[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3702 Introduced in House (IH)]
<DOC>
116th CONGRESS
1st Session
H. R. 3702
To authorize the Secretary of Housing and Urban Development to provide
disaster assistance to States, Puerto Rico, units of general local
government, and Indian tribes under a community development block grant
disaster recovery program, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
July 11, 2019
Mr. Green of Texas (for himself and Mrs. Wagner) introduced the
following bill; which was referred to the Committee on Financial
Services, and in addition to the Committee on Appropriations, for a
period to be subsequently determined by the Speaker, in each case for
consideration of such provisions as fall within the jurisdiction of the
committee concerned
_______________________________________________________________________
A BILL
To authorize the Secretary of Housing and Urban Development to provide
disaster assistance to States, Puerto Rico, units of general local
government, and Indian tribes under a community development block grant
disaster recovery program, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Reforming Disaster Recovery Act of
2019''.
SEC. 2. COMMUNITY DEVELOPMENT BLOCK GRANT DISASTER RECOVERY PROGRAM.
(a) In General.--Title I of the Housing and Community Development
Act of 1974 (42 U.S.C. 5301 et seq.) is amended by adding at the end
the following new section:
``SEC. 123. CDBG-DISASTER RECOVERY ASSISTANCE.
``(a) Authority; Use.--The Secretary may provide assistance under
this section to States, including Puerto Rico, units of general local
government, and Indian tribes for necessary expenses for activities
authorized under this title related to disaster relief, resiliency,
long-term recovery, restoration of infrastructure and housing,
mitigation, and economic revitalization in the most impacted and
distressed areas (as such term shall be defined by the Secretary by
regulation) resulting from a major disaster declared pursuant to the
Robert T. Stafford Disaster Relief and Emergency Assistance Act (42
U.S.C. 5121 et seq.).
``(b) Allocation; Coordination.--
``(1) Allocation for mitigation.--In determining the amount
allocated under this section for any grantee, the Secretary
shall include an additional amount for mitigation that is not
less than 45 percent of the amount allocated for such grantee
for unmet needs.
``(2) Deadlines for allocation.--Except as provided in
paragraph (2), after the enactment of an Act making funds
available for assistance under this section, the Secretary
shall allocate for grantees, based on the best available data
all funds provided for assistance under this section within 60
days of the date of the enactment of such Act.
``(3) Inapplicability of deadlines based on insufficient
information.--The deadlines under paragraph (2) for allocation
of funds shall not apply in the case of funds made available
for assistance under this section if Federal Emergency
Management Agency has not made sufficient information available
to the Secretary regarding relevant unmet recovery needs to
make allocations in accordance with such deadlines. The
Secretary shall notify the Congress of progress on or delay in
receiving the necessary information within 60 days following
declaration of such a major disaster and monthly thereafter
until all necessary information is received.
``(4) Obligation of amounts by the secretary.--Subject to
subsection (c)(1), the Secretary shall provide for the
disbursement of the amounts allocated for a grantee, but shall
require the grantee to be in substantial compliance with the
requirements of this section before each such disbursement.
``(5) Coordination of disaster benefits and data with other
federal agencies.--
``(A) Coordination of data.--The Secretary shall
coordinate with other agencies to obtain data on
recovery needs, including the Administrator of the
Federal Emergency Management Agency and the
Administrator of the Small Business Administration, and
other agencies when necessary regarding disaster
benefits.
``(B) Coordination with fema.--The Secretary shall
share with the Administrator of the Federal Emergency
Management Agency, and make publicly available, all
data collected, possessed, or analyzed during the
course of a disaster recovery for which assistance is
provided under this section including--
``(i) all data on damage caused by the
disaster;
``(ii) information on how any Federal
assistance provided in connection with the
disaster is expended; and
``(iii) information regarding the effect of
the disaster on education, transportation
capabilities and dependence, housing needs,
health care capacity, and displacement of
persons.
``(C) Requirements regarding eligibility for direct
assistance and duplication of benefits.--
``(i) Compliance.--Funds made available
under this subsection shall be used in
accordance with section 312 of the Robert T.
Stafford Disaster Relief and Emergency
Assistance Act (42 U.S.C. 5155), as amended by
section 1210 of the Disaster Recovery Reform
Act of 2018 (Division D, Public Law 115-254),
and such rules as may be prescribed under such
section.
``(ii) Priority.--Households having the
lowest incomes shall be prioritized for
assistance under this section until all unmet
needs are satisfied for families having an
income up to 120 percent of the median for the
area.
``(D) Treatment of duplicative benefits.--In any
case in which a grantee provides assistance that
duplicates benefits available to a person for the same
purpose from another source, the grantee itself shall
either (i) be subject to remedies for noncompliance
under section 111, or (ii) bear responsibility for
absorbing such cost of duplicative benefits and
returning an amount equal to any duplicative benefits
paid to the grantee's funds available for use under
this section or to the Community Development Block
Grant Disaster Recovery Reserve Fund under section 124,
unless the Secretary issues a public determination by
publication in the Federal Register that it is not in
the best interest of the Federal Government to pursue
such remedies.
``(E) Protection of personally identifiable
information.--In carrying out this paragraph, the
Secretary and the grantee shall take such actions as
may be necessary to ensure that personally identifiable
information regarding recipients of assistance provided
from funds made available under this section is not
made publicly available by the Department of Housing
and Urban Development or any agency with which
information is shared pursuant to this paragraph.
``(c) Plan for Use of Assistance.--
``(1) Requirement.--Not later than 90 days after the
allocation pursuant to subsection (b)(1) of all of the funds
made available by an appropriations Act for assistance under
this section and before the Secretary obligates any of such
funds for a grantee, the grantee shall submit a plan to the
Secretary for approval detailing the proposed use of all funds,
which shall include, at a minimum--
``(A) criteria for eligibility for each proposed
use of funds, including eligibility limits on income
and geography, and a description of how each proposed
use of such funds will comply with all civil rights and
fair housing laws and will address unmet needs relating
to disaster relief, resiliency, long-term recovery,
restoration of infrastructure and housing, mitigation,
and economic revitalization in the most impacted and
distressed areas, including assistance to impacted
households experiencing homelessness as defined by
section 103 of the McKinney-Vento Homeless Assistance
Act (42 U.S.C. 11302) or at risk of homelessness as
defined by section 401 of such Act (42 U.S.C. 11360);
``(B) an agreement to share data, disaggregated by
the smallest census tract, block group, or block
possible for the data set, with Federal agencies and
other providers of disaster relief, which shall include
information the grantee has regarding the matters
described in subsection (b)(4)(B);
``(C) identification of officials and offices
responsible for administering such funds and processes
and procedures for identifying and recovering duplicate
benefits; and
``(D) a plan for ensuring compliance with the Fair
Housing Act, which may include, at the election of the
grantee, providing for partnerships with local fair
housing organizations and funding set-aside for local
fair housing organizations to handle complaints
relating to assistance with amounts made available for
use under this section.
``(2) Approval.--The Secretary shall, by regulation,
specify criteria for approval of plans under paragraph (1),
including approval of substantial amendments to such plans.
``(3) Disapproval.--The Secretary shall disapprove a plan
or substantial amendment to a plan if--
``(A) the plan or substantial amendment does not
meet the approval criteria;
``(B) based on damage and unmet needs assessments
of the Secretary and the Federal Emergency Management
Administration or such other information as may be
available, the plan or amendment does not address
equitable allocation of resources--
``(i) between infrastructure and housing
activities; and
``(ii) between homeowners, renters, and
persons experiencing homelessness;
``(C) the plan or amendment does not provide an
adequate plan for ensuring that funding provided under
this section is used in compliance with the Fair
Housing Act;
``(D) the plan or amendment does not prioritize the
one-for-one replacement, with cost adjustment where
appropriate, of damaged dwelling units in public
housing, in projects receiving tax credits pursuant to
section 42 of the Internal Revenue Code of 1986, or in
projects assisted under section 202 of the Housing Act
of 1959 (12 U.S.C. 1701q), under section 811 of the
Cranston-Gonzalez National Affordable Housing Act (42
U.S.C. 8013), under the HOME Investment Partnerships
Act (42 U.S.C. 12721 et seq.), under the community
development block grant program under this title, or by
the Housing Trust Fund under section 1338 of the
Housing and Community Development Act of 1992 (12
U.S.C. 4568); or
``(E) the plan or amendment does not provide a
process to provide applicants--
``(i) notice by grantee of applicant's
right to appeal any adverse action or inaction;
``(ii) right to full discovery of
applicant's entire application file; and
``(iii) right to appeal to a court of
competent jurisdiction in the vicinage of the
applicant's residence at the time of the
appeal.
``(4) Public consultation.--In developing the plan required
under paragraph (1), a grantee shall, at a minimum--
``(A) consult with affected residents,
stakeholders, local governments, and public housing
authorities to assess needs;
``(B) publish the plan in accordance with the
requirements set forth by the Secretary, including a
requirement to prominently post the plan on the website
of the grantee for not less than 14 days;
``(C) ensure equal access for individuals with
disabilities and individuals with limited English
proficiency; and
``(D) publish the plan in a manner that affords
citizens, affected local governments, and other
interested parties a reasonable opportunity to examine
the contents of the plan and provide feedback.
``(5) Resubmission.--The Secretary shall permit a grantee
to revise and resubmit a disapproved plan or plan amendment.
``(6) Timing.--
``(A) In general.--The Secretary shall approve or
disapprove a plan not later than 60 days after
submission of the plan to the Secretary. The Secretary
shall immediately notify the applicant of the
Secretary's decision.
``(B) Disapproval.--If the Secretary disapproves a
plan, not later than 15 days after such disapproval the
Secretary shall inform the applicant in writing of (A)
the reasons for disapproval, and (B) actions that the
applicant could take to meet the criteria for approval.
``(C) Amendments; resubmission.--The Secretary
shall, for a period of not less than 45 days following
the date of disapproval, permit amendments to, or the
resubmission of, any plan that is disapproved. The
Secretary shall approve or disapprove a plan amendment
not less than 30 days after receipt of such amendments
or resubmission.
``(D) Grant agreements.--Subject to subsection
(b)(3), the Secretary shall ensure that all grant
agreements necessary for prompt disbursement of funds
allocated to a grantee are executed within 60 days of
approval of grantee's plan.
``(d) Financial Controls.--
``(1) Compliance system.--The Secretary shall develop and
maintain a system to ensure that each grantee has and will
maintain for the life of the grant--
``(A) proficient financial controls and procurement
processes;
``(B) adequate procedures to ensure that all
eligible families and individuals are approved for
assistance with amounts made available under this
section and that recipients are provided the full
amount of assistance for which they are eligible;
``(C) adequate procedures to prevent any
duplication of benefits, as defined by section 312 of
the Robert T. Stafford Disaster Relief and Emergency
Assistance Act (42 U.S.C. 5155), to ensure timely
expenditure of funds, and to detect and prevent waste,
fraud, and abuse of funds; and
``(D) adequate procedures to ensure the grantee
will maintain comprehensive and publicly accessible
websites that make available information regarding all
disaster recovery activities assisted with such funds,
which information shall include--
``(i) full and unredacted copies of all
requests for qualification for assistance or
for procurement with such funds, however
styled;
``(ii) all responses to such requests,
subject to redactions necessary to protect
personal or proprietary data;
``(iii) the identity of any entity that
reviews, evaluates, scores, or otherwise
influences or determines the disposition of
such requests;
``(iv) all reports, however styled,
containing the reviewing individual or entity's
scores, findings, and conclusions regarding
such requests; and
``(v) any resulting contract, agreement, or
other disposition of such requests; except that
such procedures shall ensure that personally
identifiable information regarding recipients
of assistance provided from funds made
available under this section shall not be made
publicly available.
``(2) Evaluation of compliance.--The Secretary shall
provide, by regulation or guideline, a method for qualitatively
and quantitatively evaluating compliance with the requirements
under paragraph (1).
``(3) Certification.--As a condition of making any grant,
the Secretary shall certify in advance that the grantee has in
place the processes and procedures required under subparagraphs
(A) through (D) of paragraph (1).
``(e) Use of Funds.--
``(1) Administrative costs.--
``(A) In general.--A State, unit of general local
government, or Indian tribe receiving a grant under
this section may use not less than 7 percent and not
more than 10 percent of the amount of grant funds
received, or within such other percentage as may be
established pursuant to subparagraph (B), for
administrative costs and shall document the use of
funds for such purpose in accordance with such
requirements as the Secretary shall establish.
``(B) Discretion to establish sliding scale.--The
Secretary may establish a series of percentage
limitations on the amount of grant funds received that
may be used by a grantee for administrative costs, but
only if--
``(i) such percentage limitations are based
on the amount of grant funds received by a
grantee;
``(ii) such series provides that the
percentage that may be so used is lower for
grantees receiving a greater amount of grant
funds and such percentage that may be so used
is higher for grantees receiving a lesser
amount of grant funds; and
``(iii) in no case may a grantee so use
more than 10 percent of grant funds received.
``(2) Limitations on use.--Amounts from a grant under this
section may not be used for activities--
``(A) that are reimbursable, or for which funds are
made available, by the Federal Emergency Management
Agency, including under the Robert T. Stafford Disaster
Relief and Emergency Assistance Act or the National
Flood Insurance Program; or
``(B) for which funds are made available by the
Army Corps of Engineers.
``(3) HUD administrative costs.--
``(A) Limitation.--Of any funds made available for
use under this section by any single appropriations
Act, the Secretary may use 1 percent of any such amount
exceeding $1,000,000,000 for necessary costs, including
information technology costs, of administering and
overseeing the obligation and expenditure of amounts
made available for use under this section.
``(B) Transfer of funds.--Any amounts made
available for use in accordance with subparagraph (A)--
``(i) shall be transferred to the account
for Program Office Salaries and Expenses--
Community Planning and Development for the
Department;
``(ii) shall remain available until
expended; and
``(iii) may be used for administering any
funds appropriated to the Department for any
disaster and related purposes in any prior or
future Act, notwithstanding the disaster for
which such funds were appropriated.
``(4) Inspector general.--Of any funds made available for
use in accordance with paragraph (3)(A), 15 percent shall be
transferred to the Office of the Inspector General for
necessary costs of audits, reviews, oversight, evaluation, and
investigations relating to amounts made available for use under
this section.
``(5) Capacity building.--Of any funds made available for
use under this section, not more than 0.1 percent or
$15,000,000, whichever is less, shall be made available to the
Secretary for capacity building and technical assistance,
including assistance regarding contracting and procurement
processes, to support grantees and subgrantees receiving funds
under this section.
``(6) Compliance with storm water protections.--The
Secretary shall provide that no funds made available under this
section may be used for construction, reconstruction, or
installation of any infrastructure unless the infrastructure
assisted complies with any minimum standards for protection
from floods and stormwaters, including the Federal Flood Risk
Management Standards of the Federal Emergency Management
Agency.
``(7) Flood risk mitigation.--
``(A) Requirements.--Subject to subparagraph (B),
the Secretary shall require that any structure that is
located in an area having special flood hazards and
that is newly constructed, for which substantial damage
is repaired, or that is substantially improved, using
amounts made available under this section, shall be
elevated with the lowest floor, including the basement,
at least two feet above the base flood level.
``(B) Alternative mitigation.--In the case of
existing structures consisting of multifamily housing
and row houses, the Secretary shall seek consultation
with the Administrator of the Federal Emergency
Management Agency, shall provide for alternative forms
of mitigation (apart from elevation), and shall exempt
from the requirement under subparagraph (A) any such
structure that meets the standards for such an
alternative form of mitigation.
``(C) Definitions.--For purposes of subparagraph
(A), the terms `area having special flood hazards',
`newly constructed', `substantial damage', `substantial
improvement', and `base flood level' have the same
meanings as under the Flood Disaster Protection Act of
1973 and the National Flood Insurance Act of 1968 (42
U.S.C. 4001 et seq.).
``(f) Administration.--In administering any amounts made available
for assistance under this section, the Secretary--
``(1) may not allow a grantee to use any such amounts for
any purpose other than the purpose approved by the Secretary in
the plan or amended plan submitted under subsection (c)(1) to
the Secretary for use of such amounts;
``(2) may not permit a grantee to amend a plan to
retroactively approve a beneficiary's use of funds for an
eligible activity other than an activity for which the funds
were originally approved in the plan; and
``(3) shall prohibit a grantee from delegating, by contract
or otherwise, the responsibility for inherent government
functions.
``(g) Training for Grant Management for Subgrantees.--The Secretary
shall require each grantee to provide ongoing training to all staff and
subgrantees.
``(h) Procurement Processes and Procedures for Grantees.--
``(1) Grantee processes and procedures.--In procuring
property or services to be paid for in whole or in part with
amounts from a grant under this section, a grantee shall--
``(A) follow its own procurement processes and
procedures, but only if the Secretary makes a
determination that such processes and procedures comply
with the requirements under paragraph (2); or
``(B) comply with such processes and procedures as
the Secretary shall, by regulation, establish for
purposes of this section.
``(2) Requirements.--The requirements under this paragraph
with respect to the procurement processes and procedures of a
grantee are that such processes and procedures shall--
``(A) provide for full and open competition and
require cost or price analysis;
``(B) include requirements for procurement policies
and procedures for subgrantees;
``(C) specify methods of procurement and their
applicability, but not allow cost-plus-a-percentage-of
cost or percentage-of-construction-cost methods of
procurement;
``(D) include standards of conduct governing
employees engaged in the award or administration of
contracts; and
``(E) ensure that all purchase orders and contracts
include any clauses required by Federal Statute,
Executive order, or implementing regulation.
``(3) Noncompliance.--In the case of a grantee for which
the Secretary finds pursuant to paragraph (1)(A) that its
procurement processes and procedures do not comply with
paragraph (2), the Secretary shall--
``(A) provide the grantee with specific written
notice of the elements of noncompliance and the changes
necessary to such processes and procedures to provide
for compliance;
``(B) provide the grantee a reasonable period of
time to come into compliance; and
``(C) during such period allow the grantee to
proceed with procuring property and services paid for
in whole or in part with amounts from a grant under
this section in compliance with the procurement
processes and procedures of the grantee, but only if
the Secretary determines that the grantee is making a
good faith effort to effectuate compliance with the
requirements of paragraph (2).
``(i) Treatment of CDBG Allocations.--Amounts made available for
use under this section shall not be considered relevant to the non-
disaster formula allocations made pursuant to section 106 of this title
(42 U.S.C. 5306).
``(j) Waivers.--
``(1) Authority.--Subject to the other provisions of this
section, in administering amounts made available for use under
this section, the Secretary may waive, or specify alternative
requirements for, any provision of any statute or regulation
that the Secretary administers in connection with the
obligation by the Secretary or the use by the recipient of such
funds (except for requirements related to fair housing,
nondiscrimination, labor standards, and the environment and
except for the requirements of this section), if the Secretary
makes a public finding that good cause exists for the waiver or
alternative requirement and such waiver or alternative
requirement would not be inconsistent with the overall purpose
of this title.
``(2) Notice and publication.--Any waiver of or alternative
requirement pursuant to paragraph (1) shall not take effect
before the expiration of the 5-day period beginning upon the
publication of notice in the Federal Register of such waiver or
alternative requirement.
``(3) Low- and moderate-income use.--The requirements in
this Act that apply to grants made under section 106 of this
title (except those related to the allocation) apply equally to
grants under this section unless modified by a waiver or
alternative requirement pursuant to paragraph (1).
Notwithstanding the preceding sentence, the Secretary may not
grant a waiver to reduce the percentage of funds that must be
used for activities that benefit persons of low and moderate
income to less than 70 percent, unless the Secretary
specifically finds that there is compelling need to further
reduce the percentage requirement and that funds are not
necessary to address the housing needs of low- and moderate-
income residents.
``(4) Prohibition.--The Secretary may not waive any
provision of this section pursuant to the authority under
paragraph (1).
``(k) Environmental Review.--
``(1) Adoption.--Notwithstanding subsection (j)(1),
recipients of funds provided under this section that use such
funds to supplement Federal assistance provided under section
402, 403, 404, 406, 407, 408(c)(4), 428, or 502 of the Robert
T. Stafford Disaster Relief and Emergency Assistance Act (42
U.S.C. 5121 et seq.) may adopt, without review or public
comment, any environmental review, approval, or permit
performed by a Federal agency, and such adoption shall satisfy
the responsibilities of the recipient with respect to such
environmental review, approval, or permit under section
104(g)(1) of this title (42 U.S.C. 5304(g)(1)).
``(2) Release of funds.--Notwithstanding section 104(g)(2)
of this title (42 U.S.C. 5304(g)(2)), the Secretary may, upon
receipt of a request for release of funds and certification,
immediately approve the release of funds for an activity or
project assisted with amounts made available for use under this
section if the recipient has adopted an environmental review,
approval or permit under paragraph (1) or the activity or
project is categorically excluded from review under the
National Environmental Policy Act of 1969 (42 U.S.C. 4321 et
seq.).
``(l) Collection of Information; Audits and Oversight.--
``(1) Collection of information.--For each major disaster
for which assistance is made available under this section, the
Secretary shall collect information from grantees regarding all
recovery activities so assisted, including information on
applicants and recipients of assistance, and shall make such
information available to the public and to the Inspector
General for the Department of Housing and Urban Development on
a monthly basis using uniform data collection practices, and
shall provide a monthly update to the Congress regarding
compliance with this section. Information collected and
reported by grantees and the Secretary shall be disaggregated
by program, race, income, geography, and all protected classes
of individuals under the Robert T. Stafford Disaster Relief and
Emergency Assistance Act, the Americans with Disabilities Act
of 1990, the Fair Housing Act, the Civil Rights Act of 1964,
and other civil rights and nondiscrimination protections, with
respect to the smallest census tract, block group, or block
possible for the data set.
``(2) Availability of information.--In carrying out this
paragraph, the Secretary may make full and unredacted
information available to academic and research institutions for
the purpose of research into the equitable distribution of
recovery funds, adherence to civil rights protections, and
other areas.
``(3) Protection of information.--The Secretary shall take
such actions and make such redactions as may be necessary to
ensure that personally identifiable information regarding
recipients of assistance provided from funds made available
under this section shall not be made publicly available.
``(4) Audits and oversight.--In conducting audits, reviews,
oversight, evaluation, and investigations, in addition to
activities designed to prevent and detect waste, fraud, and
abuse, the Inspector General shall review programs of grantees
under this section for providing disaster relief and recovery
assistance to ensure such programs fulfill their agreed-upon
purposes and serve all eligible applicants for disaster relief
or recovery assistance.
``(m) Best Practices.--
``(1) Study.--The Secretary shall direct the Office
Community Planning and Development to collaborate with the
Office of Policy Development and Research to identify best
practices for grantees on issues including developing the
action plan under subsection (c) and substantive amendments,
establishing financial controls, building grantee technical and
administrative capacity, procurement, compliance with Fair
Housing Act statute and regulations, and use of grant funds as
local match for other sources of Federal funding. The Secretary
shall publish a compilation of such identified best practices
and share with all relevant grantees to facilitate a more
efficient and effective disaster recovery process. The
compilation shall include guidelines for housing and economic
revitalization programs, including mitigation, with sufficient
model language on program design for grantees to incorporate
into action plans. The compilation shall include standards for
at least form of application, determining unmet need, and
income eligibility.
``(2) Promulgation.--After publication of the final
compilation, the Secretary shall issue either Federal
regulations, as part of the final rule for the above
authorization or as a separate rule, or a Federal Register
notice that establishes the requirements which grantees must
follow in order to qualify for expedited review and approval.
Such guidance shall establish standard language for inclusion
in action plans under subsection (c) and for establishing
standardized programs and activities recognized by the
Secretary. Use of best practices shall not preclude grantees
from standard requirements for public comment, community
engagement, and online posting of the action plan. Use of
promulgated best practices shall allow for an expedited review
process, under which the Secretary will approve or disapprove
such programs within 30 days. The Secretary shall publish the
draft compilation of best practices on its website and allow
the public 60 days to submit comments. The Secretary shall
review all public comments and publish a final compilation
within one year from the date of enactment. The Secretary may
revise the requirements for best practices at any time after a
public comment period of at least 60 days.
``(n) Plan Pre-Certification for Units of General Local
Government.--
``(1) In general.--The Secretary shall carry out a program
under this subsection to provide for units of general local
government to pre-certify as eligible grantees for assistance
under this section. The objective of such program shall be to--
``(A) allow grantees that have consistently
demonstrated the ability to administer funds
responsibly and equitably in similar disasters to
utilize in subsequent years plans which are
substantially similar to those the Department has
previously approved; and
``(B) facilitate the re-use of a plan or its
substantially similar equivalent by a pre-certified
grantee for whom the plan has previously been approved
and executed upon.
``(2) Requirements.--To be eligible for pre-certification
under the program under this subsection a unit of general local
government shall--
``(A) demonstrate to the satisfaction of the
Secretary compliance with the requirements of this
section; and
``(B) have previously submitted a plan or its
substantially similar equivalent and received
assistance thereunder as a grantee or subgrantee under
this section, or with amounts made available for the
Community Development Block Grant--Disaster Recovery
account, in connection with two or more major disasters
declared pursuant to the Robert T. Stafford Disaster
Relief and Emergency Assistance Act (42 U.S.C. 5121 et
seq.).
``(3) Approval of plans.--
``(A) Expedited approval processes.--The Secretary
shall establish and maintain processes for expediting
approval of plans for units of general local government
that are pre-certified under this subsection.
``(B) Effect of pre-certification.--Pre-
certification pursuant to this subsection shall not--
``(i) establish any entitlement to, or
priority or preference for, allocation of funds
made available under this section; or
``(ii) exempt any grantee from complying
with any of the requirements under, or
established pursuant to, subsection (c) or (d).
``(4) Duration.--Pre-certification under this subsection
shall be effective for a term of 10 years.
``(o) Deposit of Unused Amounts in Fund.--
``(1) In general.--If any amounts made available for
assistance under this section to grantees remain unexpended
upon the earlier of--
``(A) the date that the grantee of such amounts
notifies the Secretary that the grantee has completed
all activities identified in the grantee's plan for use
of such amounts that was approved by the Secretary in
connection with such grant; or
``(B) the expiration of the 6-year period beginning
upon the Secretary obligating such amounts to the
grantee, as such period may be extended pursuant to
paragraph (2), the Secretary shall transfer such
unexpended amounts to the Secretary of the Treasury for
deposit into the Community Development Block Grant
Disaster Recovery Reserve Fund established under
section 124, except that the Secretary may, by
regulation, permit the grantee to retain amounts needed
to close out the grant.
``(2) Extension of period for use of funds.--The period
under paragraph (1)(B) shall be extended by not more than 4
years if, before the expiration of such 6-year period, the
Secretary waives this requirement and submits a written
justification for such waiver to the Committees on
Appropriations of the House of Representatives and the Senate
that specifies the period of such extension.
``(p) Definitions.--For purposes of this section:
``(1) Grantee.--The term `grantee' means a recipient of
funds made available under this section after its enactment.
``(2) Substantially similar.--The term `substantially
similar' means, with respect to a plan, a plan previously
approved by the Department, administered successfully by the
grantee, and relating to disasters of the same type.
``(3) Other terms.--Within one year of enactment of this
section, the Department shall issue rules to define the
following terms:
``(A) Unmet needs.
``(B) Most impacted and distressed.
``(C) Substantial compliance.
``(D) Full and open competition.
``(E) Cost plus a percentage of cost.
``(F) Percentage of construction cost.
``SEC. 124. COMMUNITY DEVELOPMENT BLOCK GRANT DISASTER RECOVERY RESERVE
FUND.
``(a) Establishment.--There is established in the Treasury of the
United States an account to be known as the Community Development Block
Grant Disaster Recovery Reserve Fund (in this section referred to as
the `Fund').
``(b) Amounts.--The Fund shall consist of any amounts appropriated
to or deposited into the Fund, including amounts deposited into the
Fund pursuant to section 123(o).
``(c) Use.--Amounts in the Fund shall be available, pursuant to the
occurrence of a major disaster declared under the Robert T. Stafford
Disaster Relief and Emergency Assistance Act, only for providing
technical assistance and capacity building in connection with section
123 for grantees under such section that have been allocated assistance
under such section in connection with such disaster to facilitate
planning required under such section and increase capacity to
administer assistance provided under such section.''.
(b) Regulations.--
(1) Proposed rule.--Not later than the expiration of the 6-
month period beginning on the date of the enactment of this
Act, the Secretary of Housing and Urban Development shall issue
proposed rules to carry out sections 123 and 124 of the Housing
and Community Development Act of 1974, as added by the
amendment made by subsection (a) of this section, and shall
provide a 90-day period for submission of public comments on
such proposed rule.
(2) Final rule.--Not later than the expiration of the 12-
month period beginning on the date of the enactment of this
Act, the Secretary of Housing and Urban Development shall issue
final regulations to carry out sections 123 and 124 of the
Housing and Community Development Act of 1974, as added by the
amendment made by subsection (a) of this section.
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