109th CONGRESS
2d Session
H. R. 5041
To amend the McKinney Vento Homeless Assistance Act to reauthorize
the Act, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
March 29, 2006
Mr. RENZI (by request) introduced the following bill; which was referred
to the Committee on Financial Services
A BILL
To amend the McKinney Vento Homeless Assistance Act to reauthorize
the Act, 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 `Homeless Assistance Consolidation Act of 2006'.
SEC. 2. FINDINGS AND PURPOSE.
Section 102 of the McKinney Vento Homeless Assistance Act (42 U.S.C. 11301)
is amended to read as follows:
`SEC. 102. FINDINGS AND PURPOSE.
`(a) Findings- Congress finds that--
`(1) assistance from the Federal Government is an important factor in
the success of efforts by State and local governments and the private
sector to address the problem of homelessness in a comprehensive manner;
`(2) there are several housing programs the Federal Government administers
to assist persons experiencing homelessness, including programs specifically
for individuals with disabling conditions, veterans, and youth;
`(3) homeless assistance programs must be evaluated on the basis of their
effectiveness in reducing homelessness in their given communities, transitioning
individuals and families to permanent housing and stability, and optimizing
self-sufficiency;
`(4) States and units of general local government receiving Federal grant
funds must be evaluated on the basis of their effectiveness in implementing
plans to appropriately discharge individuals from health care or treatment
facilities or institutions, foster care or youth facilities, correctional
institutions, or other non-targeted service systems;
`(5) an effective plan for reducing homelessness should provide a comprehensive
housing system (including permanent housing, transitional housing, homelessness
prevention and emergency shelter) that recognizes that, while some individuals
and families experiencing homelessness attain economic viability and independence
utilizing transitional housing and then permanent housing, others can
become self-sufficient by moving directly to permanent housing;
`(6) supportive housing activities include the provision of permanent
housing or transitional housing, and appropriate supportive services,
in an environment that can meet the short term or long term needs of persons
experiencing homelessness as they become increasingly self-sufficient;
`(7) homeless housing and supportive services programs within a community
are most effective when they are developed and operated as part of an
inclusive, collaborative, locally driven homeless planning process that
involves as decisionmakers persons experiencing homelessness, advocates
for persons experiencing homelessness, service organizations, government
officials, business persons, neighborhood advocates, local or national
foundations, and other community members;
`(8) faith-based and other community-based organizations play important
roles in providing housing and supportive services to persons experiencing
homelessness;
`(9) homelessness is a symptom of many neighborhood and community problems
and the remedies to these problems require a comprehensive local approach
integrating all available resources;
`(10) the Federal Government has a responsibility to establish partnerships
with State and local governments and private sector entities to address
comprehensively the problems of homelessness; and
`(11) while the results of Department of Housing and Urban Development
programs targeted for persons experiencing homelessness have been positive,
the number and complexity of such programs calls for simplification of
the community led grant making process.
`(b) Purpose- It is the purpose of this Act--
`(1) to create a unified and performance based process for allocating
and administering funds under title IV;
`(2) to encourage comprehensive, collaborative local planning of housing
and services programs for persons experiencing homelessness;
`(3) to focus the resources and efforts of the public and private sectors
on helping to prevent homelessness and to end chronic homelessness;
`(4) to provide funds for programs and to implement activities to assist
individuals and families in the transition from homelessness, and to prevent
vulnerable individuals and families from becoming homeless;
`(5) to consolidate the separate homeless assistance programs carried
out under title IV (consisting of the supportive housing program, the
safe havens for homeless individuals demonstration program, the section
8 assistance for single-room occupancy dwellings program, the shelter
plus care program, and the rural homeless housing assistance program)
into a single program with specific eligible activities; and
`(6) to allow flexibility and creativity in re thinking solutions to homelessness,
including housing strategies, service delivery, and the involvement of
persons experiencing homelessness in decisionmaking regarding opportunities
for their long term stability, growth, well being and ultimate self-sufficiency.'.
SEC. 3. HOUSING ASSISTANCE GENERAL PROVISIONS.
Subtitle A of title IV of the McKinney Vento Homeless Assistance Act (42
U.S.C. 11361 et seq.) is amended--
(1) by striking the subtitle heading and inserting the following:
`Subtitle A--General Provisions'.
(2)(A) by redesignating section 401 (42 U.S.C.11361) as section 403; and
(B) by redesignating section 402 (42 U.S.C.11362) as section 406;
(3) by inserting before section 403 (as redesignated in paragraph (2))
the following:
`SEC. 401. DEFINITIONS.
`(1) CHRONICALLY HOMELESS PERSON- The term `chronically homeless person'
means an unaccompanied homeless individual with a disabling condition
who has either been continuously sleeping in a place not meant for human
habitation or in an emergency homeless shelter for a year or more or who
has had at least four episodes of continuously sleeping in a place not
meant for human habitation or in an emergency homeless shelter in the
past three years.
`(2) CONTINUUM OF CARE BOARD- The term `continuum of care board' means
a legal entity that--
`(A) is a representative community homeless planning body established
or designed in accordance with section 402; and
`(B) serves as the applicant for project sponsors who jointly submit
a single application for grants under subtitle C in accordance with
a collaborative process.
`(3) CONSOLIDATED PLAN- The term `Consolidated Plan' means any such plan
established by the Secretary by regulation incorporating the applicable
comprehensive housing affordability strategy, and such other requirements
as the Secretary shall prescribe, in accordance with title I of the Cranston-Gonzalez
National Affordable Housing Act (42 U.S.C. 12704 et seq.).
`(4) DISABLING CONDITION- The term `disabling condition' means a diagnosable
substance use disorder, serious mental illness, developmental disability,
or chronic physical illness or disability, including the co-occurrence
of two or more of these conditions, that limits an individual's ability
to work or perform one or more activities of daily living.
`(5) ELIGIBLE PERSON- The term `eligible person' means, with respect to
subsections (a) and (e) of section 423, a homeless individual with a disabling
condition and the families of such individuals.
`(6) LEGAL ENTITY- The term `legal entity' means--
`(A) an entity organized or recognized under the authority of state
law;
`(B) an organization associated with State or local government; or
`(C) a consortium of organizations associated with state or local governments
that has constituted itself in accordance with subparagraph (A).
`(7) PERMANENT HOUSING- The term `permanent housing' means housing, including
rental assistance, without a designated length of stay for homeless individuals
with disabling conditions and homeless families that include such an individual
that is an adult.
`(8) PRIVATE NONPROFIT ORGANIZATION.- The term `private nonprofit organization'
means an organization, including faith-based and other community-based
organizations--
`(A) organized and recognized under the authority of state law;
`(B) no part of the net earnings of which inures to the benefit of any
member, founder, contributor, or individual;
`(C) that has a voluntary board; and
`(D) that has an accounting system, or has designated a fiscal agent
in accordance with requirements established by the Secretary.
`(9) PROJECT- The term `project' means a structure or structures (or a
portion of such structure or structures) for which--
`(A) assistance under subtitle C is used to--
`(i) acquire, rehabilitate, construct, lease or rent the structure;
`(ii) make annual payments for operating costs; or
`(iii) provide supportive services in connection therewith; or
`(B) the Secretary provides technical assistance.
`(10) PROJECT BASED- The term `project-based', used with respect to rental
assistance, means assistance provided pursuant to a contract that--
`(i) a project sponsor; and
`(ii) an owner of an existing structure; and
`(B) provides that rental assistance payments shall be made to the owner
and that the units in the structure shall be occupied by eligible persons
for not less than the term of the contract.
`(11) PROJECT SPONSOR- The term `project sponsor' means the organization
directly operating the proposed projects.
`(12) SECRETARY- The term `Secretary' means the Secretary of Housing and
Urban Development.
`(13) STATE- The term `State' means each of the several States, the District
of Columbia, the Commonwealth of Puerto Rico, the United States Virgin
Islands, Guam, American Samoa, the Northern Mariana Islands and Palau.
`(14) SUPPORTIVE HOUSING- The term `supportive housing' means a housing
program that--
`(A) helps homeless persons and families transition from homelessness
to living in safe, decent and affordable housing in a manner that optimizes
self-sufficiency; and
`(B) provides supportive services and housing assistance on either a
transitional or permanent basis, as determined by the assessed abilities
and needs of the program participants.
`(15) SUPPORTIVE SERVICES- The term `supportive services' means the services
described in section 428(c).
`(16) TENANT BASED- The term `tenant based', used with respect to rental
assistance, means assistance that allows an eligible person to select
a housing unit in which such person will live using rental assistance
provided under subtitle C, except that if necessary to assure that the
provision of supportive services to a person participating in a program
is feasible, a project sponsor may require that the person live--
`(A) in a particular structure or unit for not more than the first year
of the participation; and
`(B) within a particular geographic area for the full period of the
participation, or the period remaining after the period referred to
in subparagraph (A).
`(17) TRANSITIONAL HOUSING- The term `transitional housing' means housing,
the purpose of which is to facilitate the movement of individuals and
families experiencing homelessness to permanent housing within 24 months
or such longer period as the Secretary determines necessary.
`SEC. 402. CONTINUUM OF CARE BOARDS.
`(a) Establishment- A continuum of care board shall be established for a
geographic area for one or more units of general local government as a private
nonprofit organization, or an organization associated with state or local
government or a consortium thereof, which consortium is itself organized
under authority of state law.
`(b) Mission- A continuum of care board will lead a collaborative planning
process to design, implement and evaluate programs, policies and practices
to prevent and help end homelessness.
`(c) Appointment of an Agent-
`(1) Subject to paragraph (2), a continuum of care board may designate
an agent to--
`(A) apply for a grant under section 422(b); and
`(B) receive and distribute grant funds awarded under subtitle C.
`(2) Any continuum of care board that appoints an agent pursuant to paragraph
(1) shall nonetheless retain all of its duties and responsibilities under
this title.
`(d) Membership of Continuum of Care Board-
`(1) IN GENERAL- A continuum of care board established under subsection
(a) shall be composed of persons--
`(A) from a particular geographic area;
`(B) not less than 65 percent of whom are--
`(i) persons who are experiencing or have experienced homelessness
(with not fewer than two persons being individuals who are experiencing
or have experienced homelessness);
`(ii) persons who act as advocates for the diverse subpopulations
of persons experiencing homelessness;
`(iii) persons or representatives of organizations who provide assistance
to the variety of individuals and families experiencing homelessness
and those at risk of homelessness, including entities such as law
enforcement and health and mental health organizations;
`(iv) members of the business community and local workforce investment
boards established under the Workforce Investment Act of 1998 (29
U.S.C. 2801 et seq.);
`(v) members of neighborhood advocacy organizations; and
`(vi) members of philanthropic organizations that contribute to preventing
and ending homelessness in the geographic area of the continuum of
care board; and
`(C) the remainder of whom, but not less than one individual, are selected
from among government agency officials, particularly those officials
responsible for administering funding under programs targeted for persons
experiencing homelessness, and other programs for which persons experiencing
homelessness are eligible.
`(2) WAIVER- The Secretary may, for good cause and on a case-by-case basis,
waive the requirements of section 402(d)(1) as he determines to be necessary
or appropriate.
`(e) Composition and Rotation of Membership of Board-
`(1) COMPOSITION- To the extent practicable, all of the individuals, organizations,
agencies and businesses described in subsection (d)(1) shall be represented
on the continuum of care board.
`(2) ROTATION OF MEMBERSHIP- The continuum of care board shall rotate
its membership, upon such terms as designated by the Secretary, to ensure
that individuals and representatives of all agencies, businesses, and
organizations who are described in subsection (d)(1) and invested in developing
and implementing strategies to prevent and help end homelessness are able
to participate as decisionmaking members of the continuum of care board.
`(f) Remedial Action- If the Secretary finds that a continuum of care board
for a geographic area does not meet the requirements of this section, the
Secretary may take remedial action to ensure fair distribution of grant
amounts under subtitle C to project sponsors within that area. Such measures
may include designating another body as a continuum of care board.
`(g) Duties- A continuum of care board shall--
`(1)(A) design a collaborative process, established jointly and complied
with by its members, for evaluating, reviewing, prioritizing, awarding,
and monitoring projects and applications submitted by project sponsors
for funding under subtitle C in such a manner as to ensure that the project
sponsors involved further the goal of preventing homelessness and helping
to end chronic homelessness and promoting self-sufficiency in the geographic
area involved;
`(B)(i) review relevant policies and practices (in place and planned)
of public and private entities in the geographic area served by the continuum
of care board to determine if the policies and practices further or impede
the goal described in subparagraph (A);
`(ii) in conducting the review, give priority to the review of--
`(I) the discharge planning and service termination policies and practices
of publicly funded facilities or institutions (such as health care or
treatment facilities or institutions, foster care or youth facilities,
or correctional institutions), and entities carrying out publicly funded
programs and systems of care (such as health care or treatment programs,
the programs of block grants to States for temporary assistance for
needy families established under part A of title IV of the Social Security
Act (42 U.S.C. 601 et seq.), foster care or youth programs, or correctional
programs);
`(II) the access to programs for which homeless persons would be eligible;
and
`(III) local policies and practices relating to zoning and other land
use controls, land development standards, fees, codes, and their administration
and enforcement, to help to reduce regulatory barriers that prevent
the reasonable inclusion and distribution in the geographic area of
persons experiencing homelessness; and
`(iii) in conducting the review, determine the modifications and corrective
actions that need to be taken, and by whom, so that the relevant policies
and practices do not stimulate, or prolong, homelessness in the geographic
area;
`(2)(A) require, consistent with the Government Performance and Results
Act of 1993 (31 U.S.C. 1101 et seq.) and amendments thereto, that project
sponsors who are funded by grants received under subtitle C implement
and maintain an outcome based evaluation of their projects that measures
effective and timely delivery of housing or services and whether provision
of such housing or services results in preventing or helping to end homelessness
for the persons that such project sponsors serve;
`(B) request that States and local governments who distribute funds under
subtitle B submit information and comments on the administration of activities
under subtitle B, to enable the continuum of care board to plan and design
a full continuum of care for persons experiencing homelessness;
`(3) provide, consistent with the Government Performance and Results Act
of 1993 and amendments thereto, an independent outcome based evaluation
of the homeless assistance planning process of the continuum of care board
to measure the performance of the continuum of care board in ending chronic
homelessness and in preventing or helping to end the homelessness of persons
in the geographic area of the continuum of care board;
`(4) participate in the Consolidated Plan, and coordinate with other jurisdictional
plans related to homelessness, including 10-year plans to end chronic
homelessness for the geographic area served by the continuum of care board;
and
`(5) arrange for an annual audit of the financial records of each project
carried out by a project sponsor funded by a grant received under subtitle
C.
`(h) Conflict of Interest-
`(1) No member of a continuum of care board may participate in decisions
of the continuum of care board concerning a grant under subtitle C, or
provision of other financial benefits, to such member or the organization
that such member represents.
`(2) Nothing in this section shall be construed to displace conflict of
interest or government fair practices laws, or their equivalent, that
govern applicants for grant amounts under subtitle C.
`(i) Homeless Management Information System- In accordance with standards
established by the Secretary, each continuum of care board shall ensure
consistent participation by project sponsors in a community-wide homeless
management information system. The continuum of care board shall ensure
the participation for purposes of collecting unduplicated counts of individuals
experiencing homelessness, analyzing patterns of use of assistance provided
under subtitle C for the geographic area involved, implementing an effective
information and referral system, and providing information for the needs
analyses and funding priorities of continuum of care boards.';
(4) by inserting after section 403 (as redesignated in paragraph (2))
the following:
`SEC. 404. TECHNICAL ASSISTANCE AND SPECIAL INITIATIVES.
`(a) Technical Assistance- To aid in effectively carrying out the provisions
of this title, the Secretary shall make technical assistance available to
continuum of care boards and project sponsors or potential project sponsors.
`(b) Special Initiatives- The Secretary may make funds available under this
title for special initiatives and demonstration programs that would further
the purposes of this title.
`(c) Reservation- The Secretary may reserve not more than one percent of
the funds made available for any fiscal year for carrying out subtitles
B and C, to provide technical assistance and funding for special initiatives
under subsections (a) and (b).
`SEC. 405. PERFORMANCE REPORTS AND MONITORING.
`(a) In General- A continuum of care board shall submit to the Secretary
an annual performance report regarding the activities carried out with grant
amounts received under subtitles B and C in the geographic area served by
the continuum of care board, at such time and in such manner as the Secretary
determines to be reasonable.
`(b) Content- The performance report described in subsection (a) shall--
`(1) describe the number of persons provided homelessness prevention assistance
and the number of individuals experiencing homelessness who were provided
emergency shelter, transitional or permanent housing, or supportive services,
with the grant awarded in the fiscal year prior to the fiscal year in
which the report was submitted;
`(2) estimate the number of persons experiencing homelessness in the geographic
area served by the continuum of care board who are eligible for, but did
not receive, services, housing, or other assistance through the programs
funded under subtitles B and C in the prior fiscal year;
`(3) indicate the accomplishments achieved within the geographic area
including efforts to coordinate services and programs;
`(4) assess the consistency and coordination between the programs funded
under subtitles B and C in the prior fiscal year and the Consolidated
Plan and other jurisdictional plans related to homelessness, including
10-year plans to end chronic homelessness;
`(5) for each project sponsor funded through a grant under subtitle c
that is within the jurisdiction of the continuum of care board--
`(A) include a performance evaluation;
`(B) include a report, resulting from an audit conducted under section
402(g)(5), detailing whether the project sponsor has carried out the
record-keeping and reporting requirements of section 429(b)(8); and
`(6) provide such other information as the Secretary finds relevant to
assessing performance, including performance on success measures that
are risk adjusted to factors related to the circumstances of the population
served.
`(c) Monitoring by the Secretary-
`(1) CONTINUUM OF CARE BOARDS- At time intervals determined by the Secretary,
the Secretary shall--
`(A) ensure that continuum of care boards have complied with the requirements
of subsection (b)(5) and section 402(g)(5);
`(B) require continuum of care boards receiving funds under subtitle
C to establish such fiscal control and fund accounting procedures as
may be necessary to assure the proper disbursal of, and accounting for,
Federal funds awarded to the continuum of care board under subtitle
C in order to ensure that all financial transactions carried out under
subtitle C are conducted, and records maintained, in accordance with
generally accepted accounting principles; and
`(C) for a selected sample of continuum of care boards receiving funds
under subtitle C--
`(i) ensure that each selected continuum of care board has satisfactorily
carried out the recordkeeping and reporting requirements of subsections
(a) and (b), section 429(b)(3), and, if applicable, section 429(b)(6);
and
`(ii) audit the financial records of each selected continuum of care
board receiving funds under subtitle C to carry out section 423(a)(9)(A),
using Federal auditors or their designate.
`(2) PROJECT SPONSORS- At time intervals determined by the Secretary,
the Secretary shall select a sample of project sponsors and shall conduct
a performance evaluation of each project of each selected project sponsor
funded under subtitle C, using the outcome-based evaluation measures developed
by the appropriate continuum of care board in accordance with section
402(g)(2) and including the measurements described in section 423(a)(9).
`(d) Action by Secretary- Based on the information available to the Secretary,
including information obtained pursuant to subsections (b) and (c), the
Secretary may adjust, reduce, or withdraw amounts made available (or that
would otherwise be made available) to continuum of care boards, or take
other action as appropriate, except that amounts already properly expended
on eligible activities under this title may not be recaptured by the Secretary.';
and
(5) by inserting after section 406 (as redesignated in paragraph (2))
the following:
`SEC. 407. AUTHORIZATION OF APPROPRIATIONS.
`(a) In General- There are authorized to be appropriated to carry out this
title $1,536,000,000 for fiscal year 2007 and such sums as may be necessary
for each of fiscal years 2008, 2009, 2010, and 2011.
`(b) Samaritan Chronic Homelessness Initiative- Of the amounts specified
in subsection (a), no more than $200,000,000 for fiscal year 2007 and such
sums as may be necessary for fiscal years 2008, 2009, 2010, and 2011 shall
be used for the Samaritan Chronic Homelessness Initiative authorized under
section 425.'.
SEC. 4. EMERGENCY SHELTER GRANTS PROGRAM.
Subtitle B of title IV of the McKinney Vento Homeless Assistance Act (42
U.S.C. 11371 et seq.) is amended--
(1) by striking section 412 (42 U.S.C. 11372) and inserting the following:
`SEC. 412. GRANT ASSISTANCE.
`The Secretary shall, to the extent amounts are approved in appropriations
Acts under section 407, make grants to States and local governments (and
to private nonprofit organizations providing assistance to persons experiencing
homelessness, in the case of grants made with reallocated amounts) for the
purpose of carrying out activities described in section 414.
`SEC. 412A. AMOUNT AND ALLOCATION OF ASSISTANCE.
`(a) In General- Of the amount appropriated to carry out title IV for a
fiscal year, the Secretary shall allocate nationally not more than 15 percent
of such amount for subtitle B.
`(b) Allocation- An entity that receives a grant under section 412, and
serves an area that includes one or more geographic areas (or portions of
such areas) served by continuum of care boards that submit applications
under subtitle C, shall allocate the funds made available through the grant
to carry out activities described in section 414, in consultation with the
continuum of care boards.';
(2) in section 413(b) (42 U.S.C. 11373(b)), by striking `amounts appropriated'
and all that follows through `for any' and inserting `amounts appropriated
under section 407 and made available to carry out this subtitle for any';
(3) by striking section 414 (42 U.S.C. 11374) and inserting the following:
`SEC. 414. ELIGIBLE ACTIVITIES.
`Assistance provided under section 412 may be used for the following activities:
`(1) The renovation, major rehabilitation, or conversion of buildings
to be used as emergency shelters.
`(2) The provision of essential services, including services concerned
with employment, health, or education, family support services for homeless
youth, alcohol or drug abuse prevention or treatment, or mental health
treatment, if such essential services have not been provided by the local
government during any part of the immediately preceding 12 month period,
or the use of assistance under this subtitle would complement the provision
of those essential services.
`(3) Maintenance, operation insurance, provision of utilities, and provision
of furnishings.';
(4) by repealing section 417 (42 U.S.C. 11377); and
(5) by redesignating section 418 (42 U.S.C. 11378) as section 417.
SEC. 5. HOMELESS ASSISTANCE PROGRAM.
Subtitle C of title IV of the McKinney Vento Homeless Assistance Act (42
U.S.C. 11381 et seq.) is amended--
(1) by striking the subtitle heading and inserting the following:
`Subtitle C--Homeless Housing Program'.
(2) by striking sections 421 through 423 (42 U.S.C. 11381 et seq.) and
inserting the following:
`SEC. 421. PURPOSES.
`The purposes of this subtitle are--
`(1) to promote the implementation of activities that can prevent vulnerable
individuals and families from becoming homeless;
`(2) to promote the development of transitional and permanent housing;
`(3) to provide rental housing assistance to homeless individuals with
disabling conditions and the families of such individuals;
`(4) to help eliminate systematic barriers to accessing federal, state
and local programs for which homeless persons may be eligible; and
`(5) to encourage and foster self-sufficiency among homeless individuals.
`SEC. 422. COMMUNITY HOMELESS ASSISTANCE PROGRAM.
`(a) Projects- The Secretary shall make grants to continuum of care boards
to carry out homeless assistance and prevention projects.
`(1) SUBMISSION TO THE SECRETARY- To receive a grant under subsection
(a), a continuum of care board shall submit an application to the Secretary
at such time and in such manner as the Secretary may require, and containing--
`(A) the information described in subsections (a) and (b) of section
429; and
`(B) other information that shall--
`(i) describe the establishment or designation and function of the
continuum of care board, including the nomination and selection process
of all members of the continuum of care board;
`(ii) outline the range of housing and service programs available
to persons experiencing homelessness or imminently at risk of experiencing
homelessness and describe the unmet needs that remain in the geographic
area for which the continuum of care board seeks funding regarding--
`(I) prevention activities;
`(II) outreach activities to assess the needs and conditions of
persons experiencing homelessness; and
`(III) emergency shelters, transitional housing, permanent housing,
and needed supportive services;
`(iii) identify funds from private and public sources, other than
funds received under subtitles B and C, that the State, units of general
local government, continuum of care boards, project sponsors, and
others will use for homelessness prevention, emergency shelter, supportive
services, transitional housing, and permanent housing, that will be
integrated with the assistance provided under subtitles B and C;
`(I) how the continuum of care board will meet the housing and service
needs of individuals and families experiencing homelessness in the
applicant's community; and
`(II) how the continuum of care board will integrate the plan with
the strategy of the State and units of general local government
in the geographic area to prevent homelessness and end chronic homelessness,
including, as part of that strategy, a work plan for the applicable
fiscal years;
`(v) report on the outcome based performance of the homeless programs
within the geographic area served by the continuum of care board that
were funded under this title in the fiscal year prior to the fiscal
year in which the application is submitted;
`(vi) include any relevant required agreements under this subtitle;
and
`(vii) contain a certification of consistency with the Consolidated
Plan pursuant to section 403.
`(2) SELECTION CRITERIA- The Secretary shall select continuum of care
boards to receive assistance under this subtitle by a national competition
based on criteria established by the Secretary, which shall include--
`(A) the need for assistance in the area;
`(B) the ability and capacity of the continuum of care board to carry
out its duties and obligations under this subtitle and to effectively
manage the distribution of grant funds;
`(C) the extent to which the amount of assistance to be provided under
this subtitle will be supplemented with resources from other public
and private sources;
`(D) the extent to which the continuum of care board has demonstrated
coordination with the other Federal, State, local, private, and other
entities serving individuals experiencing homelessness in the planning
and operation of projects;
`(E) the performance of the continuum of care board and its projects;
and
`(F) such other factors as the Secretary determines to be appropriate
to carry out this subtitle in an effective and efficient manner.
`(3) ANNOUNCEMENT OF AWARDS- The Secretary shall announce the grants to
be made under subsection (a) for that fiscal year.
`(4) OBLIGATION, DISTRIBUTION, AND UTILIZATION OF FUNDS-
`(A) REQUIREMENTS FOR OBLIGATION-
`(i) IN GENERAL- Not later than 9 months after the announcement referred
to in paragraph (3), each continuum of care board receiving a grant
announced under paragraph (3) shall, with respect to a project to
be funded through such grant, meet, or cause the project sponsor to
meet, all requirements for the obligation of funds for such project,
including, to the extent applicable, site control, matching funds,
and environmental review requirements, except as provided in clause
(ii).
`(ii) ACQUISITION, REHABILITATION, OR CONSTRUCTION- Not later than
15 months after the announcement referred to in paragraph (3), each
continuum of care board or project sponsor seeking the obligation
of funds for acquisition of housing, rehabilitation of housing, or
construction of new housing for a grant announced under paragraph
(3) shall meet all requirements for the obligation of those funds,
including, to the extent applicable, site control, matching funds,
and environmental review requirements.
`(iii) EXTENSIONS- At the discretion of the Secretary, and in compelling
circumstances, the Secretary may extend the date by which a continuum
of care board shall meet or cause a project sponsor to meet the requirements
described in clauses (i) and (ii) if the Secretary determines that
compliance with the requirements was delayed due to factors beyond
the reasonable control of the continuum of care board or project sponsor.
Such factors may include difficulties in obtaining site control for
a proposed project, completing the process of obtaining secure financing
for the project, or completing the technical submission requirements
for the project.
`(B) OBLIGATION- After a continuum of care board meets or causes a project
sponsor to meet the requirements described in subparagraph (A), the
Secretary shall obligate the funds for the grant involved.
`(C) EXPENDITURE OF FUNDS- The Secretary shall establish deadlines for
timely expenditure of funds. The Secretary may recapture the funds not
expended by such deadlines.
`(c) Notification of Final Pro Rata Estimated Need Amounts-
`(1) NOTICE- The Secretary shall inform each continuum of care board,
at a time concurrent with the release of the Notice of Funding Availability
for the grants, of the final pro rata estimated need amount under this
subtitle for the geographic area represented by the continuum of care
board.
`(2) METHODOLOGY FOR DETERMINING AMOUNT-
`(A) Subject to subparagraph (B), the final pro rata estimated need
amount under paragraph (1) shall be determined using a methodology selected
by Secretary.
`(B) Prior to selecting the methodology referenced in subparagraph (A),
the Secretary shall notify the public of the proposed methodology, provide
the public with the opportunity to comment on such methodology, and
consider such comments in selecting the methodology.
`(3) COMBINATIONS OR CONSORTIA- For a continuum of care board that represents
a combination or consortium of geographic areas, the estimated need amount
shall be the sum of the estimated need amounts for the jurisdictions within
the geographic areas represented by the continuum of care board.
`SEC. 423. ELIGIBLE ACTIVITIES.
`(a) In General- The Secretary may make grants to continuum of care boards
under section 422 to carry out homeless assistance and prevention that consist
of one or more of the following eligible activities:
`(1) Construction of housing.
`(2) Acquisition, renovation, conversion or rehabilitation of a structure
to provide housing.
`(3) Leasing of property, or portions of property, not owned by the continuum
of care board or project sponsor involved, for use in providing housing
or supportive services.
`(4) Provision of tenant-based rental housing assistance for eligible
persons.
`(5) Provision of project-based rental housing assistance for eligible
persons.
`(6) Payment of operating costs for housing units assisted under this
subtitle.
`(7) Providing services determined by the Secretary (either at the Secretary's
initiative or on the basis of adequate justification by an applicant)
to be directly relevant to assisting persons experiencing homelessness
to access and retain housing, for both new projects and projects receiving
renewal funding.
`(8)(A) Payment of administrative costs of the continuum of care board
for planning, administering grants for, maintaining, and evaluating projects,
and ensuring compliance with homeless management information system requirements
described in section 402(i) may not be more than 6 percent of the total
funds made available through the grant. The project sponsor may use up
to 5 percent of the funds it receives from the continuum of care board
for administrative costs.
`(B) For purposes of this paragraph, monitoring and evaluating shall include--
`(i) measuring the outcomes of the homeless assistance planning process
of a continuum of care board for preventing homelessness and helping
to end chronic homelessness;
`(ii) the effective and timely implementation of specific projects funded
under this subtitle, relative to projected outcomes; and
`(iii) in the case of a housing project funded under this subtitle,
compliance with appropriate standards of housing quality and habitability
as determined by the Secretary.
`(9) Prevention activities for which a continuum of care board may use
up to 10 percent of the funds made available through a grant under section
422, including--
`(A) providing financial assistance to individuals or families who have
received eviction notices, foreclosure notices, or notices of termination
of utility services if, in the case of such an individual or family--
`(i) the inability of the individual or family to make the required
payments is due to a sudden reduction in income;
`(ii) the assistance is necessary to avoid the eviction, foreclosure,
or termination of services; and
`(iii) there is a reasonable prospect that the individual or family
will be able to resume the payments within a reasonable period of
time; and
`(B) carrying out relocation activities (including providing security
or utility deposits, rental assistance for a final month at a location,
assistance with moving costs, or rental assistance for not more than
three months) for moving into transitional or permanent housing, individuals,
and families that include such individuals--
`(ii) who are being discharged from a publicly funded acute care or
long term care facility, program, or system of care, or whose services
(from such a facility, program, or system of care) are being terminated;
and
`(iii) who have plans, developed collaboratively by the public entities
involved and the individuals and families, for securing or maintaining
housing after any funding provided under this subtitle is utilized.
`(b) Eligibility for Funds for Prevention Activities- To be eligible to
receive grant funds under section 422 to carry out the prevention activities
described in subsection (a)(9), a continuum of care board shall submit an
application to the Secretary under section 422 that shall include a certification
in which--
`(1) the relevant public entities in the geographic area involved certify
compliance with subsection (c); and
`(2) the publicly funded institutions, facilities, and systems of care
in the geographic area certify that the institutions, facilities, and
systems of care will take, and fund directly, all reasonable measures
to ensure that the institutions, facilities, and systems of care do not
discharge individuals into homelessness.
`(c) Supplement, not Supplant- Funds appropriated to further the purposes
of this title and made available for prevention activities described in
subsection (a)(9) shall be used to supplement and not supplant other Federal,
State, and local public funds used for homelessness prevention.
`(1) ACQUISITION, REHABILITATION, AND NEW CONSTRUCTION- A project that
consists of activities described in paragraph (1) or (2) of subsection
(a) shall be operated for the purpose specified in the application submitted
for the project under section 422 for not less than 15 years.
`(2) OTHER ACTIVITIES- A project that consists of activities described
in any of paragraphs (3) through (9) of subsection (a) shall be operated
for the purpose specified in the application submitted for the project
under section 422 for the duration of the grant period involved.
`(3) CONVERSION- If the project sponsor carrying out a project that provides
transitional or permanent housing submits a request to the continuum of
care board to carry out instead a project for the direct benefit of very
low income persons, and the continuum of care board determines that the
initial project is no longer needed to provide transitional or permanent
housing, the continuum of care board may approve the project described
in the request and authorize the project sponsor to carry out that project.
`(1) TENANT-BASED RENTAL ASSISTANCE-
`(A) AUTHORITY- Grants under section 422 may be used to provide tenant-based
rental assistance for eligible persons in accordance with this paragraph.
`(B) HOUSING ASSISTANCE- An eligible person on behalf of whom assistance
is provided under this subtitle shall select the unit in which such
person will live using rental assistance under this subtitle; except
that where necessary to assure that the provision of supportive services
to persons is feasible, a continuum of care board or project sponsor
may require that a person participating in the program live (i) in a
particular structure or unit for up to the first year of participation,
and (ii) within a particular geographic area for the full period of
participation or the period remaining after the period referred to in
subclause (i).
`(C) AMOUNT OF ASSISTANCE- The contract with a continuum of care board
for assistance under this subtitle shall be for a term of 5 years. Each
contract shall provide that the continuum of care board shall receive
aggregate amounts not to exceed the appropriate existing housing fair
market rent limitation under section 8(c) of the United States Housing
Act of 1937 in effect at the time the application is approved. At the
option of the continuum of care board and subject to the availability
of such amounts, the continuum of care board may receive in any year
(i) up to 25 percent of such amounts or (ii) such higher percentage
as the Secretary may approve upon a demonstration satisfactory to the
Secretary that the continuum of care board has entered into firm financial
commitments to ensure that the housing assistance described in the application
will be provided for the full term of the contract. Any amounts not
needed for a year may be used to increase the amount available in subsequent
years.
`(2) PROJECT-BASED RENTAL ASSISTANCE-
`(A) AUTHORITY- Grants under section 422 may be used to provide project-based
rental assistance for eligible persons in accordance with this subsection.
`(B) HOUSING ASSISTANCE- Assistance under this subtitle shall be provided
pursuant to a contract between the continuum of care board or the project
sponsor and an owner of an existing structure. The contract shall provide
that rental assistance payments shall be made to the owner and that
the units in the structure shall be occupied by eligible persons for
not less than the term of the contract.
`(C) TERM OF CONTRACT AND AMOUNT OF ASSISTANCE-
`(i) TERM OF CONTRACT- Each contract under subparagraph (B) shall
be for a term of 5 years, and the owner shall have an option to renew
the assistance for an additional 5-year term, subject to the availability
of amounts provided in appropriations Acts; except that if an expenditure
of at least $3,000 for each unit (including its prorated share of
work on common areas or systems) is required to make the structure
decent, safe, and sanitary, and the owner agrees to carry out the
rehabilitation with resources other than assistance under this subtitle
within 12 months of notification of grant approval, the contract shall
be for a term of 10 years.
`(ii) AMOUNT OF ASSISTANCE- Each contract shall provide that the recipient
shall receive aggregate amounts not to exceed the appropriate existing
housing fair market rental under section 8(c)(1) of the United States
Housing Act of 1937 in effect at the time the application is approved.
Any amounts not needed for a year may be used to increase the amount
available in subsequent years.
`(3) TENANT RENT- In the case of a project that includes tenant-based
or project-based rental assistance, each tenant shall pay as rent an amount
determined in accordance with the provisions of section 3(a)(1) of the
United States Housing Act of 1937 (42 U.S.C. 1437a(a)(1)).
`SEC. 424. TERMINATION OF TENANCY.
`(a) Termination of Tenancy in Permanent Housing- A project sponsor shall
not terminate the tenancy or refuse to renew the lease of a tenant living
in permanent housing funded by a grant under this subtitle except for serious
or repeated violations of the terms and conditions of the lease, for a violation
of applicable Federal, State, or local law, or other good cause. Any termination
or refusal to renew must be preceded by not less than 30 days by the project
sponsor's service upon the tenant of a written notice specifying the grounds
for the action.
`(b) Termination of Tenancy in Transitional Housing- If an individual or
family occupying transitional housing funded under this subtitle violates
significant program requirements, or violates applicable Federal, State,
or local law, the project sponsor may terminate the housing assistance in
accordance with a formal process established by the project sponsor that
recognizes the rights of individuals receiving such assistance to due process
of law, which may include a hearing.
`SEC. 425. INCENTIVES TO CREATE SAMARITAN CHRONIC HOMELESSNESS INITIATIVE.
`(a) In General- In making grants to continuum of care boards under section
422, the Secretary shall provide the incentives described in subsection
(b) to promote the creation of new permanent housing units through the construction,
acquisition and rehabilitation, leasing , or provision of rental assistance
of permanent housing units, that are owned or leased by a project sponsor
or other independent entity who entered into a contract with a project sponsor,
for chronically homeless persons.
`(b) Assistance for Chronically Homeless Persons- A continuum of care board
that receives assistance under section 422 to implement a project that involves
the construction, acquisition and rehabilitation, leasing, or provision
of rental assistance of permanent housing units described in subsection
(a) for chronically homeless persons shall also receive, as part of the
grant, a bonus in an amount to be determined by the Secretary to carry out
permanent housing activities with supportive services, as determined by
the Secretary, for chronically homeless persons.
`SEC. 426. REPAYMENT OF ASSISTANCE AND PREVENTION OF UNDUE BENEFITS.
`(a) Repayment- If assistance is provided under section 422 to carry out
a project that consists of activities described in paragraph (1) or (2)
of subsection (a) and the project ceases to provide transitional or permanent
housing--
`(1) earlier than 10 years after operation of the project begins, the
continuum of care board (or the project sponsor receiving funds from the
continuum of care board) shall repay 100 percent of the assistance; or
`(2) not earlier than 10 years, but earlier than 15 years, after operation
of the project begins, the continuum of care board (or the project sponsor
receiving funds from the continuum of care board) shall repay 20 percent
of the assistance for each of the years in the 15 year period for which
the project fails to provide that housing.
`(b) Prevention of Undue Benefits- Except as provided in subsection (c)
if any property is used for a project that receives assistance under subsection
(a) and consists of activities described in paragraph (1) or (2) of subsection
(a), and the sale or other disposition of the property occurs before the
expiration of the 15 year period beginning on the date that operation of
the project begins, the continuum of care board (or the project sponsor
receiving funds from the continuum of care board) who received the assistance
shall comply with such terms and conditions as the Secretary may prescribe
to prevent the continuum of care board (or a project sponsor receiving funds
from the continuum of care board) from unduly benefiting from such sale
or disposition.
`(c) Exception- A continuum of care board (or a project sponsor receiving
funds from the continuum of care board) shall not be required to make the
repayments, and comply with the terms and conditions, required under subsection
(a) or (b) if--
`(1) the sale or disposition of the property used for the project results
in the use of the property for the direct benefit of very low income persons;
or
`(2) all of the proceeds of the sale or disposition are used to provide
transitional or permanent housing meeting the requirements of this subtitle.';
(3) by redesignating section 424 (42 U.S.C. 11384) as section 427;
(4) in section 425 (42 U.S.C. 11385)--
(A) by redesignating this section as section 428;
(B) by striking subsection (c) and inserting the following:
`(c) Services- Supportive services may include such services as determined
by the Secretary (either at the Secretary's initiative or on the basis of
adequate justification by an applicant) to be directly relevant to assisting
persons experiencing homelessness to access and retain housing.';
(5) in section 426 (42 U.S.C. 11386)--
(A) by redesignating this section as section 429;
(i) in paragraph (1), by striking `this subtitle' and inserting `section
422';
(I) by striking subparagraph (B) and inserting the following:
`(B) a description of the size and characteristics of the population
that would occupy housing units or receive supportive services under
this subtitle;'; and
(II) in subparagraph (E), by striking `in the case of projects assisted
under this title that do not receive assistance under such sections,';
and
(iii) in paragraph (3), in the last sentence, by striking `recipient'
and inserting `continuum of care board (or a project sponsor receiving
funds from the continuum of care board)';
(C) by striking subsections (b) and (c) and inserting:
`(b) Required Agreements- The Secretary may not provide assistance for a
proposed project under this subtitle unless the continuum of care board
involved agrees to--
`(1) ensure the operation of the project in accordance with the provisions
of this subtitle;
`(2) conduct ongoing monitoring to ensure that homeless persons are not
systematically denied access to programs for which they may be eligible;
`(3) monitor and report to the Secretary on the progress of the project;
`(4) develop and implement procedures to ensure--
`(A) the confidentiality of records pertaining to any individual provided
family violence prevention or treatment services through the project;
and
`(B) that the address or location of any family violence shelter project
assisted under this subtitle will not be made public, except with written
authorization of the person responsible for the operation of such project;
`(5) involve homeless individuals and families, to the maximum extent
practicable, through employment, volunteer services, or otherwise, in
constructing, rehabilitating, maintaining, and operating the project assisted
under this subtitle and in providing supportive services for the project;
`(6) establish such fiscal control and fund accounting procedures as may
be necessary to assure the proper disbursal of, and accounting of, such
funds in order to ensure that all financial transactions carried out with
such funds are conducted, and records maintained, in accordance with generally
accepted accounting principles;
`(7) ensure, to the extent practicable, that any permanent housing that
is created under a grant under this subtitle is located in a mixed income
environment;
`(8) require each project sponsor who is funded by a grant received under
this subtitle to establish such fiscal control and fund accounting procedures
as may be necessary to assure the proper disbursal of, and accounting
for, Federal funds received by the project sponsor under this subtitle
in order to ensure that all financial transactions carried out under this
subtitle are conducted, and records maintained, in accordance with generally
accepted accounting principles; and
`(9) comply with such other terms and conditions as the Secretary may
establish to carry out this subtitle in an effective and efficient manner.';
(D) by redesignating subsection (d) as subsection (c), and in the first
sentence, by striking `recipient' and inserting `project sponsor';
(E) by striking subsection (e);
(F) by redesignating subsections (f), (g), and (h), as subsections (d),
(e), and (f), respectively;
(G) in subsection (e) (as redesignated in subparagraph (E)), in the
first sentence, by striking `recipient' each place it appears and inserting
`continuum of care board or project sponsor';
(H) by striking subsection (i); and
(I) by redesignating subsection (j) as subsection (g);
(6)(A) by repealing sections 427 and 429 (42 U.S.C.11387, 11389); and
(B) by redesignating section 428 (42 U.S.C. 11388) as section 436; and
(7) by inserting after section 429, as redesignated, the following:
`SEC. 430. MATCHING FUNDING.
` A recipient of a grant under this subtitle shall supplement the amounts
provided in the grants, in cash from any source, in an amount equal to not
less than 25 percent of the Federal funds provided under the grant.
`SEC. 431. ALLOCATION AMOUNTS AND INCENTIVES FOR SPECIFIC ELIGIBLE ACTIVITIES.
`(a) Annual Portion of Appropriated Amount Available- From the amount made
available to carry out this subtitle for a fiscal year, a portion equal
to not less than 30 percent of the sums made available to each continuum
of care board for that fiscal year shall be used for housing activities,
exclusive of the Samaritan Chronic Homelessness Initiative under section
425, to develop and sustain permanent housing, including operating costs
and leasing and rental housing assistance, in order to help create and sustain
affordable permanent housing for homeless individuals with disabling conditions
and homeless families that include such an individual who is an adult.
`(b) Funding for Acquisition, Construction, and Rehabilitation of Permanent
or Transitional Housing- Nothing in this title shall be construed to establish
a limit on the amount of funding that an applicant may request under this
subtitle for acquisition, construction, or rehabilitation activities for
the development of permanent housing or transitional housing.
`SEC. 432. TREATMENT OF PREVIOUSLY OBLIGATED AMOUNTS.
`Notwithstanding the amendment or repeal of any provision of law by the
Homeless Assistance Consolidation Act of 2006, any amounts appropriated
to carry out the provisions so amended or repealed that are obligated before
the effective date of the Homeless Assistance Consolidation Act of 2006
shall be used in the manner provided, and subject to any requirements and
agreements entered into, under such provisions as such provisions were in
effect immediately before such effective date.
`SEC. 433. APPEAL PROCEDURE.
`(a) In General- With respect to funding under this subtitle, if certification
of consistency with the Consolidated Plan or other jurisdictional plans
related to homelessness, including 10-year plans to end chronic homelessness,
pursuant to section 403 is withheld from an applicant who has submitted
an application for that certification, such applicant may appeal such decision
to the Secretary.
`(b) Procedure- The Secretary shall establish a procedure to process the
appeals described in subsection (a).
`(c) Determination- Not later than 45 days after the date of receipt of
an appeal described in subsection (a), the Secretary shall determine if
certification was unreasonably withheld. If such certification was unreasonably
withheld, the Secretary shall review such application and determine if such
applicant shall receive funding under this subtitle.
`SEC. 434. NONDISCRIMINATION, PREFERENCES FOR PERSONS WITH SPECIFIC DISABLING
CONDITIONS AND GENDER-SPECIFIC ACTIVITIES.
`(a) Nondiscrimination- No person in the United States shall on the grounds
of race, color, national origin, religion, or sex, be excluded from participation
in, be denied the benefits of, or be subjected to discrimination under any
program or activity funded in whole or in part with funds made available
under this title. Any prohibition against discrimination on the basis of
age under the Age Discrimination Act of 1975 (42 U.S.C. 6101 et seq.), or
with respect to an otherwise qualified individual with a disability as provided
in section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794) shall also
apply to any such program or activity.
`(b) Preferences for Persons With Specific Disabling Conditions- All homeless
assistance and prevention activities funded under this title serving individuals
with disabling conditions must be available to all such individuals without
regard to their type of disability, except that a preference for individuals
with specific types of disabling conditions can be provided in activities
funded under this title if--
`(1) services appropriate for that population are provided;
`(2) serving this population in this manner is necessary to provide qualified
homeless individuals with a disabling condition and families that include
such an adult individual housing, aid, benefits, or services that are
as effective as those provided to others; and
`(3) such homeless assistance and prevention activities are open to all
otherwise eligible individuals with a disabling condition and families
that include such an adult individual who may benefit from the services
provided.
`(c) Gender-Specific Activities- This title shall not be construed to prohibit
any project sponsor from maintaining or constructing separate living facilities
or restroom facilities for the different sexes or offering gender-specific
assistance in order to protect personal safety, privacy, or modesty.
`(d) Renewals- Notwithstanding any other provision of this subtitle, the
Secretary may provide renewal grants under this subtitle for rental assistance
projects that--
`(1) were funded under the authority of Parts I, II, III and IV of Subtitle
F of this title as it existed immediately prior to enactment of the Homeless
Assistance Consolidation Act of 2006; and
`(2) are designed and carried out to exclusively serve persons who are
seriously mentally ill; have chronic problems with alcohol, drugs, or
both; or have acquired immunodeficiency syndrome and related diseases.
`SEC. 435. ENVIRONMENTAL REVIEW.
`For purposes of environmental review, assistance and projects under this
title shall be treated as assistance for special projects that are subject
to section 305(c) of the Multifamily Housing Property Disposition Reform
Act of 1994, and shall be subject to the regulations issued by the Secretary
to implement such section.'.
SEC. 6. REPEALS AND CONFORMING AMENDMENTS.
(a) Repeals- Subtitles D, E, F, and G of title IV of the McKinney Vento
Homeless Assistance Act (42 U.S.C. 11391 et seq., 11401 et seq., 11403 et
seq., and 11408 et seq.) are repealed.
(b) Conforming Amendments- Section 403(l) of the McKinney Vento Homeless
Assistance Act, as redesignated in section 4(2), is amended--
(1) by striking `current housing affordability strategy' and inserting
`Consolidated Plan'; and
(2) by inserting before the comma the following: `(referred to in that
section as a 'comprehensive housing affordability strategy`)'.
SEC. 7. EFFECTIVE DATE.
This Act shall take effect one year after the date of enactment.
END
