[House Report 115-591]
[From the U.S. Government Publishing Office]


115th Congress }                                          { REPORT
                        HOUSE OF REPRESENTATIVES
  2d Session   }                                          { 115-591

======================================================================
 
       NATIVE AMERICAN HOUSING ASSISTANCE AND SELF-DETERMINATION 
                      REAUTHORIZATION ACT OF 2017

                                _______
                                

 March 8, 2018.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

Mr. Hensarling, from the Committee on Financial Services, submitted the 
                               following

                              R E P O R T

                             together with

                             MINORITY VIEWS

                        [To accompany H.R. 3864]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Financial Services, to whom was referred 
the bill (H.R. 3864) to reauthorize the Native American Housing 
Assistance and Self-Determination Act of 1996, and for other 
purposes, having considered the same, reports favorably thereon 
with an amendment and recommends that the bill as amended do 
pass.
    The amendment is as follows:
  Strike all after the enacting clause and insert the 
following:

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

  (a) Short Title.--This Act may be cited as the ``Native American 
Housing Assistance and Self-Determination Reauthorization Act of 
2017''.
  (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. References.

              TITLE I--BLOCK GRANTS AND GRANT REQUIREMENTS

Sec. 101. Block grants.
Sec. 102. Recommendations regarding exceptions to annual Indian housing 
plan requirement.
Sec. 103. Environmental review.
Sec. 104. Deadline for action on request for approval regarding 
exceeding TDC maximum cost for project.

                TITLE II--AFFORDABLE HOUSING ACTIVITIES

Sec. 201. National objectives and eligible families.
Sec. 202. Program requirements.
Sec. 203. Homeownership or lease-to-own low-income requirement and 
income targeting.
Sec. 204. Lease requirements and tenant selection.
Sec. 205. Tribal coordination of agency funding.

                 TITLE III--ALLOCATION OF GRANT AMOUNTS

Sec. 301. Authorization of appropriations.
Sec. 302. Effect of undisbursed block grant amounts on annual 
allocations.

                      TITLE IV--AUDITS AND REPORTS

Sec. 401. Review and audit by Secretary.
Sec. 402. Reports to Congress.

         TITLE V--OTHER HOUSING ASSISTANCE FOR NATIVE AMERICANS

Sec. 501. HUD-Veterans Affairs supportive housing program for Native 
American veterans.
Sec. 502. Loan guarantees for Indian housing.

                        TITLE VI--MISCELLANEOUS

Sec. 601. Lands Title Report Commission.
Sec. 602. Leasehold interest in trust or restricted lands for housing 
purposes.
Sec. 603. Clerical amendment.

    TITLE VII--DEMONSTRATION PROGRAM FOR ALTERNATIVE PRIVATIZATION 
                 AUTHORITY FOR NATIVE AMERICAN HOUSING

Sec. 701. Demonstration program.
Sec. 702. Clerical amendments.

SEC. 2. REFERENCES.

  Except as otherwise expressly provided, wherever in this Act an 
amendment or repeal is expressed in terms of an amendment to, or repeal 
of, a section or other provision, the reference shall be considered to 
be made to a section or other provision of the Native American Housing 
Assistance and Self-Determination Act of 1996 (25 U.S.C. 4101 et seq.).

              TITLE I--BLOCK GRANTS AND GRANT REQUIREMENTS

SEC. 101. BLOCK GRANTS.

  Section 101 (25 U.S.C. 4111) is amended--
          (1) in subsection (c), by adding after the period at the end 
        the following: ``The Secretary shall act upon a waiver request 
        submitted under this subsection by a recipient within 60 days 
        after receipt of such request.''; and
          (2) in subsection (k), by striking ``1'' and inserting 
        ``an''.

SEC. 102. RECOMMENDATIONS REGARDING EXCEPTIONS TO ANNUAL INDIAN HOUSING 
                    PLAN REQUIREMENT.

  Not later than the expiration of the 120-day period beginning on the 
date of the enactment of this Act and after consultation with Indian 
tribes, tribally designated housing entities, and other interested 
parties, the Secretary of Housing and Urban Development shall submit to 
the Congress recommendations for standards and procedures for waiver 
of, or alternative requirements (which may include multi-year housing 
plans) for, the requirement under section 102(a) of the Native American 
Housing Assistance and Self-Determination Act of 1996 (25 U.S.C. 
4112(a)) for annual submission of one-year housing plans for an Indian 
tribe. Such recommendations shall include a description of any 
legislative and regulatory changes necessary to implement such 
recommendations.

SEC. 103. ENVIRONMENTAL REVIEW.

  Section 105 (25 U.S.C. 4115) is amended--
          (1) in subsection (d)--
                  (A) in the matter preceding paragraph (1), by 
                striking ``may'' and inserting ``shall''; and
                  (B) by adding after and below paragraph (4) the 
                following:
``The Secretary shall act upon a waiver request submitted under this 
subsection by a recipient within 60 days after receipt of such 
request.''; and
          (2) by adding at the end the following new subsection:
  ``(e) Consolidation of Environmental Review Requirements.--If a 
recipient is using one or more sources of Federal funds in addition to 
grant amounts under this Act in carrying out a project that qualifies 
as an affordable housing activity under section 202, such other sources 
of Federal funds do not exceed 49 percent of the total cost of the 
project, and the recipient's tribe has assumed all of the 
responsibilities for environmental review, decisionmaking, and action 
pursuant to this section, the tribe's compliance with the review 
requirements under this section and the National Environmental Policy 
Act of 1969 with regard to such project shall be deemed to fully comply 
with and discharge any applicable environmental review requirements 
that might apply to Federal agencies with respect to the use of such 
additional Federal funding sources for that project.''.

SEC. 104. DEADLINE FOR ACTION ON REQUEST FOR APPROVAL REGARDING 
                    EXCEEDING TDC MAXIMUM COST FOR PROJECT.

  (a) Approval.--Section 103 (25 U.S.C. 4113) is amended by adding at 
the end the following new subsection:
  ``(f) Deadline for Action on Request To Exceed TDC Maximum.--A 
request for approval by the Secretary of Housing and Urban Development 
to exceed by more than 10 percent the total development cost maximum 
cost for a project shall be approved or denied during the 60-day period 
that begins on the date that the Secretary receives the request.''.
  (b) Definition.--Section 4 (25 U.S.C. 4103) is amended--
          (1) by redesignating paragraph (22) as paragraph (23); and
          (2) by inserting after paragraph (21) the following new 
        paragraph:
          ``(22) Total development cost.--The term `total development 
        cost' means, with respect to a housing project, the sum of all 
        costs for the project, including all undertakings necessary for 
        administration, planning, site acquisition, demolition, 
        construction or equipment and financing (including payment of 
        carrying charges), and for otherwise carrying out the 
        development of the project, excluding off-site water and sewer. 
        The total development cost amounts shall be based on a 
        moderately designed house and determined by averaging the 
        current construction costs as listed in not less than two 
        nationally recognized residential construction cost indices.''.

                TITLE II--AFFORDABLE HOUSING ACTIVITIES

SEC. 201. NATIONAL OBJECTIVES AND ELIGIBLE FAMILIES.

  The second paragraph (6) of section 201(b) (25 U.S.C. 4131(b)(6); 
relating to exemption) is amended--
          (1) by striking ``1964 and'' and inserting ``1964,''; and
          (2) by inserting after ``1968'' the following: ``, and 
        section 3 of the Housing and Urban Development Act of 1968''.

SEC. 202. PROGRAM REQUIREMENTS.

  Section 203(a) (25 U.S.C. 4133(a)) is amended--
          (1) in paragraph (1), by striking ``paragraph (2)'' and 
        inserting ``paragraphs (2) and (3)''; and
          (2) by adding at the end the following new paragraph:
          ``(3) Application of tribal policies.--Paragraph (2) shall 
        not apply if the recipient has a written policy governing rents 
        and homebuyer payments charged for dwelling units and such 
        policy includes a provision governing maximum rents or 
        homebuyer payments.''.

SEC. 203. HOMEOWNERSHIP OR LEASE-TO-OWN LOW-INCOME REQUIREMENT AND 
                    INCOME TARGETING.

  Section 205 (25 U.S.C. 4135) is amended--
          (1) in subsection (a)(1)--
                  (A) in subparagraph (C), by striking ``and'' at the 
                end; and
                  (B) by adding at the end the following new 
                subparagraph:
                  ``(E) notwithstanding any other provision of this 
                paragraph, in the case of rental housing that is made 
                available to a current rental family for conversion to 
                a homebuyer or a lease-purchase unit, that the current 
                rental family can purchase through a contract of sale, 
                lease-purchase agreement, or any other sales agreement, 
                is made available for purchase only by the current 
                rental family, if the rental family was a low-income 
                family at the time of their initial occupancy of such 
                unit; and''; and
          (2) in subsection (c), by adding after the period at the end 
        the following: ``The provisions of such paragraph regarding 
        binding commitments for the remaining useful life of the 
        property shall not apply to improvements of privately owned 
        homes if the cost of such improvements do not exceed 10 percent 
        of the maximum total development cost for such home.''.

SEC. 204. LEASE REQUIREMENTS AND TENANT SELECTION.

  Section 207 (25 U.S.C. 4137) is amended by adding at the end the 
following new subsection:
  ``(c) Notice of Termination.--Notwithstanding any other provision of 
law, the owner or manager of rental housing that is assisted in part 
with amounts provided under this Act and in part with one or more other 
sources of Federal funds shall only utilize leases that require a 
notice period for the termination of the lease pursuant to subsection 
(a)(3).''.

SEC. 205. TRIBAL COORDINATION OF AGENCY FUNDING.

  (a) In General.--Subtitle A of title II (25 U.S.C. 4131 et seq.) is 
amended by adding at the end the following new section:

``SEC. 211. TRIBAL COORDINATION OF AGENCY FUNDING.

  ``Notwithstanding any other provision of law, a recipient authorized 
to receive funding under this Act may, in its discretion, use funding 
from the Indian Health Service of the Department of Health and Human 
Services for construction of sanitation facilities for housing 
construction and renovation projects that are funded in part by funds 
provided under this Act.''.
  (b) Clerical Amendment.--The table of contents in section 1(b) is 
amended by inserting after the item relating to section 210 the 
following new item:

``Sec. 211. Tribal coordination of agency funding.''.

                 TITLE III--ALLOCATION OF GRANT AMOUNTS

SEC. 301. AUTHORIZATION OF APPROPRIATIONS.

  The first sentence of section 108 (25 U.S.C. 4117) is amended by 
striking ``such sums as may be necessary for each of fiscal years 2009 
through 2013'' and inserting ``$650,000,000 for each of fiscal years 
2018 through 2022''.

SEC. 302. EFFECT OF UNDISBURSED BLOCK GRANT AMOUNTS ON ANNUAL 
                    ALLOCATIONS.

  (a) In General.--Title III (25 U.S.C. 4151 et seq.) is amended by 
adding at the end the following new section:

``SEC. 303. EFFECT OF UNDISBURSED GRANT AMOUNTS ON ANNUAL ALLOCATIONS.

  ``(a) Notification of Obligated, Undisbursed Grant Amounts.--Subject 
to subsection (d) of this section, if as of January 1, 2018, or any 
year thereafter a recipient's total amount of undisbursed block grants 
in the Department's line of credit control system is greater than three 
times the formula allocation such recipient would otherwise receive 
under this Act for the fiscal year during which such January 1 occurs, 
the Secretary shall--
          ``(1) before January 31 of such year, notify the Indian tribe 
        allocated the grant amounts and any tribally designated housing 
        entity for the tribe of the undisbursed funds; and
          ``(2) require the recipient for the tribe to, not later than 
        30 days after the Secretary provides notification pursuant to 
        paragraph (1)--
                  ``(A) notify the Secretary in writing of the reasons 
                why the recipient has not requested the disbursement of 
                such amounts; and
                  ``(B) demonstrate to the satisfaction of the 
                Secretary that the recipient has the capacity to spend 
                Federal funds in an effective manner, which 
                demonstration may include evidence of the timely 
                expenditure of amounts previously distributed under 
                this Act to the recipient.
  ``(b) Allocation Amount.--Notwithstanding sections 301 and 302, the 
allocation for such fiscal year for a recipient described in subsection 
(a) shall be the amount initially calculated according to the formula 
minus the difference between the recipient's total amount of 
undisbursed block grants in the Department's line of credit control 
system on such January 1 and three times the initial formula amount for 
such fiscal year.
  ``(c) Reallocation.--Notwithstanding any other provision of law, any 
grant amounts not allocated to a recipient pursuant to subsection (b) 
shall be allocated under the need component of the formula 
proportionately amount all other Indian tribes not subject to such an 
adjustment.
  ``(d) Inapplicability.--Subsections (a) and (b) shall not apply to an 
Indian tribe with respect to any fiscal year for which the amount 
allocated for the tribe for block grants under this Act is less than 
$5,000,000.
  ``(e) Effectiveness.--This section shall not require the issuance of 
any regulation to take effect and shall not be construed to confer 
hearing rights under this or any other section of this Act.''.
  (b) Clerical Amendment.--The table of contents in section 1(b) is 
amended by inserting after the item relating to section 302 the 
following new item:

``Sec. 303. Effect of undisbursed grant amounts on annual 
allocations.''.

                      TITLE IV--AUDITS AND REPORTS

SEC. 401. REVIEW AND AUDIT BY SECRETARY.

  Section 405(c) (25 U.S.C. 4165(c)) is amended, by adding at the end 
the following new paragraph:
          ``(3) Issuance of final report.--The Secretary shall issue a 
        final report within 60 days after receiving comments under 
        paragraph (1) from a recipient.''.

SEC. 402. REPORTS TO CONGRESS.

  Section 407 (25 U.S.C. 4167) is amended--
          (1) in subsection (a), by striking ``Congress'' and inserting 
        ``Committee on Financial Services and the Committee on Natural 
        Resources of the House of Representatives, to the Committee on 
        Indian Affairs and the Committee on Banking, Housing, and Urban 
        Affairs of the Senate, and to any subcommittees of such 
        committees having jurisdiction with respect to Native American 
        and Alaska Native affairs,''; and
          (2) by adding at the end the following new subsection:
  ``(c) Public Availability to Recipients.--Each report submitted 
pursuant to subsection (a) shall be made publicly available to 
recipients.''.

         TITLE V--OTHER HOUSING ASSISTANCE FOR NATIVE AMERICANS

SEC. 501. HUD-VETERANS AFFAIRS SUPPORTIVE HOUSING PROGRAM FOR NATIVE 
                    AMERICAN VETERANS.

  Paragraph (19) of section 8(o) of the United States Housing Act of 
1937 (42 U.S.C. 1437f(o)(19)) is amended by adding at the end the 
following new subparagraph:
                  ``(D) Native american veterans.--
                          ``(i) Authority.--Of the funds made available 
                        for rental assistance under this paragraph for 
                        fiscal year 2018 and each fiscal year 
                        thereafter, the Secretary shall set aside 5 
                        percent for a supported housing and rental 
                        assistance program modeled on the HUD-Veterans 
                        Affairs Supportive Housing (HUD-VASH) program, 
                        to be administered in conjunction with the 
                        Department of Veterans Affairs, for the benefit 
                        of homeless Native American veterans and 
                        veterans at risk of homelessness.
                          ``(ii) Recipients.--Such rental assistance 
                        shall be made available to recipients eligible 
                        to receive block grants under the Native 
                        American Housing Assistance and Self-
                        Determination Act of 1996 (25 U.S.C. 4101 et 
                        seq.).
                          ``(iii) Funding criteria.--Funds shall be 
                        awarded based on need, administrative capacity, 
                        and any other funding criteria established by 
                        the Secretary in a notice published in the 
                        Federal Register, after consultation with the 
                        Secretary of Veterans Affairs, by a date 
                        sufficient to provide for implementation of the 
                        program under this subparagraph in accordance 
                        with clause (i).
                          ``(iv) Program requirements.--
                                  ``(I) Administration.--Such funds 
                                shall be administered by block grant 
                                recipients in accordance with program 
                                requirements under the Native American 
                                Housing Assistance and Self-
                                Determination Act of 1996 in lieu of 
                                program requirements under this Act.
                                  ``(II) Available housing.--Rental 
                                assistance made available under this 
                                subparagraph may be used for dwelling 
                                units owned, operated, or assisted with 
                                by a recipient of a block grant under 
                                this Act or a tribally designated 
                                housing entity.
                          ``(v) Waiver.--The Secretary may waive, or 
                        specify alternative requirements for any 
                        provision of any statute or regulation that the 
                        Secretary administers in connection with the 
                        use of funds made available under this 
                        subparagraph, but only upon a finding by the 
                        Secretary that such waiver or alternative 
                        requirement is necessary to promote 
                        administrative efficiency, eliminate delay, 
                        consolidate or eliminate duplicative or 
                        ineffective requirements or criteria, or 
                        otherwise provide for the effective delivery 
                        and administration of such supportive housing 
                        assistance to Native American veterans.
                          ``(vi) Consultation.--The Secretary and the 
                        Secretary of Veterans Affairs shall jointly 
                        consult with block grant recipients and any 
                        other appropriate tribal organizations to--
                                  ``(I) ensure that block grant 
                                recipients administering funds made 
                                available under the program under this 
                                subparagraph are able to effectively 
                                coordinate with providers of supportive 
                                services provided in connection with 
                                such program; and
                                  ``(II) ensure the effective delivery 
                                of supportive services to Native 
                                American veterans that are homeless or 
                                at risk of homelessness eligible to 
                                receive assistance under this 
                                subparagraph.
                        Consultation pursuant to this clause shall be 
                        completed by a date sufficient to provide for 
                        implementation of the program under this 
                        subparagraph in accordance with clause (i).
                          ``(vii) Notice.--The Secretary shall 
                        establish the requirements and criteria for the 
                        supported housing and rental assistance program 
                        under this subparagraph by notice published in 
                        the Federal Register, but shall provide Indian 
                        tribes and tribally designated housing agencies 
                        an opportunity for comment and consultation 
                        before publication of a final notice pursuant 
                        to this clause.''.

SEC. 502. LOAN GUARANTEES FOR INDIAN HOUSING.

  Section 184(i)(5) of the Housing and Community Development Act of 
1992 (12 U.S.C. 1715z-13a(i)(5)) is amended--
          (1) in subparagraph (B), by inserting after the period at the 
        end of the first sentence the following: ``There are authorized 
        to be appropriated for such costs $12,200,000 for each of 
        fiscal years 2018 through 2022.''; and
          (2) in subparagraph (C)--
                  (A) by striking ``2008 through 2012'' and inserting 
                ``2018 through 2022''; and
                  (B) by striking ``such amount as may be provided in 
                appropriation Acts for'' and inserting ``$976,000,000 
                for each''.

                        TITLE VI--MISCELLANEOUS

SEC. 601. LANDS TITLE REPORT COMMISSION.

  Section 501 of the American Homeownership and Economic Opportunity 
Act of 2000 (25 U.S.C. 4043 note) is amended--
          (1) in subsection (a), by striking ``Subject to sums being 
        provided in advance in appropriations Acts, there'' and 
        inserting ``There''; and
          (2) in subsection (b)(1) by striking ``this Act'' and 
        inserting ``the Native American Housing Assistance and Self-
        Determination Reauthorization Act of 2017''.

SEC. 602. LEASEHOLD INTEREST IN TRUST OR RESTRICTED LANDS FOR HOUSING 
                    PURPOSES.

  Section 702 (25 U.S.C. 4211) is amended--
          (1) in subsection (c)(1), by inserting ``, whether enacted 
        before, on, or after the date of the enactment of this 
        section'' after ``law''; and
          (2) by striking ``50 years'' each place such term appears and 
        inserting ``99 years''.

SEC. 603. CLERICAL AMENDMENT.

  The table of contents in section 1(b) is amended by striking the item 
relating to section 206 (treatment of funds).

    TITLE VII--DEMONSTRATION PROGRAM FOR ALTERNATIVE PRIVATIZATION 
                 AUTHORITY FOR NATIVE AMERICAN HOUSING

SEC. 701. DEMONSTRATION PROGRAM.

  The Act (25 U.S.C. 4101 et seq.) is amended by adding at the end the 
following new title:

    ``TITLE IX--DEMONSTRATION PROGRAM FOR ALTERNATIVE PRIVATIZATION 
                 AUTHORITY FOR NATIVE AMERICAN HOUSING

``SEC. 901. AUTHORITY.

  ``(a) In General.--In addition to any other authority provided in 
this Act for the construction, development, maintenance, and operation 
of housing for Indian families, the Secretary shall provide the 
participating tribes having final plans approved pursuant to section 
905 with the authority to exercise the activities provided under this 
title and such plan for the acquisition and development of housing to 
meet the needs of tribal members.
  ``(b) Inapplicability of NAHASDA Provisions.--Except as specifically 
provided otherwise in this title, titles I through IV, VI, and VII 
shall not apply to a participating tribe's use of funds during any 
period that the tribe is participating in the demonstration program 
under this title.
  ``(c) Continued Applicability of Certain NAHASDA Provisions.--The 
following provisions of titles I through VIII shall apply to the 
demonstration program under this title and amounts made available under 
the demonstration program under this title:
          ``(1) Subsections (d) and (e) of section 101 (relating to tax 
        exemption).
          ``(2) Section 101(j) (relating to Federal supply sources).
          ``(3) Section 101(k) (relating to tribal preference in 
        employment and contracting).
          ``(4) Section 104 (relating to treatment of program income 
        and labor standards).
          ``(5) Section 105 (relating to environmental review).
          ``(6) Section 201(b) (relating to eligible families), except 
        as otherwise provided in this title.
          ``(7) Section 203(g) (relating to a de minimis exemption for 
        procurement of goods and services).
          ``(8) Section 702 (relating to 99-year leasehold interests in 
        trust or restricted lands for housing purposes).

``SEC. 902. PARTICIPATING TRIBES.

  ``(a) Request To Participate.--To be eligible to participate in the 
demonstration program under this title, an Indian tribe shall submit to 
the Secretary a notice of intention to participate during the 60-day 
period beginning on the date of the enactment of this title, in such 
form and such manner as the Secretary shall provide.
  ``(b) Cooperative Agreement.--Upon approval under section 905 of the 
final plan of an Indian tribe for participation in the demonstration 
program under this title, the Secretary shall enter into a cooperative 
agreement with the participating tribe that provides such tribe with 
the authority to carry out activities under the demonstration program.
  ``(c) Limitation.--The Secretary may not approve more than 20 Indian 
tribes for participation in the demonstration program under this title.

``SEC. 903. REQUEST FOR QUOTES AND SELECTION OF INVESTOR PARTNER.

  ``(a) Request for Quotes.--Not later than the expiration of the 180-
day period beginning upon notification to the Secretary by an Indian 
tribe of intention to participate in the demonstration program under 
this title, the Indian tribe shall--
          ``(1) obtain assistance from a qualified entity in assessing 
        the housing needs, including the affordable housing needs, of 
        the tribe; and
          ``(2) release a request for quotations from entities 
        interested in partnering with the tribe in designing and 
        carrying out housing activities sufficient to meet the tribe's 
        housing needs as identified pursuant to paragraph (1).
  ``(b) Selection of Investor Partner.--
          ``(1) In general.--Except as provided in paragraph (2), not 
        later than the expiration of the 18-month period beginning on 
        the date of the enactment of this title, an Indian tribe 
        requesting to participate in the demonstration program under 
        this title shall--
                  ``(A) select an investor partner from among the 
                entities that have responded to the tribe's request for 
                quotations; and
                  ``(B) together with such investor partner, establish 
                and submit to the Secretary a final plan that meets the 
                requirements under section 904.
          ``(2) Exceptions.--The Secretary may extend the period under 
        paragraph (1) for any tribe that--
                  ``(A) has not received any satisfactory quotation in 
                response to its request released pursuant to subsection 
                (a)(2); or
                  ``(B) has any other satisfactory reason, as 
                determined by the Secretary, for failure to select an 
                investor partner.

``SEC. 904. FINAL PLAN.

  ``A final plan under this section shall--
          ``(1) be developed by the participating tribe and the 
        investor partner for the tribe selected pursuant to section 
        903(b)(1)(A);
          ``(2) identify the qualified entity that assisted the tribe 
        in assessing the housing needs of the tribe;
          ``(3) set forth a detailed description of such projected 
        housing needs, including affordable housing needs, of the 
        tribe, which shall include--
                  ``(A) a description of such need over the ensuing 24 
                months and thereafter until the expiration of the 
                ensuing 5-year period or until the affordable housing 
                need is met, whichever occurs sooner; and
                  ``(B) the same information that would be required 
                under section 102 to be included in an Indian housing 
                plan for the tribe, as such requirements may be 
                modified by the Secretary to take consideration of the 
                requirements of the demonstration program under this 
                title;
          ``(4) provide for specific housing activities sufficient to 
        meet the tribe's housing needs, including affordable housing 
        needs, as identified pursuant to paragraph (3) within the 
        periods referred to such paragraph, which shall include--
                  ``(A) development of affordable housing (as such term 
                is defined in section 4 of this Act (25 U.S.C. 4103));
                  ``(B) development of conventional homes for rental, 
                lease-to-own, or sale, which may be combined with 
                affordable housing developed pursuant to subparagraph 
                (A);
                  ``(C) development of housing infrastructure, 
                including housing infrastructure sufficient to serve 
                affordable housing developed under the plan; and
                  ``(D) investments by the investor partner for the 
                tribe, the participating tribe, members of the 
                participating tribe, and financial institutions and 
                other outside investors necessary to provide financing 
                for the development of housing under the plan and for 
                mortgages for tribal members purchasing such housing;
          ``(5) provide that the participating tribe will agree to 
        provide long-term leases to tribal members sufficient for 
        lease-to-own arrangements for, and sale of, the housing 
        developed pursuant to paragraph (4);
          ``(6) provide that the participating tribe--
                  ``(A) will be liable for delinquencies under mortgage 
                agreements for housing developed under the plan that 
                are financed under the plan and entered into by tribal 
                members; and
                  ``(B) shall, upon foreclosure under such mortgages, 
                take possession of such housing and have the 
                responsibility for making such housing available to 
                other tribal members;
          ``(7) provide for sufficient protections, in the 
        determination of the Secretary, to ensure that the tribe and 
        the Federal Government are not liable for the acts of the 
        investor partner or of any contractors;
          ``(8) provide that the participating tribe shall have sole 
        final approval of design and location of housing developed 
        under the plan;
          ``(9) set forth specific deadlines and schedules for 
        activities to be undertaken under the plan and set forth the 
        responsibilities of the participating tribe and the investor 
        partner;
          ``(10) set forth specific terms and conditions of return on 
        investment by the investor partner and other investors under 
        the plan, and provide that the participating tribe shall pledge 
        grant amounts allocated for the tribe pursuant to title III for 
        such return on investment;
          ``(11) set forth the terms of a cooperative agreement on the 
        operation and management of the current assistance housing 
        stock and current housing stock for the tribe assisted under 
        the preceding titles of this Act;
          ``(12) set forth any plans for sale of affordable housing of 
        the participating tribe under section 907 and, if included, 
        plans sufficient to meet the requirements of section 907 
        regarding meeting future affordable housing needs of the tribe;
          ``(13) set forth terms for enforcement of the plan, including 
        an agreement regarding jurisdiction of any actions under or to 
        enforce the plan, including a waiver of immunity; and
          ``(14) include such other information as the participating 
        tribe and investor partner consider appropriate.

``SEC. 905. HUD REVIEW AND APPROVAL OF PLAN.

  ``(a) In General.--Not later than the expiration of the 90-day period 
beginning upon a submission by an Indian tribe of a final plan under 
section 904 to the Secretary, the Secretary shall--
          ``(1) review the plan and the process by which the tribe 
        solicited requests for quotations from investors and selected 
        the investor partner; and
          ``(2)(A) approve the plan, unless the Secretary determines 
        that--
                  ``(i) the assessment of the tribe's housing needs by 
                the qualified entity, or as set forth in the plan 
                pursuant to section 904(3), is inaccurate or 
                insufficient;
                  ``(ii) the process established by the tribe to 
                solicit requests for quotations and select an investor 
                partner was insufficient or negligent; or
                  ``(iii) the plan is insufficient to meet the housing 
                needs of the tribe, as identified in the plan pursuant 
                to section 904(3);
          ``(B) approve the plan, on the condition that the 
        participating tribe and the investor make such revisions to the 
        plan as the Secretary may specify as appropriate to meet the 
        needs of the tribe for affordable housing; or
          ``(C) disapprove the plan, only if the Secretary determines 
        that the plan fails to meet the minimal housing standards and 
        requirements set forth in this Act and the Secretary notifies 
        the tribe of the elements requiring the disapproval.
  ``(b) Action Upon Disapproval.--
          ``(1) Re-submission of plan.--Subject to paragraph (2), in 
        the case of any disapproval of a final plan of an Indian tribe 
        pursuant to subsection (a)(3), the Secretary shall allow the 
        tribe a period of 180 days from notification to the tribe of 
        such disapproval to re-submit a revised plan for approval.
          ``(2) Limitation.--If the final plan for an Indian tribe is 
        disapproved twice and resubmitted twice pursuant to the 
        authority under paragraph (1) and, upon such second re-
        submission of the plan the Secretary disapproves the plan, the 
        tribe may not re-submit the plan again and shall be ineligible 
        to participate in the demonstration program under this title.
  ``(c) Tribe Authority of Housing Design and Location.--The Secretary 
may not disapprove a final plan under section 904, or condition 
approval of such a plan, based on the design or location of any housing 
to be developed or assisted under the plan.
  ``(d) Failure To Notify.--If the Secretary does not notify a 
participating tribe submitting a final plan of approval, conditional 
approval, or disapproval of the plan before the expiration of the 
period referred to in paragraph (1), the plan shall be considered as 
approved for all purposes of this title.

``SEC. 906. TREATMENT OF NAHASDA ALLOCATION.

  ``Amounts otherwise allocated for a participating tribe under title 
III of this Act (25 U.S.C. 4151 et seq.) shall not be made available to 
the tribe under titles I through VIII, but shall only be available for 
the tribe, upon request by the tribe and approval by the Secretary, for 
the following purposes:
          ``(1) Return on investment.--Such amounts as are pledged by a 
        participating tribe pursuant to section 904(10) for return on 
        the investment made by the investor partner or other investors 
        may be used by the Secretary to ensure such full return on 
        investment.
          ``(2) Administrative expenses.--The Secretary may provide to 
        a participating tribe, upon the request of a tribe, not more 
        than 10 percent of any annual allocation made under title III 
        for the tribe during such period for administrative costs of 
        the tribe in completing the processes to carry out sections 903 
        and 904.
          ``(3) Housing infrastructure costs.--A participating tribe 
        may use such amounts for housing infrastructure costs 
        associated with providing affordable housing for the tribe 
        under the final plan.
          ``(4) Maintenance; tenant services.--A participating tribe 
        may use such amounts for maintenance of affordable housing for 
        the tribe and for housing services, housing management 
        services, and crime prevention and safety activities described 
        in paragraphs (3), (4), and (5), respectively, of section 202.

``SEC. 907. RESALE OF AFFORDABLE HOUSING.

  ``Notwithstanding any other provision of this Act, a participating 
tribe may, in accordance with the provisions of the final plan of the 
tribe approved pursuant to section 905, resell any affordable housing 
developed with assistance made available under this Act for use other 
than as affordable housing, but only if the tribe provides such 
assurances as the Secretary determines are appropriate to ensure that--
          ``(1) the tribe is meeting its need for affordable housing;
          ``(2) will provide affordable housing in the future 
        sufficient to meet future affordable housing needs; and
          ``(3) will use any proceeds only to meet such future 
        affordable housing needs or as provided in section 906.

``SEC. 908. REPORTS, AUDITS, AND COMPLIANCE.

  ``(a) Annual Reports by Tribe.--Each participating tribe shall submit 
a report to the Secretary annually regarding the progress of the tribe 
in complying with, and meeting the deadlines and schedules set forth 
under the approved final plan for the tribe. Such reports shall contain 
such information as the Secretary shall require.
  ``(b) Reports to Congress.--The Secretary shall submit a report to 
the Congress annually describing the activities and progress of the 
demonstration program under this title, which shall--
          ``(1) summarize the information in the reports submitted by 
        participating tribes pursuant to subsection (a);
          ``(2) identify the number of tribes that have selected an 
        investor partner pursuant to a request for quotations;
          ``(3) include, for each tribe applying for participating in 
        the demonstration program whose final plan was disapproved 
        under section 905(a)(2)(C), a detailed description and 
        explanation of the reasons for disapproval and all actions 
        taken by the tribe to eliminate the reasons for disapproval, 
        and identify whether the tribe has re-submitted a final plan;
          ``(4) identify, by participating tribe, any amounts requested 
        and approved for use under section 906; and
          ``(5) identify any participating tribes that have terminated 
        participation in the demonstration program and the 
        circumstances of such terminations.
  ``(c) Audits.--The Secretary shall provide for audits among 
participating tribes to ensure that the final plans for such tribes are 
being implemented and complied with. Such audits shall include on-site 
visits with participating tribes and requests for documentation 
appropriate to ensure such compliance.

``SEC. 909. TERMINATION OF TRIBAL PARTICIPATION.

  ``(a) Termination of Participation.--A participating tribe may 
terminate participation in the demonstration program under this title 
at any time, subject to this section.
  ``(b) Effect on Existing Obligations.--
          ``(1) No automatic termination.--Termination by a 
        participating tribe in the demonstration program under this 
        section shall not terminate any obligations of the tribe under 
        agreements entered into under the demonstration program with 
        the investor partner for the tribe or any other investors or 
        contractors.
          ``(2) Authority to mutually terminate agreements.--Nothing in 
        this title may be construed to prevent a tribe that terminates 
        participation in the demonstration program under this section 
        and any party with which the tribe has entered into an 
        agreement from mutually agreeing to terminate such agreement.
  ``(c) Receipt of Remaining Grant Amounts.--The Secretary shall 
provide for grants to be made in accordance with, and subject to the 
requirements of, this Act for any amounts remaining after use pursuant 
to section 906 from the allocation under title III for a participating 
tribe that terminates participation in the demonstration program.
  ``(d) Costs and Obligations.--The Secretary shall not be liable for 
any obligations or costs incurred by an Indian tribe during its 
participation in the demonstration program under this title.

``SEC. 910. FINAL REPORT.

  ``Not later than the expiration of the 5-year period beginning on the 
date of the enactment of this title, the Secretary shall submit a final 
report to the Congress regarding the effectiveness of the demonstration 
program, which shall include--
          ``(1) an assessment of the success, under the demonstration 
        program, of participating tribes in meeting their housing 
        needs, including affordable housing needs, on tribal land;
          ``(2) recommendations for any improvements in the 
        demonstration program; and
          ``(3) a determination of whether the demonstration should be 
        expanded into a permanent program available for Indian tribes 
        to opt into at any time and, if so, recommendations for such 
        expansion, including any legislative actions necessary to 
        expand the program.

``SEC. 911. DEFINITIONS.

  ``For purposes of this title, the following definitions shall apply:
          ``(1) Affordable housing.--The term `affordable housing' has 
        the meaning given such term in section 4 (25 U.S.C. 4103).
          ``(2) Housing infrastructure.--The term `housing 
        infrastructure' means basic facilities, services, systems, and 
        installations necessary or appropriate for the functioning of a 
        housing community, including facilities, services, systems, and 
        installations for water, sewage, power, communications, and 
        transportation.
          ``(3) Long-term lease.--The term `long-term lease' means an 
        agreement between a participating tribe and a tribal member 
        that authorizes the tribal member to occupy a specific plot of 
        tribal lands for 50 or more years and to request renewal of the 
        agreement at least once.
          ``(4) Participating tribes.--The term `participating tribe' 
        means an Indian tribe for which a final plan under section 904 
        for participation in the demonstration program under this title 
        has been approved by the Secretary under section 905.

``SEC. 912. NOTICE.

  ``The Secretary shall establish any requirements and criteria as may 
be necessary to carry out the demonstration program under this title by 
notice published in the Federal Register.''.

SEC. 702. CLERICAL AMENDMENTS.

  The table of contents in section 1(b) is amended by inserting after 
the item relating to section 705 the following:

         ``TITLE VIII--HOUSING ASSISTANCE FOR NATIVE HAWAIIANS

``Sec. 801. Definitions.
``Sec. 802. Block grants for affordable housing activities.
``Sec. 803. Housing plan.
``Sec. 804. Review of plans.
``Sec. 805. Treatment of program income and labor standards.
``Sec. 806. Environmental review.
``Sec. 807. Regulations.
``Sec. 808. Effective date.
``Sec. 809. Affordable housing activities.
``Sec. 810. Eligible affordable housing activities.
``Sec. 811. Program requirements.
``Sec. 812. Types of investments.
``Sec. 813. Low-income requirement and income targeting.
``Sec. 814. Lease requirements and tenant selection.
``Sec. 815. Repayment.
``Sec. 816. Annual allocation.
``Sec. 817. Allocation formula.
``Sec. 818. Remedies for noncompliance.
``Sec. 819. Monitoring of compliance.
``Sec. 820. Performance reports.
``Sec. 821. Review and audit by Secretary.
``Sec. 822. General Accounting Office audits.
``Sec. 823. Reports to Congress.
``Sec. 824. Authorization of appropriations.

    ``TITLE IX--DEMONSTRATION PROGRAM FOR ALTERNATIVE PRIVATIZATION 
                 AUTHORITY FOR NATIVE AMERICAN HOUSING

``Sec. 901. Authority.
``Sec. 902. Participating tribes.
``Sec. 903. Request for quotes and selection of investor partner.
``Sec. 904. Final plan.
``Sec. 905. HUD review and approval of plan.
``Sec. 906. Treatment of NAHASDA allocation.
``Sec. 907. Resale of affordable housing.
``Sec. 908. Reports, audits, and compliance.
``Sec. 909. Termination of tribal participation.
``Sec. 910. Final report.
``Sec. 911. Definitions.
``Sec. 912. Notice.''.

                          Purpose and Summary

    On September 28, 2017, Representative Steve Pearce 
introduced H.R. 3864, the ``Native American Housing Assistance 
and Self-Determination Reauthorization Act of 2017''. The bill 
reauthorizes the Native American Housing Assistance Self 
Determination Act of 1996 (NAHASDA) for five years through 2022 
and amends the statute to better address housing needs for 
Native American tribal governments. H.R. 3864 has three primary 
objectives: (1) strengthen vital taxpayer protections and 
tribal accountability by providing the Secretary of Housing and 
Urban Development (HUD) the authority to recoup unexpended 
funds; (2) allow for tribes to pursue alternative funding 
sources by encouraging private investment; and (3) provide 
Native American tribal governments with greater efficiencies 
when deploying NAHASDA funds.

                  Background and Need for Legislation

    A unique relationship exists between the U.S. Government 
and the governments of Native Americans. Congress, through 
treaties and statutes, has assumed a trust responsibility for 
the protection and preservation of Native American tribes and 
for working with tribes and their members to improve their 
housing conditions and socioeconomic status so that they are 
able to take greater responsibility for their own economic 
condition.
    NAHASDA is a federal grant and loan guarantee program that 
provides affordable housing assistance to Native American 
tribes. Tribes spend these funds to provide affordable housing 
assistance for its low-income tribal members living on or near 
Indian tribal lands or areas. NAHASDA is administered by HUD's 
Office of Native American Programs (ONAP). Congress first 
authorized NAHASDA in 1996 to streamline the multiple channels 
of housing assistance provided to Native Americans by combining 
several federal housing assistance programs into two: (1) the 
Indian Housing Block Grant (IHBG) program, which is a formula 
based grant program; and (2) the Title VI Tribal Housing 
Activities Loan Guarantee Program, which guarantees private 
loans to Indian tribes to develop affordable housing. After the 
passage of its authorization, Congress first funded NAHASDA in 
1998 and the annual funding level for NAHASDA is approximately 
$650 million. NAHASDA's authorization expired September 30, 
2013, and it is currently receiving appropriations without 
authorization.
    Prior to NAHASDA, Native American tribes received 
assistance for affordable housing under various federal 
programs aimed at providing housing assistance to low-income 
Native Americans. For example, tribes received housing 
development and modernization grants, public housing operating 
subsidies, and Section 8 rental assistance, which were 
authorized in the 1937 Housing Act. There were no specific 
provisions in the 1937 Housing Act relating to the unique 
circumstances of Native Americans living on or near tribal 
lands, such as the federal government's obligations to Native 
Americans through treaties and legislation, the relationships 
between sovereign governments (federal and tribal) with 
different laws, and the challenges with housing development on 
trust lands. By combining federal housing assistance, NAHASDA 
sought to provide Native American tribes greater self-
determination and self-governance by allowing them more 
authority over spending their federal affordable housing funds. 
With the enactment of NAHASDA, Indian tribes are no longer 
eligible to receive federal housing assistance under the 1937 
Housing Act.
    NAHASDA has been amended several times since its enactment. 
In 2000, Congress added a new title to the law to make Native 
Hawaiians residing on Hawaiian Home Lands eligible to receive 
federal assistance. In 2002, Congress reauthorized NAHASDA for 
five years and added new self-determination measures, expanded 
eligible activities, and changed the requirements for the use 
of program income.
    In 2008, Congress reauthorized NAHASDA for five years, 
through October 1, 2013, and incorporated several changes. The 
2008 reauthorization modified the Indian Housing Block Grant 
Program to allow tribes to establish a reserve account of 20 
percent of the grants they received for housing activities. 
Tribes were also given greater discretion over the use of 15 
percent or $1 million of their grant, whichever is the lesser 
amount, for affordable housing activities.
    Congress designed NAHASDA to promote development, increase 
flexibility so that tribes may meet the unique challenges that 
they face, and provide the self-determination that tribes 
deserve. The tenets of the tribal self-determination policy, as 
embodied in NAHASDA, give tribes greater flexibility to 
determine what types of products and services they offer, how 
they will deliver programs and projects, and how best to serve 
tribal members. This approach has worked well to serve the 
Native American population where geographies, climates, 
customs, resources, and economic conditions vary widely.
    The housing needs of Native Americans living on 
reservations are extensive. Published by HUD in January 2017, 
the Housing Needs of American Indians and Alaska Natives in 
Tribal Areas reported the results of a comprehensive, national 
study of housing needs in Native American communities. The 
report found that, on average, the physical housing problems 
for Native American households in tribal areas are more severe 
than for U.S. household. It documented the immediate needs of 
new, affordable housing to replace substandard or overcrowded 
units.
    H.R. 3864 does more than reauthorize the program that 
provides housing for Native Americans across the country. This 
legislation continues NAHASDA's tradition of transforming 
housing programs by capturing market efficiencies and the 
effectiveness of streamlined processes to ultimately achieve 
prosperity that has been elusive on reservations. This five-
year authorization is another Federal subsidy for Native 
Americans but rather a bridge to assist millions to create 
better living conditions, improve housing opportunities, and 
promote prosperity for tribal members.
    H.R. 3864 continues to create effective partnerships among 
the Federal Government, State, tribal, local governments, and 
private entities that allow the government to accept 
responsibility to foster the development of a healthy 
marketplace and allow families to prosper without government 
involvement in their day-to-day activities. During the markup, 
the Committee adopted an amendment in the nature of a 
substitute that removed reauthorization language for HUD's 
Native Hawaiian program. Given the unique circumstances 
regarding the Native Hawaiian program, the Committee chose to 
follow the precedent set during NAHASDA's last reauthorization 
to consider Native American housing programs separate from 
Native Hawaiian.
    Consistent with the recommendation in HUD's January 2017 
report, H.R. 3864 will help tribes enhance their development 
efforts, and it will better leverage the assistance they 
receive through the dissemination of successful tribal 
strategies that meet the urgent housing needs of tribal 
communities.

                                Hearings

    The Committee on Financial Services' Subcommittee on 
Housing and Insurance held a hearing examining matters relating 
to H.R. 3864 on July 21, 2017.

                        Committee Consideration

    The Committee on Financial Services met in open session on 
December 12, 2017, and ordered H.R. 3864 to be reported 
favorably to the House, as amended, by a recorded vote of 37 
yeas to 22 nays (Record vote no. FC-120), a quorum being 
present. Before the motion to report was offered, the Committee 
adopted an amendment in the nature of a substitute offered by 
Mr. Pearce by voice vote.

                            Committee Votes

    Clause 3(b) of rule XIII of the Rules of the House of 
Representatives requires the Committee to list the record votes 
on the motion to report legislation and amendments thereto. A 
motion by Chairman Hensarling to report the bill favorably to 
the House, as amended, was agreed to by a recorded vote of 37 
yeas to 22 nays (Record vote no. FC-120), a quorum being 
present. An amendment in the nature of a substitute offered by 
Mr. Pearce was agreed to by voice vote. An amendment to the 
amendment in the nature of a substitute, as amended by 
unanimous consent, offered by Ms. Waters was not agreed to by 
voice vote. An amendment to the amendment in the nature of a 
substitute offered by Ms. Moore was not agreed to by a recorded 
vote of 24 yeas to 32 nays (Record vote no. FC-119), a quorum 
being present.


                      Committee Oversight Findings

    Pursuant to clause 3(c)(1) of rule XIII of the Rules of the 
House of Representatives, the findings and recommendations of 
the Committee based on oversight activities under clause 
2(b)(1) of rule X of the Rules of the House of Representatives, 
are incorporated in the descriptive portions of this report.

                    Performance Goals and Objectives

    With respect to clause 3(c)(4) of rule XIII of the Rules of 
the House of Representatives, the Committee advises that the 
bill contains no measure that authorizes funding, so no 
statement of general performance goals and objectives for which 
any measure authorizes funding is required.

   New Budget Authority, Entitlement Authority, and Tax Expenditures

    In compliance with clause 3(c)(2) of rule XIII of the Rules 
of the House of Representatives, the Committee adopts as its 
own the estimate of new budget authority, entitlement 
authority, or tax expenditures or revenues contained in the 
cost estimate prepared by the Director of the Congressional 
Budget Office pursuant to section 402 of the Congressional 
Budget Act of 1974.

                 Congressional Budget Office Estimates

    Pursuant to clause 3(c)(3) of rule XIII of the Rules of the 
House of Representatives, the following is the cost estimate 
provided by the Congressional Budget Office pursuant to section 
402 of the Congressional Budget Act of 1974:

                                     U.S. Congress,
                               Congressional Budget Office,
                                     Washington, DC, March 8, 2018.
Hon. Jeb Hensarling, Chairman
Committee on Financial Services,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 3864, the Native 
American Housing Assistance and Self-Determination 
Reauthorization Act of 2017.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Elizabeth 
Cove Delisle.
            Sincerely,
                                                Keith Hall,
                                                          Director.
    Enclosure.

H.R. 3864--Native American Housing Assistance and Self-Determination 
        Reauthorization Act of 2017

    Summary: H.R. 3864 would reauthorize the Native American 
Housing Block Grant (NAHBG) and loan guarantee programs through 
fiscal year 2022. In addition, the bill would authorize the 
Department of Housing and Urban Development (HUD) to make new 
grants in 2018 under the Tribal HUD-VA Supportive Housing 
(Tribal HUD-VASH) program, which is jointly operated by HUD and 
the Department of Veterans Affairs (VA). CBO estimates that 
implementing H.R. 3864 would cost about $2.7 billion over the 
2018-2022 period, assuming appropriation of the necessary 
amounts.
    Enacting the bill would not affect direct spending or 
revenues; therefore, pay-as-you-go procedures do not apply.
    CBO estimates that enacting H.R. 3864 would not increase 
net direct spending or on-budget deficits in any of the four 
consecutive 10-year periods beginning in 2028.
    H.R. 3864 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA).
    Estimated Cost to the Federal Government: The estimated 
budgetary effect of H.R. 3864 is shown in the following table. 
The costs of this legislation fall within budget functions 600 
(income security) and 370 (commerce and housing credit).

----------------------------------------------------------------------------------------------------------------
                                                                     By fiscal year, in millions of dollars
                                                              --------------------------------------------------
                                                                2018    2019    2020    2021    2022   2018-2022
----------------------------------------------------------------------------------------------------------------
                                 INCREASES IN SPENDING SUBJECT TO APPROPRIATION
 
Native American Housing Block Grants:
    Authorization Level......................................     650     650     650     650     650      3,250
    Estimated Outlays........................................     241     462     585     663     715      2,665
Loan Guarantees for Indian Housing:
    Authorization Level......................................      12      12      12      12      12         61
    Estimated Outlays........................................      12      12      12      12      12         61
Demonstration Program:
    Estimated Authorization Level............................       1       1       1       1       1          6
    Estimated Outlays........................................       1       1       1       1       1          6
Housing for Native American Veterans:
    Estimated Authorization Level............................       0       0       0       0       0          0
    Estimated Outlays........................................      -2       *       *       1       1          *
Lands Title Report Commission:
    Estimated Authorization Level............................       1       *       0       0       0          1
    Estimated Outlays........................................       1       *       0       0       0          1
    Total Changes:
        Estimated Authorization Level........................     664     664     663     663     663      3,318
        Estimated Outlays....................................     253     475     599     677     729      2,732
----------------------------------------------------------------------------------------------------------------
Components may not sum to totals because of rounding; * = between -$500,000 and $500,000.

    Basis of estimate: CBO estimates that implementing H.R. 
3864 would cost about $2.7 billion over the next five years, 
assuming appropriation of the necessary funds. For this 
estimate, CBO assumes that H.R. 3864 will be enacted near the 
end of fiscal year 2018 and that appropriated funds will be 
spent at historical rates for the affected programs.
    Native American Housing Block Grants: Section 301 would 
authorize the appropriation of $650 million annually over the 
2018-2022 period for the NAHBG program, which provides funding 
for tribes to acquire, construct, rehabilitate, or manage 
affordable housing for Native American families with low 
incomes. In 2017, the Congress appropriated $654 million for 
the program. CBO estimates that implementing this section would 
cost $2.7 billion over the 2018-2022 period.
    Loan Guarantees for Indian Housing: Section 502 would 
authorize the appropriation of a little more than $12 million 
annually through 2022 to guarantee loans to Native American 
families and tribes to construct, acquire, or rehabilitate 
homes located on tribal land. In 2017, the Congress 
appropriated $7 million for the program. CBO estimates that 
implementing this section would cost $61 million over the 2018-
2022 period.
    Demonstration Program: Section 701 would authorize a 
demonstration program for tribes to form partnerships with 
other entities to assess the need for and to develop housing. 
Tribes could pledge NAHBG funds to provide a return on 
investment to investors. Using information from HUD about the 
staff time required to carry out similar programs, CBO 
estimates that the equivalent of seven employees would be 
needed each year over the 2018-2022 period to review tribal 
plans for implementing partnerships, audit compliance with the 
plans, and report to the Congress on the effectiveness of the 
demonstration program. Based on average personnel costs of 
$160,000 per employee and accounting for anticipated inflation, 
CBO estimates that the personnel costs would be about $6 
million over the 2018-2022 period.
    Housing for Native American Veterans: The Tribal HUD-VASH 
program provides rental assistance to Native American veterans 
who are homeless or at risk of homelessness. Section 501 would 
require HUD to allocate 5 percent of the funds made available 
for the HUD-VASH program to the Tribal HUD-VASH program. On an 
annualized basis, $40 million was appropriated for the HUD-VASH 
program in 2018; therefore, CBO estimates that HUD would 
allocate $2 million in 2018 to make new tribal grants. No 
appropriations are authorized for the underlying HUD-VASH 
program after 2018, so CBO does not estimate any funding for 
new grants in those years. Based on information from HUD about 
the pace of spending in the HUD-VASH and Tribal HUD-VASH 
programs, CBO estimates that enacting H.R. 3864 would not 
significantly affect the federal budget.
    Lands Title Report Commission: Section 601 would establish 
a commission to analyze and create a plan to improve the system 
the Department of the Interior uses for maintaining land 
ownership records and title documents related to Indian trusts. 
The commission would consist of 12 members.
    Members would serve without pay but would be reimbursed for 
travel expenses. The bill would authorize the commission to 
hold hearings, hire staff, and collect information from federal 
agencies. The commission would submit a final report to the 
Congress within one year of its initial meeting.
    Based on the cost of similar commissions, CBO estimates 
that implementing section 601 would require about three 
employees. This estimate reflects the staff time and other 
resources necessary to convene the commission, support its 
mission, and prepare the final report. CBO estimates that the 
total costs would be about $1 million over the 2018-2022 
period; that spending would be subject to the availability of 
appropriated funds.
    Pay-As-You-Go considerations: None.
    Increase in long-term direct spending and deficits: CBO 
estimates that enacting H.R. 3864 would not increase net direct 
spending or on-budget deficits in any of the four consecutive 
10-year periods beginning in 2028.
    Mandates: H.R. 3864 contains no intergovernmental or 
private-sector mandates as defined in UMRA. Grants authorized 
in the bill would benefit tribal governments that participate 
in housing assistance programs. Any costs those governments 
bore to comply with grant conditions would be incurred 
voluntarily.
    Estimate prepared by: Federal Costs: Elizabeth Cove Delisle 
and Jeff LaFave, Mandates: Rachel Austin.
    Estimate approved by: H. Samuel Papenfuss, Deputy Assistant 
Director for Budget Analysis.

                       Federal Mandates Statement

    This information is provided in accordance with section 423 
of the Unfunded Mandates Reform Act of 1995.
    The Committee has determined that the bill does not contain 
Federal mandates on the private sector. The Committee has 
determined that the bill does not impose a Federal 
intergovernmental mandate on State, local, or tribal 
governments.

                      Advisory Committee Statement

    No advisory committees within the meaning of section 5(b) 
of the Federal Advisory Committee Act were created by this 
legislation.

                  Applicability to Legislative Branch

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of the section 
102(b)(3) of the Congressional Accountability Act.

                         Earmark Identification

    With respect to clause 9 of rule XXI of the Rules of the 
House of Representatives, the Committee has carefully reviewed 
the provisions of the bill and states that the provisions of 
the bill do not contain any congressional earmarks, limited tax 
benefits, or limited tariff benefits within the meaning of the 
rule.

                    Duplication of Federal Programs

    In compliance with clause 3(c)(5) of rule XIII of the Rules 
of the House of Representatives, the Committee states that no 
provision of the bill establishes or reauthorizes: (1) a 
program of the Federal Government known to be duplicative of 
another Federal program; (2) a program included in any report 
from the Government Accountability Office to Congress pursuant 
to section 21 of Public Law 111-139; or (3) a program related 
to a program identified in the most recent Catalog of Federal 
Domestic Assistance, published pursuant to the Federal Program 
Information Act (Pub. L. No. 95-220, as amended by Pub. L. No. 
98-169).

                   Disclosure of Directed Rulemaking

    Pursuant to section 3(i) of H. Res. 5, (115th Congress), 
the following statement is made concerning directed 
rulemakings: The Committee estimates that the bill requires no 
directed rulemakings within the meaning of such section.

             Section-by-Section Analysis of the Legislation


Section 1. Short title; table of contents

    This section cites the short title of H.R. 3864 as the 
``Native American Housing Assistance and Self-Determination 
Reauthorization Act of 2017,'' and includes the bill's table of 
contents.

Section 2. References

    This section clarifies that all amendments contained in 
this bill refer to the Native American Housing Assistance and 
Self-Determination Act of 1996, unless otherwise noted.

              TITLE I--BLOCK GRANTS AND GRANT REQUIREMENTS

Section 101. Block grants

    This section requires the HUD Secretary to act on a Local 
Cooperation Agreement waiver request within 60 days of its 
submission by a recipient of funding under the Native American 
Housing Assistance and Self-Determination Act (NAHASDA).

Section 102. Recommendations regarding exceptions to annual Indian 
        Housing Plan requirement

    This section requires the HUD Secretary to study and 
recommend to Congress standards and procedures to streamline 
and simplify Indian Housing Plans (IHPs), including 
recommendations that establish procedures for waiving the IHP 
or alternative reporting requirements for tribes, such as 
submitting multi-year IHPs.

Section 103. Environmental review

    This section requires the HUD Secretary to consolidate 
environmental review requirements under a single environmental 
review when NAHASDA funding is not less than 51 percent of the 
total federal funding source for the development and the HUD 
Secretary determines the consolidation is not inconsistent with 
the goals of the National Environmental Policy Act of 1969; and 
requires the Secretary to act on environmental review waiver 
submissions within 60 days of receipt.

Section 104. Deadline for action on request for approval regarding 
        exceeding TDC maximum cost for project

    This section establishes a 60-day period in which HUD must 
act on a recipient's waiver request to exceed the 10 percent 
maximum of total development cost (TDC); and provides a 
definition of TDC as it relates to acquiring or rehabilitating 
affordable housing under NAHASDA.

                TITLE II--AFFORDABLE HOUSING ACTIVITIES

Section 201. National objectives and eligible families

    This section exempts NAHASDA recipients from section 3 of 
the Housing and Urban Development Act of 1968.

Section 202. Program requirements

    This section removes the requirement that rent charged for 
a unit equal 30 percent of the tenant's income in instances 
when the NAHASDA recipient has a written policy governing rents 
or homebuyer payments charged for housing units, and such 
policy does not include a provision governing maximum rents or 
homebuyer payments.

Section 203. Homeownership or lease-to-own low-income requirement and 
        income targeting

    This section clarifies that housing funded by NAHASDA meets 
the test for ``affordable'' housing if a family is, at the 
outset of tenancy, low-income, as defined by the Act, and its 
income status subsequently changes prior to the family 
converting its tenancy to homeownership or lease-to-own status; 
and prohibits a NAHASDA recipient from requiring a binding 
affordability commitment for any privately owned home that 
receives property improvements that do not exceed 10 percent of 
the total development costs for such home.

Section 204. Lease requirements and tenant selection

    This section clarifies that the owner or manager of 
NAHASDA-funded rental housing shall only utilize leases that 
require a specific notice period prior to the termination of 
the lease.

Section 205. Tribal coordination of agency funding

    This section allows NAHASDA recipients to coordinate 
funding from the Indian Health Service to construct sanitation 
facilities for housing construction and renovation projects.

                 TITLE III--ALLOCATION OF GRANT AMOUNTS

Section 301. Authorization of appropriations

    This section authorizes $650 million in appropriations for 
each of fiscal years 2018-2022 for the NAHASDA program.

Section 302. Effect of undisbursed block grant amounts on annual 
        allocations

    This section authorizes the HUD Secretary to recoup 
unexpended funds that exceed three times a yearly allocation 
for a NAHASDA recipient, with such identified funds reallocated 
to other eligible NAHASDA recipients; provides a process by 
which recipients exceeding the maximum amount of funds have the 
ability to demonstrate due diligence to the Secretary prior to 
recoupment; and applies only to those NAHASDA recipients that 
receive an annual NAHASDA grant of more than $5 million.

                      TITLE IV--AUDITS AND REPORTS

Section 401. Review and audit by Secretary

    This section directs the HUD Secretary to issue a final 
audit report on a NAHASDA recipient within 60 days after the 
subject of the audit has had an opportunity to review and 
comment on the report, as provided by law.

Section 402. Reports to Congress

    This section requires the HUD Secretary to provide copies 
of HUD's statutorily required annual report on progress made in 
accomplishing the objectives of the Act to the relevant 
Congressional Committees of jurisdiction and to make them 
publicly available to recipients.

         TITLE V--OTHER HOUSING ASSISTANCE FOR NATIVE AMERICANS

Section 501. HUD-Veterans Affairs Supportive Housing Program for Native 
        American veterans

    This section authorizes HUD to create a rental assistance 
program for Native American veterans modeled on the HUD-
Veterans Affairs Supportive Housing (HUD-VASH) program; and 
provides a 5 percent set aside from within the VASH funds for 
the creation of this program.

Section 502. Loan Guarantees for Indian Housing

    This section authorizes $12.2 million in appropriations for 
each of fiscal years 2018-2022 for the Loan Guarantees for 
Indian Housing program (also known as the Section 184 program), 
which will support a loan guarantee authority of $976 million.

                        TITLE VI--MISCELLANEOUS

Section 601. Lands Title Report Commission

    This section amends the American Homeownership and Economic 
Opportunity Act of 2000 by eliminating the requirement that 
funds in advance of appropriations be provided before the 
Indian Lands Title Report Commission may become operational.

Section 602. Leasehold interest in trust or restricted lands for 
        housing purposes

    This section allows for 99-year leases on tribal lands and 
grandfathers current leases into the 99-year requirement.

Section 603. Clerical amendment

    This section updates the Table of Contents of the Native 
American Housing Assistance and Self-Determination Act of 1996.

    TITLE VII--DEMONSTRATION PROGRAM FOR ALTERNATIVE PRIVATIZATION 
                 AUTHORITY FOR NATIVE AMERICAN HOUSING

Section 701. Demonstration program

    This section creates a new Title IX within NAHASDA, 
authorizing a demonstration project on greater tribal self-
determination and private investment when meeting housing 
needs.
     Sec. 901: Authority. Authorizes additional 
authority to tribes that participate in the demonstration 
project and exempts participating tribes from other unrelated 
provisions of NAHASDA.
     Sec. 902: Participating Tribes. Limits the 
demonstration project to twenty tribes and sets forth 
eligibility for the program, including a cooperative agreement 
between the participating tribe and HUD.
     Sec. 903: Request for Quotes and Selection of 
Investor Partners. Sets forth the process by which the 
participating tribe must show due diligence in selection of an 
investor group. Included in these steps is an assessment of the 
housing needs on participating tribes' land.
     Sec. 904: Final Plan. Requires participating 
tribes to provide HUD with a completed proposal for 
construction of housing needs on tribal land, known as a 
``Final Plan,'' and sets forth what must be included within 
that plan, as well as the requirements that apply to the 
investor partnering with the tribe.
     Sec. 905: HUD Review and Approval of Plan. Sets 
forth the review and approval process HUD must follow when 
communicating with participating tribes and requires HUD to 
provide detailed information to tribes who have had their Final 
Plans denied or altered.
     Sec. 906: Treatment of NAHASDA Allocation. 
Prescribes that allocations made to tribes in the demonstration 
project shall be reserved for use in housing infrastructure, 
administrative expenses, and equity for private investment.
     Sec. 907: Resale of Affordable Housing. Authorizes 
participating tribes to resell any affordable housing developed 
under this act, so long as the tribe is meeting its affordable 
housing needs, and has the ability to meet future affordable 
housing needs.
     Sec. 908: Reports, Audits, and Compliance. 
Requires tribes and HUD to provide annual reports on the 
progress of the demonstration project and sets forth 
requirements for HUD audits of participating tribes.
     Sec. 909: Termination of Tribal Participation. 
Allows tribes to withdraw from the demonstration project at any 
time so long as they maintain any legal agreements with 
investors that participated under the demonstration project.
     Sec. 910: Final Report. Requires a HUD report, 
five years after enactment, on whether the demonstration 
project should be expanded into a permanent program.
     Sec. 911: Definitions. Provides for various 
definitions applicable to NAHASDA and this Act.
     Sec. 912: Notice. Requires the HUD Secretary to 
carry out the demonstration project by notice published in the 
Federal Register.

Section 702. Clerical amendments

    This section contains clarifications to the Table of 
Contents that includes the new demonstration program outlined 
in Section 701.

         Changes in Existing Law Made by the Bill, as Reported

    In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, and existing law in which no 
change is proposed is shown in roman):

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, and existing law in which no 
change is proposed is shown in roman):

 NATIVE AMERICAN HOUSING ASSISTANCE AND SELF-DETERMINATION ACT OF 1996


SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.

  (a) Short Title.--This Act may be cited as the ``Native 
American Housing Assistance and Self-Determination Act of 
1996''.
  (b) Table of Contents.--The table of contents for this Act is 
as follows:

Sec. 1. Short title.
     * * * * * * *

                 TITLE II--AFFORDABLE HOUSING ACTIVITIES

                 Subtitle A--General Block Grant Program

     * * * * * * *
[Sec. 206. Treatment of funds.]
     * * * * * * *
Sec. 211. Tribal coordination of agency funding.
     * * * * * * *

                 TITLE III--ALLOCATION OF GRANT AMOUNTS

     * * * * * * *
Sec. 303. Effect of undisbursed grant amounts on annual allocations.
     * * * * * * *

           TITLE VIII--HOUSING ASSISTANCE FOR NATIVE HAWAIIANS

Sec. 801. Definitions.
Sec. 802. Block grants for affordable housing activities.
Sec. 803. Housing plan.
Sec. 804. Review of plans.
Sec. 805. Treatment of program income and labor standards.
Sec. 806. Environmental review.
Sec. 807. Regulations.
Sec. 808. Effective date.
Sec. 809. Affordable housing activities.
Sec. 810. Eligible affordable housing activities.
Sec. 811. Program requirements.
Sec. 812. Types of investments.
Sec. 813. Low-income requirement and income targeting.
Sec. 814. Lease requirements and tenant selection.
Sec. 815. Repayment.
Sec. 816. Annual allocation.
Sec. 817. Allocation formula.
Sec. 818. Remedies for noncompliance.
Sec. 819. Monitoring of compliance.
Sec. 820. Performance reports.
Sec. 821. Review and audit by Secretary.
Sec. 822. General Accounting Office audits.
Sec. 823. Reports to Congress.
Sec. 824. Authorization of appropriations.

TITLE IX--DEMONSTRATION PROGRAM FOR ALTERNATIVE PRIVATIZATION AUTHORITY 
                       FOR NATIVE AMERICAN HOUSING

Sec. 901. Authority.
Sec. 902. Participating tribes.
Sec. 903. Request for quotes and selection of investor partner.
Sec. 904. Final plan.
Sec. 905. HUD review and approval of plan.
Sec. 906. Treatment of NAHASDA allocation.
Sec. 907. Resale of affordable housing.
Sec. 908. Reports, audits, and compliance.
Sec. 909. Termination of tribal participation.
Sec. 910. Final report.
Sec. 911. Definitions.
Sec. 912. Notice.

           *       *       *       *       *       *       *


SEC. 4. DEFINITIONS.

   For purposes of this Act, the following definitions shall 
apply:
          (1) Adjusted income.--The term ``adjusted income'' 
        means the annual income that remains after excluding 
        the following amounts:
                  (A) Youths, students, and persons with 
                disabilities.--$480 for each member of the 
                family residing in the household (other than 
                the head of the household or the spouse of the 
                head of the household)--
                          (i) who is under 18 years of age; or
                          (ii) who is--
                                  (I) 18 years of age or older; 
                                and
                                  (II) a person with 
                                disabilities or a full-time 
                                student.
                  (B) Elderly and disabled families.--$400 for 
                an elderly or disabled family.
                  (C) Medical and attendant expenses.--The 
                amount by which 3 percent of the annual income 
                of the family is exceeded by the aggregate of--
                          (i) medical expenses, in the case of 
                        an elderly or disabled family; and
                          (ii) reasonable attendant care and 
                        auxiliary apparatus expenses for each 
                        family member who is a person with 
                        disabilities, to the extent necessary 
                        to enable any member of the family 
                        (including a member who is a person 
                        with disabilities) to be employed.
                  (D) Child care expenses.--Child care 
                expenses, to the extent necessary to enable 
                another member of the family to be employed or 
                to further his or her education.
                  (E) Earned income of minors.--The amount of 
                any earned income of any member of the family 
                who is less than 18 years of age.
                  (F) Travel expenses.--Excessive travel 
                expenses, not to exceed $25 per family per 
                week, for employment- or education-related 
                travel.
                  (G) Other amounts.--Such other amounts as may 
                be provided in the Indian housing plan for an 
                Indian tribe.
          (2) Affordable housing.--The term ``affordable 
        housing'' means housing that complies with the 
        requirements for affordable housing under title II. The 
        term includes permanent housing for homeless persons 
        who are persons with disabilities, transitional 
        housing, and single room occupancy housing.
          (3) Drug-related criminal activity.--The term ``drug-
        related criminal activity'' means the illegal 
        manufacture, sale, distribution, use, or possession 
        with intent to manufacture, sell, distribute, or use, 
        of a controlled substance (as such term is defined in 
        section 102 of the Controlled Substances Act).
          (4) Elderly families and near-elderly families.--The 
        terms ``elderly family'' and ``near-elderly family'' 
        mean a family whose head (or his or her spouse), or 
        whose sole member, is an elderly person or a near-
        elderly person, respectively. Such terms include 2 or 
        more elderly persons or near-elderly persons living 
        together, and 1 or more such persons living with 1 or 
        more persons determined under the Indian housing plan 
        for the agency to be essential to their care or well-
        being.
          (5) Elderly person.--The term ``elderly person'' 
        means a person who is at least 62 years of age.
          (6) Family.--The term ``family'' includes a family 
        with or without children, an elderly family, a near-
        elderly family, a disabled family, and a single person.
          (7) Grant beneficiary.--The term ``grant 
        beneficiary'' means the Indian tribe or tribes on 
        behalf of which a grant is made under this Act to a 
        recipient.
          (8) Housing related community development.--
                  (A) In general.--The term ``housing related 
                community development'' means any facility, 
                community building, business, activity, or 
                infrastructure that--
                          (i) is owned by an Indian tribe or a 
                        tribally designated housing entity;
                          (ii) is necessary to the provision of 
                        housing in an Indian area; and
                          (iii)(I) would help an Indian tribe 
                        or tribally designated housing entity 
                        to reduce the cost of construction of 
                        Indian housing;
                          (II) would make housing more 
                        affordable, accessible, or practicable 
                        in an Indian area; or
                          (III) would otherwise advance the 
                        purposes of this Act.
                  (B) Exclusion.--The term ``housing and 
                community development'' does not include any 
                activity conducted by any Indian tribe under 
                the Indian Gaming Regulatory Act (25 U.S.C. 
                2701 et seq.).
          (9) Income.--The term ``income'' means income from 
        all sources of each member of the household, as 
        determined in accordance with criteria prescribed by 
        the Secretary, except that the following amounts may 
        not be considered as income under this paragraph:
                  (A) Any amounts not actually received by the 
                family.
                  (B) Any amounts that would be eligible for 
                exclusion under section 1613(a)(7) of the 
                Social Security Act.
                  (C) Any amounts received by any member of the 
                family as disability compensation under chapter 
                11 of title 38, United States Code, or 
                dependency and indemnity compensation under 
                chapter 13 of such title.
          (10) Indian.--The term ``Indian'' means any person 
        who is a member of an Indian tribe.
          (11) Indian area.--The term ``Indian area'' means the 
        area within which an Indian tribe or a tribally 
        designated housing entity, as authorized by 1 or more 
        Indian tribes, provides assistance under this Act for 
        affordable housing.
          (12) Indian housing plan.--The term ``Indian housing 
        plan'' means a plan under section 102.
          (13) Indian tribe.--
                  (A) In general.--The term ``Indian tribe'' 
                means a tribe that is a federally recognized 
                tribe or a State recognized tribe.
                  (B) Federally recognized tribe.--The term 
                ``federally recognized tribe'' means any Indian 
                tribe, band, nation, or other organized group 
                or community of Indians, including any Alaska 
                Native village or regional or village 
                corporation as defined in or established 
                pursuant to the Alaska Native Claims Settlement 
                Act, that is recognized as eligible for the 
                special programs and services provided by the 
                United States to Indians because of their 
                status as Indians pursuant to the Indian Self-
                Determination and Education Assistance Act (25 
                U.S.C. 450 et seq.).
                  (C) State recognized tribe.--
                          (i) In general.--The term ``State 
                        recognized tribe'' means any tribe, 
                        band, nation, pueblo, village, or 
                        community--
                                  (I) that has been recognized 
                                as an Indian tribe by any 
                                State; and
                                  (II) for which an Indian 
                                Housing Authority has, before 
                                the effective date under 
                                section 705, entered into a 
                                contract with the Secretary 
                                pursuant to the United States 
                                Housing Act of 1937 for housing 
                                for Indian families and has 
                                received funding pursuant to 
                                such contract within the 5-year 
                                period ending upon such 
                                effective date.
                          (ii) Conditions.--Notwithstanding 
                        clause (i)--
                                  (I) the allocation formula 
                                under section 302 shall be 
                                determined for a State 
                                recognized tribe under tribal 
                                membership eligibility criteria 
                                in existence on the date of the 
                                enactment of this Act; and
                                  (II) nothing in this 
                                paragraph shall be construed to 
                                confer upon a State recognized 
                                tribe any rights, privileges, 
                                responsibilities, or 
                                obligations otherwise accorded 
                                groups recognized as Indian 
                                tribes by the United States for 
                                other purposes.
          (14) Low-income family.--The term ``low-income 
        family'' means a family whose income does not exceed 80 
        percent of the median income for the area, as 
        determined by the Secretary with adjustments for 
        smaller and larger families, except that the Secretary 
        may, for purposes of this paragraph, establish income 
        ceilings higher or lower than 80 percent of the median 
        for the area on the basis of the findings of the 
        Secretary or the agency that such variations are 
        necessary because of prevailing levels of construction 
        costs or unusually high or low family incomes.
          (15) Median income.--The term ``median income'' 
        means, with respect to an area that is an Indian area, 
        the greater of--
                  (A) the median income for the Indian area, 
                which the Secretary shall determine; or
                  (B) the median income for the United States.
          (16) Near-elderly person.--The term ``near-elderly 
        person'' means a person who is at least 55 years of age 
        and less than 62 years of age.
          (17) Nonprofit.--The term ``nonprofit'' means, with 
        respect to an organization, association, corporation, 
        or other entity, that no part of the net earnings of 
        the entity inures to the benefit of any member, 
        founder, contributor, or individual.
          (18) Person with disabilities.--The term ``person 
        with disabilities'' means a person who--
                  (A) has a disability as defined in section 
                223 of the Social Security Act;
                  (B) is determined, pursuant to regulations 
                issued by the Secretary, to have a physical, 
                mental, or emotional impairment which--
                          (i) is expected to be of long-
                        continued and indefinite duration;
                          (ii) substantially impedes his or her 
                        ability to live independently; and
                          (iii) is of such a nature that such 
                        ability could be improved by more 
                        suitable housing conditions; or
                  (C) has a developmental disability as defined 
                in section 102 of the Developmental 
                Disabilities Assistance and Bill of Rights Act 
                of 2000.
        Such term shall not exclude persons who have the 
        disease of acquired immunodeficiency syndrome or any 
        conditions arising from the etiologic agent for 
        acquired immunodeficiency syndrome. Notwithstanding any 
        other provision of law, no individual shall be 
        considered a person with disabilities, for purposes of 
        eligibility for housing assisted under this Act, solely 
        on the basis of any drug or alcohol dependence. The 
        Secretary shall consult with other appropriate Federal 
        agencies to implement the preceding sentence.
          (19) Recipient.--The term ``recipient'' means an 
        Indian tribe or the entity for one or more Indian 
        tribes that is authorized to receive grant amounts 
        under this Act on behalf of the tribe or tribes.
          (20) Secretary.--Except as otherwise specifically 
        provided in this Act, the term ``Secretary'' means the 
        Secretary of Housing and Urban Development.
          (21) State.--The term ``State'' means the States of 
        the United States, the District of Columbia, the 
        Commonwealth of Puerto Rico, the Commonwealth of the 
        Northern Mariana Islands, Guam, the Virgin Islands, 
        American Samoa, and any other territory or possession 
        of the United States and Indian tribes.
          (22) Total development cost.--The term ``total 
        development cost'' means, with respect to a housing 
        project, the sum of all costs for the project, 
        including all undertakings necessary for 
        administration, planning, site acquisition, demolition, 
        construction or equipment and financing (including 
        payment of carrying charges), and for otherwise 
        carrying out the development of the project, excluding 
        off-site water and sewer. The total development cost 
        amounts shall be based on a moderately designed house 
        and determined by averaging the current construction 
        costs as listed in not less than two nationally 
        recognized residential construction cost indices.
          [(22)] (23) Tribally designated housing entity.--The 
        terms ``tribally designated housing entity'' and 
        ``housing entity'' have the following meaning:
                  (A) Existing iha's.--With respect to any 
                Indian tribe that has not taken action under 
                subparagraph (B), and for which an Indian 
                housing authority--
                          (i) was established for purposes of 
                        the United States Housing Act of 1937 
                        before the date of the enactment of 
                        this Act that meets the requirements 
                        under the United States Housing Act of 
                        1937,
                          (ii) is acting upon such date of 
                        enactment as the Indian housing 
                        authority for the tribe, and
                          (iii) is not an Indian tribe for 
                        purposes of this Act,
                the terms mean such Indian housing authority.
                  (B) Other entities.--With respect to any 
                Indian tribe that, pursuant to this Act, 
                authorizes an entity other than the tribal 
                government to receive grant amounts and provide 
                assistance under this Act for affordable 
                housing for Indians, which entity is 
                established--
                          (i) by exercise of the power of self-
                        government of one or more Indian tribes 
                        independent of State law, or
                          (ii) by operation of State law 
                        providing specifically for housing 
                        authorities or housing entities for 
                        Indians, including regional housing 
                        authorities in the State of Alaska,
                the terms mean such entity.
                  (C) Establishment.--A tribally designated 
                housing entity may be authorized or established 
                by one or more Indian tribes to act on behalf 
                of each such tribe authorizing or establishing 
                the housing entity.

              TITLE I--BLOCK GRANTS AND GRANT REQUIREMENTS

SEC. 101. BLOCK GRANTS.

  (a) Authority.--
          (1) In general.--For each fiscal year, the Secretary 
        shall (to the extent amounts are made available to 
        carry out this Act) make grants under this section on 
        behalf of Indian tribes--
                  (A) to carry out affordable housing 
                activities under subtitle A of title II; and
                  (B) to carry out self-determined housing 
                activities for tribal communities programs 
                under subtitle B of that title.
          (2) Provision of amounts.--Under such a grant on 
        behalf of an Indian tribe, the Secretary shall provide 
        the grant amounts for the tribe directly to the 
        recipient for the tribe.
  (b) Plan Requirement.--
          (1) In general.--The Secretary may make a grant under 
        this Act on behalf of an Indian tribe for a fiscal year 
        only if--
                  (A) the Indian tribe has submitted to the 
                Secretary an Indian housing plan for such 
                fiscal year under section 102; and
                  (B) the plan has been determined under 
                section 103 to comply with the requirements of 
                section 102.
          (2) Waiver.--The Secretary may waive the 
        applicability of the requirements under paragraph (1), 
        in whole or in part, for a period of not more than 90 
        days, if the Secretary determines that an Indian tribe 
        has not complied with, or is unable to comply with, 
        those requirements due to exigent circumstances beyond 
        the control of the Indian tribe.
  (c) Local Cooperation Agreement.--Notwithstanding any other 
provision of this Act, grant amounts provided under this Act on 
behalf of an Indian tribe may not be used for rental or lease-
purchase homeownership units that are owned by the recipient 
for the tribe unless the governing body of the locality within 
which the property subject to the development activities to be 
assisted with the grant amounts is or will be situated has 
entered into an agreement with the recipient for the tribe 
providing for local cooperation required by the Secretary 
pursuant to this Act. The Secretary may waive the requirements 
of this subsection and subsection (d) if the recipient has made 
a good faith effort to fulfill the requirements of this 
subsection and subsection (d) and agrees to make payments in 
lieu of taxes to the appropriate taxing authority in an amount 
consistent with the requirements of subsection (d)(2) until 
such time as the matter of making such payments has been 
resolved in accordance with subsection (d). The Secretary shall 
act upon a waiver request submitted under this subsection by a 
recipient within 60 days after receipt of such request.
  (d) Exemption From Taxation.--Notwithstanding any other 
provision of this Act, grant amounts provided under this Act on 
behalf of an Indian tribe may not be used for affordable 
housing activities under this Act for rental or lease-purchase 
dwelling units developed under the United States Housing Act of 
1937 (42 U.S.C. 1437 et seq.) or with amounts provided under 
this Act that are owned by the recipient for the tribe unless--
          (1) such dwelling units (which, in the case of units 
        in a multi-unit project, shall be exclusive of any 
        portions of the project not developed under the United 
        States Housing Act of 1937 or with amounts provided 
        under this Act) are exempt from all real and personal 
        property taxes levied or imposed by any State, tribe, 
        city, county, or other political subdivision; and
          (2) the recipient for the tribe makes annual payments 
        of user fees to compensate such governments for the 
        costs of providing governmental services, including 
        police and fire protection, roads, water and sewerage 
        systems, utilities systems and related facilities, or 
        payments in lieu of taxes to such taxing authority, in 
        an amount equal to the greater of $150 per dwelling 
        unit or 10 percent of the difference between the 
        shelter rent and the utility cost, or such lesser 
        amount as--
                  (A) is prescribed by State, tribal, or local 
                law;
                  (B) is agreed to by the local governing body 
                in the agreement under subsection (c); or
                  (C) the recipient and the local governing 
                body agree that such user fees or payments in 
                lieu of taxes shall not be made.
  (e) Effect of Failure To Exempt From Taxation.--
Notwithstanding subsection (d), a grant recipient that does not 
comply with the requirements under such subsection may receive 
a block grant under this Act, but only if the tribe, State, 
city, county, or other political subdivision in which the 
affordable housing development is located contributes, in the 
form of cash or tax remission, the amount by which the taxes 
paid with respect to the development exceed the amounts 
prescribed in subsection (d)(2).
  (f) Amount.--Except as otherwise provided under this Act, the 
amount of a grant under this section to a recipient for a 
fiscal year shall be--
          (1) in the case of a recipient whose grant 
        beneficiary is a single Indian tribe, the amount of the 
        allocation under section 301 for the Indian tribe; and
          (2) in the case of a recipient whose grant 
        beneficiary is more than 1 Indian tribe, the sum of the 
        amounts of the allocations under section 301 for each 
        such Indian tribe.
  (g) Use for Affordable Housing Activities Under Plan.--Except 
as provided in subsection (h) of this section and subtitle B of 
title II, amounts provided under a grant under this section may 
be used only for affordable housing activities under title II 
that are consistent with an Indian housing plan approved under 
section 103.
  (h) Administrative and Planning Expenses.--The Secretary 
shall, by regulation, authorize each recipient to use a 
percentage of any grant amounts received under this Act for 
comprehensive housing and community development planning 
activities and for any reasonable administrative and planning 
expenses of the recipient relating to carrying out this Act and 
activities assisted with such amounts, which may include costs 
for salaries of individuals engaged in administering and 
managing affordable housing activities assisted with grant 
amounts provided under this Act and expenses of preparing an 
Indian housing plan under section 102.
  (i) Public-Private Partnerships.--Each recipient shall make 
all reasonable efforts, consistent with the purposes of this 
Act, to maximize participation by the private sector, including 
nonprofit organizations and for-profit entities, in 
implementing the approved Indian housing plan.
  (j) Federal Supply Sources.--For purposes of section 501 of 
title 40, United States Code, on election by the applicable 
Indian tribe--
          (1) each Indian tribe or tribally designated housing 
        entity shall be considered to be an Executive agency in 
        carrying out any program, service, or other activity 
        under this Act; and
          (2) each Indian tribe or tribally designated housing 
        entity and each employee of the Indian tribe or 
        tribally designated housing entity shall have access to 
        sources of supply on the same basis as employees of an 
        Executive agency.
  (k) Tribal Preference in Employment and Contracting.--
Notwithstanding any other provision of law, with respect to any 
grant (or portion of a grant) made on behalf of an Indian tribe 
under this Act that is intended to benefit [1] an Indian tribe, 
the tribal employment and contract preference laws (including 
regulations and tribal ordinances ) adopted by the Indian tribe 
that receives the benefit shall apply with respect to the 
administration of the grant (or portion of a grant).

           *       *       *       *       *       *       *


SEC. 103. REVIEW OF PLANS.

  (a) Review and Notice.--
          (1) Review.--The Secretary shall conduct a limited 
        review of each Indian housing plan submitted to the 
        Secretary to ensure that the plan complies with the 
        requirements of section 102. The Secretary shall have 
        the discretion to review a plan only to the extent that 
        the Secretary considers review is necessary.
          (2) Notice.--The Secretary shall notify each Indian 
        tribe for which a plan is submitted and any tribally 
        designated housing entity for the tribe whether the 
        plan complies with such requirements not later than 60 
        days after receiving the plan. If the Secretary does 
        not notify the Indian tribe, as required under this 
        subsection and subsection (b), the plan shall be 
        considered, for purposes of this Act, to have been 
        determined to comply with the requirements under 
        section 102 and the tribe shall be considered to have 
        been notified of compliance upon the expiration of such 
        60-day period.
  (b) Notice of Reasons for Determination of Noncompliance.--If 
the Secretary determines that a plan, as submitted, does not 
comply with the requirements under section 102, the Secretary 
shall specify in the notice under subsection (a) the reasons 
for the noncompliance and any modifications necessary for the 
plan to meet the requirements under section 102.
  (c) Review.--After submission of the Indian housing plan or 
any amendment or modification to the plan to the Secretary, to 
the extent that the Secretary considers such action to be 
necessary to make determinations under this subsection, the 
Secretary shall review the plan (including any amendments or 
modifications thereto) to determine whether the contents of the 
plan--
          (1) set forth the information required by section 102 
        to be contained in an Indian housing plan;
          (2) are consistent with information and data 
        available to the Secretary; and
          (3) are not prohibited by or inconsistent with any 
        provision of this Act or other applicable law.
If the Secretary determines that any of the appropriate 
certifications required under section 102(c)(5) are not 
included in the plan, the plan shall be deemed to be 
incomplete.
  (d) Updates to Plan.--After a plan under section 102 has been 
submitted for an Indian tribe for any tribal program year, the 
tribe may comply with the provisions of such section for any 
succeeding tribal program year by submitting only such 
information regarding such changes as may be necessary to 
update the plan previously submitted.
  (e) Self-Determined Activities Program.--Notwithstanding any 
other provision of this section, the Secretary--
          (1) shall review the information included in an 
        Indian housing plan pursuant to subsections (b)(4) and 
        (c)(7) only to determine whether the information is 
        included for purposes of compliance with the 
        requirement under section 232(b)(2); and
          (2) may not approve or disapprove an Indian housing 
        plan based on the content of the particular benefits, 
        activities, or results included pursuant to subsections 
        (b)(4) and (c)(7).
  (f) Deadline for Action on Request to Exceed TDC Maximum.--A 
request for approval by the Secretary of Housing and Urban 
Development to exceed by more than 10 percent the total 
development cost maximum cost for a project shall be approved 
or denied during the 60-day period that begins on the date that 
the Secretary receives the request.

           *       *       *       *       *       *       *


SEC. 105. ENVIRONMENTAL REVIEW.

  (a) In General.--
          (1) Release of funds.--In order to ensure that the 
        policies of the National Environmental Policy Act of 
        1969 and other provisions of law that further the 
        purposes of such Act (as specified in regulations 
        issued by the Secretary) are most effectively 
        implemented in connection with the expenditure of grant 
        amounts provided under this Act, and to ensure to the 
        public undiminished protection of the environment, the 
        Secretary, in lieu of the environmental protection 
        procedures otherwise applicable, may by regulation 
        provide for the release of amounts for particular 
        projects to tribes which assume all of the 
        responsibilities for environmental review, 
        decisionmaking, and action pursuant to such Act, and 
        such other provisions of law as the regulations of the 
        Secretary specify, that would apply to the Secretary 
        were the Secretary to undertake such projects as 
        Federal projects.
          (2) Regulations.--
                  (A) In general.--The Secretary shall issue 
                regulations to carry out this section only 
                after consultation with the Council on 
                Environmental Quality.
                  (B) Contents.--The regulations issued under 
                this paragraph shall--
                          (i) provide for the monitoring of the 
                        environmental reviews performed under 
                        this section;
                          (ii) in the discretion of the 
                        Secretary, facilitate training for the 
                        performance of such reviews; and
                          (iii) provide for the suspension or 
                        termination of the assumption of 
                        responsibilities under this section.
          (3) Effect on assumed responsibility.--The duty of 
        the Secretary under paragraph (2)(B) shall not be 
        construed to limit or reduce any responsibility assumed 
        by a recipient of grant amounts with respect to any 
        particular release of funds.
  (b) Procedure.--The Secretary shall approve the release of 
funds subject to the procedures authorized by this section only 
if, not less than 15 days prior to such approval and prior to 
any commitment of funds to such projects, the tribe has 
submitted to the Secretary a request for such release 
accompanied by a certification that meets the requirements of 
subsection (c). The approval of the Secretary of any such 
certification shall be deemed to satisfy the responsibilities 
of the Secretary under the National Environmental Policy Act of 
1969 and such other provisions of law as the regulations of the 
Secretary specify insofar as those responsibilities relate to 
the releases of funds for projects to be carried out pursuant 
thereto that are covered by such certification.
  (c) Certification.--A certification under the procedures 
authorized by this section shall--
          (1) be in a form acceptable to the Secretary;
          (2) be executed by the chief executive officer or 
        other officer of the tribe under this Act qualified 
        under regulations of the Secretary;
          (3) specify that the tribe has fully carried out its 
        responsibilities as described under subsection (a); and
          (4) specify that the certifying officer--
                  (A) consents to assume the status of a 
                responsible Federal official under the National 
                Environmental Policy Act of 1969 and each 
                provision of law specified in regulations 
                issued by the Secretary insofar as the 
                provisions of such Act or such other provisions 
                of law apply pursuant to subsection (a); and
                  (B) is authorized and consents on behalf of 
                the tribe and such officer to accept the 
                jurisdiction of the Federal courts for the 
                purpose of enforcement of the responsibilities 
                of the certifying officer as such an official.
  (d) Environmental Compliance.--The Secretary [may] shall 
waive the requirements under this section if the Secretary 
determines that a failure on the part of a recipient to comply 
with provisions of this section--
          (1) will not frustrate the goals of the National 
        Environmental Policy Act of 1969 (42 U.S.C. 4331 et 
        seq.) or any other provision of law that furthers the 
        goals of that Act;
          (2) does not threaten the health or safety of the 
        community involved by posing an immediate or long-term 
        hazard to residents of that community;
          (3) is a result of inadvertent error, including an 
        incorrect or incomplete certification provided under 
        subsection (c)(1); and
          (4) may be corrected through the sole action of the 
        recipient.
The Secretary shall act upon a waiver request submitted under 
this subsection by a recipient within 60 days after receipt of 
such request.
  (e) Consolidation of Environmental Review Requirements.--If a 
recipient is using one or more sources of Federal funds in 
addition to grant amounts under this Act in carrying out a 
project that qualifies as an affordable housing activity under 
section 202, such other sources of Federal funds do not exceed 
49 percent of the total cost of the project, and the 
recipient's tribe has assumed all of the responsibilities for 
environmental review, decisionmaking, and action pursuant to 
this section, the tribe's compliance with the review 
requirements under this section and the National Environmental 
Policy Act of 1969 with regard to such project shall be deemed 
to fully comply with and discharge any applicable environmental 
review requirements that might apply to Federal agencies with 
respect to the use of such additional Federal funding sources 
for that project.

           *       *       *       *       *       *       *


SEC. 108. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated for grants under this 
title [such sums as may be necessary for each of fiscal years 
2009 through 2013] $650,000,000 for each of fiscal years 2018 
through 2022. This section shall take effect on the date of the 
enactment of this Act.

                TITLE II--AFFORDABLE HOUSING ACTIVITIES

                Subtitle A--General Block Grant Program

SEC. 201. NATIONAL OBJECTIVES AND ELIGIBLE FAMILIES.

  (a) Primary Objective.--The national objectives of this Act 
are--
          (1) to assist and promote affordable housing 
        activities to develop, maintain, and operate affordable 
        housing in safe and healthy environments on Indian 
        reservations and in other Indian areas for occupancy by 
        low-income Indian families;
          (2) to ensure better access to private mortgage 
        markets for Indian tribes and their members and to 
        promote self-sufficiency of Indian tribes and their 
        members;
          (3) to coordinate activities to provide housing for 
        Indian tribes and their members with Federal, State, 
        and local activities to further economic and community 
        development for Indian tribes and their members;
          (4) to plan for and integrate infrastructure 
        resources for Indian tribes with housing development 
        for tribes; and
          (5) to promote the development of private capital 
        markets in Indian country and to allow such markets to 
        operate and grow, thereby benefiting Indian 
        communities.
  (b) Eligible Families.--
          (1) In general.--Except as provided under paragraphs 
        (2) and (4), and except with respect to loan guarantees 
        under the demonstration program under title VI, 
        assistance under eligible housing activities under this 
        Act shall be limited to low-income Indian families on 
        Indian reservations and other Indian areas.
          (2) Exception to low-income requirement.--
                  (A) Exception to requirement.--
                Notwithstanding paragraph (1), a recipient may 
                provide housing or housing assistance through 
                affordable housing activities for which a grant 
                is provided under this Act to any family that 
                is not a low-income family, to the extent that 
                the Secretary approves the activities due to a 
                need for housing for those families that cannot 
                reasonably be met without that assistance.
                  (B) Limits.--The Secretary shall establish 
                limits on the amount of assistance that may be 
                provided under this Act for activities for 
                families who are not low-income families.
          (3) Essential families.--Notwithstanding paragraph 
        (1), a recipient may provide housing or housing 
        assistance provided through affordable housing 
        activities assisted with grant amounts under this Act 
        for a family on an Indian reservation or other Indian 
        area if the recipient determines that the presence of 
        the family on the Indian reservation or other Indian 
        area is essential to the well-being of Indian families 
        and the need for housing for the family cannot 
        reasonably be met without such assistance.
          (4) Law enforcement officers.--A recipient may 
        provide housing or housing assistance provided through 
        affordable housing activities assisted with grant 
        amounts under this Act for a law enforcement officer on 
        an Indian reservation or other Indian area, if--
                  (A) the officer--
                          (i) is employed on a full-time basis 
                        by the Federal Government or a State, 
                        county, or other unit of local 
                        government, or lawfully recognized 
                        tribal government; and
                          (ii) in implementing such full-time 
                        employment, is sworn to uphold, and 
                        make arrests for, violations of 
                        Federal, State, county, or tribal law; 
                        and
                  (B) the recipient determines that the 
                presence of the law enforcement officer on the 
                Indian reservation or other Indian area may 
                deter crime.''.
          (5) Law enforcement officers.--Notwithstanding 
        paragraph (1), a recipient may provide housing or 
        housing assistance provided through affordable housing 
        activities assisted with grant amounts under this Act 
        to a law enforcement officer on the reservation or 
        other Indian area, who is employed full-time by a 
        Federal, State, county or tribal government, and in 
        implementing such full-time employment is sworn to 
        uphold, and make arrests for violations of Federal, 
        State, county or tribal law, if the recipient 
        determines that the presence of the law enforcement 
        officer on the Indian reservation or other Indian area 
        may deter crime.
          (6) Preference for tribal members and other indian 
        families.--The Indian housing plan for an Indian tribe 
        may require preference, for housing or housing 
        assistance provided through affordable housing 
        activities assisted with grant amounts provided under 
        this Act on behalf of such tribe, to be given (to the 
        extent practicable) to Indian families who are members 
        of such tribe, or to other Indian families. In any case 
        in which the applicable Indian housing plan for an 
        Indian tribe provides for preference under this 
        paragraph, the recipient for the tribe shall ensure 
        that housing activities that are assisted with grant 
        amounts under this Act for such tribe are subject to 
        such preference.
          (6) Exemption.--Title VI of the Civil Rights Act of 
        [1964 and] 1964, title VIII of the Civil Rights Act of 
        1968, and section 3 of the Housing and Urban 
        Development Act of 1968 shall not apply to actions by 
        federally recognized tribes and the tribally designated 
        housing entities of those tribes under this Act.

           *       *       *       *       *       *       *


SEC. 203. PROGRAM REQUIREMENTS.

  (a) Rents.--
          (1) Establishment.--Subject to [paragraph (2)] 
        paragraphs (2) and (3), each recipient shall develop 
        written policies governing rents and homebuyer payments 
        charged for dwelling units assisted under this Act, 
        including the methods by which such rents and homebuyer 
        payments are determined.
          (2) Maximum rent.--In the case of any low-income 
        family residing in a dwelling unit assisted with grant 
        amounts under this Act, the monthly rent or homebuyer 
        payment (as applicable) for such dwelling unit may not 
        exceed 30 percent of the monthly adjusted income of 
        such family.
          (3) Application of tribal policies.--Paragraph (2) 
        shall not apply if the recipient has a written policy 
        governing rents and homebuyer payments charged for 
        dwelling units and such policy includes a provision 
        governing maximum rents or homebuyer payments.
  (b) Maintenance and Efficient Operation.--Each recipient who 
owns or operates (or is responsible for funding any entity that 
owns or operates) housing developed or operated pursuant to a 
contract between the Secretary and an Indian housing authority 
pursuant to the United States Housing Act of 1937 shall, using 
amounts of any grants received under this Act, reserve and use 
for operating assistance under section 202(1) such amounts as 
may be necessary to provide for the continued maintenance and 
efficient operation of such housing. This subsection may not be 
construed to prevent any recipient (or entity funded by a 
recipient) from demolishing or disposing of Indian housing 
referred to in this subsection, pursuant to regulations 
established by the Secretary.
  (c) Insurance Coverage.--Each recipient shall maintain 
adequate insurance coverage for housing units that are owned or 
operated or assisted with grant amounts provided under this 
Act.
  (d) Eligibility for Admission.--Each recipient shall develop 
written policies governing the eligibility, admission, and 
occupancy of families for housing assisted with grant amounts 
provided under this Act.
  (e) Management and Maintenance.--Each recipient shall develop 
policies governing the management and maintenance of housing 
assisted with grant amounts under this Act.
  (f) Use of Grant Amounts Over Extended Periods.--
          (1) In general.--To the extent that the Indian 
        housing plan for an Indian tribe provides for the use 
        of amounts of a grant under section 101 for a period of 
        more than 1 fiscal year, or for affordable housing 
        activities for which the amounts will be committed for 
        use or expended during a subsequent fiscal year, the 
        Secretary shall not require those amounts to be used or 
        committed for use at any time earlier than otherwise 
        provided for in the Indian housing plan.
          (2) Carryover.--Any amount of a grant provided to an 
        Indian tribe under section 101 for a fiscal year that 
        is not used by the Indian tribe during that fiscal year 
        may be used by the Indian tribe during any subsequent 
        fiscal year.
  (g) De Minimis Exemption for Procurement of Goods and 
Services.--Notwithstanding any other provision of law, a 
recipient shall not be required to act in accordance with any 
otherwise applicable competitive procurement rule or procedure 
with respect to the procurement, using a grant provided under 
this Act, of goods and services the value of which is less than 
$5,000.

           *       *       *       *       *       *       *


SEC. 205. LOW-INCOME REQUIREMENT AND INCOME TARGETING.

  (a) In General.--Housing shall qualify as affordable housing 
for purposes of this Act only if--
          (1) each dwelling unit in the housing--
                  (A) in the case of rental housing, is made 
                available for occupancy only by a family that 
                is a low-income family at the time of their 
                initial occupancy of such unit;
                  (B) in the case of a contract to purchase 
                existing housing, is made available for 
                purchase only by a family that is a low-income 
                family at the time of purchase;
                  (C) in the case of a lease-purchase agreement 
                for existing housing or for housing to be 
                constructed, is made available for lease-
                purchase only by a family that is a low-income 
                family at the time the agreement is entered 
                into; [and]
                  (D) in the case of a contract to purchase 
                housing to be constructed, is made available 
                for purchase only by a family that is a low-
                income family at the time the contract is 
                entered into; and
                  (E) notwithstanding any other provision of 
                this paragraph, in the case of rental housing 
                that is made available to a current rental 
                family for conversion to a homebuyer or a 
                lease-purchase unit, that the current rental 
                family can purchase through a contract of sale, 
                lease-purchase agreement, or any other sales 
                agreement, is made available for purchase only 
                by the current rental family, if the rental 
                family was a low-income family at the time of 
                their initial occupancy of such unit; and
          (2) except for housing assisted under section 202 of 
        the United States Housing Act of 1937 (as in effect 
        before the date of the effectiveness of this Act), each 
        dwelling unit in the housing will remain affordable, 
        according to binding commitments satisfactory to the 
        Secretary, for the remaining useful life of the 
        property (as determined by the Secretary) without 
        regard to the term of the mortgage or to transfer of 
        ownership, or for such other period that the Secretary 
        determines is the longest feasible period of time 
        consistent with sound economics and the purposes of 
        this Act, except upon a foreclosure by a lender (or 
        upon other transfer in lieu of foreclosure) if such 
        action--
                  (A) recognizes any contractual or legal 
                rights of public agencies, nonprofit sponsors, 
                or others to take actions that would avoid 
                termination of low-income affordability in the 
                case of foreclosure or transfer in lieu of 
                foreclosure; and
                  (B) is not for the purpose of avoiding low-
                income affordability restrictions, as 
                determined by the Secretary.
  (b) Exception.--Notwithstanding subsection (a), housing 
assisted pursuant to section 201(b)(2) shall be considered 
affordable housing for purposes of this Act.
  (c) Applicability.--The provisions of paragraph (2) of 
subsection (a) regarding binding commitments for the remaining 
useful life of property shall not apply to a family or 
household member who subsequently takes ownership of a 
homeownership unit. The provisions of such paragraph regarding 
binding commitments for the remaining useful life of the 
property shall not apply to improvements of privately owned 
homes if the cost of such improvements do not exceed 10 percent 
of the maximum total development cost for such home.

           *       *       *       *       *       *       *


SEC. 207. LEASE REQUIREMENTS AND TENANT SELECTION.

  (a) Leases.--Except to the extent otherwise provided by or 
inconsistent with tribal law, in renting dwelling units in 
affordable housing assisted with grant amounts provided under 
this Act, the owner or manager of the housing shall utilize 
leases that--
          (1) do not contain unreasonable terms and conditions;
          (2) require the owner or manager to maintain the 
        housing in compliance with applicable housing codes and 
        quality standards;
          (3) require the owner or manager to give adequate 
        written notice of termination of the lease, which shall 
        be the period of time required under State, tribal, or 
        local law;
          (4) specify that, with respect to any notice of 
        eviction or termination, notwithstanding any State, 
        tribal, or local law, a resident shall be informed of 
        the opportunity, prior to any hearing or trial, to 
        examine any relevant documents, records, or regulations 
        directly related to the eviction or termination;
          (5) require that the owner or manager may not 
        terminate the tenancy, during the term of the lease, 
        except for serious or repeated violation of the terms 
        or conditions of the lease, violation of applicable 
        Federal, State, tribal, or local law, or for other good 
        cause; and
          (6) provide that the owner or manager may terminate 
        the tenancy of a resident for any activity, engaged in 
        by the resident, any member of the household of the 
        resident, or any guest or other person under the 
        control of the resident, that--
                  (A) threatens the health or safety of, or 
                right to peaceful enjoyment of the premises by, 
                other residents or employees of the owner or 
                manager of the housing;
                  (B) threatens the health or safety of, or 
                right to peaceful enjoyment of their premises 
                by, persons residing in the immediate vicinity 
                of the premises; or
                  (C) is criminal activity (including drug-
                related criminal activity) on or off the 
                premises.
  (b) Tenant and Homebuyer Selection.--The owner or manager of 
affordable rental housing assisted with grant amounts provided 
under this Act shall adopt and utilize written tenant and 
homebuyer selection policies and criteria that--
          (1) are consistent with the purpose of providing 
        housing for low-income families;
          (2) are reasonably related to program eligibility and 
        the ability of the applicant to perform the obligations 
        of the lease; and
          (3) provide for--
                  (A) the selection of tenants and homebuyers 
                from a written waiting list in accordance with 
                the policies and goals set forth in the Indian 
                housing plan for the tribe that is the grant 
                beneficiary of such grant amounts; and
                  (B) the prompt notification in writing to any 
                rejected applicant of that rejection and the 
                grounds for that rejection.
  (c) Notice of Termination.--Notwithstanding any other 
provision of law, the owner or manager of rental housing that 
is assisted in part with amounts provided under this Act and in 
part with one or more other sources of Federal funds shall only 
utilize leases that require a notice period for the termination 
of the lease pursuant to subsection (a)(3).

           *       *       *       *       *       *       *


SEC. 211. TRIBAL COORDINATION OF AGENCY FUNDING.

  Notwithstanding any other provision of law, a recipient 
authorized to receive funding under this Act may, in its 
discretion, use funding from the Indian Health Service of the 
Department of Health and Human Services for construction of 
sanitation facilities for housing construction and renovation 
projects that are funded in part by funds provided under this 
Act.

           *       *       *       *       *       *       *


TITLE III--ALLOCATION OF GRANT AMOUNTS

           *       *       *       *       *       *       *


SEC. 303. EFFECT OF UNDISBURSED GRANT AMOUNTS ON ANNUAL ALLOCATIONS.

  (a) Notification of Obligated, Undisbursed Grant Amounts.--
Subject to subsection (d) of this section, if as of January 1, 
2018, or any year thereafter a recipient's total amount of 
undisbursed block grants in the Department's line of credit 
control system is greater than three times the formula 
allocation such recipient would otherwise receive under this 
Act for the fiscal year during which such January 1 occurs, the 
Secretary shall--
          (1) before January 31 of such year, notify the Indian 
        tribe allocated the grant amounts and any tribally 
        designated housing entity for the tribe of the 
        undisbursed funds; and
          (2) require the recipient for the tribe to, not later 
        than 30 days after the Secretary provides notification 
        pursuant to paragraph (1)--
                  (A) notify the Secretary in writing of the 
                reasons why the recipient has not requested the 
                disbursement of such amounts; and
                  (B) demonstrate to the satisfaction of the 
                Secretary that the recipient has the capacity 
                to spend Federal funds in an effective manner, 
                which demonstration may include evidence of the 
                timely expenditure of amounts previously 
                distributed under this Act to the recipient.
  (b) Allocation Amount.--Notwithstanding sections 301 and 302, 
the allocation for such fiscal year for a recipient described 
in subsection (a) shall be the amount initially calculated 
according to the formula minus the difference between the 
recipient's total amount of un-dis-bursed block grants in the 
Department's line of credit control system on such January 1 
and three times the initial formula amount for such fiscal 
year.
  (c) Reallocation.--Notwithstanding any other provision of 
law, any grant amounts not allocated to a recipient pursuant to 
subsection (b) shall be allocated under the need component of 
the formula proportionately amount all other Indian tribes not 
subject to such an adjustment.
  (d) Inapplicability.--Subsections (a) and (b) shall not apply 
to an Indian tribe with respect to any fiscal year for which 
the amount allocated for the tribe for block grants under this 
Act is less than $5,000,000.
  (e) Effectiveness.--This section shall not require the 
issuance of any regulation to take effect and shall not be 
construed to confer hearing rights under this or any other 
section of this Act.

TITLE IV--COMPLIANCE, AUDITS, AND REPORTS

           *       *       *       *       *       *       *


SEC. 405. REVIEW AND AUDIT BY SECRETARY.

  (a) Requirements Under Chapter 75 of Title 31, United States 
Code.--An entity designated by an Indian tribe as a housing 
entity shall be treated, for purposes of chapter 75 of title 
31, United States Code, as a non-Federal entity that is subject 
to the audit requirements that apply to non-Federal entities 
under that chapter.
  (b) Additional Reviews and Audits.--
          (1) In general.--In addition to any audit or review 
        under subsection (a), to the extent the Secretary 
        determines such action to be appropriate, the Secretary 
        may conduct an audit or review of a recipient in order 
        to--
                  (A) determine whether the recipient--
                          (i) has carried out--
                                  (I) eligible activities in a 
                                timely manner; and
                                  (II) eligible activities and 
                                certification in accordance 
                                with this Act and other 
                                applicable law;
                          (ii) has a continuing capacity to 
                        carry out eligible activities in a 
                        timely manner; and
                          (iii) is in compliance with the 
                        Indian housing plan of the recipient; 
                        and
                  (B) verify the accuracy of information 
                contained in any performance report submitted 
                by the recipient under section 404.
          (2) On-site visits.--To the extent practicable, the 
        reviews and audits conducted under this subsection 
        shall include on-site visits by the appropriate 
        official of the Department of Housing and Urban 
        Development.
  (c) Review of Reports.--
          (1) In general.--The Secretary shall provide each 
        recipient that is the subject of a report made by the 
        Secretary under this section notice that the recipient 
        may review and comment on the report during a period of 
        not less than 30 days after the date on which notice is 
        issued under this paragraph.
          (2) Public availability.--After taking into 
        consideration any comments of the recipient under 
        paragraph (1), the Secretary--
                  (A) may revise the report; and
                  (B) not later than 30 days after the date on 
                which those comments are received, shall make 
                the comments and the report (with any revisions 
                made under subparagraph (A)) readily available 
                to the public.
          (3) Issuance of final report.--The Secretary shall 
        issue a final report within 60 days after receiving 
        comments under paragraph (1) from a recipient.
  (d) Effect of Reviews.--Subject to section 401(a), after 
reviewing the reports and audits relating to a recipient that 
are submitted to the Secretary under this section, the 
Secretary may adjust the amount of a grant made to a recipient 
under this Act in accordance with the findings of the Secretary 
with respect to those reports and audits.

           *       *       *       *       *       *       *


SEC. 407. REPORTS TO CONGRESS.

  (a) In General.--Not later than 90 days after the conclusion 
of each fiscal year in which assistance under this Act is made 
available, the Secretary shall submit to the [Congress] 
Committee on Financial Services and the Committee on Natural 
Resources of the House of Representatives, to the Committee on 
Indian Affairs and the Committee on Banking, Housing, and Urban 
Affairs of the Senate, and to any subcommittees of such 
committees having jurisdiction with respect to Native American 
and Alaska Native affairs, a report that contains--
          (1) a description of the progress made in 
        accomplishing the objectives of this Act;
          (2) a summary of the use of funds available under 
        this Act during the preceding fiscal year; and
          (3) a description of the aggregate outstanding loan 
        guarantees under title VI.
  (b) Related Reports.--The Secretary may require recipients of 
grant amounts under this Act to submit to the Secretary such 
reports and other information as may be necessary in order for 
the Secretary to make the report required by subsection (a).
  (c) Public Availability to Recipients.--Each report submitted 
pursuant to subsection (a) shall be made publicly available to 
recipients.

           *       *       *       *       *       *       *


TITLE VII--OTHER HOUSING ASSISTANCE FOR NATIVE AMERICANS

           *       *       *       *       *       *       *


SEC. 702. 50-YEAR LEASEHOLD INTEREST IN TRUST OR RESTRICTED LANDS FOR 
                    HOUSING PURPOSES.

  (a) Authority To Lease.--Notwithstanding any other provision 
of law, any trust or restricted Indian lands, whether tribally 
or individually owned, may be leased by the Indian owners, 
subject to the approval of the affected Indian tribe and the 
Secretary of the Interior, for housing development and 
residential purposes.
  (b) Term.--Each lease pursuant to subsection (a) shall be for 
a term not exceeding [50 years] 99 years.
  (c) Rule of Construction.--This section may not be construed 
to repeal, limit, or affect any authority to lease any trust or 
restricted Indian lands that--
          (1) is conferred by or pursuant to any other 
        provision of law, whether enacted before, on, or after 
        the date of the enactment of this section; or
          (2) provides for leases for any period exceeding [50 
        years] 99 years.
  (d) Self-Implementation.--This section is intended to be 
self-implementing and shall not require the issuance of any 
rule, regulation, or order to take effect as provided in 
section 705.

           *       *       *       *       *       *       *


TITLE IX--DEMONSTRATION PROGRAM FOR ALTERNATIVE PRIVATIZATION AUTHORITY 
                      FOR NATIVE AMERICAN HOUSING

SEC. 901. AUTHORITY.

  (a) In General.--In addition to any other authority provided 
in this Act for the construction, development, maintenance, and 
operation of housing for Indian families, the Secretary shall 
provide the participating tribes having final plans approved 
pursuant to section 905 with the authority to exercise the 
activities provided under this title and such plan for the 
acquisition and development of housing to meet the needs of 
tribal members.
  (b) Inapplicability of NAHASDA Provisions.--Except as 
specifically provided otherwise in this title, titles I through 
IV, VI, and VII shall not apply to a participating tribe's use 
of funds during any period that the tribe is participating in 
the demonstration program under this title.
  (c) Continued Applicability of Certain NAHASDA Provisions.--
The following provisions of titles I through VIII shall apply 
to the demonstration program under this title and amounts made 
available under the demonstration program under this title:
          (1) Subsections (d) and (e) of section 101 (relating 
        to tax exemption).
          (2) Section 101(j) (relating to Federal supply 
        sources).
          (3) Section 101(k) (relating to tribal preference in 
        employment and contracting).
          (4) Section 104 (relating to treatment of program 
        income and labor standards).
          (5) Section 105 (relating to environmental review).
          (6) Section 201(b) (relating to eligible families), 
        except as otherwise provided in this title.
          (7) Section 203(g) (relating to a de minimis 
        exemption for procurement of goods and services).
          (8) Section 702 (relating to 99-year leasehold 
        interests in trust or restricted lands for housing 
        purposes).

SEC. 902. PARTICIPATING TRIBES.

  (a) Request to Participate.--To be eligible to participate in 
the demonstration program under this title, an Indian tribe 
shall submit to the Secretary a notice of intention to 
participate during the 60-day period beginning on the date of 
the enactment of this title, in such form and such manner as 
the Secretary shall provide.
  (b) Cooperative Agreement.--Upon approval under section 905 
of the final plan of an Indian tribe for participation in the 
demonstration program under this title, the Secretary shall 
enter into a cooperative agreement with the participating tribe 
that provides such tribe with the authority to carry out 
activities under the demonstration program.
  (c) Limitation.--The Secretary may not approve more than 20 
Indian tribes for participation in the demonstration program 
under this title.

SEC. 903. REQUEST FOR QUOTES AND SELECTION OF INVESTOR PARTNER.

  (a) Request for Quotes.--Not later than the expiration of the 
180-day period beginning upon notification to the Secretary by 
an Indian tribe of intention to participate in the 
demonstration program under this title, the Indian tribe 
shall--
          (1) obtain assistance from a qualified entity in 
        assessing the housing needs, including the affordable 
        housing needs, of the tribe; and
          (2) release a request for quotations from entities 
        interested in partnering with the tribe in designing 
        and carrying out housing activities sufficient to meet 
        the tribe's housing needs as identified pursuant to 
        paragraph (1).
  (b) Selection of Investor Partner.--
          (1) In general.--Except as provided in paragraph (2), 
        not later than the expiration of the 18-month period 
        beginning on the date of the enactment of this title, 
        an Indian tribe requesting to participate in the 
        demonstration program under this title shall--
                  (A) select an investor partner from among the 
                entities that have responded to the tribe's 
                request for quotations; and
                  (B) together with such investor partner, 
                establish and submit to the Secretary a final 
                plan that meets the requirements under section 
                904.
          (2) Exceptions.--The Secretary may extend the period 
        under paragraph (1) for any tribe that--
                  (A) has not received any satisfactory 
                quotation in response to its request released 
                pursuant to subsection (a)(2); or
                  (B) has any other satisfactory reason, as 
                determined by the Secretary, for failure to 
                select an investor partner.

SEC. 904. FINAL PLAN.

  A final plan under this section shall--
          (1) be developed by the participating tribe and the 
        investor partner for the tribe selected pursuant to 
        section 903(b)(1)(A);
          (2) identify the qualified entity that assisted the 
        tribe in assessing the housing needs of the tribe;
          (3) set forth a detailed description of such 
        projected housing needs, including affordable housing 
        needs, of the tribe, which shall include--
                  (A) a description of such need over the 
                ensuing 24 months and thereafter until the 
                expiration of the ensuing 5-year period or 
                until the affordable housing need is met, 
                whichever occurs sooner; and
                  (B) the same information that would be 
                required under section 102 to be included in an 
                Indian housing plan for the tribe, as such 
                requirements may be modified by the Secretary 
                to take consideration of the requirements of 
                the demonstration program under this title;
          (4) provide for specific housing activities 
        sufficient to meet the tribe's housing needs, including 
        affordable housing needs, as identified pursuant to 
        paragraph (3) within the periods referred to such 
        paragraph, which shall include--
                  (A) development of affordable housing (as 
                such term is defined in section 4 of this Act 
                (25 U.S.C. 4103));
                  (B) development of conventional homes for 
                rental, lease-to-own, or sale, which may be 
                combined with affordable housing developed 
                pursuant to subparagraph (A);
                  (C) development of housing infrastructure, 
                including housing infrastructure sufficient to 
                serve affordable housing developed under the 
                plan; and
                  (D) investments by the investor partner for 
                the tribe, the participating tribe, members of 
                the participating tribe, and financial 
                institutions and other outside investors 
                necessary to provide financing for the 
                development of housing under the plan and for 
                mortgages for tribal members purchasing such 
                housing;
          (5) provide that the participating tribe will agree 
        to provide long-term leases to tribal members 
        sufficient for lease-to-own arrangements for, and sale 
        of, the housing developed pursuant to paragraph (4);
          (6) provide that the participating tribe--
                  (A) will be liable for delinquencies under 
                mortgage agreements for housing developed under 
                the plan that are financed under the plan and 
                entered into by tribal members; and
                  (B) shall, upon foreclosure under such 
                mortgages, take possession of such housing and 
                have the responsibility for making such housing 
                available to other tribal members;
          (7) provide for sufficient protections, in the 
        determination of the Secretary, to ensure that the 
        tribe and the Federal Government are not liable for the 
        acts of the investor partner or of any contractors;
          (8) provide that the participating tribe shall have 
        sole final approval of design and location of housing 
        developed under the plan;
          (9) set forth specific deadlines and schedules for 
        activities to be undertaken under the plan and set 
        forth the responsibilities of the participating tribe 
        and the investor partner;
          (10) set forth specific terms and conditions of 
        return on investment by the investor partner and other 
        investors under the plan, and provide that the 
        participating tribe shall pledge grant amounts 
        allocated for the tribe pursuant to title III for such 
        return on investment;
          (11) set forth the terms of a cooperative agreement 
        on the operation and management of the current 
        assistance housing stock and current housing stock for 
        the tribe assisted under the preceding titles of this 
        Act;
          (12) set forth any plans for sale of affordable 
        housing of the participating tribe under section 907 
        and, if included, plans sufficient to meet the 
        requirements of section 907 regarding meeting future 
        affordable housing needs of the tribe;
          (13) set forth terms for enforcement of the plan, 
        including an agreement regarding jurisdiction of any 
        actions under or to enforce the plan, including a 
        waiver of immunity; and
          (14) include such other information as the 
        participating tribe and investor partner consider 
        appropriate.

SEC. 905. HUD REVIEW AND APPROVAL OF PLAN.

  (a) In General.--Not later than the expiration of the 90-day 
period beginning upon a submission by an Indian tribe of a 
final plan under section 904 to the Secretary, the Secretary 
shall--
          (1) review the plan and the process by which the 
        tribe solicited requests for quotations from investors 
        and selected the investor partner; and
          (2)(A) approve the plan, unless the Secretary 
        determines that--
                  (i) the assessment of the tribe's housing 
                needs by the qualified entity, or as set forth 
                in the plan pursuant to section 904(3), is 
                inaccurate or insufficient;
                  (ii) the process established by the tribe to 
                solicit requests for quotations and select an 
                investor partner was insufficient or negligent; 
                or
                  (iii) the plan is insufficient to meet the 
                housing needs of the tribe, as identified in 
                the plan pursuant to section 904(3);
          (B) approve the plan, on the condition that the 
        participating tribe and the investor make such 
        revisions to the plan as the Secretary may specify as 
        appropriate to meet the needs of the tribe for 
        affordable housing; or
          (C) disapprove the plan, only if the Secretary 
        determines that the plan fails to meet the minimal 
        housing standards and requirements set forth in this 
        Act and the Secretary notifies the tribe of the 
        elements requiring the disapproval.
  (b) Action Upon Disapproval.--
          (1) Re-submission of plan.--Subject to paragraph (2), 
        in the case of any disapproval of a final plan of an 
        Indian tribe pursuant to subsection (a)(3), the 
        Secretary shall allow the tribe a period of 180 days 
        from notification to the tribe of such disapproval to 
        re-submit a revised plan for approval.
          (2) Limitation.--If the final plan for an Indian 
        tribe is disapproved twice and resubmitted twice 
        pursuant to the authority under paragraph (1) and, upon 
        such second re-submission of the plan the Secretary 
        disapproves the plan, the tribe may not re-submit the 
        plan again and shall be ineligible to participate in 
        the demonstration program under this title.
  (c) Tribe Authority of Housing Design and Location.--The 
Secretary may not disapprove a final plan under section 904, or 
condition approval of such a plan, based on the design or 
location of any housing to be developed or assisted under the 
plan.
  (d) Failure to Notify.--If the Secretary does not notify a 
participating tribe submitting a final plan of approval, 
conditional approval, or disapproval of the plan before the 
expiration of the period referred to in paragraph (1), the plan 
shall be considered as approved for all purposes of this title.

SEC. 906. TREATMENT OF NAHASDA ALLOCATION.

  Amounts otherwise allocated for a participating tribe under 
title III of this Act (25 U.S.C. 4151 et seq.) shall not be 
made available to the tribe under titles I through VIII, but 
shall only be available for the tribe, upon request by the 
tribe and approval by the Secretary, for the following 
purposes:
          (1) Return on investment.--Such amounts as are 
        pledged by a participating tribe pursuant to section 
        904(10) for return on the investment made by the 
        investor partner or other investors may be used by the 
        Secretary to ensure such full return on investment.
          (2) Administrative expenses.--The Secretary may 
        provide to a participating tribe, upon the request of a 
        tribe, not more than 10 percent of any annual 
        allocation made under title III for the tribe during 
        such period for administrative costs of the tribe in 
        completing the processes to carry out sections 903 and 
        904.
          (3) Housing infrastructure costs.--A participating 
        tribe may use such amounts for housing infrastructure 
        costs associated with providing affordable housing for 
        the tribe under the final plan.
          (4) Maintenance; tenant services.--A participating 
        tribe may use such amounts for maintenance of 
        affordable housing for the tribe and for housing 
        services, housing management services, and crime 
        prevention and safety activities described in 
        paragraphs (3), (4), and (5), respectively, of section 
        202.

SEC. 907. RESALE OF AFFORDABLE HOUSING.

  Notwithstanding any other provision of this Act, a 
participating tribe may, in accordance with the provisions of 
the final plan of the tribe approved pursuant to section 905, 
resell any affordable housing developed with assistance made 
available under this Act for use other than as affordable 
housing, but only if the tribe provides such assurances as the 
Secretary determines are appropriate to ensure that--
          (1) the tribe is meeting its need for affordable 
        housing;
          (2) will provide affordable housing in the future 
        sufficient to meet future affordable housing needs; and
          (3) will use any proceeds only to meet such future 
        affordable housing needs or as provided in section 906.

SEC. 908. REPORTS, AUDITS, AND COMPLIANCE.

  (a) Annual Reports by Tribe.--Each participating tribe shall 
submit a report to the Secretary annually regarding the 
progress of the tribe in complying with, and meeting the 
deadlines and schedules set forth under the approved final plan 
for the tribe. Such reports shall contain such information as 
the Secretary shall require.
  (b) Reports to Congress.--The Secretary shall submit a report 
to the Congress annually describing the activities and progress 
of the demonstration program under this title, which shall--
          (1) summarize the information in the reports 
        submitted by participating tribes pursuant to 
        subsection (a);
          (2) identify the number of tribes that have selected 
        an investor partner pursuant to a request for 
        quotations;
          (3) include, for each tribe applying for 
        participating in the demonstration program whose final 
        plan was disapproved under section 905(a)(2)(C), a 
        detailed description and explanation of the reasons for 
        disapproval and all actions taken by the tribe to 
        eliminate the reasons for disapproval, and identify 
        whether the tribe has re-submitted a final plan;
          (4) identify, by participating tribe, any amounts 
        requested and approved for use under section 906; and
          (5) identify any participating tribes that have 
        terminated participation in the demonstration program 
        and the circumstances of such terminations.
  (c) Audits.--The Secretary shall provide for audits among 
participating tribes to ensure that the final plans for such 
tribes are being implemented and complied with. Such audits 
shall include on-site visits with participating tribes and 
requests for documentation appropriate to ensure such 
compliance.

SEC. 909. TERMINATION OF TRIBAL PARTICIPATION.

  (a) Termination of Participation.--A participating tribe may 
terminate participation in the demonstration program under this 
title at any time, subject to this section.
  (b) Effect on Existing Obligations.--
          (1) No automatic termination.--Termination by a 
        participating tribe in the demonstration program under 
        this section shall not terminate any obligations of the 
        tribe under agreements entered into under the 
        demonstration program with the investor partner for the 
        tribe or any other investors or contractors.
          (2) Authority to mutually terminate agreements.--
        Nothing in this title may be construed to prevent a 
        tribe that terminates participation in the 
        demonstration program under this section and any party 
        with which the tribe has entered into an agreement from 
        mutually agreeing to terminate such agreement.
  (c) Receipt of Remaining Grant Amounts.--The Secretary shall 
provide for grants to be made in accordance with, and subject 
to the requirements of, this Act for any amounts remaining 
after use pursuant to section 906 from the allocation under 
title III for a participating tribe that terminates 
participation in the demonstration program.
  (d) Costs and Obligations.--The Secretary shall not be liable 
for any obligations or costs incurred by an Indian tribe during 
its participation in the demonstration program under this 
title.

SEC. 910. FINAL REPORT.

  Not later than the expiration of the 5-year period beginning 
on the date of the enactment of this title, the Secretary shall 
submit a final report to the Congress regarding the 
effectiveness of the demonstration program, which shall 
include--
          (1) an assessment of the success, under the 
        demonstration program, of participating tribes in 
        meeting their housing needs, including affordable 
        housing needs, on tribal land;
          (2) recommendations for any improvements in the 
        demonstration program; and
          (3) a determination of whether the demonstration 
        should be expanded into a permanent program available 
        for Indian tribes to opt into at any time and, if so, 
        recommendations for such expansion, including any 
        legislative actions necessary to expand the program.

SEC. 911. DEFINITIONS.

  For purposes of this title, the following definitions shall 
apply:
          (1) Affordable housing.--The term ``affordable 
        housing'' has the meaning given such term in section 4 
        (25 U.S.C. 4103).
          (2) Housing infrastructure.--The term ``housing 
        infrastructure'' means basic facilities, services, 
        systems, and installations necessary or appropriate for 
        the functioning of a housing community, including 
        facilities, services, systems, and installations for 
        water, sewage, power, communications, and 
        transportation.
          (3) Long-term lease.--The term ``long-term lease'' 
        means an agreement between a participating tribe and a 
        tribal member that authorizes the tribal member to 
        occupy a specific plot of tribal lands for 50 or more 
        years and to request renewal of the agreement at least 
        once.
          (4) Participating tribes.--The term ``participating 
        tribe'' means an Indian tribe for which a final plan 
        under section 904 for participation in the 
        demonstration program under this title has been 
        approved by the Secretary under section 905.

SEC. 912. NOTICE.

  The Secretary shall establish any requirements and criteria 
as may be necessary to carry out the demonstration program 
under this title by notice published in the Federal Register.
                              ----------                              


                   UNITED STATES HOUSING ACT OF 1937

TITLE I--GENERAL PROGRAM OF ASSISTED HOUSING

           *       *       *       *       *       *       *


                    lower income housing assistance

  Sec. 8. (a) For the purpose of aiding lower-income families 
in obtaining a decent place to live and of promoting 
economically mixed housing, assistance payments may be made 
with respect to existing housing in accordance with the 
provisions of this section.
  (b) Other Existing Housing Programs.--(1) In general.--The 
Secretary is authorized to enter into annual contributions 
contracts with public housing agencies pursuant to which such 
agencies may enter into contracts to make assistance payments 
to owners of existing dwelling units in accordance with this 
section. In areas where no public housing agency has been 
organized or where the Secretary determines that a public 
housing agency is unable to implement the provisions of this 
section, the Secretary is authorized to enter into such 
contracts and to perform the other functions assigned to a 
public housing agency by this section.
  (2) The Secretary is authorized to enter into annual 
contributions contracts with public housing agencies for the 
purpose of replacing public housing transferred in accordance 
with title III of this Act. Each contract entered into under 
this subsection shall be for a term of not more than 60 months.
  (c)(1)(A) An assistance contract entered into pursuant to 
this section shall establish the maximum monthly rent 
(including utilities and all maintenance and management 
charges) which the owner is entitled to receive for each 
dwelling unit with respect to which such assistance payments 
are to be made. The maximum monthly rent shall not exceed by 
more than 10 per centum the fair market rental established by 
the Secretary periodically but not less than annually for 
existing or newly constructed rental dwelling units of various 
sizes and types in the market area suitable for occupancy by 
persons assisted under this section, except that the maximum 
monthly rent may exceed the fair market rental (A) by more than 
10 but not more than 20 per centum where the Secretary 
determines that special circumstances warrant such higher 
maximum rent or that such higher rent is necessary to the 
implementation of a housing strategy as defined in section 105 
of the Cranston-Gonzalez National Affordable Housing Act, or 
(B) by such higher amount as may be requested by a tenant and 
approved by the public housing agency in accordance with 
paragraph (3)(B). In the case of newly constructed and 
substantially rehabilitated units, the exception in the 
preceding sentence shall not apply to more than 20 per centum 
of the total amount of authority to enter into annual 
contributions contracts for such units which is allocated to an 
area and obligated with respect to any fiscal year beginning on 
or after October 1, 1980. Each fair market rental in effect 
under this subsection shall be adjusted to be effective on 
October 1 of each year to reflect changes, based on the most 
recent available data trended so the rentals will be current 
for the year to which they apply, of rents for existing or 
newly constructed rental dwelling units, as the case may be, of 
various sizes and types in the market area suitable for 
occupancy by persons assisted under this section. 
Notwithstanding any other provision of this section, after the 
date of enactment of the Housing and Community Development Act 
of 1977, the Secretary shall prohibit high-rise elevator 
projects for families with children unless there is no 
practical alternative. If units assisted under this section are 
exempt from local rent control while they are so assisted or 
otherwise, the maximum monthly rent for such units shall be 
reasonable in comparison with other units in the market area 
that are exempt from local rent control.
  (B) Fair market rentals for an area shall be published not 
less than annually by the Secretary on the site of the 
Department on the World Wide Web and in any other manner 
specified by the Secretary. Notice that such fair market 
rentals are being published shall be published in the Federal 
Register, and such fair market rentals shall become effective 
no earlier than 30 days after the date of such publication. The 
Secretary shall establish a procedure for public housing 
agencies and other interested parties to comment on such fair 
market rentals and to request, within a time specified by the 
Secretary, reevaluation of the fair market rentals in a 
jurisdiction before such rentals become effective. The 
Secretary shall cause to be published for comment in the 
Federal Register notices of proposed material changes in the 
methodology for estimating fair market rentals and notices 
specifying the final decisions regarding such proposed 
substantial methodological changes and responses to public 
comments.
  (2)(A) The assistance contract shall provide for adjustment 
annually or more frequently in the maximum monthly rents for 
units covered by the contract to reflect changes in the fair 
market rentals established in the housing area for similar 
types and sizes of dwelling units or, if the Secretary 
determines, on the basis of a reasonable formula. However, 
where the maximum monthly rent, for a unit in a new 
construction, substantial rehabilitation, or moderate 
rehabilitation project, to be adjusted using an annual 
adjustment factor exceeds the fair market rental for an 
existing dwelling unit in the market area, the Secretary shall 
adjust the rent only to the extent that the owner demonstrates 
that the adjusted rent would not exceed the rent for an 
unassisted unit of similar quality, type, and age in the same 
market area, as determined by the Secretary. The immediately 
foregoing sentence shall be effective only during fiscal year 
1995, fiscal year 1996 prior to April 26, 1996, and fiscal 
years 1997 and 1998, and during fiscal year 1999 and 
thereafter. Except for assistance under the certificate 
program, for any unit occupied by the same family at the time 
of the last annual rental adjustment, where the assistance 
contract provides for the adjustment of the maximum monthly 
rent by applying an annual adjustment factor and where the rent 
for a unit is otherwise eligible for an adjustment based on the 
full amount of the factor, 0.01 shall be subtracted from the 
amount of the factor, except that the factor shall not be 
reduced to less than 1.0. In the case of assistance under the 
certificate program, 0.01 shall be subtracted from the amount 
of the annual adjustment factor (except that the factor shall 
not be reduced to less than 1.0), and the adjusted rent shall 
not exceed the rent for a comparable unassisted unit of similar 
quality, type, and age in the market area. The immediately 
foregoing two sentences shall be effective only during fiscal 
year 1995, fiscal year 1996 prior to April 26, 1996, and fiscal 
years 1997 and 1998, and during fiscal year 1999 and 
thereafter. In establishing annual adjustment factors for units 
in new construction and substantial rehabilitation projects, 
the Secretary shall take into account the fact that debt 
service is a fixed expense. The immediately foregoing sentence 
shall be effective only during fiscal year 1998.
  (B) The contract shall further provide for the Secretary to 
make additional adjustments in the maximum monthly rent for 
units under contract to the extent he determines such 
adjustments are necessary to reflect increases in the actual 
and necessary expenses of owning and maintaining the units 
which have resulted from substantial general increases in real 
property taxes, utility rates, or similar costs which are not 
adequately compensated for by the adjustment in the maximum 
monthly rent authorized by subparagraph (A). The Secretary 
shall make additional adjustments in the maximum monthly rent 
for units under contract (subject to the availability of 
appropriations for contract amendments) to the extent the 
Secretary determines such adjustments are necessary to reflect 
increases in the actual and necessary expenses of owning and 
maintaining the units that have resulted from the expiration of 
a real property tax exemption. Where the Secretary determines 
that a project assisted under this section is located in a 
community where drug-related criminal activity is generally 
prevalent and the project's operating, maintenance, and capital 
repair expenses have been substantially increased primarily as 
a result of the prevalence of such drug-related activity, the 
Secretary may (at the discretion of the Secretary and subject 
to the availability of appropriations for contract amendments 
for this purpose), on a project by project basis, provide 
adjustments to the maximum monthly rents, to a level no greater 
than 120 percent of the project rents, to cover the costs of 
maintenance, security, capital repairs, and reserves required 
for the owner to carry out a strategy acceptable to the 
Secretary for addressing the problem of drug-related criminal 
activity. Any rent comparability standard required under this 
paragraph may be waived by the Secretary to so implement the 
preceding sentence. The Secretary may (at the discretion of the 
Secretary and subject to the availability of appropriations for 
contract amendments), on a project by project basis for 
projects receiving project-based assistance, provide 
adjustments to the maximum monthly rents to cover the costs of 
evaluating and reducing lead-based paint hazards, as defined in 
section 1004 of the Residential Lead-Based Paint Hazard 
Reduction Act of 1992.
  (C) Adjustments in the maximum rents under subparagraphs (A) 
and (B) shall not result in material differences between the 
rents charged for assisted units and unassisted units of 
similar quality, type, and age in the same market area, as 
determined by the Secretary. In implementing the limitation 
established under the preceding sentence, the Secretary shall 
establish regulations for conducting comparability studies for 
projects where the Secretary has reason to believe that the 
application of the formula adjustments under subparagraph (A) 
would result in such material differences. The Secretary shall 
conduct such studies upon the request of any owner of any 
project, or as the Secretary determines to be appropriate by 
establishing, to the extent practicable, a modified annual 
adjustment factor for such market area, as the Secretary shall 
designate, that is geographically smaller than the applicable 
housing area used for the establishment of the annual 
adjustment factor under subparagraph (A). The Secretary shall 
establish such modified annual adjustment factor on the basis 
of the results of a study conducted by the Secretary of the 
rents charged, and any change in such rents over the previous 
year, for assisted units and unassisted units of similar 
quality, type, and age in the smaller market area. Where the 
Secretary determines that such modified annual adjustment 
factor cannot be established or that such factor when applied 
to a particular project would result in material differences 
between the rents charged for assisted units and unassisted 
units of similar quality, type, and age in the same market 
area, the Secretary may apply an alternative methodology for 
conducting comparability studies in order to establish rents 
that are not materially different from rents charged for 
comparable unassisted units. If the Secretary or appropriate 
State agency does not complete and submit to the project owner 
a comparability study not later than 60 days before the 
anniversary date of the assistance contract under this section, 
the automatic annual adjustment factor shall be applied. The 
Secretary may not reduce the contract rents in effect on or 
after April 15, 1987, for newly constructed, substantially 
rehabilitated, or moderately rehabilitated projects assisted 
under this section (including projects assisted under this 
section as in effect prior to November 30, 1983), unless the 
project has been refinanced in a manner that reduces the 
periodic payments of the owner. Any maximum monthly rent that 
has been reduced by the Secretary after April 14, 1987, and 
prior to the enactment of this sentence shall be restored to 
the maximum monthly rent in effect on April 15, 1987. For any 
project which has had its maximum monthly rents reduced after 
April 14, 1987, the Secretary shall make assistance payments 
(from amounts reserved for the original contract) to the owner 
of such project in an amount equal to the difference between 
the maximum monthly rents in effect on April 15, 1987, and the 
reduced maximum monthly rents, multiplied by the number of 
months that the reduced maximum monthly rents were in effect.
  (3) The amount of the monthly assistance payment with respect 
to any dwelling unit shall be the difference between the 
maximum monthly rent which the contract provides that the owner 
is to receive for the unit and the rent the family is required 
to pay under section 3(a) of this Act.
  (4) The assistance contract shall provide that assistance 
payments may be made only with respect to a dwelling unit under 
lease for occupancy by a family determined to be a lower income 
family at the time it initially occupied such dwelling unit, 
except that such payments may be made with respect to 
unoccupied units for a period not exceeding sixty days (A) in 
the event that a family vacates a dwelling unit before the 
expiration date of the lease for occupancy or (B) where a good 
faith effort is being made to fill an unoccupied unit, and, 
subject to the provisions of the following sentence, such 
payments may be made, in the case of a newly constructed or 
substantially rehabilitated project, after such sixty-day 
period in an amount equal to the debt service attributable to 
such an unoccupied dwelling unit for a period not to exceed one 
year, if a good faith effort is being made to fill the unit and 
the unit provides decent, safe, and sanitary housing. No such 
payment may be made after such sixty-day period if the 
Secretary determines that the dwelling unit is in a project 
which provides the owner with revenues exceeding the costs 
incurred by such owner with respect to such project.
  (5) The Secretary shall take such steps as may be necessary, 
including the making of contracts for assistance payments in 
amounts in excess of the amounts required at the time of the 
initial renting of dwelling units, the reservation of annual 
contributions authority for the purpose of amending housing 
assistance contracts, or the allocation of a portion of new 
authorizations for the purpose of amending housing assistance 
contracts, to assure that assistance payments are increased on 
a timely basis to cover increases in maximum monthly rents or 
decreases in family incomes.
  (8)(A) Not less than one year before termination of any 
contract under which assistance payments are received under 
this section, other than a contract for tenant-based assistance 
under this section, an owner shall provide written notice to 
the Secretary and the tenants involved of the proposed 
termination. The notice shall also include a statement that, if 
the Congress makes funds available, the owner and the Secretary 
may agree to a renewal of the contract, thus avoiding 
termination, and that in the event of termination the 
Department of Housing and Urban Development will provide 
tenant-based rental assistance to all eligible residents, 
enabling them to choose the place they wish to rent, which is 
likely to include the dwelling unit in which they currently 
reside. Any contract covered by this paragraph that is renewed 
may be renewed for a period of up to 1 year or any number or 
years, with payments subject to the availability of 
appropriations for any year.
  (B) In the event the owner does not provide the notice 
required, the owner may not evict the tenants or increase the 
tenants' rent payment until such time as the owner has provided 
the notice and 1 year has elapsed. The Secretary may allow the 
owner to renew the terminating contract for a period of time 
sufficient to give tenants 1 year of advance notice under such 
terms and conditions as the Secretary may require.
  (C) Any notice under this paragraph shall also comply with 
any additional requirements established by the Secretary.
  (D) For purposes of this paragraph, the term ``termination'' 
means the expiration of the assistance contract or an owner's 
refusal to renew the assistance contract, and such term shall 
include termination of the contract for business reasons.
  (d)(1) Contracts to make assistance payments entered into by 
a public housing agency with an owner of existing housing units 
shall provide (with respect to any unit) that--
          (A) the selection of tenants shall be the function of 
        the owner, subject to the annual contributions contract 
        between the Secretary and the agency, except that with 
        respect to the certificate and moderate rehabilitation 
        programs only, for the purpose of selecting families to 
        be assisted, the public housing agency may establish 
        local preferences, consistent with the public housing 
        agency plan submitted under section 5A (42 U.S.C. 
        1437c-1) by the public housing agency;
          (B)(i) the lease between the tenant and the owner 
        shall be for at least one year or the term of such 
        contract, whichever is shorter, and shall contain other 
        terms and conditions specified by the Secretary;
          (ii) during the term of the lease, the owner shall 
        not terminate the tenancy except for serious or 
        repeated violation of the terms and conditions of the 
        lease, for violation of applicable Federal, State, or 
        local law, or for other good cause;
          (iii) during the term of the lease, any criminal 
        activity that threatens the health, safety, or right to 
        peaceful enjoyment of the premises by other tenants, 
        any criminal activity that threatens the health, 
        safety, or right to peaceful enjoyment of their 
        residences by persons residing in the immediate 
        vicinity of the premises, or any drug-related criminal 
        activity on or near such premises, engaged in by a 
        tenant of any unit, any member of the tenant's 
        household, or any guest or other person under the 
        tenant's control, shall be cause for termination of 
        tenancy;
          (iv) any termination of tenancy shall be preceded by 
        the owner's provision of written notice to the tenant 
        specifying the grounds for such action; and
                  (v) it shall be cause for termination of the 
                tenancy of a tenant if such tenant--
                          (I) is fleeing to avoid prosecution, 
                        or custody or confinement after 
                        conviction, under the laws of the place 
                        from which the individual flees, for a 
                        crime, or attempt to commit a crime, 
                        which is a felony under the laws of the 
                        place from which the individual flees, 
                        or which, in the case of the State of 
                        New Jersey, is a high misdemeanor under 
                        the laws of such State; or
                          (II) is violating a condition of 
                        probation or parole imposed under 
                        Federal or State law;
          (C) maintenance and replacement (including 
        redecoration) shall be in accordance with the standard 
        practice for the building concerned as established by 
        the owner and agreed to by the agency; and
          (D) the agency and the owner shall carry out such 
        other appropriate terms and conditions as may be 
        mutually agreed to by them.
  (2)(A) Each contract for an existing structure entered into 
under this section shall be for a term of not less than one 
month nor more than one hundred and eighty months. The 
Secretary shall permit public housing agencies to enter into 
contracts for assistance payments of less than 12 months 
duration in order to avoid disruption in assistance to eligible 
families if the annual contributions contract is within 1 year 
of its expiration date.
  (B)(i) In determining the amount of assistance provided under 
an assistance contract for project-based assistance under this 
paragraph or a contract for assistance for housing constructed 
or substantially rehabilitated pursuant to assistance provided 
under section 8(b)(2) of this Act (as such section existed 
immediately before October 1, 1983), the Secretary may consider 
and annually adjust, with respect to such project, for the cost 
of employing or otherwise retaining the services of one or more 
service coordinators under section 661 of the Housing and 
Community Development Act of 1992 to coordinate the provision 
of any services within the project for residents of the project 
who are elderly or disabled families.
  (ii) The budget authority available under section 5(c) for 
assistance under this section is authorized to be increased by 
$15,000,000 on or after October 1, 1992, and by $15,000,000 on 
or after October 1, 1993. Amounts made available under this 
subparagraph shall be used to provide additional amounts under 
annual contributions contracts for assistance under this 
section which shall be made available through assistance 
contracts only for the purpose of providing service 
coordinators under clause (i) for projects receiving project-
based assistance under this paragraph and to provide additional 
amounts under contracts for assistance for projects constructed 
or substantially rehabilitated pursuant to assistance provided 
under section 8(b)(2) of this Act (as such section existed 
immediately before October 1, 1983) only for such purpose.
          (C) An assistance contract for project-based 
        assistance under this paragraph shall provide that the 
        owner shall ensure and maintain compliance with 
        subtitle C of title VI of the Housing and Community 
        Development Act of 1992 and any regulations issued 
        under such subtitle.
          (D) An owner of a covered section 8 housing project 
        (as such term is defined in section 659 of the Housing 
        and Community Development Act of 1992) may give 
        preference for occupancy of dwelling units in the 
        project, and reserve units for occupancy, in accordance 
        with subtitle D of title VI of the Housing and 
        Community Development Act of 1992.
  (3) Notwithstanding any other provision of law, with the 
approval of the Secretary the public housing agency 
administering a contract under this section with respect to 
existing housing units may exercise all management and 
maintenance responsibilities with respect to those units 
pursuant to a contract between such agency and the owner of 
such units.
  (4) A public housing agency that serves more than one unit of 
general local government may, at the discretion of the agency, 
in allocating assistance under this section, give priority to 
disabled families that are not elderly families.
          (5) Calculation of limit.--Any contract entered into 
        under section 514 of the Multifamily Assisted Housing 
        Reform and Affordability Act of 1997 shall be excluded 
        in computing the limit on project-based assistance 
        under this subsection.
  (6) Treatment of common areas.--The Secretary may not provide 
any assistance amounts pursuant to an existing contract for 
project-based assistance under this section for a housing 
project and may not enter into a new or renewal contract for 
such assistance for a project unless the owner of the project 
provides consent, to such local law enforcement agencies as the 
Secretary determines appropriate, for law enforcement officers 
of such agencies to enter common areas of the project at any 
time and without advance notice upon a determination of 
probable cause by such officers that criminal activity is 
taking place in such areas.
  (e)(1) Nothing in this Act shall be deemed to prohibit an 
owner from pledging, or offering as security for any loan or 
obligation, a contract for assistance payments entered into 
pursuant to this section: Provided, That such security is in 
connection with a project constructed or rehabilitated pursuant 
to authority granted in this section, and the terms of the 
financing or any refinancing have been approved by the 
Secretary.
  [(2)]
  (f) As used in this section--
          (1) the term ``owner'' means any private person or 
        entity, including a cooperative, an agency of the 
        Federal Government, or a public housing agency, having 
        the legal right to lease or sublease dwelling units;
          (2) the terms ``rent'' or ``rental'' mean, with 
        respect to members of a cooperative, the charges under 
        the occupancy agreements between such members and the 
        cooperative;
          (3) the term ``debt service'' means the required 
        payments for principal and interest made with respect 
        to a mortgage secured by housing assisted under this 
        Act;
          (4) the term ``participating jurisdiction'' means a 
        State or unit of general local government designated by 
        the Secretary to be a participating jurisdiction under 
        title II of the Cranston-Gonzalez National Affordable 
        Housing Act;
          (5) the term ``drug-related criminal activity'' means 
        the illegal manufacture, sale, distribution, use, or 
        possession with intent to manufacture, sell, 
        distribute, or use, of a controlled substance (as 
        defined in section 102 of the Controlled Substances Act 
        (21 U.S.C. 802));
          (6) the term ``project-based assistance'' means 
        rental assistance under subsection (b) that is attached 
        to the structure pursuant to subsection (d)(2) or 
        (o)(13); and
          (7) the term ``tenant-based assistance'' means rental 
        assistance under subsection (o) that is not project-
        based assistance and that provides for the eligible 
        family to select suitable housing and to move to other 
        suitable housing.
  (g) Notwithstanding any other provision of this Act, 
assistance payments under this section may be provided, in 
accordance with regulations prescribed by the Secretary, with 
respect to some or all of the units in any project approved 
pursuant to section 202 of the Housing Act of 1959.
  (h) Sections 5(e) and 6 and any other provisions of this Act 
which are inconsistent with the provisions of this section 
shall not apply to contracts for assistance entered into under 
this section.
  (i) The Secretary may not consider the receipt by a public 
housing agency of assistance under section 811(b)(1) of the 
Cranston-Gonzalez National Affordable Housing Act, or the 
amount received, in approving assistance for the agency under 
this section or determining the amount of such assistance to be 
provided.
  [(j)]
  (k) The Secretary shall establish procedures which are 
appropriate and necessary to assure that income data provided 
to public housing agencies and owners by families applying for 
or receiving assistance under this section is complete and 
accurate. In establishing such procedures, the Secretary shall 
randomly, regularly, and periodically select a sample of 
families to authorize the Secretary to obtain information on 
these families for the purpose of income verification, or to 
allow those families to provide such information themselves. 
Such information may include, but is not limited to, data 
concerning unemployment compensation and Federal income 
taxation and data relating to benefits made available under the 
Social Security Act, the Food and Nutrition Act of 2008, or 
title 38, United States Code. Any such information received 
pursuant to this subsection shall remain confidential and shall 
be used only for the purpose of verifying incomes in order to 
determine eligibility of families for benefits (and the amount 
of such benefits, if any) under this section.
  (o) Voucher Program.--
          (1) Authority.--
                  (A) In general.--The Secretary may provide 
                assistance to public housing agencies for 
                tenant-based assistance using a payment 
                standard established in accordance with 
                subparagraph (B). The payment standard shall be 
                used to determine the monthly assistance that 
                may be paid for any family, as provided in 
                paragraph (2).
                  (B) Establishment of payment standard.--
                Except as provided under subparagraph (D), the 
                payment standard for each size of dwelling unit 
                in a market area shall not exceed 110 percent 
                of the fair market rental established under 
                subsection (c) for the same size of dwelling 
                unit in the same market area and shall be not 
                less than 90 percent of that fair market 
                rental, except that no public housing agency 
                shall be required as a result of a reduction in 
                the fair market rental to reduce the payment 
                standard applied to a family continuing to 
                reside in a unit for which the family was 
                receiving assistance under this section at the 
                time the fair market rental was reduced. The 
                Secretary shall allow public housing agencies 
                to request exception payment standards within 
                fair market rental areas subject to criteria 
                and procedures established by the Secretary.
                  (C) Set-aside.--The Secretary may set aside 
                not more than 5 percent of the budget authority 
                made available for assistance under this 
                subsection as an adjustment pool. The Secretary 
                shall use amounts in the adjustment pool to 
                make adjusted payments to public housing 
                agencies under subparagraph (A), to ensure 
                continued affordability, if the Secretary 
                determines that additional assistance for such 
                purpose is necessary, based on documentation 
                submitted by a public housing agency.
                  (D) Approval.--The Secretary may require a 
                public housing agency to submit the payment 
                standard of the public housing agency to the 
                Secretary for approval, if the payment standard 
                is less than 90 percent of the fair market 
                rental or exceeds 110 percent of the fair 
                market rental, except that a public housing 
                agency may establish a payment standard of not 
                more than 120 percent of the fair market rent 
                where necessary as a reasonable accommodation 
                for a person with a disability, without 
                approval of the Secretary. A public housing 
                agency may use a payment standard that is 
                greater than 120 percent of the fair market 
                rent as a reasonable accommodation for a person 
                with a disability, but only with the approval 
                of the Secretary. In connection with the use of 
                any increased payment standard established or 
                approved pursuant to either of the preceding 
                two sentences as a reasonable accommodation for 
                a person with a disability, the Secretary may 
                not establish additional requirements regarding 
                the amount of adjusted income paid by such 
                person for rent.
                  (E) Review.--The Secretary--
                          (i) shall monitor rent burdens and 
                        review any payment standard that 
                        results in a significant percentage of 
                        the families occupying units of any 
                        size paying more than 30 percent of 
                        adjusted income for rent; and
                          (ii) may require a public housing 
                        agency to modify the payment standard 
                        of the public housing agency based on 
                        the results of that review.
          (2) Amount of monthly assistance payment.--Subject to 
        the requirement under section 3(a)(3) (relating to 
        minimum rental amount), the monthly assistance payment 
        for a family receiving assistance under this subsection 
        shall be determined as follows:
                  (A) Tenant-based assistance; rent not 
                exceeding payment standard.--For a family 
                receiving tenant-based assistance, if the rent 
                for the family (including the amount allowed 
                for tenant-paid utilities) does not exceed the 
                applicable payment standard established under 
                paragraph (1), the monthly assistance payment 
                for the family shall be equal to the amount by 
                which the rent (including the amount allowed 
                for tenant-paid utilities) exceeds the greatest 
                of the following amounts, rounded to the 
                nearest dollar:
                          (i) 30 percent of the monthly 
                        adjusted income of the family.
                          (ii) 10 percent of the monthly income 
                        of the family.
                          (iii) If the family is receiving 
                        payments for welfare assistance from a 
                        public agency and a part of those 
                        payments, adjusted in accordance with 
                        the actual housing costs of the family, 
                        is specifically designated by that 
                        agency to meet the housing costs of the 
                        family, the portion of those payments 
                        that is so designated.
                  (B) Tenant-based assistance; rent exceeding 
                payment standard.--For a family receiving 
                tenant-based assistance, if the rent for the 
                family (including the amount allowed for 
                tenant-paid utilities) exceeds the applicable 
                payment standard established under paragraph 
                (1), the monthly assistance payment for the 
                family shall be equal to the amount by which 
                the applicable payment standard exceeds the 
                greatest of amounts under clauses (i), (ii), 
                and (iii) of subparagraph (A).
                  (C) Families receiving project-based 
                assistance.--For a family receiving project-
                based assistance, the rent that the family is 
                required to pay shall be determined in 
                accordance with section 3(a)(1), and the amount 
                of the housing assistance payment shall be 
                determined in accordance with subsection (c)(3) 
                of this section.
                  (D) Utility allowance.--
                          (i) General.--In determining the 
                        monthly assistance payment for a family 
                        under subparagraphs (A) and (B), the 
                        amount allowed for tenant-paid 
                        utilities shall not exceed the 
                        appropriate utility allowance for the 
                        family unit size as determined by the 
                        public housing agency regardless of the 
                        size of the dwelling unit leased by the 
                        family.
                          (ii) Exception for families in 
                        including persons with disabilities.--
                        Notwithstanding subparagraph (A), upon 
                        request by a family that includes a 
                        person with disabilities, the public 
                        housing agency shall approve a utility 
                        allowance that is higher than the 
                        applicable amount on the utility 
                        allowance schedule if a higher utility 
                        allowance is needed as a reasonable 
                        accommodation to make the program 
                        accessible to and usable by the family 
                        member with a disability.
          (3)  40 percent limit.--At the time a family 
        initially receives tenant-based assistance under this 
        section with respect to any dwelling unit, the total 
        amount that a family may be required to pay for rent 
        may not exceed 40 percent of the monthly adjusted 
        income of the family.
          (4) Eligible families.--To be eligible to receive 
        assistance under this subsection, a family shall, at 
        the time a family initially receives assistance under 
        this subsection, be a low-income family that is--
                  (A) a very low-income family;
                  (B) a family previously assisted under this 
                title;
                  (C) a low-income family that meets 
                eligibility criteria specified by the public 
                housing agency;
                  (D) a family that qualifies to receive a 
                voucher in connection with a homeownership 
                program approved under title IV of the 
                Cranston-Gonzalez National Affordable Housing 
                Act; or
                  (E) a family that qualifies to receive a 
                voucher under section 223 or 226 of the Low-
                Income Housing Preservation and Resident 
                Homeownership Act of 1990.
          (5) Reviews of family income.--
                  (A) In general.--Reviews of family incomes 
                for purposes of this section shall be subject 
                to paragraphs (1), (6), and (7) of section 3(a) 
                and to section 904 of the Stewart B. McKinney 
                Homeless Assistance Amendments Act of 1988.
                  (B) Procedures.--Each public housing agency 
                administering assistance under this subsection 
                shall establish procedures that are appropriate 
                and necessary to ensure that income data 
                provided to the agency and owners by families 
                applying for or receiving assistance from the 
                agency is complete and accurate.
          (6) Selection of families and disapproval of 
        owners.--
                  (A) Preferences.--
                          (i) Authority to establish.--Each 
                        public housing agency may establish a 
                        system for making tenant-based 
                        assistance under this subsection 
                        available on behalf of eligible 
                        families that provides preference for 
                        such assistance to eligible families 
                        having certain characteristics, which 
                        may include a preference for families 
                        residing in public housing who are 
                        victims of a crime of violence (as such 
                        term is defined in section 16 of title 
                        18, United States Code) that has been 
                        reported to an appropriate law 
                        enforcement agency.
                          (ii) Content.--Each system of 
                        preferences established pursuant to 
                        this subparagraph shall be based upon 
                        local housing needs and priorities, as 
                        determined by the public housing agency 
                        using generally accepted data sources, 
                        including any information obtained 
                        pursuant to an opportunity for public 
                        comment as provided under section 5A(f) 
                        and under the requirements applicable 
                        to the comprehensive housing 
                        affordability strategy for the relevant 
                        jurisdiction.
                  (B) Selection of tenants.--Each housing 
                assistance payment contract entered into by the 
                public housing agency and the owner of a 
                dwelling unit) shall provide that the screening 
                and selection of families for those units shall 
                be the function of the owner. In addition, the 
                public housing agency may elect to screen 
                applicants for the program in accordance with 
                such requirements as the Secretary may 
                establish.
                  (C) PHA disapproval of owners.--In addition 
                to other grounds authorized by the Secretary, a 
                public housing agency may elect not to enter 
                into a housing assistance payments contract 
                under this subsection with an owner who 
                refuses, or has a history of refusing, to take 
                action to terminate tenancy for activity 
                engaged in by the tenant, any member of the 
                tenant's household, any guest, or any other 
                person under the control of any member of the 
                household that--
                          (i) threatens the health or safety 
                        of, or right to peaceful enjoyment of 
                        the premises by, other tenants or 
                        employees of the public housing agency, 
                        owner, or other manager of the housing;
                          (ii) threatens the health or safety 
                        of, or right to peaceful enjoyment of 
                        the residences by, persons residing in 
                        the immediate vicinity of the premises; 
                        or
                          (iii) is drug-related or violent 
                        criminal activity.
          (7) Leases and tenancy.--Each housing assistance 
        payment contract entered into by the public housing 
        agency and the owner of a dwelling unit--
                  (A) shall provide that the lease between the 
                tenant and the owner shall be for a term of not 
                less than 1 year, except that the public 
                housing agency may approve a shorter term for 
                an initial lease between the tenant and the 
                dwelling unit owner if the public housing 
                agency determines that such shorter term would 
                improve housing opportunities for the tenant 
                and if such shorter term is considered to be a 
                prevailing local market practice;
                  (B) shall provide that the dwelling unit 
                owner shall offer leases to tenants assisted 
                under this subsection that--
                          (i) are in a standard form used in 
                        the locality by the dwelling unit 
                        owner; and
                          (ii) contain terms and conditions 
                        that--
                                  (I) are consistent with State 
                                and local law; and
                                  (II) apply generally to 
                                tenants in the property who are 
                                not assisted under this 
                                section;
                  (C) shall provide that during the term of the 
                lease, the owner shall not terminate the 
                tenancy except for serious or repeated 
                violation of the terms and conditions of the 
                lease, for violation of applicable Federal, 
                State, or local law, or for other good cause,;
                          (ii) has provided the tenant a notice 
                        to vacate at least 90 days before the 
                        effective date of such notice.
                  (D) shall provide that during the term of the 
                lease, any criminal activity that threatens the 
                health, safety, or right to peaceful enjoyment 
                of the premises by other tenants, any criminal 
                activity that threatens the health, safety, or 
                right to peaceful enjoyment of their residences 
                by persons residing in the immediate vicinity 
                of the premises, or any violent or drug-related 
                criminal activity on or near such premises, 
                engaged in by a tenant of any unit, any member 
                of the tenant's household, or any guest or 
                other person under the tenant's control, shall 
                be cause for termination of tenancy;
                  (E) shall provide that any termination of 
                tenancy under this subsection shall be preceded 
                by the provision of written notice by the owner 
                to the tenant specifying the grounds for that 
                action, and any relief shall be consistent with 
                applicable State and local law; and
                  (F) may include any addenda required by the 
                Secretary to set forth the provisions of this 
                subsection.
          (8) Inspection of units by pha's.--
                  (A) Initial inspection.--
                          (i) In general.--For each dwelling 
                        unit for which a housing assistance 
                        payment contract is established under 
                        this subsection, the public housing 
                        agency (or other entity pursuant to 
                        paragraph (11)) shall inspect the unit 
                        before any assistance payment is made 
                        to determine whether the dwelling unit 
                        meets the housing quality standards 
                        under subparagraph (B), except as 
                        provided in clause (ii) or (iii) of 
                        this subparagraph.
                          (ii) Correction of non-life-
                        threatening conditions.--In the case of 
                        any dwelling unit that is determined, 
                        pursuant to an inspection under clause 
                        (i), not to meet the housing quality 
                        standards under subparagraph (B), 
                        assistance payments may be made for the 
                        unit notwithstanding subparagraph (C) 
                        if failure to meet such standards is a 
                        result only of non-life-threatening 
                        conditions, as such conditions are 
                        established by the Secretary. A public 
                        housing agency making assistance 
                        payments pursuant to this clause for a 
                        dwelling unit shall, 30 days after the 
                        beginning of the period for which such 
                        payments are made, withhold any 
                        assistance payments for the unit if any 
                        deficiency resulting in noncompliance 
                        with the housing quality standards has 
                        not been corrected by such time. The 
                        public housing agency shall recommence 
                        assistance payments when such 
                        deficiency has been corrected, and may 
                        use any payments withheld to make 
                        assistance payments relating to the 
                        period during which payments were 
                        withheld.
                          (iii) Use of alternative inspection 
                        method for interim period.--In the case 
                        of any property that within the 
                        previous 24 months has met the 
                        requirements of an inspection that 
                        qualifies as an alternative inspection 
                        method pursuant to subparagraph (E), a 
                        public housing agency may authorize 
                        occupancy before the inspection under 
                        clause (i) has been completed, and may 
                        make assistance payments retroactive to 
                        the beginning of the lease term after 
                        the unit has been determined pursuant 
                        to an inspection under clause (i) to 
                        meet the housing quality standards 
                        under subparagraph (B). This clause may 
                        not be construed to exempt any dwelling 
                        unit from compliance with the 
                        requirements of subparagraph (D).
                  (B) Housing quality standards.--The housing 
                quality standards under this subparagraph are 
                standards for safe and habitable housing 
                established--
                          (i) by the Secretary for purposes of 
                        this subsection; or
                          (ii) by local housing codes or by 
                        codes adopted by public housing 
                        agencies that--
                                  (I) meet or exceed housing 
                                quality standards, except that 
                                the Secretary may waive the 
                                requirement under this 
                                subclause to significantly 
                                increase access to affordable 
                                housing and to expand housing 
                                opportunities for families 
                                assisted under this subsection, 
                                except where such waiver could 
                                adversely affect the health or 
                                safety of families assisted 
                                under this subsection; and
                                  (II) do not severely restrict 
                                housing choice
                  (C) Inspection.--The determination required 
                under subparagraph (A) shall be made by the 
                public housing agency (or other entity, as 
                provided in paragraph (11)) pursuant to an 
                inspection of the dwelling unit conducted 
                before any assistance payment is made for the 
                unit. Inspections of dwelling units under this 
                subparagraph shall be made before the 
                expiration of the 15-day period beginning upon 
                a request by the resident or landlord to the 
                public housing agency or, in the case of any 
                public housing agency that provides assistance 
                under this subsection on behalf of more than 
                1250 families, before the expiration of a 
                reasonable period beginning upon such request. 
                The performance of the agency in meeting the 
                15-day inspection deadline shall be taken into 
                consideration in assessing the performance of 
                the agency.
                  (D) Biennial inspections.--
                          (i) Requirement.--Each public housing 
                        agency providing assistance under this 
                        subsection (or other entity, as 
                        provided in paragraph (11)) shall, for 
                        each assisted dwelling unit, make 
                        inspections not less often than 
                        biennially during the term of the 
                        housing assistance payments contract 
                        for the unit to determine whether the 
                        unit is maintained in accordance with 
                        the requirements under subparagraph 
                        (A).
                          (ii) Use of alternative inspection 
                        method.--The requirements under clause 
                        (i) may be complied with by use of 
                        inspections that qualify as an 
                        alternative inspection method pursuant 
                        to subparagraph (E).
                          (iii) Records.--The public housing 
                        agency (or other entity) shall retain 
                        the records of the inspection for a 
                        reasonable time, as determined by the 
                        Secretary, and shall make the records 
                        available upon request to the 
                        Secretary, the Inspector General for 
                        the Department of Housing and Urban 
                        Development, and any auditor conducting 
                        an audit under section 5(h).
                          (iv) Mixed-finance properties.--The 
                        Secretary may adjust the frequency of 
                        inspections for mixed-finance 
                        properties assisted with vouchers under 
                        paragraph (13) to facilitate the use of 
                        the alternative inspections in 
                        subparagraph (E).
                  (E) Alternative inspection method.--An 
                inspection of a property shall qualify as an 
                alternative inspection method for purposes of 
                this subparagraph if--
                          (i) the inspection was conducted 
                        pursuant to requirements under a 
                        Federal, State, or local housing 
                        program (including the Home investment 
                        partnership program under title II of 
                        the Cranston-Gonzalez National 
                        Affordable Housing Act and the low-
                        income housing tax credit program under 
                        section 42 of the Internal Revenue Code 
                        of 1986); and
                          (ii) pursuant to such inspection, the 
                        property was determined to meet the 
                        standards or requirements regarding 
                        housing quality or safety applicable to 
                        properties assisted under such program, 
                        and, if a non-Federal standard or 
                        requirement was used, the public 
                        housing agency has certified to the 
                        Secretary that such standard or 
                        requirement provides the same (or 
                        greater) protection to occupants of 
                        dwelling units meeting such standard or 
                        requirement as would the housing 
                        quality standards under subparagraph 
                        (B).
                  (F) Interim inspections.--Upon notification 
                to the public housing agency, by a family (on 
                whose behalf tenant-based rental assistance is 
                provided under this subsection) or by a 
                government official, that the dwelling unit for 
                which such assistance is provided does not 
                comply with the housing quality standards under 
                subparagraph (B), the public housing agency 
                shall inspect the dwelling unit--
                          (i) in the case of any condition that 
                        is life-threatening, within 24 hours 
                        after the agency's receipt of such 
                        notification, unless waived by the 
                        Secretary in extraordinary 
                        circumstances; and
                          (ii) in the case of any condition 
                        that is not life-threatening, within a 
                        reasonable time frame, as determined by 
                        the Secretary.
                  (G) Enforcement of housing quality 
                standards.--
                          (i) Determination of noncompliance.--
                        A dwelling unit that is covered by a 
                        housing assistance payments contract 
                        under this subsection shall be 
                        considered, for purposes of 
                        subparagraphs (D) and (F), to be in 
                        noncompliance with the housing quality 
                        standards under subparagraph (B) if--
                                  (I) the public housing agency 
                                or an inspector authorized by 
                                the State or unit of local 
                                government determines upon 
                                inspection of the unit that the 
                                unit fails to comply with such 
                                standards;
                                  (II) the agency or inspector 
                                notifies the owner of the unit 
                                in writing of such failure to 
                                comply; and
                                  (III) the failure to comply 
                                is not corrected--
                                          (aa) in the case of 
                                        any such failure that 
                                        is a result of life-
                                        threatening conditions, 
                                        within 24 hours after 
                                        such notice has been 
                                        provided; and
                                          (bb) in the case of 
                                        any such failure that 
                                        is a result of non-
                                        life-threatening 
                                        conditions, within 30 
                                        days after such notice 
                                        has been provided or 
                                        such other reasonable 
                                        longer period as the 
                                        public housing agency 
                                        may establish.
                          (ii) Withholding of assistance 
                        amounts during correction.--The public 
                        housing agency may withhold assistance 
                        amounts under this subsection with 
                        respect to a dwelling unit for which a 
                        notice pursuant to clause (i)(II), of 
                        failure to comply with housing quality 
                        standards under subparagraph (B) as 
                        determined pursuant to an inspection 
                        conducted under subparagraph (D) or 
                        (F), has been provided. If the unit is 
                        brought into compliance with such 
                        housing quality standards during the 
                        periods referred to in clause (i)(III), 
                        the public housing agency shall 
                        recommence assistance payments and may 
                        use any amounts withheld during the 
                        correction period to make assistance 
                        payments relating to the period during 
                        which payments were withheld.
                          (iii) Abatement of assistance 
                        amounts.--The public housing agency 
                        shall abate all of the assistance 
                        amounts under this subsection with 
                        respect to a dwelling unit that is 
                        determined, pursuant to clause (i) of 
                        this subparagraph, to be in 
                        noncompliance with housing quality 
                        standards under subparagraph (B). Upon 
                        completion of repairs by the public 
                        housing agency or the owner sufficient 
                        so that the dwelling unit complies with 
                        such housing quality standards, the 
                        agency shall recommence payments under 
                        the housing assistance payments 
                        contract to the owner of the dwelling 
                        unit.
                          (iv) Notification.--If a public 
                        housing agency providing assistance 
                        under this subsection abates rental 
                        assistance payments pursuant to clause 
                        (iii) with respect to a dwelling unit, 
                        the agency shall, upon commencement of 
                        such abatement--
                                  (I) notify the tenant and the 
                                owner of the dwelling unit 
                                that--
                                          (aa) such abatement 
                                        has commenced; and
                                          (bb) if the dwelling 
                                        unit is not brought 
                                        into compliance with 
                                        housing quality 
                                        standards within 60 
                                        days after the 
                                        effective date of the 
                                        determination of 
                                        noncompliance under 
                                        clause (i) or such 
                                        reasonable longer 
                                        period as the agency 
                                        may establish, the 
                                        tenant will have to 
                                        move; and
                                  (II) issue the tenant the 
                                necessary forms to allow the 
                                tenant to move to another 
                                dwelling unit and transfer the 
                                rental assistance to that unit.
                          (v) Protection of tenants.--An owner 
                        of a dwelling unit may not terminate 
                        the tenancy of any tenant because of 
                        the withholding or abatement of 
                        assistance pursuant to this 
                        subparagraph. During the period that 
                        assistance is abated pursuant to this 
                        subparagraph, the tenant may terminate 
                        the tenancy by notifying the owner.
                          (vi) Termination of lease or 
                        assistance payments contract.--If 
                        assistance amounts under this section 
                        for a dwelling unit are abated pursuant 
                        to clause (iii) and the owner does not 
                        correct the noncompliance within 60 
                        days after the effective date of the 
                        determination of noncompliance under 
                        clause (i), or such other reasonable 
                        longer period as the public housing 
                        agency may establish, the agency shall 
                        terminate the housing assistance 
                        payments contract for the dwelling 
                        unit.
                          (vii) Relocation.--
                                  (I) Lease of new unit.--The 
                                agency shall provide the family 
                                residing in such a dwelling 
                                unit a period of 90 days or 
                                such longer period as the 
                                public housing agency 
                                determines is reasonably 
                                necessary to lease a new unit, 
                                beginning upon termination of 
                                the contract, to lease a new 
                                residence with tenant-based 
                                rental assistance under this 
                                section.
                                  (II) Availability of public 
                                housing units.--If the family 
                                is unable to lease such a new 
                                residence during such period, 
                                the public housing agency 
                                shall, at the option of the 
                                family, provide such family a 
                                preference for occupancy in a 
                                dwelling unit of public housing 
                                that is owned or operated by 
                                the agency that first becomes 
                                available for occupancy after 
                                the expiration of such period.
                                  (III) Assistance in finding 
                                unit.--The public housing 
                                agency may provide assistance 
                                to the family in finding a new 
                                residence, including use of up 
                                to two months of any assistance 
                                amounts withheld or abated 
                                pursuant to clause (ii) or 
                                (iii), respectively, for costs 
                                directly associated with 
                                relocation of the family to a 
                                new residence, which shall 
                                include security deposits as 
                                necessary and may include 
                                reimbursements for reasonable 
                                moving expenses incurred by the 
                                household, as established by 
                                the Secretary. The agency may 
                                require that a family receiving 
                                assistance for a security 
                                deposit shall remit, to the 
                                extent of such assistance, the 
                                amount of any security deposit 
                                refunds made by the owner of 
                                the dwelling unit for which the 
                                lease was terminated.
                          (viii) Tenant-caused damages.--If a 
                        public housing agency determines that 
                        any damage to a dwelling unit that 
                        results in a failure of the dwelling 
                        unit to comply with housing quality 
                        standards under subparagraph (B), other 
                        than any damage resulting from ordinary 
                        use, was caused by the tenant, any 
                        member of the tenant's household, or 
                        any guest or other person under the 
                        tenant's control, the agency may waive 
                        the applicability of this subparagraph, 
                        except that this clause shall not 
                        exonerate a tenant from any liability 
                        otherwise existing under applicable law 
                        for damages to the premises caused by 
                        such tenant.
                          (ix) Applicability.--This 
                        subparagraph shall apply to any 
                        dwelling unit for which a housing 
                        assistance payments contract is entered 
                        into or renewed after the date of the 
                        effectiveness of the regulations 
                        implementing this subparagraph.
                  (H) Inspection guidelines.--The Secretary 
                shall establish procedural guidelines and 
                performance standards to facilitate inspections 
                of dwelling units and conform such inspections 
                with practices utilized in the private housing 
                market. Such guidelines and standards shall 
                take into consideration variations in local 
                laws and practices of public housing agencies 
                and shall provide flexibility to authorities 
                appropriate to facilitate efficient provision 
                of assistance under this subsection.
          (9) Vacated units.--If an assisted family vacates a 
        dwelling unit for which rental assistance is provided 
        under a housing assistance payment contract before the 
        expiration of the term of the lease for the unit, 
        rental assistance pursuant to such contract may not be 
        provided for the unit after the month during which the 
        unit was vacated.
          (10) Rent.--
                  (A) Reasonableness.--The rent for dwelling 
                units for which a housing assistance payment 
                contract is established under this subsection 
                shall be reasonable in comparison with rents 
                charged for comparable dwelling units in the 
                private, unassisted local market.
                  (B) Negotiations.--A public housing agency 
                (or other entity, as provided in paragraph 
                (11)) shall, at the request of a family 
                receiving tenant-based assistance under this 
                subsection, assist that family in negotiating a 
                reasonable rent with a dwelling unit owner. A 
                public housing agency (or such other entity) 
                shall review the rent for a unit under 
                consideration by the family (and all rent 
                increases for units under lease by the family) 
                to determine whether the rent (or rent 
                increase) requested by the owner is reasonable. 
                If a public housing agency (or other such 
                entity) determines that the rent (or rent 
                increase) for a dwelling unit is not 
                reasonable, the public housing agency (or other 
                such entity) shall not make housing assistance 
                payments to the owner under this subsection 
                with respect to that unit.
                  (C) Units exempt from local rent control.--If 
                a dwelling unit for which a housing assistance 
                payment contract is established under this 
                subsection is exempt from local rent control 
                provisions during the term of that contract, 
                the rent for that unit shall be reasonable in 
                comparison with other units in the market area 
                that are exempt from local rent control 
                provisions.
                  (D) Timely payments.--Each public housing 
                agency shall make timely payment of any amounts 
                due to a dwelling unit owner under this 
                subsection. The housing assistance payment 
                contract between the owner and the public 
                housing agency may provide for penalties for 
                the late payment of amounts due under the 
                contract, which shall be imposed on the public 
                housing agency in accordance with generally 
                accepted practices in the local housing market.
                  (E) Penalties.--Unless otherwise authorized 
                by the Secretary, each public housing agency 
                shall pay any penalties from administrative 
                fees collected by the public housing agency, 
                except that no penalty shall be imposed if the 
                late payment is due to factors that the 
                Secretary determines are beyond the control of 
                the public housing agency.
                  (F) Tax credit projects.--In the case of a 
                dwelling unit receiving tax credits pursuant to 
                section 42 of the Internal Revenue Code of 1986 
                or for which assistance is provided under 
                subtitle A of title II of the Cranston Gonzalez 
                National Affordable Housing Act of 1990, for 
                which a housing assistance contract not subject 
                to paragraph (13) of this subsection is 
                established, rent reasonableness shall be 
                determined as otherwise provided by this 
                paragraph, except that--
                          (i) comparison with rent for units in 
                        the private, unassisted local market 
                        shall not be required if the rent is 
                        equal to or less than the rent for 
                        other comparable units receiving such 
                        tax credits or assistance in the 
                        project that are not occupied by 
                        families assisted with tenant-based 
                        assistance under this subsection; and
                          (ii) the rent shall not be considered 
                        reasonable for purposes of this 
                        paragraph if it exceeds the greater 
                        of--
                                  (I) the rents charged for 
                                other comparable units 
                                receiving such tax credits or 
                                assistance in the project that 
                                are not occupied by families 
                                assisted with tenant-based 
                                assistance under this 
                                subsection; and
                                  (II) the payment standard 
                                established by the public 
                                housing agency for a unit of 
                                the size involved.
          (11) Leasing of units owned by pha.--
                  (A) Inspections and rent determinations.--If 
                an eligible family assisted under this 
                subsection leases a dwelling unit (other than a 
                public housing dwelling unit) that is owned by 
                a public housing agency administering 
                assistance under this subsection, the Secretary 
                shall require the unit of general local 
                government or another entity approved by the 
                Secretary, to make inspections required under 
                paragraph (8) and rent determinations required 
                under paragraph (10). The agency shall be 
                responsible for any expenses of such 
                inspections and determinations.
                  (B) Units owned by pha.--For purposes of this 
                subsection, the term ``owned by a public 
                housing agency'' means, with respect to a 
                dwelling unit, that the dwelling unit is in a 
                project that is owned by such agency, by an 
                entity wholly controlled by such agency, or by 
                a limited liability company or limited 
                partnership in which such agency (or an entity 
                wholly controlled by such agency) holds a 
                controlling interest in the managing member or 
                general partner. A dwelling unit shall not be 
                deemed to be owned by a public housing agency 
                for purposes of this subsection because the 
                agency holds a fee interest as ground lessor in 
                the property on which the unit is situated, 
                holds a security interest under a mortgage or 
                deed of trust on the unit, or holds a non-
                controlling interest in an entity which owns 
                the unit or in the managing member or general 
                partner of an entity which owns the unit.
          (12) Assistance for rental of manufactured housing.--
                  (A) In general.--A public housing agency may 
                make assistance payments in accordance with 
                this subsection on behalf of a family that 
                utilizes a manufactured home as a principal 
                place of residenceand rents the real property 
                on which the manufactured home owned by any 
                such family is located.
                  (B) Rent calculation.--
                          (i) Charges included.--For assistance 
                        pursuant to this paragraph, rent shall 
                        mean the sum of the monthly payments 
                        made by a family assisted under this 
                        paragraph to amortize the cost of 
                        purchasing the manufactured home, 
                        including any required insurance and 
                        property taxes, the monthly amount 
                        allowed for tenant-paid utilities, and 
                        the monthly rent charged for the real 
                        property on which the manufactured home 
                        is located, including monthly 
                        management and maintenance charges.
                          (ii) Monthly assistance payment.--The 
                        monthly assistance payment for a family 
                        assisted under this paragraph shall be 
                        determined in accordance with paragraph 
                        (2). If the amount of the monthly 
                        assistance payment for a family exceeds 
                        the monthly rent charged for the real 
                        property on which the manufactured home 
                        is located, including monthly 
                        management and maintenance charges, a 
                        public housing agency may pay the 
                        remainder to the family, lender or 
                        utility company, or may choose to make 
                        a single payment to the family for the 
                        entire monthly assistance amount.
          (13) PHA project-based assistance.--
                  (A) In general.--A public housing agency may 
                use amounts provided under an annual 
                contributions contract under this subsection to 
                enter into a housing assistance payment 
                contract with respect to an existing, newly 
                constructed, or rehabilitated project, that is 
                attached to the project, subject to the 
                limitations and requirements of this paragraph.
                  (B) Percentage limitation.--
                          (i) In general.--Subject to clause 
                        (ii), a public housing agency may use 
                        for project-based assistance under this 
                        paragraph not more than 20 percent of 
                        the authorized units for the agency.
                          (ii) Exception.--A public housing 
                        agency may use up to an additional 10 
                        percent of the authorized units for the 
                        agency for project-based assistance 
                        under this paragraph, to provide units 
                        that house individuals and families 
                        that meet the definition of homeless 
                        under section 103 of the McKinney-Vento 
                        Homeless Assistance Act (42 U.S.C. 
                        11302), that house families with 
                        veterans, that provide supportive 
                        housing to persons with disabilities or 
                        elderly persons, or that are located in 
                        areas where vouchers under this 
                        subsection are difficult to use, as 
                        specified in subparagraph (D)(ii)(II). 
                        Any units of project-based assistance 
                        that are attached to units previously 
                        subject to federally required rent 
                        restrictions or receiving another type 
                        of long-term housing subsidy provided 
                        by the Secretary shall not count toward 
                        the percentage limitation under clause 
                        (i) of this subparagraph. The Secretary 
                        may, by regulation, establish 
                        additional categories for the exception 
                        under this clause.
                  (C) Consistency with pha plan and other 
                goals.--A public housing agency may approve a 
                housing assistance payment contract pursuant to 
                this paragraph only if the contract is 
                consistent with--
                          (i) the public housing agency plan 
                        for the agency approved under section 
                        5A; and
                          (ii) the goal of deconcentrating 
                        poverty and expanding housing and 
                        economic opportunities.
                  (D) Income-mixing requirement.--
                          (i) In general.--Except as provided 
                        in clause (ii), not more than the 
                        greater of 25 dwelling units or 25 
                        percent of the dwelling units in any 
                        project may be assisted under a housing 
                        assistance payment contract for 
                        project-based assistance pursuant to 
                        this paragraph. For purposes of this 
                        subparagraph, the term ``project'' 
                        means a single building, multiple 
                        contiguous buildings, or multiple 
                        buildings on contiguous parcels of 
                        land.
                          (ii) Exceptions.--
                                  (I) Certain families.--The 
                                limitation under clause (i) 
                                shall not apply to dwelling 
                                units assisted under a contract 
                                that are exclusively made 
                                available to elderly families 
                                or to households eligible for 
                                supportive services that are 
                                made available to the assisted 
                                residents of the project, 
                                according to standards for such 
                                services the Secretary may 
                                establish.
                                  (II) Certain areas.--With 
                                respect to areas in which 
                                tenant-based vouchers for 
                                assistance under this 
                                subsection are difficult to 
                                use, as determined by the 
                                Secretary, and with respect to 
                                census tracts with a poverty 
                                rate of 20 percent or less, 
                                clause (i) shall be applied by 
                                substituting ``40 percent'' for 
                                ``25 percent'', and the 
                                Secretary may, by regulation, 
                                establish additional 
                                conditions.
                                  (III) Certain contracts.--The 
                                limitation under clause (i) 
                                shall not apply with respect to 
                                contracts or renewal of 
                                contracts under which a greater 
                                percentage of the dwelling 
                                units in a project were 
                                assisted under a housing 
                                assistance payment contract for 
                                project-based assistance 
                                pursuant to this paragraph on 
                                the date of the enactment of 
                                the Housing Opportunity Through 
                                Modernization Act of 2016.
                                  (IV) Certain properties.--Any 
                                units of project-based 
                                assistance under this paragraph 
                                that are attached to units 
                                previously subject to federally 
                                required rent restrictions or 
                                receiving other project-based 
                                assistance provided by the 
                                Secretary shall not count 
                                toward the percentage 
                                limitation imposed by this 
                                subparagraph (D).
                          (iii) Additional monitoring and 
                        oversight requirements.--The Secretary 
                        may establish additional requirements 
                        for monitoring and oversight of 
                        projects in which more than 40 percent 
                        of the dwelling units are assisted 
                        under a housing assistance payment 
                        contract for project-based assistance 
                        pursuant to this paragraph.
                  (E) Resident choice requirement.--A housing 
                assistance payment contract pursuant to this 
                paragraph shall provide as follows:
                          (i) Mobility.--Each low-income family 
                        occupying a dwelling unit assisted 
                        under the contract may move from the 
                        housing at any time after the family 
                        has occupied the dwelling unit for 12 
                        months.
                          (ii) Continued assistance.--Upon such 
                        a move, the public housing agency shall 
                        provide the low-income family with 
                        tenant-based rental assistance under 
                        this section or such other tenant-based 
                        rental assistance that is subject to 
                        comparable income, assistance, rent 
                        contribution, affordability, and other 
                        requirements, as the Secretary shall 
                        provide by regulation. If such rental 
                        assistance is not immediately available 
                        to fulfill the requirement under the 
                        preceding sentence with respect to a 
                        low-income family, such requirement may 
                        be met by providing the family priority 
                        to receive the next voucher or other 
                        tenant-based rental assistance amounts 
                        that become available under the program 
                        used to fulfill such requirement.
                  (F) Contract term.--
                          (i) Term.--A housing assistance 
                        payment contract pursuant to this 
                        paragraph between a public housing 
                        agency and the owner of a project may 
                        have a term of up to 20 years, subject 
                        to--
                                  (I) the availability of 
                                sufficient appropriated funds 
                                for the purpose of renewing 
                                expiring contracts for 
                                assistance payments, as 
                                provided in appropriation Acts 
                                and in the agency's annual 
                                contributions contract with the 
                                Secretary, provided that in the 
                                event of insufficient 
                                appropriated funds, payments 
                                due under contracts under this 
                                paragraph shall take priority 
                                if other cost-saving measures 
                                that do not require the 
                                termination of an existing 
                                contract are available to the 
                                agency; and
                                  (II) compliance with the 
                                inspection requirements under 
                                paragraph (8), except that the 
                                agency shall not be required to 
                                make biennial inspections of 
                                each assisted unit in the 
                                development.
                          (ii) Addition of eligible units.--
                        Subject to the limitations of 
                        subparagraphs (B) and (D), the agency 
                        and the owner may add eligible units 
                        within the same project to a housing 
                        assistance payments contract at any 
                        time during the term thereof without 
                        being subject to any additional 
                        competitive selection procedures.
                          (iii) Housing under construction or 
                        recently constructed.--An agency may 
                        enter into a housing assistance 
                        payments contract with an owner for any 
                        unit that does not qualify as existing 
                        housing and is under construction or 
                        recently has been constructed whether 
                        or not the agency has executed an 
                        agreement to enter into a contract with 
                        the owner, provided that the owner 
                        demonstrates compliance with applicable 
                        requirements prior to execution of the 
                        housing assistance payments contract. 
                        This clause shall not subject a housing 
                        assistance payments contract for 
                        existing housing under this paragraph 
                        to such requirements or otherwise limit 
                        the extent to which a unit may be 
                        assisted as existing housing.
                          (iv) Additional conditions.--The 
                        contract may specify additional 
                        conditions, including with respect to 
                        continuation, termination, or 
                        expiration, and shall specify that upon 
                        termination or expiration of the 
                        contract without extension, each 
                        assisted family may elect to use its 
                        assistance under this subsection to 
                        remain in the same project if its unit 
                        complies with the inspection 
                        requirements under paragraph (8), the 
                        rent for the unit is reasonable as 
                        required by paragraph (10)(A), and the 
                        family pays its required share of the 
                        rent and the amount, if any, by which 
                        the unit rent (including the amount 
                        allowed for tenant-based utilities) 
                        exceeds the applicable payment 
                        standard.
                  (G) Extension of contract term.--A public 
                housing agency may enter into a contract with 
                the owner of a project assisted under a housing 
                assistance payment contract pursuant to this 
                paragraph to extend the term of the underlying 
                housing assistance payment contract for such 
                period as the agency determines to be 
                appropriate to achieve long-term affordability 
                of the housing or to expand housing 
                opportunities. Such contract may, at the 
                election of the public housing agency and the 
                owner of the project, specify that such 
                contract shall be extended for renewal terms of 
                up to 20 years each, if the agency makes the 
                determination required by this subparagraph and 
                the owner is in compliance with the terms of 
                the contract. Such a contract shall provide 
                that the extension of such term shall be 
                contingent upon the future availability of 
                appropriated funds for the purpose of renewing 
                expiring contracts for assistance payments, as 
                provided in appropriations Acts, and may 
                obligate the owner to have such extensions of 
                the underlying housing assistance payment 
                contract accepted by the owner and the 
                successors in interest of the owner. A public 
                housing agency may agree to enter into such a 
                contract at the time it enters into the initial 
                agreement for a housing assistance payment 
                contract or at any time thereafter that is 
                before the expiration of the housing assistance 
                payment contract.
                  (H) Rent calculation.--A housing assistance 
                payment contract pursuant to this paragraph 
                shall establish rents for each unit assisted in 
                an amount that does not exceed 110 percent of 
                the applicable fair market rental (or any 
                exception payment standard approved by the 
                Secretary pursuant to paragraph (1)(D)), except 
                that if a contract covers a dwelling unit that 
                has been allocated low-income housing tax 
                credits pursuant to section 42 of the Internal 
                Revenue Code of 1986 (26 U.S.C. 42) and is not 
                located in a qualified census tract (as such 
                term is defined in subsection (d) of such 
                section 42), the rent for such unit may be 
                established at any level that does not exceed 
                the rent charged for comparable units in the 
                building that also receive the low-income 
                housing tax credit but do not have additional 
                rental assistance, except that in the case of a 
                contract unit that has been allocated low-
                income housing tax credits and for which the 
                rent limitation pursuant to such section 42 is 
                less than the amount that would otherwise be 
                permitted under this subparagraph, the rent for 
                such unit may, in the sole discretion of a 
                public housing agency, be established at the 
                higher section 8 rent, subject only to 
                paragraph (10)(A). The rents established by 
                housing assistance payment contracts pursuant 
                to this paragraph may vary from the payment 
                standards established by the public housing 
                agency pursuant to paragraph (1)(B), but shall 
                be subject to paragraph (10)(A).
                  (I) Rent adjustments.--A housing assistance 
                payments contract pursuant to this paragraph 
                entered into after the date of the enactment of 
                the Housing Opportunity Through Modernization 
                Act of 2016 shall provide for annual rent 
                adjustments upon the request of the owner, 
                except that--
                          (i) by agreement of the parties, a 
                        contract may allow a public housing 
                        agency to adjust the rent for covered 
                        units using an operating cost 
                        adjustment factor established by the 
                        Secretary pursuant to section 524(c) of 
                        the Multifamily Assisted Housing Reform 
                        and Affordability Act of 1997 (which 
                        shall not result in a negative 
                        adjustment), in which case the contract 
                        may require an additional adjustment, 
                        if requested, up to the reasonable rent 
                        periodically during the term of the 
                        contract, and shall require such an 
                        adjustment, if requested, upon 
                        extension pursuant to subparagraph (G);
                          (ii) the adjusted rent shall not 
                        exceed the maximum rent permitted under 
                        subparagraph (H);
                          (iii) the contract may provide that 
                        the maximum rent permitted for a 
                        dwelling unit shall not be less than 
                        the initial rent for the dwelling unit 
                        under the initial housing assistance 
                        payments contract covering the units; 
                        and
                          (iv) the provisions of subsection 
                        (c)(2)(C) shall not apply.
                  (J) Tenant selection.--A public housing 
                agency may select families to receive project-
                based assistance pursuant to this paragraph 
                from its waiting list for assistance under this 
                subsection or may permit owners to select 
                applicants from site-based waiting lists as 
                specified in this subparagraph. Eligibility for 
                such project-based assistance shall be subject 
                to the provisions of section 16(b) that apply 
                to tenant-based assistance. The agency or owner 
                may establish preferences or criteria for 
                selection for a unit assisted under this 
                paragraph that are consistent with the public 
                housing agency plan for the agency approved 
                under section 5A and that give preference to 
                families who qualify for voluntary services, 
                including disability-specific services, offered 
                in conjunction with assisted units. Any family 
                that rejects an offer of project-based 
                assistance under this paragraph or that is 
                rejected for admission to a project by the 
                owner or manager of a project assisted under 
                this paragraph shall retain its place on the 
                waiting list as if the offer had not been made. 
                A public housing agency may establish and 
                utilize procedures for owner-maintained site-
                based waiting lists, under which applicants may 
                apply at, or otherwise designate to the public 
                housing agency, the project or projects in 
                which they seek to reside, except that all 
                eligible applicants on the waiting list of an 
                agency for assistance under this subsection 
                shall be permitted to place their names on such 
                separate list, subject to policies and 
                procedures established by the Secretary. All 
                such procedures shall comply with title VI of 
                the Civil Rights Act of 1964, the Fair Housing 
                Act, section 504 of the Rehabilitation Act of 
                1973, and other applicable civil rights laws. 
                The owner or manager of a project assisted 
                under this paragraph shall not admit any family 
                to a dwelling unit assisted under a contract 
                pursuant to this paragraph other than a family 
                referred by the public housing agency from its 
                waiting list, or a family on a site-based 
                waiting list that complies with the 
                requirements of this subparagraph. A public 
                housing agency shall disclose to each applicant 
                all other options in the selection of a project 
                in which to reside that are provided by the 
                public housing agency and are available to the 
                applicant.
                  (K) Vacated units.--Notwithstanding paragraph 
                (9), a housing assistance payment contract 
                pursuant to this paragraph may provide as 
                follows:
                          (i) Payment for vacant units.--That 
                        the public housing agency may, in its 
                        discretion, continue to provide 
                        assistance under the contract, for a 
                        reasonable period not exceeding 60 
                        days, for a dwelling unit that becomes 
                        vacant, but only: (I) if the vacancy 
                        was not the fault of the owner of the 
                        dwelling unit; and (II) the agency and 
                        the owner take every reasonable action 
                        to minimize the likelihood and extent 
                        of any such vacancy. Rental assistance 
                        may not be provided for a vacant unit 
                        after the expiration of such period.
                          (ii) Reduction of contract.--That, if 
                        despite reasonable efforts of the 
                        agency and the owner to fill a vacant 
                        unit, no eligible family has agreed to 
                        rent the unit within 120 days after the 
                        owner has notified the agency of the 
                        vacancy, the agency may reduce its 
                        housing assistance payments contract 
                        with the owner by the amount equivalent 
                        to the remaining months of subsidy 
                        attributable to the vacant unit. 
                        Amounts deobligated pursuant to such a 
                        contract provision shall be available 
                        to the agency to provide assistance 
                        under this subsection.
                Eligible applicants for assistance under this 
                subsection may enforce provisions authorized by 
                this subparagraph.
                  (L) Use in cooperative housing and elevator 
                buildings.--A public housing agency may enter 
                into a housing assistance payments contract 
                under this paragraph with respect to--
                          (i) dwelling units in cooperative 
                        housing; and
                          (ii) notwithstanding subsection (c), 
                        dwelling units in a high-rise elevator 
                        project, including such a project that 
                        is occupied by families with children, 
                        without review and approval of the 
                        contract by the Secretary.
                  (M) Reviews.--
                          (i) Subsidy layering.--A subsidy 
                        layering review in accordance with 
                        section 102(d) of the Department of 
                        Housing and Urban Development Reform 
                        Act of 1989 (42 U.S.C. 3545(d)) shall 
                        not be required for assistance under 
                        this paragraph in the case of a housing 
                        assistance payments contract for an 
                        existing project, or if a subsidy 
                        layering review has been conducted by 
                        the applicable State or local agency.
                          (ii) Environmental review.--A public 
                        housing agency shall not be required to 
                        undertake any environmental review 
                        before entering into a housing 
                        assistance payments contract under this 
                        paragraph for an existing project, 
                        except to the extent such a review is 
                        otherwise required by law or regulation 
                        relating to funding other than housing 
                        assistance payments.
                  (N) Structure owned by agency.--A public 
                housing agency engaged in an initiative to 
                improve, develop, or replace a public housing 
                property or site may attach assistance to an 
                existing, newly constructed, or rehabilitated 
                structure in which the agency has an ownership 
                interest or which the agency has control of 
                without following a competitive process, 
                provided that the agency has notified the 
                public of its intent through its public housing 
                agency plan and subject to the limitations and 
                requirements of this paragraph.
                  (O) Special purpose vouchers.--A public 
                housing agency that administers vouchers 
                authorized under subsection (o)(19) or (x) of 
                this section may provide such assistance in 
                accordance with the limitations and 
                requirements of this paragraph, without 
                additional requirements for approval by the 
                Secretary.
          (14) Inapplicability to tenant-based assistance.--
        Subsection (c) shall not apply to tenant-based 
        assistance under this subsection.
          (15) Homeownership option.--
                  (A) In general.--A public housing agency 
                providing assistance under this subsection may, 
                at the option of the agency, provide assistance 
                for homeownership under subsection (y).
                  (B) Alternative administration.--A public 
                housing agency may contract with a nonprofit 
                organization to administer a homeownership 
                program under subsection (y).
          (16) Rental vouchers for relocation of witnesses and 
        victims of crime.--
                  (A) Witnesses.--Of amounts made available for 
                assistance under this subsection in each fiscal 
                year, the Secretary, in consultation with the 
                Inspector General, shall make available such 
                sums as may be necessary for the relocation of 
                witnesses in connection with efforts to combat 
                crime in public and assisted housing pursuant 
                to requests from law enforcement or prosecution 
                agencies.
                  (B) Victims of crime.--
                          (i) In general.--Of amounts made 
                        available for assistance under this 
                        section in each fiscal year, the 
                        Secretary shall make available such 
                        sums as may be necessary for the 
                        relocation of families residing in 
                        public housing who are victims of a 
                        crime of violence (as that term is 
                        defined in section 16 of title 18, 
                        United States Code) that has been 
                        reported to an appropriate law 
                        enforcement agency.
                          (ii) Notice.--A public housing agency 
                        that receives amounts under this 
                        subparagraph shall establish procedures 
                        for providing notice of the 
                        availability of that assistance to 
                        families that may be eligible for that 
                        assistance.
          (17) Deed restrictions.--Assistance under this 
        subsection may not be used in any manner that abrogates 
        any local deed restriction that applies to any housing 
        consisting of 1 to 4 dwelling units. This paragraph may 
        not be construed to affect the provisions or 
        applicability of the Fair Housing Act.
          (18) Rental assistance for assisted living 
        facilities.--
                  (A) In general.--A public housing agency may 
                make assistance payments on behalf of a family 
                that uses an assisted living facility as a 
                principal place of residence and that uses such 
                supportive services made available in the 
                facility as the agency may require. Such 
                payments may be made only for covering costs of 
                rental of the dwelling unit in the assisted 
                living facility and not for covering any 
                portion of the cost of residing in such 
                facility that is attributable to service 
                relating to assisted living.
                  (B) Rent calculation.--
                          (i) Charges included.--For assistance 
                        pursuant to this paragraph, the rent of 
                        the dwelling unit that is an assisted 
                        living facility with respect to which 
                        assistance payments are made shall 
                        include maintenance and management 
                        charges related to the dwelling unit 
                        and tenant-paid utilities. Such rent 
                        shall not include any charges 
                        attributable to services relating to 
                        assisted living.
                          (ii) Payment standard.--In 
                        determining the monthly assistance that 
                        may be paid under this paragraph on 
                        behalf of any family residing in an 
                        assisted living facility, the public 
                        housing agency shall utilize the 
                        payment standard established under 
                        paragraph (1), for the market area in 
                        which the assisted living facility is 
                        located, for the applicable size 
                        dwelling unit.
                          (iii) Monthly assistance payment.--
                        The monthly assistance payment for a 
                        family assisted under this paragraph 
                        shall be determined in accordance with 
                        paragraph (2) (using the rent and 
                        payment standard for the dwelling unit 
                        as determined in accordance with this 
                        subsection), 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..
                  (C) Definition.--For the purposes of this 
                paragraph, the term ``assisted living 
                facility'' has the meaning given that term in 
                section 232(b) of the National Housing Act (12 
                U.S.C. 1715w(b)), except that such a facility 
                may be contained within a portion of a larger 
                multifamily housing project.
          (19) Rental vouchers for veterans affairs supported 
        housing program.--
                  (A) Set aside.--Subject to subparagraph (C), 
                the Secretary shall set aside, from amounts 
                made available for rental assistance under this 
                subsection, the amounts specified in 
                subparagraph (B) for use only for providing 
                such assistance through a supported housing 
                program administered in conjunction with the 
                Department of Veterans Affairs. Such program 
                shall provide rental assistance on behalf of 
                homeless veterans who have chronic mental 
                illnesses or chronic substance use disorders, 
                shall require agreement of the veteran to 
                continued treatment for such mental illness or 
                substance use disorder as a condition of 
                receipt of such rental assistance, and shall 
                ensure such treatment and appropriate case 
                management for each veteran receiving such 
                rental assistance.
                  (B) Amount.--The amount specified in this 
                subparagraph is--
                          (i) for fiscal year 2007, the amount 
                        necessary to provide 500 vouchers for 
                        rental assistance under this 
                        subsection;
                          (ii) for fiscal year 2008, the amount 
                        necessary to provide 1,000 vouchers for 
                        rental assistance under this 
                        subsection;
                          (iii) for fiscal year 2009, the 
                        amount necessary to provide 1,500 
                        vouchers for rental assistance under 
                        this subsection;
                          (iv) for fiscal year 2010, the amount 
                        necessary to provide 2,000 vouchers for 
                        rental assistance under this 
                        subsection; and
                          (v) for fiscal year 2011, the amount 
                        necessary to provide 2,500 vouchers for 
                        rental assistance under this 
                        subsection.
                  (C) Funding through incremental assistance.--
                In any fiscal year, to the extent that this 
                paragraph requires the Secretary to set aside 
                rental assistance amounts for use under this 
                paragraph in an amount that exceeds the amount 
                set aside in the preceding fiscal year, such 
                requirement shall be effective only to such 
                extent or in such amounts as are or have been 
                provided in appropriation Acts for such fiscal 
                year for incremental rental assistance under 
                this subsection.
                  (D) Native american veterans.--
                          (i) Authority.--Of the funds made 
                        available for rental assistance under 
                        this paragraph for fiscal year 2018 and 
                        each fiscal year thereafter, the 
                        Secretary shall set aside 5 percent for 
                        a supported housing and rental 
                        assistance program modeled on the HUD-
                        Veterans Affairs Supportive Housing 
                        (HUD-VASH) program, to be administered 
                        in conjunction with the Department of 
                        Veterans Affairs, for the benefit of 
                        homeless Native American veterans and 
                        veterans at risk of homelessness.
                          (ii) Recipients.--Such rental 
                        assistance shall be made available to 
                        recipients eligible to receive block 
                        grants under the Native American 
                        Housing Assistance and Self-
                        Determination Act of 1996 (25 U.S.C. 
                        4101 et seq.).
                          (iii) Funding criteria.--Funds shall 
                        be awarded based on need, 
                        administrative capacity, and any other 
                        funding criteria established by the 
                        Secretary in a notice published in the 
                        Federal Register, after consultation 
                        with the Secretary of Veterans Affairs, 
                        by a date sufficient to provide for 
                        implementation of the program under 
                        this subparagraph in accordance with 
                        clause (i).
                          (iv) Program requirements.--
                                  (I) Administration.--Such 
                                funds shall be administered by 
                                block grant recipients in 
                                accordance with program 
                                requirements under the Native 
                                American Housing Assistance and 
                                Self-Determination Act of 1996 
                                in lieu of program requirements 
                                under this Act.
                                  (II) Available housing.--
                                Rental assistance made 
                                available under this 
                                subparagraph may be used for 
                                dwelling units owned, operated, 
                                or assisted with by a recipient 
                                of a block grant under this Act 
                                or a tribally designated 
                                housing entity.
                          (v) Waiver.--The Secretary may waive, 
                        or specify alternative requirements for 
                        any provision of any statute or 
                        regulation that the Secretary 
                        administers in connection with the use 
                        of funds made available under this 
                        subparagraph, but only upon a finding 
                        by the Secretary that such waiver or 
                        alternative requirement is necessary to 
                        promote administrative efficiency, 
                        eliminate delay, consolidate or 
                        eliminate duplicative or ineffective 
                        requirements or criteria, or otherwise 
                        provide for the effective delivery and 
                        administration of such supportive 
                        housing assistance to Native American 
                        veterans.
                          (vi) Consultation.--The Secretary and 
                        the Secretary of Veterans Affairs shall 
                        jointly consult with block grant 
                        recipients and any other appropriate 
                        tribal organizations to--
                                  (I) ensure that block grant 
                                recipients administering funds 
                                made available under the 
                                program under this subparagraph 
                                are able to effectively 
                                coordinate with providers of 
                                supportive services provided in 
                                connection with such program; 
                                and
                                  (II) ensure the effective 
                                delivery of supportive services 
                                to Native American veterans 
                                that are homeless or at risk of 
                                homelessness eligible to 
                                receive assistance under this 
                                subparagraph.
                        Consultation pursuant to this clause 
                        shall be completed by a date sufficient 
                        to provide for implementation of the 
                        program under this subparagraph in 
                        accordance with clause (i).
                          (vii) Notice.--The Secretary shall 
                        establish the requirements and criteria 
                        for the supported housing and rental 
                        assistance program under this 
                        subparagraph by notice published in the 
                        Federal Register, but shall provide 
                        Indian tribes and tribally designated 
                        housing agencies an opportunity for 
                        comment and consultation before 
                        publication of a final notice pursuant 
                        to this clause.
          (20) Collection of utility data.--
                  (A) Publication.--The Secretary shall, to the 
                extent that data can be collected cost 
                effectively, regularly publish such data 
                regarding utility consumption and costs in 
                local areas as the Secretary determines will be 
                useful for the establishment of allowances for 
                tenant-paid utilities for families assisted 
                under this subsection.
                  (B) Use of data.--The Secretary shall provide 
                such data in a manner that--
                          (i) avoids unnecessary administrative 
                        burdens for public housing agencies and 
                        owners; and
                          (ii) protects families in various 
                        unit sizes and building types, and 
                        using various utilities, from high rent 
                        and utility cost burdens relative to 
                        income.
  (p) In order to assist elderly families (as defined in 
section 3(b)(3)) who elect to live in a shared housing 
arrangement in which they benefit as a result of sharing the 
facilities of a dwelling with others in a manner that 
effectively and efficiently meets their housing needs and 
thereby reduces their costs of housing, the Secretary shall 
permit assistance provided under the existing housing and 
moderate rehabilitation programs to be used by such families in 
such arrangements. In carrying out this subsection, the 
Secretary shall issue minimum habitability standards for the 
purpose of assuring decent, safe, and sanitary housing for such 
families while taking into account the special circumstances of 
shared housing.
  (q) Administrative Fees.--
          (1) Fee for ongoing costs of administration.--
                  (A) In general.--The Secretary shall 
                establish fees for the costs of administering 
                the tenant-based assistance, certificate, 
                voucher, and moderate rehabilitation programs 
                under this section.
                  (B) Fiscal year 1999.--
                          (i) Calculation.--For fiscal year 
                        1999, the fee for each month for which 
                        a dwelling unit is covered by an 
                        assistance contract shall be--
                                  (I) in the case of a public 
                                housing agency that, on an 
                                annual basis, is administering 
                                a program for not more than 600 
                                dwelling units, 7.65 percent of 
                                the base amount; and
                                  (II) in the case of an agency 
                                that, on an annual basis, is 
                                administering a program for 
                                more than 600 dwelling units 
                                (aa) for the first 600 units, 
                                7.65 percent of the base 
                                amount, and (bb) for any 
                                additional dwelling units under 
                                the program, 7.0 percent of the 
                                base amount.
                          (ii) Base amount.--For purposes of 
                        this subparagraph, the base amount 
                        shall be the higher of--
                                  (I) the fair market rental 
                                established under section 8(c) 
                                of this Act (as in effect 
                                immediately before the 
                                effective date under section 
                                503(a) of the Quality Housing 
                                and Work Responsibility Act of 
                                1998) for fiscal year 1993 for 
                                a 2-bedroom existing rental 
                                dwelling unit in the market 
                                area of the agency, and
                                  (II) the amount that is the 
                                lesser of (aa) such fair market 
                                rental for fiscal year 1994, or 
                                (bb) 103.5 percent of the 
                                amount determined under clause 
                                (i),
                        adjusted based on changes in wage data 
                        or other objectively measurable data 
                        that reflect the costs of administering 
                        the program, as determined by the 
                        Secretary. The Secretary may require 
                        that the base amount be not less than a 
                        minimum amount and not more than a 
                        maximum amount.
                  (C) Subsequent fiscal years.--For subsequent 
                fiscal years, the Secretary shall publish a 
                notice in the Federal Register, for each 
                geographic area, establishing the amount of the 
                fee that would apply for public housing 
                agencies administering the program, based on 
                changes in wage data or other objectively 
                measurable data that reflect the costs of 
                administering the program, as determined by the 
                Secretary.
                  (D) Increase.--The Secretary may increase the 
                fee if necessary to reflect the higher costs of 
                administering small programs and programs 
                operating over large geographic areas.
                  (E) Decrease.--The Secretary may decrease the 
                fee for units owned by a public housing agency 
                to reflect reasonable costs of administration.
          (2) Fee for preliminary expenses.--The Secretary 
        shall also establish reasonable fees (as determined by 
        the Secretary) for--
                  (A) the costs of preliminary expenses, in the 
                amount of $500, for a public housing agency, 
                except that such fee shall apply to an agency 
                only in the first year that the agency 
                administers a tenant-based assistance program 
                under this section, and only if, immediately 
                before the effective date under section 503(a) 
                of the Quality Housing and Work Responsibility 
                Act of 1998, the agency was not administering a 
                tenant-based assistance program under the 
                United States Housing Act of 1937 (as in effect 
                immediately before such effective date), in 
                connection with its initial increment of 
                assistance received;
                  (B) the costs incurred in assisting families 
                who experience difficulty (as determined by the 
                Secretary) in obtaining appropriate housing 
                under the programs; and
                  (C) extraordinary costs approved by the 
                Secretary.
          (3) Transfer of fees in cases of concurrent 
        geographical jurisdiction.--In each fiscal year, if any 
        public housing agency provides tenant-based assistance 
        under this section on behalf of a family who uses such 
        assistance for a dwelling unit that is located within 
        the jurisdiction of such agency but is also within the 
        jurisdiction of another public housing agency, the 
        Secretary shall take such steps as may be necessary to 
        ensure that the public housing agency that provides the 
        services for a family receives all or part of the 
        administrative fee under this section (as appropriate).
          (4) Applicability.--This subsection shall apply to 
        fiscal year 1999 and fiscal years thereafter.
  (r) Portability.--(1) In general.--(A) Any family receiving 
tenant-based assistance under subsection (o) may receive such 
assistance to rent an eligible dwelling unit if the dwelling 
unit to which the family moves is within any area in which a 
program is being administered under this section.
  (B)(i) Notwithstanding subparagraph (A) and subject to any 
exceptions established under clause (ii) of this subparagraph, 
a public housing agency may require that any family not living 
within the jurisdiction of the public housing agency at the 
time the family applies for assistance from the agency shall, 
during the 12-month period beginning on the date of initial 
receipt of housing assistance made available on behalf of the 
family from such agency, lease and occupy an eligible dwelling 
unit located within the jurisdiction served by the agency.
  (ii) The Secretary may establish such exceptions to the 
authority of public housing agencies established under clause 
(i).
  (2) The public housing agency having authority with respect 
to the dwelling unit to which a family moves under this 
subsection shall have the responsibility of carrying out the 
provisions of this subsection with respect to the family.
  (3) In providing assistance under subsection (o) for any 
fiscal year, the Secretary shall give consideration to any 
reduction in the number of resident families incurred by a 
public housing agency in the preceding fiscal year as a result 
of the provisions of this subsection. The Secretary shall 
establish procedures for the compensation of public housing 
agencies that issue vouchers to families that move into or out 
of the jurisdiction of the public housing agency under 
portability procedures. The Secretary may reserve amounts 
available for assistance under subsection (o) to compensate 
those public housing agencies.
  (4) The provisions of this subsection may not be construed to 
restrict any authority of the Secretary under any other 
provision of law to provide for the portability of assistance 
under this section.
  (5) Lease violations.--A family may not receive a voucher 
from a public housing agency and move to another jurisdiction 
under the tenant-based assistance program if the family has 
moved out of the assisted dwelling unit of the family in 
violation of a lease, except that a family may receive a 
voucher from a public housing agency and move to another 
jurisdiction under the tenant-based assistance program if the 
family has complied with all other obligations of the section 8 
program and has moved out of the assisted dwelling unit in 
order to protect the health or safety of an individual who is 
or has been the victim of domestic violence, dating violence, 
or stalking and who reasonably believed he or she was 
imminently threatened by harm from further violence if he or 
she remained in the assisted dwelling unit.
  (s) In selecting families for the provision of assistance 
under this section (including subsection (o)), a public housing 
agency may not exclude or penalize a family solely because the 
family resides in a public housing project.
  (t) Enhanced Vouchers.--
          (1) In general.--Enhanced voucher assistance under 
        this subsection for a family shall be voucher 
        assistance under subsection (o), except that under such 
        enhanced voucher assistance--
                  (A) subject only to subparagraph (D), the 
                assisted family shall pay as rent no less than 
                the amount the family was paying on the date of 
                the eligibility event for the project in which 
                the family was residing on such date;
                  (B) the assisted family may elect to remain 
                in the same project in which the family was 
                residing on the date of the eligibility event 
                for the project, and if, during any period the 
                family makes such an election and continues to 
                so reside, the rent for the dwelling unit of 
                the family in such project exceeds the 
                applicable payment standard established 
                pursuant to subsection (o) for the unit, the 
                amount of rental assistance provided on behalf 
                of the family shall be determined using a 
                payment standard that is equal to the rent for 
                the dwelling unit (as such rent may be 
                increased from time-to-time), subject to 
                paragraph (10)(A) of subsection (o) and any 
                other reasonable limit prescribed by the 
                Secretary, except that a limit shall not be 
                considered reasonable for purposes of this 
                subparagraph if it adversely affects such 
                assisted families;
                  (C) subparagraph (B) of this paragraph shall 
                not apply and the payment standard for the 
                dwelling unit occupied by the family shall be 
                determined in accordance with subsection (o) 
                if--
                          (i) the assisted family moves, at any 
                        time, from such project; or
                          (ii) the voucher is made available 
                        for use by any family other than the 
                        original family on behalf of whom the 
                        voucher was provided; and
                  (D) if the annual adjusted income of the 
                assisted family declines to a significant 
                extent, the percentage of annual adjusted 
                income paid by the family for rent shall not 
                exceed the greater of 30 percent or the 
                percentage of annual adjusted income paid at 
                the time of the eligibility event for the 
                project.
          (2) Eligibility event.--For purposes of this 
        subsection, the term ``eligibility event'' means, with 
        respect to a multifamily housing project, the 
        prepayment of the mortgage on such housing project, the 
        voluntary termination of the insurance contract for the 
        mortgage for such housing project (including any such 
        mortgage prepayment during fiscal year 1996 or a fiscal 
        year thereafter or any insurance contract voluntary 
        termination during fiscal year 1996 or a fiscal year 
        thereafter), the termination or expiration of the 
        contract for rental assistance under section 8 of the 
        United States Housing Act of 1937 for such housing 
        project (including any such termination or expiration 
        during fiscal years after fiscal year 1994 prior to the 
        effective date of the Departments of Veterans Affairs 
        and Housing and Urban Development, and Independent 
        Agencies Appropriations Act, 2001), or the transaction 
        under which the project is preserved as affordable 
        housing, that, under paragraphs (3) and (4) of section 
        515(c), section 524(d) of the Multifamily Assisted 
        Housing Reform and Affordability Act of 1997 (42 U.S.C. 
        1437f note), section 223(f) of the Low-Income Housing 
        Preservation and Resident Homeownership Act of 1990 (12 
        U.S.C. 4113(f)), or section 201(p) of the Housing and 
        Community Development Amendments of 1978 (12 U.S.C. 
        1715z-1a(p)), results in tenants in such housing 
        project being eligible for enhanced voucher assistance 
        under this subsection.
          (3) Treatment of enhanced vouchers provided under 
        other authority.--
                  (A) In general.--Notwithstanding any other 
                provision of law, any enhanced voucher 
                assistance provided under any authority 
                specified in subparagraph (B) shall (regardless 
                of the date that the amounts for providing such 
                assistance were made available) be treated, and 
                subject to the same requirements, as enhanced 
                voucher assistance under this subsection.
                  (B) Identification of other authority.--The 
                authority specified in this subparagraph is the 
                authority under--
                          (i) the 10th, 11th, and 12th provisos 
                        under the ``Preserving Existing Housing 
                        Investment'' account in title II of the 
                        Departments of Veterans Affairs and 
                        Housing and Urban Development, and 
                        Independent Agencies Appropriations 
                        Act, 1997 (Public Law 104-204; 110 
                        Stat. 2884), pursuant to such provisos, 
                        the first proviso under the ``Housing 
                        Certificate Fund'' account in title II 
                        of the Departments of Veterans Affairs 
                        and Housing and Urban Development, and 
                        Independent Agencies Appropriations 
                        Act, 1998 (Public Law 105-65; 111 Stat. 
                        1351), or the first proviso under the 
                        ``Housing Certificate Fund'' account in 
                        title II of the Departments of Veterans 
                        Affairs and Housing and Urban 
                        Development, and Independent Agencies 
                        Appropriations Act, 1999 (Public Law 
                        105-276; 112 Stat. 2469); and
                          (ii) paragraphs (3) and (4) of 
                        section 515(c) of the Multifamily 
                        Assisted Housing Reform and 
                        Affordability Act of 1997 (42 U.S.C. 
                        1437f note), as in effect before the 
                        enactment of this Act.
          (4) Authorization of appropriations.--There are 
        authorized to be appropriated for each of fiscal years 
        2000, 2001, 2002, 2003, and 2004 such sums as may be 
        necessary for enhanced voucher assistance under this 
        subsection.
  (u) In the case of low-income families living in rental 
projects rehabilitated under section 17 of this Act or section 
533 of the Housing Act of 1949 before rehabilitation--
          (1) vouchers under this section shall be made for 
        families who are required to move out of their units 
        because of the physical rehabilitation activities or 
        because of overcrowding;
          (2) at the discretion of each public housing agency 
        or other agency administering the allocation of 
        assistance or vouchers under this section may be made 
        for families who would have to pay more than 30 percent 
        of their adjusted income for rent after rehabilitation 
        whether they choose to remain in, or to move from, the 
        project; and
          (3) the Secretary shall allocate assistance for 
        vouchers under this section to ensure that sufficient 
        resources are available to address the physical or 
        economic displacement, or potential economic 
        displacement, of existing tenants pursuant to 
        paragraphs (1) and (2).
  (v) The Secretary may extend expiring contracts entered into 
under this section for project-based loan management assistance 
to the extent necessary to prevent displacement of low-income 
families receiving such assistance as of September 30, 1996.
  (x) Family Unification.--
          (1) Increase in budget authority.--The budget 
        authority available under section 5(c) for assistance 
        under section 8(b) is authorized to be increased by 
        $100,000,000 on or after October 1, 1992, and by 
        $104,200,000 on or after October 1, 1993.
          (2) Use of funds.--The amounts made available under 
        this subsection shall be used only in connection with 
        tenant-based assistance under section 8 on behalf of 
        (A) any family (i) who is otherwise eligible for such 
        assistance, and (ii) who the public child welfare 
        agency for the jurisdiction has certified is a family 
        for whom the lack of adequate housing is a primary 
        factor in the imminent placement of the family's child 
        or children in out-of-home care or the delayed 
        discharge of a child or children to the family from 
        out-of-home care and (B) for a period not to exceed 36 
        months, otherwise eligible youths who have attained at 
        least 18 years of age and not more than 24 years of age 
        and who have left foster care, or will leave foster 
        care within 90 days, in accordancewith a transition 
        plan described in section 475(5)(H)of the Social 
        Security Act, and is homeless or is at riskof becoming 
        homeless at age 16 or older.
          (3) Allocation.--The amounts made available under 
        this subsection shall be allocated by the Secretary 
        through a national competition among applicants based 
        on demonstrated need for assistance under this 
        subsection. To be considered for assistance, an 
        applicant shall submit to the Secretary a written 
        proposal containing a report from the public child 
        welfare agency serving the jurisdiction of the 
        applicant that describes how a lack of adequate housing 
        in the jurisdiction is resulting in the initial or 
        prolonged separation of children from their families, 
        and how the applicant will coordinate with the public 
        child welfare agency to identify eligible families and 
        provide the families with assistance under this 
        subsection.
          (4) Coordination between public housing agencies and 
        public child welfare agencies.--The Secretary shall, 
        not later than the expiration of the 180-day period 
        beginning on the date of the enactment of the Housing 
        Opportunity Through Modernization Act of 2016 and after 
        consultation with other appropriate Federal agencies, 
        issue guidance to improve coordination between public 
        housing agencies and public child welfare agencies in 
        carrying out the program under this subsection, which 
        shall provide guidance on--
                  (A) identifying eligible recipients for 
                assistance under this subsection;
                  (B) coordinating with other local youth and 
                family providers in the community and 
                participating in the Continuum of Care program 
                established under subtitle C of title IV of the 
                McKinney-Vento Homeless Assistance Act (42 
                U.S.C. 11381 et seq.);
                  (C) implementing housing strategies to assist 
                eligible families and youth;
                  (D) aligning system goals to improve outcomes 
                for families and youth and reducing lapses in 
                housing for families and youth; and
                  (E) identifying resources that are available 
                to eligible families and youth to provide 
                supportive services available through parts B 
                and E of title IV of the Social Security Act 
                (42 U.S.C. 621 et seq.; 670 et seq.) or that 
                the head of household of a family or youth may 
                be entitled to receive under section 477 of the 
                Social Security Act (42 U.S.C. 677).
          (5) Definitions.--For purposes of this subsection:
                  (A) Applicant.--The term ``applicant'' means 
                a public housing agency or any other agency 
                responsible for administering assistance under 
                section 8.
                  (B) Public child welfare agency.--The term 
                ``public child welfare agency'' means the 
                public agency responsible under applicable 
                State law for determining that a child is at 
                imminent risk of placement in out-of-home care 
                or that a child in out-of-home care under the 
                supervision of the public agency may be 
                returned to his or her family.
  (y) Homeownership Option.--
          (1) Use of assistance for homeownership.--A public 
        housing agency providing tenant-based assistance on 
        behalf of an eligible family under this section may 
        provide assistance for an eligible family that 
        purchases a dwelling unit (including a unit under a 
        lease-purchase agreement) that will be owned by 1 or 
        more members of the family, and will be occupied by the 
        family, if the family--
                  (A) is a first-time homeowner, or owns or is 
                acquiring shares in a cooperative;
                  (B) demonstrates that the family has income 
                from employment or other sources (other than 
                public assistance, except that the Secretary 
                may provide for the consideration of public 
                assistance in the case of an elderly family or 
                a disabled family), as determined in accordance 
                with requirements of the Secretary, that is not 
                less than twice the payment standard 
                established by the public housing agency (or 
                such other amount as may be established by the 
                Secretary);
                  (C) except as provided by the Secretary, 
                demonstrates at the time the family initially 
                receives tenant-based assistance under this 
                subsection that one or more adult members of 
                the family have achieved employment for the 
                period as the Secretary shall require;
                  (D) participates in a homeownership and 
                housing counseling program provided by the 
                agency; and
                  (E) meets any other initial or continuing 
                requirements established by the public housing 
                agency in accordance with requirements 
                established by the Secretary.
          (2) Determination of amount of assistance.--
                  (A) Monthly expenses not exceeding payment 
                standard.--If the monthly homeownership 
                expenses, as determined in accordance with 
                requirements established by the Secretary, do 
                not exceed the payment standard, the monthly 
                assistance payment shall be the amount by which 
                the homeownership expenses exceed the highest 
                of the following amounts, rounded to the 
                nearest dollar:
                          (i) 30 percent of the monthly 
                        adjusted income of the family.
                          (ii) 10 percent of the monthly income 
                        of the family.
                          (iii) If the family is receiving 
                        payments for welfare assistance from a 
                        public agency, and a portion of those 
                        payments, adjusted in accordance with 
                        the actual housing costs of the family, 
                        is specifically designated by that 
                        agency to meet the housing costs of the 
                        family, the portion of those payments 
                        that is so designated.
                  (B) Monthly expenses exceed payment 
                standard.--If the monthly homeownership 
                expenses, as determined in accordance with 
                requirements established by the Secretary, 
                exceed the payment standard, the monthly 
                assistance payment shall be the amount by which 
                the applicable payment standard exceeds the 
                highest of the amounts under clauses (i), (ii), 
                and (iii) of subparagraph (A).
          (3) Inspections and contract conditions.--
                  (A) In general.--Each contract for the 
                purchase of a unit to be assisted under this 
                section shall--
                          (i) provide for pre-purchase 
                        inspection of the unit by an 
                        independent professional; and
                          (ii) require that any cost of 
                        necessary repairs be paid by the 
                        seller.
                  (B) Annual inspections not required.--The 
                requirement under subsection (o)(8)(A)(ii) for 
                annual inspections shall not apply to units 
                assisted under this section.
          (4) Other authority of the secretary.--The Secretary 
        may--
                  (A) limit the term of assistance for a family 
                assisted under this subsection; and
                  (B) modify the requirements of this 
                subsection as the Secretary determines to be 
                necessary to make appropriate adaptations for 
                lease-purchase agreements.
          (5) Inapplicability of certain provisions.--
        Assistance under this subsection shall not be subject 
        to the requirements of the following provisions:
                  (A) Subsection (c)(3)(B) of this section.
                  (B) Subsection (d)(1)(B)(i) of this section.
                  (C) Any other provisions of this section 
                governing maximum amounts payable to owners and 
                amounts payable by assisted families.
                  (D) Any other provisions of this section 
                concerning contracts between public housing 
                agencies and owners.
                  (E) Any other provisions of this Act that are 
                inconsistent with the provisions of this 
                subsection.
          (6) Reversion to rental status.--
                  (A) FHA-insured mortgages.--If a family 
                receiving assistance under this subsection for 
                occupancy of a dwelling defaults under a 
                mortgage for the dwelling insured by the 
                Secretary under the National Housing Act, the 
                family may not continue to receive rental 
                assistance under this section unless the family 
                (i) transfers to the Secretary marketable title 
                to the dwelling, (ii) moves from the dwelling 
                within the period established or approved by 
                the Secretary, and (iii) agrees that any 
                amounts the family is required to pay to 
                reimburse the escrow account under section 
                23(d)(3) may be deducted by the public housing 
                agency from the assistance payment otherwise 
                payable on behalf of the family.
                  (B) Other mortgages.--If a family receiving 
                assistance under this subsection defaults under 
                a mortgage not insured under the National 
                Housing Act, the family may not continue to 
                receive rental assistance under this section 
                unless it complies with requirements 
                established by the Secretary.
                  (C) All mortgages.--A family receiving 
                assistance under this subsection that defaults 
                under a mortgage may not receive assistance 
                under this subsection for occupancy of another 
                dwelling owned by one or more members of the 
                family.
          (7) Downpayment assistance.--
                  (A) Authority.--A public housing agency may, 
                in lieu of providing monthly assistance 
                payments under this subsection on behalf of a 
                family eligible for such assistance and at the 
                discretion of the public housing agency, 
                provide assistance for the family in the form 
                of a single grant to be used only as a 
                contribution toward the downpayment required in 
                connection with the purchase of a dwelling for 
                fiscal year 2000 and each fiscal year 
                thereafter to the extent provided in advance in 
                appropriations Acts.
                  (B) Amount.--The amount of a downpayment 
                grant on behalf of an assisted family may not 
                exceed the amount that is equal to the sum of 
                the assistance payments that would be made 
                during the first year of assistance on behalf 
                of the family, based upon the income of the 
                family at the time the grant is to be made.
          (8) Definition of first-time homeowner.--For purposes 
        of this subsection, the term ``first-time homeowner'' 
        means--
                  (A) a family, no member of which has had a 
                present ownership interest in a principal 
                residence during the 3 years preceding the date 
                on which the family initially receives 
                assistance for homeownership under this 
                subsection; and
                  (B) any other family, as the Secretary may 
                prescribe.
  (z) Termination of Section 8 Contracts and Reuse of 
Recaptured Budget Authority.--
          (1) General authority.--The Secretary may reuse any 
        budget authority, in whole or part, that is recaptured 
        on account of expiration or termination of a housing 
        assistance payments contract only for one or more of 
        the following:
                  (A) Tenant-based assistance.--Pursuant to a 
                contract with a public housing agency, to 
                provide tenant-based assistance under this 
                section to families occupying units formerly 
                assisted under the terminated contract.
                  (B) Project-based assistance.--Pursuant to a 
                contract with an owner, to attach assistance to 
                one or more structures under this section, for 
                relocation of families occupying units formerly 
                assisted under the terminated contract.
          (2) Families occupying units formerly assisted under 
        terminated contract.--Pursuant to paragraph (1), the 
        Secretary shall first make available tenant- or 
        project-based assistance to families occupying units 
        formerly assisted under the terminated contract. The 
        Secretary shall provide project-based assistance in 
        instances only where the use of tenant-based assistance 
        is determined to be infeasible by the Secretary.
  (aa) Refinancing Incentive.--
          (1) In general.--The Secretary may pay all or a part 
        of the up front costs of refinancing for each project 
        that--
                  (A) is constructed, substantially 
                rehabilitated, or moderately rehabilitated 
                under this section;
                  (B) is subject to an assistance contract 
                under this section; and
                  (C) was subject to a mortgage that has been 
                refinanced under section 223(a)(7) or section 
                223(f) of the National Housing Act to lower the 
                periodic debt service payments of the owner.
          (2) Share from reduced assistance payments.--The 
        Secretary may pay the up front cost of refinancing 
        only--
                  (A) to the extent that funds accrue to the 
                Secretary from the reduced assistance payments 
                that results from the refinancing; and
                  (B) after the application of amounts in 
                accordance with section 1012 of the Stewart B. 
                McKinney Homeless Assistance Amendments Act of 
                1988.
  (bb) Transfer, Reuse, and Rescission of Budget Authority.--
          (1) Transfer of Budget Authority.--If an assistance 
        contract under this section, other than a contract for 
        tenant-based assistance, is terminated or is not 
        renewed, or if the contract expires, the Secretary 
        shall, in order to provide continued assistance to 
        eligible families, including eligible families 
        receiving the benefit of the project-based assistance 
        at the time of the termination, transfer any budget 
        authority remaining in the contract to another 
        contract. The transfer shall be under such terms as the 
        Secretary may prescribe.
          (2) Reuse and rescission of certain recaptured budget 
        authority.--Notwithstanding paragraph (1), if a 
        project-based assistance contract for an eligible 
        multifamily housing project subject to actions 
        authorized under title I is terminated or amended as 
        part of restructuring under section 517 of the 
        Multifamily Assisted Housing Reform and Affordability 
        Act of 1997, the Secretary shall recapture the budget 
        authority not required for the terminated or amended 
        contract and use such amounts as are necessary to 
        provide housing assistance for the same number of 
        families covered by such contract for the remaining 
        term of such contract, under a contract providing for 
        project-based or tenant-based assistance. The amount of 
        budget authority saved as a result of the shift to 
        project-based or tenant-based assistance shall be 
        rescinded.
  (cc) Law Enforcement and Security Personnel.--
          (1) In general.--Notwithstanding any other provision 
        of this Act, in the case of assistance attached to a 
        structure, for the purpose of increasing security for 
        the residents of a project, an owner may admit, and 
        assistance under this section may be provided to, 
        police officers and other security personnel who are 
        not otherwise eligible for assistance under the Act.
          (2) Rent requirements.--With respect to any 
        assistance provided by an owner under this subsection, 
        the Secretary may--
                  (A) permit the owner to establish such rent 
                requirements and other terms and conditions of 
                occupancy that the Secretary considers to be 
                appropriate; and
                  (B) require the owner to submit an 
                application for those rent requirements, which 
                application shall include such information as 
                the Secretary, in the discretion of the 
                Secretary, determines to be necessary.
          (3) Applicability.--This subsection shall apply to 
        fiscal year 1999 and fiscal years thereafter.
  (dd) Tenant-Based Contract Renewals.--Subject to amounts 
provided in appropriation Acts, starting in fiscal year 1999, 
the Secretary shall renew all expiring tenant-based annual 
contribution contracts under this section by applying an 
inflation factor based on local or regional factors to an 
allocation baseline. The allocation baseline shall be 
calculated by including, at a minimum, amounts sufficient to 
ensure continued assistance for the actual number of families 
assisted as of October 1, 1997, with appropriate upward 
adjustments for incremental assistance and additional families 
authorized subsequent to that date.

           *       *       *       *       *       *       *

                              ----------                              


             HOUSING AND COMMUNITY DEVELOPMENT ACT OF 1992



           *       *       *       *       *       *       *
TITLE I--HOUSING ASSISTANCE

           *       *       *       *       *       *       *


Subtitle E--Homeownership Programs

           *       *       *       *       *       *       *


SEC. 184. LOAN GUARANTEES FOR INDIAN HOUSING.

  (a) Authority.--To provide access to sources of private 
financing to Indian families, Indian housing authorities, and 
Indian tribes, who otherwise could not acquire housing 
financing because of the unique legal status of Indian lands, 
the Secretary may guarantee not to exceed 100 percent of the 
unpaid principal and interest due on any loan eligible under 
subsection (b) made to an Indian family, Indian housing 
authority, or Indian tribe.
  (b) Eligible Loans.--Loans guaranteed pursuant to this 
section shall meet the following requirements:
          (1) Eligible borrowers.--The loans shall be made only 
        to borrowers who are Indian families, Indian housing 
        authorities, or Indian tribes.
          (2) Eligible housing.--The loan shall be used to 
        construct, acquire, refinance, or rehabilitate 1- to 4-
        family dwellings that are standard housing and are 
        located on trust land or land located in an Indian or 
        Alaska Native area.
          (3) Security.--The loan may be secured by any 
        collateral authorized under existing Federal law or 
        applicable State or tribal law.
          (4) Lenders.--The loan shall be made only by a lender 
        approved by and meeting qualifications established by 
        the Secretary, except that loans otherwise insured or 
        guaranteed by an agency of the Federal Government or 
        made by an organization of Indians from amounts 
        borrowed from the United States shall not be eligible 
        for guarantee under this section. The following lenders 
        are deemed to be approved under this paragraph:
                  (A) Any mortgagee approved by the Secretary 
                of Housing and Urban Development for 
                participation in the single family mortgage 
                insurance program under title II of the 
                National Housing Act.
                  (B) Any lender whose housing loans under 
                chapter 37 of title 38, United States Code are 
                automatically guaranteed pursuant to section 
                1802(d) of such title.
                  (C) Any lender approved by the Secretary of 
                Agriculture to make guaranteed loans for single 
                family housing under the Housing Act of 1949.
                  (D) Any other lender that is supervised, 
                approved, regulated, or insured by any agency 
                of the Federal Government.
          (5) Terms.--The loan shall--
                  (A) be made for a term not exceeding 30 
                years;
                  (B) bear interest (exclusive of the guarantee 
                fee under section 404 and service charges, if 
                any) at a rate agreed upon by the borrower and 
                the lender and determined by the Secretary to 
                be reasonable, which may not exceed the rate 
                generally charged in the area (as determined by 
                the Secretary) for home mortgage loans not 
                guaranteed or insured by any agency or 
                instrumentality of the Federal Government;
                  (C) involve a principal obligation not 
                exceeding--
                          (i) 97.75 percent of the appraised 
                        value of the property as of the date 
                        the loan is accepted for guarantee (or 
                        98.75 percent if the value of the 
                        property is $50,000 or less); and
                          (ii) the amount approved by the 
                        Secretary under this section; and
                  (D) involve a payment on account of the 
                property (i) in cash or its equivalent, or (ii) 
                through the value of any improvements to the 
                property made through the skilled or unskilled 
                labor of the borrower, as the Secretary shall 
                provide.
  (c) Certificate of Guarantee.--
          (1) Approval process.--Before the Secretary approves 
        any loan for guarantee under this section, the lender 
        shall submit the application for the loan to the 
        Secretary for examination. If the Secretary approves 
        the loan for guarantee, the Secretary shall issue a 
        certificate under this paragraph as evidence of the 
        guarantee.
          (2) Standard for approval.--The Secretary may approve 
        a loan for guarantee under this section and issue a 
        certificate under this paragraph only if the Secretary 
        determines there is a reasonable prospect of repayment 
        of the loan.
          (3) Effect.--A certificate of guarantee issued under 
        this paragraph by the Secretary shall be conclusive 
        evidence of the eligibility of the loan for guarantee 
        under the provisions of this section and the amount of 
        such guarantee. Such evidence shall be incontestable in 
        the hands of the bearer and the full faith and credit 
        of the United States is pledged to the payment of all 
        amounts agreed to be paid by the Secretary as security 
        for such obligations.
          (4) Fraud and misrepresentation.--This subsection may 
        not be construed to preclude the Secretary from 
        establishing defenses against the original lender based 
        on fraud or material misrepresentation or to bar the 
        Secretary from establishing by regulations in effect on 
        the date of issuance or disbursement, whichever is 
        earlier, partial defenses to the amount payable on the 
        guarantee.
  (d) Guarantee Fee.--The Secretary shall establish and 
collect, at the time of issuance of the guarantee, a fee for 
the guarantee of loans under this section, in an amount not 
exceeding 3 percent of the principal obligation of the loan. 
The Secretary may also establish and collect annual premium 
payments in an amount not exceeding 1 percent of the remaining 
guaranteed balance (excluding the portion of the remaining 
balance attributable to the fee collected at the time of 
issuance of the guarantee). The Secretary shall establish the 
amount of the fees and premiums by publishing a notice in the 
Federal Register. The Secretary shall deposit any fees and 
premiums collected under this subsection in the Indian Housing 
Loan Guarantee Fund established under subsection (i).
  (e) Liability Under Guarantee.--The liability under a 
guarantee provided under this section shall decrease or 
increase on a pro rata basis according to any decrease or 
increase in the amount of the unpaid obligation under the 
provisions of the loan agreement.
  (f) Transfer and Assumption.--Notwithstanding any other 
provision of law, any loan guaranteed under this section, 
including the security given for the loan, may be sold or 
assigned by the lender to any financial institution subject to 
examination and supervision by an agency of the Federal 
Government or of any State or the District of Columbia.
  (g) Disqualification of Lenders and Civil Money Penalties.--
          (1) In general.--If the Secretary determines that any 
        lender or holder of a guarantee certificate under 
        subsection (c) has failed to maintain adequate 
        accounting records, to adequately service loans 
        guaranteed under this section, to exercise proper 
        credit or underwriting judgment, or has engaged in 
        practices otherwise detrimental to the interest of a 
        borrower or the United States, the Secretary may--
                  (A) refuse, either temporarily or 
                permanently, to guarantee any further loans 
                made by such lender or holder;
                  (B) bar such lender or holder from acquiring 
                additional loans guaranteed under this section; 
                and
                  (C) require that such lender or holder assume 
                not less than 10 percent of any loss on further 
                loans made or held by the lender or holder that 
                are guaranteed under this section.
          (2) Civil money penalties for intentional 
        violations.--If the Secretary determines that any 
        lender or holder of a guarantee certificate under 
        subsection (c) has intentionally failed to maintain 
        adequate accounting records, to adequately service 
        loans guaranteed under this section, or to exercise 
        proper credit or underwriting judgment, the Secretary 
        may impose a civil money penalty on such lender or 
        holder in the manner and amount provided under section 
        536 of the National Housing Act with respect to 
        mortgagees and lenders under such Act.
          (3) Payment on loans made in good faith.--
        Notwithstanding paragraphs (1) and (2), the Secretary 
        may not refuse to pay pursuant to a valid guarantee on 
        loans of a lender or holder barred under this 
        subsection if the loans were previously made in good 
        faith.
  (h) Payment Under Guarantee.--
          (1) Lender options.--
                  (A) In general.--In the event of default by 
                the borrower on a loan guaranteed under this 
                section, the holder of the guarantee 
                certificate shall provide written notice of the 
                default to the Secretary. Upon providing such 
                notice, the holder of the guarantee certificate 
                shall be entitled to payment under the 
                guarantee (subject to the provisions of this 
                section) and may proceed to obtain payment in 
                one of the following manners:
                          (i) Foreclosure.--The holder of the 
                        certificate may initiate foreclosure 
                        proceedings (after providing written 
                        notice of such action to the Secretary) 
                        and upon a final order by the court 
                        authorizing foreclosure and submission 
                        to the Secretary of a claim for payment 
                        under the guarantee, the Secretary 
                        shall pay to the holder of the 
                        certificate the pro rata portion of the 
                        amount guaranteed (as determined 
                        pursuant to subsection (e)) plus 
                        reasonable fees and expenses as 
                        approved by the Secretary. The 
                        Secretary shall be subrogated to the 
                        rights of the holder of the guarantee 
                        and the lender holder shall assign the 
                        obligation and security to the 
                        Secretary.
                          (ii) No foreclosure.--Without seeking 
                        foreclosure (or in any case in which a 
                        foreclosure proceeding initiated under 
                        clause (i) continues for a period in 
                        excess of 1 year), the holder of the 
                        guarantee may submit to the Secretary a 
                        request to assign the obligation and 
                        security interest to the Secretary in 
                        return for payment of the claim under 
                        the guarantee. The Secretary may accept 
                        assignment of the loan if 
                        the Secretary determines that the 
                        assignment is in the best interests of 
                        the United States. Upon assignment, the 
                        Secretary shall pay to the holder of 
                        the 
                        guarantee the pro rata portion of the 
                        amount guaranteed (as determined under 
                        subsection (e)). The 
                        Secretary shall be subrogated to the 
                        rights of the holder of the guarantee 
                        and the holder shall assign the 
                        obligation and security to the 
                        Secretary.
                  (B) Requirements.--Before any payment under a 
                guarantee is made under subparagraph (A), the 
                holder of the guarantee shall exhaust all 
                reasonable possibilities of collection. 
                Exhausting all reasonable possibilities of 
                collection by the holder of the guarantee shall 
                include a good faith consideration of loan 
                modification as well as meeting standards for 
                servicing loans in default, as determined by 
                the Secretary. Upon payment, in whole or in 
                part, to the holder, the note or judgment 
                evidencing the debt shall be assigned to the 
                United States and the holder shall have no 
                further claim against the borrower or the 
                United States. The Secretary shall then take 
                such action to collect as the Secretary 
                determines appropriate.
          (2) Limitations on liquidation.--In the event of a 
        default by the borrower on a loan guaranteed under this 
        section involving a security interest in restricted 
        Indian land, the mortgagee or the Secretary shall only 
        pursue liquidation after offering to transfer the 
        account to an eligible tribal member, the tribe, or the 
        Indian housing authority serving the tribe or tribes. 
        If the mortgagee or the Secretary subsequently proceeds 
        to liquidate the account, the mortgagee or the 
        Secretary shall not sell, transfer, or otherwise 
        dispose of or alienate the property except to one of 
        the entities described in the preceding sentence.
  (i) Indian Housing Loan Guarantee Fund.--
          (1) Establishment.--There is established in the 
        Treasury of the United States the Indian Housing Loan 
        Guarantee Fund for the purpose of providing loan 
        guarantees under this section.
          (2) Credits.--The Guarantee Fund shall be credited 
        with--
                  (A) any amounts, claims, notes, mortgages, 
                contracts, and property acquired by the 
                Secretary under this section, and any 
                collections and proceeds therefrom;
                  (B) any amounts appropriated under paragraph 
                (7);
                  (C) any guarantee fees collected under 
                subsection (d); and
                  (D) any interest or earnings on amounts 
                invested under paragraph (4).
          (3) Use.--Amounts in the Guarantee Fund shall be 
        available, to the extent provided in appropriation 
        Acts, for--
                  (A) fulfilling any obligations of the 
                Secretary with respect to loans guaranteed 
                under this section, including the costs (as 
                such term is defined in section 502 of the 
                Congressional Budget Act of 1974) of such 
                loans;
                  (B) paying taxes, insurance, prior liens, 
                expenses necessary to make fiscal adjustment in 
                connection with the application and transmittal 
                of collections, and other expenses and advances 
                to protect the Secretary for loans which are 
                guaranteed under this section or held by the 
                Secretary;
                  (C) acquiring such security property at 
                foreclosure sales or otherwise;
                  (D) paying administrative expenses in 
                connection with this section; and
                  (E) reasonable and necessary costs of 
                rehabilitation and repair to properties that 
                the Secretary holds or owns pursuant to this 
                section.
          (4) Investment.--Any amounts in the Guarantee Fund 
        determined by the Secretary to be in excess of amounts 
        currently required to carry out this section may be 
        invested in obligations of the United States.
          (5) Limitation on commitments to guarantee loans and 
        mortgages.--
                  (A) Requirement of appropriations.--The 
                authority of the Secretary to enter into 
                commitments to guarantee loans under this 
                section shall be effective for any fiscal year 
                to the extent or in such amounts as are or have 
                been provided in appropriations Acts, without 
                regard to the fiscal year for which such 
                amounts were appropriated.
                  (B) Limitations on costs of guarantees.--The 
                authority of the Secretary to enter into 
                commitments to guarantee loans under this 
                section shall be effective for any fiscal year 
                only to the extent that amounts in the 
                Guarantee Fund are or have been made available 
                in appropriation Acts to cover the costs (as 
                such term is defined in section 502 of the 
                Congressional Budget Act of 1974) of such loan 
                guarantees for such fiscal year. There are 
                authorized to be appropriated for such costs 
                $12,200,000 for each of fiscal years 2018 
                through 2022. Any amounts appropriated pursuant 
                to this subparagraph shall remain available 
                until expended.
                  (C) Limitation on outstanding aggregate 
                principal amount.--Subject to the limitations 
                in subparagraphs (A) and (B), the Secretary may 
                enter into commitments to guarantee loans under 
                this section in each of fiscal years [2008 
                through 2012] 2018 through 2022 with an 
                aggregate outstanding principal amount not 
                exceeding [such amount as may be provided in 
                appropriation Acts for] $976,000,000 for each 
                such fiscal year.
          (6) Liabilities.--All liabilities and obligations of 
        the assets credited to the Guarantee Fund under 
        paragraph (2)(A) shall be liabilities and obligations 
        of the Guarantee Fund.
          (7) Authorization of appropriations.--There are 
        authorized to be appropriated to the Guarantee Fund to 
        carry out this section such sums as may be necessary 
        for each of fiscal years 2008 through 2012.
  (j) Requirements for Standard Housing.--The Secretary shall, 
by regulation, establish housing safety and quality standards 
for use under this section. Such standards shall provide 
sufficient flexibility to permit the use of various designs and 
materials in housing acquired with loans guaranteed under this 
section. The standards shall require each dwelling unit in any 
housing so acquired to--
          (1) be decent, safe, sanitary, and modest in size and 
        design;
          (2) conform with applicable general construction 
        standards for the region;
          (3) contain a heating system that--
                  (A) has the capacity to maintain a minimum 
                temperature in the dwelling of 65 degrees 
                Fahrenheit during the coldest weather in the 
                area;
                  (B) is safe to operate and maintain;
                  (C) delivers a uniform distribution of heat; 
                and
                  (D) conforms to any applicable tribal heating 
                code or, if there is no applicable tribal code, 
                an appropriate county, State, or National code;
          (4) contain a plumbing system that--
                  (A) uses a properly installed system of 
                piping;
                  (B) includes a kitchen sink and a partitional 
                bathroom with lavatory, toilet, and bath or 
                shower; and
                  (C) uses water supply, plumbing, and sewage 
                disposal systems that conform to any applicable 
                tribal code or, if there is no applicable 
                tribal code, the minimum standards established 
                by the applicable county or State;
          (5) contain an electrical system using wiring and 
        equipment properly installed to safely supply 
        electrical energy for adequate lighting and for 
        operation of appliances that conforms to any applicable 
        tribal code or, if there is no applicable tribal code, 
        an appropriate county, State, or National code;
          (6) be not less than--
                  (A)(i) 570 square feet in size, if designed 
                for a family of not more than 4 persons;
                  (ii) 850 square feet in size, if designed for 
                a family of not less than 5 and not more than 7 
                persons; and
                  (iii) 1020 square feet in size, if designed 
                for a family of not less than 8 persons, or
                  (B) the size provided under the applicable 
                locally adopted standards for size of dwelling 
                units;
        except that the Secretary, upon the request of a tribe 
        or Indian housing authority, may waive the size 
        requirements under this paragraph; and
          (7) conform with the energy performance requirements 
        for new construction established by the Secretary under 
        section 526(a) of the National Housing Act.
  (k) Environmental Review.--For purposes of environmental, 
review, decisionmaking, and action under the National 
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) and 
any other law that furthers the purposes of that Act, a loan 
guarantee under this section shall--
          (1) be treated as a grant under the Native American 
        Housing Assistance and Self-Determination Act of 1996 
        (25 U.S.C. 4101 et seq.); and
          (2) be subject to the regulations promulgated by the 
        Secretary to carry out section 105 of the Native 
        American Housing Assistance and Self-Determination Act 
        of 1996 (25 U.S.C. 4115).
  (l) Definitions.--For purposes of this section:
          (1) The term ``family'' means 1 or more persons 
        maintaining a household, as the Secretary shall by 
        regulation provide.
          (2) The term ``Guarantee Fund'' means the Indian 
        Housing Loan Guarantee Fund established under 
        subsection (i).
          (3) The term ``Indian'' means person recognized as 
        being Indian or Alaska Native by an Indian tribe, the 
        Federal Government, or any State.
          (4) The term ``Indian area'' means the area within 
        which an Indian housing authority or Indian tribe is 
        authorized to provide housing.
          (5) The term ``Indian housing authority'' means any 
        entity that--
                  (A) is authorized to engage in or assist in 
                the development or operation of--
                          (i) low-income housing for Indians; 
                        or
                          (ii) housing subject to the 
                        provisions of this section; and
                  (B) is established--
                          (i) by exercise of the power of self-
                        government of an Indian tribe 
                        independent of State law; or
                          (ii) by operation of State law 
                        providing specifically for housing 
                        authorities for Indians, including 
                        regional housing authorities in the 
                        State of Alaska.
        The term includes tribally designated housing entities 
        under the Native American Housing Assistance and Self-
        Determination Act of 1996.
          (6) The term ``Secretary'' means the Secretary of 
        Housing and Urban Development.
          (7) The term ``standard housing'' means a dwelling 
        unit or housing that complies with the requirements 
        established under subsection (j).
          (8) Tribe; indian tribe.--The term ``tribe'' or 
        ``Indian tribe'' means any Indian tribe, band, nation, 
        or other organized group or community of Indians, 
        including any Alaska Native village or regional or 
        village corporation as defined in or established 
        pursuant to the Alaska Native Claims Settlement Act, 
        that is recognized as eligible for the special programs 
        and services provided by the United States to Indians 
        because of their status as Indians pursuant to the 
        Indian Self-Determination and Education Assistance Act 
        of 1975.
          (9) The term ``trust land'' means land title to which 
        is held by the United States for the benefit of an 
        Indian or Indian tribe or title to which is held by an 
        Indian tribe subject to a restriction against 
        alienation imposed by the United States.

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                              ----------                              


      AMERICAN HOMEOWNERSHIP AND ECONOMIC OPPORTUNITY ACT OF 2000



           *       *       *       *       *       *       *
SEC. 501. LANDS TITLE REPORT COMMISSION.

  (a) Establishment.--[Subject to sums being provided in 
advance in appropriations Acts, there] There is established a 
Commission to be known as the Lands Title Report Commission 
(hereafter in this section referred to as the ``Commission'') 
to facilitate home loan mortgages on Indian trust lands. The 
Commission will be subject to oversight by the Committee on 
Banking and Financial Services of the House of Representatives 
and the Committee on Banking, Housing, and Urban Affairs of the 
Senate.
  (b) Membership.--
          (1) Appointment.--The Commission shall be composed of 
        12 members, appointed not later than 90 days after the 
        date of the enactment of [this Act] the Native American 
        Housing Assistance and Self-Determination 
        Reauthorization Act of 2017 as follows:
                  (A) Four members shall be appointed by the 
                President.
                  (B) Four members shall be appointed by the 
                Chairperson of the Committee on Banking and 
                Financial Services of the House of 
                Representatives.
                  (C) Four members shall be appointed by the 
                Chairperson of the Committee on Banking, 
                Housing, and Urban Affairs of the Senate.
          (2) Qualifications.--
                  (A) Members of tribes.--At all times, not 
                less than eight of the members of the 
                Commission shall be members of federally 
                recognized Indian tribes.
                  (B) Experience in land title matters.--All 
                members of the Commission shall have experience 
                in and knowledge of land title matters relating 
                to Indian trust lands.
          (3) Chairperson.--The Chairperson of the Commission 
        shall be one of the members of the Commission appointed 
        under paragraph (1)(C), as elected by the members of 
        the Commission.
          (4) Vacancies.--Any vacancy on the Commission shall 
        not affect its powers, but shall be filled in the 
        manner in which the original appointment was made.
          (5) Travel expenses.--Members of the Commission shall 
        serve without pay, but each member shall receive travel 
        expenses, including per diem in lieu of subsistence, in 
        accordance with sections 5702 and 5703 of title 5, 
        United States Code.
  (c) Initial Meeting.--The Chairperson of the Commission shall 
call the initial meeting of the Commission. Such meeting shall 
be held within 30 days after the Chairperson of the Commission 
determines that sums sufficient for the Commission to carry out 
its duties under this Act have been appropriated for such 
purpose.
  (d) Duties.--The Commission shall analyze the system of the 
Bureau of Indian Affairs of the Department of the Interior for 
maintaining land ownership records and title documents and 
issuing certified title status reports relating to Indian trust 
lands and, pursuant to such analysis, determine how best to 
improve or replace the system--
          (1) to ensure prompt and accurate responses to 
        requests for title status reports;
          (2) to eliminate any backlog of requests for title 
        status reports; and
          (3) to ensure that the administration of the system 
        will not in any way impair or restrict the ability of 
        Native Americans to obtain conventional loans for 
        purchase of residences located on Indian trust lands, 
        including any actions necessary to ensure that the 
        system will promptly be able to meet future demands for 
        certified title status reports, taking into account the 
        anticipated complexity and volume of such requests.
  (e) Report.--Not later than the date of the termination of 
the Commission under subsection (h), the Commission shall 
submit a report to the Committee on Banking and Financial 
Services of the House of Representatives and the Committee on 
Banking, Housing, and Urban Affairs of the Senate describing 
the analysis and determinations made pursuant to subsection 
(d).
  (f) Powers.--
          (1) Hearings and sessions.--The Commission may, for 
        the purpose of carrying out this section, hold 
        hearings, sit and act at times and places, take 
        testimony, and receive evidence as the Commission 
        considers appropriate.
          (2) Staff of federal agencies.--Upon request of the 
        Commission, the head of any Federal department or 
        agency may detail, on a reimbursable basis, any of the 
        personnel of that department or agency to the 
        Commission to assist it in carrying out its duties 
        under this section.
          (3) Obtaining official data.--The Commission may 
        secure directly from any department or agency of the 
        United States information necessary to enable it to 
        carry out this section. Upon request of the Chairperson 
        of the Commission, the head of that department or 
        agency shall furnish that information to the 
        Commission.
          (4) Mails.--The Commission may use the United States 
        mails in the same manner and under the same conditions 
        as other departments and agencies of the United States.
          (5) Administrative support services.--Upon the 
        request of the Commission, the Administrator of General 
        Services shall provide to the Commission, on a 
        reimbursable basis, the administrative support services 
        necessary for the Commission to carry out its duties 
        under this section.
          (6) Staff.--The Commission may appoint personnel as 
        it considers appropriate, subject to the provisions of 
        title 5, United States Code, governing appointments in 
        the competitive service, and shall pay such personnel 
        in accordance with the provisions of chapter 51 and 
        subchapter III of chapter 53 of that title relating to 
        classification and General Schedule pay rates.
  (g) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section such sums as may be 
necessary, and any amounts appropriated pursuant to this 
subsection shall remain available until expended.
  (h) Termination.--The Commission shall terminate 1 year after 
the date of the initial meeting of the Commission.

           *       *       *       *       *       *       *


                             MINORITY VIEWS

    Democrats support the reauthorization of the Native 
American Housing Assistance and Self-Determination Act 
(NAHASDA), which authorizes critical affordable housing and 
community development programs for Native American tribes and 
Native Hawaiians. However, H.R. 3864 arbitrarily excludes 
reauthorization for the Native Hawaiian housing programs under 
NAHASDA.
    Congress has historically recognized that it has a unique 
trust responsibility to promote the welfare of Native 
Hawaiians, whose ancestors were displaced from their homelands 
by European and American colonialism. Today, Native Hawaiians 
experience some of the poorest housing conditions in the 
country, but have limited resources to address issues with 
substandard housing conditions, as well as housing 
affordability and availability. The Hawaiian homelands also 
include very remote rural areas that present challenges for 
housing development. Other federal housing programs are not 
necessarily designed in a way that would adequately address the 
challenges that Native Hawaiians face. In light of this history 
and the unique housing challenges that Native Hawaiians face, 
it is critical that we reauthorize the Native Hawaiian housing 
programs under NAHASDA.
    H.R. 3864 would also exempt Native American tribes from 
current maximum rent requirements for tribes that develop their 
own policies governing rent levels, without requiring tribes to 
include hardship policies for tenants who cannot afford higher 
rent levels. Native Americans experience disproportionately 
high levels of poverty and should not be burdened with 
unaffordable rent levels.
    For these reasons, we oppose H.R. 3864.

                                   Maxine Waters.
                                   Nydia Velazquez.
                                   Juan Vargas.
                                   Michael E. Capuano.
                                   Carolyn B. Maloney.
                                   Al Green.
                                   Emanuel Cleaver.
                                   Gwen Moore.
                                   Stephen F. Lynch.
                                   Keith Ellison.

                                  [all]