[Congressional Record Volume 153, Number 100 (Wednesday, June 20, 2007)]
[Senate]
[Pages S8064-S8077]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. DODD (for himself and Ms. Landrieu):
  S. 1668. A bill to assist in providing affordable housing to those 
affected by the 2005 hurricanes; to the Committee on Banking, Housing, 
and Urban Affairs.
  Mr. DODD. Mr. President, today, Senator Landrieu and I come to the 
floor to introduce the Gulf Coast Housing Recovery Act of 2007. This 
bill will help jump-start economic development in the communities 
devastated by Hurricanes Katrina and Rita. It will also help bring 
people home so they can resume their lives.
  At the outset, let me recognize Senator Landrieu for all of her 
efforts to secure assistance for the people of Louisiana, who suffered 
the lion's share of damage from the 2005 hurricanes. She has worked 
tirelessly, every day since the storms, to ensure that Louisianans and 
others in the gulf coast can return to vibrant towns and cities. I also 
want to recognize the work of Congresswoman Waters and Financial 
Services Chairman Frank, who laid the groundwork for this legislation 
in the House. They did an outstanding job of ushering a housing 
recovery bill through the House.
  The bill we are introducing today does the following: it authorizes 
additional funding to help rebuild the gulf coast; it requires the 
Federal, state and local governments to take additional actions to 
bring people home; and it requires accountability on the part of FEMA, 
HUD, and the states and cities receiving Federal funds.
  Almost 2 years after the devastation of Hurricane Katrina, hundreds 
of thousands of people remain in limbo, wondering if they will be able 
to return home. The population in New Orleans remains at about half of 
pre-Katrina levels, though local groups and residents have made clear 
that many more want to return. Unfortunately, many of these families 
have no home to return to, and there is great uncertainty about whether 
adequate services will be available if they do return. As of April of 
this year, less than half of New Orleans' public schools, a third of 
its child care centers, and half of its hospitals were open.
  Over 82,000 families from across the devastated region are still 
living in FEMA trailers, which were recently found to contain toxic 
chemicals. Over 32,000 families are receiving temporary rental 
assistance through HUD, and over 11,000 others are receiving temporary 
rental assistance through HUD. Tens of thousands of other families are 
being assisted by cities, counties and individuals throughout the gulf 
region and our country.

[[Page S8065]]

  Much has already been done to help restore the gulf coast. Billions 
of dollars have been spent to house evacuees and clean up areas of 
Texas, Louisiana, Alabama and Mississippi. In addition, emergency CDBG 
funds have been appropriated to help families start to rebuild their 
homes and their lives. While these funds are finally getting to people 
in need, the reach of these funds is limited, to a great extent, to 
those who owned homes prior to the storms. Both Louisiana and 
Mississippi have understandably focused their efforts on getting homes 
rebuilt, and I support their efforts to help people whose largest asset 
was washed away. However, we must not forget the large number of 
residents who were renters at the time of the storms, many of whom held 
jobs that were critical to the economy and the culture of the gulf 
coast, including jobs necessary for the tourism and fishing industries.

  In New Orleans, over half of the rental housing was flooded. We have 
an obligation, as a fair society, to ensure that all of our citizens in 
the gulf coast, including renters, are given the opportunity to return 
home, and the bill that Senator Landrieu and I are introducing today 
will do that.
  This bill helps to do six key things that are necessary to help those 
displaced as a result of the hurricanes return to thriving cities and 
towns: it helps to bring people home; it replaces lost housing; it 
creates homeownership opportunities; it spurs economic and community 
development; it provides continued assistance to evacuees; and it 
requires accountability so that funds are properly used.
  There are numerous provisions in our bill that will help families of 
all income levels return to a stronger gulf coast. I want to highlight 
a few of these provisions.
  While most of the funds already provided to individuals for 
rebuilding efforts have gone to homeowners, even those funds have 
proven to be insufficient. The Louisiana Road Home program has pledged 
all of its funds, leaving many eligible homeowners without any 
assistance. This bill authorizes funding necessary to make this program 
whole so long as the State of Louisiana puts up $1 billion of its own 
funds towards this shortfall. I will be working with Senator Landrieu 
over the coming weeks to get a better sense of the exact amount needed 
in this program, why a shortfall of this amount exists, and to 
determine the legitimate uses of these funds.
  Prior to the storm, there were over 5,200 families living in public 
housing in New Orleans, and thousands of others throughout the Gulf 
States. Many of these families include people with disabilities, 
seniors, and children. We cannot turn our backs on them.
  HUD is currently running the Housing Authority of New Orleans, HANO, 
and it plans to demolish much of the public housing without replacing 
many of the affordable units. I believe this is shortsighted. I 
understand that in rebuilding New Orleans, there are many who advocate 
deconcentrating poverty, and I believe we can achieve this goal without 
sacrificing needed affordable housing. Under the bill we are 
introducing today, every unit of public housing that was occupied prior 
to the storm must be replaced, but not necessarily with a traditional 
public housing unit, nor in a traditional public housing setting.
  In order to facilitate the replacement of public housing in New 
Orleans, this bill takes HANO out of HUD's hands, and puts it into 
judicial receivership. HANO has been a troubled agency for many years, 
and HUD control has not led to enough improvement. We need significant 
change at this agency.
  This bill helps to spur much-needed development. It requires $55 
million from funds previously given to the State of Louisiana to be 
used to help finance community development pilot programs in the State 
so that land can be acquired, bundled sold for redevelopment. In 
addition, the bill establishes an innovative program, the FHA-New 
Orleans Homeownership Opportunities Initiative, under which HUD will 
transfer to the New Orleans Redevelopment Authority properties which 
are under HUD control to be used for homeownership opportunities for 
low-income families.
  While providing large amounts of Federal funds to the disaster area, 
it is important to ensure that funds are used correctly and are not 
subject to waste, fraud and abuse. This bill has stringent monitoring 
and reporting requirements that apply to FEMA, HUD, and the States 
receiving emergency funds so that the Congress can keep tabs on the 
disaster spending and ensure funds are being used efficiently and 
effectively to help rebuild and strengthen the gulf coast.
  The Gulf Coast Housing Recovery Act of 2007 is a critical step 
towards rebuilding the gulf coast. It is supported by a broad coalition 
of national organizations, including the AARP, ACORN, Enterprise 
Community Partners, Lawyers Committee for Civil Rights Under Law, the 
Mortgage Bankers Association, the National Alliance to End 
Homelessness, the NAACP, the National Association of Homebuilders, the 
National Association of Realtors, the National Fair Housing Alliance, 
the National Low Income Housing Coalition, US Jesuit Conference, 
Volunteers of America, as well as Gulf Coast organizations such as 
Alabama Arise, Catholic Charities of New Orleans, Greater New Orleans 
Fair Housing Action Center, the Louisiana Association of Nonprofit 
Organizations, and Providence Community Housing.
  Again, I would like to thank my colleague Senator Landrieu for her 
work to restore the lives of so many of her constituents and others in 
the gulf coast region. I urge my colleagues to support this bill so 
that needed housing and community development activities can be 
undertaken in the gulf coast.
  Mr. President, I ask unanimous consent that the text of the bill and 
letters of support be printed in the Record.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:

                                S. 1668

       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 ``Gulf Coast 
     Housing Recovery Act of 2007''.
       (b) Table of Contents.--The table of contents for this Act 
     is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Limitation on use of authorized amounts.

              TITLE I--COMMUNITY DEVELOPMENT BLOCK GRANTS

Sec. 101. Flexibility of Federal Funds for Road Home Program.
Sec. 102. Household assistance programs funded with CDBG disaster 
              assistance.
Sec. 103. Community development pilot programs.
Sec. 104. Road Home Program shortfall.
Sec. 105. Elimination of prohibition of use for match requirement.
Sec. 106. Reimbursement of amounts used for rental housing assistance.

                        TITLE II--PUBLIC HOUSING

Sec. 201. Survey of public housing residents.
Sec. 202. Housing for previous residents of public housing.
Sec. 203. Replacement of public housing dwelling units.
Sec. 204. Resident support services.
Sec. 205. Public housing in Katrina and Rita disaster areas.
Sec. 206. Reports on proposed conversions of public housing units.
Sec. 207. Authorization of appropriations for repair and rehabilitation 
              for Katrina and Rita disaster areas.
Sec. 208. Existing public housing redevelopment.
Sec. 209. Reports on compliance.
Sec. 210. Independent administration of Housing Authority of New 
              Orleans.
Sec. 211. Definition.

TITLE III--DISASTER VOUCHER PROGRAM AND PROJECT-BASED RENTAL ASSISTANCE

Sec. 301. Disaster voucher program.
Sec. 302. Tenant replacement vouchers for all lost units.
Sec. 303. Voucher assistance for households receiving FEMA assistance.
Sec. 304. Voucher assistance for supportive housing.
Sec. 305. Project-basing of vouchers.
Sec. 306. Preservation of project-based housing assistance payments 
              contracts for dwelling units damaged or destroyed.
Sec. 307. GAO study of wrongful or erroneous termination of Federal 
              rental housing assistance.

              TITLE IV--DAMAGES ARISING FROM FEMA ACTIONS

Sec. 401. Reimbursement of landlords.

                          TITLE V--FHA HOUSING

Sec. 501. Treatment of nonconveyable properties.
Sec. 502. FHA single-family insurance.
Sec. 503. FHA-New Orleans Homeownership Opportunities Initiative.

                   TITLE VI--FAIR HOUSING ENFORCEMENT

Sec. 601. Fair housing initiatives program.

[[Page S8066]]

TITLE VII--IMPROVED DISTRIBUTION OF FEDERAL HURRICANE HOUSING FUNDS FOR 
                            HURRICANE RELIEF

Sec. 701. GAO study of improved distribution of Federal housing funds 
              for hurricane relief.

     TITLE VIII--COMMENDING AMERICANS FOR THEIR REBUILDING EFFORTS

Sec. 801. Commending Americans.

     SEC. 2. LIMITATION ON USE OF AUTHORIZED AMOUNTS.

       None of the amounts authorized by this Act may be used to 
     lobby or retain a lobbyist for the purpose of influencing a 
     Federal, State, or local governmental entity or officer.

              TITLE I--COMMUNITY DEVELOPMENT BLOCK GRANTS

     SEC. 101. FLEXIBILITY OF FEDERAL FUNDS FOR ROAD HOME PROGRAM.

       (a) Prohibition of Restriction on Use of Amounts.--
       (1) In general.--Subject to paragraph (4) and 
     notwithstanding any other provision of law, the Administrator 
     of the Federal Emergency Management Agency shall allow the 
     uses specified in paragraph (2), by the State of Louisiana 
     under the Road Home Program of such State, of any amounts 
     specified in paragraph (5), provided such funds are used in 
     full compliance with the requirements of the Department of 
     Housing and Urban Development's Supplemental Community 
     Development Block Grant Program, as such requirements are 
     established under title I of the Housing and Community 
     Development Act of 1974 (42 U.S.C. 5301 et seq.).
       (2) Eligible uses.--As specified in paragraph (1), the 
     Administrator of the Federal Emergency Management Agency 
     shall allow the State of Louisiana to use any amounts 
     specified in paragraph (5) for the purposes of--
       (A) acquiring property, including both land and buildings, 
     for the purposes of removing any structure located on such 
     property and permanently returning the property to a use 
     compatible with open space, as required pursuant to section 
     404 of the Robert T. Stafford Disaster Relief and Emergency 
     Assistance Act (42 U.S.C. 5170c);
       (B) covering all or a portion of the cost of elevating a 
     damaged residential structure located on any property 
     acquired under subparagraph (A) in order to make the property 
     compliant with State building codes, local ordinances or 
     building requirements, and the National Flood Insurance 
     Program, including elevating the lowest habitable level to at 
     least 1 foot above the base flood elevation or the elevation 
     described using the current best available data from the 
     Federal Emergency Management Agency, whichever elevation is 
     higher;
       (C) covering all or a portion of the cost of--
       (i) the demolition of any home deemed to be more than 50 
     percent damaged as a result of an inspection; and
       (ii) the reconstruction of another home on the same 
     property on which a home was demolished under clause (i), 
     including site preparation, utility connection, and 
     transactional costs, such that the newly constructed home is 
     elevated so the lowest habitable level will be at least 1 
     foot above the base flood elevation or the elevation 
     described using the current best available data from the 
     Federal Emergency Management Agency, whichever elevation is 
     higher;
       (D) funding individual mitigation measures that can be 
     incorporated into a home to reduce risk to both life and 
     property, provided that no individual measure to be funded 
     costs in excess of $7,500; and
       (E) covering the reasonable cost to manage and administer 
     such funds consistent with existing funding formulas 
     identified under the Robert T. Stafford Disaster Relief and 
     Emergency Assistance Act (42 U.S.C. 5121 et seq.) and its 
     implementing regulations.
       (3) Consistency requirement.--Uses specified in paragraph 
     (2) shall be deemed eligible when implemented in a way 
     consistent with the requirements of the Department of Housing 
     and Urban Development's Supplemental Community Development 
     Block Grant Program, as such requirements are established 
     under title I of the Housing and Community Development Act of 
     1974 (42 U.S.C. 5301 et seq.), irrespective of any other 
     requirements mandated under the Hazard Mitigation Grant 
     Program under section 404 of the Robert T. Stafford Disaster 
     Relief and Emergency Assistance Act (42 U.S.C. 5170c).
       (4) Savings provision.--Except as provided in paragraph 
     (3), all other provisions of section 404 of the Robert T. 
     Stafford Disaster Relief and Emergency Assistance Act (42 
     U.S.C. 5170c) shall apply to amounts specified in paragraph 
     (3) that are used by the State of Louisiana under the Road 
     Home Program of such State.
       (5) Covered amounts.--The amounts specified in this 
     paragraph is $1,170,000,000 designated for Hurricanes Katrina 
     and Rita under the Hazard Mitigation Grant Program of the 
     Federal Emergency Management Agency to the State of Louisiana 
     as of June 1, 2007.
       (6) Expedited transfer of funds.--
       (A) In general.--The Administrator of the Federal Emergency 
     Management Agency shall, not later than 90 days after the 
     date of enactment of this Act, transfer the amounts specified 
     in paragraph (5) to the State of Louisiana.
       (B) Procedures.--The Administrator of the Federal Emergency 
     Management Agency shall identify and implement mechanisms to 
     be applied to all funds made available to the State of 
     Louisiana as a result of Hurricanes Katrina and Rita under 
     the Hazard Mitigation Grant Program under section 404 of the 
     Robert T. Stafford Disaster Relief and Emergency Assistance 
     Act (42 U.S.C. 5170c) that will simplify the requirements of 
     such program and ensure the expedited distribution of such 
     funds under the program, including--
       (i) creating a programmatic cost-benefit analysis to 
     provide a means of conducting cost-benefit analysis by 
     project type and geographic factors rather than on a 
     structure-by-structure basis; and
       (ii) developing a streamlined environmental review process 
     to significantly speed the approval of project applications.
       (7) Future amounts.--Notwithstanding the provisions of this 
     section, for the period beginning June 1, 2007 and ending 
     December 31, 2007, any amounts in addition to the 
     $1,170,000,000 described under paragraph (5) that are made 
     available to the State of Louisiana as a result of Hurricanes 
     Katrina and Rita under the Hazard Mitigation Grant Program 
     under section 404 of the Robert T. Stafford Disaster Relief 
     and Emergency Assistance Act (42 U.S.C. 5170c) shall be 
     provided by such State to local government entities, based 
     upon the severity of hurricane damage incurred in such areas, 
     to be used solely for the purposes set forth under such 
     section 404.
       (b) Reporting Requirement.--The Administrator of the 
     Federal Emergency Management Agency shall provide quarterly 
     reports to the Committees on Banking, Housing, and Urban 
     Affairs, and Homeland Security and Governmental Affairs of 
     the Senate, and the Committees on Financial Services and 
     Transportation and Infrastructure of the House of 
     Representatives on--
       (1) specific mechanisms that are being utilized to expedite 
     funding distribution under this section; and
       (2) how such mechanisms are performing.

     SEC. 102. HOUSEHOLD ASSISTANCE PROGRAMS FUNDED WITH CDBG 
                   DISASTER ASSISTANCE.

       (a) Reporting Requirement.--Each State that received 
     amounts made available under the heading ``Department of 
     Housing and Urban Development--Community Planning and 
     Development--Community Development Fund'' in chapter 9 of 
     title I of division B of Public Law 109-148 (119 Stat. 2779) 
     or under such heading in chapter 9 of title II of Public Law 
     109-234 (120 Stat. 472) shall submit reports, and make such 
     reports available to the public on the Internet, under this 
     subsection regarding each grant program of the State for 
     assistance for individual households funded in whole or in 
     part with such amounts to the committees identified in 
     paragraph (4). Each such report under this subsection shall 
     describe and analyze the status and effectiveness of each 
     such grant program and shall include the information 
     described in paragraph (2) regarding each such program, for 
     the applicable reporting period and for the entire period of 
     such program.
       (b) Contents.--The following information shall be included 
     in any report submitted under subsection (a):
       (1) The number of applications submitted for assistance 
     under the program.
       (2) The number of households for which assistance has been 
     provided under the program.
       (3) The average amount of assistance requested and provided 
     for each household under the program and the total amount of 
     assistance provided under the program.
       (4) The number of personnel involved in executing all 
     aspects of the program.
       (5) Actions to affirmatively further fair housing.
       (6) Comprehensive data, by program, on who is served during 
     the period, by number, percentage, and zip code, including 
     data on race, ethnicity, income, disability, family size, and 
     family status.
       (7) Actions taken to improve the program and 
     recommendations for further such improvements.
       (c) Reporting Periods.--With respect to any program 
     described in subsection (a), the first report under this 
     section shall be submitted not later than the expiration of 
     the 30-day period that begins upon the date of the enactment 
     of this Act. Reports shall be submitted, during the term of 
     each such program, not later than the expiration of each 
     successive calendar quarter thereafter.
       (d) Receiving Committees.--The committees specified in this 
     paragraph are--
       (1) the Committees on Banking, Housing, and Urban Affairs 
     and Homeland Security and Governmental Affairs of the Senate; 
     and
       (2) the Committees on Financial Services and Transportation 
     and Infrastructure of the House of Representatives.
       (e) Ongoing Reports on Use of Amounts.--
       (1) Quarterly reports.--During the period that amounts are 
     being expended under the State grant programs referred to in 
     subsection (a), the Secretary of Housing and Urban 
     Development shall submit reports on a quarterly basis to the 
     Committees on Banking, Housing, and Urban Affairs and 
     Homeland Security and Governmental Affairs of the Senate, the 
     Committees on Financial Services and Transportation and 
     Infrastructure of the House of Representatives, and the 
     Comptroller General of the United States. Such reports shall 
     be made available to the public on the Internet. Such reports 
     shall--
       (A) describe and account for the use of all such amounts 
     expended during the applicable quarterly period;
       (B) certify that internal controls are in place to prevent 
     waste, fraud, and abuse; and

[[Page S8067]]

       (C) identify any waste, fraud, or abuse involved in the use 
     of such amounts.
       (2) Monitoring.--The Secretary of Housing and Urban 
     Development shall monitor funds expended by each State 
     required to submit reports under subsection (a) and, pursuant 
     to such monitoring--
       (A) upon determining that at least 2 percent of such amount 
     has been expended, shall include in the first quarterly 
     report thereafter a written determination of such 
     expenditure; and
       (B) upon determining, at any time after the determination 
     under subparagraph (A), that the portion of such total amount 
     expended at such time that was subject to waste, fraud, or 
     abuse exceeds 10 percent, shall include in the first 
     quarterly report thereafter a certification to that effect.
       (3) Actions in response to waste, fraud, and abuse.--If at 
     any time the Secretary of Housing and Urban Development 
     submits a report under paragraph (1) that includes a 
     certification under paragraph (2)(B), the Comptroller General 
     shall submit a report to the Committees referred to in 
     paragraph (1) within 90 days recommending actions to be 
     taken--
       (A) to recover any improper expenditures; and
       (B) to prevent further waste, fraud, and abuse in 
     expenditure of such amounts.

     SEC. 103. COMMUNITY DEVELOPMENT PILOT PROGRAMS.

       (a) Availability of Amounts.--The Secretary of Housing and 
     Urban Development shall require the State of Louisiana to 
     make available, from any amounts made available for such 
     State under the heading ``Department of Housing and Urban 
     Development--Community Planning and Development--Community 
     Development Fund'' in chapter 9 of title I of division B of 
     Public Law 109-148 (119 Stat. 2779) or under such heading in 
     chapter 9 of title II of Public Law 109-234 (120 Stat. 472) 
     and that remain unexpended, the following amounts:
       (1) For orleans parish.--$30,000,000 to the New Orleans 
     Redevelopment Authority (in this section referred to as the 
     ``Redevelopment Authority''), subject to subsection (c), only 
     for use to carry out the pilot program under this section, 
     provided that, of such amounts, $5,000,000 be used to provide 
     low-interest loans for second mortgages (commonly referred to 
     as ``soft'' loans) for homes sold to low-income individuals.
       (2) Other parishes.--$25,000,000 to the Louisiana Housing 
     Finance Agency to provide grants to parishes, not including 
     Orleans Parish, that were declared a disaster area by the 
     President as a result of Hurricanes Katrina and Rita of 2005 
     to establish redevelopment programs in those parishes that 
     have requirements that are the same or substantially similar 
     to the requirements under this section.
       (b) Purpose.--The pilot program under this section shall 
     fund, through the combination of amounts provided under this 
     section with public and private capital from other sources, 
     the purchase or costs associated with the acquisition or 
     disposition of individual parcels of land in New Orleans, 
     Louisiana, by the Redevelopment Authority to be aggregated, 
     assembled, and sold for the purpose of development by the 
     Redevelopment Authority or private entities only in 
     accordance with, and subject to, any recovery and 
     redevelopment plans developed and adopted by the City of New 
     Orleans. The costs associated with acquisition or disposition 
     of a parcel of land may include costs for activities 
     described in subsection (c)(3) with respect to such parcel 
     and costs described in subsection (c)(6).
       (c) Certifications.--The Secretary of Housing and Urban 
     Development shall ensure that amounts are made available 
     pursuant to subsection (a) to the Redevelopment Authority 
     only upon the submission to the Secretary of certifications 
     to ensure that the Redevelopment Authority--
       (1) has the authority to purchase land for resale for the 
     purpose of development in accordance with the pilot program 
     under this section;
       (2) has bonding authority (either on its own or through a 
     State bonding agency) or has credit enhancements sufficient 
     to support public/private financing to acquire land for the 
     purposes of the pilot program under this section;
       (3) has the authority and capacity to ensure clean title to 
     land sold under the pilot program and to reduce the risk 
     attributable to and indemnify against environmental, flood, 
     and other liabilities;
       (4) will, where practicable, provide a first right to 
     purchase any land acquired by the Redevelopment Authority to 
     the seller who sold the land to the Redevelopment Authority, 
     consistent with any recovery and redevelopment plans 
     developed and adopted by the City of New Orleans;
       (5) has in place sufficient internal controls to prevent 
     waste, fraud, and abuse and to ensure that funds made 
     available under this subsection may not be used to fund 
     salaries or other administrative costs of the employees of 
     the Redevelopment Authority; and
       (6) will, in carrying out the pilot program under this 
     section, consult with the City of New Orleans regarding 
     coordination of activities under the program with the 
     recovery and redevelopment plans referred to in subsection 
     (b), reimbursement of such City for costs incurred in support 
     of the program, and use of program income and other amounts 
     generated through the program.
       (d) Development Requirements.--In carrying out the pilot 
     program under this section, the Redevelopment Authority 
     shall--
       (1) sell land acquired under the pilot program only as 
     provided in subsection (b);
       (2) use any proceeds from the sale of such land to 
     replenish funds available for use under the pilot program for 
     the purpose of acquiring new parcels of land or to repay any 
     private financing for such purchases;
       (3) require that in instances where land is developed under 
     this section, and used for housing, not less than 25 percent 
     of such housing be affordable and made available to low-, 
     very low-, and extremely low-income households;
       (4) sell land only--
       (A) to purchasers who agree to develop such sites for sale 
     to the public;
       (B) to purchasers pursuant to subsection (c)(4); or
       (C) to developers who are developing sites, including 
     public housing development sites, as part of a neighborhood 
     revitalization plan;
       (5) ensure that any--
       (A) development under the program is consistent with 
     neighborhood revitalization plans and in accordance with any 
     recovery and redevelopment plans developed and adopted by the 
     City of New Orleans; and
       (B) uses of such development are not inconsistent with 
     redevelopment of adjacent parcels, where possible; and
       (6) where properties are located in neighborhoods where 
     public housing redevelopment is occurring, give priority 
     consideration to making such properties available to meet the 
     housing replacement requirements under this Act.
       (e) Inapplicability of Stafford Act Limitations.--Any 
     requirements or limitations under or pursuant to the Robert 
     T. Stafford Disaster Relief and Emergency Assistance Act 
     relating to use of properties acquired with amounts made 
     available under such Act for certain purposes, restricting 
     development of such properties, or limiting subsequent 
     alienation of such properties shall not apply to amounts 
     provided under this section or properties acquired under the 
     pilot program with such amounts.
       (f) GAO Study and Report.--
       (1) In general.--Upon the expiration of the 2-year period 
     beginning on the date of the enactment of this Act, the 
     Comptroller General of the United States shall conduct a 
     study of the pilot program carried out under this section to 
     determine the effectiveness and limitations of, and potential 
     improvements for, such program.
       (2) Timing of report.--Not later than 180 days after the 
     expiration of the 2-year period described in paragraph (1), 
     the Comptroller General shall submit a report to the 
     Committees on Banking, Housing, and Urban Affairs and 
     Homeland Security and Governmental Affairs of the Senate, and 
     the Committees on Financial Services and Transportation and 
     Infrastructure of the House of Representatives and regarding 
     the results of the study.
       (3) Required content.--The report required under paragraph 
     (2) shall include a forensic audit that examines the 
     effectiveness of internal controls to prevent waste, fraud, 
     and abuse within the pilot program.

     SEC. 104. ROAD HOME PROGRAM SHORTFALL.

       (a) Authorization of Appropriations.--There are authorized 
     to be appropriated such sums as may be necessary for the 
     State of Louisiana to carry out the Road Home Program, 
     provided that as of June 1, 2007, the State of Louisiana has 
     provided at least $1,000,000,000 for such program.
       (b) Exception From Prohibition on Duplication of 
     Benefits.--Notwithstanding any other provision of law, to the 
     extent that amounts made available under the heading 
     ``Department of Housing and Urban Development-Community 
     Planning and Development--Community Development Fund'' in 
     chapter 9 of title I of division B of Public Law 109-148 (119 
     Stat. 2779), under such heading in chapter 9 of title II of 
     Public Law 109-234 (120 Stat. 472), and under section 101 of 
     this title, are used by the State of Louisiana under the Road 
     Home Program, the procedures preventing duplication of 
     benefits established pursuant to the penultimate proviso 
     under such heading in Public Law 109-148 (119 Stat. 2781) and 
     the 15th proviso under such heading in Public Law 109-234 
     (120 Stat. 473) shall not apply with respect to any benefits 
     received from disaster payments from the Federal Emergency 
     Management Agency, or disaster assistance provided from the 
     Small Business Administration, except to the extent that the 
     inapplicability of such procedures would result in a 
     household receiving more than is necessary to repair or 
     rebuild their structure and property, and pay for temporary 
     relocation and necessities.

     SEC. 105. ELIMINATION OF PROHIBITION OF USE FOR MATCH 
                   REQUIREMENT.

       (a) In General.--Notwithstanding any other provision of 
     law, any amounts made available before the date of the 
     enactment of this Act for activities under the Community 
     Development Block Grant Program under title I of the Housing 
     and Community Development Act of 1974 (42 U.S.C. 5301 et 
     seq.) for expenses related to disaster relief, long-term 
     recovery, and restoration of infrastructure in the areas 
     impacted or distressed by the consequences of Hurricane 
     Katrina, Rita, or Wilma in States for which the President 
     declared a major disaster, or made available before such date 
     of enactment for such activities for such expenses in the 
     areas impacted or distressed by the consequences of Hurricane 
     Dennis, may be used by a State or locality as a matching 
     requirement, share, or contribution for any other Federal 
     program.

[[Page S8068]]

       (b) Efficient Environmental Review.--If an environmental 
     review for a project funded by any amounts referred to in 
     subsection (a) has been completed by a Federal agency, such 
     environmental review shall be considered sufficient for 
     receipt and use of all Federal funds, provided that such 
     environmental review is substantially similar to an 
     environmental review under the procedures authorized under 
     section 104(g) of the Housing and Community Development Act 
     of 1974 (42 U.S.C. 5304(g)).

     SEC. 106. REIMBURSEMENT OF AMOUNTS USED FOR RENTAL HOUSING 
                   ASSISTANCE.

       There are authorized to be appropriated, from any amounts 
     made available before the date of the enactment of this Act 
     under any provision of law to the Federal Emergency 
     Management Agency for disaster relief under the Robert T. 
     Stafford Disaster Relief and Emergency Assistance Act 
     relating to the consequences of Hurricane Katrina, Rita, or 
     Wilma that remain unobligated, and from any amounts made 
     available before such date of enactment under any provision 
     of law to such Agency for such disaster relief relating to 
     the consequences of Hurricane Dennis that remain unobligated, 
     such sums as may be necessary to be made available to the 
     Administrator of the Federal Emergency Management Agency for 
     transfer to the Secretary of Housing and Urban Development, 
     for such Secretary to provide assistance under title I of the 
     Housing and Community Development Act of 1974 (42 U.S.C. 5301 
     et seq.) to reimburse metropolitan cities and urban counties 
     for amounts used, including amounts from the Community 
     Development Block Grant Program, the HOME Investment 
     Partnership Program, and other programs, to provide rental 
     housing assistance for families residing in such city or 
     county pursuant to evacuation from their previous residences 
     because of such hurricanes, provided that such city or county 
     has not previously been reimbursed for such expenditures.

                        TITLE II--PUBLIC HOUSING

     SEC. 201. SURVEY OF PUBLIC HOUSING RESIDENTS.

       (a) Survey.--The Secretary of Housing and Urban Development 
     shall contract with an independent research entity to conduct 
     a survey, using appropriate scientific research methods to 
     determine, of the households who as of August 28, 2005, 
     resided in public housing (as such term is defined in section 
     3(b) of the United States Housing Act of 1937 (42 U.S.C. 
     1437a(b)) operated or administered by the Housing Authority 
     of New Orleans, in Louisiana--
       (1) which and how many such households intend to return to 
     residences in dwelling units described in section 202(d) of 
     this Act, when presented with the options of--
       (A) returning to residence in a repaired public housing or 
     comparable dwelling unit in New Orleans immediately;
       (B) returning to residence in a temporary repaired 
     residence in New Orleans immediately, and then moving from 
     such repaired residence to a newly redeveloped public housing 
     unit at a later date; or
       (C) continuing to receive rental housing assistance from 
     the Federal Government in a location other than New Orleans 
     or in New Orleans; and
       (2) when households who choose the options described under 
     subparagraphs (A) or (B) of paragraph (1) intend to return.
       (b) Participation of Residents.--The Secretary shall 
     solicit recommendations from resident councils and residents 
     of public housing operated or administered by such Housing 
     Authority in designing and conducting the survey under 
     subsection (a).
       (c) Proposed Survey Document.--The Secretary shall submit 
     the full research design of the proposed document to be used 
     in conducting the survey to the Committee on Banking, 
     Housing, and Urban Affairs of the Senate and the Committee on 
     Financial Services of the House of Representatives not less 
     than 10 business days before the commencement of such survey.
       (d) Report.--The Secretary shall submit a report to the 
     committees referred to in subsection (c) detailing the 
     results of the survey conducted under subsection (a) not 
     later than 90 days after the date of the enactment of this 
     Act.

     SEC. 202. HOUSING FOR PREVIOUS RESIDENTS OF PUBLIC HOUSING.

       (a) Provision of Dwelling Units.--Not later than 90 days 
     after the date of the enactment of this Act, the Housing 
     Authority of New Orleans shall make available for temporary 
     or permanent occupancy, subject to subsection (b), a number 
     of dwelling units (including those currently occupied) 
     described in subsection (d) that is not less than the greater 
     of--
       (1) 3,000; or
       (2) the number of households who have indicated, in the 
     survey conducted pursuant to section 201, that they intend to 
     return to residence within 120 days after the date of the 
     enactment of this Act, in public housing operated or 
     administered by such public housing agency.
       (b) Housing for Former Public Housing Residents.--
       (1) In general.--Subject only to subsection (c), the 
     Housing Authority of New Orleans shall make available, upon 
     the request of any household who, as of August 28, 2005, was 
     a tenant of public housing operated or administered by such 
     public housing agency, permanent or temporary occupancy (as 
     may be necessary for redevelopment plans) for such household 
     in a dwelling unit provided pursuant to subsection (a), so 
     long as--
       (A) the tenant--
       (i) notifies the Housing Authority of New Orleans, not 
     later than 75 days after the date of the enactment of this 
     Act, of that tenant's intent to return; and
       (ii) identifies a date that the tenant intends to occupy 
     such a dwelling unit, which shall be not later than 120 days 
     after the date of the enactment of this Act; and
       (B) the tenant was rightfully occupying a public housing 
     unit of the Housing Authority of New Orleans on August 28, 
     2005.
       (2) Preferences.--In making dwelling units available to 
     households pursuant to paragraph (1), such Housing Authority 
     shall provide to each returning tenant the choice to live 
     in--
       (A) a dwelling unit in the same public housing project 
     occupied by the tenant as of August 28, 2005, or in the 
     surrounding neighborhood in which such public housing project 
     was located, if available; or
       (B) in any other available dwelling unit in various other 
     areas of the City of New Orleans, provided that the Housing 
     Authority give each resident a choice of available units in 
     various neighborhoods throughout the City of New Orleans.
       (c) Prohibition of Exclusion.--The Housing Authority of New 
     Orleans shall not, including through the application of any 
     waiting list or eligibility, screening, occupancy, or other 
     policy or practice, prevent any household referred to in 
     subsection (b)(1) from occupying a replacement dwelling unit 
     provided pursuant to subsection (a), except that such Housing 
     Authority or other manager shall prevent a household from 
     occupying such a dwelling unit, and shall provide for 
     occupancy in such dwelling units, as follows:
       (1) Notwithstanding any priority under paragraph (4), a 
     household shall be prevented from such occupancy to the 
     extent that any other provision of Federal law prohibits 
     occupancy or tenancy of such household, or any individual who 
     is a member of such household, in the type of housing of the 
     replacement dwelling unit provided for such household.
       (2) Notwithstanding any priority under paragraph (4), a 
     household shall be prevented from such occupancy if it 
     includes any individual who has been convicted of a drug 
     dealing offense, sex offense, or crime of domestic violence.
       (d) Replacement Dwelling Units.--A dwelling unit described 
     in this subsection is--
       (1) a dwelling unit in public housing operated or 
     administered by the Housing Authority of New Orleans; or
       (2) a dwelling unit in other comparable housing located in 
     the jurisdiction of the Housing Authority of New Orleans for 
     which the sum of the amount required to be contributed by the 
     tenant for rent and any separate utility costs for such unit 
     borne by the tenant is comparable to the sum of the amount 
     required to be contributed by the tenant for rental of a 
     comparable public housing dwelling unit and any separate 
     utility costs for such unit borne by the tenant.
       (e) Relocation Assistance.--The Housing Authority of New 
     Orleans shall provide, to each household provided occupancy 
     in a dwelling unit pursuant to subsection (b), assistance 
     under the Uniform Relocation Assistance and Real Property 
     Acquisitions Policy Act of 1970 (42 U.S.C. 4601 et seq.) for 
     relocation to such dwelling unit.

     SEC. 203. REPLACEMENT OF PUBLIC HOUSING DWELLING UNITS.

       (a) Conditions on Demolition.--After the date of the 
     enactment of this Act, the Housing Authority of New Orleans 
     may only demolish or dispose of dwelling units of public 
     housing operated or administered by such agency (including 
     any uninhabitable unit) pursuant to a plan for replacement of 
     such units, as approved by the Secretary of Housing and Urban 
     Development pursuant to subsection (b).
       (b) Plan Requirements.--The Secretary may only approve a 
     plan for demolition or disposition of dwelling units of 
     public housing referred to in subsection (a), if--
       (1) there is a clear process for the opportunity to comment 
     by the residents and resident councils of public housing 
     operated or administered by such Housing Authority or the 
     City of New Orleans, and the community in which such 
     demolition or disposition is to occur, including the 
     opportunity for comment on specific proposals at each stage 
     of redevelopment, demolition, or disposition;
       (2) not later than 60 days before the date of the approval 
     of such plan, such Housing Authority has convened and 
     conducted at least 1 public hearing regarding the demolition 
     or disposition proposed in the plan;
       (3) such plan provides that for each such dwelling unit 
     demolished or disposed of, such public housing agency will 
     provide additional affordable housing as set forth under 
     subsection (c);
       (4) such plan provides for the implementation of a right 
     for households to occupancy housing in accordance with 
     section 202;
       (5) such plan provides priority in making units available 
     under paragraph (3) to residents identified in section 201;
       (6) such plan provides for offering public housing units 
     built on site, first to former residents of that public 
     housing development who indicate they would like to return, 
     subject to exclusions permitted under Federal law for 
     criminal activity;
       (7) such plan provides that the proposed demolition or 
     disposition and relocation will be carried out in a manner 
     that affirmatively furthers fair housing, as described in

[[Page S8069]]

     subsection (e) of section 808 of the Civil Rights Act of 
     1968;
       (8) such plan provides for comprehensive resident services; 
     and
       (9) such plan provides for procedures for people who were 
     on the waiting list on August 28, 2005, to receive 
     consideration to receive housing for any units that are not 
     needed for returning residents.
       (c) Replacement Units.--
       (1) Previously occupied units.--For each public housing 
     unit demolished or disposed of under this section, which was 
     occupied by tenants on August 28, 2005, the Housing Authority 
     of New Orleans and the Secretary of Housing and Urban 
     Development shall provide at least 1 of the following 
     replacement housing opportunities:
       (A) The acquisition or development of additional public 
     housing dwelling units, including units in the neighborhood 
     where the demolished or disposed of units were located.
       (B) The acquisition, development, or contracting (including 
     through project-based assistance) of additional dwelling 
     units that are subject to requirements regarding eligibility 
     for occupancy, tenant contribution toward rent, and long-term 
     affordability restrictions which are comparable to public 
     housing units, including units in the neighborhood where the 
     demolished or disposed of units were located.
       (C) The development or contracting of project-based voucher 
     assistance under section 8(o)(13) of the United States 
     Housing Act of 1937 (42 U.S.C. 1437f(o)(13)), for not less 
     than 15 years.
       (2) Nonoccupied units.--For each public housing unit 
     demolished or disposed of under this section, which was not 
     occupied by tenants on August 28, 2005, the Secretary of 
     Housing and Urban Development shall provide, and the Housing 
     Authority of New Orleans shall provide a replacement housing 
     unit as described in paragraph (1) or shall issue a voucher 
     under section 8(o) of the United States Housing Act of 1937 
     (42 U.S.C. 1437f(o)), provided that the Housing Authority 
     establishes, within 60 days after the date of enactment of 
     this Act, a system to project base such vouchers, as 
     permitted under section 8(o)(13) of such Act.
       (d) Inapplicable Provisions.--Subparagraphs (B) and (D) of 
     section 8(o)(13) of the United States Housing Act of 1937 (42 
     U.S.C. 1437f(o)(13)) shall not apply with respect to vouchers 
     used to comply with the requirements of subsection (b)(3) of 
     this section, except that not more than 50 percent of the 
     units in any such affordable housing project may be assisted 
     under a housing assistance contract for project-based 
     assistance under such section 8(o)(13), unless all units are 
     specifically made available to seniors or people with 
     disabilities.
       (e) Monitoring.--The Secretary of Housing and Urban 
     Development shall provide for the appropriate field offices 
     of the Department to monitor and supervise enforcement of 
     this section and plans approved under this section and to 
     consult, regarding such monitoring and enforcement, with 
     resident councils of, and residents of public housing 
     operated or administered by, the Housing Authority of New 
     Orleans and with the City of New Orleans.

     SEC. 204. RESIDENT SUPPORT SERVICES.

       (a) In General.--In any instance where the Housing 
     Authority of New Orleans is providing housing vouchers or 
     affordable housing that is not public housing, as described 
     in section 203, the Housing Authority shall, directly or 
     through the use of contractors--
       (1) provide mobility counseling to residents of such 
     housing;
       (2) conduct outreach to landlords of such housing in all 
     areas of the City of New Orleans and the region; and
       (3) work with developers to project-base voucher assistance 
     under section 8(o)(13) of the United States Housing Act of 
     1937 (42 U.S.C. 1437f(o)(13)) in low-poverty neighborhoods, 
     and neighborhoods undergoing revitalization.
       (b) Reports.--Not later than 6 months after the date of 
     enactment of this Act, and every 6 months thereafter, the 
     Housing Authority of New Orleans shall submit a report to the 
     Secretary and Congress on its activities under this section, 
     including--
       (1) the number and location of nonpublic housing units 
     provided;
       (2) the census tract in which those units are located;
       (3) the poverty rate in those census tracts;
       (4) the rent burdens of households assisted under this 
     section;
       (5) any demographic data, reported by census tract, on who 
     is served in the program; and
       (6) the efforts of the Authority to affirmatively further 
     fair housing.

     SEC. 205. PUBLIC HOUSING IN KATRINA AND RITA DISASTER AREAS.

       (a) Conditions on Demolition.--For the 2-year period after 
     the date of the enactment of this Act, a public housing 
     agency may only dispose or demolish public housing dwelling 
     units located in any area for which a major disaster or 
     emergency was declared by the President pursuant to the 
     Robert T. Stafford Disaster Relief and Emergency Assistance 
     Act as a result of Hurricane Katrina or Rita of 2005, other 
     than those covered under section 203, pursuant to a plan for 
     replacement of such units in accordance with, and approved by 
     the Secretary of Housing and Urban Development pursuant to 
     subsections (b) and (c).
       (b) Plan Requirements.--The Secretary may only approve a 
     plan for demolition or disposition of dwelling units of 
     public housing referred to in subsection (a), if--
       (1) there is a clear process for the opportunity to comment 
     by the residents and resident councils of public housing 
     operated or administered by the Housing Authority, and the 
     community in which such demolition or disposition is to 
     occur, including the opportunity for comment on specific 
     proposals for redevelopment, demolition, or disposition;
       (2) not later than 60 days before the date of the approval 
     of such plan, such Housing Authority has convened and 
     conducted at least 1 public hearing regarding the demolition 
     or disposition proposed in the plan;
       (3) such plan provides that for each such dwelling unit 
     demolished or disposed of, such public housing agency will 
     provide additional affordable replacement housing as set 
     forth under subsection (c);
       (4) such plan provides that the proposed demolition or 
     disposition and relocation will be carried out in a manner 
     that affirmatively furthers fair housing, as described in 
     subsection (e) of section 808 of the Civil Rights Act of 
     1968;
       (5) such plan provides for comprehensive resident services;
       (6) such plan provides for offering public housing units 
     built on site, first to former residents of that public 
     housing development who indicate they would like to return, 
     subject to exclusions permitted under Federal law for 
     criminal activity; and
       (7) such plan provides for procedures for people who were 
     on the waiting list on August 28, 2005, to receive 
     consideration to receive housing for any units that are not 
     needed for returning residents.
       (c) Replacement Units.--
       (1) Previously occupied units.--For each public housing 
     unit demolished or disposed of under this section, which was 
     occupied by tenants on August 28, 2005, the Housing Authority 
     shall provide at least 1 of the following replacement housing 
     opportunities:
       (A) The acquisition or development of additional public 
     housing dwelling units.
       (B) The acquisition, development, or contracting (including 
     through project-based assistance) of additional dwelling 
     units that are subject to requirements regarding eligibility 
     for occupancy, tenant contribution toward rent, and long-term 
     affordability restrictions which are comparable to public 
     housing units.
       (C) Project-based voucher assistance under section 8(o) of 
     the United States Housing Act of 1937 (42 U.S.C. 1437f(o)), 
     for not less than 10 years.
       (2) Nonoccupied units.--For each public housing unit 
     demolished or disposed of under this section, which was not 
     occupied by tenants on August 28, 2005, the Secretary of 
     Housing and Urban Development shall provide, and the Housing 
     Authority shall provide a replacement housing unit as 
     described in paragraph (1) or shall issue a voucher under 
     section 8(o) of the United States Housing Act of 1937 (42 
     U.S.C. 1437f(o)).
       (d) Relocation Assistance.--A public housing agency shall 
     provide, to each household relocated pursuant to a plan under 
     this section for demolition or disposition, assistance under 
     the Uniform Relocation Assistance and Real Property 
     Acquisitions Policy Act of 1970 for relocation to their new 
     residence.
       (e) Return of Public Housing Tenants.--A public housing 
     agency administering or operating public housing dwelling 
     units described in subsection (a) shall--
       (1) use its best efforts to locate tenants displaced from 
     such public housing as a result of Hurricane Katrina or Rita; 
     and
       (2) provide such residents occupancy in public housing 
     dwelling units of such agency that become available for 
     occupancy, or other comparable affordable units, and to 
     ensure such residents a means to return to such housing if 
     they so choose.
       (f) Inapplicability of Certain Project-Based Voucher 
     Limitations.--Subparagraphs (B) and (D) of section 8(o)(13) 
     of the United States Housing Act of 1937 (42 U.S.C. 
     1437f(o)(13)) shall not apply with respect to any project-
     based vouchers used to comply with the requirements of a plan 
     under subsection (c), except that not more than 50 percent of 
     the units in any such affordable housing project may be 
     assisted under a housing assistance contract for project-
     based assistance under such section 8(o)(13), unless all 
     units are specifically made available to seniors or people 
     with disabilities.
       (g) Displacement From Habitable Units.--A public housing 
     agency may not displace a tenant from any public housing 
     dwelling unit described in this section that is administered 
     or operated by such agency and is habitable (including during 
     any period of rehabilitation), unless the agency provides a 
     suitable and comparable replacement dwelling unit for such 
     tenant.

     SEC. 206. REPORTS ON PROPOSED CONVERSIONS OF PUBLIC HOUSING 
                   UNITS.

       Not later than the expiration of the 15-day period 
     beginning on the date of the enactment of this Act, the 
     Secretary of Housing and Urban Development shall submit to 
     the Committee on Banking, Housing, and Urban Affairs of the 
     Senate and the Committee on Financial Services of the House 
     of Representatives a detailed report identifying all public 
     housing projects located in areas impacted by Hurricane 
     Katrina or Rita of 2005, for which plans exist to transfer 
     ownership to other entities or agencies. Such report shall 
     include the following information for each such project:
       (1) The name and location.
       (2) The number of dwelling units.

[[Page S8070]]

       (3) The proposed new owner.
       (4) The existing income eligibility and rent provisions.
       (5) Duration of existing affordability restrictions.
       (6) The proposed date of transfer.
       (7) An analysis of the impact on residents and low-income 
     families on the waiting list of such transfer.

     SEC. 207. AUTHORIZATION OF APPROPRIATIONS FOR REPAIR AND 
                   REHABILITATION FOR KATRINA AND RITA DISASTER 
                   AREAS.

       There are authorized to be appropriated such sums as may be 
     necessary to carry out activities eligible for funding under 
     the Capital Fund under section 9 of the United States Housing 
     Act of 1937 (42 U.S.C. 1437g) for the repair, rehabilitation, 
     redevelopment, and replacement of public housing in a 
     designated disaster area, and for relocation expenses and 
     community and supportive services for the residents of public 
     housing operated or administered by housing agencies in such 
     designated disaster areas.

     SEC. 208. EXISTING PUBLIC HOUSING REDEVELOPMENT.

       Notwithstanding the provisions of any request for 
     qualification or proposal issued before the date of the 
     enactment of this Act with respect to any public housing 
     operated or administered by a housing agency in a designated 
     disaster area, the housing agency shall provide replacement 
     housing as required under section 203 or 205, as applicable.

     SEC. 209. REPORTS ON COMPLIANCE.

       Not later than the expiration of the 30-day period 
     beginning on the date of the enactment of this Act and not 
     later than the expiration of each calendar quarter 
     thereafter, the Secretary of Housing and Urban Development 
     shall submit a detailed report regarding compliance with the 
     requirements of this title, including the resident 
     participation requirement under section 203(b)(1), to the 
     Committee on Banking, Housing, and Urban Affairs of the 
     Senate, the Committee on Financial Services of the House of 
     Representatives, the resident councils of, and residents of 
     public housing operated or administered by, a housing agency 
     in a disaster area, and the City of New Orleans.

     SEC. 210. INDEPENDENT ADMINISTRATION OF HOUSING AUTHORITY OF 
                   NEW ORLEANS.

       (a) Receivership.--Not later than 30 days after the date of 
     the enactment of this Act, the Secretary of Housing and Urban 
     Development shall petition for judicial receivership of the 
     Housing Authority of New Orleans pursuant to section 
     6(j)(3)(A)(ii) of the United States Housing Act of 1937 (42 
     U.S.C. 1437d(j)(3)(A)(ii)).
       (b) Effect of Receivership.--Any judicial receiver of the 
     Housing Authority of New Orleans appointed pursuant to 
     subsection (a) shall be required to comply with all the 
     provisions of this Act.
       (c) Sense of Congress.--It is the sense of the Congress 
     that the judicial receiver of the Housing Authority of New 
     Orleans appointed pursuant to subsection (a) shall consider 
     new and innovative models for administration of the Housing 
     Authority of New Orleans, including public-private 
     partnerships.

     SEC. 211. DEFINITION.

       For purposes of this title, the term ``designated disaster 
     area'' means any area that was the subject of a disaster 
     declaration by the President under title IV of the Robert T. 
     Stafford Disaster Relief and Emergency Assistance Act (42 
     U.S.C. 5121 et seq.) in response to Hurricanes Katrina or 
     Rita of 2005.

TITLE III--DISASTER VOUCHER PROGRAM AND PROJECT-BASED RENTAL ASSISTANCE

     SEC. 301. DISASTER VOUCHER PROGRAM.

       (a) Authorization.--There are authorized to be appropriated 
     such sums as may be necessary to provide assistance under the 
     Disaster Voucher Program of the Department of Housing and 
     Urban Development established pursuant to Public Law 109-148 
     (119 Stat. 2779) through June 30, 2008, and, to the extent 
     that amounts for such purpose are made available, such 
     program, and the authority of the Secretary of Housing and 
     Urban Development to waive requirements under section 8 of 
     the United States Housing Act of 1937 (42 U.S.C. 1437f) in 
     administering assistance under such program, shall be so 
     extended.
       (b) Transfer of Disaster Voucher Program to Tenant-Based 
     Assistance.--
       (1) Transfer to section 8 voucher program.--There are 
     authorized to be appropriated, for tenant-based assistance 
     under section 8(o) of the United States Housing Act of 1937 
     (42 U.S.C. 1437f(o)), such sums as may be necessary to 
     provide vouchers for households transitioning from the 
     Disaster Voucher Program of the Department of Housing and 
     Urban Development established pursuant to Public Law 109-148 
     (119 Stat. 2779) for the period that such household is 
     eligible for such voucher assistance, as of the termination 
     date of the Disaster Voucher Program, for each household 
     that--
       (A) is assisted under such program;
       (B) did not receive assistance under section 8(o) of the 
     United States Housing Act of 1937 (42 U.S.C. 1437f(o)) at the 
     time of Hurricane Katrina or Rita of 2005;
       (C) is not eligible for tenant replacement voucher 
     assistance under section 302 of this Act; or
       (D) is eligible for tenant replacement voucher assistance 
     under section 302, but has not received such assistance.
       (2) Eligibility for assistance.--Subject to the 
     availability of appropriations, as of January 1, 2008, any 
     household meeting the requirements in paragraph (1) shall 
     receive tenant-based assistance under section 8(o) of the 
     United States Housing Act of 1937 (42 U.S.C. 1437f(o)).
       (3) Administration of assistance.--Voucher assistance 
     provided under this subsection shall be administered by the 
     public housing agency having jurisdiction of the area in 
     which such assisted family resides as of such termination 
     date.
       (4) Temporary vouchers.--If at any time a household for 
     whom a voucher for rental housing assistance is provided 
     pursuant to this section becomes ineligible for such rental 
     assistance--
       (A) the public housing agency administering such voucher 
     pursuant to this section may not provide rental assistance 
     under such voucher for any other household;
       (B) the Secretary of Housing and Urban Development shall 
     recapture from such agency any remaining amounts for 
     assistance attributable to such voucher and may not 
     reobligate such amounts to any public housing agency; and
       (C) such voucher shall not be taken into consideration for 
     purposes of determining future allocation of amounts for 
     tenant-based rental assistance for any public housing agency.
       (c) Former Voucher Program Participants.--Households who 
     were receiving assistance under section 8(o) of the United 
     States Housing Act of 1937 (42 U.S.C. 1437f(o)) as of August 
     28, 2005, shall continue to be assisted under such section 
     (8)(o), subject to all the requirements under that section.
       (d) Identification and Notification of DVP-Eligible 
     Households Not Assisted.--Prior to October 31, 2007, the 
     Secretary of Housing and Urban Development shall work with 
     the Federal Emergency Management Agency and State and local 
     housing agencies to identify households who, as of the date 
     of the enactment of this Act, are eligible for assistance 
     under this section but are not receiving assistance under 
     this section. Upon identification of each such household, the 
     Secretary shall--
       (1) notify such household of the housing options available 
     under this Act; and
       (2) to the extent that the family is eligible for such 
     options at such time of identification, offer the household 
     assistance under this section.

     SEC. 302. TENANT REPLACEMENT VOUCHERS FOR ALL LOST UNITS.

       (a) In General.--There are authorized to be appropriated 
     such sums as may be necessary to provide tenant replacement 
     vouchers under section 8 of the United States Housing Act of 
     1937 (42 U.S.C. 1437f) for the number of households that are 
     equal to--
       (1) the number of assisted dwelling units (whether occupied 
     or unoccupied) located in covered assisted multifamily 
     housing projects (as such term is defined in section 308(e) 
     of this Act) that are not approved for reuse or resiting by 
     the Secretary of Housing and Urban Development; plus
       (2) the number of public housing dwelling units that, as of 
     August 28, 2005, were located in areas affected by Hurricane 
     Katrina and were considered for purposes of allocating 
     operating and capital assistance under section 9 of the 
     United States Housing Act of 1937 (whether occupied or 
     unoccupied), that will not be put back into use for 
     occupancy; plus
       (3) the number of public housing dwelling units that, as of 
     September 24, 2005, were located in areas affected by 
     Hurricane Rita and were considered for purposes of allocating 
     operating or capital assistance under section 9 of the United 
     States Housing Act of 1937 (whether occupied or unoccupied), 
     that will not be put back into use for occupancy; minus
       (4) the number of previously awarded enhanced vouchers for 
     assisted dwelling units and tenant protection vouchers for 
     public housing units covered under this section.
       (b) Allocation.--Any amounts made available pursuant to 
     this section shall, upon the request of a public housing 
     agency for such voucher assistance, be allocated to the 
     public housing agency based on the number of dwelling units 
     described in paragraph (1) or (2) of subsection (a) that are 
     located in the jurisdiction of the public housing agency.
       (c) Issuance.--The Secretary of Housing and Urban 
     Development shall issue replacement vouchers for all units 
     approved for reuse, resiting, or replacement that are not 
     available for occupancy on January 1, 2010.

     SEC. 303. VOUCHER ASSISTANCE FOR HOUSEHOLDS RECEIVING FEMA 
                   ASSISTANCE.

       (a) FEMA Transfer of Assistance.--As of December 21, 2007, 
     the Federal Emergency Management Agency shall transfer to the 
     Secretary of Housing and Urban Development all of its 
     authority and power relating to the administration of rental 
     assistance, and funding for such rental assistance, under the 
     Disaster Relief Fund established under the Robert T. Stafford 
     Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 
     et seq.).
       (b) HUD Administration of Rental Assistance.--
       (1) In general.--Beginning on January 1, 2008, the 
     Secretary of Housing and Urban Development shall provide 
     temporary housing assistance to households who received 
     assistance under section 408(c)(1) of the Robert T. Stafford 
     Disaster Relief and Emergency Assistance Act (42 U.S.C. 
     5174(c)(1)) as follows:
       (A) Required tenant assistance.--Households receiving 
     assistance shall be required to pay up to 30 percent of their 
     income towards rent and utility costs.
       (B) Minimum rental amount.--The Secretary of Housing and 
     Urban Development

[[Page S8071]]

     may implement a minimum rent of up to $100 per month, only if 
     the Secretary provides for hardship exemptions for households 
     including seniors and people with disabilities.
       (C) Limitation on excessive rents.--The Secretary of 
     Housing and Urban Development shall work with landlords to 
     minimize the payment of rents in excess of 120 percent of the 
     fair market rent for comparable housing in the area.
       (2) Definition of fair market rent.--In this subsection, 
     the term ``fair market rent'' means the rent (including 
     utilities, except telephone service), as determined by the 
     Department of Housing and Urban Development, for units of 
     varying sizes (by number of bedrooms), that must be paid in 
     the market area to rent privately-owned, existing, decent, 
     safe, and sanitary rental housing of modest (nonluxury) 
     nature with suitable amenities
       (c) Rental Assistance for Households Residing in FEMA 
     Trailers.--
       (1) Provision of assistance.--There are authorized to be 
     appropriated, for rental assistance, such sums as may be 
     necessary to provide such assistance for each individual and 
     household who, as of the date of the enactment of this Act, 
     receives direct assistance for temporary housing under 
     section 408(c)(2) of the Robert T. Stafford Disaster Relief 
     and Emergency Assistance Act (42 U.S.C. 5174(c)(2)) as a 
     result of Hurricane Katrina, Rita, or Wilma and is eligible 
     for tenant-based rental assistance under section 8(o) of the 
     United States Housing Act of 1937 (42 U.S.C. 1437f(o)).
       (2) Offer.--Subject to the availability of appropriations, 
     the Secretary of Housing and Urban Development shall offer 
     tenant-based rental assistance under section 8(o) of the 
     United States Housing Act of 1937 (42 U.S.C. 1437f(o)) to 
     each individual or household who, as of the date of enactment 
     of this Act, is residing in a trailer provided by the Federal 
     Emergency Management Agency as part of the direct assistance 
     that individual or household received under section 408(c)(2) 
     of the Robert T. Stafford Disaster Relief and Emergency 
     Assistance Act (42 U.S.C. 5174(c)(2)) as a result of 
     Hurricane Katrina, Rita, or Wilma.
       (3) Conditions on assistance.--The provision of temporary 
     housing assistance under this subsection shall be subject to 
     the following requirements:
       (A) Required tenant assistance.--Households receiving 
     assistance shall be required to pay up to 30 percent of their 
     income towards rent and utility costs.
       (B) Minimum rental amount.--The Secretary of Housing and 
     Urban Development may implement a minimum rent of up to $100 
     per month, only if the Secretary provides for hardship 
     exemptions for household including seniors and people with 
     disabilities.
       (C) Limitation on excessive rents.--The Secretary of 
     Housing and Urban Development shall work with landlords to 
     minimize the payment of rents in excess of 120 percent of the 
     fair market rent for comparable housing in the area.
       (d) Temporary Assistance.--
       (1) Eligibility.--Individuals or households receiving 
     rental assistance under this section shall be eligible for 
     such assistance only if they are eligible for tenant-based 
     rental assistance under section 8(o) of the United States 
     Housing Act of 1937 (42 U.S.C. 1437f(o).
       (2) Effect of becoming ineligible.--If at any time an 
     individual or household for whom a voucher for rental housing 
     assistance is provided pursuant to this section becomes 
     ineligible for further such rental assistance--
       (A) the public housing agency administering such voucher 
     pursuant to this section may not provide rental assistance 
     under such voucher for any other household;
       (B) the Secretary of Housing and Urban Development shall 
     recapture from such agency any remaining amounts for 
     assistance attributable to such voucher and may not 
     reobligate such amounts to any public housing agency; and
       (C) such voucher shall not be taken into consideration for 
     purposes of determining any future allocation of amounts for 
     such tenant-based rental assistance for any public housing 
     agency.

     SEC. 304. VOUCHER ASSISTANCE FOR SUPPORTIVE HOUSING.

       There are authorized to be appropriated such sums as may be 
     necessary to provide 4,500 vouchers for project-based rental 
     assistance under section 8(o)(13) of the United States 
     Housing Act of 1937 (42 U.S.C. 1437f(o)(13)), and 1,000 units 
     under the Shelter Plus Care Program as authorized under 
     subtitle F of title IV of the McKinney-Vento Homeless 
     Assistance Act (42 U.S.C. 11403 et seq.) for use in areas 
     impacted by Hurricanes Katrina and Rita for supportive 
     housing dwelling units for elderly families, persons with 
     disabilities, or homeless persons. The Secretary of Housing 
     and Urban Development shall make available to the State of 
     Louisiana or its designee or designees, upon request, 3,000 
     of such vouchers. Subparagraphs (B) and (D) of section 
     8(o)(13) of the United States Housing Act of 1937 (42 U.S.C. 
     1437f(o)(13)) shall not apply with respect to vouchers made 
     available under this section.

     SEC. 305. PROJECT-BASING OF VOUCHERS.

       The Secretary of Housing and Urban Development may waive 
     the limitations on project-basing under section 8(o)(13)(B) 
     of the United States Housing Act of 1937 (42 U.S.C. 
     1437f(o)(13)(B)) for public housing agencies located in any 
     area in which the President declared a major disaster as a 
     result of Hurricane Katrina, Rita, or Wilma, if--
       (1) the public housing agency is working to project-base 
     vouchers in--
       (A) a mixed-income community; or
       (B) a low-poverty neighborhood, or a neighborhood 
     undergoing revitalization; or
       (2) not more that 50 percent of any project is assisted 
     under such 8(o)(13)(B), unless all units in such project are 
     specifically designated for seniors or the disabled.

     SEC. 306. PRESERVATION OF PROJECT-BASED HOUSING ASSISTANCE 
                   PAYMENTS CONTRACTS FOR DWELLING UNITS DAMAGED 
                   OR DESTROYED.

       (a) Tolling of Contract Term.--Notwithstanding any other 
     provision of law, a project-based housing assistance payments 
     contract for a covered assisted multifamily housing project 
     shall not expire or be terminated because of the damage or 
     destruction of dwelling units in the project by Hurricane 
     Katrina or Rita. The expiration date of the contract shall be 
     deemed to be the later of the date specified in the contract 
     or a date that is not less than 3 months after the dwelling 
     units in the project or in a replacement project are first 
     made habitable.
       (b) Owner Proposals for Reuse or Resiting.--The Secretary 
     of Housing and Urban Development shall promptly review and 
     shall approve all feasible proposals made by owners of 
     covered assisted multifamily housing projects submitted to 
     the Secretary, not later than October 1, 2008, that provide 
     for the rehabilitation of the project and the resumption of 
     use of the assistance under the contract for the project, or, 
     alternatively, for the transfer, pursuant to subsection (c), 
     of the contract or, in the case of a project with an interest 
     reduction payments contract, of the remaining budget 
     authority under the contact, to another multifamily housing 
     project.
       (c) Transfer of Contract.--In the case of any covered 
     assisted multifamily housing project, the Secretary of 
     Housing and Urban Development shall--
       (1) in the case of a project with a project-based rental 
     assistance payments contract described in subparagraph (A), 
     (B), or (C) of subsection (e)(2), transfer the contract to 
     another appropriate and habitable existing project or a 
     project to be constructed (having the same or a different 
     owner); and
       (2) in the case of a project with an interest reduction 
     payments contract pursuant to section 236 of the National 
     Housing Act, use the remaining budget authority under the 
     contract for interest reduction payments to reduce financing 
     costs with respect to dwelling units in other habitable 
     projects not currently so assisted, and such dwelling units 
     shall be subject to the low-income affordability restrictions 
     applicable to projects for which such payments are made under 
     section 236 of the National Housing Act.
       (d) Allowable Transfers.--A project-based rental assistance 
     payments contract may be transferred, in whole or in part, 
     under subsection (c) to--
       (1) a project with the same or different number of units or 
     bedroom configuration than the damaged or destroyed project 
     if approximately the same number of individuals are expected 
     to occupy the subsidized units in the replacement project as 
     occupied the damaged or destroyed project; or
       (2) multiple projects, including some on the same site, if 
     approximately the same number of individuals are expected to 
     occupy the subsidized units in the replacement projects as 
     occupied the damaged or destroyed project.
       (e) Definitions.--For purposes of this section:
       (1) Covered assisted multifamily housing project.--The term 
     ``assisted multifamily housing project'' means a multifamily 
     housing project that--
       (A) as of the date of the enactment of this Act, is subject 
     to a project-based rental assistance payments contract 
     (including pursuant to subsection (a) of this section); and
       (B) was damaged or destroyed by Hurricane Katrina or 
     Hurricane Rita of 2005.
       (2) Project-based rental assistance payments contract.--The 
     term ``project-based rental assistance payments contract'' 
     includes--
       (A) a contract entered into pursuant to section 8 of the 
     United States Housing Act of 1937 (42 U.S.C. 1437f);
       (B) a contract for project rental assistance pursuant to 
     section 202(c)(2) of the Housing Act of 1959 (12 U.S.C. 
     1701q(c)(2));
       (C) a contract for project rental assistance pursuant to 
     section 811(d)(2) of the Cranston-Gonzalez National 
     Affordable Housing Act (42 U.S.C. 8013(d)(2)); and
       (D) an interest reduction payments contract pursuant to 
     section 236 of the National Housing Act (12 U.S.C. 1715z-1).

     SEC. 307. GAO STUDY OF WRONGFUL OR ERRONEOUS TERMINATION OF 
                   FEDERAL RENTAL HOUSING ASSISTANCE.

       The Comptroller General of the United States shall conduct 
     a study of households that received Federal assistance for 
     rental housing in connection with Hurricanes Katrina and Rita 
     to determine if the assistance for any such households was 
     wrongfully or erroneously terminated. The Comptroller General 
     shall submit a report to the Congress not later than January 
     1, 2008, on the results of the study, which shall include an 
     estimate of how many households were subject to such wrongful 
     or erroneous termination and how many of those households

[[Page S8072]]

     have incomes eligible for the household to receive tenant-
     based rental assistance under section 8 of the United States 
     Housing Act of 1937 (42 U.S.C. 1437f).

              TITLE IV--DAMAGES ARISING FROM FEMA ACTIONS

     SEC. 401. REIMBURSEMENT OF LANDLORDS.

       There are authorized to be appropriated, from amounts made 
     available before the date of the enactment of this Act under 
     any provision of law to the Federal Emergency Management 
     Agency for disaster relief under the Robert T. Stafford 
     Disaster Relief Emergency Assistance Act, such sums as may be 
     necessary for the Administrator of the Federal Emergency 
     Management Agency to provide reimbursement to each landlord 
     who entered into leases to provide emergency sheltering in 
     response to Hurricane Katrina, Rita, or Wilma of 2005, 
     pursuant to the program of the Federal Emergency Management 
     Agency pursuant to section 403 of the Robert T. Stafford 
     Disaster Relief and Emergency Assistance Act (42 U.S.C. 
     5170b) in the amount of actual, documented damages incurred 
     by such landlord as a result of abrogation by such Agency of 
     commitments entered into under such program, but not 
     including reimbursement for any such landlord to the extent 
     that such landlord has previously received reimbursement for 
     such damages under any other Federal or non-Federal program.

                          TITLE V--FHA HOUSING

     SEC. 501. TREATMENT OF NONCONVEYABLE PROPERTIES.

       (a) In General.--Notwithstanding any other provision of 
     law, in the case of any property consisting of a 1- to 4-
     family residence that is subject to a mortgage insured under 
     title II of the National Housing Act (12 U.S.C. 1707 et seq.) 
     and was damaged or destroyed as a result of Hurricane Katrina 
     or Rita of 2005, if there was no failure on the part of the 
     mortgagee or servicer to provide hazard insurance for the 
     property or to provide flood insurance coverage for the 
     property to the extent such coverage is required under 
     Federal law, the Secretary of Housing and Urban Development--
       (1) may not deny conveyance of title to the property to the 
     Secretary and payment of the benefits of such insurance on 
     the basis of the condition of the property or any failure to 
     repair the property;
       (2) may not reduce the amount of such insurance benefits to 
     take into consideration any costs of repairing the property; 
     and
       (3) with respect to a property that is destroyed, 
     condemned, demolished, or otherwise not available for 
     conveyance of title, may pay the full benefits of such 
     insurance to the mortgagee notwithstanding that such title is 
     not conveyed.
       (b) Budget Act Compliance.--Insurance claims may be paid in 
     accordance with subsection (a) only to the extent or in such 
     amounts as are or have been provided in advance in 
     appropriations Acts for the costs (as such term is defined in 
     section 502 of the Federal Credit Reform Act of 1990 (2 
     U.S.C. 661(a)) of such claims.

     SEC. 502. FHA SINGLE-FAMILY INSURANCE.

       In determining the eligibility of any individual whose 
     residence was damaged or destroyed as a result of Hurricane 
     Katrina and who was current on their mortgage prior to August 
     28, 2005, for mortgage insurance under section 203 of the 
     National Housing Act (12 U.S.C. 1709), the Secretary of 
     Housing and Urban Development shall look at the 
     creditworthiness of such individual, as such creditworthiness 
     was established prior to August 28, 2005.

     SEC. 503. FHA-NEW ORLEANS HOMEOWNERSHIP OPPORTUNITIES 
                   INITIATIVE.

       (a) Establishment.--There is established within the 
     Department of Housing and Urban Development an FHA-New 
     Orleans Homeownership Opportunities Initiative (in this 
     section referred to as the ``Initiative''), which shall 
     provide for the conveyance or transfer of eligible homes to 
     the New Orleans Redevelopment Authority for use in the pilot 
     program established in section 103 of this Act.
       (b) Eligible Homes.--For purposes of this section, an 
     eligible home is a 1, 2, 3, or 4-family residence or multi-
     family project--
       (1) that is either vacant, abandoned, or has been 
     foreclosed upon, subject to subsection (e)(2)(B), by the 
     Secretary of Housing and Urban Development;
       (2) to which the Secretary holds title; and
       (3) which is not occupied by a person legally entitled to 
     reside in such residence or project.
       (c) Reports.--
       (1) Initial list of properties.--Not later than 30 days 
     after the date of enactment of this Act, the Secretary of 
     Housing and Urban Development shall 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, and the New Orleans Redevelopment Authority 
     listing all eligible homes in the New Orleans area, including 
     a list of homes in default where foreclosure by the Secretary 
     is imminent.
       (2) Updated lists.--Not later than 90 days after the 
     initial report is submitted under paragraph (1), and every 90 
     days thereafter, the Secretary of Housing and Urban 
     Development shall submit a follow-up report to the Committees 
     and entities described in paragraph (1) listing all--
       (A) new eligible homes; and
       (B) 1, 2, 3, or 4-family residences or multi-family 
     projects in the New Orleans area--
       (i) that have been foreclosed upon by the Secretary, or are 
     in default and where foreclosure is imminent; and
       (ii) where the Secretary has taken all necessary actions to 
     avoid such foreclosure.
       (d) Donated Property.--The Secretary of Housing and Urban 
     Development, at any time, may accept, manage, and convey to 
     the New Orleans Redevelopment Authority and residential 
     property donated to the Secretary by a nongovernmental entity 
     for purposes of this section.
       (e) Conveyance of Properties.--
       (1) Request by nora.--Not later than 30 days after any 
     report is submitted under subsection (c), the New Orleans 
     Redevelopment Authority shall, in writing, request that the 
     Secretary of Housing and Urban Development convey any and all 
     eligible homes listed in such report.
       (2) HUD action.--
       (A) In general.--Not later than 30 days after the receipt 
     of any request under paragraph (1), the Secretary of Housing 
     and Urban Development shall convey to the New Orleans 
     Redevelopment Authority, at no cost, title to any eligible 
     home requested by the Authority.
       (B) Limitation.--The Secretary of Housing and Urban 
     Development may only convey title to an eligible home that is 
     eligible solely because the Secretary foreclosed upon such 
     home, if the Secretary had taken all necessary actions to 
     avoid such foreclosure.
       (f) Use of Eligible Properties.--Any eligible home conveyed 
     or transferred to the New Orleans Redevelopment Authority 
     under this section shall be used in the following manner:
       (1) Minimum use requirement.--Such home shall be sold, 
     conveyed, or included in redevelopment within 18 months of 
     such conveyance or transfer, and shall be redeveloped to meet 
     applicable local building codes so as to ensure that such 
     home--
       (A) will be adequately rehabilitated to support sustainable 
     homeownership; and
       (B) may be in such physical condition that it can be 
     offered for sale for habitation or occupancy within 36 months 
     of such conveyance or transfer.
       (2) Low-income occupancy requirement.--Notwithstanding any 
     other redevelopment plans, the New Orleans Redevelopment 
     Authority shall ensure that a number of homes equal to the 
     number of homes transferred or conveyed by the Secretary 
     under this section are redeveloped and sold by the Authority 
     to low-income households, at a price that is affordable to 
     such households, subject to the following requirements:
       (A) Redevelopment of such eligible homes will be done in 
     concert with other redevelopment activities, as described in 
     section 103.
       (B) Preference for purchase of such eligible homes will be 
     given to households--
       (i) who have received pre-purchase homeownership 
     counseling; and
       (ii) which are comprised of individuals who on August 28, 
     2005, were residents of the City of New Orleans and--

       (I) had, with respect to any dwelling in the City of New 
     Orleans, a valid and nonexpired lease for such dwelling;
       (II) owned a home in the City of New Orleans, but who did 
     not receive funds under the Road Home program; or
       (III) received housing vouchers under section 8 of the 
     United States Housing Act of 1937 (42 U.S.C. 1437f), or lived 
     in public housing.

       (3) Primary residence requirement.--
       (A) In general.--The individual or household buying such 
     eligible home shall agree to use the home as their primary 
     residence for 5 years.
       (B) Limitation on flipping.--The New Orleans Redevelopment 
     Authority shall ensure, by any means, including by the use of 
     restrictive covenants, that if the individual or household 
     who purchased the home from the Authority sells the home 
     within 5 years of such purchase, that such sale shall only be 
     valid if the subsequent buyer is a low-income individual or 
     household.
       (4) Sale price requirement.--The New Orleans Redevelopment 
     Authority or its redevelopment partners shall sell eligible 
     homes at a discounted price that is affordable to families at 
     or below 80 percent of area median income.
       (5) Excess profit to be returned to hud.--Any profit on the 
     sale of home received by the New Orleans Redevelopment 
     Authority or a developer for the sale of an eligible home 
     above the redevelopment costs of such home shall be paid to 
     the Secretary of Housing and Urban Development.
       (g) Counseling.--The New Orleans Redevelopment Authority 
     shall work with local nonprofit housing counseling agencies 
     to provide pre-purchase counseling to any interested 
     individuals or households who seek to purchase an eligible 
     home from the Authority under this section, as required to 
     receive preference under subsection (f)(2)(B).
       (h) Inspection Process.--The New Orleans Redevelopment 
     Authority shall establish a process to inspect all eligible 
     homes prior to sale under this section to ensure that such 
     homes--
       (1) meet local building codes;
       (2) need no further rehabilitation; and
       (3) are safe for habitation and occupation.
       (i) Recapture Procedures.--The Secretary of Housing and 
     Urban Development, in consultation with the New Orleans 
     Redevelopment Authority, shall establish procedures to 
     recapture amounts in instances where--
       (1) eligible homes are not sold to low-income families;
       (2) eligible home prices exceed redevelopment costs; and

[[Page S8073]]

       (3) eligible homes sold are not used as the purchaser's 
     primary residences for 5 years.
       (j) Compliance Reports.--
       (1) In general.--The New Orleans Redevelopment Authority 
     shall submit such information as the Secretary of Housing and 
     Urban Development requires to ensure that eligible homes are 
     being used as required under subsection (f). If at any time, 
     the Secretary determines the Authority is in noncompliance 
     with the requirements under subsection (f), the Secretary 
     shall, not later than 15 days after making such 
     determination, notify, in writing, the Committee on Banking, 
     Housing, and Urban Affairs of the Senate, and the Committee 
     on Financial Services of the House of Representatives.
       (2) Status report.--Not later than 3 years after the date 
     of enactment of this Act, and again not later than 5 years 
     after the date of enactment of this Act, the New Orleans 
     Redevelopment Authority shall 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 Representative on the implementation, status, and 
     execution of the Initiative established under this section.
       (k) Termination.--The Secretary of Housing and Urban 
     Development shall not convey or transfer, and the New Orleans 
     Redevelopment Authority shall not accept, any property under 
     this section after 5 years from the date of enactment of this 
     Act.

                   TITLE VI--FAIR HOUSING ENFORCEMENT

     SEC. 601. FAIR HOUSING INITIATIVES PROGRAM.

       (a) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out section 561 of the Housing 
     and Community Development Act of 1987 (42 U.S.C. 3616a), in 
     each of fiscal years 2008 and 2009, such sums as may be 
     necessary, but not less than $5,000,000, for areas affected 
     by Hurricanes Katrina and Rita, of which, in each such fiscal 
     year--
       (1) 60 percent shall be available only for private 
     enforcement initiatives for qualified private enforcement 
     fair housing organizations authorized under subsection (b) of 
     such section, and, of the amount made available in accordance 
     with this paragraph, the Secretary shall set aside an amount 
     for multi-year grants to qualified fair housing enforcement 
     organizations;
       (2) 20 percent shall be available only for activities 
     authorized under paragraphs (1) and (2) of subsection (c) of 
     such section; and
       (3) 20 percent shall be available only for education and 
     outreach programs authorized under subsection (d) of such 
     section.
       (b) Low Funding.--If the total amount appropriated to carry 
     out the Fair Housing Initiatives Program for either fiscal 
     year 2008 or 2009 is less than $50,000,000, not less than 5 
     percent of such total amount appropriated for such fiscal 
     year shall be available for the areas described in subsection 
     (a) for the activities described in paragraphs (1), (2), and 
     (3) of such subsection.
       (c) Availability.--Any amounts appropriated under this 
     section shall remain available until expended.

TITLE VII--IMPROVED DISTRIBUTION OF FEDERAL HURRICANE HOUSING FUNDS FOR 
                            HURRICANE RELIEF

     SEC. 701. GAO STUDY OF IMPROVED DISTRIBUTION OF FEDERAL 
                   HOUSING FUNDS FOR HURRICANE RELIEF.

       (a) Study.--The Comptroller General of the United States 
     shall conduct a study to examine methods of improving the 
     distribution of Federal housing funds to assist States 
     covered by this Act with recovery from hurricanes, which 
     shall include identifying and analyzing--
       (1) the Federal and State agencies used in the past to 
     disburse such funds and the strengths and weakness of 
     existing programs;
       (2) the means by and extent to which critical information 
     relating to hurricane recovery, such as property valuations, 
     is shared among various State and Federal agencies;
       (3) program requirements that create impediments to the 
     distribution of such funds that can be eliminated or 
     streamlined;
       (4) housing laws and regulations that have caused programs 
     to be developed in a manner that complies with statutory 
     requirements but fails to meet the housing objectives or 
     needs of the States or the Federal Government;
       (5) laws relating to privacy and impediments raised by 
     housing laws to the sharing, between the Federal Government 
     and State governments, and private industry, of critical 
     information relating to hurricane recovery;
       (6) methods of streamlining applications for and 
     underwriting of Federal housing grant or loan programs; and
       (7) how to establish more equitable Federal housing laws 
     regarding duplication of benefits.
       (b) Report.--Not later than 6 months after the date of the 
     enactment of this Act, the Comptroller General shall submit 
     to the Congress a report describing the results of the study 
     and any recommendations regarding the issues analyzed under 
     the study.

     TITLE VIII--COMMENDING AMERICANS FOR THEIR REBUILDING EFFORTS

     SEC. 801. COMMENDING AMERICANS.

       (a) Congressional Findings.--The Congress finds that--
       (1) over 500,000 individuals in the United States have 
     volunteered their time in helping rebuild the Gulf Coast 
     region in the aftermath of Hurricane's Katrina and Rita;
       (2) over $3,500,000,000 in cash and in-kind donations have 
     been made for hurricane victims;
       (3) 110,000,000 pounds of food have been distributed by 
     Catholic Charities' Food Bank through hurricane relief 
     efforts;
       (4) almost 7,000,000 hot meals have been served by 
     Salvation Army volunteers in hurricane relief efforts;
       (5) over 10,000,000 college students have devoted their 
     spring and fall breaks to hurricane relief efforts;
       (6) almost 20,000 families displaced as a result of the 
     hurricanes have been supported by Traveler's Aid volunteers;
       (7) faith based and community organizations donated 
     thousands of man-hours, as well as assistance, to evacuees 
     and assistance in clean-up and recovery in the Gulf States.
       (b) Commendation.--The Congress hereby commends the actions 
     and efforts by the remarkable individuals and organizations 
     who contributed to the hurricane relief effort and recognizes 
     that the rebuilding of the Gulf Coast region rests on the 
     selfless dedication of private individuals and community 
     spirit.

       The Gulf Coast Housing Recovery Act of 2007--June 20, 2007

       The following organizations have endorsed the Gulf Coast 
     Housing Recovery Act:


                         national organizations

       AARP, ACORN, Addicts Rehabilitation Center Foundation, 
     Inc., American Association of Homes and Services for the 
     Aging, Asian American Justice Center, Center for Responsible 
     Lending, Center on Budget and Policy Priorities, Consortium 
     for Citizens with Disabilities Housing Task Force, Consumer 
     Mortgage Coalition, Enterprise Community Partners, Institute 
     of Real Estate Management, Jonathan Rose Companies, Lawyers 
     Committee for Civil Rights Under Law, Local Initiatives 
     Support Corporation, McCormack Baron Salazar, Inc., Mortgage 
     Bankers Association, National Affordable Housing Management 
     Association, National Alliance of Vietnamese American Service 
     Agencies (NAVASA), National Alliance to End Homelessness, 
     National AIDS Housing Coalition, National Apartment 
     Association.
       National Association for the Advancement of Colored People 
     (NAACP), National Association of Affordable Housing Lenders, 
     National Association of Home Builders, National Association 
     of Realtors, National Baptist Convention, USA, Inc., National 
     Coalition for Asian Pacific American Community Development 
     (National CAPACD), National Coalition for the Homeless, 
     National Fair Housing Alliance, NCBA Housing Management 
     Corporation, National Housing Conference, National Housing 
     Law Project, National Housing Trust, National Law Center on 
     Homelessness and Poverty, National Leased Housing 
     Association, National Low Income Housing Coalition, National 
     Multi Housing Council, National Policy and Advocacy Council 
     on Homelessness, NETWORK: A National Catholic Social Justice 
     Lobby.
       Oxfam America, PolicyLink, Poverty & Race Research Action 
     Council, Religious Action Center for Reform Judaism, 
     Technical Assistance Collaborative, Tramell Crow Company, 
     Unitarian Universalist Association of Congregations, US 
     Jesuit Conference, Volunteers of America.


                 gulf coast and regional organizations

       Acadiana Regional Coalition on Housing & Homelessness 
     (ARCH), Alabama Appleseed Center for Law & Justice, Alabama 
     Arise, Armstrong Family Services, Catholic Charities, New 
     Orleans, Coalition for Citizens with Disabilities of 
     Mississippi, Florida Legal Services, Inc., Fresh Start of 
     Baton Rouge, Georgia Appleseed Center for Law & Justice, 
     Inc., Greater Houston Fair Housing Center, Greater New 
     Orleans Fair Housing Action Center, Gulf Coast Fair Housing 
     Center (Biloxi, MS), Hope for the Homeless, Inc., Hope House, 
     Lake to the River: The New Orleans Coalition for Legal Aid 
     and Disaster Assistance, Last Hope, Inc., Louisiana Advocacy 
     Coalition for the Homeless, Louisiana Appleseed Center for 
     Law & Justice, Inc., Louisiana Association of Nonprofit 
     Organizations, Louisiana Developmental Disabilities Council, 
     Louisiana Housing Alliance, LA Supportive Housing Coalition.
       Mental Health America of Louisiana, Mobile Fair Housing 
     Center, NAMI Louisiana, New Orleans Neighborhood Development 
     Collaborative, New Orleans Neighborhood Development 
     Foundation, Northeast Louisiana Delta CDC, People Improving 
     Communities Through Organizing--Louisiana Interfaith Together 
     (PICO-LIFT), Project Lazarus, Providence Community Housing, 
     Shelter Resources, Inc., Texas Appleseed, The Advocacy 
     Center, UNITY of Greater New Orleans.
                                  ____

                                                    June 15, 2007.
     Hon. Mary Landrieu,
     U.S. Senate,
     Washington, DC.
     Hon. Christopher Dodd,
     U.S. Senate,
     Washington, DC.
       Dear Senators Landrieu and Dodd: Enterprise Community 
     Partners strongly supports your bill, the Gulf Coast 
     Hurricane Housing Recovery Act of 2007. We appreciate that 
     this legislation takes a holistic approach to redeveloping 
     affordable housing in the impacted Gulf Coast region.
       Enterprise is one of the nation's leading providers of 
     development capital and expertise for decent, affordable 
     homes in thriving communities. For more than two decades, 
     Enterprise has pioneered neighborhood solutions through 
     private-public partnerships

[[Page S8074]]

     with financial institutions, governments, community 
     organizations and other stakeholders.
       We are bringing our resources to bear across the Gulf 
     Coast, helping nonprofit and faith-based organizations 
     serving low-income people and seniors; ensuring sustainable 
     development that saves energy and natural resources; and 
     advising state and local government on policies and programs 
     to create communities of choice. Through partnerships with 
     local and national partners, we have committed to invest $200 
     million in grants, loans and equity investment toward the 
     development of 10,000 affordable, healthy and sustainable 
     homes in the Gulf Coast region. Enterprise has designed, 
     implemented, and is currently managing the $47 million 
     Louisiana Loan Fund with other partners to provide local 
     developers access to low-cost predevelopment and acquisition 
     capital.
       This legislation provides much-needed flexibility while 
     insisting upon the essential principles necessary to 
     comprehensively and equitably redevelop the Gulf Coast. 
     Enterprise commends you for providing displaced families with 
     a range of options, including providing additional vouchers 
     and extending temporary housing assistance.
       Enterprise and our local partner, Providence Community 
     Housing, are working with former residents and the local, 
     state and federal governments to redevelop the Lafitte public 
     housing site as part of a broader strategy to revitalize the 
     neighborhood of Treme in New Orleans. This bill creates the 
     policy framework for rebuilding a vibrant, sustainable 
     community of choice for families of all incomes.
       The bill's provision for the New Orleans Redevelopment 
     Authority's disposition pilot will help developers acquire 
     off-site properties as replacement homes to reduce density in 
     public housing. This innovative approach will help to ensure 
     that rebuilding public housing in the Gulf Coast does not 
     result in concentrating poverty in isolation from jobs, 
     transportation and services.
       Enterprise commends you and the members of the Senate 
     Banking Committee for your leadership on this and other 
     housing issues and urges Congress to expedite the passage of 
     this critical legislation. Please call upon us if we can 
     provide additional information or assistance.
           Sincerely,

                                                 Doris W. Koo,

                            President and Chief Executive Officer,
                               Enterprise Community Partners, Inc.

                                                  Bart Harvey,

                                 Chairman of the Board, Enterprise
     Community Partners, Inc.
                                  ____

                                                    June 15, 2007.
     Hon. Christopher J. Dodd,
     Hon. Mary Landrieu,
     U.S. Senate,
     Washington, DC.
       Dear Senators Dodd and Landrieu, We write in support of the 
     bill you will introduce shortly to address the housing needs 
     of low income people affected by Hurricanes Katrina and Rita 
     that remain largely unmet these 21 months after the disaster. 
     While everyone has suffered with the slow pace of recovery, 
     it is the people who had the fewest resources before the 
     storms for whom rebuilding their lives and reestablishing 
     permanent homes has been the most difficult. In particular, 
     repair and replacement of rental housing affordable to low 
     income people has received insufficient attention in the 
     rebuilding plans to date.
       Your bill will go a long way towards addressing these 
     concerns. Among its many important provisions is a plan for 
     the repair and redevelopment of public and assisted housing. 
     This provision will ensure that communities will not lose 
     desperately needed federally assisted housing units and that 
     all residents in good standing prior to the storms will have 
     the right to return, while also providing residents with a 
     broader range of housing choices than previously available. 
     Displaced public and assisted housing residents who are 
     trying to rebuild their lives in new communities will also be 
     able to do so without threat of losing housing assistance 
     that makes their new homes affordable. The mobility section 
     is a welcome addition to the House bill.
       The tens of thousands more displaced low income people who 
     were living in private housing before the storms, whose homes 
     are gone, and whose temporary housing has been sustained via 
     the chaotic FEMA rent assistance program will finally be able 
     to rely on Section 8 housing vouchers, with its established 
     rules and local administration. We are also in favor of the 
     requirement in the bill for a GAO study to determine how the 
     number of households whose assistance was wrongfully 
     terminated by FEMA.
       The pilot program of the New Orleans Redevelopment 
     Authority, coupled with the FHA-New Orleans Disaster Housing 
     Initiative, offer an innovative approach to focus resources 
     for low income housing development in New Orleans, which 
     sustained the greatest loss of affordable rental housing in 
     the affected areas.
       We offer the following suggestions for consideration before 
     the bill is introduced or at mark-up. We recommend that the 
     ongoing and desperate housing needs of low income people in 
     Alabama and Texas be addressed in this bill. While the scale 
     of destruction was less in these states, the distribution of 
     resources by HUD shortchanged both states. We urge additional 
     appropriations for Alabama and Texas, allocated through the 
     HOME program.
       Second, we ask that you consider expanding the number of 
     new project-based vouchers from 4,500 as is in the draft bill 
     to 25,000.
       Attached is a list of organizations that are members of the 
     Katrina Housing Group whose representatives thank you for 
     your work on behalf of low income people displaced by the 
     2005 Gulf Coast Hurricanes and pledge to work with you to 
     move your important legislation forward.
           Sincerely,
                                        The Katrina Housing Group,
     c/o National Low Income Housing Coalition.
                                  ____

                                                    June 14, 2007.
     Hon. Christopher Dodd,
     Hon. Mary Landrieu,
     U.S. Senate,
     Washington, DC.
       Dear Senators Dodd and Landrieu: The undersigned civil 
     rights organizations are writing to express our support for 
     the Senate version of the Gulf Coast Housing Recovery Act of 
     2007, soon to be introduced. This bill will address many of 
     the pressing housing issues on the Coast and will assist with 
     civil rights and fair housing enforcement. Because the 
     situation on the Coast continues to be so precarious, we 
     believe this legislation needs to move forward quickly.
       In particular, we appreciate the fair housing enforcement 
     and the fair housing reporting mechanisms in the bill. Title 
     VI authorizes funds for vital civil rights enforcement by 
     fair housing centers on the Coast. Title I specifically 
     mentions that every state has to report quarterly on its 
     programs, including how the programs are affirmatively 
     furthering fair housing. In addition, the states must report 
     whom they are serving by race, ethnicity, income, disability, 
     family size, and family status.
       In addition, the provisions for housing mobility, public 
     housing replacement, and a new FHA multifamily loan program 
     will provide much needed housing as well as the opportunity 
     for racial and socioeconomic integration.
       Thank you again for your efforts to support civil rights 
     and fair housing.
           Sincerely,
       Center for Responsible Lending.
       Greater Houston Fair Housing Center.
       Greater New Orleans Fair Housing Action Center.
       Gulf Coast Fair Housing Center (Biloxi, MS).
       Lawyers Committee for Civil Rights Under Law.
       Mobile Fair Housing Center.
       National Association for the Advancement of Colored People 
     (NAACP).
       National Coalition for Asian Pacific American Community 
     Development (National CAPACD).
       National Fair Housing Alliance.
                                  ____



                                        Volunteers of America,

                                    Alexandria, VA, June 13, 2007.
     Hon. Christopher Dodd,
     U.S. Senate, Russell Building,
     Washington DC.
       Dear Senator Dodd: On behalf of Volunteers of America, a 
     national, nonprofit, faith-based organization dedicated to 
     helping those in need rebuild their lives and reach their 
     full potential, I am writing to express our strong support 
     for the Dodd/Landrieu Gulf Coast Hurricane Housing Recovery 
     Act of 2007. This measure will assist in the rebuilding 
     process in the region and provide the requisite long term 
     housing relief for many poor and low income individuals.
       Volunteers of America helps more than 2 million people in 
     over 400 communities. Since 1896, our ministry of service has 
     supported and empowered America's most vulnerable groups, 
     including at-risk youth, the frail elderly, men and women 
     returning from prison, homeless individuals and families, 
     people with disabilities, and those recovering from 
     addictions. Our work touches the mind, body, heart--and 
     ultimately the spirit--of those we serve, integrating our 
     deep compassion with highly effective programs and services.
       Volunteers of America has served New Orleans and the Gulf 
     Region for over a century. Prior to Hurricane Katrina we had 
     a diverse portfolio of over 1,000 housing units in and around 
     New Orleans. Included in this total was senior housing, 
     family housing, housing for persons with disabilities, and 
     housing for people leaving homelessness. All of these 
     properties were rendered uninhabitable by the storm, as were 
     our offices and many of our other program sites. We continue 
     to work in partnership with state and local governments, 
     other non-profit agencies and with businesses, to rebuild 
     communities along the Gulf Coast. Under our ``Coming Back 
     Home'' Initiative, we have pledged to restore the 1,000 
     affordable housing units we provided in New Orleans prior to 
     Katrina, and to seek every opportunity to build additional 
     units. Our goal is to continue providing housing and 
     supportive services to vulnerable populations, and offer 
     workforce housing to people who need an affordable place to 
     live as they strive to rebuild New Orleans. We are also 
     providing home ownership opportunities for low income 
     families in Louisiana, Mississippi, and Alabama.
       To this end, the Gulf Coast Hurricane Housing Recovery Act 
     of 2007, represents an excellent opportunity for the Senate 
     to address the on going housing and rebuilding needs of this 
     region. Thank you for your leadership in introducing this 
     important measure and we look forward to working with you and 
     all the members in the Senate

[[Page S8075]]

     to ensure final passage of this landmark legislation.
           Sincerely,
                                                 Charles W. Gould,
     President.
                                  ____



                                                    City View,

                                   San Antonio, TX, June 18, 2007.
     Hon. Mary Landrieu,
     Senate Hart Office Building,
     U.S. Senate, Washington, DC.
     Hon. Christopher Dodd,
     Senate Rayburn Office Building,
     U.S. Senate, Washington, DC.
       Dear Senators Landrieu and Dodd: As a member of Enterprise 
     Community Partners' Real Estate Leadership Council, thank you 
     for introducing the Gulf Coast Hurricane Housing Recovery Act 
     of 2007. This legislation takes a critically needed holistic 
     approach to both immediate and long-term housing needs in the 
     impacted Gulf Coast region, which I have seen firsthand.
       Taking a comprehensive but flexible approach to rebuilding 
     in the wake of Hurricanes Katrina and Rita is essential. I 
     believe this bill will ensure that public housing is 
     redeveloped equitably and sustainably, ensuring that there 
     will be no net loss of federally assisted units in the area 
     and that former residents will have access to services and 
     the opportunity to return. The many displaced low-income 
     families who were not previously public housing residents now 
     will have access to the known and reliable Section 8 housing 
     voucher program rather than the often confusing FEMA rental 
     assistance program.
       Additionally, the New Orleans Redevelopment Authority 
     disposition pilot program to help developers acquire 
     properties for replacement housing takes an innovative 
     approach. This program will go far to ensuring that New 
     Orleans retains affordable housing options while rebuilding 
     mixed-income communities of choice.
       Through partnerships with local and national partners, 
     Enterprise has committed to invest $200 million in loans, 
     grants and tax credit equity toward the development of 10,000 
     affordable, healthy and sustainable homes in the Gulf Coast 
     region. I would also like to commend you for your critical 
     role in extending the placed-in-service date for the Gulf 
     Opportunity Zone low income housing tax credits. This was an 
     important step in ensuring that the GO-Zone tax credits will 
     be able to be used to rebuild affordable housing for low-
     income families in the region.
           Sincerely,
       Member, Real Estate Leadership Council, Enterprise 
     Community Partners, Inc.

  Ms. LANDRIEU. Mr. President, I come to the floor today to speak about 
an important issue that will determine the success of long-term 
recovery efforts in the gulf coast. As you know, the gulf coast was 
devastated in 2005 by two of the most powerful storms to ever hit the 
United States in recorded history--Hurricanes Katrina and Rita. We also 
experienced the unprecedented disaster of having a major metropolitan 
city--the city of New Orleans--under up to 20 feet of water for 2 weeks 
when there were 28 separate levee failures which flooded 12,000 acres, 
or 80 percent of New Orleans, following Katrina.
  I strongly believe that the Congress can provide vast amounts of tax 
credits, grants, loans, and waivers, but all these benefits will not 
spur recovery if we cannot get people back into their homes. That is 
where recovery must start and end. In Louisiana alone, for example, we 
had over 20,000 businesses destroyed. However, businesses cannot open 
their doors if their workers have nowhere to live. Louisiana also had 
875 schools destroyed. Again, teachers cannot come back to school and 
teach our children if they do not have a roof over their heads. So a 
fundamental piece of recovery in the gulf coast is to allow disaster 
victims to return home and rebuild.
  Given the ongoing needs in the southern part of my State in regard to 
damaged housing, as well as all across the gulf coast, I was pleased 
that H.R. 1227, the Gulf Coast Hurricane Housing Recovery Act, passed 
the House of Representatives on March 21, 2007. This legislation, 
introduced by Representative Maxine Waters and Representative Barney 
Frank, addresses many of the major housing-related problems in my 
State, in particular issues with the Louisiana Road Home Program and 
public housing. Since this legislation was received in the Senate, I 
have been working closely with Senator Chris Dodd, chairman of the 
Senate Banking Committee, to review H.R. 1227 for ways to strengthen 
this important legislation. To further this goal, we have consulted 
residents, community leaders, nonprofits, State/local officials, and 
other relevant stakeholders on areas where H.R. 1227 might require 
improvements.
  Today, along with Chairman Dodd, I am proud to introduce legislation 
which is the product of these months of intensive consultations. This 
legislation, a Senate companion bill to H.R. 1227, is identical to the 
House bill in many places, and in others it really improves upon what 
was included in the House bill. For example, H.R. 1227 included $15 
million for the New Orleans Redevelopment Authority, NORA, to carry out 
a pilot program to purchase and bundle properties, then sell for 
redevelopment. These funds would allow NORA to initially acquire and 
redevelop properties in the New Orleans area. While I support this 
pilot program, which was included by my colleague from Louisiana, 
Representative Richard Baker, I believe that some additional funds were 
necessary to truly allow NORA to ``hit the ground running'' with this 
program. That is why our bill includes $25 million for NORA. 
Furthermore, before Hurricane Katrina, at approximately 40 percent, New 
Orleans had one of the lowest home ownership levels of any metropolitan 
area in the country. As we rebuild this vibrant city, increasing home 
ownership should be one of the tenets of the redevelopment process. 
With this in mind, our bill does its part to increase home ownership 
opportunities for low-income renters and public housing residents by 
including an additional $5 million for NORA to provide soft second 
mortgages. The bill also directs the Federal Housing Administration to 
convey properties to NORA for affordable resale to these residents.

  In regard to the Louisiana Road Home Program, following passage of 
the House bill, we learned that the Road Home is facing a shortfall of 
billions of dollars due to various reasons. There is certainly more 
than enough blame to go around for the mistakes in the creation and 
management of the Road Home Program, and fixing them will be a shared 
responsibility. But a significant initial flaw can be found in the 
inadequate and unfairly distributed funding which represented all the 
administration was willing to commit toward Louisiana recovery. At this 
stage, the funding shortfall threatens to stall recovery in Louisiana 
and leave homeowners without the vital funds they need to rebuild their 
homes. To address this important issue, our bill includes an 
authorization of funds so that if the State of Louisiana puts up $1 
billion toward the Road Home shortfall, additional funds necessary to 
shore up the program would be available.
  The Louisiana Recovery Authority, LRA, and the State legislature 
approved a plan that allocates $1.175 billion dollars to be included in 
the Road Home Program and $217 million for traditional Hazard 
Mitigation Projects for use by local parishes and municipalities. In 
particular, the money allocated for use by local parishes and 
municipalities can be used for retrofitting structures, such as flood-
proofing and elevating homes, acquisition and relocation of residential 
homes from disaster-prone areas. For the $1.175 billion, the State is 
seeking to use these funds for the Road Home Program, and HUD has 
approved it for these uses, but FEMA has so far refused to allow this 
change. For more than a year, the State of Louisiana and FEMA have met 
and attempted to work out the issues for applying the funds for the 
Road Home with no significant progress.
  To address this issue, the House bill requires FEMA to accept the 
State's program structure for the Road Home, which provides incentives 
to people who choose to remain in the State. These provisions are 
helpful, but maximum flexibility for using HMGP funds must be provided, 
so that is why our Senate companion would allow Louisiana to use this 
more than $1 billion for mitigation activities in the Road Home Program 
according to more flexible HUD Community Development Block Grant 
Program rules. The bill also requires FEMA to send these funds to the 
State within 90 days so that they can quickly be utilized for the Road 
Home. Lastly, and most important for our impacted parishes in 
Louisiana, the Dodd-Landrieu bill requires Louisiana to send any future 
Katrina/Rita HMGP funds directly to the parishes and localities where 
these funds are badly needed. I believe this is a commonsense approach 
as we need to make fixing the Road Home a priority but also should 
recognize that the parishes certainly deserve additional funds which 
should become available in the coming months.

[[Page S8076]]

  I am also aware that many Louisiana Road Home recipients have seen 
their housing recovery grants reduced by Federal agencies, citing 
``duplication of benefits'' regulations. While I understand the need to 
ensure fiscal responsibility on Federal recovery spending, in addition 
to make sure that residents are not benefiting from these disasters, 
these Federal regulations are in many ways stifling recovery rather 
than discouraging fraud and abuse. This is because Louisiana homeowners 
in many cases had to wait months upon months for U.S. Small Business 
Administration, SBA, disaster assistance, Federal Emergency Management 
Agency, FEMA, assistance, and many are unfortunately still waiting to 
see resolution on their insurance claims. The delay in delivery of this 
vital recovery capital, along with the immense damage in the region, 
has left many homeowners scrambling to cobble together enough funds for 
fully rebuilding their damaged homes. The Louisiana Road Home Program 
was created to further these ends but cannot allow residents to return 
home and rebuild if Federal regulations are requiring recovery funds to 
come back to Washington, not stay in Louisiana where they are needed. 
Let me clarify, though, residents should not benefit from these storms, 
but the Federal Government should ensure that they have the necessary 
resources to responsibly rebuild their lives. To these ends, H.R. 1227 
included a provision to waive these ``duplication of benefits'' 
regulations for insurance and FEMA assistance so long as the household 
did not receive a windfall gain. While our bill includes a similar 
provision, we clarified that SBA disaster assistance is also included 
and that the regulation is waived so long as the household does not 
receive more funds than is necessary to repair/rebuild their home.

  Following Katrina and Rita, there has been a great deal of emphasis 
placed on rebuilding gulf coast rental housing and owner-occupied 
housing, as there should be. The recovery of public housing, however, 
is one area that has not received much national press even though, 
prior to Hurricane Katrina, the Housing Authority of New Orleans, HANO, 
operated 7,379 public housing units, 5,146 of which were occupied in 
the New Orleans area alone. These residents, just like renters and 
homeowners, have a right to return home, so we must provide them the 
means and opportunity to do so. H.R. 1227 provides a process for 
returning these New Orleans public housing residents home. It includes 
a resident study to find out which residents want to stay where they 
are, which residents want to come back to public housing in New 
Orleans, and which residents would like to return to New Orleans with 
rental or section 8 voucher assistance. This study would guide 
redevelopment of public housing units in New Orleans. The House bill 
also specifies that HANO shall not demolish the 7,379 public housing 
units unless there is a plan in place to provide one-for-one 
replacement for the units. This particular provision ensures that all 
public housing residents who want to return home can return to 
affordable public housing units.
  The Dodd-Landrieu Senate companion retains these provisions but 
strengthens them in a few ways. For example, just as in H.R. 1227, our 
bill sets out that all 5,146 pre-Katrina occupied units shall be 
replaced with 5,146 hard units. However, unlike the House bill, for the 
remaining units, this bill allows HANO to replace these with hard units 
or with project-based vouchers tied to units in low-income 
neighborhoods/areas undergoing revitalization. This is because some 
residents want to return to public housing units, but there are others 
who would like to transition to other types of units. This bill would 
allow them the choice.
  Furthermore, in another improvement from the House version, our bill 
ties the dates for the survey and resident return to the enactment of 
the bill, to ensure residents have sufficient time to make decisions 
and to return home. Before the storms, almost 85 percent of these 
public housing residents were employed, and many are now employed in 
other cities, some with children in schools there. Although I know they 
want to come home as soon as possible, it would be somewhat 
unreasonable to require them to pull their children out of schools and 
leave their current jobs in such a short timeframe. The Senate bill 
gives these residents the time necessary to make relevant arrangements 
and move back within 120 days of enactment.
  Another issue that was not addressed in the House bill is in regard 
to residents who were on a waiting list to get into public housing. 
With a shortage of affordable housing in the New Orleans area, these 
almost 6,000 residents are left without many options in pursuing 
suitable housing. Our bill also requires HANO, as part of its 
replacement plans, to contact individuals on the pre-Katrina waiting 
list and to give these residents consideration for any units not needed 
for returning residents.
  As you may know, HANO has been a troubled agency long before 
Hurricane Katrina hit New Orleans. It has been plagued by mismanagement 
and financial problems for years and is currently administered by HUD. 
Under normal circumstances, this may not warrant much congressional 
attention as HUD has taken over countless housing authorities 
nationwide to steer them in the right direction. However, at this 
important stage in rebuilding public housing in New Orleans, many in 
the city believe we need an independent partner overseeing the process. 
Although there may be the best intentions from administration officials 
running HANO, it is still HUD in Washington calling the shots, not 
local officials, residents, and other groups. There are also new and 
innovative public housing administration models from other cities, 
which incorporate both resident input and public-private partnerships.
  Now, I realize that Rome was not built in a day and that it will take 
years, not months, to fully rebuild New Orleans. Along these same 
lines, no one expects HANO to be completely reformed overnight, 
especially given its years of problems and the need to not jeopardize 
ongoing development in any way. But there is a general consensus that 
the status quo for HANO must not continue. To these ends, our bill 
requires HUD to put HANO into judicial receivership within 30 days, 
which would start the process of turning HANO over to local control. We 
believe it is important to start this dialogue on the next steps for 
HANO, given how important its role will be in rebuilding public housing 
in the region.
  In closing, let me reiterate that this bill addresses one of the most 
fundamental needs following a disaster: the need to return home. 
Whether residents live in million-dollar mansions, rental housing, or 
public housing, they all share a desire to return to their communities 
and, in particular, their homes. The House has done its part to help 
these residents, so I urge my colleagues to support this comprehensive 
recovery legislation as now these disaster victims are counting on the 
Senate for action.
  I ask unanimous consent to have printed in the Record letters of 
support for the legislation.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:

                                    Trammell Crow Residential,

                                       Atlanta, GA, June 15, 2007.
     Hon. Mary Landrieu,
     U.S. Senate,
     Washington, DC.
     Hon. Christopher Dodd,
     U.S. Senate,
     Washington, DC.
       Dear Senators Landrieu and Dodd: As a member of Enterprise 
     Community Partners' Real Estate Leadership Council, thank you 
     for introducing the Gulf Coast Hurricane Housing Act of 2007. 
     This legislation takes a critically needed holistic approach 
     to both immediate and long-term housing needs in the impacted 
     Gulf Coast region, which I have seen firsthand.
       Taking a comprehensive but flexible approach to rebuilding 
     in the wake of Hurricanes Katrina and Rita is essential. I 
     believe this bill will ensure that public housing is 
     redeveloped equitably and sustainably, ensuring that there 
     will be no net loss of federally assisted units in the area 
     and that former residents will have access to services and 
     the opportunity to return. The many displaced low-income 
     families who were not previously public housing residents now 
     will have access to the known and reliable Section 8 housing 
     voucher program rather than the often confusing FEMA rental 
     assistance program.
       Additionally, the New Orleans Redevelopment Authority 
     disposition pilot program to help developers acquire 
     properties for replacement housing takes an innovative 
     approach. This program will go far to ensuring that New 
     Orleans retains affordable housing

[[Page S8077]]

     options while rebuilding mixed-income communities of choice.
       Through partnerships with local and national partners, 
     Enterprise has committed to invest $200 million in loans, 
     grants and tax credit equity toward the development of 10,000 
     affordable, healthy and sustainable homes in the Gulf Coast 
     region. I would also like to commend you for your critical 
     role in extending the placed-in-service date for the Gulf 
     Opportunity Zone low income housing tax credits. This was an 
     important step in ensuring that the GO-Zone tax credits will 
     be able to be used to rebuild affordable housing for low-
     income families in the region.
       Thank you for your leadership on this and other Gulf Coast 
     housing issues. I urge Congress to expedite the passage of 
     this critical legislation.
           Sincerely,

                                        J. Ronald Terwilliger,

                           Member, Real Estate Leadership Council,
     Enterprise Community Partners, Inc.
                                  ____



                            Reach Community Development, Inc.,

                                      Portland, OR, June 12, 2007.
     Hon. Mary Landrieu,
     U.S. Senate,
     Washington, DC.
       Dear Senator Landrieu: As a Trustee of Enterprise Community 
     Partners and chair of Enterprise's national Network Advisory 
     Board, thank you for introducing the Gulf Coast Hurricane 
     Housing Recovery Act of 2007. This legislation takes a 
     critically needed holistic approach to both immediate and 
     long-term needs in the impacted Gulf region.
       Taking a comprehensive but flexible approach to rebuilding 
     in the wake of Hurricanes Katrina and Rita is essential. I 
     believe this bill will ensure that public housing is 
     redeveloped equitably and sustainably, ensuring that there 
     will be no net loss of federally assisted units in the area 
     and that former residents will have access to services and 
     the opportunity to return. The many displaced low-income 
     families who were not previously public housing residents now 
     will have access to the known and reliable Section 8 housing 
     voucher program rather than the often confusing FEMA rental 
     assistance program.
       Additionally, the New Orleans Redevelopment Authority 
     disposition pilot program to help developers acquire 
     properties takes an innovative approach. This program will go 
     far to ensuring that New Orleans retains affordable housing 
     options while rebuilding mixed-income communities of choice.
       Enterprise is responding to Hurricanes Katrina and Rita by 
     bringing its resources to bear to leverage locally led 
     partnerships. Working with capable local and national 
     partners, Enterprise has committed to invest $200 million in 
     loans, grants and tax credit equity toward the development of 
     10,000 affordable, healthy and sustainable homes in the Gulf 
     region. I would also like to commend you for your critical 
     role in extending the placed-in-service date for the Gulf 
     Opportunity Zone low income housing tax credits. This was an 
     important step in ensuring that the GO-Zone tax credits will 
     be able to be used to rebuild affordable housing for low-
     income families in the region.
       Thank you for your leadership on this and other Gulf Coast 
     housing issues. I urge Congress to expedite the passage of 
     this critical legislation.
           Sincerely,

                                                    Dee Walsh,

                               Executive Director, REACH Community
                                                 Development, Inc.
                                 ______