[Congressional Record Volume 156, Number 172 (Tuesday, December 21, 2010)]
[House]
[Pages H8802-H8806]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




       SECTION 202 SUPPORTIVE HOUSING FOR THE ELDERLY ACT OF 2010

  Mr. LYNCH. Madam Speaker, I move to suspend the rules and pass the 
bill (S. 118) to amend section 202 of the Housing Act of 1959, to 
improve the program under such section for supportive housing for the 
elderly, and for other purposes.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

[[Page H8803]]

                                 S. 118

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

     SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Section 
     202 Supportive Housing for the Elderly Act of 2010''.
       (b) Table of Contents.--The table of contents for this Act 
     is as follows:

Sec. 1. Short title and table of contents.

                   TITLE I--NEW CONSTRUCTION REFORMS

Sec. 101. Selection criteria.
Sec. 102. Development cost limitations.
Sec. 103. Owner deposits.
Sec. 104. Definition of private nonprofit organization.
Sec. 105. Nonmetropolitan allocation.

                         TITLE II--REFINANCING

Sec. 201. Approval of prepayment of debt.
Sec. 202. Use of unexpended amounts.
Sec. 203. Use of project residual receipts.
Sec. 204. Additional provisions.

   TITLE III--ASSISTED LIVING FACILITIES AND SERVICE-ENRICHED HOUSING

Sec. 301. Amendments to the grants for conversion of elderly housing to 
              assisted living facilities.
Sec. 302. Monthly assistance payment under rental assistance.

     TITLE IV--COMPLIANCE WITH STATUTORY PAY-AS-YOU-GO ACT OF 2010

Sec. 401. Budgetary effects.

                   TITLE I--NEW CONSTRUCTION REFORMS

     SEC. 101. SELECTION CRITERIA.

       Section 202(f)(1) of the Housing Act of 1959 (12 U.S.C. 
     1701q(f)(1)) is amended--
       (1) by redesignating subparagraphs (F) and (G) as 
     subparagraphs (G) and (H), respectively; and
       (2) by inserting after subparagraph (E) the following new 
     subparagraph:
       ``(F) the extent to which the applicant has ensured that a 
     service coordinator will be employed or otherwise retained 
     for the housing, who has the managerial capacity and 
     responsibility for carrying out the actions described in 
     subparagraphs (A) and (B) of subsection (g)(2);''.

     SEC. 102. DEVELOPMENT COST LIMITATIONS.

       Section 202(h)(1) of the Housing Act of 1959 (12 U.S.C. 
     1701q(h)(1)) is amended, in the matter preceding subparagraph 
     (A), by inserting ``reasonable'' before ``development cost 
     limitations''.

     SEC. 103. OWNER DEPOSITS.

       Section 202(j)(3)(A) of the Housing Act of 1959 (12 U.S.C. 
     1701q(j)(3)(A)) is amended by inserting after the period at 
     the end the following: ``Such amount shall be used only to 
     cover operating deficits during the first 3 years of 
     operations and shall not be used to cover construction 
     shortfalls or inadequate initial project rental assistance 
     amounts.''.

     SEC. 104. DEFINITION OF PRIVATE NONPROFIT ORGANIZATION.

       Section 202(k)(4) of the Housing Act of 1959 (12 U.S.C. 
     1701q(k)(4)) is amended to read as follows:
       ``(4) The term `private nonprofit organization' means--
       ``(A) any incorporated private institution or foundation--
       ``(i) no part of the net earnings of which inures to the 
     benefit of any member, founder, contributor, or individual;
       ``(ii) which has a governing board--

       ``(I) the membership of which is selected in a manner to 
     assure that there is significant representation of the views 
     of the community in which such housing is located; and
       ``(II) which is responsible for the operation of the 
     housing assisted under this section, except that, in the case 
     of a nonprofit organization that is the sponsoring 
     organization of multiple housing projects assisted under this 
     section, the Secretary may determine the criteria or 
     conditions under which financial, compliance and other 
     administrative responsibilities exercised by a single-entity 
     private nonprofit organization that is the owner corporation 
     responsible for the operation of an individual housing 
     project may be shared or transferred to the governing board 
     of such sponsoring organization; and

       ``(iii) which is approved by the Secretary as to financial 
     responsibility; and
       ``(B) a for-profit limited partnership the sole general 
     partner of which is--
       ``(i) an organization meeting the requirements under 
     subparagraph (A);
       ``(ii) a for-profit corporation wholly owned and controlled 
     by one or more organizations meeting the requirements under 
     subparagraph (A); or
       ``(iii) a limited liability company wholly owned and 
     controlled by one or more organizations meeting the 
     requirements under subparagraph (A).''.

     SEC. 105. NONMETROPOLITAN ALLOCATION.

       Paragraph (3) of section 202(l) of the Housing Act of 1959 
     (12 U.S.C. 1701q(l)(3)) is amended by inserting after the 
     period at the end the following: ``In complying with this 
     paragraph, the Secretary shall either operate a national 
     competition for the nonmetropolitan funds or make allocations 
     to regional offices of the Department of Housing and Urban 
     Development.''.

                         TITLE II--REFINANCING

     SEC. 201. APPROVAL OF PREPAYMENT OF DEBT.

       Subsection (a) of section 811 of the American Homeownership 
     and Economic Opportunity Act of 2000 (12 U.S.C. 1701q note) 
     is amended--
       (1) in the matter preceding paragraph (1), by inserting ``, 
     for which the Secretary's consent to prepayment is 
     required,'' after ``Affordable Housing Act)'';
       (2) in paragraph (1)--
       (A) by inserting ``at least 20 years following'' before 
     ``the maturity date'';
       (B) by inserting ``project-based'' before ``rental 
     assistance payments contract'';
       (C) by inserting ``project-based'' before ``rental housing 
     assistance programs''; and
       (D) by inserting ``, or any successor project-based rental 
     assistance program,'' after ``1701s))'';
       (3) by amending paragraph (2) to read as follows:
       ``(2) the prepayment may involve refinancing of the loan if 
     such refinancing results in--
       ``(A) a lower interest rate on the principal of the loan 
     for the project and in reductions in debt service related to 
     such loan; or
       ``(B) a transaction in which the project owner will address 
     the physical needs of the project, but only if, as a result 
     of the refinancing--
       ``(i) the rent charges for unassisted families residing in 
     the project do not increase or such families are provided 
     rental assistance under a senior preservation rental 
     assistance contract for the project pursuant to subsection 
     (e); and
       ``(ii) the overall cost for providing rental assistance 
     under section 8 for the project (if any) is not increased, 
     except, upon approval by the Secretary to--

       ``(I) mark-up-to-market contracts pursuant to section 
     524(a)(3) of the Multifamily Assisted Housing Reform and 
     Affordability Act (42 U.S.C. 1437f note), as such section is 
     carried out by the Secretary for properties owned by 
     nonprofit organizations; or
       ``(II) mark-up-to-budget contracts pursuant to section 
     524(a)(4) of the Multifamily Assisted Housing Reform and 
     Affordability Act (42 U.S.C. 1437f note), as such section is 
     carried out by the Secretary for properties owned by eligible 
     owners (as such term is defined in section 202(k) of the 
     Housing Act of 1959 (12 U.S.C. 1701q(k)); and''; and

       (4) by adding at the end the following:
       ``(3) notwithstanding paragraph (2)(A), the prepayment and 
     refinancing authorized pursuant to paragraph (2)(B) involves 
     an increase in debt service only in the case of a refinancing 
     of a project assisted with a loan under such section 202 
     carrying an interest rate of 6 percent or lower.''.

     SEC. 202. USE OF UNEXPENDED AMOUNTS.

       Subsection (c) of section 811 of the American Homeownership 
     and Economic Opportunity Act of 2000 (12 U.S.C. 1701q note) 
     is amended--
       (1) by striking ``Use of Unexpended Amounts.--'' and 
     inserting ``Use of Proceeds.--'';
       (2) by amending the matter preceding paragraph (1) to read 
     as follows: ``Upon execution of the refinancing for a project 
     pursuant to this section, the Secretary shall ensure that 
     proceeds are used in a manner advantageous to tenants of the 
     project, or are used in the provision of affordable rental 
     housing and related social services for elderly persons that 
     are tenants of the project or are tenants of other HUD-
     assisted senior housing by the private nonprofit organization 
     project owner, private nonprofit organization project 
     sponsor, or private nonprofit organization project developer, 
     including--'';
       (3) by amending paragraph (1) to read as follows:
       ``(1) not more than 15 percent of the cost of increasing 
     the availability or provision of supportive services, which 
     may include the financing of service coordinators and 
     congregate services, except that upon the request of the non-
     profit owner, sponsor, or organization and determination of 
     the Secretary, such 15 percent limitation may be waived to 
     ensure that the use of unexpended amounts better enables 
     seniors to age in place;'';
       (4) in paragraph (2), by inserting before the semicolon the 
     following; ``, including reducing the number of units by 
     reconfiguring units that are functionally obsolete, 
     unmarketable, or not economically viable'';
       (5) in paragraph (3), by striking ``or'' at the end;
       (6) in paragraph (4), by striking ``according to a pro rata 
     allocation of shared savings resulting from the 
     refinancing.'' and inserting a semicolon; and
       (7) by adding at the end the following new paragraphs:
       ``(5) rehabilitation of the project to ensure long-term 
     viability; and
       ``(6) the payment to the project owner, sponsor, or third 
     party developer of a developer's fee in an amount not to 
     exceed or duplicate--
       ``(A) in the case of a project refinanced through a State 
     low income housing tax credit program, the fee permitted by 
     the low income housing tax credit program as calculated by 
     the State program as a percentage of acceptable development 
     cost as defined by that State program; or
       ``(B) in the case of a project refinanced through any other 
     source of refinancing, 15 percent of the acceptable 
     development cost.
     For purposes of paragraph (6)(B), the term `acceptable 
     development cost' shall include, as applicable, the cost of 
     acquisition, rehabilitation, loan prepayment, initial reserve 
     deposits, and transaction costs.''.

     SEC. 203. USE OF PROJECT RESIDUAL RECEIPTS.

       Paragraph (1) of section 811(d) of the American 
     Homeownership and Economic Opportunity Act of 2000 (12 U.S.C. 
     1701q note) is amended--

[[Page H8804]]

       (1) by striking ``not more than 15 percent of''; and
       (2) by inserting before the period at the end the 
     following: ``or other purposes approved by the Secretary''.

     SEC. 204. ADDITIONAL PROVISIONS.

       Section 811 of the American Homeownership and Economic 
     Opportunity Act of 2000 (12 U.S.C. 1701q note) is amended by 
     adding at the end the following new subsections:
       ``(e) Senior Preservation Rental Assistance Contracts.--
     Notwithstanding any other provision of law, in connection 
     with a prepayment plan for a project approved under 
     subsection (a) by the Secretary or as otherwise approved by 
     the Secretary to prevent displacement of elderly residents of 
     the project in the case of refinancing or recapitalization 
     and to further preservation and affordability of such 
     project, the Secretary shall provide project-based rental 
     assistance for the project under a senior preservation rental 
     assistance contract, as follows:
       ``(1) Assistance under the contract shall be made available 
     to the private nonprofit organization owner--
       ``(A) for a term of at least 20 years, subject to annual 
     appropriations; and
       ``(B) under the same rules governing project-based rental 
     assistance made available under section 8 of the Housing Act 
     of 1937 or under the rules of such assistance as may be made 
     available for the project.
       ``(2) Any projects for which a senior preservation rental 
     assistance contract is provided shall be subject to a use 
     agreement to ensure continued project affordability having a 
     term of the longer of (A) the term of the senior preservation 
     rental assistance contract, or (B) such term as is required 
     by the new financing.
       ``(f) Subordination or Assumption of Existing Debt.--In 
     lieu of prepayment under this section of the indebtedness 
     with respect to a project, the Secretary may approve--
       ``(1) in connection with new financing for the project, the 
     subordination of the loan for the project under section 202 
     of the Housing Act of 1959 (as in effect before the enactment 
     of the Cranston-Gonzalez National Affordable Housing Act) and 
     the continued subordination of any other existing subordinate 
     debt previously approved by the Secretary to facilitate 
     preservation of the project as affordable housing; or
       ``(2) the assumption (which may include the subordination 
     described in paragraph (1)) of the loan for the project under 
     such section 202 in connection with the transfer of the 
     project with such a loan to a private nonprofit organization.
       ``(g) Flexible Subsidy Debt.--The Secretary shall waive the 
     requirement that debt for a project pursuant to the flexible 
     subsidy program under section 201 of the Housing and 
     Community Development Amendments of 1978 (12 U.S.C. 1715z-1a) 
     be prepaid in connection with a prepayment, refinancing, or 
     transfer under this section of a project if the financial 
     transaction or refinancing cannot be completed without the 
     waiver.
       ``(h) Tenant Involvement in Prepayment and Refinancing.--
     The Secretary shall not accept an offer to prepay the loan 
     for any project under section 202 of the Housing Act of 1959 
     unless the Secretary--
       ``(1) has determined that the owner of the project has 
     notified the tenants of the owner's request for approval of a 
     prepayment; and
       ``(2) has determined that the owner of the project has 
     provided the tenants with an opportunity to comment on the 
     owner's request for approval of a prepayment, including on 
     the description of any anticipated rehabilitation or other 
     use of the proceeds from the transaction, and its impacts on 
     project rents, tenant contributions, or the affordability 
     restrictions for the project, and that the owner has 
     responded to such comments in writing.
       ``(i) Definition of Private Nonprofit Organization.--For 
     purposes of this section, the term `private nonprofit 
     organization' has the meaning given such term in section 
     202(k) of the Housing Act of 1959 (12 U.S.C. 1701q(k)).''.

   TITLE III--ASSISTED LIVING FACILITIES AND SERVICE-ENRICHED HOUSING

     SEC. 301. AMENDMENTS TO THE GRANTS FOR CONVERSION OF ELDERLY 
                   HOUSING TO ASSISTED LIVING FACILITIES.

       (a) Technical Amendment.--The section heading for section 
     202b of the Housing Act of 1959 (12 U.S.C. 1701q-2) is 
     amended by inserting ``and other purposes'' after ``assisted 
     living facilities''.
       (b) Extension of Grant Authority.--Section 202b(a)(2) of 
     the Housing Act of 1959 (12 U.S.C. 1701q-2(a)(2)) is 
     amended--
       (1) by striking ``(2) Conversion.--Activities'' and 
     inserting the following:
       ``(2) Conversion.--
       ``(A) Assisted living facilities.--Activities''; and
       (2) by adding at the end the following:
       ``(B) Service-enriched housing.--Activities designed to 
     convert dwelling units in the eligible project to service-
     enriched housing for elderly persons.''.
       (c) Amendment to Application Process.--Section 202b(c)(1) 
     of the Housing Act of 1959 (12 U.S.C. 1701q-2(c)(1)) is 
     amended by inserting ``for either an assisted living facility 
     or service-enriched housing'' after ``activities''.
       (d) Requirements for Services.--Section 202b(d) of the 
     Housing Act of 1959 (12 U.S.C. 1701q-2(d)) is amended to read 
     as follows:
       ``(d) Requirements for Services.--
       ``(1) Sufficient evidence of firm funding commitments.--The 
     Secretary may not make a grant under this section for 
     conversion activities unless an application for a grant 
     submitted pursuant to subsection (c) contains sufficient 
     evidence, in the determination of the Secretary, of firm 
     commitments for the funding of services to be provided in the 
     assisted living facility or service-enriched housing, which 
     may be provided by third parties.
       ``(2) Required evidence.--The Secretary shall require 
     evidence that each recipient of a grant for service-enriched 
     housing under this section provides relevant and timely 
     disclosure of information to residents or potential residents 
     of such housing relating to--
       ``(A) the services that will be available at the property 
     to each resident, including--
       ``(i) the right to accept, decline, or choose such services 
     and to have the choice of provider;
       ``(ii) the services made available by or contracted through 
     the grantee;
       ``(iii) the identity of, and relevant information for, all 
     agencies or organizations providing any services to 
     residents, which agencies or organizations shall provide 
     information regarding all procedures and requirements to 
     obtain services, any charges or rates for the services, and 
     the rights and responsibilities of the residents related to 
     those services;
       ``(B) the availability, identity, contact information, and 
     role of the service coordinator; and
       ``(C) such other information as the Secretary determines to 
     be appropriate to ensure that residents are adequately 
     informed of the services options available to promote 
     resident independence and quality of life.''.
       (e) Amendments to Selection Criteria.--Section 202b(e) of 
     the Housing Act of 1959 (12 U.S.C. 1701q-2(e)) is amended--
       (1) in paragraph (2)--
       (A) by inserting ``or service-enriched housing'' after 
     ``facilities''; and
       (B) by inserting ``service-enriched housing'' after 
     ``facility'';
       (2) in paragraph (5), by inserting ``or service-enriched 
     housing'' after ``facility''; and
       (3) in paragraph (6), by inserting ``or service-enriched 
     housing'' after ``facility''.
       (f) Amendments to Section 8 Project-based Assistance.--
     Section 202b(f) of the Housing Act of 1959 (12 U.S.C. 1701q-
     2(f)) is amended--
       (1) in paragraph (1), by inserting ``or service-enriched 
     housing'' after ``facilities'' each time that term appears; 
     and
       (2) in paragraph (2), by inserting ``or service-enriched 
     housing'' after ``facility''.
       (g) Amendments to Definitions.--Section 202b(g) of the 
     Housing Act of 1959 (12 U.S.C. 1701q-2(g)) is amended to read 
     as follows:
       ``(g) Definitions.--For purposes of this section--
       ``(1) the term `assisted living facility' has the meaning 
     given such term in section 232(b) of the National Housing Act 
     (1715w(b));
       ``(2) the term `service-enriched housing' means housing 
     that--
       ``(A) makes available through licensed or certified third 
     party service providers supportive services to assist the 
     residents in carrying out activities of daily living, such as 
     bathing, dressing, eating, getting in and out of bed or 
     chairs, walking, going outdoors, using the toilet, laundry, 
     home management, preparing meals, shopping for personal 
     items, obtaining and taking medication, managing money, using 
     the telephone, or performing light or heavy housework, and 
     which may make available to residents home health care 
     services, such as nursing and therapy;
       ``(B) includes the position of service coordinator, which 
     may be funded as an operating expense of the property; ;
       ``(C) provides separate dwelling units for residents, each 
     of which contains a full kitchen and bathroom and which 
     includes common rooms and other facilities appropriate for 
     the provision of supportive services to the residents of the 
     housing; and
       ``(D) provides residents with control over health care and 
     supportive services decisions, including the right to accept, 
     decline, or choose such services, and to have the choice of 
     provider; and
       ``(3) the definitions in section 1701(q)(k) of this title 
     shall apply.''.

     SEC. 302. MONTHLY ASSISTANCE PAYMENT UNDER RENTAL ASSISTANCE.

       Clause (iii) of section 8(o)(18)(B) of the United States 
     Housing Act of 1937 (42 U.S.C. 1437f(o)(18)(B)(iii)) is 
     amended by inserting before the period at the end the 
     following: ``, except that a family may be required at the 
     time the family initially receives such assistance to pay 
     rent in an amount exceeding 40 percent of the monthly 
     adjusted income of the family by such an amount or percentage 
     that is reasonable given the services and amenities provided 
     and as the Secretary deems appropriate.''.

     TITLE IV--COMPLIANCE WITH STATUTORY PAY-AS-YOU-GO ACT OF 2010

     SEC. 401. BUDGETARY EFFECTS.

       The budgetary effects of this Act, for the purpose of 
     complying with the Statutory Pay-As-You-Go-Act of 2010, shall 
     be determined by reference to the latest statement titled 
     ``Budgetary Effects of PAYGO Legislation'' for this Act, 
     submitted for printing in the Congressional Record by the 
     Chairman of the Senate Budget Committee, provided that such 
     statement has been submitted prior to the vote on passage.
  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from

[[Page H8805]]

Massachusetts (Mr. Lynch) and the gentlewoman from West Virginia (Mrs. 
Capito) each will control 20 minutes.
  The Chair recognizes the gentleman from Massachusetts.


                             General Leave

  Mr. LYNCH. Madam Speaker, I ask unanimous consent that all Members 
may have 5 legislative days within which to revise and extend their 
remarks and add extraneous material.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Massachusetts?
  There was no objection.
  Mr. LYNCH. Madam Speaker, I yield myself such time as I may consume.
  Madam Speaker, I rise in strong support of the Section 202 Supportive 
Housing for the Elderly Act of 2010. I would like to start by thanking 
Chairman Frank and Senator Herb Kohl for their efforts on this bill and 
their dedication to America's seniors. This legislation simply brings 
HUD's section 202 program, part of our Nation's safety net for the low-
income elderly for nearly 50 years, into the 21st century.
  Supportive housing of the type funded by section 202 is an effective 
and cost-efficient program for low-income elderly. Section 202 grants 
combine high-quality, affordable housing with service coordinators who 
connect tenants with health, income support, and other community-based 
services. This produces positive outcomes for the health and quality of 
life of elderly tenants.
  Section 202's housing plus services model extends how long seniors 
can live independently. This turns out to be cost effective as well, 
given the alternatives of nursing home care coupled with frequent 
hospitalizations. However, it is clear that HUD needs to streamline 
administration of this program to reflect a new financing reality.
  The section 202 program was originally designed to be a one-stop shop 
for nonprofits to cover their entire project costs--that is capital, 
operating, and supportive services. Due to funding constraints, HUD's 
202 grants no longer do so, especially in high-cost areas like my home 
State of Massachusetts. This requires nonprofit sponsors to access 
other sources of financing such as low-income housing tax credits.
  The bill before us today addresses these concerns while taking into 
account HUD's legitimate interest in maintaining oversight of its 
substantial investment in section 202 projects. Senate 118 requires HUD 
to take advantage of State and local housing finance agencies' better 
positioning to process mixed finance applications. It also enables 
nonprofit sponsors to share more fully in the proceeds of refinancing 
opportunities that are now available in the private sector that some 
older 202 projects have, so those sponsors can make needed improvements 
to existing projects and develop desperately needed additional senior 
housing.
  For all of these reasons, I urge my colleagues to vote ``yes'' on S. 
118.
  I reserve the balance of my time.
  Mrs. CAPITO. Madam Speaker, I yield myself such time as I may 
consume.
  I rise in support of S. 118, the Section 202 Supportive Housing for 
the Elderly Act of 2009. As my colleague has said, the bill reforms the 
section 202 elderly housing program making it more efficient and more 
effective and better able to meet the housing needs of our elderly. S. 
118 is similar to H.R. 2930 that passed the House in the 110th Congress 
by voice vote.
  Affordable housing with supportive services is a key component for 
seniors who want to stay in their own home and age in place. The 
section 202 Housing for the Elderly program is the primary HUD program 
that provides housing exclusively for low-income elderly households. 
The section 202 program has been a very important tool in addressing 
these housing needs by providing capital advance grants to nonprofit 
housing sponsors to build new elderly housing facilities and project 
rental assistance contracts to subsidize very low-income elderly 
citizens of these facilities.
  Many nonprofit sponsors are faith-based organizations with an 
exclusive mission to serve the elderly. As a condition of receiving a 
capital advance, which does not have to be repaid, a nonprofit sponsor 
must make housing available for a period no less than 40 years. As a 
result of these efforts, the section 202 program currently supplies 
320,000 units of housing for our very low-income elderly citizens.
  I am very pleased to see that the language that I worked on in the 
110th Congress remains in the bill. My provision would help resolve a 
problem that nonmetro States, like my home State of West Virginia, have 
experienced when attempting to qualify for funds through the section 
202 program. It is important to recognize, of course, that the need for 
housing for the very low-income elderly extends to nonmetro areas. The 
very low-income elderly of rural West Virginia deserve the same 
resources that are available to the elderly living in larger cities.
  Participants and developers of the section 202 program maintain that 
the current regulation and HUD administration of the program can be 
time-consuming and bureaucratic. S. 118 will improve the section 202 
elderly housing program by streamlining and simplifying the development 
and preservation of HUD's section 202 properties, and by increasing 
participation by not-for-profit developers, private lenders, investors, 
and State and local funding agencies.
  Madam Speaker, the need for affordable rental housing in America has 
an effect on renters of all ages, especially our seniors, and this bill 
will help ease some of the affordability problems for our senior 
population. I urge my colleagues to support this bill.
  I reserve the balance of my time.
  Mr. LYNCH. Madam Speaker, I yield 3 minutes to the gentlewoman from 
Texas (Ms. Jackson Lee).
  Ms. JACKSON LEE of Texas. Madam Speaker, I want to thank my good 
friend from Massachusetts for his leadership and his co-manager on the 
floor for her insightfulness on this legislation and, as well, to 
Senator Kohl.
  I rise in support of S. 118 because so many of us have these very 
questions being raised in our district, particularly with populations 
of seniors increasing. My district happens to have one of the highest 
percentages of senior constituents, and all of them seem to be looking 
for housing.

                              {time}  1120

  I support the underlying initiative, section 202 housing. I have a 
number of those units in my congressional district. But one of the 
points that I wanted to highlight is the fact that many of these 
facilities are falling in disrepair. Even though there are some new 
facilities--and by my rising to the floor of the House, I would like to 
encourage my constituents and all those who are listening about how 
important it is to institute section 202 proposals or projects. They 
are enormously important, and I think it is important that the 
provision that encourages the utilization of State and local housing 
financing agencies is an asset.
  One of the most important parts of this legislation is for the 
nonprofits who engage in 202 to be engaged or share more in the 
refinancing of these projects. The Heights House in my district, for 
example, is one that has a very vibrant population of residents who are 
there, but I know that all who are involved would like to see that 
property improved and those resources used to ensure that upkeep is 
continued. In many instances, the owners or nonprofits will say that 
the return on the property is not enough to keep it at its highest 
level.
  Although we appreciate these properties and we appreciate the idea of 
these seniors having a place to live, I think that this particular 
legislation will reinforce section 202 and add to the 320,000 units 
already there. Our senior population is growing. Many of them have 
resources, but many do not. And I think the 202 project under HUD is an 
important concept to provide more housing for our seniors. They 
deserve, after working and contributing to this great country, the 
opportunity to live a very good quality of life.
  With that, I ask my colleagues to support this legislation, and I 
thank the gentleman for yielding.
  Mrs. CAPITO. Madam Speaker, I yield such time as she may consume to 
the gentlewoman from Illinois (Mrs. Biggert), a housing advocate and 
the upcoming chair of the new subcommittee.
  Mrs. BIGGERT. I thank the gentlelady for yielding.
  Madam Speaker, I rise today as the Republican cosponsor of the House

[[Page H8806]]

version of this legislation, H.R. 2930, which was first introduced 
during the 110th Congress, and I urge my colleagues to support today's 
bill, Senate 118, the Section 202 Supportive Housing for the Elderly 
Act. I would also like to thank Chairman Frank and Ranking Members 
Bachus and Capito for their work on this legislation. I would also like 
to thank our Senate counterpart, Senator Kohl of Wisconsin.
  Madam Speaker, the section 202 program is the only Federal housing 
program that directs housing assistance to low-income seniors. And it 
has already been stressed, but it can't be stressed enough, that it has 
not been reformed in over a decade and a half. The reforms offered in 
today's bill will help increase the number of units available to our 
seniors, a population that is increasing greatly in numbers as the baby 
boomer generation retires.
  In short, the bill will allow a variety of funding sources to be 
pooled together with section 202 funding to fund housing for seniors. 
By increasing program efficiencies, the bill will make it easier for 
section 202 projects to be refinanced and rehabilitated. It will also 
make it easier for owners to convert properties into those that provide 
both housing and services for the low-income seniors.
  Again, I would like to thank my colleagues for their work on this 
legislation. And I would also like especially to thank my constituent 
Mike Frigo, the vice president of Mayslake, which is located in my 
district, who testified in support of section 202 reform legislation in 
September 2007. In December 2007, by voice vote, the House passed H.R. 
2930, which is similar to the bill under consideration today. So I 
would urge my colleagues to support the bill.
  Mr. LYNCH. Madam Speaker, I have no further requests for time on this 
side on this issue, but I do want to take an opportunity to thank Mrs. 
Biggert, the gentlelady from Illinois, and Mrs. Capito, the gentlelady 
from West Virginia, for their great work on this bill.
  I have--and I'm sure we all have--a number of section 202 
developments in our districts. I have plenty, and they serve our low-
income seniors extremely well and it really is a program that does 
improve the quality of life for a lot of our seniors. So I thank the 
gentleladies for their cooperation.
  I reserve the balance of my time.
  Mrs. CAPITO. Madam Speaker, I have no further requests for time. I 
want to thank the gentleman from Massachusetts for his good hard work, 
and I encourage my colleagues to support the bill.
  I yield back the balance of my time.
  Mr. LYNCH. Madam Speaker, I yield back the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from Massachusetts (Mr. Lynch) that the House suspend the 
rules and pass the bill, S. 118.
  The question was taken; and (two-thirds being in the affirmative) the 
rules were suspended and the bill was passed.
  A motion to reconsider was laid on the table.

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