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<PRE>[DOCID: f:s1494enr.txt]
        S.1494

                       One Hundred Fourth Congress

                                 of the

                        United States of America


                          AT THE SECOND SESSION

         Begun and held at the City of Washington on Wednesday,
   the third day of January, one thousand nine hundred and ninety-six


                                 An Act


 
   To provide an extension for fiscal year 1996 for certain programs 
 administered by the Secretary of Housing and Urban Development and the 
            Secretary of Agriculture, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Housing Opportunity Program 
Extension Act of 1996''.

SEC. 2. MULTIFAMILY HOUSING ASSISTANCE.

    (a) Section 8 Contract Renewal.--Notwithstanding section 405(b) of 
the Balanced Budget Downpayment Act, I (Public Law 104-99; 110 Stat. 
44), at the request of the owner of any project assisted under section 
8(e)(2) of the United States Housing Act of 1937 (as such section 
existed immediately before October 1, 1991), the Secretary of Housing 
and Urban Development may renew, for a period of 1 year, the contract 
for assistance under such section for such project that expires or 
terminates during fiscal year 1996 at current rent levels.
    (b) Low-Income Housing Preservation.--
        (1) Use of amounts.--Notwithstanding any provision of the 
    Balanced Budget Downpayment Act, I (Public Law 104-99; 110 Stat. 
    26) or any other law, the Secretary shall use the amounts described 
    in paragraph (2) of this subsection under the authority and 
    conditions provided in the second undesignated paragraph of the 
    item relating to ``Housing Programs--annual contributions for 
    assisted housing'' in title II of the bill, H.R. 2099 (104th 
    Congress), as passed the House of Representatives on December 7, 
    1995; except that for purposes of this subsection, any reference in 
    such undesignated paragraph to March 1, 1996, shall be construed to 
    refer to April 15, 1996, any reference in such paragraph to July 1, 
    1996, shall be construed to refer to August 15, 1996, and any 
    reference in such paragraph to August 1, 1996, shall be construed 
    to refer to September 15, 1996.
        (2) Description of amounts.--Except as otherwise provided in 
    any future appropriation Act, the amounts described under this 
    paragraph are any amounts that--
            (A) are--
                (i) unreserved, unobligated amounts provided in an 
            appropriation Act enacted before the date of the enactment 
            of this Act;
                (ii) provided under the Balanced Budget Downpayment 
            Act, I; or
                (iii) provided in any appropriation Act enacted after 
            the date of the enactment of this Act; and
            (B) are provided for use in conjunction with properties 
        that are eligible for assistance under the Low-Income Housing 
        Preservation and Resident Homeownership Act of 1990 or the 
        Emergency Low Income Housing Preservation Act of 1987.

SEC. 3. COMMUNITY DEVELOPMENT BLOCK GRANTS.

    (a) Direct Homeownership Activities.--Notwithstanding the 
amendments made by section 907(b)(2) of the Cranston-Gonzalez National 
Affordable Housing Act, section 105(a)(25) of the Housing and Community 
Development Act of 1974, as in existence on September 30, 1995, shall 
apply to the use of assistance made available under title I of the 
Housing and Community Development Act of 1974 during fiscal year 1996.
    (b) Increase in Cumulative Limit.--Section 108(k)(1) of the Housing 
and Community Development Act of 1974 (42 U.S.C. 5308(k)(1)) is amended 
by striking ``$3,500,000,000'' and inserting ``$4,500,000,000''.

SEC. 4. EXTENSION OF RURAL HOUSING PROGRAMS.

    (a) Underserved Areas Set-Aside.--Section 509(f)(4)(A) of the 
Housing Act of 1949 (42 U.S.C. 1479(f)(4)(A)) is amended--
        (1) in the first sentence, by striking ``fiscal years 1993 and 
    1994'' and inserting ``fiscal year 1996''; and
        (2) in the second sentence, by striking ``each''.
    (b) Rural Multifamily Rental Housing.--Section 515(b)(4) of the 
Housing Act of 1949 (42 U.S.C. 1485(b)(4)) is amended by striking 
``September 30, 1994'' and inserting ``September 30, 1996''.
    (c) Rural Rental Housing Funds for Nonprofit Entities.--The first 
sentence of section 515(w)(1) of the Housing Act of 1949 (42 U.S.C. 
1485(w)(1)) is amended by striking ``fiscal years 1993 and 1994'' and 
inserting ``fiscal year 1996''.
SEC. 5. LOAN GUARANTEES FOR MULTIFAMILY RENTAL HOUSING IN RURAL AREAS.
    (a) In General.--The provisions of section 5 of the bill, H.R. 1691 
(104th Congress), as passed the House of Representatives on October 30, 
1995, are hereby enacted into law.
    (b) Technical Amendment.--Section 538 of the Housing Act of 1949 
(as added by the amendment made pursuant to subsection (a) of this 
section) is amended by striking ``Homesteading and Neighborhood 
Restoration Act of 1995'' each place it appears and inserting ``Housing 
Opportunity Program Extension Act of 1996''.
SEC. 6. EXTENSION OF FHA MORTGAGE INSURANCE PROGRAM FOR HOME EQUITY 
CONVERSION MORTGAGES.
    (a) Extension of Program.--The first sentence of section 255(g) of 
the National Housing Act (12 U.S.C. 1715z-20(g)) is amended by striking 
``September 30, 1996'' and inserting ``September 30, 2000''.
    (b) Limitation on Number of Mortgages.--The second sentence of 
section 255(g) of the National Housing Act (12 U.S.C. 1715z-20(g)) is 
amended by striking ``30,000'' and inserting ``50,000''.
    (c) Eligible Mortgages.--Section 255(d)(3) of the National Housing 
Act (12 U.S.C. 1715z-20(d)(3)) is amended to read as follows:
        ``(3) be secured by a dwelling that is designed principally for 
    a 1- to 4-family residence in which the mortgagor occupies 1 of the 
    units;''.
SEC. 7. LIMITATION ON GNMA GUARANTEES OF MORTGAGE-BACKED SECURITIES.
    Section 306(g)(2) of the Federal National Mortgage Association 
Charter Act (12 U.S.C. 1721(g)(2)) is amended to read as follows:
    ``(2) Notwithstanding any other provision of law and subject only 
to the absence of qualified requests for guarantees, to the authority 
provided in this subsection, and to the extent of or in such amounts as 
any funding limitation approved in appropriation Acts, the Association 
shall enter into commitments to issue guarantees under this subsection 
in an aggregate amount of $110,000,000,000 during fiscal year 1996. 
There are authorized to be appropriated to cover the costs (as such 
term is defined in section 502 of the Congressional Budget Act of 1974) 
of guarantees issued under this Act by the Association such sums as may 
be necessary for fiscal year 1996.''.

SEC. 8. EXTENSION OF MULTIFAMILY HOUSING FINANCE PROGRAMS.

    (a) Risk-Sharing Pilot Program.--The first sentence of section 
542(b)(5) of the Housing and Community Development Act of 1992 (12 
U.S.C. 1707 note) is amended by striking ``on not more than 15,000 
units over fiscal years 1993 and 1994'' and inserting ``on not more 
than 7,500 units during fiscal year 1996''.
    (b) Housing Finance Agency Pilot Program.--The first sentence of 
section 542(c)(4) of the Housing and Community Development Act of 1992 
(12 U.S.C. 1707 note) is amended by striking ``on not to exceed 30,000 
units over fiscal years 1993, 1994, and 1995'' and inserting ``on not 
more than 12,000 units during fiscal year 1996''.

SEC. 9. SAFETY AND SECURITY IN PUBLIC AND ASSISTED HOUSING.

    (a) Contract Provisions and Requirements.--Section 6 of the United 
States Housing Act of 1937 (42 U.S.C. 1437d) is amended--
        (1) in subsection (k), in the matter following paragraph (6)--
            (A) by striking ``on or near such premises'' and inserting 
        ``on or off such premises''; and
            (B) by striking ``criminal'' the first place it appears; 
        and
        (2) in subsection 
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(l)(5), by striking ``on or near such 
    premises'' and inserting ``on or off such premises''.
    (b) Availability of Criminal Records for Screening and Eviction.--
Section 6 of the United States Housing Act of 1937 (42 U.S.C. 1437d) is 
amended by adding at the end the following new subsection:
    ``(q) Availability of Records.--
        ``(1) In general.--
            ``(A) Provision of information.--Notwithstanding any other 
        provision of law, except as provided in subparagraph (B), the 
        National Crime Information Center, police departments, and 
        other law enforcement agencies shall, upon request, provide 
        information to public housing agencies regarding the criminal 
        conviction records of adult applicants for, or tenants of, 
        public housing for purposes of applicant screening, lease 
        enforcement, and eviction.
            ``(B) Exception.--A law enforcement agency described in 
        subparagraph (A) shall provide information under this paragraph 
        relating to any criminal conviction of a juvenile only to the 
        extent that the release of such information is authorized under 
        the law of the applicable State, tribe, or locality.
        ``(2) Opportunity to dispute.--Before an adverse action is 
    taken with regard to assistance under this title on the basis of a 
    criminal record, the public housing agency shall provide the tenant 
    or applicant with a copy of the criminal record and an opportunity 
    to dispute the accuracy and relevance of that record.
        ``(3) Fee.--A public housing agency may be charged a reasonable 
    fee for information provided under paragraph (1).
        ``(4) Records management.--Each public housing agency shall 
    establish and implement a system of records management that ensures 
    that any criminal record received by the public housing agency is--
            ``(A) maintained confidentially;
            ``(B) not misused or improperly disseminated; and
            ``(C) destroyed, once the purpose for which the record was 
        requested has been accomplished.
        ``(5) Definition.--For purposes of this subsection, the term 
    `adult' means a person who is 18 years of age or older, or who has 
    been convicted of a crime as an adult under any Federal, State, or 
    tribal law.''.
    (c) Ineligibility Because of Eviction for Drug-Related Activity.--
Section 6 of the United States Housing Act of 1937 is amended by adding 
after subsection (q) (as added by subsection (b) of this section) the 
following new subsection:
    ``(r) Ineligibility Because of Eviction for Drug-Related 
Activity.--Any tenant evicted from housing assisted under this title by 
reason of drug-related criminal activity (as that term is defined in 
section 8(f)) shall not be eligible for housing assistance under this 
title during the 3-year period beginning on the date of such eviction, 
unless the evicted tenant successfully completes a rehabilitation 
program approved by the public housing agency (which shall include a 
waiver of this subsection if the circumstances leading to eviction no 
longer exist).''.
    (d) Ineligibility of Illegal Drug Users and Alcohol Abusers for 
Assisted Housing.--Section 16 of the United States Housing Act of 1937 
(42 U.S.C. 1437n) is amended--
        (1) in the section heading by striking ``income''; and
        (2) by adding at the end the following new subsection:
    ``(e) Ineligibility of Illegal Drug Users and Alcohol Abusers.--
        ``(1) In general.--Notwithstanding any other provision of law, 
    a public housing agency shall establish standards for occupancy in 
    public housing dwelling units and assistance under section 8--
            ``(A) that prohibit occupancy in any public housing 
        dwelling unit by, and assistance under section 8 for, any 
        person--
                ``(i) who the public housing agency determines is 
            illegally using a controlled substance; or
                ``(ii) if the public housing agency determines that it 
            has reasonable cause to believe that such person's illegal 
            use (or pattern of illegal use) of a controlled substance, 
            or abuse (or pattern of abuse) of alcohol, may interfere 
            with the health, safety, or right to peaceful enjoyment of 
            the premises by other residents of the project; and
            ``(B) that allow the public housing agency to terminate the 
        tenancy in any public housing unit of, and the assistance under 
        section 8 for, any person--
                ``(i) who the public housing agency determines is 
            illegally using a controlled substance; or
                ``(ii) whose illegal use of a controlled substance, or 
            whose abuse of alcohol, is determined by the public housing 
            agency to interfere with the health, safety, or right to 
            peaceful enjoyment of the premises by other residents of 
            the project.
        ``(2) Consideration of rehabilitation.--In determining whether, 
    pursuant to paragraph (1), to deny occupancy or assistance to any 
    person based on a pattern of use of a controlled substance or a 
    pattern of abuse of alcohol, a public housing agency may consider 
    whether such person--
            ``(A) has successfully completed a supervised drug or 
        alcohol rehabilitation program (as applicable) and is no longer 
        engaging in the illegal use of a controlled substance or abuse 
        of alcohol (as applicable);
            ``(B) has otherwise been rehabilitated successfully and is 
        no longer engaging in the illegal use of a controlled substance 
        or abuse of alcohol (as applicable); or
            ``(C) is participating in a supervised drug or alcohol 
        rehabilitation program (as applicable) and is no longer 
        engaging in the illegal use of a controlled substance or abuse 
        of alcohol (as applicable).
        ``(3) Inapplicability to indian housing.--This subsection does 
    not apply to any dwelling unit assisted by an Indian housing 
    authority.''.
  SEC. 10. PUBLIC HOUSING DESIGNATED FOR ELDERLY AND DISABLED FAMILIES.
    (a) Authority for Designation.--Section 7 of the United States 
Housing Act of 1937 (42 U.S.C. 1437e) is amended to read as follows:


          ``designated housing for elderly and disabled families

    ``Sec. 7. (a) Authority To Provide Designated Housing.--
        ``(1) In general.--Subject only to provisions of this section 
    and notwithstanding any other provision of law, a public housing 
    agency for which a plan under subsection (d) is in effect may 
    provide public housing projects (or portions of projects) 
    designated for occupancy by (A) only elderly families, (B) only 
    disabled families, or (C) elderly and disabled families.
        ``(2) Priority for occupancy.--In determining priority for 
    admission to public housing projects (or portions of projects) that 
    are designated for occupancy as provided in paragraph (1), the 
    public housing agency may make units in such projects (or portions) 
    available only to the types of families for whom the project is 
    designated.
        ``(3) Eligibility of near-elderly families.--If a public 
    housing agency determines that there are insufficient numbers of 
    elderly families to fill all the units in a project (or portion of 
    a project) designated under paragraph (1) for occupancy by only 
    elderly families, the agency may provide that near-elderly families 
    may occupy dwelling units in the project (or portion).
    ``(b) Standards Regarding Evictions.--Except as provided in section 
16(e)(1)(B), any tenant who is lawfully residing in a dwelling unit in 
a public housing project may not be evicted or otherwise required to 
vacate such unit because of the designation of the project (or portion 
of a project) pursuant to this section or because of any action taken 
by the Secretary or any public housing agency pursuant to this section.
    ``(c) Relocation Assistan
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ce.--A public housing agency that 
designates any existing project or building, or portion thereof, for 
occupancy as provided under subsection (a)(1) shall provide, to each 
person and family who agrees to be relocated in connection with such 
designation--
        ``(1) notice of the designation and an explanation of available 
    relocation benefits, as soon as is practicable for the agency and 
    the person or family;
        ``(2) access to comparable housing (including appropriate 
    services and design features), which may include tenant-based 
    rental assistance under section 8, at a rental rate paid by the 
    tenant that is comparable to that applicable to the unit from which 
    the person or family has vacated; and
        ``(3) payment of actual, reasonable moving expenses.
    ``(d) Required Plan.--A plan under this subsection for designating 
a project (or portion of a project) for occupancy under subsection 
(a)(1) is a plan, prepared by the public housing agency for the project 
and submitted to the Secretary, that--
        ``(1) establishes that the designation of the project is 
    necessary--
            ``(A) to achieve the housing goals for the jurisdiction 
        under the comprehensive housing affordability strategy under 
        section 105 of the Cranston-Gonzalez National Affordable 
        Housing Act; and
            ``(B) to meet the housing needs of the low-income 
        population of the jurisdiction; and
        ``(2) includes a description of--
            ``(A) the project (or portion of a project) to be 
        designated;
            ``(B) the types of tenants for which the project is to be 
        designated;
            ``(C) any supportive services to be provided to tenants of 
        the designated project (or portion);
            ``(D) how the design and related facilities (as such term 
        is defined in section 202(d)(8) of the Housing Act of 1959) of 
        the project accommodate the special environmental needs of the 
        intended occupants; and
            ``(E) any plans to secure additional resources or housing 
        assistance to provide assistance to families that may have been 
        housed if occupancy in the project were not restricted pursuant 
        to this section.
For purposes of this subsection, the term `supportive services' means 
services designed to meet the special needs of residents.
    ``(e) Review of Plans.--
        ``(1) Review and notification.--The Secretary shall conduct a 
    limited review of each plan under subsection (d) that is submitted 
    to the Secretary to ensure that the plan is complete and complies 
    with the requirements of subsection (d). The Secretary shall notify 
    each public housing agency submitting a plan whether the plan 
    complies with such requirements not later than 60 days after 
    receiving the plan. If the Secretary does not notify the public 
    housing agency, as required under this paragraph or paragraph (2), 
    the plan shall be considered, for purposes of this section, to 
    comply with the requirements under subsection (d) and the Secretary 
    shall be considered to have notified the agency of such compliance 
    upon the expiration of such 60-day period.
        ``(2) Notice of reasons for determination of noncompliance.--If 
    the Secretary determines that a plan, as submitted, does not comply 
    with the requirements under subsection (d), the Secretary shall 
    specify in the notice under paragraph (1) the reasons for the 
    noncompliance and any modifications necessary for the plan to meet 
    such requirements.
        ``(3) Standards for determination of noncompliance.--The 
    Secretary may determine that a plan does not comply with the 
    requirements under subsection (d) only if--
            ``(A) the plan is incomplete in significant matters 
        required under such subsection; or
            ``(B) there is evidence available to the Secretary that 
        challenges, in a substantial manner, any information provided 
        in the plan.
        ``(4) Treatment of existing plans.--Notwithstanding any other 
    provision of this section, a public housing agency shall be 
    considered to have submitted a plan under this subsection if the 
    agency has submitted to the Secretary an application and allocation 
    plan under this section (as in effect before the date of the 
    enactment of the Housing Opportunity Program Extension Act of 1996) 
    that have not been approved or disapproved before such date of 
    enactment.
    ``(f) Effectiveness.--
        ``(1) 5-year effectiveness of original plan.--A plan under 
    subsection (d) shall be in effect for purposes of this section 
    during the 5-year period that begins upon notification under 
    subsection (e)(1) of the public housing agency that the plan 
    complies with the requirements under subsection (d).
        ``(2) Renewal of plan.--Upon the expiration of the 5-year 
    period under paragraph (1) or any 2-year period under this 
    paragraph, an agency may extend the effectiveness of the 
    designation and plan for an additional 2-year period (that begins 
    upon such expiration) by submitting to the Secretary any 
    information needed to update the plan. The Secretary may not limit 
    the number of times a public housing agency extends the 
    effectiveness of a designation and plan under this paragraph.
        ``(3) Transition provision.--Any application and allocation 
    plan approved under this section (as in effect before the date of 
    the enactment of the Housing Opportunity Program Extension Act of 
    1996) before such date of enactment shall be considered to be a 
    plan under subsection (d) that is in effect for purposes of this 
    section for the 5-year period beginning upon such approval.
    ``(g) Inapplicability of Uniform Relocation Assistance and Real 
Property Acquisitions Policy Act of 1970.--No tenant of a public 
housing project shall be considered to be displaced for purposes of the 
Uniform Relocation Assistance and Real Property Acquisitions Policy Act 
of 1970 because of the designation of any existing project or building, 
or portion thereof, for occupancy as provided under subsection (a) of 
this section.
    ``(h) Inapplicability to Indian Housing.--The provisions of this 
section shall not apply with respect to low-income housing developed or 
operated pursuant to a contract between the Secretary and an Indian 
housing authority.''.
    (b) Authorization of Appropriations for Implementation of 
Allocation Plans.--There are authorized to be appropriated for fiscal 
year 1996 such sums as may be necessary for rental subsidy contracts 
under the existing housing certificate and housing voucher programs 
under section 8 of the United States Housing Act of 1937 for public 
housing agencies to implement allocations plans for designated housing 
under section 7 of such Act that are approved by the Secretary of 
Housing and Urban Development.
  SEC. 11. ASSISTANCE FOR HABITAT FOR HUMANITY AND OTHER SELF-HELP 
      HOUSING PROVIDERS.
    (a) Grant Authority.--The Secretary of Housing and Urban 
Development may, to the extent amounts are available to carry out this 
section and the requirements of this section are met, make grants for 
use in accordance with this section to--
        (1) Habitat for Humanity International, whose organizational 
    headquarters are located in Americus, Georgia; and
        (2) other national or regional organizations or consortia that 
    have experience in providing or facilitating self-help housing 
    homeownership opportunities.
    (b) Goals and Accountability.--In making grants under this section, 
the Secretary shall take such actions as may be necessary to ensure 
that--
        (1) assistance provided under this section is used to 
    facilitate and encourage innovative homeownership opportunities 
    through the provision of self-help housing, under which the 
    homeowner contributes a significant amount of sweat equity toward 
    the construction of the new dwelling;
        (2) a
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ssistance provided under this section for land acquisition 
    and infrastructure development results in the development of not 
    less than 4,000 new dwellings;
        (3) the dwellings constructed in connection with assistance 
    provided under this section are quality dwellings that comply with 
    local building and safety codes and standards and are available at 
    prices below the prevailing market prices;
        (4) the provision of assistance under this section establishes 
    and fosters a partnership between the Federal Government and 
    Habitat for Humanity International, its affiliates, and other 
    organizations and consortia, resulting in efficient development of 
    affordable housing with minimal governmental intervention, limited 
    governmental regulation, and significant involvement by private 
    entities;
        (5) activities to develop housing assisted pursuant to this 
    section involve community participation similar to the 
    homeownership program carried out by Habitat for Humanity 
    International, in which volunteers assist in the construction of 
    dwellings; and
        (6) dwellings are developed in connection with assistance under 
    this section on a geographically diverse basis, which includes 
    areas having high housing costs, rural areas, and areas underserved 
    by other homeownership opportunities that are populated by low-
    income families unable to otherwise afford housing.
If, at any time, the Secretary determines that the goals under this 
subsection cannot be met by providing assistance in accordance with the 
terms of this section, the Secretary shall immediately notify the 
applicable Committees in writing of such determination and any proposed 
changes for such goals or this section.
    (c) Allocation.--Of any amounts available for grants under this 
section--
        (1) 62.5 percent shall be used for a grant to the organization 
    specified in subsection (a)(1); and
        (2) 37.5 percent shall be used for grants to organizations and 
    consortia under subsection (a)(2).
    (d) Use.--
        (1) Purpose.--Amounts from grants made under this section, 
    including any recaptured amounts, shall be used only for eligible 
    expenses in connection with developing new decent, safe, and 
    sanitary nonluxury dwellings in the United States for families and 
    persons who otherwise would be unable to afford to purchase a 
    dwelling.
        (2) Eligible expenses.--For purposes of paragraph (1), the term 
    ``eligible expenses'' means costs only for the following 
    activities:
            (A) Land acquisition.--Acquiring land (including financing 
        and closing costs).
            (B) Infrastructure improvement.--Installing, extending, 
        constructing, rehabilitating, or otherwise improving utilities 
        and other infrastructure.
    Such term does not include any costs for the rehabilitation, 
    improvement, or construction of dwellings.
    (e) Establishment of Grant Fund.--
        (1) In general.--Any amounts from any grant made under this 
    section shall be deposited by the grantee organization or 
    consortium in a fund that is established by such organization or 
    consortium for such amounts, administered by such organization or 
    consortium, and available for use only for the purposes under 
    subsection (d). Any interest, fees, or other earnings of the fund 
    shall be deposited in the fund and shall be considered grant 
    amounts for purposes of this section.
        (2) Assistance to habitat for humanity affiliates.--Habitat for 
    Humanity International may use amounts in the fund established for 
    such organization pursuant to paragraph (1) for the purposes under 
    subsection (d) by providing assistance from the fund to local 
    affiliates of such organization.
    (f) Requirements for Assistance to Other Organizations.--The 
Secretary may make a grant to an organization or consortium under 
subsection (a)(2) only pursuant to--
        (1) an expression of interest by such organization or consortia 
    to the Secretary for a grant for such purposes;
        (2) a determination by the Secretary that the organization or 
    consortia has the capability and has obtained financial commitments 
    (or has the capacity to obtain financial commitments) necessary 
    to--
            (A) develop not less than 30 dwellings in connection with 
        the grant amounts; and
            (B) otherwise comply with a grant agreement under 
        subsection (i); and
        (3) a grant agreement entered into under subsection (i).
    (g) Treatment of Unused Amounts.--Upon the expiration of the 6-
month period beginning upon the Secretary first providing notice of the 
availability of amounts for grants under subsection (a)(2), the 
Secretary shall determine whether the amount remaining from the 
aggregate amount reserved under subsection (c)(2) exceeds the amount 
needed to provide funding in connection with any expressions of 
interest under subsection (f)(1) made by such date that are likely to 
result in grant agreements under subsection (i). If the Secretary 
determines that such excess amounts remain, the Secretary shall provide 
the excess amounts to Habitat for Humanity International by making a 
grant to such organization in accordance with this section.
    (h) Geographical Diversity.--In using grant amounts provided under 
subsection (a)(1), Habitat for Humanity International shall ensure that 
the amounts are used in a manner that results in national geographic 
diversity among housing developed using such amounts. In making grants 
under subsection (a)(2), the Secretary shall ensure that grants are 
provided and grant amounts are used in a manner that results in 
national geographic diversity among housing developed using grant 
amounts under this section.
    (i) Grant Agreement.--A grant under this section shall be made only 
pursuant to a grant agreement entered into by the Secretary and the 
organization or consortia receiving the grant, which shall--
        (1) require such organization or consortia to use grant amounts 
    only as provided in this section;
        (2) provide for the organization or consortia to develop a 
    specific and reasonable number of dwellings using the grant 
    amounts, which number shall be established taking into 
    consideration costs and economic conditions in the areas in which 
    the dwellings will be developed, but in no case shall be less than 
    30;
        (3) require the organization or consortia to use the grant 
    amounts in a manner that leverages other sources of funding (other 
    than grants under this section), including private or public funds, 
    in developing the dwellings;
        (4) require the organization or consortia to comply with the 
    other provisions of this section;
        (5) provide that if the organization or consortia has not used 
    any grant amounts within 24 months after such amounts are first 
    disbursed to the organization or consortia, the Secretary shall 
    recapture such unused amounts; and
        (6) contain such other terms as the Secretary may require to 
    provide for compliance with subsection (b) and the requirements of 
    this section.
    (j) Fulfillment of Grant Agreement.--If the Secretary determines 
that an organization or consortia awarded a grant under this section 
has not, within 24 months after grant amounts are first made available 
to the organization or consortia, substantially fulfilled the 
obligations under the grant agreement, including development of the 
appropriate number of dwellings under the agreement, the Secretary 
shall use any such undisbursed amounts remaining from such grant for 
other grants in accordance with this section.
    (k) Records and Audits.--During the period beginning upon the 
making of a grant under this section and ending upon close-out of the 
grant under subsection (l)--
        (1) the organization awarded the grant under subsection (a)(1) 
    or (a)(2) shall keep such records and adopt such administrative 
    pr
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actices as the Secretary may require to ensure compliance with 
    the provisions of this section and the grant agreement; and
        (2) the Secretary and the Comptroller General of the United 
    States, and any of their duly authorized representatives, shall 
    have access for the purpose of audit and examination to any books, 
    documents, papers, and records of the grantee organization or 
    consortia and its affiliates that are pertinent to the grant made 
    under this section.
    (l) Close-Out.--The Secretary shall close out a grant made under 
this section upon determining that the aggregate amount of any 
assistance provided from the fund established under subsection (e)(1) 
by the grantee organization or consortium exceeds the amount of the 
grant. For purposes of this paragraph, any interest, fees, and other 
earnings of the fund shall be excluded from the amount of the grant.
    (m) Environmental Review.--A grant under this section shall be 
considered to be funds for a special project for purposes of section 
305(c) of the Multifamily Housing Property Disposition Reform Act of 
1994.
    (n) Report to Congress.--Not later than 90 days after close-out of 
all grants under this section is completed, the Secretary shall submit 
a report to the applicable Committees describing the grants made under 
this section, the grantees, the housing developed in connection with 
the grant amounts, and the purposes for which the grant amounts were 
used.
    (o) Definitions.--For purposes of this section, the following 
definitions shall apply:
        (1) Applicable committees.--The term ``applicable Committees'' 
    means the Committee on Banking and Financial Services of the House 
    of Representatives and the Committee on Banking, Housing, and Urban 
    Affairs of the Senate.
        (2) Secretary.--The term ``Secretary'' means the Secretary of 
    Housing and Urban Development.
        (3) United states.--The term ``United States'' includes the 
    States of the United States, the District of Columbia, the 
    Commonwealth of Puerto Rico, the Commonwealth of the Northern 
    Mariana Islands, Guam, the Virgin Islands, American Samoa, and any 
    other territory or possession of the United States.
    (p) Regulations.--The Secretary shall issue any final regulations 
necessary to carry out this section not later than 30 days after the 
date of the enactment of this Act. The regulations shall take effect 
upon issuance and may not exceed, in length, 5 full pages in the 
Federal Register.
  SEC. 12. FUNDING FOR SELF-HELP HOUSING ASSISTANCE, NATIONAL CITIES IN 
      SCHOOLS COMMUNITY DEVELOPMENT PROGRAM, AND CAPACITY BUILDING 
      THROUGH NATIONAL COMMUNITY DEVELOPMENT INITIATIVE.
    (a) Authority to Use Assisted Housing Amounts.--To the extent and 
for the purposes specified in subsection (b), the Secretary of Housing 
and Urban Development may use amounts in the account of the Department 
of Housing and Urban Development known as the Annual Contributions for 
Assisted Housing account, but only such amounts which--
        (1) have been appropriated for a fiscal year that occurs before 
    the fiscal year for which the Secretary uses the amounts; and
        (2) have been obligated before becoming available for use under 
    this section.
    (b) Fiscal Year 1996.--Of the amounts described in subsection (a), 
$60,000,000 shall be available to the Secretary of Housing and Urban 
Development for fiscal year 1996 in the following amounts for the 
following purposes:
        (1) Self-help housing assistance.--$40,000,000 for carrying out 
    section 11 of this Act.
        (2) National cities in schools community development program.--
    $10,000,000 for carrying out section 930 of the Housing and 
    Community Development Act of 1992 (Public Law 102-550; 106 Stat. 
    3887).
        (3) Capacity building through national community development 
    initiative.--$10,000,000 for carrying out section 4 of the HUD 
    Demonstration Act of 1993 (42 U.S.C. 9816 note).

SEC. 13. APPLICABILITY AND IMPLEMENTATION.

    (a) Applicability.--This Act and the amendments made by this Act 
shall be construed to have become effective on October 1, 1995.
    (b) Implementation.--The amendments made by sections 9 and 10 shall 
apply as provided in subsection (a) of this section, notwithstanding 
the effective date of any regulations issued by the Secretary of 
Housing and Urban Development to implement such amendments or any 
failure by the Secretary to issue any such regulations.

                               Speaker of the House of Representatives.

                            Vice President of the United States and    
                                               President of the Senate.

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