[114th Congress Public Law 201]
[From the U.S. Government Publishing Office]
[[Page 781]]
HOUSING OPPORTUNITY THROUGH MODERNIZATION ACT OF 2016
[[Page 130 STAT. 782]]
Public Law 114-201
114th Congress
An Act
To provide housing opportunities in the United States through
modernization of various housing programs, and for other
purposes. <<NOTE: July 29, 2016 - [H.R. 3700]>>
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled, <<NOTE: Housing
Opportunity Through Modernization Act of 2016. 42 USC 1437 note.>>
SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Housing Opportunity
Through Modernization Act of 2016''.
(b) Table of Contents.--The table of contents for this Act is as
follows:
Sec. 1. Short title and table of contents.
TITLE I--SECTION 8 RENTAL ASSISTANCE AND PUBLIC HOUSING
Sec. 101. Inspection of dwelling units.
Sec. 102. Income reviews.
Sec. 103. Limitation on public housing tenancy for over-income families.
Sec. 104. Limitation on eligibility for assistance based on assets.
Sec. 105. Units owned by public housing agencies.
Sec. 106. PHA project-based assistance.
Sec. 107. Establishment of fair market rent.
Sec. 108. Collection of utility data.
Sec. 109. Public housing Capital and Operating Funds.
Sec. 110. Family unification program for children aging out of foster
care.
Sec. 111. Public housing heating guidelines.
Sec. 112. Use of vouchers for manufactured housing.
Sec. 113. Preference for United States citizens or nationals.
Sec. 114. Exception to public housing agency resident board member
requirement.
TITLE II--RURAL HOUSING
Sec. 201. Delegation of guaranteed rural housing loan approval.
Sec. 202. Guaranteed underwriting user fee.
TITLE III--FHA MORTGAGE INSURANCE FOR CONDOMINIUMS
Sec. 301. Modification of FHA requirements for mortgage insurance for
condominiums.
TITLE IV--HOUSING REFORMS FOR THE HOMELESS AND FOR VETERANS
Sec. 401. Definition of geographic area for Continuum of Care Program.
Sec. 402. Inclusion of public housing agencies and local redevelopment
authorities in emergency solutions grants.
Sec. 403. Special assistant for Veterans Affairs in the Department of
Housing and Urban Development.
Sec. 404. Annual supplemental report on veterans homelessness.
Sec. 405. Reopening of public comment period for continuum of care
program regulations.
TITLE V--MISCELLANEOUS
Sec. 501. Inclusion of Disaster Housing Assistance Program in certain
fraud and abuse prevention measures.
Sec. 502. Energy efficiency requirements under Self-Help Homeownership
Opportunity program.
[[Page 130 STAT. 783]]
Sec. 503. Data exchange standardization for improved interoperability.
TITLE VI--REPORTS
Sec. 601. Report on interagency family economic empowerment strategies.
TITLE VII--HOUSING OPPORTUNITIES FOR PERSONS WITH AIDS
Sec. 701. Formula and terms for allocations to prevent homelessness for
individuals living with HIV or AIDS.
TITLE I--SECTION 8 RENTAL ASSISTANCE AND PUBLIC HOUSING
SEC. 101. INSPECTION OF DWELLING UNITS.
(a) In General.--Section 8(o)(8) of the United States Housing Act of
1937 (42 U.S.C. 1437f(o)(8)) is amended--
(1) by striking subparagraph (A) and inserting the following
new subparagraph:
``(A) <<NOTE: Determination.>> 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. <<NOTE: Time period.>> 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
[[Page 130 STAT. 784]]
subparagraph (B). This clause may not be construed
to exempt any dwelling unit from compliance with
the requirements of subparagraph (D).'';
(2) by redesignating subparagraph (G) as subparagraph (H);
and
(3) by inserting after subparagraph (F) the following new
subparagraph:
``(G) Enforcement of housing quality standards.--
``(i) <<NOTE: Contracts.>> 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) <<NOTE: Time periods.>> 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
[[Page 130 STAT. 785]]
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) <<NOTE: Time
period.>> 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 <<NOTE: Time
period.>> 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) <<NOTE: Time period.>> 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
[[Page 130 STAT. 786]]
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) <<NOTE: Determination.>> 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) <<NOTE: Contracts.>> 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.''.
(b) <<NOTE: Notice. Regulations. 42 USC 1437f note.>> Effective
Date.--The Secretary of Housing and Urban Development shall issue notice
or regulations to implement subsection (a) of this section and such
subsection shall take effect upon such issuance.
SEC. 102. INCOME REVIEWS.
(a) Income Reviews for Public Housing and Section 8 Programs.--
Section 3 of the United States Housing Act of 1937 (42 U.S.C. 1437a) is
amended--
(1) in subsection (a)--
(A) in the second sentence of paragraph (1), by
striking ``at least annually'' and inserting ``pursuant
to paragraph (6)''; and
(B) by adding at the end the following new
paragraphs:
``(6) Reviews of family income.--
``(A) Frequency.--Reviews of family income for
purposes of this section shall be made--
``(i) in the case of all families, upon the
initial provision of housing assistance for the
family;
``(ii) annually thereafter, except as provided
in paragraph (1) with respect to fixed-income
families;
``(iii) upon the request of the family, at any
time the income or deductions (under subsection
(b)(5)) of the family change by an amount that is
estimated to result in a decrease of 10 percent
(or such lower amount as the Secretary may, by
notice, establish,
[[Page 130 STAT. 787]]
or permit the public housing agency or owner to
establish) or more in annual adjusted income; and
``(iv) <<NOTE: Time period.>> at any time the
income or deductions (under subsection (b)(5)) of
the family change by an amount that is estimated
to result in an increase of 10 percent or more in
annual adjusted income, or such other amount as
the Secretary may by notice establish, except that
any increase in the earned income of a family
shall not be considered for purposes of this
clause (except that earned income may be
considered if the increase corresponds to previous
decreases under clause (iii)), except that a
public housing agency or owner may elect not to
conduct such review in the last three months of a
certification period.
``(B) In general.--Reviews of family income for
purposes of this section shall be subject to the
provisions of section 904 of the Stewart B. McKinney
Homeless Assistance Amendments Act of 1988 (42 U.S.C.
3544).
``(7) Calculation of income.--
``(A) Use of current year income.--In determining
family income for initial occupancy or provision of
housing assistance pursuant to clause (i) of paragraph
(6)(A) or pursuant to reviews pursuant to clause (iii)
or (iv) of such paragraph, a public housing agency or
owner shall use the income of the family as estimated by
the agency or owner for the upcoming year.
``(B) Use of prior year income.--In determining
family income for annual reviews pursuant to paragraph
(6)(A)(ii), a public housing agency or owner shall,
except as otherwise provided in this paragraph and
paragraph (1), use the income of the family as
determined by the agency or owner for the preceding
year, taking into consideration any redetermination of
income during such prior year pursuant to clause (iii)
or (iv) of paragraph (6)(A).
``(C) Other income.--In determining the income for
any family based on the prior year's income, with
respect to prior year calculations of income not subject
to subparagraph (B), a public housing agency or owner
may make other adjustments as it considers appropriate
to reflect current income.
``(D) Safe harbor.--A public housing agency or owner
may, to the extent such information is available to the
public housing agency or owner, determine the family's
income prior to the application of any deductions based
on timely income determinations made for purposes of
other means-tested Federal public assistance programs
(including the program for block grants to States for
temporary assistance for needy families under part A of
title IV of the Social Security Act, a program for
Medicaid assistance under a State plan approved under
title XIX of the Social Security Act, and the
supplemental nutrition assistance program (as such term
is defined in section 3 of the Food and Nutrition Act of
2008 (7 U.S.C.
2012))). <<NOTE: Consultation. Procedures.>> The
Secretary shall, in consultation with other appropriate
Federal agencies, develop electronic procedures to
enable public housing agencies and owners to have access
to such benefit determinations made by other means-
tested Federal programs
[[Page 130 STAT. 788]]
that the Secretary determines to have comparable
reliability. Exchanges of such information shall be
subject to the same limitations and tenant protections
provided under section 904 of the Stewart B. McKinney
Homeless Assistance Act Amendments of 1988 (42 U.S.C.
3544) with respect to information obtained under the
requirements of section 303(i) of the Social Security
Act (42 U.S.C. 503(i)).
``(E) Electronic income verification.--The Secretary
shall develop a mechanism for disclosing information to
a public housing agency for the purpose of verifying the
employment and income of individuals and families in
accordance with section 453(j)(7)(E) of the Social
Security Act (42 U.S.C. 653(j)(7)(E)), and shall ensure
public housing agencies have access to information
contained in the `Do Not Pay' system established by
section 5 of the Improper Payments Elimination and
Recovery Improvement Act of 2012 (Public Law 112-248;
126 Stat. 2392).
``(F) PHA and owner compliance.--A public housing
agency or owner may not be considered to fail to comply
with this paragraph or paragraph (6) due solely to any
de minimis errors made by the agency or owner in
calculating family incomes.'';
(2) by striking subsections (d) and (e); and
(3) by redesignating subsection (f) as subsection (d).
(b) <<NOTE: Deadline. Time period. Effective date.>> Certification
Regarding Hardship Exception to Minimum Monthly Rent.--Not later than
the expiration of the 6-month period beginning on the date of the
enactment of this Act, the Secretary of Housing and Urban Development
shall submit to the Congress a certification that the hardship and
tenant protection provisions in clause (i) of section 3(a)(3)(B) of the
United States Housing Act of 1937 (42 U.S.C. 1437a(a)(3)(B)(i)) are
being enforced at such time and that the Secretary will continue to
provide due consideration to the hardship circumstances of persons
assisted under relevant programs of this Act.
(c) Income; Adjusted Income.--Section 3(b) of the United States
Housing Act of 1937 (42 U.S.C. 1437a(b)) is amended by striking
paragraphs (4) and (5) and inserting the following new paragraphs:
``(4) <<NOTE: Definition. Criteria. Consultation.>>
Income.--The term `income' means, with respect to a family,
income received from all sources by each member of the household
who is 18 years of age or older or is the head of household or
spouse of the head of the household, plus unearned income by or
on behalf of each dependent who is less than 18 years of age, as
determined in accordance with criteria prescribed by the
Secretary, in consultation with the Secretary of Agriculture,
subject to the following requirements:
``(A) Included amounts.--Such term includes
recurring gifts and receipts, actual income from assets,
and profit or loss from a business.
``(B) Excluded amounts.--Such term does not
include--
``(i) any imputed return on assets, except to
the extent that net family assets exceed $50,000,
except that such amount (as it may have been
previously adjusted) shall be adjusted for
inflation annually by
[[Page 130 STAT. 789]]
the Secretary in accordance with an inflationary
index selected by the Secretary;
``(ii) any amounts that would be eligible for
exclusion under section 1613(a)(7) of the Social
Security Act (42 U.S.C. 1382b(a)(7));
``(iii) deferred disability benefits from the
Department of Veterans Affairs that are received
in a lump sum amount or in prospective monthly
amounts;
``(iv) any expenses related to aid and
attendance under section 1521 of title 38, United
States Code, to veterans who are in need of
regular aid and attendance; and
``(v) exclusions from income as established by
the Secretary by regulation or notice, or any
amount required by Federal law to be excluded from
consideration as income.
``(C) Earned income of students.--Such term does not
include--
``(i) earned income, up to an amount as the
Secretary may by regulation establish, of any
dependent earned during any period that such
dependent is attending school or vocational
training on a full-time basis; or
``(ii) any grant-in-aid or scholarship amounts
related to such attendance used--
``(I) for the cost of tuition or
books; or
``(II) in such amounts as the
Secretary may allow, for the cost of
room and board.
``(D) <<NOTE: Determination.>> Educational savings
accounts.--Income shall be determined without regard to
any amounts in or from, or any benefits from, any
Coverdell education savings account under section 530 of
the Internal Revenue Code of 1986 or any qualified
tuition program under section 529 of such Code.
``(E) Recordkeeping.--The Secretary may not require
a public housing agency or owner to maintain records of
any amounts excluded from income pursuant to this
subparagraph.
``(5) <<NOTE: Definition.>> Adjusted income.--The term
`adjusted income' means, with respect to a family, the amount
(as determined by the public housing agency or owner) of the
income of the members of the family residing in a dwelling unit
or the persons on a lease, after any deductions from income as
follows:
``(A) Elderly and disabled families.--$525 in the
case of any family that is an elderly family or a
disabled family.
``(B) Minors, students, and persons with
disabilities.--$480 for each member of the family
residing in the household (other than the head of the
household or his or her spouse) who is less than 18
years of age or is attending school or vocational
training on a full-time basis, or who is 18 years of age
or older and is a person with disabilities.
``(C) Child care.--Any reasonable child care
expenses necessary to enable a member of the family to
be employed or to further his or her education.
[[Page 130 STAT. 790]]
``(D) Health and medical expenses.--The amount, if
any, by which 10 percent of annual family income is
exceeded by the sum of--
``(i) in the case of any elderly or disabled
family, any unreimbursed health and medical care
expenses; and
``(ii) any unreimbursed reasonable attendant
care and auxiliary apparatus expenses for each
handicapped member of the family, if determined
necessary by the public housing agency or owner to
enable any member of such family to be employed.
The Secretary <<NOTE: Regulation.>> shall, by
regulation, provide hardship exemptions to the
requirements of this subparagraph and subparagraph (C)
for impacted families who demonstrate an inability to
pay calculated rents because of financial hardship.
Such <<NOTE: Notification.>> regulations shall include
a requirement to notify tenants regarding any changes to
the determination of adjusted income pursuant to such
subparagraphs based on the determination of the family's
claim of financial hardship exemptions required by the
preceding sentence. Such
regulations <<NOTE: Consultation. Comment period.>>
shall be promulgated in consultation with tenant
organizations, industry participants, and the Secretary
of Health and Human Services, with an adequate comment
period provided for interested parties.
``(E) <<NOTE: Procedures.>> Permissive
deductions.--Such additional deductions as a public
housing agency may, at its discretion, establish, except
that the Secretary shall establish procedures to ensure
that such deductions do not materially increase Federal
expenditures.
The
Secretary <<NOTE: Determination. Applicability. Regulation.>>
shall annually calculate the amounts of the deductions under
subparagraphs (A) and (B), as such amounts may have been
previously calculated, by applying an inflationary factor as the
Secretary shall, by regulation, establish, except that the
actual deduction determined for each year shall be established
by rounding such amount to the next lowest multiple of $25.''.
(d) Housing Choice Voucher Program.--Section 8(o) of the United
States Housing Act of 1937 (42 U.S.C. 1437f(o)) is amended--
(1) in paragraph (1)(D), by inserting before the period at
the end the following: ``, 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''; and
(2) in paragraph (5)--
(A) in the paragraph heading, by striking ``Annual
review'' and inserting ``Reviews'';
[[Page 130 STAT. 791]]
(B) in subparagraph (A)--
(i) by striking ``the provisions of'' and
inserting ``paragraphs (1), (6), and (7) of
section 3(a) and to''; and
(ii) by striking ``and shall be conducted''
and all that follows through the end of the
subparagraph and inserting a period; and
(C) in subparagraph (B), by striking the second
sentence.
(e) Enhanced Voucher Program.--Section 8(t)(1)(D) of the United
States Housing Act of 1937 (42 U.S.C. 1437f(t)(1)(D)) is amended by
striking ``income'' each place such term appears and inserting ``annual
adjusted income''.
(f) Project-Based Housing.--Paragraph (3) of section 8(c) of the
United States Housing Act of 1937 (42 U.S.C. 1437f(c)(3)) is amended by
striking the last sentence.
(g) <<NOTE: 42 USC 1437a note. Determination.>> Impact on Public
Housing Revenues.--
(1) Adjustments to operating formula.--If the Secretary of
Housing and Urban Development determines that the application of
subsections (a) through (e) of this section results in a
material and disproportionate reduction in the rental income of
certain public housing agencies during the first year in which
such subsections are implemented, the Secretary may make
appropriate adjustments in the formula income for such year of
those agencies experiencing such a reduction.
(2) <<NOTE: Time periods.>> HUD reports on revenue and cost
impact.--In each of the first two years after the first year in
which subsections (a) through (e) are implemented, the Secretary
of Housing and Urban Development shall submit a report to
Congress identifying and calculating the impact of changes made
by such subsections and section 104 of this Act on the revenues
and costs of operating public housing units, the voucher program
for rental assistance under section 8 of the United States
Housing Act of 1937, and the program under such section 8 for
project-based rental assistance. <<NOTE: Recommenda- tions.>>
If such report identifies a material reduction in the net income
of public housing agencies nationwide or a material increase in
the costs of funding the voucher program or the project-based
assistance program, the Secretary shall include in such report
recommendations for legislative changes to reduce or eliminate
such a reduction.
(h) <<NOTE: Notice. Regulations. 42 USC 1437a note.>> Effective
Date.--The Secretary of Housing and Urban Development shall issue notice
or regulations to implement this section and this section shall take
effect after such issuance, except that this section may only take
effect upon the commencement of a calendar year.
(i) Study on Impact on Elderly and Disabled Families of Decreased
Deductions in Income.--
(1) <<NOTE: Determination.>> Study.--The Secretary of
Housing and Urban Development shall conduct a study to determine
the impacts, on rents paid by elderly and disabled individuals
and families assisted under the section 8 rental assistance and
public housing programs under the United States Housing Act of
1937 (42 U.S.C. 1437 et seq.), of any decreases in the amounts
of any deductions from income (for purposes of section 3(b) of
such Act (42 U.S.C. 1437a(b))), as compared to such deductions
under such section 3(b) as in effect before the effectiveness of
this section, resulting from the amendments made by this
section.
[[Page 130 STAT. 792]]
(2) <<NOTE: Time period.>> Report.--The Secretary shall
submit to the Congress a report setting forth the results of the
study conducted pursuant to paragraph (1) not later than the
expiration of the 12-month period beginning on the date of the
enactment of this Act.
(3) Effective date.--Notwithstanding subsection (h) of this
section, this subsection shall take effect on the date of the
enactment of this Act.
SEC. 103. LIMITATION ON PUBLIC HOUSING TENANCY FOR OVER-INCOME
FAMILIES.
Subsection (a) of section 16 of the United States Housing Act of
1937 (42 U.S.C. 1437n(a)) is amended by adding at the end the following
new paragraph:
``(5) Limitations on tenancy for over-income families.--
``(A) Limitations.--Except as provided in
subparagraph (D), in the case of any family residing in
a dwelling unit of public housing whose income for the
most recent two consecutive years, as determined
pursuant to income reviews conducted pursuant to section
3(a)(6), has exceeded the applicable income limitation
under subparagraph (C), the public housing agency
shall--
``(i) notwithstanding any other provision of
this Act, charge such family as monthly rent for
the unit occupied by such family an amount equal
to the greater of--
``(I) the applicable fair market
rental established under section 8(c)
for a dwelling unit in the same market
area of the same size; or
``(II) <<NOTE: Regulations.>> the
amount of the monthly subsidy provided
under this Act for the dwelling unit,
which shall include any amounts from the
Operating Fund and Capital Fund under
section 9 used for the unit, as
determined by the agency in accordance
with regulations that the Secretary
shall issue to carry out this subclause;
or
``(ii) <<NOTE: Deadline.>> terminate the
tenancy of such family in public housing not later
than 6 months after the income determination
described in subparagraph (A).
``(B) Notice.--In the case of any family residing in
a dwelling unit of public housing whose income for a
year has exceeded the applicable income limitation under
subparagraph (C), upon the conclusion of such year the
public housing agency shall provide written notice to
such family of the requirements under subparagraph (A).
``(C) <<NOTE: Determination.>> Income limitation.--
The income limitation under this subparagraph shall be
120 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
establish income limitations higher or lower than 120
percent of such median income on the basis of the
Secretary's findings that such variations are necessary
because of prevailing levels of construction costs, or
unusually high or low family incomes, vacancy rates, or
rental costs.
[[Page 130 STAT. 793]]
``(D) Exception.--Subparagraph (A) shall not apply
to a family occupying a dwelling unit in public housing
pursuant to paragraph (5) of section 3(a) (42 U.S.C.
1437a(a)(5)).
``(E) Reports on over-income families and waiting
lists.--The Secretary shall require that each public
housing agency shall--
``(i) submit a report annually, in a format
required by the Secretary, that specifies--
``(I) the number of families
residing, as of the end of the year for
which the report is submitted, in public
housing administered by the agency who
had incomes exceeding the applicable
income limitation under subparagraph
(C); and
``(II) the number of families, as of
the end of such year, on the waiting
lists for admission to public housing
projects of the agency; and
``(ii) <<NOTE: Public information.>> make the
information reported pursuant to clause (i)
publicly available.''.
SEC. 104. LIMITATION ON ELIGIBILITY FOR ASSISTANCE BASED ON
ASSETS.
Section 16 of the United States Housing Act of 1937 (42 U.S.C.
1437n) is amended by inserting after subsection (d) the following new
subsection:
``(e) Eligibility for Assistance Based on Assets.--
``(1) Limitation on assets.--Subject to paragraph (3) and
notwithstanding any other provision of this Act, a dwelling unit
assisted under this Act may not be rented and assistance under
this Act may not be provided, either initially or at each
recertification of family income, to any family--
``(A) whose net family assets exceed $100,000, as
such amount is adjusted annually by applying an
inflationary factor as the Secretary considers
appropriate; or
``(B) who has a present ownership interest in, a
legal right to reside in, and the effective legal
authority to sell, real property that is suitable for
occupancy by the family as a residence, except that the
prohibition under this subparagraph shall not apply to--
``(i) any property for which the family is
receiving assistance under subsection (y) or
(o)(12) of section 8 of this Act;
``(ii) any person that is a victim of domestic
violence; or
``(iii) any family that is offering such
property for sale.
``(2) Net family assets.--
``(A) <<NOTE: Definition.>> In general.--For
purposes of this subsection, the term `net family
assets' means, for all members of the household, the net
cash value of all assets after deducting reasonable
costs that would be incurred in disposing of real
property, savings, stocks, bonds, and other forms of
capital investment. Such term does not include interests
in Indian trust land, equity in property for which the
family is receiving assistance under subsection (y) or
(o)(12) of section 8, equity accounts in homeownership
programs
[[Page 130 STAT. 794]]
of the Department of Housing and Urban Development, or
Family Self Sufficiency accounts.
``(B) Exclusions.--Such term does not include--
``(i) the value of personal property, except
for items of personal property of significant
value, as the Secretary may establish or the
public housing agency may determine;
``(ii) the value of any retirement account;
``(iii) real property for which the family
does not have the effective legal authority
necessary to sell such property;
``(iv) any amounts recovered in any civil
action or settlement based on a claim of
malpractice, negligence, or other breach of duty
owed to a member of the family and arising out of
law, that resulted in a member of the family being
disabled;
``(v) the value of any Coverdell education
savings account under section 530 of the Internal
Revenue Code of 1986 or any qualified tuition
program under section 529 of such Code; and
``(vi) such other exclusions as the Secretary
may establish.
``(C) Trust funds.--In cases in which a trust fund
has been established and the trust is not revocable by,
or under the control of, any member of the family or
household, the value of the trust fund shall not be
considered an asset of a family if the fund continues to
be held in trust. Any income distributed from the trust
fund shall be considered income for purposes of section
3(b) and any calculations of annual family income,
except in the case of medical expenses for a minor.
``(3) Self-certification.--
``(A) Net family assets.--A public housing agency or
owner may determine the net assets of a family, for
purposes of this section, based on a certification by
the family that the net assets of such family do not
exceed $50,000, as such amount is adjusted annually by
applying an inflationary factor as the Secretary
considers appropriate.
``(B) <<NOTE: Determination.>> No current real
property ownership.--A public housing agency or owner
may determine compliance with paragraph (1)(B) based on
a certification by the family that such family does not
have any current ownership interest in any real property
at the time the agency or owner reviews the family's
income.
``(C) Standardized forms.--The Secretary may develop
standardized forms for the certifications referred to in
subparagraphs (A) and (B).
``(4) Compliance for public housing dwelling units.--When
recertifying family income with respect to families residing in
public housing dwelling units, a public housing agency may, in
the discretion of the agency and only pursuant to a policy that
is set forth in the public housing agency plan under section 5A
for the agency, choose not to enforce the limitation under
paragraph (1).
``(5) Enforcement.--When recertifying the income of a family
residing in a dwelling unit assisted under this Act,
[[Page 130 STAT. 795]]
a public housing agency or owner may choose not to enforce the
limitation under paragraph (1) or may establish exceptions to
such limitation based on eligibility criteria, but only pursuant
to a policy that is set forth in the public housing agency plan
under section 5A for the agency or under a policy adopted by the
owner. Eligibility criteria for establishing exceptions may
provide for separate treatment based on family type and may be
based on different factors, such as age, disability, income, the
ability of the family to find suitable alternative housing, and
whether supportive services are being provided.
``(6) <<NOTE: Time period.>> Authority to delay
evictions.--In the case of a family residing in a dwelling unit
assisted under this Act who does not comply with the limitation
under paragraph (1), the public housing agency or project owner
may delay eviction or termination of the family based on such
noncompliance for a period of not more than 6 months.
``(7) Verifying income.--
``(A) <<NOTE: Effective
date. Records. Determination.>> Beginning in fiscal
year 2018, the Secretary shall require public housing
agencies to require each applicant for, or recipient of,
benefits under this Act to provide authorization by the
applicant or recipient (or by any other person whose
income or resources are material to the determination of
the eligibility of the applicant or recipient for such
benefits) for the public housing agency to obtain
(subject to the cost reimbursement requirements of
section 1115(a) of the Right to Financial Privacy Act)
from any financial institution (within the meaning of
section 1101(1) of such Act) any financial record
(within the meaning of section 1101(2) of such Act) held
by the institution with respect to the applicant or
recipient (or any such other person) whenever the public
housing agency determines the record is needed in
connection with a determination with respect to such
eligibility or the amount of such benefits.
``(B) Notwithstanding section 1104(a)(1) of the
Right to Financial Privacy Act, an authorization
provided by an applicant or recipient (or any other
person whose income or resources are material to the
determination of the eligibility of the applicant or
recipient) pursuant to subparagraph (A) of this
paragraph shall remain effective until the earliest of--
``(i) the rendering of a final adverse
decision on the applicant's application for
eligibility for benefits under this Act;
``(ii) the cessation of the recipient's
eligibility for benefits under this Act; or
``(iii) <<NOTE: Notification.>> the express
revocation by the applicant or recipient (or such
other person referred to in subparagraph (A)) of
the authorization, in a written notification to
the Secretary.
``(C)(i) An authorization obtained by the public
housing agency pursuant to this paragraph shall be
considered to meet the requirements of the Right to
Financial Privacy Act for purposes of section 1103(a) of
such Act, and need not be furnished to the financial
institution, notwithstanding section 1104(a) of such
Act.
[[Page 130 STAT. 796]]
``(ii) The certification requirements of section
1103(b) of the Right to Financial Privacy Act shall not
apply to requests by the public housing agency pursuant
to an authorization provided under this clause.
``(iii) A request by the public housing agency
pursuant to an authorization provided under this clause
is deemed to meet the requirements of section 1104(a)(3)
of the Right to Financial Privacy Act and the flush
language of section 1102 of such Act.
``(iv) <<NOTE: Notification.>> The public housing
agency shall inform any person who provides
authorization pursuant to this paragraph of the duration
and scope of the authorization.
``(D) If an applicant for, or recipient of, benefits
under this Act (or any such other person referred to in
subparagraph (A)) refuses to provide, or revokes, any
authorization made by the applicant or recipient for the
public housing agency to obtain from any financial
institution any financial record, the public housing
agency may, on that basis, determine that the applicant
or recipient is ineligible for benefits under this
title.''.
SEC. 105. UNITS OWNED BY PUBLIC HOUSING AGENCIES.
Paragraph (11) of section 8(o) of the United States Housing Act of
1937 (42 U.S.C. 1437f(o)(11)) is amended--
(1) by striking ``(11) Leasing of units owned by pha.--If''
and inserting the following:
``(11) Leasing of units owned by pha.--
``(A) Inspections and rent determinations.--If'';
and
(2) by adding at the end the following new subparagraph:
``(B) <<NOTE: Definition.>> 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.''.
SEC. 106. PHA PROJECT-BASED ASSISTANCE.
(a) In General.--Paragraph (13) of section 8(o) of the United States
Housing Act of 1937 (42 U.S.C. 1437f(o)(13)) is amended--
(1) by striking ``structure'' each place such term appears
and inserting ``project'';
(2) by striking subparagraph (B) and inserting the following
new subparagraph:
``(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.
[[Page 130 STAT. 797]]
``(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 <<NOTE: Regulations.>> may, by
regulation, establish additional categories for
the exception under this clause.'';
(3) by striking subparagraph (D) and inserting the following
new subparagraph:
``(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 <<NOTE: Definition.>> 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) <<NOTE: Determination. Applicabili
ty. Regulations.>> 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.
[[Page 130 STAT. 798]]
``(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.'';
(4) by striking subparagraph (F) and inserting the following
new subparagraph:
``(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
[[Page 130 STAT. 799]]
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.'';
(5) in subparagraph (G), by striking ``15 years'' and
inserting ``20 years'';
(6) by striking subparagraph (I) and inserting the following
new subparagraph:
``(I) <<NOTE: Contracts.>> 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.'';
(7) in subparagraph (J)--
(A) in the first sentence--
(i) by striking ``shall'' and inserting
``may''; and
(ii) by inserting before the period the
following: ``or may permit owners to select
applicants from site-based waiting lists as
specified in this subparagraph'';
(B) by striking the third sentence and inserting the
following: ``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.''; and
[[Page 130 STAT. 800]]
(C) <<NOTE: Procedures.>> by striking the fifth and
sixth sentences and inserting the following: ``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 <<NOTE: Disclosure.>> 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.'';
(8) in subparagraph (M)(ii), by inserting before the period
at the end the following: ``relating to funding other than
housing assistance payments''; and
(9) by adding at the end the following new subparagraphs:
``(N) <<NOTE: Notification. Public information.>>
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.''.
(b) <<NOTE: Notice. Regulations. 42 USC 1437f note.>> Effective
Date.--The Secretary of Housing and Urban Development shall issue notice
or regulations to implement subsection (a) of this section and such
subsection shall take effect upon such issuance.
SEC. 107. ESTABLISHMENT OF FAIR MARKET RENT.
(a) In General.--Paragraph (1) of section 8(c) of the United States
Housing Act of 1937 (42 U.S.C. 1437f(c)(1)) is amended--
(1) by inserting ``(A)'' after the paragraph designation;
(2) by striking the fourth, seventh, eighth, and ninth
sentences; and
(3) by adding at the end the following:
``(B) <<NOTE: Web posting.>> Fair market rentals for an area shall
be published not less than annually by the Secretary on the site of the
Department
[[Page 130 STAT. 801]]
on the World Wide Web and in any other manner specified by the
Secretary. <<NOTE: Notice. Federal Register, publication. Effective
date. Time period.>> 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.''.
(b) Payment Standard.--Subparagraph (B) of section 8(o)(1) of the
United States Housing Act of 1937 (42 U.S.C. 1437f(o)(1)(B)) is amended
by inserting before the period at the end the following: ``, 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. <<NOTE: Criteria. Procedures.>> 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) <<NOTE: 42 USC 1437f note.>> Effective Date.--The amendments
made by this section shall take effect upon the date of the enactment of
this Act.
SEC. 108. COLLECTION OF UTILITY DATA.
Section 8(o) of the United States Housing Act of 1937 (42 U.S.C.
1437f(o)) is amended by adding at the end the following new paragraph:
``(20) Collection of utility data.--
``(A) <<NOTE: Determination.>> 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.''.
SEC. 109. PUBLIC HOUSING CAPITAL AND OPERATING FUNDS.
(a) Capital Fund Replacement Reserves.--Section 9 of the United
States Housing Act of 1937 (42 U.S.C. 1437g) is amended--
(1) in subsection (j), by adding at the end the following
new paragraph:
``(7) Treatment of replacement reserve.--The requirements of
this subsection shall not apply to funds held in replacement
reserves established pursuant to subsection (n).''; and
(2) by adding at the end the following new subsection:
``(n) Establishment of Replacement Reserves.--
[[Page 130 STAT. 802]]
``(1) In general.--Public housing agencies shall be
permitted to establish a replacement reserve to fund any of the
capital activities listed in subsection (d)(1).
``(2) Source and amount of funds for replacement reserve.--
At any time, a public housing agency may deposit funds from such
agency's Capital Fund into a replacement reserve, subject to the
following:
``(A) At the discretion of the Secretary, public
housing agencies may transfer and hold in a replacement
reserve funds originating from additional sources.
``(B) No minimum transfer of funds to a replacement
reserve shall be required.
``(C) <<NOTE: Determination.>> At any time, a
public housing agency may not hold in a replacement
reserve more than the amount the public housing
authority has determined necessary to satisfy the
anticipated capital needs of properties in its portfolio
assisted under this section, as outlined in its Capital
Fund 5-Year Action Plan, or a comparable plan, as
determined by the Secretary.
``(D) <<NOTE: Regulations.>> The Secretary may
establish, by regulation, a maximum replacement reserve
level or levels that are below amounts determined under
subparagraph (C), which may be based upon the size of
the portfolio assisted under this section or other
factors.
``(3) Transfer of operating funds.--In first establishing a
replacement reserve, the Secretary may allow public housing
agencies to transfer more than 20 percent of its operating funds
into its replacement reserve.
``(4) Expenditure.--Funds in a replacement reserve may be
used for purposes authorized by subsection (d)(1) and contained
in its Capital Fund 5-Year Action Plan.
``(5) Management and report.--The Secretary shall establish
appropriate accounting and reporting requirements to ensure that
public housing agencies are spending funds on eligible projects
and that funds in the replacement reserve are connected to
capital needs.''.
(b) Flexibility of Operating Fund Amounts.--Paragraph (1) of section
9(g) of the United States Housing Act of 1937 (42 U.S.C. 1437g(g)(1)) is
amended--
(1) by striking ``(1)'' and all that follows through ``--
Of'' and inserting the following:
``(1) Flexibility in use of funds.--
``(A) Flexibility for capital fund amounts.--Of'';
and
(2) by adding at the end the following new subparagraph:
``(B) Flexibility for operating fund amounts.--Of
any amounts appropriated for fiscal year 2016 or any
fiscal year thereafter that are allocated for fiscal
year 2016 or any fiscal year thereafter from the
Operating Fund for any public housing agency, the agency
may use not more than 20 percent for activities that are
eligible under subsection (d) for assistance with
amounts from the Capital Fund, but only if the public
housing plan under section 5A for the agency provides
for such use.''.
[[Page 130 STAT. 803]]
SEC. 110. FAMILY UNIFICATION PROGRAM FOR CHILDREN AGING OUT OF
FOSTER CARE.
Section 8(x) of the United States Housing Act of 1937 (42 U.S.C.
1437f(x)) is amended--
(1) in paragraph (2)(B)--
(A) by striking ``18 months'' and inserting ``36
months'';
(B) by striking ``21 years of age'' and inserting
``24 years of age''; and
(C) by inserting after ``have left foster care'' the
following: ``, or will leave foster care within 90 days,
in accordance with a transition plan described in
section 475(5)(H) of the Social Security Act, and is
homeless or is at risk of becoming homeless'';
(2) by redesignating paragraph (4) as paragraph (5); and
(3) by inserting after paragraph (3) the following new
paragraph:
``(4) <<NOTE: Deadline. Time period. Effective
date. Consultation. Guidance.>> 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).''.
SEC. 111. PUBLIC HOUSING HEATING GUIDELINES.
Section 9 of the United States Housing Act of 1937 (42 U.S.C.
1437g), as amended by the preceding provisions of this Act, is further
amended by adding at the end the following new subsection:
``(o) <<NOTE: Publication.>> Public Housing Heating Guidelines.--
The Secretary shall publish model guidelines for minimum heating
requirements for public housing dwelling units operated by public
housing agencies receiving assistance under this section.''.
SEC. 112. USE OF VOUCHERS FOR MANUFACTURED HOUSING.
(a) In General.--Section 8(o)(12) of the United States Housing Act
of 1937 (42 U.S.C. 1437f(o)(12)) is amended--
[[Page 130 STAT. 804]]
(1) in subparagraph (A), by striking the period at the end
of the first sentence and all that follows through ``of'' in the
second sentence and inserting ``and rents''; and
(2) in subparagraph (B)--
(A) in clause (i), by striking ``the rent'' and all
that follows and inserting the following: ``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.'';
(B) by striking clause (ii); and
(C) in clause (iii)--
(i) by inserting after the period at the end
the following: ``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.''; and
(ii) by redesignating such clause as clause
(ii).
(b) <<NOTE: Notice. 42 USC 1437f note.>> Effective Date.--The
Secretary of Housing and Urban Development shall issue notice to
implement the amendments made by subsection (a) and such amendments
shall take effect upon such issuance.
SEC. 113. PREFERENCE FOR UNITED STATES CITIZENS OR NATIONALS.
Section 214(a)(7) of the Housing and Community Development Act of
1980 (42 U.S.C. 1436a(a)(7)) is amended by striking ``such alien'' and
all that follows through the period at the end and inserting ``any
citizen or national of the United States shall be entitled to a
preference or priority in receiving financial assistance before any such
alien who is otherwise eligible for assistance.''.
SEC. 114. EXCEPTION TO PUBLIC HOUSING AGENCY RESIDENT BOARD MEMBER
REQUIREMENT.
Subsection (b) of section 2 of the United States Housing Act of 1937
(42 U.S.C. 1437(b)) is amended--
(1) in paragraph (1), by striking ``paragraph (2)'' and
inserting ``paragraphs (2) and (3)'';
(2) by redesignating paragraph (3) as paragraph (4); and
(3) by inserting after paragraph (2) the following new
paragraph:
``(3) Exception for certain jurisdictions.--
``(A) Exception.--A covered agency (as such term is
defined in subparagraph (C) of this paragraph) shall not
be required to include on the board of directors or a
similar governing board of such agency a member
described in paragraph (1).
``(B) <<NOTE: Establishment.>> Advisory board
requirement.--Each covered agency that administers
Federal housing assistance under section 8 (42 U.S.C.
1437f) that chooses not to include
[[Page 130 STAT. 805]]
a member described in paragraph (1) on the board of
directors or a similar governing board of the agency
shall establish an advisory board of not less than 6
residents of public housing or recipients of assistance
under section 8 (42 U.S.C. 1437f) to provide advice and
comment to the agency or other administering entity on
issues related to public housing and section 8. Such
advisory board shall meet not less than quarterly.
``(C) <<NOTE: Definition.>> Covered agency or
entity.--For purposes of this paragraph, the term
`covered agency' means a public housing agency or such
other entity that administers Federal housing assistance
for--
``(I) the Housing Authority of the county of
Los Angeles, California; or
``(ii) any of the States of Alaska, Iowa, and
Mississippi.''.
TITLE II--RURAL HOUSING
SEC. 201. DELEGATION OF GUARANTEED RURAL HOUSING LOAN APPROVAL.
Subsection (h) of section 502 of the Housing Act of 1949 (42 U.S.C.
1472(h)) is amended by adding at the end the following new paragraph:
``(18) <<NOTE: Standards.>> Delegation of approval.--The
Secretary may delegate, in part or in full, the Secretary's
authority to approve and execute binding Rural Housing Service
loan guarantees pursuant to this subsection to certain preferred
lenders, in accordance with standards established by the
Secretary.''.
SEC. 202. GUARANTEED UNDERWRITING USER FEE.
Section 502 of the Housing Act of 1949 (42 U.S.C. 1472) is amended
by adding at the end the following new subsection:
``(i) Guaranteed Underwriting User Fee.--
``(1) Authority; maximum amount.--The Secretary may assess
and collect a fee for a lender to access the automated
underwriting systems of the Department in connection with such
lender's participation in the single family loan program under
this section and only in an amount necessary to cover the costs
of information technology enhancements, improvements,
maintenance, and development for automated underwriting systems
used in connection with the single family loan program under
this section, except that such fee shall not exceed $50 per
loan.
``(2) Crediting; availability.--Any amounts collected from
such fees shall be credited to the Rural Development Expense
Account as offsetting collections and shall remain available
until expended, in the amounts provided in appropriation Acts,
solely for expenses described in paragraph (1).''.
[[Page 130 STAT. 806]]
TITLE III--FHA MORTGAGE INSURANCE FOR CONDOMINIUMS
SEC. 301. MODIFICATION OF FHA REQUIREMENTS FOR MORTGAGE INSURANCE
FOR CONDOMINIUMS.
Section 203 of the National Housing Act (12 U.S.C. 1709) is amended
by adding at the end the following new subsection:
``(y) Requirements for Mortgages for Condominiums.--
``(1) Project recertification requirements.--Notwithstanding
any other law, regulation, or guideline of the Secretary,
including chapter 2.4 of the Condominium Project Approval and
Processing Guide of the FHA, the Secretary shall streamline the
project certification requirements that are applicable to the
insurance under this section for mortgages for condominium
projects so that recertifications are substantially less
burdensome than certifications. The Secretary shall consider
lengthening the time between certifications for approved
properties, and allowing updating of information rather than
resubmission.
``(2) <<NOTE: Determination.>> Commercial space
requirements.--Notwithstanding any other law, regulation, or
guideline of the Secretary, including chapter 2.1.3 of the
Condominium Project Approval and Processing Guide of the FHA, in
providing for exceptions to the requirement for the insurance of
a mortgage on a condominium property under this section
regarding the percentage of the floor space of a condominium
property that may be used for nonresidential or commercial
purposes, the Secretary shall provide that--
``(A) any request for such an exception and the
determination of the disposition of such request may be
made, at the option of the requester, under the direct
endorsement lender review and approval process or under
the HUD review and approval process through the
applicable field office of the Department; and
``(B) in determining whether to allow such an
exception for a condominium property, factors relating
to the economy for the locality in which such project is
located or specific to project, including the total
number of family units in the project, shall be
considered.
Not <<NOTE: Deadline. Time period. Effective
date. Regulations. Standards. Penalties.>> later than the
expiration of the 90-day period beginning on the date of the
enactment of this paragraph, the Secretary shall issue
regulations to implement this paragraph, which shall include any
standards, training requirements, and remedies and penalties
that the Secretary considers appropriate.
``(3) <<NOTE: Applicability.>> Transfer fees.--
Notwithstanding any other law, regulation, or guideline of the
Secretary, including chapter 1.8.8 of the Condominium Project
Approval and Processing Guide of the FHA and section 203.41 of
the Secretary's regulations (24 CFR 203.41), existing standards
of the Federal Housing Finance Agency relating to encumbrances
under private transfer fee covenants shall apply to the
insurance of mortgages by the Secretary under this section to
the same extent and in the same manner that such standards apply
to the purchasing, investing in, and otherwise dealing in
mortgages by the Federal National Mortgage Association and the
Federal Home Loan Mortgage Corporation. <<NOTE: Federal
Register, publication. Notice. Deadline.>> If the provisions of
part
[[Page 130 STAT. 807]]
1228 of the Director of the Federal Housing Finance Agency's
regulations (12 CFR part 1228) are amended or otherwise changed
after the date of the enactment of this paragraph, the Secretary
of Housing and Urban Development shall adopt any such amendments
or changes for purposes of this paragraph, unless the Secretary
causes to be published in the Federal Register a notice
explaining why the Secretary will disregard such amendments or
changes within 90 days after the effective date of such
amendments or changes.
``(4) Owner-occupancy requirement.--
``(A) <<NOTE: Deadline. Time period. Effective
date. Regulations. Notice. Guidance.>> Establishment of
percentage requirement.--Not later than the expiration
of the 90-day period beginning on the date of the
enactment of this paragraph, the Secretary shall, by
rule, notice, or mortgagee letter, issue guidance
regarding the percentage of units that must be occupied
by the owners as a principal residence or a secondary
residence (as such terms are defined by the Secretary),
or must have been sold to owners who intend to meet such
occupancy requirements, including justifications for the
percentage requirements, in order for a condominium
project to be acceptable to the Secretary for insurance
under this section of a mortgage within such condominium
property.
``(B) <<NOTE: Applicability.>> Failure to act.--If
the Secretary fails to issue the guidance required under
subparagraph (A) before the expiration of the 90-day
period specified in such clause, the following
provisions shall apply:
``(i) 35 percent requirement.--In order for a
condominium project to be acceptable to the
Secretary for insurance under this section, at
least 35 percent of all family units (including
units not covered by FHA-insured mortgages) must
be occupied by the owners as a principal residence
or a secondary residence (as such terms are
defined by the Secretary), or must have been sold
to owners who intend to meet such occupancy
requirement.
``(ii) Other considerations.--The Secretary
may increase the percentage applicable pursuant to
clause (i) to a condominium project on a project-
by-project or regional basis, and in determining
such percentage for a project shall consider
factors relating to the economy for the locality
in which such project is located or specific to
project, including the total number of family
units in the project.''.
TITLE IV--HOUSING REFORMS FOR THE HOMELESS AND FOR VETERANS
SEC. 401. DEFINITION OF GEOGRAPHIC AREA FOR CONTINUUM OF CARE
PROGRAM.
(a) Definition.--Subtitle C of the McKinney-Vento Homeless
Assistance Act is amended--
(1) by redesignating sections 432 and 433 (42 U.S.C. 11387,
11388) as sections 433 and 434, respectively; and
(2) by inserting after section 431 (42 U.S.C. 11386e) the
following new section:
[[Page 130 STAT. 808]]
``SEC. 432. <<NOTE: 42 USC 11386f.>> GEOGRAPHIC AREAS.
``(a) <<NOTE: Notice.>> Requirement to Define.--For purposes of
this subtitle, the term `geographic area' shall have such meaning as the
Secretary shall by notice provide.
``(b) <<NOTE: Deadline. Time period. Effective date.>> Issuance of
Notice.--Not later than the expiration of the 90-day period beginning on
the date of the enactment of the Housing Opportunity Through
Modernization Act of 2016, the Secretary shall issue a notice setting
forth the definition required by subsection (a).''.
(b) Clerical Amendment.--The table of contents in section 101(b) of
the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11301 note) is
amended by striking the items relating to sections 432 and 433 and
inserting the following new items:
``Sec. 432. Geographic areas.
``Sec. 433. Regulations.
``Sec. 434. Reports to Congress.''.
SEC. 402. INCLUSION OF PUBLIC HOUSING AGENCIES AND LOCAL
REDEVELOPMENT AUTHORITIES IN EMERGENCY
SOLUTIONS GRANTS.
Section 414(c) of the McKinney-Vento Homeless Assistance Act (42
U.S.C. 11373(c)) is amended--
(1) in the subsection heading, by inserting ``, Public
Housing Agencies, and Local Redevelopment Authorities'' after
``Organizations''; and
(2) in the first sentence, by inserting before the period at
the end the following: ``, to public housing agencies (as
defined under section 3(b)(6) of the United States Housing Act
of 1937), or to local redevelopment authorities (as defined
under State law)''.
SEC. 403. SPECIAL ASSISTANT FOR VETERANS AFFAIRS IN THE DEPARTMENT
OF HOUSING AND URBAN DEVELOPMENT.
(a) Transfer of Position to Office of the Secretary.--Section 4 of
the Department of Housing and Urban Development Act (42 U.S.C. 3533) is
amended by adding at the end the following new subsection:
``(h) Special Assistant for Veterans Affairs.--
``(1) Position.--There shall be in the Office of the
Secretary a Special Assistant for Veterans Affairs, who shall
report directly to the Secretary.
``(2) Appointment.--The Special Assistant for Veterans
Affairs shall be appointed based solely on merit and shall be
covered under the provisions of title 5, United States Code,
governing appointments in the competitive service.
``(3) Responsibilities.--The Special Assistant for Veterans
Affairs shall be responsible for--
``(A) ensuring veterans have fair access to housing
and homeless assistance under each program of the
Department providing either such assistance;
``(B) coordinating all programs and activities of
the Department relating to veterans;
``(C) serving as a liaison for the Department with
the Department of Veterans Affairs, including
establishing and maintaining relationships with the
Secretary of Veterans Affairs;
[[Page 130 STAT. 809]]
``(D) serving as a liaison for the Department, and
establishing and maintaining relationships with the
United States Interagency Council on Homelessness and
officials of State, local, regional, and nongovernmental
organizations concerned with veterans;
``(E) providing information and advice regarding--
``(i) sponsoring housing projects for veterans
assisted under programs administered by the
Department; or
``(ii) assisting veterans in obtaining housing
or homeless assistance under programs administered
by the Department;
``(F) coordinating with the Secretary of Housing and
Urban Development and the Secretary of Veterans Affairs
in carrying out section 404 of the Housing Opportunity
Through Modernization Act of 2016;
``(G) collaborating with the Department of Veterans
Affairs on making joint recommendations to the Congress,
the Secretary of Housing and Urban Development, and the
Secretary of Veterans Affairs on how to better
coordinate and improve services to veterans under both
Department of Housing and Urban Development and
Department of Veteran Affairs veterans housing programs,
including ways to improve the Independent Living Program
of the Department of Veteran Affairs; and
``(H) carrying out such other duties as may be
assigned to the Special Assistant by the Secretary or by
law.''.
(b) <<NOTE: 42 USC 3533 note. Termination.>> Transfer of Position
in Office of Deputy Assistant Secretary for Special Needs.--On the date
that the initial Special Assistant for Veterans Affairs is appointed
pursuant to section 4(h)(2) of the Department of Housing and Urban
Development Act, as added by subsection (a) of this section, the
position of Special Assistant for Veterans Programs in the Office of the
Deputy Assistant Secretary for Special Needs of the Department of
Housing and Urban Development shall be terminated.
SEC. 404. <<NOTE: 42 USC 11313 note.>> ANNUAL SUPPLEMENTAL REPORT
ON VETERANS HOMELESSNESS.
(a) <<NOTE: Coordination.>> In General.--The Secretary of Housing
and Urban Development and the Secretary of Veterans Affairs, in
coordination with the United States Interagency Council on Homelessness,
shall submit annually to the Committees of the Congress specified in
subsection (b), together with the annual reports required by such
Secretaries under section 203(c)(1) of the McKinney-Vento Homeless
Assistance Act (42 U.S.C. 11313(c)(1)), a supplemental report that
includes the following information with respect to the preceding year:
(1) The same information, for such preceding year, that was
included with respect to 2010 in the report by the Secretary of
Housing and Urban Development and the Secretary of Veterans
Affairs entitled ``Veterans Homelessness: A Supplemental Report
to the 2010 Annual Homeless Assessment Report to Congress''.
(2) Information regarding the activities of the Department
of Housing and Urban Development relating to veterans during
such preceding year, as follows:
[[Page 130 STAT. 810]]
(A) The number of veterans provided assistance under
the housing choice voucher program for Veterans Affairs
supported housing under section 8(o)(19) of the United
States Housing Act of 1937 (42 U.S.C. 1437f(o)(19)), the
socioeconomic characteristics of such homeless veterans,
and the number, types, and locations of entities
contracted under such section to administer the
vouchers.
(B) <<NOTE: Summary.>> A summary description of the
special considerations made for veterans under public
housing agency plans submitted pursuant to section 5A of
the United States Housing Act of 1937 (42 U.S.C. 1437c-
1) and under comprehensive housing affordability
strategies submitted pursuant to section 105 of the
Cranston-Gonzalez National Affordable Housing Act (42
U.S.C. 12705).
(C) A description of the activities of the Special
Assistant for Veterans Affairs of the Department of
Housing and Urban Development.
(D) A description of the efforts of the Department
of Housing and Urban Development and the other members
of the United States Interagency Council on Homelessness
to coordinate the delivery of housing and services to
veterans.
(E) The cost to the Department of Housing and Urban
Development of administering the programs and activities
relating to veterans.
(F) Any other information that the Secretary of
Housing and Urban Development and the Secretary of
Veterans Affairs consider relevant in assessing the
programs and activities of the Department of Housing and
Urban Development relating to veterans.
(b) Committees.--The Committees of the Congress specified in this
subsection are as follows:
(1) The Committee on Banking, Housing, and Urban Affairs of
the Senate.
(2) The Committee on Veterans' Affairs of the Senate.
(3) The Committee on Appropriations of the Senate.
(4) The Committee on Financial Services of the House of
Representatives.
(5) The Committee on Veterans' Affairs of the House of
Representatives.
(6) The Committee on Appropriations of the House of
Representatives.
SEC. 405. REOPENING OF PUBLIC COMMENT PERIOD FOR CONTINUUM OF CARE
PROGRAM REGULATIONS.
Not <<NOTE: Deadline. Time period. Effective date.>> later than the
expiration of the 30-day period beginning on the date of the enactment
of this Act, the Secretary of Housing and Urban Development shall re-
open the period for public comment regarding the Secretary's interim
rule entitled ``Homeless Emergency Assistance and Rapid Transition to
Housing: Continuum of Care Program'', published in the Federal Register
on July 31, 2012 (77 Fed. Reg. 45422; Docket No. FR-5476-I-01). Upon re-
opening, such comment period shall remain open for a period of not fewer
than 60 days.
[[Page 130 STAT. 811]]
TITLE V--MISCELLANEOUS
SEC. 501. <<NOTE: 42 USC 3544 note.>> INCLUSION OF DISASTER
HOUSING ASSISTANCE PROGRAM IN CERTAIN
FRAUD AND ABUSE PREVENTION MEASURES.
The Disaster Housing Assistance Program administered by the
Department of Housing and Urban Development shall be considered a
``program of the Department of Housing and Urban Development'' under
section 904 of the Stewart B. McKinney Homeless Assistance Amendments
Act of 1988 (42 U.S.C. 3544) for the purpose of income verifications.
SEC. 502. ENERGY EFFICIENCY REQUIREMENTS UNDER SELF-HELP
HOMEOWNERSHIP OPPORTUNITY PROGRAM.
Section 11 of the Housing Opportunity Program Extension Act of 1996
(42 U.S.C. 12805 note) is amended by inserting after subsection (f) the
following new subsection:
``(g) Energy Efficiency Requirements.--The Secretary may not require
any dwelling developed using amounts from a grant made under this
section to meet any energy efficiency standards other than the standards
applicable at such time pursuant to section 109 of the Cranston-Gonzalez
National Affordable Housing Act (42 U.S.C. 12709) to housing specified
in subsection (a) of such section.''.
SEC. 503. DATA EXCHANGE STANDARDIZATION FOR IMPROVED
INTEROPERABILITY.
(a) Data Exchange Standardization.--Title I of the United States
Housing Act of 1937 (42 U.S.C. 1437 et seq.) is amended by adding at the
end the following new section:
``SEC. 37. <<NOTE: 42 USC 1437z-9.>> DATA EXCHANGE STANDARDS FOR
IMPROVED INTEROPERABILITY.
``(a) <<NOTE: Consultation.>> Designation.--The Secretary shall, in
consultation with an interagency work group established by the Office of
Management and Budget, and considering State government perspectives,
designate data exchange standards to govern, under this Act--
``(1) necessary categories of information that State
agencies operating related programs are required under
applicable law to electronically exchange with another State
agency; and
``(2) Federal reporting and data exchange required under
applicable law.
``(b) Requirements.--The data exchange standards required by
subsection (a) shall, to the maximum extent practicable--
``(1) incorporate a widely accepted, nonproprietary,
searchable, computer-readable format, such as the eXtensible
Markup Language;
``(2) contain interoperable standards developed and
maintained by intergovernmental partnerships, such as the
National Information Exchange Model;
``(3) incorporate interoperable standards developed and
maintained by Federal entities with authority over contracting
and financial assistance;
``(4) be consistent with and implement applicable accounting
principles;
``(5) be implemented in a manner that is cost- effective and
improves program efficiency and effectiveness; and
``(6) be capable of being continually upgraded as necessary.
[[Page 130 STAT. 812]]
``(c) Rules of Construction.--Nothing in this section requires a
change to existing data exchange standards for Federal reporting found
to be effective and efficient.''.
(b) <<NOTE: 42 USC 1437z-9 note. Deadline. Regulations.>>
Applicability.--
(1) In general.--Not later than 2 years after the date of
the enactment of this Act, the Secretary of Housing and Urban
Development shall issue a proposed rule to carry out the
amendments made by subsection (a).
(2) Requirements.--The rule shall--
(A) identify federally required data exchanges;
(B) include specification and timing of exchanges to
be standardized;
(C) address the factors used in determining whether
and when to standardize data exchanges;
(D) specify State implementation options; and
(E) describe future milestones.
TITLE VI--REPORTS
SEC. 601. <<NOTE: 42 USC 3536a note.>> REPORT ON INTERAGENCY
FAMILY ECONOMIC EMPOWERMENT STRATEGIES.
The <<NOTE: Consultation.>> Secretary of Housing and Urban
Development, in consultation with the Secretary of Labor, shall submit a
report to the Congress annually that describes--
(1) any interagency strategies of such Departments that are
designed to improve family economic empowerment by linking
housing assistance with essential supportive services, such as
employment counseling and training, financial education and
growth, childcare, transportation, meals, youth recreational
activities, and other supportive services; and
(2) any actions taken in the preceding year to carry out
such strategies and the extent of progress achieved by such
actions.
TITLE VII--HOUSING OPPORTUNITIES FOR PERSONS WITH AIDS
SEC. 701. FORMULA AND TERMS FOR ALLOCATIONS TO PREVENT
HOMELESSNESS FOR INDIVIDUALS LIVING WITH
HIV OR AIDS.
(a) In General.--Subsection (c) of section 854 of the AIDS Housing
Opportunity Act (42 U.S.C. 12903(c)) is amended by--
(1) redesignating paragraph (3) as paragraph (5); and
(2) striking paragraphs (1) and (2) and inserting the
following:
``(1) Allocation of resources.--
``(A) Allocation formula.--The Secretary shall
allocate 90 percent of the amount approved in
appropriations Acts under section 863 among States and
metropolitan statistical areas as follows:
``(I) 75 percent of such amounts among--
``(I) cities that are the most
populous unit of general local
government in a metropolitan statistical
area with a population greater than
500,000, as determined on the basis of
the most recent
[[Page 130 STAT. 813]]
census, and with more than 2,000
individuals living with HIV or AIDS,
using the data specified in subparagraph
(B); and
``(II) States with more than 2,000
individuals living with HIV or AIDS
outside of metropolitan statistical
areas.
``(ii) 25 percent of such amounts among States
and metropolitan statistical areas based on the
method described in subparagraph (C).
``(B) Source of data.--For purposes of allocating
amounts under this paragraph for any fiscal year, the
number of individuals living with HIV or AIDS shall be
the number of such individuals as confirmed by the
Director of the Centers for Disease Control and
Prevention, as of December 31 of the most recent
calendar year for which such data is available.
``(C) Allocation under subparagraph (A)(ii).--For
purposes of allocating amounts under subparagraph
(A)(ii), the Secretary shall develop a method that
accounts for--
``(I) differences in housing costs among
States and metropolitan statistical areas based on
the fair market rental established pursuant to
section 8(c) of the United States Housing Act of
1937 (42 U.S.C. 1437f(c)) or another methodology
established by the Secretary through regulation;
and
``(ii) differences in poverty rates among
States and metropolitan statistical areas based on
area poverty indexes or another methodology
established by the Secretary through regulation.
``(2) Maintaining grants.--
``(A) Continued eligibility of fiscal year 2016
grantees.--A grantee that received an allocation in
fiscal year 2016 shall continue to be eligible for
allocations under paragraph (1) in subsequent fiscal
years, subject to--
``(I) the amounts available from
appropriations Acts under section 863;
``(ii) approval by the Secretary of the most
recent comprehensive housing affordability
strategy for the grantee approved under section
105; and
``(iii) the requirements of subparagraph (C).
``(B) Adjustments.--Allocations to grantees
described in subparagraph (A) shall be adjusted annually
based on the administrative provisions included in
fiscal year 2016 appropriations Acts.
``(C) <<NOTE: Time period.>> Redetermination of
continued eligibility.--The Secretary shall redetermine
the continued eligibility of a grantee that received an
allocation in fiscal year 2016 at least once during the
10-year period following fiscal year 2016.
``(D) Adjustment to grants.--For each of fiscal
years 2017, 2018, 2019, 2020, and 2021, the Secretary
shall ensure that a grantee that received an allocation
in the prior fiscal year does not receive an allocation
that is 5 percent less than or 10 percent greater than
the amount allocated to such grantee in the preceding
fiscal year.
``(3) <<NOTE: Contracts.>> Alternative grantees.--
[[Page 130 STAT. 814]]
``(A) Requirements.--The Secretary may award funds
reserved for a grantee eligible under paragraph (1) to
an alternative grantee if--
``(I) <<NOTE: Contracts.>> the grantee
submits to the Secretary a written agreement
between the grantee and the alternative grantee
that describes how the alternative grantee will
take actions consistent with the applicable
comprehensive housing affordability strategy
approved under section 105 of this Act;
``(ii) the Secretary approves the written
agreement described in clause (I) and agrees to
award funds to the alternative grantee; and
``(iii) the written agreement does not exceed
a term of 10 years.
``(B) Renewal.--An agreement approved pursuant to
subparagraph (A) may be renewed by the parties with the
approval of the Secretary.
``(C) Definition.--In this paragraph, the term
`alternative grantee' means a public housing agency (as
defined in section 3(b) of the United States Housing Act
of 1937 (42 U.S.C. 1437a(b))), a unified funding agency
(as defined in section 401 of the McKinney-Vento
Homeless Assistance Act (42 U.S.C. 11360)), a State, a
unit of general local government, or an instrumentality
of State or local government.
``(4) <<NOTE: Determination.>> Reallocations.--If a State
or metropolitan statistical area declines an allocation under
paragraph (1)(A), or the Secretary determines, in accordance
with criteria specified in regulation, that a State or
metropolitan statistical area that is eligible for an allocation
under paragraph (1)(A) is unable to properly administer such
allocation, the Secretary shall reallocate any funds reserved
for such State or metropolitan statistical area as follows:
``(A) For funds reserved for a State--
``(I) to eligible metropolitan statistical
areas within the State on a pro rata basis; or
``(ii) if there is no eligible metropolitan
statistical areas within a State, to metropolitan
cities and urban counties within the State that
are eligible for grant under section 106 of the
Housing and Community Development Act of 1974 (42
U.S.C. 5306), on a pro rata basis.
``(B) For funds reserved for a metropolitan
statistical area, to the State in which the metropolitan
statistical area is located.
``(C) If the Secretary is unable to make a
reallocation under subparagraph (A) or (B), the
Secretary shall make such funds available on a pro rata
basis under the formula in paragraph (1)(A).''.
(b) Amendment to Definitions.--Section 853 of the AIDS Housing
Opportunity Act (42 U.S.C. 12902) is amended--
(1) in paragraph (1), by inserting ``or `AIDS' '' before
``means''; and
(2) by inserting at the end the following new paragraphs:
``(15) The term `HIV' means infection with the human
immunodeficiency virus.
[[Page 130 STAT. 815]]
``(16) The term `individuals living with HIV or AIDS' means,
with respect to the counting of cases in a geographic area
during a period of time, the sum of--
``(A) the number of living non-AIDS cases of HIV in
the area; and
``(B) the number of living cases of AIDS in the
area.''.
Approved July 29, 2016.
LEGISLATIVE HISTORY--H.R. 3700:
---------------------------------------------------------------------------
HOUSE REPORTS: No. 114-397 (Comm. on Financial Services).
CONGRESSIONAL RECORD, Vol. 162 (2016):
Feb. 2, considered and passed House.
July 14, considered and passed Senate.
<all>