§ 1701q. — Supportive housing for the elderly.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 12USC1701q]
TITLE 12--BANKS AND BANKING
CHAPTER 13--NATIONAL HOUSING
Sec. 1701q. Supportive housing for the elderly
(a) Purpose
The purpose of this section is to enable elderly persons to live
with dignity and independence by expanding the supply of supportive
housing that--
(1) is designed to accommodate the special needs of elderly
persons; and
(2) provides a range of services that are tailored to the needs
of elderly persons occupying such housing.
(b) General authority
The Secretary is authorized to provide assistance to private
nonprofit organizations and consumer cooperatives to expand the supply
of supportive housing for the elderly. Such assistance shall be provided
as (1) capital advances in accordance with subsection (c)(1) of this
section, and (2) contracts for project rental assistance in accordance
with subsection (c)(2) of this section. Such assistance may be used to
finance the construction, reconstruction, or moderate or substantial
rehabilitation of a structure or a portion of a structure, or the
acquisition of a structure, to be used as supportive housing for the
elderly in accordance with this section. Assistance may also cover the
cost of real property acquisition, site improvement, conversion,
demolition, relocation, and other expenses that the Secretary determines
are necessary to expand the supply of supportive housing for the
elderly.
(c) Forms of assistance
(1) Capital advances
A capital advance provided under this section shall bear no
interest and its repayment shall not be required so long as the
housing remains available for very low-income elderly persons in
accordance with this section. Such advance shall be in an amount
calculated in accordance with the development cost limitation
established in subsection (h) of this section.
(2) Project rental assistance
Contracts for project rental assistance shall obligate the
Secretary to make monthly payments to cover any part of the costs
attributed to units occupied (or, as approved by the Secretary, held
for occupancy) by very low-income elderly persons that is not met
from project income. The annual contract amount for any project
shall not exceed the sum of the initial annual project rentals for
all units so occupied and any initial utility allowances for such
units, as approved by the Secretary. Any contract amounts not used
by a project in any year shall remain available to the project until
the expiration of the contract. The Secretary may adjust the annual
contract amount if the sum of the project income and the amount of
assistance payments available under this paragraph are inadequate to
provide for reasonable project costs.
(3) Tenant rent contribution
A very low-income person shall pay as rent for a dwelling unit
assisted under this section the highest of the following amounts,
rounded to the nearest dollar: (A) 30 percent of the person's
adjusted monthly income, (B) 10 percent of the person's monthly
income, or (C) if the person is receiving payments for welfare
assistance from a public agency and a part of such payments,
adjusted in accordance with the person's actual housing costs, is
specifically designated by such agency to meet the person's housing
costs, the portion of such payments which is so designated.
(d) Term of commitment
(1) Use limitations
All units in housing assisted under this section shall be made
available for occupancy by very low-income elderly persons for not
less than 40 years.
(2) Contract terms
The initial term of a contract entered into under subsection
(c)(2) of this section shall be 240 months. The Secretary shall, to
the extent approved in appropriation Acts, extend any expiring
contract for a term of not less than 60 months. In order to
facilitate the orderly extension of expiring contracts, the
Secretary is authorized to make commitments to extend expiring
contracts during the year prior to the date of expiration.
(e) Applications
Funds made available under this section shall be allocated by the
Secretary among approvable applications submitted by private nonprofit
organizations. Applications for assistance under this section shall be
submitted by an applicant in such form and in accordance with such
procedures as the Secretary shall establish. Such applications shall
contain--
(1) a description of the proposed housing;
(2) a description of the assistance the applicant seeks under
this section;
(3) a description of the resources that are expected to be made
available in compliance with subsection (h) of this section;
(4) a description of (A) the category or categories of elderly
persons the housing is intended to serve; (B) the supportive
services, if any, to be provided to the persons occupying such
housing; (C) the manner in which such services will be provided to
such persons, including, in the case of frail elderly persons,
evidence of such residential supervision as the Secretary determines
is necessary to facilitate the adequate provision of such services;
and (D) the public or private sources of assistance that can
reasonably be expected to fund or provide such services;
(5) a certification from the public official responsible for
submitting a housing strategy for the jurisdiction to be served in
accordance with section 12705 of title 42 that the proposed project
is consistent with the approved housing strategy; and
(6) such other information or certifications that the Secretary
determines to be necessary or appropriate to achieve the purposes of
this section.
The Secretary shall not reject an application on technical grounds
without giving notice of that rejection and the basis therefor to the
applicant and affording the applicant an opportunity to respond.
(f) Selection criteria
The Secretary shall establish selection criteria for assistance
under this section, which shall include--
(1) the ability of the applicant to develop and operate the
proposed housing;
(2) the need for supportive housing for the elderly in the area
to be served, taking into consideration the availability of public
housing for the elderly and vacancy rates in such facilities;
(3) the extent to which the proposed size and unit mix of the
housing will enable the applicant to manage and operate the housing
efficiently and ensure that the provision of supportive services
will be accomplished in an economical fashion;
(4) the extent to which the proposed design of the housing will
meet the special physical needs of elderly persons;
(5) the extent to which the applicant has demonstrated that the
supportive services identified in subsection (e)(4) of this section
will be provided on a consistent, long-term basis;
(6) the extent to which the proposed design of the housing will
accommodate the provision of supportive services that are expected
to be needed, either initially or over the useful life of the
housing, by the category or categories of elderly persons the
housing is intended to serve; and
(7) such other factors as the Secretary determines to be
appropriate to ensure that funds made available under this section
are used effectively.
(g) Provisions of services
(1) In general
In carrying out the provisions of this section, the Secretary
shall ensure that housing assisted under this section provides a
range of services tailored to the needs of the category or
categories of elderly persons (including frail elderly persons)
occupying such housing. Such services may include (A) meal service
adequate to meet nutritional need; (B) housekeeping aid; (C)
personal assistance; (D) transportation services; (E) health-related
services; (F) providing education and outreach regarding
telemarketing fraud, in accordance with the standards issued under
section 671(f) of the Housing and Community Development Act of 1992
(42 U.S.C. 13631(f)); and (G) such other services as the Secretary
deems essential for maintaining independent living. The Secretary
may permit the provision of services to elderly persons who are not
residents if the participation of such persons will not adversely
affect the cost-effectiveness or operation of the program or add
significantly to the need for assistance under this Act.
(2) Local coordination of services
The Secretary shall ensure that owners have the managerial
capacity to--
(A) assess on an ongoing basis the service needs of
residents;
(B) coordinate the provision of supportive services and
tailor such services to the individual needs of residents; and
(C) seek on a continuous basis new sources of assistance to
ensure the long-term provision of supportive services.
Any cost associated with this subsection shall be an eligible cost
under subsection (c)(2) of this section.
(3) Service coordinators
Any cost associated with employing or otherwise retaining a
service coordinator in housing assisted under this section shall be
considered an eligible cost under subsection (c)(2) of this section.
If a project is receiving congregate housing services assistance
under section 8011 of title 42, the amount of costs provided under
subsection (c)(2) of this section for the project service
coordinator may not exceed the additional amount necessary to cover
the costs of providing for the coordination of services for
residents of the project who are not eligible residents under such
section 8011 of title 42. To the extent that amounts are available
pursuant to subsection (c)(2) of this section for the costs of
carrying out this paragraph within a project, an owner of housing
assisted under this section shall provide a service coordinator for
the housing to coordinate the provision of services under this
subsection within the housing.
(h) Development cost limitations
(1) In general
The Secretary shall periodically establish development cost
limitations by market area for various types and sizes of supportive
housing for the elderly by publishing a notice of the cost
limitations in the Federal Register. The cost limitations shall
reflect--
(A) the cost of construction, reconstruction, or
rehabilitation of supportive housing for the elderly that meets
applicable State and local housing and building codes;
(B) the cost of movables necessary to the basic operation of
the housing, as determined by the Secretary;
(C) the cost of special design features necessary to make
the housing accessible to elderly persons;
(D) the cost of special design features necessary to make
individual dwelling units meet the physical needs of elderly
project residents;
(E) the cost of congregate space necessary to accommodate
the provision of supportive services to elderly project
residents;
(F) if the housing is newly constructed, the cost of meeting
the energy efficiency standards promulgated by the Secretary in
accordance with section 12709 of title 42; and
(G) the cost of land, including necessary site improvement.
In establishing development cost limitations for a given market area
under this subsection, the Secretary shall use data that reflect
currently prevailing costs of construction, reconstruction, or
rehabilitation, and land acquisition in the area. For purposes of
this paragraph, the term ``congregate space'' shall include space
for cafeterias or dining halls, community rooms or buildings,
workshops, adult day health facilities, or other outpatient health
facilities, or other essential service facilities. Neither this
section nor any other provision of law may be construed as
prohibiting or preventing the location and operation, in a project
assisted under this section, of commercial facilities for the
benefit of residents of the project and the community in which the
project is located, except that assistance made available under this
section may not be used to subsidize any such commercial facility.
(2) Acquisition
In the case of existing housing and related facilities to be
acquired, the cost limitations shall include--
(A) the cost of acquiring such housing,
(B) the cost of rehabilitation, alteration, conversion, or
improvement, including the moderate rehabilitation thereof, and
(C) the cost of the land on which the housing and related
facilities are located.
(3) Annual adjustments
The Secretary shall adjust the cost limitation not less than
once annually to reflect changes in the general level of
construction, reconstruction, or rehabilitation costs.
(4) Incentives for savings
(A) Special housing account
The Secretary shall use the development cost limitations
established under paragraph (1) or (2) to calculate the amount
of financing to be made available to individual owners. Owners
which incur actual development costs that are less than the
amount of financing shall be entitled to retain 50 percent of
the savings in a special housing account. Such percentage shall
be increased to 75 percent for owners which add energy
efficiency features which--
(i) exceed the energy efficiency standards promulgated
by the Secretary in accordance with section 12709 of title
42;
(ii) substantially reduce the life-cycle cost of the
housing;
(iii) reduce gross rent requirements; and
(iv) enhance tenant comfort and convenience.
(B) Uses
The special housing account established under subparagraph
(A) may be used (i) to supplement services provided to residents
of the housing or funds set aside for replacement reserves, or
(ii) for such other purposes as determined by the Secretary.
(5) Design flexibility
The Secretary shall, to the extent practicable, give owners the
flexibility to design housing appropriate to their location and
proposed resident population within broadly defined parameters.
(6) Use of funds from other sources
An owner shall be permitted voluntarily to provide funds from
sources other than this section for amenities and other features of
appropriate design and construction suitable for supportive housing
for the elderly if the cost of such amenities is (A) not financed
with the advance, and (B) is not taken into account in determining
the amount of Federal assistance or of the rent contribution of
tenants. Notwithstanding any other provision of law, assistance
amounts provided under this section may be treated as amounts not
derived from a Federal grant.
(i) Tenant selection
(1) In general
An owner shall adopt written tenant selection procedures that
are satisfactory to the Secretary as (A) consistent with the purpose
of improving housing opportunities for very low-income elderly
persons; and (B) reasonably related to program eligibility and an
applicant's ability to perform the obligations of the lease. Such
tenant selection procedures shall comply with subtitle C of title VI
of the Housing and Community Development Act of 1992 [42 U.S.C.
13601 et seq.] and any regulations issued under such subtitle.
Owners shall promptly notify in writing any rejected applicant of
the grounds for any rejection.
(2) Information regarding housing under this section
The Secretary shall provide to an appropriate agency in each
area (which may be the applicable Area Agency on the Aging)
information regarding the availability of housing assisted under
this section.
(j) Miscellaneous provisions
(1) Technical assistance
The Secretary shall make available appropriate technical
assistance to assure that applicants having limited resources,
particularly minority applicants, are able to participate more fully
in the program carried out under this section.
(2) Civil rights compliance
Each owner shall certify, to the satisfaction of the Secretary,
that assistance made available under this section will be conducted
and administered in conformity with title VI of the Civil Rights Act
of 1964 [42 U.S.C. 2000d et seq.], the Fair Housing Act [42 U.S.C.
3601 et seq.], and other Federal, State, and local laws prohibiting
discrimination and promoting equal opportunity.
(3) Owner deposit
(A) In general
The Secretary shall require an owner to deposit an amount
not to exceed $25,000 in a special escrow account to assure the
owner's commitment to the housing.
(B) Reduction of requirement
The Secretary may reduce or waive the owner deposit
specified under paragraph (1) for individual applicants if the
Secretary finds that such waiver or reduction is necessary to
achieve the purposes of this section and the applicant
demonstrates to the satisfaction of the Secretary that it has
the capacity to manage and maintain the housing in accordance
with this section. The Secretary shall reduce or waive the
requirement of the owner deposit under paragraph (1) in the case
of a nonprofit applicant that is not affiliated with a national
sponsor, as determined by the Secretary.
(4) Notice of appeal
The Secretary shall notify an owner not less than 30 days prior
to canceling any reservation of assistance provided under this
section. During the 30-day period following the receipt of a notice
under the preceding sentence, an owner may appeal the proposed
cancellation of loan authority. Such appeal, including review by the
Secretary, shall be completed not later than 45 days after the
appeal is filed.
(5) Labor
(A) In general
The Secretary shall take such action as may be necessary to
ensure that all laborers and mechanics employed by contractors
and subcontractors in the construction of housing with 12 or
more units assisted under this section shall be paid wages at
rates not less than the rates prevailing in the locality
involved for the corresponding classes of laborers and mechanics
employed on construction of a similar character, as determined
by the Secretary of Labor in accordance with sections 3141-3144,
3146, and 3147 of title 40.
(B) Exemption
Subparagraph (A) shall not apply to any individual who--
(i) performs services for which the individual
volunteered;
(ii)(I) does not receive compensation for such services;
or
(II) is paid expenses, reasonable benefits, or a nominal
fee for such services; and
(iii) is not otherwise employed at any time in the
construction work.
(6) Access to residual receipts
The Secretary shall authorize the owner of a project assisted
under this section to use any residual receipts held for the project
in excess of $500 per unit (or in excess of such other amount
prescribed by the Secretary based on the needs of the project) for
activities to retrofit and renovate the project described under
section 8011(d)(3) of title 42, to provide a service coordinator for
the project as described in section 8011(d)(4) of title 42, or to
provide supportive services (as such term is defined in section
8011(k) of title 42) to residents of the project. Any owner that
uses residual receipts under this paragraph shall submit to the
Secretary a report, not less than annually, describing the uses of
the residual receipts. In determining the amount of project rental
assistance to be provided to a project under subsection (c)(2) of
this section, the Secretary may take into consideration the residual
receipts held for the project only if, and to the extent that,
excess residual receipts are not used under this paragraph.
(7) Compliance with Housing and Community Development Act of
1992
Each owner shall operate housing assisted under this section in
compliance with subtitle C of title VI of the Housing and Community
Development Act of 1992 [42 U.S.C. 13601 et seq.] and any
regulations issued under such subtitle.
(8) Use of project reserves
Amounts for project reserves for a project assisted under this
section may be used for costs, subject to reasonable limitations as
the Secretary determines appropriate, for reducing the number of
dwelling units in the project. Such use shall be subject to the
approval of the Secretary to ensure that the use is designed to
retrofit units that are currently obsolete or unmarketable.
(k) Definitions
(1) The term ``elderly person'' means a household composed of one or
more persons at least one of whom is 62 years of age or more at the time
of initial occupancy.
(2) The term ``frail elderly'' means an elderly person who is unable
to perform at least 3 activities of daily living adopted by the
Secretary for purposes of this program. Owners may establish additional
eligibility requirements (acceptable to the Secretary) based on the
standards in local supportive services programs.
(3) The term ``owner'' means a private nonprofit organization that
receives assistance under this section to develop and operate supportive
housing for the elderly.
(4) The term ``private nonprofit organization'' means any
incorporated private institution or foundation--
(A) no part of the net earnings of which inures to the benefit
of any member, founder, contributor, or individual;
(B) which has a governing board (i) the membership of which is
selected in a manner to assure that there is significant
representation of the views of the community in which such housing
is located, and (ii) which is responsible for the operation of the
housing assisted under this section; and
(C) which is approved by the Secretary as to financial
responsibility.
Such term includes a for-profit limited partnership the sole general
partner of which is an organization meeting the requirements under
subparagraphs (A), (B), and (C), or a corporation wholly owned and
controlled by an organization meeting the requirements under
subparagraphs (A), (B), and (C).
(5) The term ``State'' includes the several States, the District of
Columbia, the Commonwealth of Puerto Rico, and the possessions of the
United States.
(6) The term ``Secretary'' means the Secretary of Housing and Urban
Development.
(7) The term ``supportive housing for the elderly'' means housing
that is designed (A) to meet the special physical needs of elderly
persons and (B) to accommodate the provision of supportive services that
are expected to be needed, either initially or over the useful life of
the housing, by the category or categories of elderly persons that the
housing is intended to serve.
(8) The term ``very low-income'' has the same meaning as given the
term ``very low-income families'' under section 1437a(b)(2) of title 42.
(l) Allocation of funds
(1) Capital advances
Of any amounts made available for assistance under this section,
such sums as may be necessary shall be available for funding capital
advances in accordance with subsection (c)(1) of this section. Such
amounts, the repayments from such advances, and the proceeds from
notes or obligations issued under this section prior to November 28,
1990, shall constitute a revolving fund to be used by the Secretary
in carrying out this section.
(2) Project rental assistance
Of any amounts made available for assistance under this section,
such sums as may be necessary shall be available for funding project
rental assistance in accordance with subsection (c)(2) of this
section.
(3) Nonmetropolitan allocation
Not less than 15 percent of the funds made available for
assistance under this section shall be allocated by the Secretary on
a national basis for nonmetropolitan areas.
(m) Authorization of appropriations
There is authorized to be appropriated for providing assistance
under this section $710,000,000 for fiscal year 2000.
(m) \1\ Authorization of appropriations
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\1\ So in original. Probably should be ``(n)''.
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There are authorized to be appropriated for providing assistance
under this section such sums as may be necessary for each of fiscal
years 2001, 2002, and 2003.
(Pub. L. 86-372, title II, Sec. 202, Sept. 23, 1959, 73 Stat. 667; Pub.
L. 87-70, title II, Sec. 201, June 30, 1961, 75 Stat. 162; Pub. L. 87-
723, Sec. 3, Sept. 28, 1962, 76 Stat. 670; Pub. L. 88-158, Oct. 24,
1963, 77 Stat. 278; Pub. L. 88-560, title II, Secs. 201, 203(a)(2),
Sept. 2, 1964, 78 Stat. 783; Pub. L. 89-117, title I, Sec. 105(a),
(b)(1), formerly Sec. 105, Aug. 10, 1965, 79 Stat. 457, renumbered Pub.
L. 89-754, title X, Sec. 1001(1), (2), Nov. 3, 1966, 80 Stat. 1284; Pub.
L. 90-19, Sec. 16(a), May 25, 1967, 81 Stat. 25; Pub. L. 90-448, title
XVII, Sec. 1706, Aug. 1, 1968, 82 Stat. 605; Pub. L. 91-152, title II,
Sec. 218, Dec. 24, 1969, 83 Stat. 390; Pub. L. 93-383, title II,
Sec. 210(a)-(f), Aug. 22, 1974, 88 Stat. 669-671; Pub. L. 94-375,
Sec. 11, Aug. 3, 1976, 90 Stat. 1074; Pub. L. 95-128, title II,
Sec. 202, Oct. 12, 1977, 91 Stat. 1129; Pub. L. 95-557, title II,
Sec. 205, Oct. 31, 1978, 92 Stat. 2090; Pub. L. 96-153, title III,
Sec. 306(a)-(d), Dec. 21, 1979, 93 Stat. 1112, 1113; Pub. L. 96-399,
title III, Sec. 319, Oct. 8, 1980, 94 Stat. 1646; Pub. L. 97-35, title
III, Sec. 336, Aug. 13, 1981, 95 Stat. 414; Pub. L. 98-181, title II,
Sec. 223(a)(1), (b)-(e), Nov. 30, 1983, 97 Stat. 1189, 1190; Pub. L. 98-
479, title I, Sec. 102(c), title II, Secs. 201(e), 203(h), Oct. 17,
1984, 98 Stat. 2222, 2228, 2230; Pub. L. 100-242, title I, Secs. 161(a)-
(c)(1), (d)-(f), 162(b), (c), 170(g), Feb. 5, 1988, 101 Stat. 1855-1857,
1859, 1867; Pub. L. 101-625, title VIII, Secs. 801(a), (e), 804(a)-(c),
805, 807, 808, title IX, Sec. 955(c), Nov. 28, 1990, 104 Stat. 4297,
4304, 4322-4324, 4421; Pub. L. 102-139, title II, Oct. 28, 1991, 105
Stat. 756; Pub. L. 102-242, title II, Sec. 241(c)(2), Dec. 19, 1991, 105
Stat. 2331; Pub. L. 102-550, title VI, Secs. 601(c), 602(a)-(c), (e)-
(g), 677(a), 682(c), title IX, Sec. 913(a), title XVI, Sec. 1604(c)(3),
Oct. 28, 1992, 106 Stat. 3802-3805, 3829, 3831, 3876, 4083; Pub. L. 106-
74, title V, Sec. 511, Oct. 20, 1999, 113 Stat. 1101; Pub. L. 106-569,
title VIII, Secs. 821, 831-835, 851(c)(1), Dec. 27, 2000, 114 Stat.
3020-3022, 3024.)
References in Text
This Act, referred to in subsec. (g)(1), is Pub. L. 86-372, Sept.
23, 1959, 73 Stat. 654, as amended, known as the Housing Act of 1959.
For complete classification of this Act to the Code, see Short Title of
1959 Amendment note set out under section 1701 of this title and Tables.
The Housing and Community Development Act of 1992, referred to in
subsecs. (i)(1) and (j)(7), is Pub. L. 102-550, Oct. 28, 1992, 106 Stat.
3672. Subtitle C of title VI of the Act is classified generally to
subchapter I (Sec. 13601 et seq.) of chapter 135 of Title 42, The Public
Health and Welfare. For complete classification of this Act to the Code,
see Short Title of 1992 Amendment note set out under section 5301 of
Title 42 and Tables.
The Civil Rights Act of 1964, referred to in subsec. (j)(2), is Pub.
L. 88-352, July 2, 1964, 78 Stat. 241, as amended. Title VI of the Act
is classified generally to subchapter V (Sec. 2000d et seq.) of chapter
21 of Title 42. For complete classification of this Act to the Code, see
Short Title note set out under section 2000a of Title 42 and Tables.
The Fair Housing Act, referred to in subsec. (j)(2), is title VIII
of Pub. L. 90-284, Apr. 11, 1968, 82 Stat. 81, as amended, which is
classified principally to subchapter I (Sec. 3601 et seq.) of chapter 45
of Title 42. For complete classification of this Act to the Code, see
Short Title note set out under section 3601 of Title 42 and Tables.
Codification
``Sections 3141-3144, 3146, and 3147 of title 40'' substituted in
subsec. (j)(5)(A) for ``the Act of March 3, 1931 (commonly known as the
Davis-Bacon Act)'' on authority of Pub. L. 107-217, Sec. 5(c), Aug. 21,
2002, 116 Stat. 1303, the first section of which enacted Title 40,
Public Buildings, Property, and Works.
Section was enacted as part of the Housing Act of 1959, and not as
part of the National Housing Act which comprises this chapter.
Amendments
2000--Subsec. (b). Pub. L. 106-569, Sec. 833(1), struck out ``from
the Resolution Trust Corporation'' after ``or the acquisition of a
structure''.
Subsec. (g)(1)(F), (G). Pub. L. 106-569, Sec. 851(c)(1), added cl.
(F) and redesignated former cl. (F) as (G).
Subsec. (h)(1). Pub. L. 106-569, Sec. 835, inserted at end of
concluding provisions ``Neither this section nor any other provision of
law may be construed as prohibiting or preventing the location and
operation, in a project assisted under this section, of commercial
facilities for the benefit of residents of the project and the community
in which the project is located, except that assistance made available
under this section may not be used to subsidize any such commercial
facility.''
Subsec. (h)(2). Pub. L. 106-569, Sec. 833(2), substituted
``Acquisition'' for ``RTC properties'' in heading and struck out ``from
the Resolution Trust Corporation under section 1441a(c) of this title or
from the Federal Deposit Insurance Corporation under section 1831q of
this title'' after ``related facilities to be acquired'' in introductory
provisions.
Subsec. (h)(6). Pub. L. 106-569, Sec. 832, substituted ``sources
other than this section'' for ``non-Federal sources'' and inserted at
end ``Notwithstanding any other provision of law, assistance amounts
provided under this section may be treated as amounts not derived from a
Federal grant.''
Subsec. (j)(8). Pub. L. 106-569, Sec. 834, added par. (8).
Subsec. (k)(4). Pub. L. 106-569, Sec. 831, inserted concluding
provisions.
Subsec. (m). Pub. L. 106-569, Sec. 821, added subsec. (m) relating
to authorization of appropriations for fiscal years 2001 to 2003.
1999--Subsec. (m). Pub. L. 106-74 added subsec. (m) relating to
authorization of appropriations for fiscal year 2000.
1992--Subsec. (e)(5) to (7). Pub. L. 102-550, Sec. 602(b),
redesignated pars. (6) and (7) as (5) and (6), respectively, and struck
out former par. (5) which read as follows: ``a certification from the
appropriate State or local agency (as determined by the Secretary) that
the provision of services identified in paragraph (4) is well designed
to serve the special needs of the category or categories of elderly
persons the housing is intended to serve;''.
Subsec. (f)(2). Pub. L. 102-550, Sec. 602(c), which directed
insertion of ``, taking into consideration the availability of public
housing for the elderly and vacancy rates in such facilities'' at end,
was executed by making insertion before semicolon at end.
Subsec. (g)(1). Pub. L. 102-550, Sec. 602(a)(1), struck out ``and
persons with disabilities'' after ``elderly persons'' in last sentence.
Subsec. (g)(2). Pub. L. 102-550, Sec. 677(a)(A), struck out at end
``Any cost associated with the employment of a service coordinator shall
also be an eligible cost except where the project is receiving
congregate housing services assistance under section 8011 of title 42.''
Subsec. (g)(3). Pub. L. 102-550, Sec. 677(a)(B), added par. (3).
Subsec. (h)(2). Pub. L. 102-550, Sec. 1604(c)(3), made technical
amendment to reference to section 1831q of this title to correct
reference to corresponding provision of original act.
Subsec. (i)(1). Pub. L. 102-550, Sec. 682(c)(1), inserted after
first sentence ``Such tenant selection procedures shall comply with
subtitle C of title VI of the Housing and Community Development Act of
1992 and any regulations issued under such subtitle.''
Subsec. (i)(1)(A). Pub. L. 102-550, Sec. 602(a)(2), substituted
``elderly persons'' for ``persons with disabilities''.
Subsec. (j)(3)(B). Pub. L. 102-550, Sec. 602(f), inserted at end
``The Secretary shall reduce or waive the requirement of the owner
deposit under paragraph (1) in the case of a nonprofit applicant that is
not affiliated with a national sponsor, as determined by the
Secretary.''
Subsec. (j)(5). Pub. L. 102-550, Sec. 913(a), amended par. (5)
generally. Prior to amendment, par. (5) read as follows:
``(A) In general.--Any contract for the construction of affordable
housing with 12 or more units assisted with funds made available under
this subtitle shall contain a provision requiring that not less than the
wages prevailing in the locality, as predetermined by the Secretary of
Labor pursuant to the Davis-Bacon Act (40 U.S.C. 276a-276a-5), shall be
paid to all laborers and mechanics employed in the development of
affordable housing involved, and participating jurisdictions shall
require certification as to compliance with the provisions of this
section prior to making any payment under such contract.
``(B) Waiver.--Subparagraph (A) shall not apply if the individual
receives no compensation or is paid expenses, reasonable benefits, or a
nominal fee to perform the services for which the individual volunteered
and such persons are not otherwise employed at any time in the
construction work.''
Subsec. (j)(6). Pub. L. 102-550, Sec. 602(e), added par. (6).
Subsec. (j)(7). Pub. L. 102-550, Sec. 682(c)(2), added par. (7).
Subsec. (l). Pub. L. 102-550, Sec. 601(c)(1), substituted
``Allocation of funds'' for ``Authorizations'' in heading.
Subsec. (l)(1). Pub. L. 102-550, Sec. 601(c)(2), inserted sentence
at beginning, substituted ``Such amounts'' for ``Amounts so
appropriated'' in second sentence, and struck out former first sentence
which read as follows: ``There are authorized to be appropriated for the
purpose of funding capital advances in accordance with subsection (c)(1)
of this section $659,000,000 for fiscal year 1992.''
Subsec. (l)(2). Pub. L. 102-550, Sec. 601(c)(3), added par. (2) and
struck out former par. (2) which read as follows: ``For the purpose of
funding contracts for project rental assistance in accordance with
subsection (c)(2) of this section the Secretary may, to the extent
approved in an appropriations Act, reserve authority to enter into
obligations aggregating $363,000,000 for fiscal year 1992.''
Subsec. (l)(3). Pub. L. 102-550, Sec. 602(g), which directed
substitution of ``15 percent'' for ``20 percent'' in par. (4) was
executed to par. (3) to reflect the probable intent of Congress.
Pub. L. 102-550, Sec. 601(c)(4), substituted ``for assistance under
this section'' for ``under this subtitle''.
1991--Subsec. (g)(2). Pub. L. 102-139, amending Pub. L. 101-625,
Sec. 801(a), struck out ``in housing principally serving frail elderly
persons'' after ``coordinator''.
Pub. L. 102-139 struck out ``or a project where the tenants are not
principally frail elderly'' before period at end of subsec. (g)(2) as it
existed prior to the general amendment of this section by section 801(a)
of Pub. L. 101-625.
Subsec. (h)(2). Pub. L. 102-242 inserted ``or from the Federal
Deposit Insurance Corporation under section 1831q of this title'' after
``section 1441a(c) of this title''.
1990--Pub. L. 101-625, Sec. 801(a), amended section generally,
substituting present provisions for provisions authorizing loans for
housing and related facilities for elderly or handicapped families.
Subsec. (a)(4)(C). Pub. L. 101-625, Sec. 801(e), struck out before
period at end ``, and not more than $666,400,000 may be approved in
appropriation Acts for such loans with respect to fiscal year 1984. For
fiscal years 1988 and 1989, not more than $621,701,000 and $630,000,000,
respectively, may be approved in appropriation Acts for such loans'' and
inserted at end ``For fiscal year 1991, not more than $714,200,000 may
be approved in appropriation Acts for such loans.''
Subsec. (a)(9). Pub. L. 101-625, Sec. 804(b), added par. (9).
Subsec. (c)(3). Pub. L. 101-625, Sec. 955(c), designated existing
provisions as subpar. (A), struck out before period at end ``; but the
Secretary may waive the application of this paragraph in cases or
classes of cases where laborers or mechanics, not otherwise employed at
any time in the construction of such housing, voluntarily donate their
services without full compensation for the purpose of lowering the costs
of construction and the Secretary determines that any amounts saved
thereby are fully credited to the corporation, cooperative, or public
body or agency undertaking the construction'', and added subpar. (B).
Subsec. (d)(3). Pub. L. 101-625, Sec. 804(a), inserted at end ``The
term also means the cost of acquiring existing housing and related
facilities from the Resolution Trust Corporation under section 1441a(c)
of this title, the cost of rehabilitation, alteration, conversion, or
improvement, including the moderate rehabilitation thereof, and the cost
of the land on which the housing and related facilities are located.''
Subsec. (g). Pub. L. 101-625, Sec. 808, designated existing
provisions as par. (1) and added par. (2).
Pub. L. 101-625, Sec. 804(c), inserted at end ``In the case of
existing housing and related facilities acquired from the Resolution
Trust Corporation under section 1441a(c) of this title, the term of the
contract pursuant to such section 8 shall be 240 months.''
Subsec. (k)(3). Pub. L. 101-625, Sec. 807, added par. (3).
Subsec. (p). Pub. L. 101-625, Sec. 805, added subsec. (p).
1988--Subsec. (a)(3). Pub. L. 100-242, Sec. 161(c)(1), designated
existing provisions as subpar. (A), substituted ``taking into
consideration the average yield, during the 3-month period immediately
preceding the fiscal year in which the loan is made, on the most
recently issued 30-year marketable obligations of the United States''
for ``of the Treasury taking into consideration the average interest
rate on all interest bearing obligations of the United States then
forming a part of the public debt, computed at the end of the fiscal
year next preceding the date on which the loan is made'', and added
subpar. (B).
Subsec. (a)(4)(B)(i). Pub. L. 100-242, Sec. 161(a), inserted
provisions relating to such sums as may be approved for fiscal years
1988 and 1989, and substituted ``October 1, 1983, to such sum'' for
``October 1, 1983, and to such sum''.
Pub. L. 100-242, Sec. 161(d), substituted ``Such notes or other
obligations shall bear interest at a rate determined by the Secretary of
the Treasury taking into consideration the average yield, during the 3-
month period immediately preceding the fiscal year in which the loan is
made, on the most recently issued 30-year marketable obligations of the
United States.'' for ``Such notes or other obligations shall bear
interest at a rate determined by the Secretary of the Treasury, taking
into consideration the average interest rate on all interest bearing
obligations of the United States then forming a part of the public debt,
computed at the end of the fiscal year next preceding the date on which
the loan is made.''
Subsec. (a)(4)(C). Pub. L. 100-242, Sec. 161(b), inserted provisions
relating to loan authority for fiscal years 1988 and 1989.
Subsec. (a)(8). Pub. L. 100-242, Sec. 161(f), added par. (8).
Subsec. (c)(3). Pub. L. 100-242, Sec. 162(b)(3), inserted reference
to construction designed for dwelling use by 12 or more elderly or
handicapped families.
Subsec. (d)(4). Pub. L. 100-242, Sec. 170(g)(1), substituted
reference to a handicapped person if such person has a developmental
disability as defined in section 6001(7) of title 42, for reference to a
handicapped person if such person is a developmentally disabled
individual as defined in section 102(5) of the Developmental
Disabilities Services and Facilities Construction Amendments of 1950.
Subsec. (d)(9), (10). Pub. L. 100-242, Sec. 162(b)(2), added pars.
(9), (10).
Subsec. (f). Pub. L. 100-242, Sec. 162(c), designated existing
provisions as par. (1) and added par. (2).
Pub. L. 100-242, Sec. 170(g)(2), substituted ``section 133'' for
``section 134''.
Subsec. (h). Pub. L. 100-242, Sec. 162(b)(1), amended subsec. (h)
generally, changing structure of subsection from one consisting of
introductory provisions and two numbered paragraphs to one consisting of
four numbered paragraphs.
Subsec. (l). Pub. L. 100-242, Sec. 170(g)(3), substituted
``different'' for ``difference''.
Subsec. (n). Pub. L. 100-242, Sec. 161(e), added subsec. (n).
1984--Subsec. (a)(4)(B)(i). Pub. L. 98-479, Sec. 203(h), substituted
``chapter 31 of title 31'' for ``the Second Liberty Bond Act'' and
``such chapter'' for ``that Act''.
Pub. L. 98-479, Sec. 102(c)(1), substituted ``October 1, 1984'' for
``October 1, 1985''.
Subsec. (f). Pub. L. 98-479, Sec. 201(e), substituted ``Health and
Human Services'' for ``Health, Education, and Welfare''.
Subsec. (h)(1). Pub. L. 98-479, Sec. 102(c)(2)(A), inserted ``and''
at end.
Subsec. (h)(2). Pub. L. 98-479, Sec. 102(c)(2)(B), substituted a
period for ``; and'' at end.
Subsec. (l). Pub. L. 98-479, Sec. 102(c)(3), inserted ``The
Secretary shall not impose difference requirements or standards with
respect to construction change orders, increases in loan amount to cover
change orders, errors in plans and specifications, and use of
contingency funds, because of the method of contractor selection used by
the sponsor or borrower.''
1983--Subsec. (a)(3). Pub. L. 98-181, Sec. 223(a)(1), inserted ``,
except that such interest rate plus such allowance shall not exceed 9.25
per centum per annum''.
Subsec. (a)(4)(B)(i). Pub. L. 98-181, Sec. 223(b), struck out
``and'' after ``1980'' and inserted ``, to $6,400,000,000 on October 1,
1983, and to such sum as may be approved in an appropriation Act on
October 1, 1985,''.
Subsec. (a)(4)(C). Pub. L. 98-181, Sec. 223(c), substituted
``$666,400,000'' and ``1984'' for ``$850,848,000'' and ``1982'',
respectively.
Subsec. (h). Pub. L. 98-181, Sec. 223(d)(1), (2), in provisions
preceding par. (1), substituted ``1983'' for ``1978'', and inserted ``,
and persons described in subparagraphs (B) and (C) of subsection (d)(4)
of this section who have been released from residential health treatment
facilities''.
Subsec. (h)(1). Pub. L. 98-181, Sec. 223(d)(3), (5), substituted
``persons described in the first sentence of this subsection'' for
``handicapped persons'', and struck out ``and'' at end.
Subsec. (h)(2). Pub. L. 98-181, Sec. 223(d)(4), (6), substituted
``persons described in the first sentence of this subsection who are''
for ``handicapped persons'', and substituted ``such community; and'' for
``such community''.
Subsecs. (i) to (m). Pub. L. 98-181, Sec. 223(e), added subsecs. (i)
to (m).
1981--Subsec. (a)(4)(C). Pub. L. 97-35 inserted provisions relating
to fiscal year 1982.
1980--Subsec. (d)(3). Pub. L. 96-399 inserted last sentence relating
to housing to meet the needs of handicapped (primarily nonelderly)
persons.
1979--Subsec. (a)(4)(B)(i). Pub. L. 96-153, Sec. 306(a), provided
for increase of notes or other obligations to $3,827,500,000 on October
1, 1979, to $4,777,500,000 on October 1, 1980, and to $5,752,500,000 on
October 1, 1981.
Subsec. (a)(6), (7). Pub. L. 96-153, Sec. 306(b), added pars. (6)
and (7).
Subsec. (d)(8)(A). Pub. L. 96-153, Sec. 306(c)(1), substituted
``adult day health facilities, or other'' for ``or infirmaries or other
inpatient or''.
Subsec. (f). Pub. L. 96-153, Sec. 306(c)(2), inserted reference to
adult day health services.
Subsec. (g). Pub. L. 96-153, Sec. 306(d), inserted provisions that
at the time of settlement on permanent financing, the Secretary make
appropriate adjustment in the amount of assistance to be provided under
a contract for annual contributions pursuant to section 8 of the United
States Housing Act of 1937 reflecting the difference between interest
rate which will actually be charged in connection with such permanent
financing and the interest rate which was in effect at the time of the
reservation of assistance in connection with the project.
1978--Subsec. (a)(4)(C). Pub. L. 95-557, Sec. 205(b), struck out
``in any fiscal year'' after ``The aggregate loans made under this
section'', and ``for such year'' after ``lending authority
established''.
Subsec. (d)(2). Pub. L. 95-557, Sec. 205(d), designated provisions
beginning ``no part of'' as par. (A), substituted ``member, founder,
contributor, or individual'' for ``private shareholder, contributor, or
individual, if such institution or foundation is approved by the
Secretary as to financial responsibility'', and added pars. (B) and (C).
Subsec. (d)(3). Pub. L. 95-557, Sec. 205(c), inserted ``the cost of
movables necessary to the basic operation of the project as determined
by the Secretary,'' after ``related facilities''.
Subsec. (h). Pub. L. 95-557, Sec. 205(a), added subsec. (h).
1977--Subsec. (d)(3). Pub. L. 95-128, Sec. 202(a), provided for
determination of ``development cost'' without regard to mortgage limits
applicable to housing projects subject to mortgages insured under
section 1715v of this title.
Subsec. (g). Pub. L. 95-128, Sec. 202(b), added subsec. (g).
1976--Subsec. (a)(3). Pub. L. 94-375, Sec. 11(c)(1), substituted
``average interest rate on all interest bearing obligations of the
United States then forming a part of the public debt, computed at the
end of the fiscal year next preceding the date on which the loan is
made'' for ``current average market yield on outstanding marketable
obligations of the United States with remaining periods to maturity
comparable to the average maturities of such loans''.
Subsec. (a)(4)(B)(i). Pub. L. 94-375, Sec. 11(a), (c)(2),
substituted ``$1,475,000,000, which amount shall be increased to
$2,387,500,000 on October 1, 1977, and to $3,300,000,000 on October 1,
1978'' for ``$800,000,000'' and ``the average interest rate on all
interest bearing obligations of the United States then forming a part of
the public debt, computed at the end of the fiscal year next preceding
the date on which the loan is made'' for ``the current average market
yield on outstanding marketable obligations of the United States of
comparable maturities during the month preceding the issuance of the
notes or other obligations'', and inserted provision restricting the
amount of notes or obligations issued to the Secretary of the Treasury
to not more than $800,000,000.
Subsec. (d)(4). Pub. L. 94-375, Sec. 11(b), included in definition
of ``elderly or handicapped families'' two or more elderly or
handicapped persons living together, one such person and another
providing care for the first, or a surviving member of the family who
was living in the unit at the time another member died.
1974--Subsec. (a)(3). Pub. L. 93-383, Sec. 210(a), substituted
provisions authorizing the Secretary of the Treasury to determine the
interest rate, for provisions authorizing the Secretary of Housing and
Urban Development to determine the interest rate.
Subsec. (a)(4). Pub. L. 93-383, Sec. 210(d), redesignated existing
provision as subsec. (a)(4)(A), inserted ``, and the proceeds from notes
or other obligations issued under subparagraph (B),'' after ``Amounts so
appropriated'', and added subsec. (a)(4)(B), (C).
Subsec. (a)(5). Pub. L. 93-383, Sec. 210(e), added par. (5).
Subsec. (d)(4). Pub. L. 93-383, Sec. 210(b), substituted ``an
impairment'' for ``a physical impairment'' and inserted provisions
relating to developmentally disabled individuals.
Subsec. (d)(8). Pub. L. 93-383, Sec. 210(f), inserted ``residing in
the project or in the area'' after ``families''.
Subsec. (f). Pub. L. 93-383, Sec. 210(c), added subsec. (f).
1969--Subsec. (a)(4). Pub. L. 91-152 increased by $150,000,000 on
July 1, 1969 the amount authorized to be appropriated for the purposes
of this section.
1968--Subsec. (a)(1). Pub. L. 90-448, Sec. 1706(1), authorized
assistance to limited profit sponsors.
Subsec. (a)(2). Pub. L. 90-448, Sec. 1706(2), authorized loans to
any limited profit sponsor approved by the Secretary.
Subsec. (a)(3). Pub. L. 90-448, Sec. 1706(3), limited the amount of
the loan to not more than 90 per centum of the development cost in the
case of other than a corporation, consumer cooperative, or public body
or agency.
1967--Pub. L. 90-19, Sec. 16(a)(1), substituted ``Secretary'' for
``Administrator'' wherever appearing in subsecs. (a)(2) to (4), (b),
(c)(2), (3), (d)(2), (4), and (e) of this section.
Subsec. (c)(2). Pub. L. 90-19, Sec. 16(a)(2), struck out at end ``,
except that for purposes of this subsection the Administrator shall
perform the functions vested in the Commissioner by such section 513''.
Subsec. (d)(6). Pub. L. 90-19, Sec. 16(a)(3), substituted definition
of ``Secretary'' meaning the Secretary of Housing and Urban Development
for ``Administrator'' meaning the Housing and Home Finance
Administrator.
1965--Subsec. (a)(3). Pub. L. 89-117, Sec. 105(b)(1), substituted
``the lower of (A) 3 per centum per annum, or'' for ``the higher of (A)
2\3/4\ per centum per annum, or''.
Subsec. (a)(4). Pub. L. 89-117, Sec. 105(a), increased amount
authorized to be appropriated from $350,000,000 to $500,000,000.
1964--Subsec. (a)(1), (2). Pub. L. 88-560, Sec. 203(a)(2)(A),
substituted ``elderly or handicapped families'' for ``elderly families
and elderly persons''.
Subsec. (a)(4). Pub. L. 88-560, Sec. 201, increased amount
authorized to be appropriated from $275,000,000 to $350,000,000.
Subsec. (d)(1). Pub. L. 88-560, Sec. 203(a)(2)(B), included in
definition of ``housing'' structures suitable for dwelling use by
handicapped families, designated existing provisions as subpar. (A), and
added subpar. (B).
Subsec. (d)(4). Pub. L. 88-560, Sec. 203(a)(2)(C), substituted
definitions of ``elderly or handicapped families'' and when ``a person
shall be considered handicapped'' for former provisions defining
``elderly families'' as ``families the head of which (or his spouse) is
sixty-two years of age or over'' and ``elderly persons'' as ``persons
who are sixty-two years of age or over''.
Subsec. (d)(7). Pub. L. 88-560, Sec. 203(a)(2)(D), redefined
``construction'' to include rehabilitation, alteration, conversion, or
improvement of existing structures.
Subsec. (d)(8). Pub. L. 88-560, Sec. 203 (a)(2)(E), redefined
``existing facilities'' by designating existing provisions as cl. (A),
inserting in cl. (A) ``by elderly or handicapped families'' and
``workshops'', and adding cl. (B).
Subsec. (e). Pub. L. 88-560, Sec. 203(a)(2)(A), substituted
``elderly or handicapped families'' for ``elderly families and elderly
persons'' in two places.
1963--Subsec. (a)(4). Pub. L. 88-158 increased amount authorized to
be appropriated from $225,000,000 to $275,000,000.
1962--Subsec. (a)(4). Pub. L. 87-723, Sec. 3(a), increased amount
authorized to be appropriated from $125,000,000 to $225,000,000.
Subsec. (d)(1). Pub. L. 87-723, Sec. 3(b)(1), redesignated subsec.
(d)(1)(A) as entire subsec. (d)(1) and struck out subsec. (d)(1)(B)
which included in definition of ``housing'' dwelling facilities provided
by rehabilitation, alteration, conversion, or improvement of existing
structures which were otherwise inadequate for proposed dwellings used
by elderly families and persons.
Subsec. (d)(7). Pub. L. 87-723, Sec. 3(b)(2), struck out ``, or
rehabilitation, alteration, conversion, or improvement of existing
structures'' after ``new structures''.
Subsec. (d)(8). Pub. L. 87-723, Sec. 3(b)(3), redesignated subsec.
(d)(8)(A) as entire subsec. (d)(8) and struck out subsec. (d)(8)(B)
which included in definition of ``related facilities'' structures
suitable for essential service facilities provided by rehabilitation,
alteration, conversion, or improvement of existing structures which were
otherwise inadequate for essential service facilities.
1961--Subsec. (a)(1). Pub. L. 87-70, Sec. 201(a)(1), authorized
assistance for consumer cooperatives and public bodies and agencies.
Subsec. (a)(2). Pub. L. 87-70, Sec. 201(a)(2), authorized loans to
consumer cooperatives and to public bodies or agencies, and prohibited
loans to public bodies or agencies unless they certify that they are not
receiving financial assistance exclusively pursuant to the United States
Housing Act of 1937.
Subsec. (a)(3). Pub. L. 87-70, Sec. 201(a)(3), (b), substituted
``loan under this section'' for ``loan to a corporation under this
section'', and ``may be in an amount not exceeding the total development
cost'' for ``may be in an amount not exceeding 98 per centum of the
total development cost''.
Subsec. (a)(4). Pub. L. 87-70, Sec. 201(c), increased amount
authorized to be appropriated from $50,000,000 to $125,000,000, and
struck out provisions which limited the amount outstanding at any one
time for related facilities to not more than $5,000,000.
Subsec. (c)(3). Pub. L. 87-70, Sec. 201(a)(4), substituted
``credited to the corporation, cooperative, or public body or agency
undertaking'' for ``credited to the corporation undertaking''.
Subsec. (e). Pub. L. 87-70, Sec. 201(d), added subsec. (e).
Effective Date of 2000 Amendment
Pub. L. 106-569, title VIII, Sec. 803, Dec. 27, 2000, 114 Stat.
3019, provided that:
``(a) In General.--The provisions of this title [see section 801 of
Pub. L. 106-569, set out as a Short Title of 2000 Amendment note under
section 1701 of this title] and the amendments made by this title are
effective as of the date of the enactment of this Act [Dec. 27, 2000],
unless such provisions or amendments specifically provide for
effectiveness or applicability upon another date certain.
``(b) Effect of Regulatory Authority.--Any authority in this title
or the amendments made by this title to issue regulations, and any
specific requirement to issue regulations by a date certain, may not be
construed to affect the effectiveness or applicability of the provisions
of this title or the amendments made by this title under such provisions
and amendments and subsection (a) of this section.''
Effective Date of 1999 Amendment
Pub. L. 106-74, title V, Sec. 503, Oct. 20, 1999, 113 Stat. 1101,
provided that:
``(a) In General.--The provisions of this title [see Short Title of
1999 Amendment note set out under section 1701 of this title] and the
amendments made by this title are effective as of the date of the
enactment of this Act [Oct. 20, 1999], unless such provisions or
amendments specifically provide for effectiveness or applicability upon
another date certain.
``(b) Effect of Regulatory Authority.--Any authority in this title
or the amendments made by this title to issue regulations, and any
specific requirement to issue regulations by a date certain, may not be
construed to affect the effectiveness or applicability of the provisions
of this title or the amendments made by this title under such provisions
and amendments and subsection (a) of this section.''
Effective Date of 1992 Amendment
Amendment by sections 677(a) and 682(c) of Pub. L. 102-550
applicable on expiration of 6-month period beginning Oct. 28, 1992, see
section 13642 of Title 42, The Public Health and Welfare.
Amendment by section 1604(c)(3) of Pub. L. 102-550 effective as if
included in the Federal Deposit Insurance Corporation Improvement Act of
1991, Pub. L. 102-242, as of Dec. 19, 1991, see section 1609(a) of Pub.
L. 102-550, set out as a note under section 191 of this title.
Effective Date of 1990 Amendments
Section 801(c) of Pub. L. 101-625 provided that: ``The amendments
made by this section [amending this section and section 1439 of Title
42, The Public Health and Welfare] shall take effect on October 1, 1991,
with respect to projects approved on or after such date. The Secretary
shall issue regulations for such purpose after notice and an opportunity
for public comment in accordance with section 553 of title 5, United
States Code. Regulations shall be issued for comment not later than 180
days after the date of enactment of this Act [Nov. 28, 1990].''
Amendment by section 955(c) of Pub. L. 101-625 applicable to any
volunteer services provided before, on, or after Nov. 28, 1990, except
that such amendment may not be construed to require repayment of any
wages paid before Nov. 28, 1990, for services provided before such date,
see section 955(d) of Pub. L. 101-625, set out as a note under section
1437j of Title 42.
Pub. L. 101-507, title II, Nov. 5, 1990, 104 Stat. 1358, provided
that sections 801, 802, and 811 of Pub. L. 101-625 [enacting sections
8011 and 8013 of Title 42, amending this section and sections 1437g and
1439 of Title 42, and enacting provisions set out as notes under this
section] are deemed enacted as of the date of enactment of Pub. L. 101-
507, which was approved Nov. 5, 1990.
Effective Date of 1988 Amendment
Section 162(f) of Pub. L. 100-242 provided that:
``(1) Except as otherwise provided in this section, the provisions
of, and amendments made by, this section [amending this section and
enacting and repealing provisions set out as notes below] shall not
apply with respect to projects with loans or loan reservations made
under section 202 of the Housing Act of 1959 [this section] before the
implementation date under subsection (e) [section 162(e) of Pub. L. 100-
242 set out below].
``(2) Notwithstanding paragraph (1), the Secretary shall apply the
provisions of, and amendments made by, this section to any project if
needed to facilitate the development of such project in a timely
manner.''
Effective and Termination Dates of 1983 Amendment
Section 223(a)(2) of Pub. L. 98-181, as amended by Pub. L. 99-120,
Sec. 5(b), Oct. 8, 1985, 99 Stat. 504; Pub. L. 99-156, Sec. 5(b), Nov.
15, 1985, 99 Stat. 817; Pub. L. 99-219, Sec. 5(b), Dec. 26, 1985, 99
Stat. 1732; Pub. L. 99-267, Sec. 5(b), Mar. 27, 1986, 100 Stat. 75; Pub.
L. 99-272, title III, Sec. 3011(b), Apr. 7, 1986, 100 Stat. 106; Pub. L.
99-289, Sec. 1(b), May 2, 1986, 100 Stat. 412; Pub. L. 99-345, Sec. 1,
June 24, 1986, 100 Stat. 673; Pub. L. 99-430, Sept. 30, 1986, 100 Stat.
986; Pub. L. 100-122, Sec. 1, Sept. 30, 1987, 101 Stat. 793; Pub. L.
100-154, Nov. 5, 1987, 101 Stat. 890; Pub. L. 100-170, Nov. 17, 1987,
101 Stat. 914; Pub. L. 100-179, Dec. 3, 1987, 101 Stat. 1018; Pub. L.
100-200, Dec. 21, 1987, 101 Stat. 1327, which provided that the
amendment made by paragraph (1), amending this section, shall apply only
with respect to loan agreements entered into after September 30, 1982,
and not later than March 15, 1988, was repealed by Pub. L. 100-242,
title I, Sec. 161(c)(2), Feb. 5, 1988, 101 Stat. 1856.
Effective Date of 1981 Amendment
Amendment by Pub. L. 97-35 effective Oct. 1, 1981, see section 371
of Pub. L. 97-35, set out as an Effective Date note under section 3701
of this title.
Effective Date of 1965 Amendment
Section 105(b)(2) of Pub. L. 89-117, as added by Pub. L. 89-754,
title X, Sec. 1001(3), Nov. 3, 1966, 80 Stat. 1284, provided that: ``The
interest rate provided by the amendment made in paragraph (1) [amending
this section] shall be applicable (A) with respect to any loan made on
or after August 10, 1965, and (B) with respect to any loan made prior to
such date if construction of the housing or related facilities to be
assisted by such loan was not commenced prior to such date, and not
completed prior to the filing of an application for the benefits of such
interest rate.''
Effective Date of 1962 Amendment
Section 3(b) of Pub. L. 87-723 provided that the amendments made by
that section are effective with respect to applications for loans made
under this section after Sept. 28, 1962.
Regulations
Pub. L. 106-74, title V, Sec. 502, Oct. 20, 1999, 113 Stat. 1101,
provided that: ``The Secretary of Housing and Urban Development shall
issue any regulations to carry out this title [see Short Title of 1999
Amendment note set out under section 1701 of this title] and the
amendments made by this title that the Secretary determines may or will
affect tenants of federally assisted housing only after notice and
opportunity for public comment in accordance with the procedure under
section 553 of title 5, United States Code, applicable to substantive
rules (notwithstanding subsections (a)(2), (b)(B), and (d)(3) of such
section). Notice of such proposed rulemaking shall be provided by
publication in the Federal Register. In issuing such regulations, the
Secretary shall take such actions as may be necessary to ensure that
such tenants are notified of, and provided an opportunity to participate
in, the rulemaking, as required by such section 553.''
Prepayment and Refinancing
Pub. L. 106-569, title VIII, Sec. 811, Dec. 27, 2000, 114 Stat.
3019, as amended by Pub. L. 107-116, title VI, Sec. 633(a), Jan. 10,
2002, 115 Stat. 2228, provided that:
``(a) Approval of Prepayment of Debt.--Upon request of the project
sponsor of a project assisted with a loan under section 202 of the
Housing Act of 1959 [12 U.S.C. 1701q](as in effect before the enactment
of the Cranston-Gonzalez National Affordable Housing Act [Pub. L. 101-
625, which was approved Nov. 28, 1990]), the Secretary shall approve the
prepayment of any indebtedness to the Secretary relating to any
remaining principal and interest under the loan as part of a prepayment
plan under which--
``(1) the project sponsor agrees to operate the project until
the maturity date of the original loan under terms at least as
advantageous to existing and future tenants as the terms required by
the original loan agreement or any rental assistance payments
contract under section 8 of the United States Housing Act of 1937
[42 U.S.C. 1437f] (or any other rental housing assistance programs
of the Department of Housing and Urban Development, including the
rent supplement program under section 101 of the Housing and Urban
Development Act of 1965 (12 U.S.C. 1701s)) relating to the project;
and
``(2) the prepayment may involve refinancing of the loan if such
refinancing results in a lower interest rate on the principal of the
loan for the project and in reductions in debt service related to
such loan.
``(b) Sources of Refinancing.--In the case of prepayment under this
section involving refinancing, the project sponsor may refinance the
project through any third party source, including financing by State and
local housing finance agencies, use of tax-exempt bonds, multi-family
mortgage insurance under the National Housing Act [12 U.S.C. 1701 et
seq.], reinsurance, or other credit enhancements, including risk sharing
as provided under section 542 of the Housing and Community Development
Act of 1992 [12 U.S.C. 1715z-22]([former] 12 U.S.C. 1707 note). For
purposes of underwriting a loan insured under the National Housing Act,
the Secretary may assume that any section 8 rental assistance contract
relating to a project will be renewed for the term of such loan.
``(c) Use of Unexpended Amounts.--Upon execution of the refinancing
for a project pursuant to this section, the Secretary shall make
available at least 50 percent of the annual savings resulting from
reduced section 8 or other rental housing assistance contracts in a
manner that is advantageous to the tenants, including--
``(1) not more than 15 percent of the cost of increasing the
availability or provision of supportive services, which may include
the financing of service coordinators and congregate services;
``(2) rehabilitation, modernization, or retrofitting of
structures, common areas, or individual dwelling units;
``(3) construction of an addition or other facility in the
project, including assisted living facilities (or, upon the approval
of the Secretary, facilities located in the community where the
project sponsor refinances a project under this section, or pools
shared resources from more than one such project); or
``(4) rent reduction of unassisted tenants residing in the
project according to a pro rata allocation of shared savings
resulting from the refinancing.
``(d) Use of Certain Project Funds.--The Secretary shall allow a
project sponsor that is prepaying and refinancing a project under this
section--
``(1) to use any residual receipts held for that project in
excess of $500 per individual dwelling unit for not more than 15
percent of the cost of activities designed to increase the
availability or provision of supportive services; and
``(2) to use any reserves for replacement in excess of $1,000
per individual dwelling unit for activities described in paragraphs
(2) and (3) of subsection (c).''
[Pub. L. 107-116, title VI, Sec. 633(b), Jan. 10, 2002, 115 Stat.
2228, provided that: ``The amendment made by subsection (a) of this
section [amending section 811 of Pub. L. 106-569, set out above] shall
take effect upon the date of the enactment of this Act [Jan. 10, 2002]
and the provisions of section 811 of the American Homeownership and
Economic Opportunity Act of 2000 (12 U.S.C. 1701q note), as amended by
subsection (a) of this section, shall apply as so amended upon such date
of enactment, notwithstanding--
[``(1) any authority of the Secretary of Housing and Urban
Development to issue regulations to implement or carry out the
amendments made by subsection (a) of this section or the provisions
of section 811 of the American Homeownership and Economic
Opportunity Act of 2000 (12 U.S.C. 1701q note); or
[``(2) any failure of the Secretary of Housing and Urban
Development to issue any such regulations authorized.'']
Consideration of Costs of Providing Service Coordinators in Determining
Amount of Housing Assistance
Section 677(b) of Pub. L. 102-550 provided that:
``(1) Availability of section 8 assistance.--Subject to the
availability of appropriations for contract amendments for the purpose
of this paragraph, in determining the amount of assistance under section
8 of the United States Housing Act of 1937 [42 U.S.C. 1437f] to be
provided for a project assisted under section 202 of the Housing Act of
1959 [12 U.S.C. 1701q], as in effect before the effectiveness of the
amendments made by section 801 of the Cranston-Gonzalez National
Affordable Housing Act [Pub. L. 101-625, see Effective Date of 1990
Amendment note above], the Secretary shall consider (and annually adjust
for) the costs of--
``(A) employing or otherwise retaining the services of one or
more service coordinators under section 661 [671] of this Act [42
U.S.C. 13631] to coordinate the provision of any services within the
project for residents of the project who are elderly families and
disabled families; and
``(B) expenses for the provision of such services.
Not more than 15 percent of the cost of the provision of services under
subparagraph (B) may be considered under this paragraph for purposes of
determining the amount of assistance provided.
``(2) Inapplicability of hud reform act provisions.--Notwithstanding
section 102 of the Department of Housing and Urban Development Reform
Act of 1989 [42 U.S.C. 3545], the provisions of paragraphs (1), (2), and
(3) of subsection (a) of such section shall not apply to amendments to
contracts under section 8 of the United States Housing Act of 1937 made
to carry out the purposes of paragraph (1) of this subsection.
``(3) Limitation.--If a project is receiving congregate housing
services assistance under the Congregate Housing Services Act of 1978
[42 U.S.C. 8001 et seq.] or section 802 of the Cranston-Gonzalez
National Affordable Housing Act [42 U.S.C. 8011], the amount of costs
provided pursuant to paragraph (1) for the project may not exceed the
additional amount necessary to cover the costs of providing for the
coordination of services for residents of the project who are not
eligible residents under such section 802 or eligible project residents
under the Congregate Housing Services Act of 1978, as applicable.''
Expedited Financing and Construction
Section 801(d) of Pub. L. 101-625 provided that:
``(1) In general.--The Secretary may, subject to the availability of
appropriations for contract amendments for the purposes of this
subsection--
``(A) provide such adjustments and waivers to the cost
limitations specified under 24 CFR 885.410(a)(1); and
``(B) make such adjustments to the relevant fair market rent
limitations established under section 8(c)(1) of the United States
Housing Act of 1937 [42 U.S.C. 1437f(c)(1)] in providing assistance
under such Act,
as are necessary to ensure the expedited financing and construction of
qualified supportive housing for the elderly provided that the Secretary
finds that any applicable cost containment rules and regulations have
been satisfied.
``(2) Definition.--For purposes of this subsection, the term
`supportive housing for the elderly' means housing--
``(A) located in a high-cost jurisdiction; and
``(B) for which a loan reservation was made under section 202 of
the Housing Act of 1959 [12 U.S.C. 1701q], 3 years before the date
of enactment of this Act [Nov. 28, 1990] but for which no loan has
been executed and recorded.''
Feasibility of Including Elder Cottage Housing Opportunity Units as
Eligible Development Costs
Section 806(b) of Pub. L. 101-625, as amended by Pub. L. 102-550,
title VI, Sec. 602(d), Oct. 28, 1992, 106 Stat. 3804, provided that:
``(1) In general.--The Secretary of Housing and Urban Development
shall carry out a program to determine the feasibility of including, as
an eligible development cost under section 202 of the Housing Act of
1959 [12 U.S.C. 1701q], the cost of purchasing and installing elder
cottage housing opportunity units that are small, freestanding, barrier-
free, energy efficient, removable, and designed to be installed adjacent
to existing 1- to 4-family dwellings. In conducting the demonstration,
the Secretary shall determine whether the durability of such units is
appropriate for making such units generally eligible for assistance
under the programs under such sections.
``(2) Allocation.--Notwithstanding any other law, the Secretary
shall reserve from any amounts available for capital advances and
project rental assistance under section 202 of the Housing Act of 1959,
amounts sufficient in each of fiscal years 1993 and 1994 to provide not
less than 100 units under the demonstration under this subsection in
connection with each such section. Any amounts reserved under this
paragraph shall be available only for carrying out the demonstration
under this subsection and, for purposes of the demonstration, the cost
of purchasing and installing an elder cottage housing opportunity unit
shall be considered an eligible development cost under sections [sic]
202 of the Housing Act of 1959.
``(3) Report.--Not later than January 1, 1994, the Secretary shall
submit a report to the Congress on the results of the demonstration
under this subsection, which shall be based on actual experience in
implementing this subsection.
``(4) Implementation.--The Secretary shall issue regulations to
carry out the demonstration under this subsection not later than the
expiration of the 6-month period beginning on the date of the enactment
of the Housing and Community Development Act of 1992 [Oct. 28, 1992].''
Preferences for Native Hawaiians on Hawaiian Home Lands Under HUD
Programs
Secretary of Housing and Urban Development to provide a preference
to native Hawaiians for housing assistance programs under this section
for housing located on Hawaiian home lands, see section 958 of Pub. L.
101-625, set out as a note under section 1437f of Title 42, The Public
Health and Welfare.
Findings and Purpose of 1988 Amendment
Section 162(a) of Pub. L. 100-242 provided that:
``(1) The Congress finds that--
``(A) housing for nonelderly handicapped families is assisted
under section 202 of the Housing Act of 1959 [12 U.S.C. 1701q] and
section 8 of the United States Housing Act of 1937 [42 U.S.C.
1437f];
``(B) the housing programs under such sections are designed and
implemented primarily to assist rental housing for elderly and
nonelderly families and are often inappropriate for dealing with the
specialized needs of the physically impaired, the developmentally
disabled, and the chronically mentally ill;
``(C) the development of housing for nonelderly handicapped
families under such programs is often more expensive than necessary,
thereby reducing the number of such families that can be assisted
with available funds;
``(D) the program under section 202 of the Housing Act of 1959
can continue to provide direct loans to finance group residences and
independent apartments for nonelderly handicapped families, but can
be made more efficient and less costly by the adoption of standards
and procedures applicable only to housing for such families;
``(E) the cost containment policies currently being implemented
in the development of small group homes (i) do not adequately
reflect the necessity for building designs to meet the needs of the
designated residents; and (ii) do not recognize necessary State and
local standards for the operation of such homes;
``(F) the use of the program under section 8 of the United
States Housing Act of 1937 to assist rentals for housing for
nonelderly handicapped families is time consuming and unnecessarily
costly and, in some areas of the Nation, prevents the development of
such housing;
``(G) the use of the program under section 8 of the United
States Housing Act of 1937 to assist rentals for housing for
nonelderly handicapped families should be replaced by a more
appropriate subsidy mechanism;
``(H) both elderly and handicapped housing projects assisted
under section 202 of the Housing Act of 1959 will benefit from an
increased emphasis on supportive services and a greater use of State
and local funds; and
``(I) an improved program for nonelderly handicapped families
will assist in providing shelter and supportive services for
mentally ill persons who might otherwise be homeless.
``(2) The purpose of this section is to improve the direct loan
program under section 202 of the Housing Act of 1959 to ensure that such
program meets the special housing and related needs of nonelderly
handicapped families.''
Termination of Section 8 Assistance
Section 162(d) of Pub. L. 100-242 provided that: ``On and after the
first date that amounts approved in an appropriation Act for any fiscal
year become available for contracts under section 202(h)(4)(A) of the
Housing Act of 1959 [12 U.S.C. 1701q(h)(4)(A)], as amended by subsection
(b) of this section, no project for handicapped (primarily nonelderly)
families approved for such fiscal year pursuant to section 202 of such
Act shall be provided assistance payments under section 8 of the United
States Housing Act of 1937 [42 U.S.C. 1437f], except pursuant to a
reservation for a contract to make such assistance payments that was
made before the first date that amounts for contracts under such section
202(h)(4)(A) became available.''
Implementation of 1988 Amendment
Section 162(e) of Pub. L. 100-242 provided that: ``Not later than
the expiration of the 120-day period following the date of the enactment
of this Act [Feb. 5, 1988], the Secretary of Housing and Urban
Development shall, to the extent amounts are approved in an
appropriation Act for use under section 202(h)(4)(A) of the Housing Act
of 1959 [12 U.S.C. 1701q(h)(4)(A)] for fiscal year 1988, publish in the
Federal Register a notice of fund availability to implement the
provisions of, and amendments made by, this section [amending this
section and enacting and repealing provisions set out above]. The
Secretary shall issue such rules as may be necessary to carry out such
provisions and amendments for fiscal year 1989 and thereafter.''
Housing for the Elderly or Handicapped Fund
Pub. L. 101-507, title II, Nov. 5, 1990, 104 Stat. 1361, provided:
``That, notwithstanding section 202(a)(3) of the Housing Act of 1959 [12
U.S.C. 1701q(a)(3)], any such obligations [direct loan obligations made
in fiscal year 1991] shall bear an interest rate which does not exceed
9.25 per centum, including the allowance adequate in the judgment of the
Secretary to cover administrative costs and probable losses under the
program.''
Similar provisions were contained in the following prior
appropriation acts:
Pub. L. 101-144, title II, Nov. 9, 1989, 103 Stat. 847.
Pub. L. 100-404, title I, Aug. 19, 1988, 102 Stat. 1016.
Pub. L. 100-202, Sec. 101(f) [title I], Dec. 22, 1987, 101 Stat.
1329-187, 1329-190.
Pub. L. 99-500, Sec. 101(g) [H.R. 5313, title I], Oct. 18, 1986, 100
Stat. 1783-242, and Pub. L. 99-591, Sec. 101(g), Oct. 30, 1986, 100
Stat. 3341-242.
Pub. L. 99-160, title I, Nov. 25, 1985, 99 Stat. 911.
Pub. L. 98-371, title I, July 18, 1984, 98 Stat. 1216.
Pub. L. 98-45, title I, as added Pub. L. 98-181, title I, Nov. 30,
1983, 97 Stat. 1153.
Reports Respecting Elderly and Handicapped Housing Programs in Rural
Areas, Etc.
Section 306(e), (f) of Pub. L. 96-153 required Secretary of Housing
and Urban Development, not later than six months after Dec. 21, 1979, to
report to Congress on housing needs of elderly and handicapped in rural
areas and recommend to Congress on means to reduce costs of program
carried out under this section.
Feasibility and Marketability of Projects; Assistance for Projects
Servicing Low- and Moderate-Income Families
Section 210(g) of Pub. L. 93-383 provided that:
``(1) In determining the feasibility and marketability of a project
under section 202 of the Housing Act of 1959 [this section], the
Secretary shall consider the availability of monthly assistance payments
pursuant to section 8 of the United States Housing Act of 1937 [42
U.S.C. 1437f] with respect to such a project.
``(2) The Secretary shall insure that with the original approval of
a project authorized pursuant to section 202 of the Housing Act of 1959,
and thereafter at each annual revision of the assistance contract under
section 8 of the United States Housing Act of 1937 with respect to units
in such project, the project will serve both low- and moderate-income
families in a mix which he determines to be appropriate for the area and
for viable operation of the project; except that the Secretary shall not
permit maintenance of vacancies to await tenants of one income level
where tenants of another income level are available.''
Section Referred to in Other Sections
This section is referred to in sections 1441a, 1701q-1, 1701q-2,
1701r-1, 1701s, 1701z-11, 1701z-13, 1715l, 1715v, 1715z-1, 1715z-1a,
1715z-1b, 1715z-4a, 1715z-19, 1831q, 3702, 3705 of this title; title 42
sections 1382a, 1436b, 1437e, 1437f, 1439, 3013, 3535, 8002, 8008, 8009,
8011, 8012, 8013, 8231, 13641, 13664.
