the access 
                and request relates to that assistance;
            ``(B) The Comptroller General shall have access as provided 
        under subparagraph (A) at such time as the Comptroller General 
        may request.
            ``(C) Each contract, term sheet, or other agreement between 
        the Board or any Federal reserve bank (or any entity 
        established by the Board or any Federal reserve bank) and an 
        entity receiving assistance from any action taken by the Board 
        described under subsection (e) shall provide for access by the 
        Comptroller General in accordance with this paragraph.''.
    (d) Audits of Certain Actions of the Board of Governors of the 
Federal Reserve System.--Section 714 of title 31, United States Code, 
is amended by adding at the end the following:
    ``(e) Notwithstanding subsection (b), the Comptroller General may 
conduct audits, including onsite examinations when the Comptroller 
General determines such audits and examinations are appropriate, of any 
action taken by the Board under the third undesignated paragraph of 
section 13 of the Federal Reserve Act (12 U.S.C. 343); with respect to 
a single and specific partnership or corporation.''.

                    DIVISION B--HOMELESSNESS REFORM

SEC. 1001. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This division may be cited as the ``Homeless 
Emergency Assistance and Rapid Transition to Housing Act of 2009''.
    (b) Table of Contents.--The table of contents for this division is 
as follows:

                    DIVISION B--HOMELESSNESS REFORM

Sec. 1001. Short title; table of contents.
Sec. 1002. Findings and purposes.
Sec. 1003. Definition of homelessness.
Sec. 1004. United States Interagency Council on Homelessness.
             TITLE I--HOUSING ASSISTANCE GENERAL PROVISIONS

Sec. 1101. Definitions.
Sec. 1102. Community homeless assistance planning boards.
Sec. 1103. General provisions.
Sec. 1104. Protection of personally identifying information by victim 
                            service providers.
Sec. 1105. Authorization of appropriations.
              TITLE II--EMERGENCY SOLUTIONS GRANTS PROGRAM

Sec. 1201. Grant assistance.
Sec. 1202. Eligible activities.
Sec. 1203. Participation in Homeless Management Information System.
Sec. 1204. Administrative provision.
Sec. 1205. GAO study of administrative fees.
                  TITLE III--CONTINUUM OF CARE PROGRAM

Sec. 1301. Continuum of care.
Sec. 1302. Eligible activities.
Sec. 1303. High performing communities.
Sec. 1304. Program requirements.
Sec. 1305. Selection criteria, allocation amounts, and funding.
Sec. 1306. Research.
          TITLE IV--RURAL HOUSING STABILITY ASSISTANCE PROGRAM

Sec. 1401. Rural housing stability assistance.
Sec. 1402. GAO study of homelessness and homeless assistance in rural 
                            areas.
               TITLE V--REPEALS AND CONFORMING AMENDMENTS

Sec. 1501. Repeals.
Sec. 1502. Conforming amendments.
Sec. 1503. Effective date.
Sec. 1504. Regulations.
Sec. 1505. Amendment to table of contents.

SEC. 1002. FINDINGS AND PURPOSES.

    (a) Findings.--The Congress finds that--
            (1) a lack of affordable housing and limited scale of 
        housing assistance programs are the primary causes of 
        homelessness; and
            (2) homelessness affects all types of communities in the 
        United States, including rural, urban, and suburban areas.
    (b) Purposes.--The purposes of this division are--
            (1) to consolidate the separate homeless assistance 
        programs carried out under title IV of the McKinney-Vento 
        Homeless Assistance Act (consisting of the supportive housing 
        program and related innovative programs, the safe havens 
        program, the section 8 assistance program for single-room 
        occupancy dwellings, and the shelter plus care program) into a 
        single program with specific eligible activities;
            (2) to codify in Federal law the continuum of care planning 
        process as a required and integral local function necessary to 
        generate the local strategies for ending homelessness; and
            (3) to establish a Federal goal of ensuring that 
        individuals and families who become homeless return to 
        permanent housing within 30 days.

SEC. 1003. DEFINITION OF HOMELESSNESS.

    (a) In General.--Section 103 of the McKinney-Vento Homeless 
Assistance Act (42 U.S.C. 11302) is amended--
            (1) by redesignating subsections (b) and (c) as subsections 
        (c) and (d); and
            (2) by striking subsection (a) and inserting the following:
    ``(a) In General.--For purposes of this Act, the terms `homeless', 
`homeless individual', and `homeless person' means--
            ``(1) an individual or family who lacks a fixed, regular, 
        and adequate nighttime residence;
            ``(2) an individual or family with a primary nighttime 
        residence that is a public or private place not designed for or 
        ordinarily used as a regular sleeping accommodation for human 
        beings, including a car, park, abandoned building, bus or train 
        station, airport, or camping ground;
            ``(3) an individual or family living in a supervised 
        publicly or privately operated shelter designated to provide 
        temporary living arrangements (including hotels and motels paid 
        for by Federal, State, or local government programs for low-
        income individuals or by charitable organizations, congregate 
        shelters, and transitional housing);
            ``(4) an individual who resided in a shelter or place not 
        meant for human habitation and who is exiting an institution 
        where he or she temporarily resided;
            ``(5) an individual or family who--
                    ``(A) will imminently lose their housing, including 
                housing they own, rent, or live in without paying rent, 
                are sharing with others, and rooms in hotels or motels 
                not paid for by Federal, State, or local government 
                programs for low-income individuals or by charitable 
                organizations, as evidenced by--
                            ``(i) a court order resulting from an 
                        eviction action that notifies the individual or 
                        family that they must leave within 14 days;
                            ``(ii) the individual or family having a 
                        primary nighttime residence that is a room in a 
                        hotel or motel and where they lack the 
                        resources necessary to reside there for more 
                        than 14 days; or
                            ``(iii) credible evidence indicating that 
                        the owner or renter of the housing will not 
                        allow the individual or family to stay for more 
                        than 14 days, and any oral statement from an 
                        individual or family seeking homeless 
                        assistance that is found to be credible shall 
                        be considered credible evidence for purposes of 
                        this clause;
                    ``(B) has no subsequent residence identified; and
                    ``(C) lacks the resources or support networks 
                needed to obtain other permanent housing; and
            ``(6) unaccompanied youth and homeless families with 
        children and youth defined as homeless under other Federal 
        statutes who--
                    ``(A) have experienced a long term period without 
                living independently in permanent housing,
                    ``(B) have experienced persistent instability as 
                measured by frequent moves over such period, and
                    ``(C) can be expected to continue in such status 
                for an extended period of time because of chronic 
                disabilities, chronic physical health or mental health 
                conditions, substance addiction, histories of domestic 
                violence or childhood abuse, the presence of a child or 
                youth with a disability, or multiple barriers to 
                employment.
    ``(b) Domestic Violence and Other Dangerous or Life-Threatening 
Conditions.--Notwithstanding any other provision of this section, the 
Secretary shall consider to be homeless any individual or family who is 
fleeing, or is attempting to flee, domestic violence, dating violence, 
sexual assault, stalking, or other dangerous or life-threatening 
conditions in the individual's or family's current housing situation, 
including where the health and safety of children are jeopardized, and 
who have no other residence and lack the resources or support networks 
to obtain other permanent housing.''.
    (b) Regulations.--Not later than the expiration of the 6-month 
period beginning upon the date of the enactment of this division, the 
Secretary of Housing and Urban Development shall issue regulations that 
provide sufficient guidance to recipients of funds under title IV of 
the McKinney-Vento Homeless Assistance Act to allow uniform and 
consistent implementation of the requirements of section 103 of such 
Act, as amended by subsection (a) of this section. This subsection 
shall take effect on the date of the enactment of this division.
    (c) Clarification of Effect on Other Laws.--This section and the 
amendments made by this section to section 103 of the McKinney-Vento 
Homeless Assistance Act (42 U.S.C. 11302) may not be construed to 
affect, alter, limit, annul, or supersede any other provision of 
Federal law providing a definition of ``homeless'', ``homeless 
individual'', or ``homeless person'' for purposes other than such Act, 
except to the extent that such provision refers to such section 103 or 
the definition provided in such section 103.

SEC. 1004. UNITED STATES INTERAGENCY COUNCIL ON HOMELESSNESS.

    (a) In General.--Title II of the McKinney-Vento Homeless Assistance 
Act (42 U.S.C. 11311 et seq.) is amended--
            (1) in section 201 (42 U.S.C. 11311), by inserting before 
        the period at the end the following ``whose mission shall be to 
        coordinate the Federal response to homelessness and to create a 
        national partnership at every level of government and with the 
        private sector to reduce and end homelessness in the nation 
        while maximizing the effectiveness of the Federal Government in 
        contributing to the end of homelessness'';
            (2) in section 202 (42 U.S.C. 11312)--
                    (A) in subsection (a)--
                            (i) by redesignating paragraph (16) as 
                        paragraph (22); and
                            (ii) by inserting after paragraph (15) the 
                        following:
            ``(16) The Commissioner of Social Security, or the designee 
        of the Commissioner.
            ``(17) The Attorney General of the United States, or the 
        designee of the Attorney General.
            ``(18) The Director of the Office of Management and Budget, 
        or the designee of the Director.
            ``(19) The Director of the Office of Faith-Based and 
        Community Initiatives, or the designee of the Director.
            ``(20) The Director of USA FreedomCorps, or the designee of 
        the Director.'';
                    (B) in subsection (c), by striking ``annually'' and 
                inserting ``four times each year, and the rotation of 
                the positions of Chairperson and Vice Chairperson 
                required under subsection (b) shall occur at the first 
                meeting of each year''; and
                    (C) by adding at the end the following:
    ``(e) Administration.--The Executive Director of the Council shall 
report to the Chairman of the Council.'';
            (3) in section 203(a) (42 U.S.C. 11313(a))--
                    (A) by redesignating paragraphs (1), (2), (3), (4), 
                (5), (6), and (7) as paragraphs (2), (3), (4), (5), 
                (9), (10), and (11), respectively;
                    (B) by inserting before paragraph (2), as so 
                redesignated by subparagraph (A), the following:
            ``(1) not later than 12 months after the date of the 
        enactment of the Homeless Emergency Assistance and Rapid 
        Transition to Housing Act of 2009, develop, make available for 
        public comment, and submit to the President and to Congress a 
        National Strategic Plan to End Homelessness, and shall update 
        such plan annually;'';
                    (C) in paragraph (5), as redesignated by 
                subparagraph (A), by striking ``at least 2, but in no 
                case more than 5'' and inserting ``not less than 5, but 
                in no case more than 10'';
                    (D) by inserting after paragraph (5), as so 
                redesignated by subparagraph (A), the following:
            ``(6) encourage the creation of State Interagency Councils 
        on Homelessness and the formulation of jurisdictional 10-year 
        plans to end homelessness at State, city, and county levels;
            ``(7) annually obtain from Federal agencies their 
        identification of consumer-oriented entitlement and other 
        resources for which persons experiencing homelessness may be 
        eligible and the agencies' identification of improvements to 
        ensure access; develop mechanisms to ensure access by persons 
        experiencing homelessness to all Federal, State, and local 
        programs for which the persons are eligible, and to verify 
        collaboration among entities within a community that receive 
        Federal funding under programs targeted for persons 
        experiencing homelessness, and other programs for which persons 
        experiencing homelessness are eligible, including mainstream 
        programs identified by the Government Accountability Office in 
        the reports entitled `Homelessness: Coordination and Evaluation 
        of Programs Are Essential', issued February 26, 1999, and 
        `Homelessness: Barriers to Using Mainstream Programs', issued 
        July 6, 2000;
            ``(8) conduct research and evaluation related to its 
        functions as defined in this section;
            ``(9) develop joint Federal agency and other initiatives to 
        fulfill the goals of the agency;'';
                    (E) in paragraph (10), as so redesignated by 
                subparagraph (A), by striking ``and'' at the end;
                    (F) in paragraph (11), as so redesignated by 
                subparagraph (A), by striking the period at the end and 
                inserting a semicolon;
                    (G) by adding at the end the following new 
                paragraphs:
            ``(12) develop constructive alternatives to criminalizing 
        homelessness and eliminate laws and policies that prohibit 
        sleeping, feeding, sitting, resting, or lying in public spaces 
        when there are no suitable alternatives, result in the 
        destruction of a homeless person's property without due 
        process, or are selectively enforced against homeless persons; 
        and
            ``(13) not later than the expiration of the 6-month period 
        beginning upon completion of the study requested in a letter to 
        the Acting Comptroller General from the Chair and Ranking 
        Member of the House Financial Services Committee and several 
        other members regarding various definitions of homelessness in 
        Federal statutes, convene a meeting of representatives of all 
        Federal agencies and committees of the House of Representatives 
        and the Senate having jurisdiction over any Federal program to 
        assist homeless individuals or families, local and State 
        governments, academic researchers who specialize in 
        homelessness, nonprofit housing and service providers that 
        receive funding under any Federal program to assist homeless 
        individuals or families, organizations advocating on behalf of 
        such nonprofit providers and homeless persons receiving housing 
        or services under any such Federal program, and homeless 
        persons receiving housing or services under any such Federal 
        program, at which meeting such representatives shall discuss 
        all issues relevant to whether the definitions of `homeless' 
        under paragraphs (1) through (4) of section 103(a) of the 
        McKinney-Vento Homeless Assistance Act, as amended by section 
        1003 of the Homeless Emergency Assistance and Rapid Transition 
        to Housing Act of 2009, should be modified by the Congress, 
        including whether there is a compelling need for a uniform 
        definition of homelessness under Federal law, the extent to 
        which the differences in such definitions create barriers for 
        individuals to accessing services and to collaboration between 
        agencies, and the relative availability, and barriers to access 
        by persons defined as homeless, of mainstream programs 
        identified by the Government Accountability Office in the two 
        reports identified in paragraph (7) of this subsection; and 
        shall submit transcripts of such meeting, and any majority and 
        dissenting recommendations from such meetings, to each 
        committee of the House of Representatives and the Senate having 
        jurisdiction over any Federal program to assist homeless 
        individuals or families not later than the expiration of the 
        60-day period beginning upon conclusion of such meeting.''.
            (4) in section 203(b)(1) (42 U.S.C. 11313(b))--
                    (A) by striking ``Federal'' and inserting 
                ``national'';
                    (B) by striking ``; and'' and inserting ``and pay 
                for expenses of attendance at meetings which are 
                concerned with the functions or activities for which 
                the appropriation is made;'';
            (5) in section 205(d) (42 U.S.C. 11315(d)), by striking 
        ``property.'' and inserting ``property, both real and personal, 
        public and private, without fiscal year limitation, for the 
        purpose of aiding or facilitating the work of the Council.''; 
        and
            (6) by striking section 208 (42 U.S.C. 11318) and inserting 
        the following:

``SEC. 208. AUTHORIZATION OF APPROPRIATIONS.

    ``There are authorized to be appropriated to carry out this title 
$3,000,000 for fiscal year 2010 and such sums as may be necessary for 
fiscal years 2011. Any amounts appropriated to carry out this title 
shall remain available until expended.''.
    (b) Effective Date.--The amendments made by subsection (a) shall 
take effect on, and shall apply beginning on, the date of the enactment 
of this division.

             TITLE I--HOUSING ASSISTANCE GENERAL PROVISIONS

SEC. 1101. DEFINITIONS.

    Subtitle A of title IV of the McKinney-Vento Homeless Assistance 
Act (42 U.S.C. 11361 et seq.) is amended--
            (1) by striking the subtitle heading and inserting the 
        following:

                  ``Subtitle A--General Provisions'';

            (2) by redesignating sections 401 and 402 (42 U.S.C. 11361, 
        11362) as sections 403 and 406, respectively; and
            (3) by inserting before section 403 (as so redesignated by 
        paragraph (2) of this section) the following new section:

``SEC. 401. DEFINITIONS.

    ``For purposes of this title:
            ``(1) At risk of homelessness.--The term `at risk of 
        homelessness' means, with respect to an individual or family, 
        that the individual or family--
                    ``(A) has income below 30 percent of median income 
                for the geographic area;
                    ``(B) has insufficient resources immediately 
                available to attain housing stability; and
                    ``(C)(i) has moved frequently because of economic 
                reasons;
                    ``(ii) is living in the home of another because of 
                economic hardship;
                    ``(iii) has been notified that their right to 
                occupy their current housing or living situation will 
                be terminated;
                    ``(iv) lives in a hotel or motel;
                    ``(v) lives in severely overcrowded housing;
                    ``(vi) is exiting an institution; or
                    ``(vii) otherwise lives in housing that has 
                characteristics associated with instability and an 
                increased risk of homelessness.
                Such term includes all families with children and youth 
                defined as homeless under other Federal statutes.
            ``(2) Chronically homeless.--
                    ``(A) In general.--The term `chronically homeless' 
                means, with respect to an individual or family, that 
                the individual or family--
                            ``(i) is homeless and lives or resides in a 
                        place not meant for human habitation, a safe 
                        haven, or in an emergency shelter;
                            ``(ii) has been homeless and living or 
                        residing in a place not meant for human 
                        habitation, a safe haven, or in an emergency 
                        shelter continuously for at least 1 year or on 
                        at least 4 separate occasions in the last 3 
                        years; and
                            ``(iii) has an adult head of household (or 
                        a minor head of household if no adult is 
                        present in the household) with a diagnosable 
                        substance use disorder, serious mental illness, 
                        developmental disability (as defined in section 
                        102 of the Developmental Disabilities 
                        Assistance and Bill of Rights Act of 2000 (42 
                        U.S.C. 15002)), post traumatic stress disorder, 
                        cognitive impairments resulting from a brain 
                        injury, or chronic physical illness or 
                        disability, including the co-occurrence of 2 or 
                        more of those conditions.
                    ``(B) Rule of construction.--A person who currently 
                lives or resides in an institutional care facility, 
                including a jail, substance abuse or mental health 
                treatment facility, hospital or other similar facility, 
                and has resided there for fewer than 90 days shall be 
                considered chronically homeless if such person met all 
                of the requirements described in subparagraph (A) prior 
                to entering that facility.
            ``(3) Collaborative applicant.--The term `collaborative 
        applicant' means an entity that--
                    ``(A) carries out the duties specified in section 
                402;
                    ``(B) serves as the applicant for project sponsors 
                who jointly submit a single application for a grant 
                under subtitle C in accordance with a collaborative 
                process; and
                    ``(C) if the entity is a legal entity and is 
                awarded such grant, receives such grant directly from 
                the Secretary.
            ``(4) Collaborative application.--The term `collaborative 
        application' means an application for a grant under subtitle C 
        that--
                    ``(A) satisfies section 422; and
                    ``(B) is submitted to the Secretary by a 
                collaborative applicant.
            ``(5) Consolidated plan.--The term `Consolidated Plan' 
        means a comprehensive housing affordability strategy and 
        community development plan required in part 91 of title 24, 
        Code of Federal Regulations.
            ``(6) Eligible entity.--The term `eligible entity' means, 
        with respect to a subtitle, a public entity, a private entity, 
        or an entity that is a combination of public and private 
        entities, that is eligible to directly receive grant amounts 
        under such subtitle.
            ``(7) Families with children and youth defined as homeless 
        under other federal statutes.--The term `families with children 
        and youth defined as homeless under other Federal statutes' 
        means any children or youth that are defined as `homeless' 
        under any Federal statute other than this subtitle, but are not 
        defined as homeless under section 103, and shall also include 
        the parent, parents, or guardian of such children or youth 
        under subtitle B of title VII this Act (42 U.S.C. 11431 et 
        seq.).
            ``(8) Geographic area.--The term `geographic area' means a 
        State, metropolitan city, urban county, town, village, or other 
        nonentitlement area, or a combination or consortia of such, in 
        the United States, as described in section 106 of the Housing 
        and Community Development Act of 1974 (42 U.S.C. 5306).
            ``(9) Homeless individual with a disability.--
                    ``(A) In general.--The term `homeless individual 
                with a disability' means an individual who is homeless, 
                as defined in section 103, and has a disability that--
                            ``(i)(I) is expected to be long-continuing 
                        or of indefinite duration;
                            ``(II) substantially impedes the 
                        individual's ability to live independently;
                            ``(III) could be improved by the provision 
                        of more suitable housing conditions; and
                            ``(IV) is a physical, mental, or emotional 
                        impairment, including an impairment caused by 
                        alcohol or drug abuse, post traumatic stress 
                        disorder, or brain injury;
                            ``(ii) is a developmental disability, as 
                        defined in section 102 of the Developmental 
                        Disabilities Assistance and Bill of Rights Act 
                        of 2000 (42 U.S.C. 15002); or
                            ``(iii) is the disease of acquired 
                        immunodeficiency syndrome or any condition 
                        arising from the etiologic agency for acquired 
                        immunodeficiency syndrome.
                    ``(B) Rule.--Nothing in clause (iii) of 
                subparagraph (A) shall be construed to limit 
                eligibility under clause (i) or (ii) of subparagraph 
                (A).
            ``(10) Legal entity.--The term `legal entity' means--
                    ``(A) an entity described in section 501(c)(3) of 
                the Internal Revenue Code of 1986 (26 U.S.C. 501(c)(3)) 
                and exempt from tax under section 501(a) of such Code;
                    ``(B) an instrumentality of State or local 
                government; or
                    ``(C) a consortium of instrumentalities of State or 
                local governments that has constituted itself as an 
                entity.
            ``(11) Metropolitan city; urban county; nonentitlement 
        area.--The terms `metropolitan city', `urban county', and 
        `nonentitlement area' have the meanings given such terms in 
        section 102(a) of the Housing and Community Development Act of 
        1974 (42 U.S.C. 5302(a)).
            ``(12) New.--The term `new' means, with respect to housing, 
        that no assistance has been provided under this title for the 
        housing.
            ``(13) Operating costs.--The term `operating costs' means 
        expenses incurred by a project sponsor operating transitional 
        housing or permanent housing under this title with respect to--
                    ``(A) the administration, maintenance, repair, and 
                security of such housing;
                    ``(B) utilities, fuel, furnishings, and equipment 
                for such housing; or
                    ``(C) coordination of services as needed to ensure 
                long-term housing stability.
            ``(14) Outpatient health services.--The term `outpatient 
        health services' means outpatient health care services, mental 
        health services, and outpatient substance abuse services.
            ``(15) Permanent housing.--The term `permanent housing' 
        means community-based housing without a designated length of 
        stay, and includes both permanent supportive housing and 
        permanent housing without supportive services.
            ``(16) Personally identifying information.--The term 
        `personally identifying information' means individually 
        identifying information for or about an individual, including 
        information likely to disclose the location of a victim of 
        domestic violence, dating violence, sexual assault, or 
        stalking, including--
                    ``(A) a first and last name;
                    ``(B) a home or other physical address;
                    ``(C) contact information (including a postal, e-
                mail or Internet protocol address, or telephone or 
                facsimile number);
                    ``(D) a social security number; and
                    ``(E) any other information, including date of 
                birth, racial or ethnic background, or religious 
                affiliation, that, in combination with any other non-
                personally identifying information, would serve to 
                identify any individual.
            ``(17) Private nonprofit organization.--The term `private 
        nonprofit organization' means an organization--
                    ``(A) no part of the net earnings of which inures 
                to the benefit of any member, founder, contributor, or 
                individual;
                    ``(B) that has a voluntary board;
                    ``(C) that has an accounting system, or has 
                designated a fiscal agent in accordance with 
                requirements established by the Secretary; and
                    ``(D) that practices nondiscrimination in the 
                provision of assistance.
            ``(18) Project.--The term `project' means, with respect to 
        activities carried out under subtitle C, eligible activities 
        described in section 423(a), undertaken pursuant to a specific 
        endeavor, such as serving a particular population or providing 
        a particular resource.
            ``(19) Project-based.--The term `project-based' means, with 
        respect to rental assistance, that the assistance is provided 
        pursuant to a contract that--
                    ``(A) is between--
                            ``(i) the recipient or a project sponsor; 
                        and
                            ``(ii) an owner of a structure that exists 
                        as of the date the contract is entered into; 
                        and
                    ``(B) provides that rental assistance payments 
                shall be made to the owner and that the units in the 
                structure shall be occupied by eligible persons for not 
                less than the term of the contract.
            ``(20) Project sponsor.--The term `project sponsor' means, 
        with respect to proposed eligible activities, the organization 
        directly responsible for carrying out the proposed eligible 
        activities.
            ``(21) Recipient.--Except as used in subtitle B, the term 
        `recipient' means an eligible entity who--
                    ``(A) submits an application for a grant under 
                section 422 that is approved by the Secretary;
                    ``(B) receives the grant directly from the 
                Secretary to support approved projects described in the 
                application; and
                    ``(C)(i) serves as a project sponsor for the 
                projects; or
                    ``(ii) awards the funds to project sponsors to 
                carry out the projects.
            ``(22) Secretary.--The term `Secretary' means the Secretary 
        of Housing and Urban Development.
            ``(23) Serious mental illness.--The term `serious mental 
        illness' means a severe and persistent mental illness or 
        emotional impairment that seriously limits a person's ability 
        to live independently.
            ``(24) Solo applicant.--The term `solo applicant' means an 
        entity that is an eligible entity, directly submits an 
        application for a grant under subtitle C to the Secretary, and, 
        if awarded such grant, receives such grant directly from the 
        Secretary.
            ``(25) Sponsor-based.--The term `sponsor-based' means, with 
        respect to rental assistance, that the assistance is provided 
        pursuant to a contract that--
                    ``(A) is between--
                            ``(i) the recipient or a project sponsor; 
                        and
                            ``(ii) an independent entity that--
                                    ``(I) is a private organization; 
                                and
                                    ``(II) owns or leases dwelling 
                                units; and
                    ``(B) provides that rental assistance payments 
                shall be made to the independent entity and that 
                eligible persons shall occupy such assisted units.
            ``(26) State.--Except as used in subtitle B, the term 
        `State' means each of the several States, the District of 
        Columbia, the Commonwealth of Puerto Rico, the United States 
        Virgin Islands, Guam, American Samoa, the Commonwealth of the 
        Northern Mariana Islands, the Trust Territory of the Pacific 
        Islands, and any other territory or possession of the United 
        States.
            ``(27) Supportive services.--The term `supportive services' 
        means services that address the special needs of people served 
        by a project, including--
                    ``(A) the establishment and operation of a child 
                care services program for families experiencing 
                homelessness;
                    ``(B) the establishment and operation of an 
                employment assistance program, including providing job 
                training;
                    ``(C) the provision of outpatient health services, 
                food, and case management;
                    ``(D) the provision of assistance in obtaining 
                permanent housing, employment counseling, and 
                nutritional counseling;
                    ``(E) the provision of outreach services, advocacy, 
                life skills training, and housing search and counseling 
                services;
                    ``(F) the provision of mental health services, 
                trauma counseling, and victim services;
                    ``(G) the provision of assistance in obtaining 
                other Federal, State, and local assistance available 
                for residents of supportive housing (including mental 
                health benefits, employment counseling, and medical 
                assistance, but not including major medical equipment);
                    ``(H) the provision of legal services for purposes 
                including requesting reconsiderations and appeals of 
                veterans and public benefit claim denials and resolving 
                outstanding warrants that interfere with an 
                individual's ability to obtain and retain housing;
                    ``(I) the provision of--
                            ``(i) transportation services that 
                        facilitate an individual's ability to obtain 
                        and maintain employment; and
                            ``(ii) health care; and
                    ``(J) other supportive services necessary to obtain 
                and maintain housing.
            ``(28) Tenant-based.--The term `tenant-based' means, with 
        respect to rental assistance, assistance that--
                    ``(A) allows an eligible person to select a housing 
                unit in which such person will live using rental 
                assistance provided under subtitle C, except that if 
                necessary to assure that the provision of supportive 
                services to a person participating in a program is 
                feasible, a recipient or project sponsor may require 
                that the person live--
                            ``(i) in a particular structure or unit for 
                        not more than the first year of the 
                        participation;
                            ``(ii) within a particular geographic area 
                        for the full period of the participation, or 
                        the period remaining after the period referred 
                        to in subparagraph (A); and
                    ``(B) provides that a person may receive such 
                assistance and move to another structure, unit, or 
                geographic area if the person has complied with all 
                other obligations of the program and has moved out of 
                the assisted dwelling unit in order to protect the 
                health or safety of an individual who is or has been 
                the victim of domestic violence, dating violence, 
                sexual assault, or stalking, and who reasonably 
                believed he or she was imminently threatened by harm 
                from further violence if he or she remained in the 
                assisted dwelling unit.
            ``(29) Transitional housing.--The term `transitional 
        housing' means housing the purpose of which is to facilitate 
        the movement of individuals and families experiencing 
        homelessness to permanent housing within 24 months or such 
        longer period as the Secretary determines necessary.
            ``(30) Unified funding agency.--The term `unified funding 
        agency' means a collaborative applicant that performs the 
        duties described in section 402(g).
            ``(31) Underserved populations.--The term `underserved 
        populations' includes populations underserved because of 
        geographic location, underserved racial and ethnic populations, 
        populations underserved because of special needs (such as 
        language barriers, disabilities, alienage status, or age), and 
        any other population determined to be underserved by the 
        Secretary, as appropriate.
            ``(32) Victim service provider.--The term `victim service 
        provider' means a private nonprofit organization whose primary 
        mission is to provide services to victims of domestic violence, 
        dating violence, sexual assault, or stalking. Such term 
        includes rape crisis centers, battered women's shelters, 
        domestic violence transitional housing programs, and other 
        programs.
            ``(33) Victim services.--The term `victim services' means 
        services that assist domestic violence, dating violence, sexual 
        assault, or stalking victims, including services offered by 
        rape crisis centers and domestic violence shelters, and other 
        organizations, with a documented history of effective work 
        concerning domestic violence, dating violence, sexual assault, 
        or stalking.''.

SEC. 1102. COMMUNITY HOMELESS ASSISTANCE PLANNING BOARDS.

    Subtitle A of title IV of the McKinney-Vento Homeless Assistance 
Act (42 U.S.C. 11361 et seq.) is amended by inserting after section 401 
(as added by section 1101(3) of this division) the following new 
section:

``SEC. 402. COLLABORATIVE APPLICANTS.

    ``(a) Establishment and Designation.--A collaborative applicant 
shall be established for a geographic area by the relevant parties in 
that geographic area to--
            ``(1) submit an application for amounts under this 
        subtitle; and
            ``(2) perform the duties specified in subsection (f) and, 
        if applicable, subsection (g).
    ``(b) No Requirement To Be a Legal Entity.--An entity may be 
established to serve as a collaborative applicant under this section 
without being a legal entity.
    ``(c) Remedial Action.--If the Secretary finds that a collaborative 
applicant for a geographic area does not meet the requirements of this 
section, or if there is no collaborative applicant for a geographic 
area, the Secretary may take remedial action to ensure fair 
distribution of grant amounts under subtitle C to eligible entities 
within that area. Such measures may include designating another body as 
a collaborative applicant, or permitting other eligible entities to 
apply directly for grants.
    ``(d) Construction.--Nothing in this section shall be construed to 
displace conflict of interest or government fair practices laws, or 
their equivalent, that govern applicants for grant amounts under 
subtitles B and C.
    ``(e) Appointment of Agent.--
            ``(1) In general.--Subject to paragraph (2), a 
        collaborative applicant may designate an agent to--
                    ``(A) apply for a grant under section 422(c);
                    ``(B) receive and distribute grant funds awarded 
                under subtitle C; and
                    ``(C) perform other administrative duties.
            ``(2) Retention of duties.--Any collaborative applicant 
        that designates an agent pursuant to paragraph (1) shall 
        regardless of such designation retain all of its duties and 
        responsibilities under this title.
    ``(f) Duties.--A collaborative applicant shall--
            ``(1) design a collaborative process for the development of 
        an application under subtitle C, and for evaluating the 
        outcomes of projects for which funds are awarded under subtitle 
        B, in such a manner as to provide information necessary for the 
        Secretary--
                    ``(A) to determine compliance with--
                            ``(i) the program requirements under 
                        section 426; and
                            ``(ii) the selection criteria described 
                        under section 427; and
                    ``(B) to establish priorities for funding projects 
                in the geographic area involved;
            ``(2) participate in the Consolidated Plan for the 
        geographic area served by the collaborative applicant; and
            ``(3) ensure operation of, and consistent participation by, 
        project sponsors in a community-wide homeless management 
        information system (in this subsection referred to as `HMIS') 
        that--
                    ``(A) collects unduplicated counts of individuals 
                and families experiencing homelessness;
                    ``(B) analyzes patterns of use of assistance 
                provided under subtitles B and C for the geographic 
                area involved;
                    ``(C) provides information to project sponsors and 
                applicants for needs analyses and funding priorities; 
                and
                    ``(D) is developed in accordance with standards 
                established by the Secretary, including standards that 
                provide for--
                            ``(i) encryption of data collected for 
                        purposes of HMIS;
                            ``(ii) documentation, including keeping an 
                        accurate accounting, proper usage, and 
                        disclosure, of HMIS data;
                            ``(iii) access to HMIS data by staff, 
                        contractors, law enforcement, and academic 
                        researchers;
                            ``(iv) rights of persons receiving services 
                        under this title;
                            ``(v) criminal and civil penalties for 
                        unlawful disclosure of data; and
                            ``(vi) such other standards as may be 
                        determined necessary by the Secretary.
    ``(g) Unified Funding.--
            ``(1) In general.--In addition to the duties described in 
        subsection (f), a collaborative applicant shall receive from 
        the Secretary and distribute to other project sponsors in the 
        applicable geographic area funds for projects to be carried out 
        by such other project sponsors, if--
                    ``(A) the collaborative applicant--
                            ``(i) applies to undertake such collection 
                        and distribution responsibilities in an 
                        application submitted under this subtitle; and
                            ``(ii) is selected to perform such 
                        responsibilities by the Secretary; or
                    ``(B) the Secretary designates the collaborative 
                applicant as the unified funding agency in the 
                geographic area, after--
                            ``(i) a finding by the Secretary that the 
                        applicant--
                                    ``(I) has the capacity to perform 
                                such responsibilities; and
                                    ``(II) would serve the purposes of 
                                this Act as they apply to the 
                                geographic area; and
                            ``(ii) the Secretary provides the 
                        collaborative applicant with the technical 
                        assistance necessary to perform such 
                        responsibilities as such assistance is agreed 
                        to by the collaborative applicant.
            ``(2) Required actions by a unified funding agency.--A 
        collaborative applicant that is either selected or designated 
        as a unified funding agency for a geographic area under 
        paragraph (1) shall--
                    ``(A) require each project sponsor who is funded by 
                a grant received under subtitle C to establish such 
                fiscal control and fund accounting procedures as may be 
                necessary to assure the proper disbursal of, and 
                accounting for, Federal funds awarded to the project 
                sponsor under subtitle C in order to ensure that all 
                financial transactions carried out under subtitle C are 
                conducted, and records maintained, in accordance with 
                generally accepted accounting principles; and
                    ``(B) arrange for an annual survey, audit, or 
                evaluation of the financial records of each project 
                carried out by a project sponsor funded by a grant 
                received under subtitle C.
    ``(h) Conflict of Interest.--No board member of a collaborative 
applicant may participate in decisions of the collaborative applicant 
concerning the award of a grant, or provision of other financial 
benefits, to such member or the organization that such member 
represents.''.

SEC. 1103. GENERAL PROVISIONS.

    Subtitle A of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 
11361 et seq.) is amended by inserting after section 403 (as so 
redesignated by section 1101(2) of this division) the following new 
sections:

``SEC. 404. PREVENTING INVOLUNTARY FAMILY SEPARATION.

    ``(a) In General.--After the expiration of the 2-year period that 
begins upon the date of the enactment of the Homeless Emergency 
Assistance and Rapid Transition to Housing Act of 2009, and except as 
provided in subsection (b), any project sponsor receiving funds under 
this title to provide emergency shelter, transitional housing, or 
permanent housing to families with children under age 18 shall not deny 
admission to any family based on the age of any child under age 18.
    ``(b) Exception.--Notwithstanding the requirement under subsection 
(a), project sponsors of transitional housing receiving funds under 
this title may target transitional housing resources to families with 
children of a specific age only if the project sponsor--
            ``(1) operates a transitional housing program that has a 
        primary purpose of implementing an evidence-based practice that 
        requires that housing units be targeted to families with 
        children in a specific age group; and
            ``(2) provides such assurances, as the Secretary shall 
        require, that an equivalent appropriate alternative living 
        arrangement for the whole family or household unit has been 
        secured.

``SEC. 405. TECHNICAL ASSISTANCE.

    ``(a) In General.--The Secretary shall make available technical 
assistance to private nonprofit organizations and other nongovernmental 
entities, States, metropolitan cities, urban counties, and counties 
that are not urban counties, to implement effective planning processes 
for preventing and ending homelessness, to improve their capacity to 
prepare collaborative applications, to prevent the separation of 
families in emergency shelter or other housing programs, and to adopt 
and provide best practices in housing and services for persons 
experiencing homeless.
    ``(b) Reservation.--The Secretary shall reserve not more than 1 
percent of the funds made available for any fiscal year for carrying 
out subtitles B and C, to provide technical assistance under subsection 
(a).''.

SEC. 1104. PROTECTION OF PERSONALLY IDENTIFYING INFORMATION BY VICTIM 
              SERVICE PROVIDERS.

    Subtitle A of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 
11361 et seq.), as amended by the preceding provisions of this title, 
is further amended by adding at the end the following new section:

``SEC. 407. PROTECTION OF PERSONALLY IDENTIFYING INFORMATION BY VICTIM 
              SERVICE PROVIDERS.

    ``In the course of awarding grants or implementing programs under 
this title, the Secretary shall instruct any victim service provider 
that is a recipient or subgrantee not to disclose for purposes of the 
Homeless Management Information System any personally identifying 
information about any client. The Secretary may, after public notice 
and comment, require or ask such recipients and subgrantees to disclose 
for purposes of the Homeless Management Information System non-
personally identifying information that has been de-identified, 
encrypted, or otherwise encoded. Nothing in this section shall be 
construed to supersede any provision of any Federal, State, or local 
law that provides greater protection than this subsection for victims 
of domestic violence, dating violence, sexual assault, or stalking.''.

SEC. 1105. AUTHORIZATION OF APPROPRIATIONS.

    Subtitle A of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 
11361 et seq.), as amended by the preceding provisions of this title, 
is further amended by adding at the end the following new section:

``SEC. 408. AUTHORIZATION OF APPROPRIATIONS.

    ``There are authorized to be appropriated to carry out this title 
$2,200,000,000 for fiscal year 2010 and such sums as may be necessary 
for fiscal year 2011.''.

              TITLE II--EMERGENCY SOLUTIONS GRANTS PROGRAM

SEC. 1201. GRANT ASSISTANCE.

    Subtitle B of title IV of the McKinney-Vento Homeless Assistance 
Act (42 U.S.C. 11371 et seq.) is amended--
            (1) by striking the subtitle heading and inserting the 
        following:

          ``Subtitle B--Emergency Solutions Grants Program'';

            (2) by striking section 417 (42 U.S.C. 11377);
            (3) by redesignating sections 413 through 416 (42 U.S.C. 
        11373-6) as sections 414 through 417, respectively; and
            (4) by striking section 412 (42 U.S.C. 11372) and inserting 
        the following:

``SEC. 412. GRANT ASSISTANCE.

    ``The Secretary shall make grants to States and local governments 
(and to private nonprofit organizations providing assistance to persons 
experiencing homelessness or at risk of homelessness, in the case of 
grants made with reallocated amounts) for the purpose of carrying out 
activities described in section 415.

``SEC. 413. AMOUNT AND ALLOCATION OF ASSISTANCE.

    ``(a) In General.--Of the amount made available to carry out this 
subtitle and subtitle C for a fiscal year, the Secretary shall allocate 
nationally 20 percent of such amount for activities described in 
section 415. The Secretary shall be required to certify that such 
allocation will not adversely affect the renewal of existing projects 
under this subtitle and subtitle C for those individuals or families 
who are homeless.
    ``(b) Allocation.--An entity that receives a grant under section 
412, and serves an area that includes 1 or more geographic areas (or 
portions of such areas) served by collaborative applicants that submit 
applications under subtitle C, shall allocate the funds made available 
through the grant to carry out activities described in section 415, in 
consultation with the collaborative applicants.''; and
            (5) in section 414(b) (42 U.S.C. 11373(b)), as so 
        redesignated by paragraph (3) of this section, by striking 
        ``amounts appropriated'' and all that follows through ``for 
        any'' and inserting ``amounts appropriated under section 408 
        and made available to carry out this subtitle for any''.

SEC. 1202. ELIGIBLE ACTIVITIES.

    The McKinney-Vento Homeless Assistance Act is amended by striking 
section 415 (42 U.S.C. 11374), as so redesignated by section 1201(3) of 
this division, and inserting the following new section:

``SEC. 415. ELIGIBLE ACTIVITIES.

    ``(a) In General.--Assistance provided under section 412 may be 
used for the following activities:
            ``(1) The renovation, major rehabilitation, or conversion 
        of buildings to be used as emergency shelters.
            ``(2) The provision of essential services related to 
        emergency shelter or street outreach, including services 
        concerned with employment, health, education, family support 
        services for homeless youth, substance abuse services, victim 
        services, or mental health services, if--
                    ``(A) such essential services have not been 
                provided by the local government during any part of the 
                immediately preceding 12-month period or the Secretary 
                determines that the local government is in a severe 
                financial deficit; or
                    ``(B) the use of assistance under this subtitle 
                would complement the provision of those essential 
                services.
            ``(3) Maintenance, operation, insurance, provision of 
        utilities, and provision of furnishings related to emergency 
        shelter.
            ``(4) Provision of rental assistance to provide short-term 
        or medium-term housing to homeless individuals or families or 
        individuals or families at risk of homelessness. Such rental 
        assistance may include tenant-based or project-based rental 
        assistance.
            ``(5) Housing relocation or stabilization services for 
        homeless individuals or families or individuals or families at 
        risk of homelessness, including housing search, mediation or 
        outreach to property owners, legal services, credit repair, 
        providing security or utility deposits, utility payments, 
        rental assistance for a final month at a location, assistance 
        with moving costs, or other activities that are effective at--
                    ``(A) stabilizing individuals and families in their 
                current housing; or
                    ``(B) quickly moving such individuals and families 
                to other permanent housing.
    ``(b) Maximum Allocation for Emergency Shelter Activities.--A 
grantee of assistance provided under section 412 for any fiscal year 
may not use an amount of such assistance for activities described in 
paragraphs (1) through (3) of subsection (a) that exceeds the greater 
of--
            ``(1) 60 percent of the aggregate amount of such assistance 
        provided for the grantee for such fiscal year; or
            ``(2) the amount expended by such grantee for such 
        activities during fiscal year most recently completed before 
        the effective date under section 1503 of the Homeless Emergency 
        Assistance and Rapid Transition to Housing Act of 2009.''.

SEC. 1203. PARTICIPATION IN HOMELESS MANAGEMENT INFORMATION SYSTEM.

    Section 416 of the McKinney-Vento Homeless Assistance Act (42 
U.S.C. 11375), as so redesignated by section 1201(3) of this division, 
is amended by adding at the end the following new subsection:
    ``(f) Participation in HMIS.--The Secretary shall ensure that 
recipients of funds under this subtitle ensure the consistent 
participation by emergency shelters and homelessness prevention and 
rehousing programs in any applicable community-wide homeless management 
information system.''.

SEC. 1204. ADMINISTRATIVE PROVISION.

    Section 418 of the McKinney-Vento Homeless Assistance Act (42 
U.S.C. 11378) is amended by striking ``5 percent'' and inserting ``7.5 
percent''.

SEC. 1205. GAO STUDY OF ADMINISTRATIVE FEES.

    Not later than the expiration of the 12-month period beginning on 
the date of the enactment of this division, the Comptroller General of 
the United States shall--
            (1) conduct a study to examine the appropriate 
        administrative costs for administering the program authorized 
        under subtitle B of title IV of the McKinney-Vento Homeless 
        Assistance Act (42 U.S.C. 11371 et seq.); and
            (2) submit to Congress a report on the findings of the 
        study required under paragraph (1).

                  TITLE III--CONTINUUM OF CARE PROGRAM

SEC. 1301. CONTINUUM OF CARE.

    The McKinney-Vento Homeless Assistance Act is amended--
            (1) by striking the subtitle heading for subtitle C of 
        title IV (42 U.S.C. 11381 et seq.) and inserting the following:

             ``Subtitle C--Continuum of Care Program''; and

            (2) by striking sections 421 and 422 (42 U.S.C. 11381 and 
        11382) and inserting the following new sections:

``SEC. 421. PURPOSES.

    ``The purposes of this subtitle are--
            ``(1) to promote community-wide commitment to the goal of 
        ending homelessness;
            ``(2) to provide funding for efforts by nonprofit providers 
        and State and local governments to quickly rehouse homeless 
        individuals and families while minimizing the trauma and 
        dislocation caused to individuals, families, and communities by 
        homelessness;
            ``(3) to promote access to, and effective utilization of, 
        mainstream programs described in section 203(a)(7) and programs 
        funded with State or local resources; and
            ``(4) to optimize self-sufficiency among individuals and 
        families experiencing homelessness.

``SEC. 422. CONTINUUM OF CARE APPLICATIONS AND GRANTS.

    ``(a) Projects.--The Secretary shall award grants, on a competitive 
basis, and using the selection criteria described in section 427, to 
carry out eligible activities under this subtitle for projects that 
meet the program requirements under section 426, either by directly 
awarding funds to project sponsors or by awarding funds to unified 
funding agencies.
    ``(b) Notification of Funding Availability.--The Secretary shall 
release a notification of funding availability for grants awarded under 
this subtitle for a fiscal year not later than 3 months after the date 
of the enactment of the appropriate Act making appropriations for the 
Department of Housing and Urban Development for such fiscal year.
    ``(c) Applications.--
            ``(1) Submission to the secretary.--To be eligible to 
        receive a grant under subsection (a), a project sponsor or 
        unified funding agency in a geographic area shall submit an 
        application to the Secretary at such time and in such manner as 
        the Secretary may require, and containing such information as 
        the Secretary determines necessary--
                    ``(A) to determine compliance with the program 
                requirements and selection criteria under this 
                subtitle; and
                    ``(B) to establish priorities for funding projects 
                in the geographic area.
            ``(2) Announcement of awards.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), the Secretary shall announce, within 
                5 months after the last date for the submission of 
                applications described in this subsection for a fiscal 
                year, the grants conditionally awarded under subsection 
                (a) for that fiscal year.
                    ``(B) Transition.--For a period of up to 2 years 
                beginning after the effective date under section 1503 
                of the Homeless Emergency Assistance and Rapid 
                Transition to Housing Act of 2009, the Secretary shall 
                announce, within 6 months after the last date for the 
                submission of applications described in this subsection 
                for a fiscal year, the grants conditionally awarded 
                under subsection (a) for that fiscal year.
    ``(d) Obligation, Distribution, and Utilization of Funds.--
            ``(1) Requirements for obligation.--
                    ``(A) In general.--Not later than 9 months after 
                the announcement referred to in subsection (c)(2), each 
                recipient or project sponsor shall meet all 
                requirements for the obligation of those funds, 
                including site control, matching funds, and 
                environmental review requirements, except as provided 
                in subparagraphs (B) and (C).
                    ``(B) Acquisition, rehabilitation, or 
                construction.--Not later than 24 months after the 
                announcement referred to in subsection (c)(2), each 
                recipient or project sponsor seeking the obligation of 
                funds for acquisition of housing, rehabilitation of 
                housing, or construction of new housing for a grant 
                announced under subsection (c)(2) shall meet all 
                requirements for the obligation of those funds, 
                including site control, matching funds, and 
                environmental review requirements.
                    ``(C) Extensions.--At the discretion of the 
                Secretary, and in compelling circumstances, the 
                Secretary may extend the date by which a recipient or 
                project sponsor shall meet the requirements described 
                in subparagraphs (A) and (B) if the Secretary 
                determines that compliance with the requirements was 
                delayed due to factors beyond the reasonable control of 
                the recipient or project sponsor. Such factors may 
                include difficulties in obtaining site control for a 
                proposed project, completing the process of obtaining 
                secure financing for the project, obtaining approvals 
                from State or local governments, or completing the 
                technical submission requirements for the project.
            ``(2) Obligation.--Not later than 45 days after a recipient 
        or project sponsor meets the requirements described in 
        paragraph (1), the Secretary shall obligate the funds for the 
        grant involved.
            ``(3) Distribution.--A recipient that receives funds 
        through such a grant--
                    ``(A) shall distribute the funds to project 
                sponsors (in advance of expenditures by the project 
                sponsors); and
                    ``(B) shall distribute the appropriate portion of 
                the funds to a project sponsor not later than 45 days 
                after receiving a request for such distribution from 
                the project sponsor.
            ``(4) Expenditure of funds.--The Secretary may establish a 
        date by which funds made available through a grant announced 
        under subsection (c)(2) for a homeless assistance project shall 
        be entirely expended by the recipient or project sponsors 
        involved. The date established under this paragraph shall not 
        occur before the expiration of the 24-month period beginning on 
        the date that funds are obligated for activities described 
        under paragraphs (1) or (2) of section 423(a). The Secretary 
        shall recapture the funds not expended by such date. The 
        Secretary shall reallocate the funds for another homeless 
        assistance and prevention project that meets the requirements 
        of this subtitle to be carried out, if possible and 
        appropriate, in the same geographic area as the area served 
        through the original grant.
    ``(e) Renewal Funding for Unsuccessful Applicants.--The Secretary 
may renew funding for a specific project previously funded under this 
subtitle that the Secretary determines meets the purposes of this 
subtitle, and was included as part of a total application that met the 
criteria of subsection (c), even if the application was not selected to 
receive grant assistance. The Secretary may renew the funding for a 
period of not more than 1 year, and under such conditions as the 
Secretary determines to be appropriate.
    ``(f) Considerations in Determining Renewal Funding.--When 
providing renewal funding for leasing, operating costs, or rental 
assistance for permanent housing, the Secretary shall make adjustments 
proportional to increases in the fair market rents in the geographic 
area.
    ``(g) More Than 1 Application for a Geographic Area.--If more than 
1 collaborative applicant applies for funds for a geographic area, the 
Secretary shall award funds to the collaborative applicant with the 
highest score based on the selection criteria set forth in section 427.
    ``(h) Appeals.--
            ``(1) In general.--The Secretary shall establish a timely 
        appeal procedure for grant amounts awarded or denied under this 
        subtitle pursuant to a collaborative application or solo 
        application for funding.
            ``(2) Process.--The Secretary shall ensure that the 
        procedure permits appeals submitted by entities carrying out 
        homeless housing and services projects (including emergency 
        shelters and homelessness prevention programs), and all other 
        applicants under this subtitle.
    ``(i) Solo Applicants.--A solo applicant may submit an application 
to the Secretary for a grant under subsection (a) and be awarded such 
grant on the same basis as such grants are awarded to other applicants 
based on the criteria described in section 427, but only if the 
Secretary determines that the solo applicant has attempted to 
participate in the continuum of care process but was not permitted to 
participate in a reasonable manner. The Secretary may award such grants 
directly to such applicants in a manner determined to be appropriate by 
the Secretary.
    ``(j) Flexibility To Serve Persons Defined as Homeless Under Other 
Federal Laws.--
            ``(1) In general.--A collaborative applicant may use not 
        more than 10 percent of funds awarded under this subtitle 
        (continuum of care funding) for any of the types of eligible 
        activities specified in paragraphs (1) through (7) of section 
        423(a) to serve families with children and youth defined as 
        homeless under other Federal statutes, or homeless families 
        with children and youth defined as homeless under section 
        103(a)(6), but only if the applicant demonstrates that the use 
        of such funds is of an equal or greater priority or is equally 
        or more cost effective in meeting the overall goals and 
        objectives of the plan submitted under section 427(b)(1)(B), 
        especially with respect to children and unaccompanied youth.
            ``(2) Limitations.--The 10 percent limitation under 
        paragraph (1) shall not apply to collaborative applicants in 
        which the rate of homelessness, as calculated in the most 
        recent point in time count, is less than one-tenth of 1 percent 
        of total population.
            ``(3) Treatment of certain populations.--
                    ``(A) In general.--Notwithstanding section 103(a) 
                and subject to subparagraph (B), funds awarded under 
                this subtitle may be used for eligible activities to 
                serve unaccompanied youth and homeless families and 
                children defined as homeless under section 103(a)(6) 
                only pursuant to paragraph (1) of this subsection and 
                such families and children shall not otherwise be 
                considered as homeless for purposes of this subtitle.
                    ``(B) At risk of homelessness.--Subparagraph (A) 
                may not be construed to prevent any unaccompanied youth 
                and homeless families and children defined as homeless 
                under section 103(a)(6) from qualifying for, and being 
                treated for purposes of this subtitle as, at risk of 
                homelessness or from eligibility for any projects, 
                activities, or services carried out using amounts 
                provided under this subtitle for which individuals or 
                families that are at risk of homelessness are 
                eligible.''.

SEC. 1302. ELIGIBLE ACTIVITIES.

    The McKinney-Vento Homeless Assistance Act is amended by striking 
section 423 (42 U.S.C. 11383) and inserting the following new section:

``SEC. 423. ELIGIBLE ACTIVITIES.

    ``(a) In General.--Grants awarded under section 422 to qualified 
applicants shall be used to carry out projects that serve homeless 
individuals or families that consist of one or more of the following 
eligible activities:
            ``(1) Construction of new housing units to provide 
        transitional or permanent housing.
            ``(2) Acquisition or rehabilitation of a structure to 
        provide transitional or permanent housing, other than emergency 
        shelter, or to provide supportive services.
            ``(3) Leasing of property, or portions of property, not 
        owned by the recipient or project sponsor involved, for use in 
        providing transitional or permanent housing, or providing 
        supportive services.
            ``(4) Provision of rental assistance to provide 
        transitional or permanent housing to eligible persons. The 
        rental assistance may include tenant-based, project-based, or 
        sponsor-based rental assistance. Project-based rental 
        assistance, sponsor-based rental assistance, and operating cost 
        assistance contracts carried out by project sponsors receiving 
        grants under this section may, at the discretion of the 
        applicant and the project sponsor, have an initial term of 15 
        years, with assistance for the first 5 years paid with funds 
        authorized for appropriation under this Act, and assistance for 
        the remainder of the term treated as a renewal of an expiring 
        contract as provided in section 429. Project-based rental 
        assistance may include rental assistance to preserve existing 
        permanent supportive housing for homeless individuals and 
        families.
            ``(5) Payment of operating costs for housing units assisted 
        under this subtitle or for the preservation of housing that 
        will serve homeless individuals and families and for which 
        another form of assistance is expiring or otherwise no longer 
        available.
            ``(6) Supportive services for individuals and families who 
        are currently homeless, who have been homeless in the prior six 
        months but are currently residing in permanent housing, or who 
        were previously homeless and are currently residing in 
        permanent supportive housing.
            ``(7) Provision of rehousing services, including housing 
        search, mediation or outreach to property owners, credit 
        repair, providing security or utility deposits, rental 
        assistance for a final month at a location, assistance with 
        moving costs, or other activities that--
                    ``(A) are effective at moving homeless individuals 
                and families immediately into housing; or
                    ``(B) may benefit individuals and families who in 
                the prior 6 months have been homeless, but are 
                currently residing in permanent housing.
            ``(8) In the case of a collaborative applicant that is a 
        legal entity, performance of the duties described under section 
        402(f)(3).
            ``(9) Operation of, participation in, and ensuring 
        consistent participation by project sponsors in, a community-
        wide homeless management information system.
            ``(10) In the case of a collaborative applicant that is a 
        legal entity, payment of administrative costs related to 
        meeting the requirements described in paragraphs (1) and (2) of 
        section 402(f), for which the collaborative applicant may use 
        not more than 3 percent of the total funds made available in 
        the geographic area under this subtitle for such costs.
            ``(11) In the case of a collaborative applicant that is a 
        unified funding agency under section 402(g), payment of 
        administrative costs related to meeting the requirements of 
        that section, for which the unified funding agency may use not 
        more than 3 percent of the total funds made available in the 
        geographic area under this subtitle for such costs, in addition 
        to funds used under paragraph (10).
            ``(12) Payment of administrative costs to project sponsors, 
        for which each project sponsor may use not more than 10 percent 
        of the total funds made available to that project sponsor 
        through this subtitle for such costs.
    ``(b) Minimum Grant Terms.--The Secretary may impose minimum grant 
terms of up to 5 years for new projects providing permanent housing.
    ``(c) Use Restrictions.--
            ``(1) Acquisition, rehabilitation, and new construction.--A 
        project that consists of activities described in paragraph (1) 
        or (2) of subsection (a) shall be operated for the purpose 
        specified in the application submitted for the project under 
        section 422 for not less than 15 years.
            ``(2) Other activities.--A project that consists of 
        activities described in any of paragraphs (3) through (12) of 
        subsection (a) shall be operated for the purpose specified in 
        the application submitted for the project under section 422 for 
        the duration of the grant period involved.
            ``(3) Conversion.--If the recipient or project sponsor 
        carrying out a project that provides transitional or permanent 
        housing submits a request to the Secretary to carry out instead 
        a project for the direct benefit of low-income persons, and the 
        Secretary determines that the initial project is no longer 
        needed to provide transitional or permanent housing, the 
        Secretary may approve the project described in the request and 
        authorize the recipient or project sponsor to carry out that 
        project.
    ``(d) Repayment of Assistance and Prevention of Undue Benefits.--
            ``(1) Repayment.--If a recipient or project sponsor 
        receives assistance under section 422 to carry out a project 
        that consists of activities described in paragraph (1) or (2) 
        of subsection (a) and the project ceases to provide 
        transitional or permanent housing--
                    ``(A) earlier than 10 years after operation of the 
                project begins, the Secretary shall require the 
                recipient or project sponsor to repay 100 percent of 
                the assistance; or
                    ``(B) not earlier than 10 years, but earlier than 
                15 years, after operation of the project begins, the 
                Secretary shall require the recipient or project 
                sponsor to repay 20 percent of the assistance for each 
                of the years in the 15-year period for which the 
                project fails to provide that housing.
            ``(2) Prevention of undue benefits.--Except as provided in 
        paragraph (3), if any property is used for a project that 
        receives assistance under subsection (a) and consists of 
        activities described in paragraph (1) or (2) of subsection (a), 
        and the sale or other disposition of the property occurs before 
        the expiration of the 15-year period beginning on the date that 
        operation of the project begins, the recipient or project 
        sponsor who received the assistance shall comply with such 
        terms and conditions as the Secretary may prescribe to prevent 
        the recipient or project sponsor from unduly benefitting from 
        such sale or disposition.
            ``(3) Exception.--A recipient or project sponsor shall not 
        be required to make the repayments, and comply with the terms 
        and conditions, required under paragraph (1) or (2) if--
                    ``(A) the sale or disposition of the property used 
                for the project results in the use of the property for 
                the direct benefit of very low-income persons;
                    ``(B) all of the proceeds of the sale or 
                disposition are used to provide transitional or 
                permanent housing meeting the requirements of this 
                subtitle;
                    ``(C) project-based rental assistance or operating 
                cost assistance from any Federal program or an 
                equivalent State or local program is no longer made 
                available and the project is meeting applicable 
                performance standards, provided that the portion of the 
                project that had benefitted from such assistance 
                continues to meet the tenant income and rent 
                restrictions for low-income units under section 42(g) 
                of the Internal Revenue Code of 1986; or
                    ``(D) there are no individuals and families in the 
                geographic area who are homeless, in which case the 
                project may serve individuals and families at risk of 
                homelessness.
    ``(e) Staff Training.--The Secretary may allow reasonable costs 
associated with staff training to be included as part of the activities 
described in subsection (a).
    ``(f) Eligibility for Permanent Housing.--Any project that receives 
assistance under subsection (a) and that provides project-based or 
sponsor-based permanent housing for homeless individuals or families 
with a disability, including projects that meet the requirements of 
subsection (a) and subsection (d)(2)(A) of section 428 may also serve 
individuals who had previously met the requirements for such project 
prior to moving into a different permanent housing project.
    ``(g) Administration of Rental Assistance.--Provision of permanent 
housing rental assistance shall be administered by a State, unit of 
general local government, or public housing agency.''.

SEC. 1303. HIGH PERFORMING COMMUNITIES.

    The McKinney-Vento Homeless Assistance Act is amended by striking 
section 424 (42 U.S.C. 11384) and inserting the following:

``SEC. 424. INCENTIVES FOR HIGH-PERFORMING COMMUNITIES.

    ``(a) Designation as a High-Performing Community.--
            ``(1) In general.--The Secretary shall designate, on an 
        annual basis, which collaborative applicants represent high-
        performing communities.
            ``(2) Consideration.--In determining whether to designate a 
        collaborative applicant as a high-performing community under 
        paragraph (1), the Secretary shall establish criteria to ensure 
        that the requirements described under paragraphs (1)(B) and 
        (2)(B) of subsection (d) are measured by comparing homeless 
        individuals and families under similar circumstances, in order 
        to encourage projects in the geographic area to serve homeless 
        individuals and families with more severe barriers to housing 
        stability.
            ``(3) 2-year phase in.--In each of the first 2 years after 
        the effective date under section 1503 of the Homeless Emergency 
        Assistance and Rapid Transition to Housing Act of 2009, the 
        Secretary shall designate not more than 10 collaborative 
        applicants as high-performing communities.
            ``(4) Excess of qualified applicants.--If, during the 2-
        year period described under paragraph (2), more than 10 
        collaborative applicants could qualify to be designated as 
        high-performing communities, the Secretary shall designate the 
        10 that have, in the discretion of the Secretary, the best 
        performance based on the criteria described under subsection 
        (d).
            ``(5) Time limit on designation.--The designation of any 
        collaborative applicant as a high-performing community under 
        this subsection shall be effective only for the year in which 
        such designation is made. The Secretary, on an annual basis, 
        may renew any such designation.
    ``(b) Application.--
            ``(1) In general.--A collaborative applicant seeking 
        designation as a high-performing community under subsection (a) 
        shall submit an application to the Secretary at such time, and 
        in such manner as the Secretary may require.
            ``(2) Content of application.--In any application submitted 
        under paragraph (1), a collaborative applicant shall include in 
        such application--
                    ``(A) a report showing how any money received under 
                this subtitle in the preceding year was expended; and
                    ``(B) information that such applicant can meet the 
                requirements described under subsection (d).
            ``(3) Publication of application.--The Secretary shall--
                    ``(A) publish any report or information submitted 
                in an application under this section in the geographic 
                area represented by the collaborative applicant; and
                    ``(B) seek comments from the public as to whether 
                the collaborative applicant seeking designation as a 
                high-performing community meets the requirements 
                described under subsection (d).
    ``(c) Use of Funds.--Funds awarded under section 422(a) to a 
project sponsor who is located in a high-performing community may be 
used--
            ``(1) for any of the eligible activities described in 
        section 423; or
            ``(2) for any of the eligible activities described in 
        paragraphs (4) and (5) of section 415(a).
    ``(d) Definition of High-Performing Community.--For purposes of 
this section, the term `high-performing community' means a geographic 
area that demonstrates through reliable data that all five of the 
following requirements are met for that geographic area:
            ``(1) Term of homelessness.--The mean length of episodes of 
        homelessness for that geographic area--
                    ``(A) is less than 20 days; or
                    ``(B) for individuals and families in similar 
                circumstances in the preceding year was at least 10 
                percent less than in the year before.
            ``(2) Families leaving homelessness.--Of individuals and 
        families--
                    ``(A) who leave homelessness, fewer than 5 percent 
                of such individuals and families become homeless again 
                at any time within the next 2 years; or
                    ``(B) in similar circumstances who leave 
                homelessness, the percentage of such individuals and 
                families who become homeless again within the next 2 
                years has decreased by at least 20 percent from the 
                preceding year.
            ``(3) Community action.--The communities that compose the 
        geographic area have--
                    ``(A) actively encouraged homeless individuals and 
                families to participate in homeless assistance services 
                available in that geographic area; and
                    ``(B) included each homeless individual or family 
                who sought homeless assistance services in the data 
                system used by that community for determining 
                compliance with this subsection.
            ``(4) Effectiveness of previous activities.--If recipients 
        in the geographic area have used funding awarded under section 
        422(a) for eligible activities described under section 415(a) 
        in previous years based on the authority granted under 
        subsection (c), that such activities were effective at reducing 
        the number of individuals and families who became homeless in 
        that community.
            ``(5) Flexibility to serve persons defined as homeless 
        under other federal laws.--With respect to collaborative 
        applicants exercising the authority under section 422(j) to 
        serve homeless families with children and youth defined as 
        homeless under other Federal statutes, effectiveness in 
        achieving the goals and outcomes identified in subsection 
        427(b)(1)(F) according to such standards as the Secretary shall 
        promulgate.
    ``(e) Cooperation Among Entities.--A collaborative applicant 
designated as a high-performing community under this section shall 
cooperate with the Secretary in distributing information about 
successful efforts within the geographic area represented by the 
collaborative applicant to reduce homelessness.''.

SEC. 1304. PROGRAM REQUIREMENTS.

    Section 426 of the McKinney-Vento Homeless Assistance Act (42 
U.S.C. 11386) is amended--
            (1) by striking subsections (a), (b), and (c) and inserting 
        the following:
    ``(a) Site Control.--The Secretary shall require that each 
application include reasonable assurances that the applicant will own 
or have control of a site for the proposed project not later than the 
expiration of the 12-month period beginning upon notification of an 
award for grant assistance, unless the application proposes providing 
supportive housing assistance under section 423(a)(3) or housing that 
will eventually be owned or controlled by the families and individuals 
served. An applicant may obtain ownership or control of a suitable site 
different from the site specified in the application. If any recipient 
or project sponsor fails to obtain ownership or control of the site 
within 12 months after notification of an award for grant assistance, 
the grant shall be recaptured and reallocated under this subtitle.
    ``(b) Required Agreements.--The Secretary may not provide 
assistance for a proposed project under this subtitle unless the 
collaborative applicant involved agrees--
            ``(1) to ensure the operation of the project in accordance 
        with the provisions of this subtitle;
            ``(2) to monitor and report to the Secretary the progress 
        of the project;
            ``(3) to ensure, to the maximum extent practicable, that 
        individuals and families experiencing homelessness are 
        involved, through employment, provision of volunteer services, 
        or otherwise, in constructing, rehabilitating, maintaining, and 
        operating facilities for the project and in providing 
        supportive services for the project;
            ``(4) to require certification from all project sponsors 
        that--
                    ``(A) they will maintain the confidentiality of 
                records pertaining to any individual or family provided 
                family violence prevention or treatment services 
                through the project;
                    ``(B) that the address or location of any family 
                violence shelter project assisted under this subtitle 
                will not be made public, except with written 
                authorization of the person responsible for the 
                operation of such project;
                    ``(C) they will establish policies and practices 
                that are consistent with, and do not restrict the 
                exercise of rights provided by, subtitle B of title 
                VII, and other laws relating to the provision of 
                educational and related services to individuals and 
                families experiencing homelessness;
                    ``(D) in the case of programs that provide housing 
                or services to families, they will designate a staff 
                person to be responsible for ensuring that children 
                being served in the program are enrolled in school and 
                connected to appropriate services in the community, 
                including early childhood programs such as Head Start, 
                part C of the Individuals with Disabilities Education 
                Act, and programs authorized under subtitle B of title 
                VII of this Act(42 U.S.C. 11431 et seq.); and
                    ``(E) they will provide data and reports as 
                required by the Secretary pursuant to the Act;
            ``(5) if a collaborative applicant is a unified funding 
        agency under section 402(g) and receives funds under subtitle C 
        to carry out the payment of administrative costs described in 
        section 423(a)(11), to establish such fiscal control and fund 
        accounting procedures as may be necessary to assure the proper 
        disbursal of, and accounting for, such funds in order to ensure 
        that all financial transactions carried out with such funds are 
        conducted, and records maintained, in accordance with generally 
        accepted accounting principles;
            ``(6) to monitor and report to the Secretary the provision 
        of matching funds as required by section 430;
            ``(7) to take the educational needs of children into 
        account when families are placed in emergency or transitional 
        shelter and will, to the maximum extent practicable, place 
        families with children as close as possible to their school of 
        origin so as not to disrupt such children's education; and
            ``(8) to comply with such other terms and conditions as the 
        Secretary may establish to carry out this subtitle in an 
        effective and efficient manner.'';
            (2) by redesignating subsection (d) as subsection (c);
            (3) in the first sentence of subsection (c) (as so 
        redesignated by paragraph (2) of this subsection), by striking 
        ``recipient'' and inserting ``recipient or project sponsor'';
            (4) by striking subsection (e);
            (5) by redesignating subsections (f), (g), and (h), as 
        subsections (d), (e), and (f), respectively;
            (6) in the first sentence of subsection (e) (as so 
        redesignated by paragraph (5) of this section), by striking 
        ``recipient'' each place it appears and inserting ``recipient 
        or project sponsor'';
            (7) by striking subsection (i); and
            (8) by redesignating subsection (j) as subsection (g).

SEC. 1305. SELECTION CRITERIA, ALLOCATION AMOUNTS, AND FUNDING.

    The McKinney-Vento Homeless Assistance Act is amended--
            (1) by repealing section 429 (42 U.S.C. 11389); and
            (2) by redesignating sections 427 and 428 (42 U.S.C. 11387, 
        11388) as sections 432 and 433, respectively; and
            (3) by inserting after section 426 the following new 
        sections:

``SEC. 427. SELECTION CRITERIA.

    ``(a) In General.--The Secretary shall award funds to recipients 
through a national competition between geographic areas based on 
criteria established by the Secretary.
    ``(b) Required Criteria.--
            ``(1) In general.--The criteria established under 
        subsection (a) shall include--
                    ``(A) the previous performance of the recipient 
                regarding homelessness, including performance related 
                to funds provided under section 412 (except that 
                recipients applying from geographic areas where no 
                funds have been awarded under this subtitle, or under 
                subtitles C, D, E, or F of title IV of this Act, as in 
                effect prior to the date of the enactment of the 
                Homeless Emergency Assistance and Rapid Transition to 
                Housing Act of 2009, shall receive full credit for 
                performance under this subparagraph), measured by 
                criteria that shall be announced by the Secretary, that 
                shall take into account barriers faced by individual 
                homeless people, and that shall include--
                            ``(i) the length of time individuals and 
                        families remain homeless;
                            ``(ii) the extent to which individuals and 
                        families who leave homelessness experience 
                        additional spells of homelessness;
                            ``(iii) the thoroughness of grantees in the 
                        geographic area in reaching homeless 
                        individuals and families;
                            ``(iv) overall reduction in the number of 
                        homeless individuals and families;
                            ``(v) jobs and income growth for homeless 
                        individuals and families;
                            ``(vi) success at reducing the number of 
                        individuals and families who become homeless;
                            ``(vii) other accomplishments by the 
                        recipient related to reducing homelessness; and
                            ``(viii) for collaborative applicants that 
                        have exercised the authority under section 
                        422(j) to serve families with children and 
                        youth defined as homeless under other Federal 
                        statutes, success in achieving the goals and 
                        outcomes identified in section 427(b)(1)(F);
                    ``(B) the plan of the recipient, which shall 
                describe--
                            ``(i) how the number of individuals and 
                        families who become homeless will be reduced in 
                        the community;
                            ``(ii) how the length of time that 
                        individuals and families remain homeless will 
                        be reduced;
                            ``(iii) how the recipient will collaborate 
                        with local education authorities to assist in 
                        the identification of individuals and families 
                        who become or remain homeless and are informed 
                        of their eligibility for services under 
                        subtitle B of title VII of this Act (42 U.S.C. 
                        11431 et seq.);
                            ``(iv) the extent to which the recipient 
                        will--
                                    ``(I) address the needs of all 
                                relevant subpopulations;
                                    ``(II) incorporate comprehensive 
                                strategies for reducing homelessness, 
                                including the interventions referred to 
                                in section 428(d);
                                    ``(III) set quantifiable 
                                performance measures;
                                    ``(IV) set timelines for completion 
                                of specific tasks;
                                    ``(V) identify specific funding 
                                sources for planned activities; and
                                    ``(VI) identify an individual or 
                                body responsible for overseeing 
                                implementation of specific strategies; 
                                and
                            ``(v) whether the recipient proposes to 
                        exercise authority to use funds under section 
                        422(j), and if so, how the recipient will 
                        achieve the goals and outcomes identified in 
                        section 427(b)(1)(F);
                    ``(C) the methodology of the recipient used to 
                determine the priority for funding local projects under 
                section 422(c)(1), including the extent to which the 
                priority-setting process--
                            ``(i) uses periodically collected 
                        information and analysis to determine the 
                        extent to which each project has resulted in 
                        rapid return to permanent housing for those 
                        served by the project, taking into account the 
                        severity of barriers faced by the people the 
                        project serves;
                            ``(ii) considers the full range of opinions 
                        from individuals or entities with knowledge of 
                        homelessness in the geographic area or an 
                        interest in preventing or ending homelessness 
                        in the geographic area;
                            ``(iii) is based on objective criteria that 
                        have been publicly announced by the recipient; 
                        and
                            ``(iv) is open to proposals from entities 
                        that have not previously received funds under 
                        this subtitle;
                    ``(D) the extent to which the amount of assistance 
                to be provided under this subtitle to the recipient 
                will be supplemented with resources from other public 
                and private sources, including mainstream programs 
                identified by the Government Accountability Office in 
                the two reports described in section 203(a)(7);
                    ``(E) demonstrated coordination by the recipient 
                with the other Federal, State, local, private, and 
                other entities serving individuals and families 
                experiencing homelessness and at risk of homelessness 
                in the planning and operation of projects;
                    ``(F) for collaborative applicants exercising the 
                authority under section 422(j) to serve homeless 
                families with children and youth defined as homeless 
                under other Federal statutes, program goals and 
                outcomes, which shall include--
                            ``(i) preventing homelessness among the 
                        subset of such families with children and youth 
                        who are at highest risk of becoming homeless, 
                        as such term is defined for purposes of this 
                        title; or
                            ``(ii) achieving independent living in 
                        permanent housing among such families with 
                        children and youth, especially those who have a 
                        history of doubled-up and other temporary 
                        housing situations or are living in a temporary 
                        housing situation due to lack of available and 
                        appropriate emergency shelter, through the 
                        provision of eligible assistance that directly 
                        contributes to achieving such results including 
                        assistance to address chronic disabilities, 
                        chronic physical health or mental health 
                        conditions, substance addiction, histories of 
                        domestic violence or childhood abuse, or 
                        multiple barriers to employment; and
                    ``(G) such other factors as the Secretary 
                determines to be appropriate to carry out this subtitle 
                in an effective and efficient manner.
            ``(2) Additional criteria.--In addition to the criteria 
        required under paragraph (1), the criteria established under 
        paragraph (1) shall also include the need within the geographic 
        area for homeless services, determined as follows and under the 
        following conditions:
                    ``(A) Notice.--The Secretary shall inform each 
                collaborative applicant, at a time concurrent with the 
                release of the notice of funding availability for the 
                grants, of the pro rata estimated grant amount under 
                this subtitle for the geographic area represented by 
                the collaborative applicant.
                    ``(B) Amount.--
                            ``(i) Formula.--Such estimated grant 
                        amounts shall be determined by a formula, which 
                        shall be developed by the Secretary, by 
                        regulation, not later than the expiration of 
                        the 2-year period beginning upon the date of 
                        the enactment of the Homeless Emergency 
                        Assistance and Rapid Transition to Housing Act 
                        of 2009, that is based upon factors that are 
                        appropriate to allocate funds to meet the goals 
                        and objectives of this subtitle.
                            ``(ii) Combinations or consortia.--For a 
                        collaborative applicant that represents a 
                        combination or consortium of cities or 
                        counties, the estimated need amount shall be 
                        the sum of the estimated need amounts for the 
                        cities or counties represented by the 
                        collaborative applicant.
                            ``(iii) Authority of secretary.--Subject to 
                        the availability of appropriations, the 
                        Secretary shall increase the estimated need 
                        amount for a geographic area if necessary to 
                        provide 1 year of renewal funding for all 
                        expiring contracts entered into under this 
                        subtitle for the geographic area.
            ``(3) Homelessness counts.--The Secretary shall not require 
        that communities conduct an actual count of homeless people 
        other than those described in paragraphs (1) through (4) of 
        section 103(a) of this Act (42 U.S.C. 11302(a)).
    ``(c) Adjustments.--The Secretary may adjust the formula described 
in subsection (b)(2) as necessary--
            ``(1) to ensure that each collaborative applicant has 
        sufficient funding to renew all qualified projects for at least 
        one year; and
            ``(2) to ensure that collaborative applicants are not 
        discouraged from replacing renewal projects with new projects 
        that the collaborative applicant determines will better be able 
        to meet the purposes of this Act.

``SEC. 428. ALLOCATION OF AMOUNTS AND INCENTIVES FOR SPECIFIC ELIGIBLE 
              ACTIVITIES.

    ``(a) Minimum Allocation for Permanent Housing for Homeless 
Individuals and Families With Disabilities.--
            ``(1) In general.--From the amounts made available to carry 
        out this subtitle for a fiscal year, a portion equal to not 
        less than 30 percent of the sums made available to carry out 
        subtitle B and this subtitle, shall be used for permanent 
        housing for homeless individuals with disabilities and homeless 
        families that include such an individual who is an adult or a 
        minor head of household if no adult is present in the 
        household.
            ``(2) Calculation.--In calculating the portion of the 
        amount described in paragraph (1) that is used for activities 
        that are described in paragraph (1), the Secretary shall not 
        count funds made available to renew contracts for existing 
        projects under section 429.
            ``(3) Adjustment.--The 30 percent figure in paragraph (1) 
        shall be reduced proportionately based on need under section 
        427(b)(2) in geographic areas for which subsection (e) applies 
        in regard to subsection (d)(2)(A).
            ``(4) Suspension.--The requirement established in paragraph 
        (1) shall be suspended for any year in which funding available 
        for grants under this subtitle after making the allocation 
        established in paragraph (1) would not be sufficient to renew 
        for 1 year all existing grants that would otherwise be fully 
        funded under this subtitle.
            ``(5) Termination.--The requirement established in 
        paragraph (1) shall terminate upon a finding by the Secretary 
        that since the beginning of 2001 at least 150,000 new units of 
        permanent housing for homeless individuals and families with 
        disabilities have been funded under this subtitle.
    ``(b) Set-Aside for Permanent Housing for Homeless Families With 
Children.--From the amounts made available to carry out this subtitle 
for a fiscal year, a portion equal to not less than 10 percent of the 
sums made available to carry out subtitle B and this subtitle for that 
fiscal year shall be used to provide or secure permanent housing for 
homeless families with children.
    ``(c) Treatment of Amounts for Permanent or Transitional Housing.--
Nothing in this Act may be construed to establish a limit on the amount 
of funding that an applicant may request under this subtitle for 
acquisition, construction, or rehabilitation activities for the 
development of permanent housing or transitional housing.
    ``(d) Incentives for Proven Strategies.--
            ``(1) In general.--The Secretary shall provide bonuses or 
        other incentives to geographic areas for using funding under 
        this subtitle for activities that have been proven to be 
        effective at reducing homelessness generally, reducing 
        homelessness for a specific subpopulation, or achieving 
        homeless prevention and independent living goals as set forth 
        in section 427(b)(1)(F).
            ``(2) Rule of construction.--For purposes of this 
        subsection, activities that have been proven to be effective at 
        reducing homelessness generally or reducing homelessness for a 
        specific subpopulation includes--
                    ``(A) permanent supportive housing for chronically 
                homeless individuals and families;
                    ``(B) for homeless families, rapid rehousing 
                services, short-term flexible subsidies to overcome 
                barriers to rehousing, support services concentrating 
                on improving incomes to pay rent, coupled with 
                performance measures emphasizing rapid and permanent 
                rehousing and with leveraging funding from mainstream 
                family service systems such as Temporary Assistance for 
                Needy Families and Child Welfare services; and
                    ``(C) any other activity determined by the 
                Secretary, based on research and after notice and 
                comment to the public, to have been proven effective at 
                reducing homelessness generally, reducing homelessness 
                for a specific subpopulation, or achieving homeless 
                prevention and independent living goals as set forth in 
                section 427(b)(1)(F).
            ``(3) Balance of incentives for proven strategies.--To the 
        extent practicable, in providing bonuses or incentives for 
        proven strategies, the Secretary shall seek to maintain a 
        balance among strategies targeting homeless individuals, 
        families, and other subpopulations. The Secretary shall not 
        implement bonuses or incentives that specifically discourage 
        collaborative applicants from exercising their flexibility to 
        serve families with children and youth defined as homeless 
        under other Federal statutes.
    ``(e) Incentives for Successful Implementation of Proven 
Strategies.--If any geographic area demonstrates that it has fully 
implemented any of the activities described in subsection (d) for all 
homeless individuals and families or for all members of subpopulations 
for whom such activities are targeted, that geographic area shall 
receive the bonus or incentive provided under subsection (d), but may 
use such bonus or incentive for any eligible activity under either 
section 423 or paragraphs (4) and (5) of section 415(a) for homeless 
people generally or for the relevant subpopulation.

``SEC. 429. RENEWAL FUNDING AND TERMS OF ASSISTANCE FOR PERMANENT 
              HOUSING.

    ``(a) In General.--Renewal of expiring contracts for leasing, 
rental assistance, or operating costs for permanent housing contracts 
may be funded either--
            ``(1) under the appropriations account for this title; or
            ``(2) the section 8 project-based rental assistance 
        account.
    ``(b) Renewals.--The sums made available under subsection (a) shall 
be available for the renewal of contracts in the case of tenant-based 
assistance, successive 1-year terms, and in the case of project-based 
assistance, successive terms of up to 15 years at the discretion of the 
applicant or project sponsor and subject to the availability of annual 
appropriations, for rental assistance and housing operation costs 
associated with permanent housing projects funded under this subtitle, 
or under subtitle C or F (as in effect on the day before the effective 
date of the Homeless Emergency Assistance and Rapid Transition to 
Housing Act of 2009). The Secretary shall determine whether to renew a 
contract for such a permanent housing project on the basis of 
certification by the collaborative applicant for the geographic area 
that--
            ``(1) there is a demonstrated need for the project; and
            ``(2) the project complies with program requirements and 
        appropriate standards of housing quality and habitability, as 
        determined by the Secretary.
    ``(c) Construction.--Nothing in this section shall be construed as 
prohibiting the Secretary from renewing contracts under this subtitle 
in accordance with criteria set forth in a provision of this subtitle 
other than this section.

``SEC. 430. MATCHING FUNDING.

    ``(a) In General.--A collaborative applicant in a geographic area 
in which funds are awarded under this subtitle shall specify 
contributions from any source other than a grant awarded under this 
subtitle, including renewal funding of projects assisted under 
subtitles C, D, and F of this title as in effect before the effective 
date under section 1503 of the Homeless Emergency Assistance and Rapid 
Transition to Housing Act of 2009, that shall be made available in the 
geographic area in an amount equal to not less than 25 percent of the 
funds provided to recipients in the geographic area, except that grants 
for leasing shall not be subject to any match requirement.
    ``(b) Limitations on In-Kind Match.--The cash value of services 
provided to the residents or clients of a project sponsor by an entity 
other than the project sponsor may count toward the contributions in 
subsection (a) only when documented by a memorandum of understanding 
between the project sponsor and the other entity that such services 
will be provided.
    ``(c) Countable Activities.--The contributions required under 
subsection (a) may consist of--
            ``(1) funding for any eligible activity described under 
        section 423; and
            ``(2) subject to subsection (b), in-kind provision of 
        services of any eligible activity described under section 423.

``SEC. 431. APPEAL PROCEDURE.

    ``(a) In General.--With respect to funding under this subtitle, if 
certification of consistency with the consolidated plan pursuant to 
section 403 is withheld from an applicant who has submitted an 
application for that certification, such applicant may appeal such 
decision to the Secretary.
    ``(b) Procedure.--The Secretary shall establish a procedure to 
process the appeals described in subsection (a).
    ``(c) Determination.--Not later than 45 days after the date of 
receipt of an appeal described in subsection (a), the Secretary shall 
determine if certification was unreasonably withheld. If such 
certification was unreasonably withheld, the Secretary shall review 
such application and determine if such applicant shall receive funding 
under this subtitle.''.

SEC. 1306. RESEARCH.

    There is authorized to be appropriated $8,000,000, for each of 
fiscal years 2010 and 2011, for research into the efficacy of 
interventions for homeless families, to be expended by the Secretary of 
Housing and Urban Development over the 2 years at 3 different sites to 
provide services for homeless families and evaluate the effectiveness 
of such services.

          TITLE IV--RURAL HOUSING STABILITY ASSISTANCE PROGRAM

SEC. 1401. RURAL HOUSING STABILITY ASSISTANCE.

    Subtitle G of title IV of the McKinney-Vento Homeless Assistance 
Act (42 U.S.C. 11408 et seq.) is amended--
            (1) by striking the subtitle heading and inserting the 
        following:

    ``Subtitle G--Rural Housing Stability Assistance Program''; and

            (2) in section 491--
                    (A) by striking the section heading and inserting 
                ``rural housing stability grant program.'';
                    (B) in subsection (a)--
                            (i) by striking ``rural homelessness grant 
                        program'' and inserting ``rural housing 
                        stability grant program'';
                            (ii) by inserting ``in lieu of grants under 
                        subtitle C'' after ``eligible organizations''; 
                        and
                            (iii) by striking paragraphs (1), (2), and 
                        (3), and inserting the following:
            ``(1) rehousing or improving the housing situations of 
        individuals and families who are homeless or in the worst 
        housing situations in the geographic area;
            ``(2) stabilizing the housing of individuals and families 
        who are in imminent danger of losing housing; and
            ``(3) improving the ability of the lowest-income residents 
        of the community to afford stable housing.'';
                    (C) in subsection (b)(1)--
                            (i) by redesignating subparagraphs (E), 
                        (F), and (G) as subparagraphs (I), (J), and 
                        (K), respectively; and
                            (ii) by striking subparagraph (D) and 
                        inserting the following:
                    ``(D) construction of new housing units to provide 
                transitional or permanent housing to homeless 
                individuals and families and individuals and families 
                at risk of homelessness;
                    ``(E) acquisition or rehabilitation of a structure 
                to provide supportive services or to provide 
                transitional or permanent housing, other than emergency 
                shelter, to homeless individuals and families and 
                individuals and families at risk of homelessness;
                    ``(F) leasing of property, or portions of property, 
                not owned by the recipient or project sponsor involved, 
                for use in providing transitional or permanent housing 
                to homeless individuals and families and individuals 
                and families at risk of homelessness, or providing 
                supportive services to such homeless and at-risk 
                individuals and families;
                    ``(G) provision of rental assistance to provide 
                transitional or permanent housing to homeless 
                individuals and families and individuals and families 
                at risk of homelessness, such rental assistance may 
                include tenant-based or project-based rental 
                assistance;
                    ``(H) payment of operating costs for housing units 
                assisted under this title;'';
                    (D) in subsection (b)(2), by striking 
                ``appropriated'' and inserting ``transferred'';
                    (E) in subsection (c)--
                            (i) in paragraph (1)(A), by striking 
                        ``appropriated'' and inserting ``transferred''; 
                        and
                            (ii) in paragraph (3), by striking 
                        ``appropriated'' and inserting ``transferred'';
                    (F) in subsection (d)--
                            (i) in paragraph (5), by striking ``; and'' 
                        and inserting a semicolon;
                            (ii) in paragraph (6)--
                                    (I) by striking ``an agreement'' 
                                and all that follows through 
                                ``families'' and inserting the 
                                following: ``a description of how 
                                individuals and families who are 
                                homeless or who have the lowest incomes 
                                in the community will be involved by 
                                the organization''; and
                                    (II) by striking the period at the 
                                end, and inserting a semicolon; and
                            (iii) by adding at the end the following:
            ``(7) a description of consultations that took place within 
        the community to ascertain the most important uses for funding 
        under this section, including the involvement of potential 
        beneficiaries of the project; and
            ``(8) a description of the extent and nature of 
        homelessness and of the worst housing situations in the 
        community.'';
                    (G) by striking subsections (f) and (g) and 
                inserting the following:
    ``(f) Matching Funding.--
            ``(1) In general.--An organization eligible to receive a 
        grant under subsection (a) shall specify matching contributions 
        from any source other than a grant awarded under this subtitle, 
        that shall be made available in the geographic area in an 
        amount equal to not less than 25 percent of the funds provided 
        for the project or activity, except that grants for leasing 
        shall not be subject to any match requirement.
            ``(2) Limitations on in-kind match.--The cash value of 
        services provided to the beneficiaries or clients of an 
        eligible organization by an entity other than the organization 
        may count toward the contributions in paragraph (1) only when 
        documented by a memorandum of understanding between the 
        organization and the other entity that such services will be 
        provided.
            ``(3) Countable activities.--The contributions required 
        under paragraph (1) may consist of--
                    ``(A) funding for any eligible activity described 
                under subsection (b); and
                    ``(B) subject to paragraph (2), in-kind provision 
                of services of any eligible activity described under 
                subsection (b).
    ``(g) Selection Criteria.--The Secretary shall establish criteria 
for selecting recipients of grants under subsection (a), including--
            ``(1) the participation of potential beneficiaries of the 
        project in assessing the need for, and importance of, the 
        project in the community;
            ``(2) the degree to which the project addresses the most 
        harmful housing situations present in the community;
            ``(3) the degree of collaboration with others in the 
        community to meet the goals described in subsection (a);
            ``(4) the performance of the organization in improving 
        housing situations, taking account of the severity of barriers 
        of individuals and families served by the organization;
            ``(5) for organizations that have previously received 
        funding under this section, the extent of improvement in 
        homelessness and the worst housing situations in the community 
        since such funding began;
            ``(6) the need for such funds, as determined by the formula 
        established under section 427(b)(2); and
            ``(7) any other relevant criteria as determined by the 
        Secretary.'';
                    (H) in subsection (h)--
                            (i) in paragraph (1), in the matter 
                        preceding subparagraph (A), by striking ``The'' 
                        and inserting ``Not later than 18 months after 
                        funding is first made available pursuant to the 
                        amendments made by title IV of the Homeless 
                        Emergency Assistance and Rapid Transition to 
                        Housing Act of 2009, the''; and
                            (ii) in paragraph (1)(A), by striking 
                        ``providing housing and other assistance to 
                        homeless persons'' and inserting ``meeting the 
                        goals described in subsection (a)'';
                            (iii) in paragraph (1)(B), by striking 
                        ``address homelessness in rural areas'' and 
                        inserting ``meet the goals described in 
                        subsection (a) in rural areas''; and
                            (iv) in paragraph (2)--
                                    (I) by striking ``The'' and 
                                inserting ``Not later than 24 months 
                                after funding is first made available 
                                pursuant to the amendment made by title 
                                IV of the Homeless Emergency Assistance 
                                and Rapid Transition to Housing Act of 
                                2009, the'';
                                    (II) by striking ``, not later than 
                                18 months after the date on which the 
                                Secretary first makes grants under the 
                                program,''; and
                                    (III) by striking ``prevent and 
                                respond to homelessness'' and inserting 
                                ``meet the goals described in 
                                subsection (a)'';
                    (I) in subsection (k)--
                            (i) in paragraph (1), by striking ``rural 
                        homelessness grant program'' and inserting 
                        ``rural housing stability grant program''; and
                            (ii) in paragraph (2)--
                                    (I) in subparagraph (A), by 
                                striking ``; or'' and inserting a 
                                semicolon;
                                    (II) in subparagraph (B)(ii), by 
                                striking ``rural census tract.'' and 
                                inserting ``county where at least 75 
                                percent of the population is rural; 
                                or''; and
                                    (III) by adding at the end the 
                                following:
                    ``(C) any area or community, respectively, located 
                in a State that has population density of less than 30 
                persons per square mile (as reported in the most recent 
                decennial census), and of which at least 1.25 percent 
                of the total acreage of such State is under Federal 
                jurisdiction, provided that no metropolitan city (as 
                such term is defined in section 102 of the Housing and 
                Community Development Act of 1974) in such State is the 
                sole beneficiary of the grant amounts awarded under 
                this section.'';
                    (J) in subsection (l)--
                            (i) by striking the subsection heading and 
                        inserting ``Program Funding.--''; and
                            (ii) by striking paragraph (1) and 
                        inserting the following:
            ``(1) In general.--The Secretary shall determine the total 
        amount of funding attributable under section 427(b)(2) to meet 
        the needs of any geographic area in the Nation that applies for 
        funding under this section. The Secretary shall transfer any 
        amounts determined under this subsection from the Community 
        Homeless Assistance Program and consolidate such transferred 
        amounts for grants under this section, except that the 
        Secretary shall transfer an amount not less than 5 percent of 
        the amount available under subtitle C for grants under this 
        section. Any amounts so transferred and not used for grants 
        under this section due to an insufficient number of 
        applications shall be transferred to be used for grants under 
        subtitle C.''; and
                    (K) by adding at the end the following:
    ``(m) Determination of Funding Source.--For any fiscal year, in 
addition to funds awarded under subtitle B, funds under this title to 
be used in a city or county shall only be awarded under either subtitle 
C or subtitle D.''.

SEC. 1402. GAO STUDY OF HOMELESSNESS AND HOMELESS ASSISTANCE IN RURAL 
              AREAS.

    (a) Study and Report.--Not later than the expiration of the 12-
month period beginning on the date of the enactment of this division, 
the Comptroller General of the United States shall conduct a study to 
examine homelessness and homeless assistance in rural areas and rural 
communities and submit a report to the Congress on the findings and 
conclusion of the study. The report shall contain the following 
matters:
            (1) A general description of homelessness, including the 
        range of living situations among homeless individuals and 
        homeless families, in rural areas and rural communities of the 
        United States, including tribal lands and colonias.
            (2) An estimate of the incidence and prevalence of 
        homelessness among individuals and families in rural areas and 
        rural communities of the United States.
            (3) An estimate of the number of individuals and families 
        from rural areas and rural communities who migrate annually to 
        non-rural areas and non-rural communities for homeless 
        assistance.
            (4) A description of barriers that individuals and families 
        in and from rural areas and rural communities encounter when 
        seeking to access homeless assistance programs, and 
        recommendations for removing such barriers.
            (5) A comparison of the rate of homelessness among 
        individuals and families in and from rural areas and rural 
        communities compared to the rate of homelessness among 
        individuals and families in and from non-rural areas and non-
        rural communities.
            (6) A general description of homeless assistance for 
        individuals and families in rural areas and rural communities 
        of the United States.
            (7) A description of barriers that homeless assistance 
        providers serving rural areas and rural communities encounter 
        when seeking to access Federal homeless assistance programs, 
        and recommendations for removing such barriers.
            (8) An assessment of the type and amount of Federal 
        homeless assistance funds awarded to organizations serving 
        rural areas and rural communities and a determination as to 
        whether such amount is proportional to the distribution of 
        homeless individuals and families in and from rural areas and 
        rural communities compared to homeless individuals and families 
        in non-rural areas and non-rural communities.
            (9) An assessment of the current roles of the Department of 
        Housing and Urban Development, the Department of Agriculture, 
        and other Federal departments and agencies in administering 
        homeless assistance programs in rural areas and rural 
        communities and recommendations for distributing Federal 
        responsibilities, including homeless assistance program 
        administration and grantmaking, among the departments and 
        agencies so that service organizations in rural areas and rural 
        communities are most effectively reached and supported.
    (b) Acquisition of Supporting Information.--In carrying out the 
study under this section, the Comptroller General shall seek to obtain 
views from the following persons:
            (1) The Secretary of Agriculture.
            (2) The Secretary of Housing and Urban Development.
            (3) The Secretary of Health and Human Services.
            (4) The Secretary of Education.
            (5) The Secretary of Labor.
            (6) The Secretary of Veterans Affairs.
            (7) The Executive Director of the United States Interagency 
        Council on Homelessness.
            (8) Project sponsors and recipients of homeless assistance 
        grants serving rural areas and rural communities.
            (9) Individuals and families in or from rural areas and 
        rural communities who have sought or are seeking Federal 
        homeless assistance services.
            (10) National advocacy organizations concerned with 
        homelessness, rural housing, and rural community development.
    (c) Effective Date.--This section shall take effect on the date of 
the enactment of this division

               TITLE V--REPEALS AND CONFORMING AMENDMENTS

SEC. 1501. REPEALS.

    Subtitles D, E, and F of title IV of the McKinney-Vento Homeless 
Assistance Act (42 U.S.C. 11391 et seq., 11401 et seq., and 11403 et 
seq.) are hereby repealed.

SEC. 1502. CONFORMING AMENDMENTS.

    (a) Consolidated Plan.--Section 403(1) of the McKinney-Vento 
Homeless Assistance Act (as so redesignated by section 1101(2) of this 
division), is amended--
            (1) by striking ``current housing affordability strategy'' 
        and inserting ``consolidated plan''; and
            (2) by inserting before the comma the following: 
        ``(referred to in such section as a `comprehensive housing 
        affordability strategy')''.
    (b) Persons Experiencing Homelessness.--Section 103 of the 
McKinney-Vento Homeless Assistance Act (42 U.S.C. 11302), as amended by 
the preceding provisions of this division, is further amended by adding 
at the end the following new subsection:
    ``(e) Persons Experiencing Homelessness.--Any references in this 
Act to homeless individuals (including homeless persons) or homeless 
groups (including homeless persons) shall be considered to include, and 
to refer to, individuals experiencing homelessness or groups 
experiencing homelessness, respectively.''.
    (c) Rural Housing Stability Assistance.--Title IV of the McKinney-
Vento Homeless Assistance Act is amended by redesignating subtitle G 
(42 U.S.C. 11408 et seq.), as amended by the preceding provisions of 
this division, as subtitle D.

SEC. 1503. EFFECTIVE DATE.

    Except as specifically provided otherwise in this division, this 
division and the amendments made by this division shall take effect on, 
and shall apply beginning on--
            (1) the expiration of the 18-month period beginning on the 
        date of the enactment of this division, or
            (2) the expiration of the 3-month period beginning upon 
        publication by the Secretary of Housing and Urban Development 
        of final regulations pursuant to section 1504,
whichever occurs first.

SEC. 1504. REGULATIONS.

    (a) In General.--Not later than 12 months after the date of the 
enactment of this division, the Secretary of Housing and Urban 
Development shall promulgate regulations governing the operation of the 
programs that are created or modified by this division.
    (b) Effective Date.--This section shall take effect on the date of 
the enactment of this division.

SEC. 1505. AMENDMENT TO TABLE OF CONTENTS.

    The table of contents in section 101(b) of the McKinney-Vento 
Homeless Assistance Act (42 U.S.C. 11301 note) is amended by striking 
the item relating to the heading for title IV and all that follows 
through the item relating to section 492 and inserting the following 
new items:

                     ``TITLE IV--HOUSING ASSISTANCE

                    ``Subtitle A--General Provisions

``Sec. 401. Definitions.
``Sec. 402. Collaborative applicants.
``Sec. 403. Housing affordability strategy.
``Sec. 404. Preventing involuntary family separation
``Sec. 405. Technical assistance.
``Sec. 406. Discharge coordination policy.
``Sec. 407. Protection of personally identifying information by victim 
                            service providers.
``Sec. 408. Authorization of appropriations.
            ``Subtitle B--Emergency Solutions Grants Program

``Sec. 411. Definitions.
``Sec. 412. Grant assistance.
``Sec. 413. Amount and allocation of assistance.
``Sec. 414. Allocation and distribution of assistance.
``Sec. 415. Eligible activities.
``Sec. 416. Responsibilities of recipients.
``Sec. 417. Administrative provisions.
``Sec. 418. Administrative costs.
                ``Subtitle C--Continuum of Care Program

``Sec. 421. Purposes.
``Sec. 422. Continuum of care applications and grants.
``Sec. 423. Eligible activities.
``Sec. 424. Incentives for high-performing communities.
``Sec. 425. Supportive services.
``Sec. 426. Program requirements.
``Sec. 427. Selection criteria.
``Sec. 428. Allocation of amounts and incentives for specific eligible 
                            activities.
``Sec. 429. Renewal funding and terms of assistance for permanent 
                            housing.
``Sec. 430. Matching funding.
``Sec. 431. Appeal procedure.
``Sec. 432. Regulations.
``Sec. 433. Reports to Congress.
        ``Subtitle D--Rural Housing Stability Assistance Program

``Sec. 491. Rural housing stability assistance.
``Sec. 492. Use of FHMA inventory for transitional housing for homeless 
                            persons and for turnkey housing.''.

            Passed the Senate May 6, 2009.

            Attest:

                                                             Secretary.
111th CONGRESS

  1st Session

                                 S. 896

_______________________________________________________________________

                                 AN ACT

     To prevent mortgage foreclosures and enhance mortgage credit 
                             availability.