Nahasda

1998 Amendments [P.L. 105-276] are in RED
2000 Amendments [P.L. 106-568] are in BLUE (IHBG) and [P.L. 106-569] in NAVY (Title VIII for Native Hawaiians)
2002 Amendments [P.L. 107-292] are in GREEN
2004 Amendment [P.L. 108-393] is in PURPLE
2005 Amendment [P.L. 109-136] is in PINK & 2005 Amendment [P.L. 109-58] is in BROWN
2008 Amendment [P.L. 110-411] is in ORANGE
2010 Amendment [P.L. 111-269] is in LIGHT BLUE
USC Cites are provided in brackets below for convenience but were not in the bill as enacted

Native American Housing Assistance and
Self-Determination Act of 1996
(P.L. 104-330 as amended by P.L. 105-276, P.L. 106-568, P.L. 107-292, and P.L. 108-393)

One Hundred Fourth Congress
of the
United States of America
AT THE SECOND SESSION
Begun and held at the City of Washington on Wednesday, the third day of January, one thousand nine hundred and
ninety-six
An Act
To provide Federal assistance for Indian tribes in a manner that recognizes the right of tribal self-governance, 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 AND TABLE OF CONTENTS.

[25 USC 4101 note]

(a) SHORT TITLE- This Act may be cited as the `Native American Housing Assistance and SelfDetermination Act of 1996'.
(b) TABLE OF CONTENTS- The table of contents for this Act is as follows:
Sec. 1. Short title.
Sec. 2. Congressional findings.
Sec. 3. Administration through Office of Native American Programs.
Sec. 4. Definitions.
TITLE I--BLOCK GRANTS AND GRANT REQUIREMENTS
Sec. 101. Block grants.
Sec. 102. Indian housing plans.
Sec. 103. Review of plans.
Sec. 104. Treatment of program income and labor standards.
Sec. 105. Environmental review.
Sec. 106. Regulations.
Sec. 107. Effective date.
Sec. 108. Authorization of appropriations.

TITLE II--AFFORDABLE HOUSING ACTIVITIES
Subtitle A—General Block Grant Program
Sec. 201. National objectives and eligible families.
Sec. 202. Eligible affordable housing activities.
Sec. 203. Program requirements.
Sec. 204. Types of investments.
Sec. 205. Low-income requirement and income targeting.
Sec. 206. Certification of compliance with subsidy layering requirements.
Sec. 206. Treatment of funds.
Sec. 207. Lease requirements and tenant selection.
Sec. 208. Availability of records.
Sec. 209. Repayment. 209. Noncompliance with affordable housing requirement.
Sec. 210. Continued use of amounts for affordable housing.
Subtitle B—Self-Determination Housing Activities for Tribal Communities
Sec. 231. Purposes.
Sec. 232. Program authority.
Sec. 233. Use of amounts for housing activities.
Sec. 234. Inapplicability of other provisions.
Sec. 235. Review and report.
TITLE III--ALLOCATION OF GRANT AMOUNTS
Sec. 301. Annual allocation.
Sec. 302. Allocation formula.
TITLE IV--COMPLIANCE, AUDITS, AND REPORTS
Sec. 401. Remedies for noncompliance.
Sec. 402. Replacement of recipient.
Sec. 403. Monitoring of compliance.
Sec. 404. Performance reports.
Sec. 405. Review and audit by Secretary.
Sec. 406. GAO audits.
Sec. 407. Reports to Congress.
Sec. 408. Public availability of information.
TITLE V--TERMINATION OF ASSISTANCE FOR INDIAN TRIBES UNDER INCORPORATED
PROGRAMS
Sec. 501. Repeal of provisions relating to Indian housing assistance under United States Housing
Act of 1937.
Sec. 502. Termination of Indian housing assistance under United States Housing Act of 1937.
Sec. 503. Termination of new commitments for rental assistance.
Sec. 504. Termination of youthbuild program assistance.
Sec. 505. Termination of HOME program assistance.
Sec. 506. Termination of housing assistance for the homeless.
Sec. 507. Savings provision.
Sec. 508. Effective date.
Sec. 509. Effect on HOME Investment Partnerships Act.

2

TITLE VI--FEDERAL GUARANTEES FOR FINANCING FOR TRIBAL HOUSING ACTIVITIES
Sec. 601. Authority and requirements.
Sec. 602. Security and repayment.
Sec. 603. Payment of interest.
Sec. 604. Training and information.
Sec. 605. Limitations on amount of guarantees.
Sec. 606. Effective date.
Sec. 606. Demonstration program for guaranteed loans to finance tribal community and economic
development activities.

TITLE VII--OTHER HOUSING ASSISTANCE FOR NATIVE AMERICANS
Sec. 701. Loan guarantees for Indian housing.
Sec. 702. 50-year leasehold interest in trust or restricted lands for housing purposes.
Sec. 703. Training and technical assistance.
Sec. 704. Public and Assisted Housing Drug Elimination Act of 1990.
Sec. 705. Effective date.
SEC. 2. CONGRESSIONAL FINDINGS.

[25 USC 4101]

The Congress finds that-(1) the Federal Government has a responsibility to promote the general welfare of the Nation-(A) by using Federal resources to aid families and individuals seeking affordable homes in
safe and healthy environments and, in particular, assisting responsible, deserving citizens
who cannot provide fully for themselves because of temporary circumstances or factors
beyond their control;
(B) by working to ensure a thriving national economy and a strong private housing market;
and
(C) by developing effective partnerships among the Federal Government, State, tribal, and
local governments, and private entities that allow government to accept responsibility for
fostering the development of a healthy marketplace and allow families to prosper without
government involvement in their day-to-day activities;
(2) there exists a unique relationship between the Government of the United States and the
governments of Indian tribes and a unique Federal responsibility to Indian people;
(3) the Constitution of the United States invests the Congress with plenary power over the field of
Indian affairs, and through treaties, statutes, and historical relations with Indian tribes, the United
States has undertaken a unique trust responsibility to protect and support Indian tribes and Indian
people;
(4) the Congress, through treaties, statutes, and the general course of dealing with Indian tribes, has
assumed a trust responsibility for the protection and preservation of Indian tribes and for working
with tribes and their members to improve their housing conditions and socioeconomic status so that
they are able to take greater responsibility for their own economic condition;
(5) providing affordable homes in safe and healthy environments is an essential element in the
special role of the United States in helping tribes and their members to improve their housing
conditions and socioeconomic status;
(6) the need for affordable homes in safe and healthy environments on Indian reservations, in
Indian communities, and in Native Alaskan villages is acute and the Federal Government should
shall work not only to provide housing assistance, but also, to the extent practicable, to assist in the
development of private housing finance mechanisms on Indian lands to achieve the goals of
economic self-sufficiency and self-determination for tribes and their members; and
(7) Federal assistance to meet these responsibilities should shall be provided in a manner that
recognizes the right of Indian self-determination and tribal self-governance by making such

3

assistance available directly to the Indian tribes or tribally designated entities under authorities
similar to those accorded Indian tribes in Public Law 93-638 (25 U.S.C. 450 et seq.).
SEC. 3. ADMINISTRATION THROUGH OFFICE OF NATIVE AMERICAN PROGRAMS. [25 USC 4102]
The Secretary of Housing and Urban Development shall carry out this Act through the Office of Native
American Programs of the Department of Housing and Urban Development.
SEC. 4. DEFINITIONS.

[25 USC 4103]

For purposes of this Act, the following definitions shall apply:
(1) ADJUSTED INCOME- The term `adjusted income' means the annual income that remains after
excluding the following amounts:
(A) YOUTHS, STUDENTS, AND PERSONS WITH DIS-ABILITIES- $480 for each
member of the family residing in the household (other than the head of the household or
the spouse of the head of the household)-(i) who is under 18 years of age; or
(ii) who is-(I) 18 years of age or older; and
(II) a person with disabilities or a full-time student.
(B) ELDERLY AND DISABLED FAMILIES- $400 for an elderly or disabled family.
(C) MEDICAL AND ATTENDANT EXPENSES- The amount by which 3 percent of the
annual income of the family is exceeded by the aggregate of-(i) medical expenses, in the case of an elderly or disabled family; and
(ii) reasonable attendant care and auxiliary apparatus expenses for each family
member who is a person with disabilities, to the extent necessary to enable any
member of the family (including a member who is a person with disabilities) to be
employed.
(D) CHILD CARE EXPENSES- Child care expenses, to the extent necessary to enable
another member of the family to be employed or to further his or her education.
(E) EARNED INCOME OF MINORS- The amount of any earned income of any member
of the family who is less than 18 years of age.
(F) TRAVEL EXPENSES- Excessive travel expenses, not to exceed $25 per family per
week, for employment- or education-related travel.
(G) OTHER AMOUNTS- Such other amounts as may be provided in the Indian housing
plan for an Indian tribe.
(2) AFFORDABLE HOUSING- The term `affordable housing' means housing that complies with
the requirements for affordable housing under title II. The term includes permanent housing for
homeless persons who are persons with disabilities, transitional housing, and single room
occupancy housing.
(3) DRUG-RELATED CRIMINAL ACTIVITY- The term `drug-related criminal activity' means
the illegal manufacture, sale, distribution, use, or possession with intent to manufacture, sell,
distribute, or use, of a controlled substance (as such term is defined in section 102 of the Controlled
Substances Act).
(4) ELDERLY FAMILIES AND NEAR-ELDERLY FAMILIES- The terms `elderly family' and
`near-elderly family' mean a family whose head (or his or her spouse), or whose sole member, is an
elderly person or a near-elderly person, respectively. Such terms include 2 or more elderly persons
or near-elderly persons living together, and 1 or more such persons living with 1 or more persons
determined under the Indian housing plan for the agency to be essential to their care or well-being.
(5) ELDERLY PERSON- The term `elderly person' means a person who is at least 62 years of age.
(6) FAMILY- The term `family' includes a family with or without children, an elderly family, a
near-elderly family, a disabled family, and a single person.
(7) GRANT BENEFICIARY- The term `grant beneficiary' means the Indian tribe or tribes on
behalf of which a grant is made under this Act to a recipient.
(8) HOUSING RELATED COMMUNITY DEVELOPMENT.--

4

(A) IN GENERAL- The term `housing related community development' means any
facility, community building, business, activity, or infrastructure that-(i) is owned by an Indian tribe or a tribally designated housing entity;
(ii) is necessary to the provision of housing in an Indian area; and
(iii)
(I) would help an Indian tribe or tribally designated housing entity to
reduce the cost of construction of Indian housing;
(II) would make housing more affordable, accessible, or practicable in an
Indian area; or
(III) would otherwise advance the purposes of this Act.
(B) EXCLUSION- The term `housing and community development' does not include any
activity conducted by any Indian tribe under the Indian Gaming Regulatory Act (25 U.S.C.
2701 et seq.).
(89) INCOME- The term `income' means income from all sources of each member of the
household, as determined in accordance with criteria prescribed by the Secretary, except that the
following amounts may not be considered as income under this paragraph:
(A) Any amounts not actually received by the family.
(B) Any amounts that would be eligible for exclusion under section 1613(a)(7) of the
Social Security Act.
(C) Any amounts received by any member of the family as disability compensation under
chapter 11 of title 38, United States Code, or dependency and indemnity compensation
under chapter 13 of such title.
(910) INDIAN- The term `Indian' means any person who is a member of an Indian tribe.
(1011) INDIAN AREA- The term `Indian area' means the area within which an Indian tribe or a
tribally designated housing entity is , as authorized by one 1 or more Indian tribes, to provides
assistance under this Act for affordable housing.
(1112) INDIAN HOUSING PLAN- The term `Indian housing plan' means a plan under section
102.
(1213) INDIAN TRIBE(A) IN GENERAL- The term `Indian tribe' means a tribe that is a federally recognized
tribe or a State recognized tribe.
(B) FEDERALLY RECOGNIZED TRIBE- The term `federally recognized tribe' means
any Indian tribe, band, nation, or other organized group or community of Indians, including
any Alaska Native village or regional or village corporation as defined in or established
pursuant to the Alaska Native Claims Settlement Act, that is recognized as eligible for the
special programs and services provided by the United States to Indians because of their
status as Indians pursuant to the Indian Self-Determination and Education Assistance Act
of 1975.
(C) STATE RECOGNIZED TRIBE(i) IN GENERAL- The term `State recognized tribe' means any tribe, band, nation,
pueblo, village, or community-(I) that has been recognized as an Indian tribe by any State; and
(II) for which an Indian Housing Authority has, before the effective date
under section 107 section 705, entered into a contract with the Secretary
pursuant to the United States Housing Act of 1937 for housing for Indian
families and has received funding pursuant to such contract within the 5year period ending upon such effective date.
(ii) CONDITIONS- Notwithstanding clause (i)-(I) the allocation formula under section 302 shall be determined for a State
recognized tribe under tribal membership eligibility criteria in existence on
the date of the enactment of this Act; and
(II) nothing in this paragraph shall be construed to confer upon a State
recognized tribe any rights, privileges, responsibilities, or obligations
otherwise accorded groups recognized as Indian tribes by the United States
for other purposes.

5

(1314) LOW-INCOME FAMILY- The term `low-income family' means a family whose income
does not exceed 80 percent of the median income for the area, as determined by the Secretary with
adjustments for smaller and larger families, except that the Secretary may, for purposes of this
paragraph, establish income ceilings higher or lower than 80 percent of the median for the area on
the basis of the findings of the Secretary or the agency that such variations are necessary because of
prevailing levels of construction costs or unusually high or low family incomes.
(1415) MEDIAN INCOME- The term `median income' means, with respect to an area that is an
Indian area, the greater of-(A) the median income for the Indian area, which the Secretary shall determine; or
(B) the median income for the United States.
(1516) NEAR-ELDERLY PERSON- The term `near-elderly person' means a person who is at least
55 years of age and less than 62 years of age.
(1617) NONPROFIT- The term `nonprofit' means, with respect to an organization, association,
corporation, or other entity, that no part of the net earnings of the entity inures to the benefit of any
member, founder, contributor, or individual.
(1718) PERSON WITH DISABILITIES- The term `person with disabilities' means a person who-(A) has a disability as defined in section 223 of the Social Security Act;
(B) is determined, pursuant to regulations issued by the Secretary, to have a physical,
mental, or emotional impairment which-(i) is expected to be of long-continued and indefinite duration;
(ii) substantially impedes his or her ability to live independently; and
(iii) is of such a nature that such ability could be improved by more suitable
housing conditions; or
(C) has a developmental disability as defined in section 102 of the Developmental
Disabilities Assistance and Bill of Rights Act.
Such term shall not exclude persons who have the disease of acquired immunodeficiency syndrome
or any conditions arising from the etiologic agent for acquired immunodeficiency syndrome.
Notwithstanding any other provision of law, no individual shall be considered a person with
disabilities, for purposes of eligibility for housing assisted under this Act, solely on the basis of any
drug or alcohol dependence. The Secretary shall consult with other appropriate Federal agencies to
implement the preceding sentence.
(1819) RECIPIENT- The term `recipient' means an Indian tribe or the entity for one or more Indian
tribes that is authorized to receive grant amounts under this Act on behalf of the tribe or tribes.
(1920) SECRETARY- Except as otherwise specifically provided in this Act, the term `Secretary'
means the Secretary of Housing and Urban Development.
(2021) STATE- The term `State' means the States of the United States, the District of Columbia,
the Commonwealth of Puerto Rico, the Commonwealth of the Northern Mariana Islands, Guam,
the Virgin Islands, American Samoa, and any other territory or possession of the United States and
Indian tribes.
(2122) TRIBALLY DESIGNATED HOUSING ENTITY- The terms `tribally designated housing
entity' and `housing entity' have the following meaning:
(A) EXISTING IHA'S- With respect to any Indian tribe that has not taken action under
subparagraph (B), and for which an Indian housing authority-(i) was established for purposes of the United States Housing Act of 1937 before
the date of the enactment of this Act that meets the requirements under the United
States Housing Act of 1937,
(ii) is acting upon such date of enactment as the Indian housing authority for the
tribe, and
(iii) is not an Indian tribe for purposes of this Act,
the terms mean such Indian housing authority.
(B) OTHER ENTITIES- With respect to any Indian tribe that, pursuant to this Act,
authorizes an entity other than the tribal government to receive grant amounts and provide
assistance under this Act for affordable housing for Indians, which entity is established-(i) by exercise of the power of self-government of one or more Indian tribes
independent of State law, or

6

(ii) by operation of State law providing specifically for housing authorities or
housing entities for Indians, including regional housing authorities in the State of
Alaska,
the terms mean such entity.
(C) ESTABLISHMENT- A tribally designated housing entity may be authorized or
established by one or more Indian tribes to act on behalf of each such tribe authorizing or
establishing the housing entity.
(22) HOUSING RELATED COMMUNITY DEVELOPMENT(A) IN GENERAL – The term ‘housing related community development’ means any
tribally-owned and operated facility, business, activity, or infrastructure that—
(i) is necessary to the direct construction of reservation housing; and
(ii) would help an Indian tribe or its tribally-designated housing authority reduce
the cost of construction of Indian housing or otherwise promote the findings of this
Act.
(B) EXCLUSION – The term ‘housing and community development’ does not include any
activity conducted by any Indian tribe under the Indian Gaming Regulatory Act (25 U.S.C.
2710 et seq.).
TITLE I--BLOCK GRANTS AND GRANT REQUIREMENTS
SEC. 101. BLOCK GRANTS.

[25 USC 4111]

(a) AUTHORITY- For each
(1) IN GENERAL- For each fiscal year, the Secretary shall (to the extent amounts are made
available to carry out this Act) make grants under this section on behalf of Indian tribes-- to carry
out affordable housing activities.
(A) to carry out affordable housing activities under subtitle A of title II; and
(B) to carry out self-determined housing activities for tribal communities programs under
subtitle B of that title.
(2) PROVISION OF AMOUNTS- Under such a grant on behalf of an Indian tribe, the Secretary
shall provide the grant amounts for the tribe directly to the recipient for the tribe.
(b) PLAN REQUIREMENT(1) IN GENERAL- The Secretary may make a grant under this Act on behalf of an Indian tribe for
a fiscal year only if-(A) the Indian tribe has submitted to the Secretary an Indian housing plan for such fiscal
year under section 102; and
(B) the plan has been determined under section 103 to comply with the requirements of
section 102.
(2) WAIVER- The Secretary may waive the applicability of the requirements under paragraph (1),
in whole or in part, if the Secretary finds that an Indian tribe has not complied or cannot comply
with such requirements due to circumstances beyond the control of the tribe for a period of not
more than 90 days, if the Secretary determines that an Indian tribe has not complied with, or is
unable to comply with, those requirements due to exigent circumstances beyond the control of the
Indian tribe.
(c) LOCAL COOPERATION AGREEMENT- The Secretary may not make any grant under this Act on
behalf of an Indian tribe unless the governing body of the locality within which any affordable housing to
be assisted with the grant amounts will be situated has entered into an agreement with the recipient for the
tribe providing for local cooperation required by the Secretary pursuant to this Act. Notwithstanding any
other provision of this Act, grant amounts provided under this Act on behalf of an Indian tribe may not be
used for rental or lease-purchase homeownership units that are owned by the recipient for the tribe unless
the governing body of the locality within which the property subject to the development activities to be
assisted with the grant amounts is or will be situated has entered into an agreement with the recipient for
the tribe providing for local cooperation required by the Secretary pursuant to this Act. The Secretary may
waive the requirements of this subsection and subsection (d) if the recipient has made a good faith effort to
fulfill the requirements of this subsection and subsection (d) and agrees to make payments in lieu of taxes

7

to the appropriate taxing authority in an amount consistent with the requirements of subsection (d)(2) until
such time as the matter of making such payments has been resolved in accordance with subsection (d).
(d) EXEMPTION FROM TAXATION- A grant recipient for an Indian tribe may receive a block grant
under this Act only if-(1) the affordable housing assisted with grant amounts received by the recipient (exclusive of any
portions not assisted with amounts provided under this Act) is exempt from all real and
personal property taxes levied or imposed by any State, tribe, city, county, or other political
subdivision; and
(d) EXEMPTION FROM TAXATION- Notwithstanding any other provision of this Act, grant amounts
provided under this Act on behalf of an Indian tribe may not be used for affordable housing activities under
this Act for rental or lease-purchase dwelling units developed under the United States Housing Act of 1937
(42 U.S.C. 1437 et seq.) or with amounts provided under this Act that are owned by the recipient for the
tribe unless—
(1) such dwelling units (which, in the case of units in a multi-unit project, shall be exclusive of any
portions of the project not developed under the United States Housing Act of 1937 or with amounts
provided under this Act) are exempt from all real and personal property taxes levied or imposed by
any State, tribe, city, county, or other political subdivision; and
(2) the recipient for the tribe makes annual payments of user fees to compensate such governments
for the costs of providing governmental services, including police and fire protection, roads, water
and sewerage systems, utilities systems and related facilities, or payments in lieu of taxes to such
taxing authority, in an amount equal to the greater of $150 per dwelling unit or 10 percent of the
difference between the shelter rent and the utility cost, or such lesser amount as-(A) is prescribed by State, tribal, or local law;
(B) is agreed to by the local governing body in the agreement under subsection (c); or
(C) the recipient and the local governing body agree that such user fees or payments in lieu
of taxes shall not be made.
(e) EFFECT OF FAILURE TO EXEMPT FROM TAXATION- Notwithstanding subsection (d), a grant
recipient that does not comply with the requirements under such subsection may receive a block grant
under this Act, but only if the tribe, State, city, county, or other political subdivision in which the affordable
housing development is located contributes, in the form of cash or tax remission, the amount by which the
taxes paid with respect to the development exceed the amounts prescribed in subsection (d)(2).
(f) AMOUNT- Except as otherwise provided under this Act, the amount of a grant under this section to a
recipient for a fiscal year shall be-(1) in the case of a recipient whose grant beneficiary is a single Indian tribe, the amount of the
allocation under section 301 for the Indian tribe; and
(2) in the case of a recipient whose grant beneficiary is more than 1 Indian tribe, the sum of the
amounts of the allocations under section 301 for each such Indian tribe.
(g) USE FOR AFFORDABLE HOUSING ACTIVITIES UNDER PLAN- Except as provided in subsection
(h) of this section and subtitle B of title II, amounts provided under a grant under this section may be used
only for affordable housing activities under title II that are consistent with an Indian housing plan approved
under section 103.
(h) ADMINISTRATIVE AND PLANNING EXPENSES- The Secretary shall, by regulation, authorize
each recipient to use a percentage of any grant amounts received under this Act for comprehensive housing
and community development planning activities and for any reasonable administrative and planning
expenses of the recipient relating to carrying out this Act and activities assisted with such amounts, which
may include costs for salaries of individuals engaged in administering and managing affordable housing
activities assisted with grant amounts provided under this Act and expenses of preparing an Indian housing
plan under section 102.
(i) PUBLIC-PRIVATE PARTNERSHIPS- Each recipient shall make all reasonable efforts, consistent with
the purposes of this Act, to maximize participation by the private sector, including nonprofit organizations
and for-profit entities, in implementing the approved Indian housing plan.
(j) FEDERAL SUPPLY SOURCES- For purposes of section 501 of title 40, United States Code, on
election by the applicable Indian tribe-(1) each Indian tribe or tribally designated housing entity shall be considered to be an Executive
agency in carrying out any program, service, or other activity under this Act; and

8

(2) each Indian tribe or tribally designated housing entity and each employee of the Indian tribe or
tribally designated housing entity shall have access to sources of supply on the same basis as
employees of an Executive agency.
(k) Tribal Preference in Employment and Contracting- Notwithstanding any other provision of law, with
respect to any grant (or portion of a grant) made on behalf of an Indian tribe under this Act that is intended
to benefit 1 Indian tribe, the tribal employment and contract preference laws (including regulations and
tribal ordinances) adopted by the Indian tribe that receives the benefit shall apply with respect to the
administration of the grant (or portion of a grant).
SEC. 102. INDIAN HOUSING PLANS.

[25 USC 4112]

(a) PLAN SUBMISSION- The Secretary shall provide-(1) (A) for an Indian tribe to submit to the Secretary, for each fiscal year, a housing plan under this
section for the tribe; or
(1)
(A) for an Indian tribe to submit to the Secretary, by not later than 75 days before the
beginning of each tribal program year, a 1-year housing plan for the Indian tribe; or
(B) (2) for the tribally designated housing entity for the tribe to submit the plan as provided
in subsection (d)(c) for the tribe; and
(2) (3) for the review of such plans.
(b) 5-YEAR PLAN- Each housing plan under this section shall be in a form prescribed by the Secretary
and shall contain, with respect to the 5-year period beginning with the fiscal year for which the plan is
submitted, the following information:
(1) MISSION STATEMENT- A general statement of the mission of the Indian tribe to serve the
needs of the low-income families in the jurisdiction of the Indian tribe during the period.
(2) GOALS AND OBJECTIVES- A statement of the goals and objectives of the Indian tribe to
enable the tribe to serve the needs identified in paragraph (1) during the period.
(3) ACTIVITIES PLAN- An overview of the activities planned during the period including an
analysis of the manner in which the activities will enable the tribe to meet its mission, goals, and
objectives.
(c) 1-YEAR PLAN- A housing plan under this section for an Indian tribe shall be in a form prescribed by
the Secretary and contain the following information relating to the upcoming fiscal year for which the
assistance under this Act is to be made available:
(1) GOALS AND OBJECTIVES- A statement of the goals and objectives to be accomplished
during that period.
(2) STATEMENT OF NEEDS- A statement of the housing needs of the low-income Indian
families residing in the jurisdiction of the Indian tribe and the means by which such needs will be
addressed during the period, including-(A) a description of the estimated housing needs and the need for assistance for the lowincome Indian families in the jurisdiction, including a description of the manner in which
the geographical distribution of assistance is consistent with the geographical needs and
needs for various categories of housing assistance; and
(B) a description of the estimated housing needs for all Indian families in the jurisdiction.
(3) FINANCIAL RESOURCES- An operating budget for the recipient, in a form prescribed by the
Secretary, that includes-(A) an identification and a description of the financial resources reasonably available to the
recipient to carry out the purposes of this Act, including an explanation of the manner in
which amounts made available will leverage additional resources; and
(B) the uses to which such resources will be committed, including eligible and required
affordable housing activities under title II and administrative expenses.
(4) AFFORDABLE HOUSING RESOURCES- A statement of the affordable housing resources
currently available and to be made available during the period, including-(A) a description of the significant characteristics of the housing market in the jurisdiction,
including the availability of housing from other public sources, private market housing,
and the manner in which such characteristics influence the decision of the recipient to use

9

grant amounts to be provided under this Act for rental assistance, production of new units,
acquisition of existing units, or rehabilitation of units;
(B) a description of the structure, coordination, and means of cooperation between the
recipient and any other governmental entities in the development, submission, or
implementation of housing plans, including a description of the involvement of private,
public, and nonprofit organizations and institutions, and the use of loan guarantees under
section 184 of the Housing and Community Development Act of 1992, and other housing
assistance provided by the Federal Government for Indian tribes, including loans, grants,
and mortgage insurance;
(C) a description of the manner in which the plan will address the needs identified pursuant
to paragraph (2);
(D) a description of the manner in which the recipient will protect and maintain the
viability of housing owned and operated by the recipient that was developed under a
contract between the Secretary and an Indian housing authority pursuant to the United
States Housing Act of 1937;
(E) a description of any existing and anticipated homeownership programs and rental
programs to be carried out during the period, and the requirements and assistance available
under such programs;
(F) a description of any existing and anticipated housing rehabilitation programs necessary
to ensure the long-term viability of the housing to be carried out during the period, and the
requirements and assistance available under such programs;
(G) a description of all other existing or anticipated housing assistance provided by the
recipient during the period, including transitional housing, homeless housing, college
housing, supportive services housing, and the requirements and assistance available under
such programs;
(H) a description of any housing to be demolished or disposed of, a timetable for such
demolition or disposition, and any other information required by the Secretary with respect
to such demolition or disposition;
(I) a description of the manner in which the recipient will coordinate with tribal and State
welfare agencies to ensure that residents of such housing will be provided with access to
resources to assist in obtaining employment and achieving self-sufficiency;
(J) a description of the requirements established by the recipient to promote the safety of
residents of such housing, facilitate the undertaking of crime prevention measures, allow
resident input and involvement, including the establishment of resident organizations, and
allow for the coordination of crime prevention activities between the recipient and tribal
and local law enforcement officials; and
(K) a description of the entity that will carry out the activities under the plan, including the
organizational capacity and key personnel of the entity.
(5) CERTIFICATION OF COMPLIANCE- Evidence of compliance which shall include, as
appropriate-(A) a certification that the recipient will comply with title II of the Civil Rights Act of 1968
in carrying out this Act, to the extent that such title is applicable, and other applicable
Federal statutes;
(B) a certification that the recipient will maintain adequate insurance coverage for housing
units that are owned and operated or assisted with grant amounts provided under this Act,
in compliance with such requirements as may be established by the Secretary;
(C) a certification that policies are in effect and are available for review by the Secretary
and the public governing the eligibility, admission, and occupancy of families for housing
assisted with grant amounts provided under this Act;
(D) a certification that policies are in effect and are available for review by the Secretary
and the public governing rents charged, including the methods by which such rents or
homebuyer payments are determined, for housing assisted with grant amounts provided
under this Act; and

10

(E) a certification that policies are in effect and are available for review by the Secretary
and the public governing the management and maintenance of housing assisted with grant
amounts provided under this Act.
(6) CERTAIN FAMILIES- With respect to assistance provided under section 201(b)(2) by a
recipient to Indian families that are not low-income families, evidence that there is a need for
housing for each such family during that period that cannot reasonably be met without such
assistance.
(b) 1-YEAR PLAN REQUIREMENT(1) IN GENERAL- A housing plan of an Indian tribe under this section shall-(A) be in such form as the Secretary may prescribe; and
(B) contain the information described in paragraph (2).
(2) REQUIRED INFORMATION- A housing plan shall include the following information with
respect to the tribal program year for which assistance under this Act is made available:
(A) DESCRIPTION OF PLANNED ACTIVITIES- A statement of planned activities,
including-(i) the types of household to receive assistance;
(ii) the types and levels of assistance to be provided;
(iii) the number of units planned to be produced;
(iv)
(I) a description of any housing to be demolished or disposed of;
(II) a timetable for the demolition or disposition; and
(III) any other information required by the Secretary with respect to the
demolition or disposition;
(v) a description of the manner in which the recipient will protect and maintain the
viability of housing owned and operated by the recipient that was developed under
a contract between the Secretary and an Indian housing authority pursuant to the
United States Housing Act of 1937 (42 U.S.C. 1437 et seq.); and
(vi) outcomes anticipated to be achieved by the recipient.
(B) STATEMENT OF NEEDS- A statement of the housing needs of the low-income
Indian families residing in the jurisdiction of the Indian tribe, and the means by which
those needs will be addressed during the applicable period, including-(i) a description of the estimated housing needs and the need for assistance for the
low-income Indian families in the jurisdiction, including a description of the
manner in which the geographical distribution of assistance is consistent with the
geographical needs and needs for various categories of housing assistance; and
(ii) a description of the estimated housing needs for all Indian families in the
jurisdiction.
(C) FINANCIAL RESOURCES- An operating budget for the recipient, in such form as the
Secretary may prescribe, that includes-(i) an identification and description of the financial resources reasonably available
to the recipient to carry out the purposes of this Act, including an explanation of
the manner in which amounts made available will leverage additional resources;
and
(ii) the uses to which those resources will be committed, including eligible and
required affordable housing activities under title II and administrative expenses.
(D) CERTIFICATION OF COMPLIANCE- Evidence of compliance with the
requirements of this Act, including, as appropriate-(i) a certification that, in carrying out this Act, the recipient will comply with the
applicable provisions of title II of the Civil Rights Act of 1968 (25 U.S.C. 1301 et
seq.) and other applicable Federal laws and regulations;
(ii) a certification that the recipient will maintain adequate insurance coverage for
housing units that are owned and operated or assisted with grant amounts provided
under this Act, in compliance with such requirements as the Secretary may
establish;

11

(iii) a certification that policies are in effect and are available for review by the
Secretary and the public governing the eligibility, admission, and occupancy of
families for housing assisted with grant amounts provided under this Act;
(iv) a certification that policies are in effect and are available for review by the
Secretary and the public governing rents and homebuyer payments charged,
including the methods by which the rents or homebuyer payments are determined,
for housing assisted with grant amounts provided under this Act;
(v) a certification that policies are in effect and are available for review by the
Secretary and the public governing the management and maintenance of housing
assisted with grant amounts provided under this Act; and
(vi) a certification that the recipient will comply with section 104(b).
(dc) PARTICIPATION OF TRIBALLY DESIGNATED HOUSING ENTITY- A plan under this section
for an Indian tribe may be prepared and submitted on behalf of the tribe by the tribally designated housing
entity for the tribe, but only if such plan contains a certification by the recognized tribal government of the
grant beneficiary that such tribe-(1) has had an opportunity to review the plan and has authorized the submission of the plan by the
housing entity; or
(2) has delegated to such tribally designated housing entity the authority to submit a plan on behalf
of the tribe without prior review by the tribe.
(ed) COORDINATION OF PLANS- A plan under this section may cover more than 1 Indian tribe, but
only if the certification requirements under subsection (d)(c) are complied with by each such grant
beneficiary covered.
(f) PLANS FOR SMALL TRIBES(1) SEPARATE REQUIREMENTS- The Secretary may-(A) establish requirements for submission of plans under this section and the information
to be included in such plans applicable to small Indian tribes and small tribally designated
housing entities; and
(B) waive any requirements under this section that the Secretary determines are
burdensome or unnecessary for such tribes and housing entities.
(2) SMALL TRIBES- The Secretary may define small Indian tribes and small tribally designated
housing entities based on the number of dwelling units assisted under this title by the tribe or
housing entity or owned or operated pursuant to a contract under the United States Housing Act of
1937 between the Secretary and the Indian housing authority for the tribe.
(fe) REGULATIONS- The requirements relating to the contents of plans under this section shall be
established by regulation, pursuant to section 106.
SEC. 103. REVIEW OF PLANS.

[25 USC 4113]

(a) REVIEW AND NOTICE(1) REVIEW- The Secretary shall conduct a limited review of each Indian housing plan submitted
to the Secretary to ensure that the plan complies with the requirements of section 102. The
Secretary shall have the discretion to review a plan only to the extent that the Secretary considers
review is necessary.
(2) NOTICE- The Secretary shall notify each Indian tribe for which a plan is submitted and any
tribally designated housing entity for the tribe whether the plan complies with such requirements
not later than 60 days after receiving the plan. If the Secretary does not notify the Indian tribe, as
required under this subsection and subsection (b), the plan shall be considered, for purposes of this
Act, to have been determined to comply with the requirements under section 102 and the tribe shall
be considered to have been notified of compliance upon the expiration of such 60-day period.
(b) NOTICE OF REASONS FOR DETERMINATION OF NONCOMPLIANCE- If the Secretary
determines that a plan, as submitted, does not comply with the requirements under section 102, the
Secretary shall specify in the notice under subsection (a) the reasons for the noncompliance and any
modifications necessary for the plan to meet the requirements under section 102.
(c) REVIEW- After submission of the Indian housing plan or any amendment or modification to the plan to
the Secretary, to the extent that the Secretary considers such action to be necessary to make determinations

12

under this subsection, the Secretary shall review the plan (including any amendments or modifications
thereto) to determine whether the contents of the plan-(1) set forth the information required by section 102 to be contained in an Indian housing plan;
(2) are consistent with information and data available to the Secretary; and
(3) are not prohibited by or inconsistent with any provision of this Act or other applicable law.
If the Secretary determines that any of the appropriate certifications required under section 102(c)(5) are
not included in the plan, the plan shall be deemed to be incomplete.
(d) UPDATES TO PLAN- After a plan under section 102 has been submitted for an Indian tribe for any
fiscal tribal program year, the tribe may comply with the provisions of such section for any succeeding
fiscal tribal program year (with respect to information included for the 5-year period under section 102(b)
or the 1-year period under section 102(c)) by submitting only such information regarding such changes as
may be necessary to update the plan previously submitted. Not less than once every 5 years, the tribe shall
submit a complete plan.
(e) EFFECTIVE DATE- This section and section 102 shall take effect on the date provided by the
Secretary pursuant to section 106(a) to provide for timely submission and review of Indian housing plans as
necessary for the provision of assistance under this Act in fiscal year 1998.
(e) SELF-DETERMINED ACTIVITIES PROGRAM- Notwithstanding any other provision of this section,
the Secretary-(1) shall review the information included in an Indian housing plan pursuant to subsections (b)(4)
and (c)(7) only to determine whether the information is included for purposes of compliance with
the requirement under section 232(b)(2); and
(2) may not approve or disapprove an Indian housing plan based on the content of the particular
benefits, activities, or results included pursuant to subsections (b)(4) and (c)(7).
SEC. 104. TREATMENT OF PROGRAM INCOME AND LABOR STANDARDS.

[25 USC 4114]

(a) PROGRAM INCOME(1) AUTHORITY TO RETAIN- A recipient Notwithstanding any other provision of this Act, a
recipient may retain any program income that is realized from any grant amounts under this Act if-(A) such income was realized after the initial disbursement of the grant amounts received
by the recipient; and
(B) the recipient has agreed that it will utilize the program income for affordable housing
activities in accordance with the provisions of this Act.
(B) the recipient has agreed that it will utilize such income for housing related activities in
accordance with this Act.
(2) PROHIBITION OF RESTRICTED ACCESS OR REDUCTION OF GRANT- The Secretary
may not restrict access to or reduce the grant amount for any Indian tribe based solely on-(A) whether the recipient for the tribe retains program income under paragraph (1);
(B) the amount of any such program income retained; or
(C) whether the recipient retains reserve amounts described in section 210, or
(D) whether the recipient has expended retained program income for housing-related
activities.
(3) EXCLUSION OF AMOUNTS- The Secretary may, by regulation, exclude from consideration
as program income any amounts determined to be so small that compliance with the requirements
of this subsection would create an unreasonable administrative burden on the recipient.
(4) EXCLUSION FROM PROGRAM INCOME OF REGULAR DEVELOPER'S FEES FOR
LOW-INCOME HOUSING TAX CREDIT PROJECTS- Notwithstanding any other provision of
this Act, any income derived from a regular and customary developer's fee for any project that
receives a low-income housing tax credit under section 42 of the Internal Revenue Code of 1986,
and that is initially funded using a grant provided under this Act, shall not be considered to be
program income if the developer's fee is approved by the State housing credit agency.
(b) LABOR STANDARDS(1) IN GENERAL- Any contract or agreement for assistance, sale, or lease pursuant to this Act
shall contain a provision requiring that not less than the wages prevailing in the locality, as
determined or adopted (subsequent to a determination under applicable State, tribal, or local law)

13

by the Secretary, shall be paid to all architects, technical engineers, draftsmen, and technicians
employed in the development, and all maintenance laborers and mechanics employed in the
operation, of the affordable housing project involved; and shall also contain a provision 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) Act of March 3, 1931 (commonly known as the
Davis-Bacon Act; chapter 411; 46 Stat. 1494; 40 U.S.C. 276a et seq.), shall be paid to all laborers
and mechanics employed in the development of the affordable housing involved, and the Secretary
shall require certification as to compliance with the provisions of this paragraph before making any
payment under such contract or agreement.
(2) EXCEPTIONS- Paragraph (1) and the provisions relating to wages (pursuant to paragraph (1))
in any contract or agreement for assistance, sale, or lease pursuant to this Act, shall not apply to
any individual who receives no compensation or is paid expenses, reasonable benefits, or a nominal
fee to perform the services for which the individual volunteered and who is not otherwise
employed at any time in the construction work.
(3) APPLICATION OF TRIBAL LAWS- Paragraph (1) shall not apply to any contract or
agreement for assistance, sale, or lease pursuant to this Act, if such contract or agreement is
otherwise covered by one or more laws or regulations adopted by an Indian tribe that requires the
payment of not less than prevailing wages, as determined by the Indian tribe.
SEC. 105. ENVIRONMENTAL REVIEW.

[25 USC 4115]

(a) IN GENERAL(1) RELEASE OF FUNDS- In order to ensure that the policies of the National Environmental
Policy Act of 1969 and other provisions of law that further the purposes of such Act (as specified
in regulations issued by the Secretary) are most effectively implemented in connection with the
expenditure of grant amounts provided under this Act, and to ensure to the public undiminished
protection of the environment, the Secretary, in lieu of the environmental protection procedures
otherwise applicable, may by regulation provide for the release of amounts for particular projects to
tribes which assume all of the responsibilities for environmental review, decisionmaking, and
action pursuant to such Act, and such other provisions of law as the regulations of the Secretary
specify, that would apply to the Secretary were the Secretary to undertake such projects as Federal
projects.
(2) REGULATIONS(A) IN GENERAL- The Secretary shall issue regulations to carry out this section only after
consultation with the Council on Environmental Quality.
(B) CONTENTS- The regulations issued under this paragraph shall-(i) provide for the monitoring of the environmental reviews performed under this
section;
(ii) in the discretion of the Secretary, facilitate training for the performance of such
reviews; and
(iii) provide for the suspension or termination of the assumption of responsibilities
under this section.
(3) EFFECT ON ASSUMED RESPONSIBILITY- The duty of the Secretary under paragraph
(2)(B) shall not be construed to limit or reduce any responsibility assumed by a recipient of grant
amounts with respect to any particular release of funds.
(b) PROCEDURE- The Secretary shall approve the release of funds subject to the procedures authorized by
this section only if, not less than 15 days prior to such approval and prior to any commitment of funds to
such projects, the tribe has submitted to the Secretary a request for such release accompanied by a
certification that meets the requirements of subsection (c). The approval of the Secretary of any such
certification shall be deemed to satisfy the responsibilities of the Secretary under the National
Environmental Policy Act of 1969 and such other provisions of law as the regulations of the Secretary
specify insofar as those responsibilities relate to the releases of funds for projects to be carried out pursuant
thereto that are covered by such certification.
(c) CERTIFICATION- A certification under the procedures authorized by this section shall-(1) be in a form acceptable to the Secretary;

14

(2) be executed by the chief executive officer or other officer of the tribe under this Act qualified
under regulations of the Secretary;
(3) specify that the tribe has fully carried out its responsibilities as described under subsection (a);
and
(4) specify that the certifying officer-(A) consents to assume the status of a responsible Federal official under the National
Environmental Policy Act of 1969 and each provision of law specified in regulations
issued by the Secretary insofar as the provisions of such Act or such other provisions of
law apply pursuant to subsection (a); and
(B) is authorized and consents on behalf of the tribe and such officer to accept the
jurisdiction of the Federal courts for the purpose of enforcement of the responsibilities of
the certifying officer as such an official.
(d) ENVIRONMENTAL COMPLIANCE- The Secretary may waive the requirements under this section if
the Secretary determines that a failure on the part of a recipient to comply with provisions of this section—
(1) will not frustrate the goals of the National Environmental Policy Act of 1969 (42 U.S.C. 4331
et seq.) or any other provision of law that furthers the goals of that Act;
(2) does not threaten the health or safety of the community involved by posing an immediate or
long-term hazard to residents of that community;
(3) is a result of inadvertent error, including an incorrect or incomplete certification provided under
subsection (c)(1); and
(4) may be corrected through the sole action of the recipient.
SEC. 106. REGULATIONS.

[25 USC 4116]

(a) TRANSITION REQUIREMENTS(1) IN GENERAL- Not later than 90 days after the date of the enactment of this Act, the Secretary
shall, by notice issued in the Federal Register, establish any requirements necessary to provide for
the transition (upon the effectiveness of this Act and the amendments made by this Act) from the
provision of assistance for Indian tribes and Indian housing authorities under the United States
Housing Act of 1937 and other related provisions of law to the provision of assistance in
accordance with this Act and the amendments made by this Act.
(2) PUBLIC COMMENTS; GENERAL NOTICE OF PROPOSED RULEMAKING- The notice
issued under paragraph (1) shall-(A) invite public comments regarding such transition requirements and final regulations to
carry out this Act; and
(B) include a general notice of proposed rulemaking (for purposes of section 564(a) of title
5, United States Code) of the final regulations under subsection (b).
(b) FINAL REGULATIONS(1) TIMING- The Secretary shall issue final regulations necessary to carry out this Act not later
than September 1, 1997, and such regulations shall take effect not later than the effective date of
this Act.
(2) NEGOTIATED RULEMAKING PROCEDURE(A) IN GENERAL- Notwithstanding sections 563(a) and 565(a) of title 5, United States
Code, all regulations required under this Act, including any regulations that may be
required pursuant to amendments made to this Act after the date of enactment of this Act,
shall be issued according to a negotiated rulemaking procedure under subchapter III of
chapter 5 of title 5, United States Code.
(B) COMMITTEE(i) IN GENERAL- The Secretary Not later than 180 days after the date of
enactment of the Native American Housing Assistance and Self-Determination
Reauthorization Act of 2008 and any other Act to reauthorize this Act, the
Secretary shall establish a negotiated rulemaking committee, in accordance with
the procedures under that subchapter, for the development of proposed regulations
under subparagraph (A).

15

(ii) ADAPTATION- In establishing the negotiated rulemaking committee, the
Secretary shall-(I) adapt the procedures under the subchapter described in clause (i) to the
unique government-to-government relationship between the Indian tribes
and the United States, and shall ensure that the membership of the
committee include only representatives of the Federal Government and of
geographically diverse small, medium, and large Indian tribes; and
(II) shall not preclude the participation of tribally designated housing
entities should tribes elect to be represented by such entities.
(C) SUBSEQUENT NEGOTIATED RULEMAKING- The Secretary shall-(i) initiate a negotiated rulemaking in accordance with this section by not later than
90 days after the date of enactment of the Native American Housing Assistance
and Self-Determination Reauthorization Act of 2008 and any other Act to
reauthorize this Act; and
(ii) promulgate regulations pursuant to this section by not later than 2 years after
the date of enactment of the Native American Housing Assistance and SelfDetermination Reauthorization Act of 2008 and any other Act to reauthorize this
Act.
(D) REVIEW- Not less frequently than once every 7 years, the Secretary, in consultation
with Indian tribes, shall review the regulations promulgated pursuant to this section in
effect on the date on which the review is conducted.
(c) EFFECTIVE DATE- This section shall take effect on the date of the enactment of this Act.
SEC. 107. EFFECTIVE DATE.

[25 USC 4101 note]

Except as otherwise expressly provided in this Act, this Act and the amendments made by this Act shall
take effect on October 1, 1997.
SEC. 108. AUTHORIZATION OF APPROPRIATIONS.

[25 USC 4117]

There are authorized to be appropriated for grants under this title such sums as may be necessary for each
of fiscal years 1998, 1999, 2000, and 2001 1998 through 2007 2009 through 2013. This section shall take
effect on the date of the enactment of this Act.
TITLE II--AFFORDABLE HOUSING ACTIVITIES
Subtitle A--General Block Grant Program
SEC. 201. NATIONAL OBJECTIVES AND ELIGIBLE FAMILIES.

[25 USC 4131]

(a) PRIMARY OBJECTIVE- The national objectives of this Act are-(1) to assist and promote affordable housing activities to develop, maintain, and operate affordable
housing in safe and healthy environments on Indian reservations and in other Indian areas for
occupancy by low-income Indian families;
(2) to ensure better access to private mortgage markets for Indian tribes and their members and to
promote self-sufficiency of Indian tribes and their members;
(3) to coordinate activities to provide housing for Indian tribes and their members with Federal,
State, and local activities to further economic and community development for Indian tribes and
their members;
(4) to plan for and integrate infrastructure resources for Indian tribes with housing development for
tribes; and
(5) to promote the development of private capital markets in Indian country and to allow such
markets to operate and grow, thereby benefiting Indian communities.

16

(b) ELIGIBLE FAMILIES(1) IN GENERAL- Except as provided under paragraph (2) paragraphs (2) and (4), and except with
respect to loan guarantees under the demonstration program under title VI, assistance under eligible
housing activities under this Act shall be limited to low-income Indian families on Indian
reservations and other Indian areas.
(2) EXCEPTION TO LOW-INCOME REQUIREMENT- A recipient may provide assistance for
homeownership activities under section 202(2), model activities under section 202(6), or loan
guarantee activities under title VI to Indian families who are not low-income families, to the extent
that the Secretary approves the activities pursuant to such section or title because there is a need for
housing for such families that cannot reasonably be met without such assistance.
(A) EXCEPTION TO REQUIREMENT- Notwithstanding paragraph (1), a recipient may
provide housing or housing assistance through affordable housing activities for which a
grant is provided under this Act to any family that is not a low-income family, to the extent
that the Secretary approves the activities due to a need for housing for those families that
cannot reasonably be met without that assistance. The Secretary
(B) LIMITS- The Secretary shall establish limits on the amount of assistance that may be
provided under this Act for activities for families who are not low-income families.
(3) NON-INDIAN ESSENTIAL FAMILIES- Notwithstanding paragraph (1), a recipient may
provide housing or housing assistance provided through affordable housing activities assisted with
grant amounts under this Act for a non-Indian family on an Indian reservation or other Indian area
if the recipient determines that the presence of the family on the Indian reservation or other Indian
area is essential to the well-being of Indian families and the need for housing for the family cannot
reasonably be met without such assistance.
(4) LAW ENFORCEMENT OFFICERS- A recipient may provide housing or housing assistance
provided through affordable housing activities assisted with grant amounts under this Act for a law
enforcement officer on an Indian reservation or other Indian area, if-(A) the officer—
(i) is employed on a full-time basis by the Federal Government or a State, county,
or other unit of local government, or lawfully recognized tribal government; and
(ii) in implementing such full-time employment, is sworn to uphold, and make
arrests for, violations of Federal, State, county, or tribal law; and
(B) the recipient determines that the presence of the law enforcement officer on the Indian
reservation or other Indian area may deter crime.
(5) PREFERENCE FOR TRIBAL MEMBERS AND OTHER INDIAN FAMILIES- The Indian
housing plan for an Indian tribe may require preference, for housing or housing assistance provided
through affordable housing activities assisted with grant amounts provided under this Act on behalf
of such tribe, to be given (to the extent practicable) to Indian families who are members of such
tribe, or to other Indian families. In any case in which the applicable Indian housing plan for an
Indian tribe provides for preference under this paragraph, the recipient for the tribe shall ensure that
housing activities that are assisted with grant amounts under this Act for such tribe are subject to
such preference.
(6) EXEMPTION- Title VI of the Civil Rights Act of 1964 and title VIII of the Civil Rights Act of
1968 shall not apply to actions by Indian tribes federally recognized tribes and the tribally
designated housing entities of those tribes under this subsection under this Act.
SEC. 202. ELIGIBLE AFFORDABLE HOUSING ACTIVITIES.

[25 USC 4132]

Affordable housing activities under this title are activities, in accordance with the requirements of this title,
to develop or to support to develop, operate, maintain, or support affordable housing for rental or
homeownership, or to provide housing services with respect to affordable housing, through the following
activities:
(1) INDIAN HOUSING ASSISTANCE- The provision of modernization or operating assistance
for housing previously developed or operated pursuant to a contract between the Secretary and an
Indian housing authority.

17

(2) DEVELOPMENT- The acquisition, new construction, reconstruction, or moderate or
substantial rehabilitation of affordable housing, which may include real property acquisition, site
improvement, development of utilities development and rehabilitation of utilities, necessary
infrastructure, and utility services, conversion, demolition, financing, administration and planning,
improvement to achieve greater energy efficiency, mold remediation, and other related activities.
(3) HOUSING SERVICES- The provision of housing-related services for affordable housing, such
as housing counseling in connection with rental or homeownership assistance, establishment and
support of resident organizations and resident management corporations, energy auditing, activities
related to the provision of self-sufficiency and other services, and other services related to assisting
owners, tenants, contractors, and other entities, participating or seeking to participate in other
housing activities assisted pursuant to this section.
(4) HOUSING MANAGEMENT SERVICES- The provision of management services for
affordable housing, including preparation of work specifications, loan processing, inspections,
tenant selection, management of tenant-based rental assistance, the costs of operation and
maintenance of units developed with funds provided under this Act, and management of affordable
housing projects.
(5) CRIME PREVENTION AND SAFETY ACTIVITIES- The provision of safety, security, and
law enforcement measures and activities appropriate to protect residents of affordable housing
from crime.
(6) MODEL ACTIVITIES- Housing activities under model programs that are designed to carry out
the purposes of this Act and are specifically approved by the Secretary as appropriate for such
purpose.
(7) COMMUNITY DEVELOPMENT DEMONSTRATION PROJECT.—
(A) IN GENERAL.—Consistent with principles of Indian self-determination and the
findings of this Act, the Secretary shall conduct and submit to Congress a study of the
feasibility of establishing a demonstration project in which Indian tribes, tribal
organizations, or tribal consortia are authorized to expend amounts received pursuant to the
Native American Housing Assistance and Self-Determination Reauthorization Act of 2002
in order to design, implement, and operate community development demonstration
projects.
(B) STUDY.—Not later than 1 year after the date of enactment of the Native American
Housing Assistance and Self-Determination Reauthorization Act of 2002, the Secretary
shall submit the study conducted under subparagraph (A) to the Committee on Banking,
Housing, and Urban Affairs and the Committee on Indian Affairs of the Senate, and the
Committee on Financial Services and the Committee on Resources of the House of
Representatives.
(8) SELF-DETERMINATION ACT DEMONSTRATION PROJECT.—
(A) IN GENERAL.—Consistent with the provisions of the Indian Self-Determination and
Education Assistance Act (25 U.S.C. 450 et seq.), the Secretary shall conduct and submit
to Congress a study of the feasibility of establishing a demonstration project in which
Indian tribes and tribal organizations are authorized to receive assistance in a manner that
maximizes tribal authority and decision-making in the design and implementation of
Federal housing and related activity funding.
(B) STUDY.—Not later than 1 year after the date of enactment of the Native American
Housing Assistance and Self-Determination Reauthorization Act of 2002, the Secretary
shall submit the study conducted under subparagraph (A) to the Committee on Banking,
Housing, and Urban Affairs and the Committee on Indian Affairs of the Senate, and the
Committee on Financial Services and the Committee on Resources of the House of
Representatives.
(9) RESERVE ACCOUNTS(A) IN GENERAL- Subject to subparagraph (B), the deposit of amounts, including grant
amounts under section 101, in a reserve account established for an Indian tribe only for the
purpose of accumulating amounts for administration and planning relating to affordable
housing activities under this section, in accordance with the Indian housing plan of the
Indian tribe.

18

(B) MAXIMUM AMOUNT- A reserve account established under subparagraph (A) shall
consist of not more than an amount equal to 1/4 of the 5-year average of the annual amount
used by a recipient for administration and planning under paragraph (2).
SEC. 203. PROGRAM REQUIREMENTS.

[25 USC 4133]

(a) RENTS(1) ESTABLISHMENT- Subject to paragraph (2), each recipient shall develop written policies
governing rents and homebuyer payments charged for dwelling units assisted under this Act,
including the methods by which such rents and homebuyer payments are determined.
(2) MAXIMUM RENT- In the case of any low-income family residing in a dwelling unit assisted
with grant amounts under this Act, the monthly rent or homebuyer payment (as
applicable) for such dwelling unit may not exceed 30 percent of the monthly adjusted income of
such family.
(b) MAINTENANCE AND EFFICIENT OPERATION- Each recipient who owns or operates (or is
responsible for funding any entity that owns or operates) housing developed or operated pursuant to a
contract between the Secretary and an Indian housing authority pursuant to the United States Housing Act
of 1937 shall, using amounts of any grants received under this Act, reserve and use for operating assistance
under section 202(1) such amounts as may be necessary to provide for the continued maintenance and
efficient operation of such housing. This subsection may not be construed to prevent any recipient (or entity
funded by a recipient) from demolishing or disposing of Indian housing referred to in this subsection,
pursuant to regulations established by the Secretary.
(c) INSURANCE COVERAGE- Each recipient shall maintain adequate insurance coverage for housing
units that are owned or operated or assisted with grant amounts provided under this Act.
(d) ELIGIBILITY FOR ADMISSION- Each recipient shall develop written policies governing the
eligibility, admission, and occupancy of families for housing assisted with grant amounts provided under
this Act.
(e) MANAGEMENT AND MAINTENANCE- Each recipient shall develop policies governing the
management and maintenance of housing assisted with grant amounts under this Act.
(f) USE OF GRANT AMOUNTS OVER EXTENDED PERIODS(1) IN GENERAL- To the extent that the Indian housing plan for an Indian tribe provides for the
use of amounts of a grant under section 101 for a period of more than 1 fiscal year, or for
affordable housing activities for which the amounts will be committed for use or expended during a
subsequent fiscal year, the Secretary shall not require those amounts to be used or committed for
use at any time earlier than otherwise provided for in the Indian housing plan.
(2) CARRYOVER- Any amount of a grant provided to an Indian tribe under section 101 for a
fiscal year that is not used by the Indian tribe during that fiscal year may be used by the Indian tribe
during any subsequent fiscal year.
(g) DE MINIMIS EXEMPTION FOR PROCUREMENT OF GOODS AND SERVICES- Notwithstanding
any other provision of law, a recipient shall not be required to act in accordance with any otherwise
applicable competitive procurement rule or procedure with respect to the procurement, using a grant
provided under this Act, of goods and services the value of which is less than $5,000.
SEC. 204. TYPES OF INVESTMENTS.

[25 USC 4134]

(a) IN GENERAL- Subject to section 203 and the Indian housing plan for an Indian tribe, the recipient for
that tribe shall have-(1) the discretion to use grant amounts for affordable housing activities through equity investments,
interest-bearing loans or advances, noninterest-bearing loans or advances, interest subsidies,
leveraging of private investments, or any other form of assistance that the Secretary has determined
to be consistent with the purposes of this Act; and
(2) the right to establish the terms of assistance.
(b) INVESTMENTS- A recipient may invest grant amounts for the purposes of carrying out affordable
housing activities in investment securities and other obligations as approved by the Secretary.

19

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

[25 USC 4135]

(a) IN GENERAL- Housing shall qualify as affordable housing for purposes of this Act only if-(1) each dwelling unit in the housing-(A) in the case of rental housing, is made available for occupancy only by a family that is a
low-income family at the time of their initial occupancy of such unit; and
(B) in the case of housing for homeownership, is made available for purchase only by a
family that is a low-income family at the time of purchase; and
(B) in the case of a contract to purchase existing housing, is made available for purchase
only by a family that is a low-income family at the time of purchase;
(C) in the case of a lease-purchase agreement for existing housing or for housing to be
constructed, is made available for lease-purchase only by a family that is a low-income
family at the time the agreement is entered into; and
(D) in the case of a contract to purchase housing to be constructed, is made available for
purchase only by a family that is a low-income family at the time the contract is entered
into; and
(2) except for housing assisted under section 202 of the United States Housing Act of 1937 (as in
effect before the date of the effectiveness of this Act), each dwelling unit in the housing will
remain affordable, according to binding commitments satisfactory to the Secretary, for the
remaining useful life of the property (as determined by the Secretary) without regard to the term of
the mortgage or to transfer of ownership, or for such other period that the Secretary determines is
the longest feasible period of time consistent with sound economics and the purposes of this Act,
except upon a foreclosure by a lender (or upon other transfer in lieu of foreclosure) if such action-(A) recognizes any contractual or legal rights of public agencies, nonprofit sponsors, or
others to take actions that would avoid termination of low-income affordability in the case
of foreclosure or transfer in lieu of foreclosure; and
(B) is not for the purpose of avoiding low-income affordability restrictions, as determined
by the Secretary.
(b) EXCEPTION- Notwithstanding subsection (a), housing assisted pursuant to section 201(b)(2) shall be
considered affordable housing for purposes of this Act.
(c) APPLICABILITY- The provisions of paragraph (2) of subsection (a) regarding binding commitments
for the remaining useful life of property shall not apply to a family or household member who subsequently
takes ownership of a homeownership unit.
SEC. 206. CERTIFICATION OF COMPLIANCE WITH SUBSIDY LAYERING REQUIREMENTS.
With respect to housing assisted with grant amounts provided under this Act, the requirements of section
102(d) of the Department of Housing and Urban Development Reform Act of 1989 shall be considered to
be satisfied upon certification by the Secretary certification by a recipient to the Secretary that the
combination of Federal assistance provided to any housing project the housing project involved is not any
more than is necessary to provide affordable housing.
SEC. 207. LEASE REQUIREMENTS AND TENANT SELECTION.

[25 USC 4137]

(a) LEASES- Except to the extent otherwise provided by or inconsistent with tribal law, in renting dwelling
units in affordable housing assisted with grant amounts provided under this Act, the owner or manager of
the housing shall utilize leases that-(1) do not contain unreasonable terms and conditions;
(2) require the owner or manager to maintain the housing in compliance with applicable housing
codes and quality standards;
(3) require the owner or manager to give adequate written notice of termination of the lease, which
shall be the period of time required under State, tribal, or local law;
(4) specify that, with respect to any notice of eviction or termination, notwithstanding any State,
tribal, or local law, a resident shall be informed of the opportunity, prior to any hearing or trial, to

20

examine any relevant documents, records, or regulations directly related to the eviction or
termination;
(5) require that the owner or manager may not terminate the tenancy, during the term of the lease,
except for serious or repeated violation of the terms or conditions of the lease, violation of
applicable Federal, State, tribal, or local law, or for other good cause; and
(6) provide that the owner or manager may terminate the tenancy of a resident for any activity,
engaged in by the resident, any member of the household of the resident, or any guest or other
person under the control of the resident, that-(A) threatens the health or safety of, or right to peaceful enjoyment of the premises by,
other residents or employees of the owner or manager of the housing;
(B) threatens the health or safety of, or right to peaceful enjoyment of their premises by,
persons residing in the immediate vicinity of the premises; or
(C) is criminal activity (including drug-related criminal activity) on or off the premises.
(b) TENANT SELECTION TENANT AND HOMEBUYER SELECTION- The owner or manager of
affordable rental housing assisted with grant amounts provided under this Act shall adopt and utilize
written tenant and homebuyer selection policies and criteria that-(1) are consistent with the purpose of providing housing for low-income families;
(2) are reasonably related to program eligibility and the ability of the applicant to perform the
obligations of the lease; and
(3) provide for—
(A) the selection of tenants and homebuyers from a written waiting list in accordance with
the policies and goals set forth in the Indian housing plan for the tribe that is the grant
beneficiary of such grant amounts; and
(B) the prompt notification in writing of any rejected applicant of the grounds for any
rejection to any rejected applicant of that rejection and the grounds for that rejection.
SEC. 208. AVAILABILITY OF RECORDS.

[25 USC 4138]

(a) PROVISION OF INFORMATION- Notwithstanding any other provision of law, except as provided in
paragraph (2) subsection (b), the National Crime Information Center, police departments, and other law
enforcement agencies shall, upon request, provide information to Indian tribes or tribally designated
housing entities regarding the criminal conviction records of applicants for employment, and of adult
applicants for, or tenants of, housing assisted with grant amounts provided to such tribe or entity under this
Act for purposes of applicant screening, lease enforcement, and eviction.
(b) EXCEPTION- A law enforcement agency described in paragraph (1) subsection (a) shall provide
information under this paragraph relating to any criminal conviction of a juvenile only
to the extent that the release of such information is authorized under the law of the applicable State,
tribe, or locality.
(c) CONFIDENTIALITY- An Indian tribe or tribally designated housing entity receiving information
under this section may use such information only for the purposes provided in this section and such
information may not be disclosed to any person who is not an officer, employee, or authorized
representative of the tribe or entity or the owner of housing assisted under this Act, and who has a jobrelated need to have access to the information for the purposes under this section. For judicial eviction
proceedings, disclosures may be made to the extent necessary. The Secretary shall, by regulation, establish
procedures necessary to ensure that information provided under this section to any tribe or entity is used,
and confidentiality is maintained, as required under this section.
SEC. 209. REPAYMENT. NONCOMPLIANCE WITH AFFORDABLE HOUSING REQUIREMENT [25 USC 4139]
If a recipient uses grant amounts to provide affordable housing under activities under this title, and at any
time during the useful life of the housing the housing the recipient does not comply with the requirement
under section 205(2) 205(a)(2), the Secretary shall reduce future grant payments on behalf of the grant
beneficiary by an amount equal to the grant amounts used for such housing (under the authority under
section 401(a)(2)) or require repayment to the Secretary of an amount equal to such grant amounts take
appropriate action under section 401(a).

21

SEC. 210. CONTINUED USE OF AMOUNTS FOR AFFORDABLE HOUSING.

[25 USC 4140]

Any funds for programs for low-income housing under the United States Housing Act of 1937 that, on the
date of the applicability of this Act to an Indian tribe, are owned by, or in the possession or under the
control of, the Indian housing authority for the tribe, including all reserves not otherwise obligated, shall be
considered assistance under this Act and subject to the provisions of this Act relating to use of such
assistance.
Subtitle B—Self Determined Housing Activities for Tribal Communities
SEC. 231. PURPOSE.
The purpose of this subtitle is to establish a program for self-determined housing activities for the tribal
communities to provide Indian tribes with the flexibility to use a portion of the grant amounts under section
101 for the Indian tribe in manners that are wholly self-determined by the Indian tribe for housing activities
involving construction, acquisition, rehabilitation, or infrastructure relating to housing activities or housing
that will benefit the community served by the Indian tribe.
SEC. 232. PROGRAM AUTHORITY.
(a) DEFINITION OF QUALIFYING INDIAN TRIBE- In this section, the term `qualifying Indian tribe'
means, with respect to a fiscal year, an Indian tribe or tribally designated housing entity-(1) to or on behalf of which a grant is made under section 101;
(2) that has complied with the requirements of section 102(b)(6); and
(3) that, during the preceding 3-fiscal-year period, has no unresolved significant and material audit
findings or exceptions, as demonstrated in-(A) the annual audits of that period completed under chapter 75 of title 31, United States
Code (commonly known as the ‘Single Audit Act’); or
(B) an independent financial audit prepared in accordance with generally accepted auditing
principles.
(b) AUTHORITY- Under the program under this subtitle, for each of fiscal years 2009 through 2013, the
recipient for each qualifying Indian tribe may use the amounts specified in subsection (c) in accordance
with this subtitle.
(c) AMOUNTS- With respect to a fiscal year and a recipient, the amounts referred to in subsection (b) are
amounts from any grant provided under section 101 to the recipient for the fiscal year, as determined by the
recipient, but in no case exceeding the lesser of-(1) an amount equal to 20 percent of the total grant amount for the recipient for that fiscal year; and
(2) $2,000,000.
SEC. 233. USE OF AMOUNTS FOR HOUSING ACTIVITIES.
(a) ELIGIBLE HOUSING ACTIVITIES.—Any amounts made available for use under this subtitle by a
recipient for an Indian tribe shall be used only for housing activities, as selected at the discretion of the
recipient and described in the Indian housing plan for the Indian tribe pursuant to section 102(b)(6), for the
construction, acquisition, or rehabilitation of housing or infrastructure in accordance with section 202 to
provide a benefit to families described in section 201(b)(1).
(b) PROHIBITION ON CERTAIN ACTIVITIES.—Amounts made available for use under this subtitle
may not be used for commercial or economic development.
SEC. 234. INAPPLICABILITY OF OTHER PROVISIONS.
(a) IN GENERAL.—Except as otherwise specifically provided in this Act, title I, subtitle A of title II, and
titles III through VIII shall not apply to—
(1) the program under this subtitle; or
(2) amounts made available in accordance with this subtitle.

22

(b) APPLICABLE PROVISIONS.—The following provisions of titles I through VIII shall apply to the
program under this subtitle and amounts made available in accordance with the subtitle:
(1) Section 101(c) (relating to local cooperation agreements).
(2) Subsections (d) and (e) of section 101 (relating to tax exemption).
(3) Section 101(j) (relating to Federal supply sources).
(4) Section 101(k) (relating to tribal preference in employment and contracting).
(5) Section 102(b)(4) (relating to certification of compliance).
(6) Section 104 (relating to treatment of program income and labor standards).
(7) Section 105 (relating to environmental review).
(8) Section 201(b) (relating to eligible families).
(9) Section 203(c) (relating to insurance coverage).
(10) Section 203(g) (relating to a de minimis exemption for procurement of goods and services).
(11) Section 206 (relating to treatment of funds).
(12) Section 209 (relating to noncompliance with affordable housing requirement).
(13) Section 401 (relating to remedies for noncompliance).
(14) Section 408 (relating to public availability of information).
(15) Section 702 (relating to 50-year leasehold interests in trust or restricted lands for housing
purposes).
SEC. 235. REVIEW AND REPORT
(a) REVIEW.—During calendar year 2011, the Secretary shall conduct a review of the results achieved by
the program under this subtitle to determine—
(1) the housing constructed, acquired or rehabilitated under the program;
(2) the effects of the housing described in paragraph (1) on costs to low-income families of
affordable housing;
(3) the effectiveness of each recipient in achieving the results intended to be achieved, as described
in the Indian housing plan for the Indian tribe; and
(4) the need for, and effectiveness of, extending the duration of the program and increasing the
amount of grants under section 101 that may be used under the program.
(b) REPORT.—Not later than December 31, 2011, the Secretary shall submit to Congress a report
describing the information obtained pursuant to the review under subsection (a) (including any conclusions
and recommendations of the Secretary with respect to the program under this subtitle), including—
(1) recommendations regarding extension of the program for subsequent fiscal years and increasing
the amounts under section 232(c) that may be used under the program; and
(2) recommendations for—
(A)
(i) specific Indian tribes or recipients that should be prohibited from participating
in the program for failure to achieve results; and
(ii) the period for which such a prohibition should remain in effect; or
(B) standards and procedures by which Indian tribes or recipients may be prohibited from
participating in the program for failure to achieve results.
(c) PROVISION OF INFORMATION TO SECRETARY.—Notwithstanding any other provision of this
Act, recipients participating in the program under this subtitle shall provide such information to the
Secretary as the Secretary may request, in sufficient detail and in a timely manner sufficient to ensure that
the reviewer and report required by this section is accomplished in a timely manner.

23

TITLE III--ALLOCATION OF GRANT AMOUNTS
SEC. 301. ANNUAL ALLOCATION.

[25 USC 4151]

For each fiscal year, the Secretary shall allocate any amounts made available for assistance under this Act
for the fiscal year, in accordance with the formula established pursuant to section 302, among Indian tribes
that comply with the requirements under this Act for a grant under this Act.
SEC. 302. ALLOCATION FORMULA.

[25 USC 4152]

(a) ESTABLISHMENT- The Secretary
(1) IN GENERAL.—The Secretary shall, by regulations issued not later than the expiration of the
12-month period beginning on the date of the enactment of this Act, in the manner provided under
section 106, establish a formula to provide for allocating amounts available for a fiscal year for
block grants under this Act among Indian tribes in accordance with the requirements of this
section.
(2) STUDY OF NEED DATA.—
(A) IN GENERAL.—The Secretary shall enter into a contract with an organization with
expertise in housing and other demographic data collection methodologies under which the
organization, in consultation with Indian tribes and Indian organizations, shall—
(i) assess existing data sources, including alternatives to the decennial census, for
use in evaluating the factors for determination of need described in subsection (b);
and
(ii) develop and recommend methodologies for collection data on any of those
factors, including formula area, in any case in which existing data is determined to
be insufficient or inadequate, or fails to satisfy the requirements of this Act.
(B) AUTHORIZATION OF APPROPRIATIONS.—There are authorized to be
appropriated such sums as are necessary to carry out this section, to remain available under
expended.
(b) FACTORS FOR DETERMINATION OF NEED- The formula shall be based on factors that reflect the
need of the Indian tribes and the Indian areas of the tribes for assistance for affordable housing activities,
including the following factors:
(1) The number of low-income housing dwelling units owned or operated at the time pursuant to a
contract between an Indian housing authority for the tribe and the Secretary.
(1)
(A) The number of low-income housing dwelling units developed under the United States
Housing Act of 1937 (42 U.S.C. 1437 et seq.), pursuant to a contract between an Indian
housing authority for the tribe and the Secretary, that are owned or operated by a recipient
on the October 1 of the calendar year immediately preceding the year for which funds are
provided, subject to the condition that such a unit shall not be considered to be a lowincome housing dwelling unit for purposes of this section if—
(i) the recipient ceases to possess the legal right to own, operate, or maintain the
unit; or
(ii) the unit is lost to the recipient by conveyance, demolition, or other means.
(B) If the unit is a homeownership unit not conveyed within 25 years from the date of full
availability, the recipient shall not be considered to have lost the legal right to own,
operate, or maintain the unit if the unit has not been conveyed to the homebuyer for
reasons beyond the control of the recipient.
(C) If the unit is demolished and the recipient rebuilds the unit within 1 year of demolition
of the unit, the unit may continue to be considered a low-income housing dwelling unit for
the purposes of this paragraph.
(D) In this paragraph, the term ‘reasons beyond the control of the recipient’ means, after
making reasonable efforts, there remain—

24

(i) delays in obtaining or the absence of title status reports;
(ii) incorrect or inadequate legal descriptions or other legal documentation
necessary for conveyance;
(iii) clouds on title due to probate or intestacy or other court proceedings; or
(iv) any other legal impediment.
(E) Subparagraphs (A) through (D) shall not apply to any claim arising from a formula
current assisted stock calculation or count involving an Indian housing block grant
allocation for any fiscal year through fiscal year 2008, if a civil action relating to the claim
is filed by not later than 45 days after the date of enactment of this subparagraph.
(2) The extent of poverty and economic distress and the number of Indian families within Indian
areas of the tribe.
(3) Other objectively measurable conditions as the Secretary and the Indian tribes may specify.
(c) OTHER FACTORS FOR CONSIDERATION- In establishing the formula, the Secretary shall consider(1) the relative administrative capacities and other challenges faced by the recipient, including, but
not limited to geographic distribution within the Indian area and technical capacity; and
(2) the extent to which terminations of assistance under title V will affect funding available to State
recognized tribes.
(d) FUNDING FOR PUBLIC HOUSING OPERATION AND MODERNIZATION(1) FULL FUNDING- The formula
(A) IN GENERAL- Except with respect to an Indian tribe described in subparagraph (B),
the formula shall provide that, if, in any fiscal year, the total amount made available for
assistance under this Act is equal to or greater than the total amount made available for
fiscal year 1996 for assistance for the operation and modernization of public housing
developed or operated pursuant to a contract between the Secretary and an Indian housing
authority pursuant to the United States Housing Act of 1937, the amount provided for such
fiscal year for each Indian tribe for which such operating or modernization assistance was
provided for fiscal year 1996 shall not be less than the total amount of such operating and
modernization assistance provided for fiscal year 1996 for such tribe.
(B) CERTAIN INDIAN TRIBES- With respect to fiscal year 2001 and each fiscal year
thereafter, for any Indian tribe with an Indian housing authority that owns or operates
fewer than 250 public housing units, the formula shall provide that if the amount provided
for a fiscal year in which the total amount made available for assistance under this Act is
equal to or greater than the amount made available for fiscal year 1996 for assistance for
the operation and modernization of the public housing referred to in subparagraph (A),
then the amount provided to that Indian tribe as modernization assistance shall be equal to
the average annual amount of funds provided to the Indian tribe (other than funds provided
as emergency assistance) under the assistance program under section 14 of the United
States Housing Act of 1937 (42 U.S.C. 1437l) for the period beginning with fiscal year
1992 and ending with fiscal year 1997.
(2) PARTIAL FUNDING- The formula shall provide that, if, in any fiscal year, the total amount
made available for assistance under this Act is less than the total amount made available for fiscal
year 1996 for assistance for the operation and modernization of public housing developed or
operated pursuant to a contract between the Secretary and an Indian housing authority pursuant to
the United States Housing Act of 1937, the amount provided for such fiscal year for each Indian
tribe for which such operating or modernization assistance was provided for fiscal year 1996 shall
not be less than the amount that bears the same ratio to the total amount available for assistance
under this Act for such fiscal year that the amount of operating and modernization assistance
provided for the tribe for fiscal year 1996 bears to the total amount made available for fiscal year
1996 for assistance for the operation and modernization of such public housing.
(e) EFFECTIVE DATE- This section shall take effect on the date of the enactment of this Act.

25

TITLE IV--COMPLIANCE, AUDITS, AND REPORTS
SEC. 401. REMEDIES FOR NONCOMPLIANCE.

[25 USC 4161]

(a) ACTIONS BY SECRETARY AFFECTING GRANT AMOUNTS- Except as provided
(1) IN GENERAL- Except as provided in subsection (b), if the Secretary finds after reasonable
notice and opportunity for hearing that a recipient of assistance under this Act has failed to comply
substantially with any provision of this Act, the Secretary shall-(A) terminate payments under this Act to the recipient;
(B) reduce payments under this Act to the recipient by an amount equal to the amount of
such payments that were not expended in accordance with this Act;
(C) limit the availability of payments under this Act to programs, projects, or activities not
affected by such failure to comply; or
(D) in the case of noncompliance described in section 402(b), provide a replacement
tribally designated housing entity for the recipient, under section 402.
If the Secretary takes an action under paragraph (1), (2), or (3)
(2) SUBSTANTIAL NONCOMPLIANCE.—The failure of a recipient to comply with the
requirements of section 302(b)(1) regarding the reporting of low-income dwelling units shall not,
in itself, be considered to be substantial noncompliance for the purposes of this title.
(3)(2) CONTINUANCE OF ACTIONS- If the Secretary takes an action under subparagraph (A),
(B), (C), of paragraph (1), the Secretary shall continue such action until the Secretary determines
that the failure to comply has ceased.
(4)(3) EXCEPTION FOR CERTAIN ACTIONS(A) IN GENERAL- Notwithstanding any other provision of this subsection, if the
Secretary makes a determination that the failure of a recipient of assistance under this Act
to comply substantially with any material provision (as that term is defined by the
Secretary) of this Act is resulting, and would continue to result, in a continuing expenditure
of Federal funds in a manner that is not authorized by law, the Secretary may take an action
described in paragraph (1)(C) before conducting a hearing.
(B) PROCEDURAL REQUIREMENT- If the Secretary takes an action described in
subparagraph (A), the Secretary shall-(i) provide notice to the recipient at the time that the Secretary takes that action;
and
(ii) conduct a hearing not later than 60 days after the date on which the Secretary
provides notice under clause (i).
(C) DETERMINATION- Upon completion of a hearing under this paragraph, the
Secretary shall make a determination regarding whether to continue taking the action that
is the subject of the hearing, or take another action under this subsection.
(b) NONCOMPLIANCE BECAUSE OF TECHNICAL INCAPACITY- If the Secretary
(1) IN GENERAL- If the Secretary makes a finding under subsection (a), but determines that the
failure to comply substantially with the provisions of this Act-(1) is not (A) is not a pattern or practice of activities constituting willful noncompliance,
and
(2) is a result (B) is a result of the limited capability or capacity of the recipient,
the Secretary may provide technical assistance for the recipient (directly or indirectly) that is
designed to increase the capability and capacity of the recipient to administer assistance provided
under this Act in compliance with the requirements under this Act, if the recipient enters into a
performance agreement with the Secretary that specifies the compliance objectives that the
recipient will be required to achieve by the termination date of the performance agreement.
(2) PERFORMANCE AGREEMENT- The period of a performance agreement described in
paragraph (1) shall be for 1 year.
(3) REVIEW- Upon the termination of a performance agreement entered into under paragraph (1),
the Secretary shall review the performance of the recipient that is a party to the agreement.

26

(4) EFFECT OF REVIEW- If, on the basis of a review under paragraph (3), the Secretary
determines that the recipient-(A) has made a good faith effort to meet the compliance objectives specified in the
agreement, the Secretary may enter into an additional performance agreement for the
period specified in paragraph (2); and
(B) has failed to make a good faith effort to meet applicable compliance objectives, the
Secretary shall determine the recipient to have failed to comply substantially with this Act,
and the recipient shall be subject to an action under subsection (a).
(c) REFERRAL FOR CIVIL ACTION(1) AUTHORITY- In lieu of, or in addition to, any action authorized by subsection (a), if the
Secretary has reason to believe that a recipient has failed to comply substantially with any
provision of this Act, the Secretary may refer the matter to the Attorney General of the United
States with a recommendation that an appropriate civil action be instituted.
(2) CIVIL ACTION- Upon such a referral, the Attorney General may bring a civil action in any
United States district court having venue thereof for such relief as may be appropriate, including an
action to recover the amount of the assistance furnished under this Act that was not expended in
accordance with it, or for mandatory or injunctive relief.
(d) REVIEW(1) IN GENERAL- Any recipient who receives notice under subsection (a) of the termination,
reduction, or limitation of payments under this Act-(A) may, not later than 60 days after receiving such notice, file with the United States
Court of Appeals for the circuit in which such State is located, or in the United States
Court of Appeals for the District of Columbia, a petition for review of the action of the
Secretary; and
(B) upon the filing of any petition under subparagraph (A), shall forthwith transmit copies
of the petition to the Secretary and the Attorney General of the United States, who shall
represent the Secretary in the litigation.
(2) PROCEDURE- The Secretary shall file in the court a record of the proceeding on which the
Secretary based the action, as provided in section 2112 of title 28, United States Code. No
objection to the action of the Secretary shall be considered by the court unless such objection has
been urged before the Secretary.
(3) DISPOSITION(A) COURT PROCEEDINGS- The court shall have jurisdiction to affirm or modify the
action of the Secretary or to set it aside in whole or in part. The findings of fact by the
Secretary, if supported by substantial evidence on the record considered as a whole, shall
be conclusive. The court may order additional evidence to be taken by the Secretary, and to
be made part of the record.
(B) SECRETARY- The Secretary-(i) may modify the findings of fact of the Secretary, or make new findings, by
reason of the new evidence so taken and filed with the court; and
(ii) shall file-(I) such modified or new findings, which findings with respect to questions
of fact shall be conclusive if supported by substantial evidence on the
record considered as a whole; and
(II) the recommendation of the Secretary, if any, for the modification or
setting aside of the original action of the Secretary.
(4) FINALITY- Upon the filing of the record with the court, the jurisdiction of the court shall be
exclusive and its judgment shall be final, except that such judgment shall be subject to review by
the Supreme Court of the United States upon writ of certiorari or certification as provided in
section 1254 of title 28, United State Code.

27

SEC. 402. REPLACEMENT OF RECIPIENT.

[25 USC 4162]

(a) AUTHORITY- As a condition of the Secretary making a grant under this Act on behalf of an Indian
tribe, the tribe shall agree that, notwithstanding any other provision of law, the Secretary may, only in the
circumstances set forth in subsection (b), require that a replacement tribally designated housing entity serve
as the recipient for the tribe, in accordance with subsection (c).
(b) CONDITIONS OF REMOVAL- The Secretary may require such replacement tribally designated
housing entity for a tribe only upon a determination by the Secretary on the record after opportunity for a
hearing that the recipient for the tribe has engaged in a pattern or practice of activities that constitutes
substantial or willful noncompliance with the requirements under this Act.
(c) CHOICE AND TERM OF REPLACEMENT- If the Secretary requires that a replacement tribally
designated housing entity serve as the recipient for a tribe (or tribes)-(1) the replacement entity shall be an entity mutually agreed upon by the Secretary and the tribe (or
tribes) for which the recipient was authorized to act, except that if no such entity is agreed upon
before the expiration of the 60-day period beginning upon the date that the Secretary makes the
determination under subsection (b), the Secretary shall act as the replacement entity until
agreement is reached upon a replacement entity; and
(2) the replacement entity (or the Secretary, as provided in paragraph (1)) shall act as the tribally
designated housing entity for the tribe (or tribes) for a period that expires upon-(A) a date certain, which shall be specified by the Secretary upon making the determination
under subsection (b); or
(B) the occurrence of specific conditions, which conditions shall be specified in written
notice provided by the Secretary to the tribe upon making the determination under
subsection (b).
SEC. 403. MONITORING OF COMPLIANCE.

[25 USC 4163]

(a) ENFORCEABLE AGREEMENTS- Each recipient, through binding contractual agreements with
owners and otherwise, shall ensure long-term compliance with the provisions of this Act. Such measures
shall provide for (1) enforcement of the provisions of this Act by the grant beneficiary or by recipients and
other intended beneficiaries, and (2) remedies for the breach of such provisions.
(b) PERIODIC MONITORING- Not less frequently than annually, each recipient shall review the activities
conducted and housing assisted under this Act to assess compliance with the requirements of this Act. Such
review shall include an appropriate level of onsite inspection of housing to determine compliance with
applicable requirements. The results of each review shall be included in the performance report of the
recipient submitted to the Secretary under section 404 and made available to the public.
(c) PERFORMANCE MEASURES- The Secretary shall establish such performance measures as may be
necessary to assess compliance with the requirements of this Act.
SEC. 404. PERFORMANCE REPORTS.

[25 USC 4164]

(a) REQUIREMENT- For each fiscal year, each recipient shall-(1) review the progress it has made during such fiscal year in carrying out the Indian housing plan
(or plans) for the Indian tribes for which it administers grant amounts; and
(2) submit a report to the Secretary (in a form acceptable to the Secretary) describing the
conclusions of the review.
(b) CONTENT- Each report under this section for a fiscal year shall-(1) describe the use of grant amounts provided to the recipient for such fiscal year;
(2) assess the relationship of such use to the goals planned activities identified in the Indian
housing plan of the grant beneficiary; and
(3) indicate the programmatic accomplishments of the recipient.; and
(4) describe the manner in which the recipient would change its programs as a result of its
experiences.

28

(c) SUBMISSION- The Secretary shall establish dates for submission of reports under this section, and
review such reports and make such recommendations as the Secretary considers appropriate to carry out the
purposes of this Act.
(d) PUBLIC AVAILABILITY- A recipient preparing a report under this section shall make the report
publicly available to the citizens in the jurisdiction of the recipient in sufficient time to permit such citizens
to comment on such report prior to its submission to the Secretary, and in such manner and at such times as
the recipient may determine. The report shall include a summary of any comments received by the grant
beneficiary or recipient from citizens in its jurisdiction regarding its program.
SEC. 405. REVIEW AND AUDIT BY SECRETARY.

[25 USC 4165]

(a) ANNUAL REVIEW- The Secretary shall, not less than on an annual basis, make such reviews and
audits as may be necessary or appropriate to determine-(1) whether the recipient has carried out its eligible activities in a timely manner, has carried out its
eligible activities and certifications in accordance with the requirements and the primary objectives
of this Act and with other applicable laws, and has a continuing capacity to carry out those
activities in a timely manner;
(2) whether the recipient has complied with the Indian housing plan of the grant beneficiary; and
(3) whether the performance reports under section 404 of the recipient are accurate.
Reviews under this section shall include, insofar as practicable, onsite visits by employees of the
Department of Housing and Urban Development.
(b) REPORT BY SECRETARY- The Secretary shall give a recipient not less than 30 days to review and
comment on a report under this subsection. After taking into consideration the comments of the recipient,
the Secretary may revise the report and shall make the comments of the recipient and the report, with any
revisions, readily available to the public not later than 30 days after receipt of the comments of the
recipient.
(c) EFFECT OF REVIEWS- The Secretary may make appropriate adjustments in the amount of the
annual grants under this Act in accordance with the findings of the Secretary pursuant to reviews
and audits under this section. The Secretary may adjust, reduce, or withdraw grant amounts, or take
other action as appropriate in accordance with the reviews and audits of the Secretary under this
section, except that grant amounts already expended on affordable housing activities may not be
recaptured or deducted from future assistance provided on behalf of an Indian tribe.
(a) REQUIREMENTS UNDER CHAPTER 75 OF TITLE 31, UNITED STATES CODE- An entity
designated by an Indian tribe as a housing entity shall be treated, for purposes of chapter 75 of title 31,
United States Code, as a non-Federal entity that is subject to the audit requirements that apply to nonFederal entities under that chapter.
(b) ADDITIONAL REVIEWS AND AUDITS(1) IN GENERAL- In addition to any audit or review under subsection (a), to the extent the
Secretary determines such action to be appropriate, the Secretary may conduct an audit or review
of a recipient in order to-(A) determine whether the recipient—
(i) has carried out-(I) eligible activities in a timely manner; and
(II) eligible activities and certification in accordance with this Act and
other applicable law;
(ii) has a continuing capacity to carry out eligible activities in a timely manner; and
(iii) is in compliance with the Indian housing plan of the recipient; and
(B) verify the accuracy of information contained in any performance report submitted by
the recipient under section 404.
(2) ON-SITE VISITS- To the extent practicable, the reviews and audits conducted under this
subsection shall include on-site visits by the appropriate official of the Department of Housing and
Urban Development.
(c) REVIEW OF REPORTS(1) IN GENERAL- The Secretary shall provide each recipient that is the subject of a report
made by the Secretary under this section notice that the recipient may review and comment

29

on the report during a period of not less than 30 days after the date on which notice is
issued under this paragraph.
(2) PUBLIC AVAILABILITY- After taking into consideration any comments of the
recipient under paragraph (1), the Secretary—
(A) may revise the report; and
(B) not later than 30 days after the date on which those comments are received, shall make
the comments and the report (with any revisions made under subparagraph (A)) readily
available to the public.
(d) EFFECT OF REVIEWS- Subject to section 401(a), after reviewing the reports and audits relating to a
recipient that are submitted to the Secretary under this section, the Secretary may adjust the amount of a
grant made to a recipient under this Act in accordance with the findings of the Secretary with respect to
those reports and audits.
SEC. 406. GAO AUDITS.

[25 USC 4166]

To the extent that the financial transactions of Indian tribes and recipients of grant amounts under this Act
relate to amounts provided under this Act, such transactions may be audited by the Comptroller General of
the United States under such rules and regulations as may be prescribed by the Comptroller General. The
representatives of the General Accounting Office shall have access to all books, accounts, records, reports,
files, and other papers, things, or property belonging to or in use by such tribes and recipients pertaining to
such financial transactions and necessary to facilitate the audit.
SEC. 407. REPORTS TO CONGRESS.

[25 USC 4167]

(a) IN GENERAL- Not later than 90 days after the conclusion of each fiscal year in which assistance under
this Act is made available, the Secretary shall submit to the Congress a report that contains-(1) a description of the progress made in accomplishing the objectives of this Act;
(2) a summary of the use of funds available under this Act during the preceding fiscal year; and
(3) a description of the aggregate outstanding loan guarantees under title VI.
(b) RELATED REPORTS- The Secretary may require recipients of grant amounts under this Act to submit
to the Secretary such reports and other information as may be necessary in order for the Secretary to make
the report required by subsection (a).
SEC. 408. PUBLIC AVAILABILITY OF INFORMATION.

[25 USC 4168]

Each recipient shall make any housing plan, policy, or annual report prepared by the recipient available to
the general public.
TITLE V--TERMINATION OF ASSISTANCE FOR INDIAN TRIBES UNDER INCORPORATED
PROGRAMS
SEC. 501. REPEAL OF PROVISIONS RELATING TO INDIAN HOUSING ASSISTANCE UNDER
UNITED STATES HOUSING ACT OF 1937.
(a) REPEAL OF TITLE II- Title II of the United States Housing Act of 1937 (42 U.S.C 1437aa et seq.) is
hereby repealed.
(b) AMENDMENTS TO TITLE I- Title I of the United States Housing Act of 1937 (42 U.S.C. 1437 et
seq.) is amended-(1) in section 3(b)-(A)in paragraph (5)-(i) in subparagraph (F) by inserting `and' after the semicolon at the end;
(ii) by striking subparagraph (G); and
(iii) by redesignating subparagraph (H) as subparagraph (G);
(B) in paragraph (6), by striking the last sentence;

30

(C) in paragraph (7)-(i) by inserting `and' before `the Trust'; and
(ii) by striking `, and Indian tribes'; and
(D) by striking paragraphs (9), (10), (11), and (12);
(2) in section 5-(A) in subsection (j)(1), by striking `(other than for Indian families)'; and
(B) by striking subsection (l);
(3) in section 6(b)(1), by striking `and public housing for Indians and Alaska Natives in accordance
with the Indian Housing Act of 1988';
(4) in subsection 7, by striking subsection (l);
(5) in section 9(a)(1)(A), in the second sentence-(A) by inserting `and' after the comma at the end of clause (i); and
(B) by striking `, and (iii)' and all that follows through `project is occupied';
(6) in section 14-(A) in the section heading, by striking `AND INDIAN';
(B) in subsection (e)(1)(E)-(i) in the matter preceding clause (i), by striking `(or Indian tribal official, if
appropriate)';
(ii) in clause (i)-(I) by striking `(or Indian tribal officials)'; and
(II) by striking `(or tenants of the Indian housing projects)'; and
(iii) in clause (ii), by striking `(or Indian tribe)';
(7) in section 16-(A) in subsection (d)-(i) by striking the paragraph designation for paragraph (1); and
(ii) by striking paragraph (2); and
(B) in subsection (e), by striking paragraph (3);
(8) in section 23(o), by striking paragraph (2);
(9) in section 24(h)(3), by striking `, except that it does not include any Indian housing authority';
(10) in section 25(m)(4), by striking `, except that it does not include Indian housing authorities';
and
(11) in section 26, in subsections (a)(1) and (b), by striking `(including an Indian housing
authority)' each place it appears.
(c) AMENDMENTS TO TITLE III- Title III of the United States Housing Act of 1937 (42 U.S.C. 1437aaa
et seq.) is amended-(1) by striking the heading for the title and inserting the following:
`TITLE III--HOPE FOR PUBLIC HOUSING HOMEOWNERSHIP';
(2) in section 306-(A) in paragraph (1)(A), by striking `(including an Indian housing authority)'; and
(B) in paragraph (2)(A), by striking `or Indian'; and
(3) in section 307, by striking `and title II'.
(d) OTHER RELATED PROVISIONS(1) INDIAN HOUSING CHILD DEVELOPMENT- Section 519 of the Cranston-Gonzalez
National Affordable Housing Act (12 U.S.C. 1701z-6 note) is hereby repealed.
(2) PUBLIC HOUSING YOUTH SPORTS- Section 520 of the Cranston-Gonzalez National
Affordable Housing Act (42 U.S.C. 11903a) is amended-(A) in subsection (b)-(i) in paragraph (5), by inserting `and' after the semicolon at the end;
(ii) by striking paragraphs (6) and (7); and
(iii) by redesignating paragraph (8) as para-graph (6);
(B) in subsection (e)(2), by striking `Indian tribes,';
(C) in subsection (i)-(i) by striking paragraph (1); and

31

(ii) by redesignating paragraphs (2) through (7) as paragraphs (1) through (6),
respectively; and
(D) in subsection (l)(5)(B), by striking `units of general local government, and Indian
housing authorities' and inserting `and Indian housing authorities'.
(3) ALLOCATION OF FUNDS- Section 213(d)(1)(B)(ii) of the Housing and Community
Development Act of 1974 (42 U.S.C. 1439) is amended by striking `and Indian'.
SEC. 502. TERMINATION OF INDIAN HOUSING ASSISTANCE UNDER UNITED STATES HOUSING
ACT OF 1937.
[25 USC 4181]
(a) TERMINATION OF ASSISTANCE- After September 30, 1997, financial assistance may not be
provided under the United States Housing Act of 1937 or pursuant to any commitment entered into under
such Act, for Indian housing developed or operated pursuant to a contract between the Secretary and an
Indian housing authority, unless such assistance is provided from amounts made available for fiscal year
1997 and pursuant to a commitment entered into before September 30, 1997. Any housing that is the
subject of a contract for tenant-based assistance between the Secretary and an Indian housing authority that
is terminated under this section shall, for the following fiscal year and each fiscal year thereafter be
considered to be a dwelling unit under section 302(b)(1).
(b) TERMINATION OF RESTRICTIONS ON USE OF INDIAN HOUSING- After September 30, 1997,
any housing developed or operated pursuant to a contract between the Secretary and an Indian housing
authority pursuant to the United States Housing Act of 1937 shall not be subject to any provision of such
Act or any annual contributions contract or other agreement pursuant to such Act, but shall be considered
and maintained as affordable housing for purposes of this Act.
SEC. 503. TERMINATION OF NEW COMMITMENTS FOR RENTAL ASSISTANCE.

[25 USC 4182]

After September 30, 1997, financial assistance for rental housing assistance under the United States
Housing Act of 1937 may not be provided to any Indian housing authority or tribally designated housing
entity, unless such assistance is provided pursuant to a contract for such assistance entered into by the
Secretary and the Indian housing authority before such date. Any such assistance provided pursuant to such
a contract shall be governed by the provisions of the United States Housing Act of 1937 (as in effect before
the date of the effectiveness of this Act) and the provisions of such contract.
SEC. 504. TERMINATION OF YOUTHBUILD PROGRAM ASSISTANCE.
(a) IN GENERAL- Subtitle D of title IV of the Cranston-Gonzalez National Affordable Housing Act (42
U.S.C. 12899 et seq.) is amended-(1) by redesignating section 460 as section 461; and
(2) by inserting after section 459 the following new section:
`SEC. 460. INELIGIBILITY OF INDIAN TRIBES.
`Indian tribes, Indian housing authorities, and other agencies primarily serving Indians or Indian areas shall
not be eligible applicants for amounts made available for assistance under this subtitle for fiscal year 1997
and fiscal years thereafter.'.
(b) APPLICABILITY- The amendments under subsection (a) shall apply with respect to amounts made
available for assistance under subtitle D of title II of the Cranston-Gonzalez National Affordable Housing
Act for fiscal year 1998 and fiscal years thereafter.
SEC. 505. TERMINATION OF HOME PROGRAM ASSISTANCE.
(a) IN GENERAL- Title II of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12721 et
seq.) is amended-(1) in section 217(a)--

32

(A) in paragraph (1), by striking `reserving amounts under paragraph (2) for Indian tribes
and after'; and
(B) by striking paragraph (2); and
(2) in section 288-(A) in subsection (a), by striking `, Indian tribes,';
(B) in subsection (b), by striking `, Indian tribe,'; and
(C) in subsection (c)(4), by striking `, Indian tribe,'.
(b) APPLICABILITY- The amendments under subsection (a) shall apply with respect to amounts made
available for assistance under title II of the Cranston-Gonzalez National Affordable Housing Act for fiscal
year 1998 and fiscal years thereafter.
SEC. 506. TERMINATION OF HOUSING ASSISTANCE FOR THE HOMELESS.
(a) MCKINNEY ACT PROGRAMS- Title IV of the Stewart B. McKinney Homeless Assistance Act (42
U.S.C. 11361 et seq.) is amended-(1) in section 411, by striking paragraph (10);
(2) in section 412, by striking `, and for Indian tribes,';
(3) in section 413-(A) in subsection (a)-(i) by striking `, and to Indian tribes,'; and
(ii) by striking `, or for Indian tribes' each place it appears;
(B) in subsection (c), by striking `or Indian tribe'; and
(C) in subsection (d)(3)-(i) by striking `, or Indian tribe' each place it appears; and
(ii) by striking `, or other Indian tribes,';
(4) in section 414(a)-(A) by striking `or Indian tribe' each place it appears; and
(B) by striking `, local government,' each place it appears and inserting `or local
government';
(5) in section 415(c)(4), by striking `Indian tribes,';
(6) in section 416(b), by striking `Indian tribe,';
(7) in section 422-(A) by striking `Indian tribe,'; and
(B) by striking paragraph (3);
(8) in section 441-(A) by striking subsection (g);
(B) in subsection (h), by striking `or Indian housing authority'; and
(C) in subsection (j)(1), by striking `, Indian housing authority';
(9) in section 462-(A) in paragraph (2), by striking `, Indian tribe,'; and
(B) by striking paragraph (4); and
(10) in section 491(e), by striking `, Indian tribes (as such term is defined in section 102(a) of the
Housing and Community Development Act of 1974),'.
(b) INNOVATIVE HOMELESS DEMONSTRATION- Section 2(b) of the HUD Demonstration Act of
1993 (42 U.S.C. 11301 note) is amended-(1) in paragraph (3), by striking `unit of general local government', and `Indian tribe' and inserting
`and `unit of general local government'; and
(2) in paragraph (4), by striking `unit of general local government (including units in rural areas),
or Indian tribe' and inserting `or unit of general local government'.
(c) APPLICABILITY- The amendments under subsections (a) and (b) shall apply with respect to amounts
made available for assistance under title IV of the Stewart B. McKinney Homeless Assistance Act and
section 2 of the HUD Demonstration Act of 1993, respectively, for fiscal year 1998 and fiscal years
thereafter.

33

SEC. 507. SAVINGS PROVISION.

[25 USC 4183]

(a) EXISTING RIGHTS AND DUTIES- Except as provided in sections 502 and 503, this Act may not be
construed to affect the validity of any right, duty, or obligation of the United States or other person arising
under or pursuant to any commitment or agreement lawfully entered into before October 1, 1997, under the
United States Housing Act of 1937, subtitle D of title IV of the Cranston-Gonzalez National Affordable
Housing Act, title II of the Cranston-Gonzalez National Affordable Housing Act, title IV of the Stewart B.
McKinney Homeless Assistance Act, or section 2 of the HUD Demonstration Act of 1993.
(b) OBLIGATIONS UNDER REPEALED PROVISIONS- Notwithstanding the amendments made by this
title, any obligation of the Secretary made under or pursuant to subtitle D of title IV of the CranstonGonzalez National Affordable Housing Act, title II of the Cranston-Gonzalez National Affordable Housing
Act, title IV of the Stewart B. McKinney Homeless Assistance Act, or section 2 of the HUD Demonstration
Act of 1993 shall continue to be governed by the provisions of such Acts (as in effect before the date of the
effectiveness of the amendments made by this title).
SEC. 508. EFFECTIVE DATE.

[25 USC 4181 note]

Sections 502, 503, and 507 shall take effect on the date of the enactment of this Act.
SEC. 509. EFFECT ON HOME INVESTMENT PARTNERSHIPS ACT.
Nothing in this Act or an amendment made by this Act prohibits or prevents any participating jurisdiction
(within the meaning of the HOME Investment Partnerships Act (42 U.S.C. 12721 et seq.)) from providing
any amounts made available to the participating jurisdiction under that Act (42 U.S.C. 12721 et seq.) to an
Indian tribe or a tribally designated housing entity for use in accordance with that Act (42 U.S.C. 12721 et
seq.).
TITLE VI--FEDERAL GUARANTEES FOR FINANCING FOR TRIBAL HOUSING ACTIVITIES
SEC. 601. AUTHORITY AND REQUIREMENTS.

[25 USC 4191]

(a) AUTHORITY- To such extent or in such amounts as provided in appropriations Acts, the Secretary
may, subject to the limitations of this title (including limitations designed to protect and maintain the
viability of rental housing units owned or operated by the recipient that were developed under a contract
between the Secretary and an Indian housing authority pursuant to the United States Housing Act of 1937),
and upon such terms and conditions as the Secretary may prescribe, guarantee and make commitments to
guarantee, the notes or other obligations issued by Indian tribes or tribally designated housing entities with
tribal approval, for the purposes of financing affordable housing activities described in section 202 and
housing related community development activity as consistent with the purposes of this Act.
(b) LACK OF FINANCING ELSEWHERE- A guarantee under this title may be used to assist an Indian
tribe or housing entity in obtaining financing only if the Indian tribe or housing entity has made efforts to
obtain such financing without the use of such guarantee and cannot complete such financing consistent with
the timely execution of the program plans without such guarantee.
(b) TERMS OF LOANS- Notes or other obligations guaranteed pursuant to this title shall be in such form
and denominations, have such maturities, and be subject to such conditions as may be prescribed by
regulations issued by the Secretary. The Secretary may not deny a guarantee under this title on the basis of
the proposed repayment period for the note or other obligation, unless the period is more than 20 years or
the Secretary determines that the period causes the guarantee to constitute an unacceptable financial risk.
(c) LIMITATION ON OUTSTANDING GUARANTEES- No guarantee or commitment to guarantee shall
be made with respect to any note or other obligation if the total outstanding notes or obligations of the
issuer guaranteed under this title (excluding any amount defeased under the contract entered into under
section 602(a)(1)) would thereby exceed an amount equal to 5 times the amount of the grant approval for
the issuer pursuant to title III.

34

SEC. 602. SECURITY AND REPAYMENT.

[25 USC 4192]

(a) REQUIREMENTS ON ISSUER- To assure the repayment of notes or other obligations and charges
incurred under this title and as a condition for receiving such guarantees, the Secretary shall require the
Indian tribe or housing entity issuing such notes or obligations to-(1) enter into a contract, in a form acceptable to the Secretary, for repayment of notes or other
obligations guaranteed under this title;
(2) pledge any grant for which the issuer may become eligible under this Act;
(3) demonstrate that the extent of such issuance and guarantee under this title is within the financial
capacity of the tribe and is not likely to impair the ability to use grant amounts under title I, taking
into consideration the requirements under section 203(b); and
(4) furnish, at the discretion of the Secretary, such other security as may be deemed appropriate by
the Secretary in making such guarantees, including increments in local tax receipts generated by
the activities assisted under this Act or disposition proceeds from the sale of land or rehabilitated
property.
(b) REPAYMENT FROM GRANT AMOUNTS- Notwithstanding any other provision of this Act-(1) the Secretary may apply grants pledged pursuant to subsection (a)(2) to any repayments due the
United States as a result of such guarantees; and
(2) grants allocated under this Act for an Indian tribe or housing entity (including program income
derived therefrom) may be used to pay principal and interest due (including such servicing,
underwriting, and other costs as may be specified in regulations issued by the Secretary) on notes
or other obligations guaranteed pursuant to this title.
(c) FULL FAITH AND CREDIT- The full faith and credit of the United States is pledged to the payment of
all guarantees made under this title. Any such guarantee made by the Secretary shall be conclusive
evidence of the eligibility of the obligations for such guarantee with respect to principal and interest, and
the validity of any such guarantee so made shall be incontestable in the hands of a holder of the guaranteed
obligations.
(d) Limitation on Percentage- A guarantee made under this title shall guarantee repayment of 95 percent of
the unpaid principal and interest due on the notes or other obligations guaranteed.

SEC. 603. PAYMENT OF INTEREST.

[25 USC 4193]

The Secretary may make, and contract to make, grants, in such amounts as may be approved in
appropriations Acts, to or on behalf of an Indian tribe or housing entity issuing notes or other obligations
guaranteed under this title, to cover not to exceed 30 percent of the net interest cost (including such
servicing, underwriting, or other costs as may be specified in regulations of the Secretary) to the borrowing
entity or agency of such obligations. The Secretary may also, to the extent approved in appropriations Acts,
assist the issuer of a note or other obligation guaranteed under this title in the payment of all or a portion of
the principal and interest amount due under the note or other obligation, if the Secretary determines that the
issuer is unable to pay the amount because of circumstances of extreme hardship beyond the control of the
issuer.
SEC. 604. TRAINING AND INFORMATION.

[25 USC 4194]

The Secretary, in cooperation with eligible public entities, shall carry out training and information activities
with respect to the guarantee program under this title.

35

SEC. 605. LIMITATIONS ON AMOUNT OF GUARANTEES.

[25 USC 4195]

(a) AGGREGATE FISCAL YEAR LIMITATION- Notwithstanding any other provision of law and subject
only to the absence of qualified applicants or proposed activities and to the authority provided in this title,
to the extent approved or provided in appropriations Acts, the Secretary may enter into commitments to
guarantee notes and obligations under this title with an aggregate principal amount not to exceed
$400,000,000 for each of fiscal years 1997, 1998, 1999, 2000, and 2001 1997 through 2007 2009 through
2013.
(b) AUTHORIZATION OF APPROPRIATIONS FOR CREDIT SUBSIDY- There are authorized to be
appropriated to cover the costs (as such term is defined in section 502 of the Congressional Budget Act of
1974) of guarantees under this title such sums as may be necessary for each of fiscal years 1997, 1998,
1999, 2000, and 2001 1997 through 2007 2009 through 2013.
(c) AGGREGATE OUTSTANDING LIMITATION- The total amount of outstanding obligations
guaranteed on a cumulative basis by the Secretary pursuant to this title shall not at any time exceed
$2,000,000,000 or such higher amount as may be authorized to be appropriated for this title for any fiscal
year.
(d) FISCAL YEAR LIMITATIONS ON TRIBES- The Secretary shall monitor the use of guarantees under
this title by Indian tribes. If the Secretary finds that 50 percent of the aggregate guarantee authority under
subsection (c) has been committed, the Secretary may-(1) impose limitations on the amount of guarantees any one Indian tribe may receive in any fiscal
year of $50,000,000; or
(2) request the enactment of legislation increasing the aggregate outstanding limitation on
guarantees under this title.
SEC. 606. EFFECTIVE DATE.

[25 USC 4191 note]

This title shall take effect on the date of the enactment of this Act.
SEC. 606. DEMONSTRATION PROGRAM FOR GUARANTEED LOANS TO FINANCE TRIBAL
COMMUNITY AND ECONOMIC DEVELOPMENT ACTIVITIES.
(a) AUTHORITY(1) IN GENERAL- Subject to paragraph (2), to the extent and in such amounts as are provided in
appropriation Acts, subject to the requirements of this section, and in accordance with such terms
and conditions as the Secretary may prescribe, the Secretary may guarantee and make
commitments to guarantee the notes and obligations issued by Indian tribes or tribally designated
housing entities with tribal approval, for the purposes of financing activities carried out on Indian
reservations and in other Indian areas that, under the first sentence of section 108(a) of the Housing
and Community Development Act of 1974 (42 U.S.C. 5308), are eligible for financing with notes
and other obligations guaranteed pursuant to that section.
(2) LIMITATION- The Secretary may guarantee, or make commitments to guarantee, under
paragraph (1) the notes or obligations of not more than 4 Indian tribes or tribally designated
housing entities located in each Department of Housing and Urban Development Office of Native
American Programs region.
(b) LOW-INCOME BENEFIT REQUIREMENT - Not less than 70 percent of the aggregate amount
received by an Indian tribe or tribally designated housing entity as a result of a guarantee under this section
shall be used for the support of activities that benefit low-income families on Indian reservations and other
Indian areas.
(c) FINANCIAL SOUNDNESS(1) IN GENERAL- The Secretary shall establish underwriting criteria for guarantees under this
section, including fees for the guarantees, as the Secretary determines to be necessary to ensure that
the program under this section is financially sound.
(2) AMOUNTS OF FEES- Fees for guarantees established under paragraph (1) shall be established
in amounts that are sufficient, but do not exceed the minimum amounts necessary, to maintain a

36

negative credit subsidy for the program under this section, as determined based on the risk to the
Federal Government under the underwriting requirements established under paragraph (1).
(d) TERMS OF OBLIGATIONS(1) IN GENERAL- Each note or other obligation guaranteed pursuant to this section shall be in
such form and denomination, have such maturity, and be subject to such conditions as the Secretary
may prescribe, by regulation.
(2) LIMITATION- The Secretary may not deny a guarantee under this section on the basis of the
proposed repayment period for the note or other obligation, unless-(A) the period is more than 20 years; or
(B) the Secretary determines that the period would cause the guarantee to constitute an
unacceptable financial risk.
(e) LIMITATION ON PERCENTAGE- A guarantee made under this section shall guarantee repayment of
95 percent of the unpaid principal and interest due on the note or other obligation guaranteed.
(f) SECURITY AND REPAYMENT(1) REQUIREMENTS ON ISSUER- To ensure the repayment of notes and other obligations and
charges incurred under this section and as a condition for receiving the guarantees, the Secretary
shall require the Indian tribe or housing entity issuing the notes or obligations-(A) to enter into a contract, in a form acceptable to the Secretary, for repayment of notes or
other obligations guaranteed under this section;
(B) to demonstrate that the extent of each issuance and guarantee under this section is
within the financial capacity of the Indian tribe; and
(C) to furnish, at the discretion of the Secretary, such security as the Secretary determines
to be appropriate in making the guarantees, including increments in local tax receipts
generated by the activities assisted by a guarantee under this section or disposition
proceeds from the sale of land or rehabilitated property, except that the security may not
include any grant amounts received or for which the issuer may be eligible under title I.
(2) FULL FAITH AND CREDIT(A) IN GENERAL- The full faith and credit of the United States is pledged to the payment
of all guarantees made under this section.
(B) TREATMENT OF GUARANTEES(i) IN GENERAL- Any guarantee made by the Secretary under this section shall
be conclusive evidence of the eligibility of the obligations for the guarantee with
respect to principal and interest.
(ii) INCONTESTABLE NATURE- The validity of any such a guarantee shall be
incontestable in the hands of a holder of the guaranteed obligations.
(g) TRAINING AND INFORMATION- The Secretary, in cooperation with Indian tribes and tribally
designated housing entities, may carry out training and information activities with respect to the guarantee
program under this section.
(h) LIMITATIONS ON AMOUNT OF GUARANTEES(1) AGGREGATE FISCAL YEAR LIMITATION- Notwithstanding any other provision of law,
subject only to the absence of qualified applicants or proposed activities and to the authority
provided in this section, and to the extent approved or provided for in appropriations Acts, the
Secretary may enter into commitments to guarantee notes and obligations under this section with
an aggregate principal amount not to exceed $200,000,000 for each of fiscal years 2009 through
2013.
(2) AUTHORIZATION OF APPROPRIATIONS FOR CREDIT SUBSIDY- There are authorized
to be appropriated to cover the costs (as defined in section 502 of the Congressional Budget Act of
1974 (2 U.S.C. 661a)) of guarantees under this section $1,000,000 for each of fiscal years 2009
through 2013.
(3) AGGREGATE OUTSTANDING LIMITATION- The total amount of outstanding obligations
guaranteed on a cumulative basis by the Secretary pursuant to this section shall not at any time
exceed $1,000,000,000 or such higher amount as may be authorized to be appropriated for this
section for any fiscal year.
(4) FISCAL YEAR LIMITATIONS ON INDIAN TRIBES-

37

(A) IN GENERAL- The Secretary shall monitor the use of guarantees under this section by
Indian tribes.
(B) MODIFICATIONS- If the Secretary determines that 50 percent of the aggregate
guarantee authority under paragraph (3) has been committed, the Secretary may-(i) impose limitations on the amount of guarantees pursuant to this section that any
single Indian tribe may receive in any fiscal year of $25,000,000; or
(ii) request the enactment of legislation increasing the aggregate outstanding
limitation on guarantees under this section.
(i) REPORT- Not later than 4 years after the date of enactment of this section, the Secretary shall submit to
Congress a report describing the use of the authority under this section by Indian tribes and tribally
designated housing entities, including-(1) an identification of the extent of the use and the types of projects and activities financed using
that authority; and
(2) an analysis of the effectiveness of the use in carrying out the purposes of this section.
(j) TERMINATION- The authority of the Secretary under this section to make new guarantees for notes
and obligations shall terminate on October 1, 2013.
TITLE VII--OTHER HOUSING ASSISTANCE FOR NATIVE AMERICANS
SEC. 701. LOAN GUARANTEES FOR INDIAN HOUSING.
---SEC. 702. 50-YEAR LEASEHOLD INTEREST IN TRUST OR RESTRICTED LANDS FOR HOUSING
PURPOSES.
[25 USC 4211]
(a) AUTHORITY TO LEASE- Notwithstanding any other provision of law, any trust or restricted Indian
lands, whether tribally or individually owned, may be leased by the Indian owners, subject to the approval
of the affected Indian tribe and the Secretary of the Interior, for housing development and residential
purposes.
(b) TERM- Each lease pursuant to subsection (a) shall be for a term not exceeding 50 years.
(c) RULE OF CONSTRUCTION- This section may not be construed to repeal, limit, or affect any
authority to lease any trust or restricted Indian lands that-(1) is conferred by or pursuant to any other provision of law; or
(2) provides for leases for any period exceeding 50 years.
(d) SELF-IMPLEMENTATION- This section is intended to be self-implementing and shall not require the
issuance of any rule, regulation, or order to take effect as provided in section 705.
SEC. 703. TRAINING AND TECHNICAL ASSISTANCE.

[25 USC 4212]

There are authorized to be appropriated for assistance for a national organization representing Native
American housing interests for providing training and technical assistance to Indian housing authorities and
tribally designated housing entities such sums as may be necessary for each of fiscal years 1997, 1998,
1999, 2000, and 2001 1997 through 2007 2009 through 2013.
SEC. 704. PUBLIC AND ASSISTED HOUSING DRUG ELIMINATION ACT OF 1990.

---SEC. 705. EFFECTIVE DATE.

[25 USC 4211 note]

This title and the amendments made by this title (but not including the amendments made by section 704)
shall take effect on the date of the enactment of this Act.

38

TITLE VIII--HOUSING ASSISTANCE FOR NATIVE HAWAIIANS
SEC. 801. DEFINITIONS.

[25 USC 4221]

In this title:
(1) Department of hawaiian home lands; department.--The term `Department of Hawaiian Home
Lands' or `Department' means the agency or department of the government of the State of Hawaii that
is responsible for the administration of the Hawaiian Homes Commission Act, 1920 (42 Stat. 108 et
seq.).
(2) Director.--The term `Director' means the Director of the Department of Hawaiian Home Lands.
(3) Elderly families; near-elderly families.-(A) In general.--The term `elderly family' or `near-elderly family' means a family whose head
(or his or her spouse), or whose sole member, is-(i) for an elderly family, an elderly person; or
(ii) for a near-elderly family, a near-elderly person.
(B) Certain families included.--The term `eldery family' or `near-elderly family' includes-(i) two or more elderly persons or near-elderly persons, as the case may be, living
together; and
(ii) one or more persons described in clause (i) living with one or more persons
determined under the housing plan to be essential to their care or well-being.
(4) Hawaiian home lands.--The term `Hawaiian Home Lands' means lands that-(A) have the status as Hawaiian home lands under section 204 of the Hawaiian Homes
Commission Act, 1920 (42 Stat. 110); or
(B) are acquired pursuant to that Act.
(5) Housing area.--The term `housing area' means an area of Hawaiian Home Lands with respect to
which the Department of Hawaiian Home Lands is authorized to provide assistance for affordable
housing under this Act.
(6) Housing entity.--The term `housing entity' means the Department of Hawaiian Home Lands.
(7) Housing plan.--The term `housing plan' means a plan developed by the Department of Hawaiian
Home Lands.
(8) Median income.--The term `median income' means, with respect to an area that is a Hawaiian
housing area, the greater of-(A) the median income for the Hawaiian housing area, which shall be determined by the
Secretary; or
(B) the median income for the State of Hawaii.
(9) Native hawaiian.--The term `Native Hawaiian' means any individual who is-(A) a citizen of the United States; and
(B) a descendant of the aboriginal people, who, prior to 1778, occupied and exercised
sovereignty in the area that currently constitutes the State of Hawaii, as evidenced by-(i) genealogical records;
(ii) verification by kupuna (elders) or kama'aina (long-term community residents); or
(iii) birth records of the State of Hawaii.
SEC. 802. BLOCK GRANTS FOR AFFORDABLE HOUSING ACTIVITIES.

[25 USC 4222]

(a) Grant Authority.--For each fiscal year, the Secretary shall (to the extent amounts are made available to
carry out this title) make a grant under this title to the Department of Hawaiian Home Lands to carry out
affordable housing activities for Native Hawaiian families who are eligible to reside on the Hawaiian Home
Lands.
(b) Plan Requirement.-(1) In general.--The Secretary may make a grant under this title to the Department of Hawaiian Home
Lands for a fiscal year only if-(A) the Director has submitted to the Secretary a housing plan for that fiscal year; and

39

(B) the Secretary has determined under section 804 that the housing plan complies with the
requirements of section 803.
(2) Waiver.--The Secretary may waive the applicability of the requirements under paragraph (1), in
part, if the Secretary finds that the Department of Hawaiian Home Lands has not complied or cannot
comply with those requirements due to circumstances beyond the control of the Department of
Hawaiian Home Lands.
(c) Use of Affordable Housing Activities Under Plan.--Except as provided in subsection (e), amounts
provided under a grant under this section may be used only for affordable housing activities under this title
that are consistent with a housing plan approved under section 804.
(d) Administrative Expenses.-(1) In general.--The Secretary shall, by regulation, authorize the Department of Hawaiian Home
Lands to use a percentage of any grant amounts received under this title for any reasonable
administrative and planning expenses of the Department relating to carrying out this title and
activities assisted with those amounts.
(2) Administrative and planning expenses.--The administrative and planning expenses referred to in
paragraph (1) include-(A) costs for salaries of individuals engaged in administering and managing affordable
housing activities assisted with grant amounts provided under this title; and
(B) expenses incurred in preparing a housing plan under section 803.
(e) Public-Private Partnerships.--The Director shall make all reasonable efforts, consistent with the purposes
of this title, to maximize participation by the private sector, including nonprofit organizations and for-profit
entities, in implementing a housing plan that has been approved by the Secretary under section 803.
SEC. 803. HOUSING PLAN.

[25 USC 4223]

(a) Plan Submission.--The Secretary shall-(1) require the Director to submit a housing plan under this section for each fiscal year; and
(2) provide for the review of each plan submitted under paragraph (1).
(b) Five-Year Plan.--Each housing plan under this section shall-(1) be in a form prescribed by the Secretary; and
(2) contain, with respect to the 5-year period beginning with the fiscal year for which the plan is
submitted, the following information:
(A) Mission statement.--A general statement of the mission of the Department of Hawaiian
Home Lands to serve the needs of the low-income families to be served by the Department.
(B) Goals and objectives.--A statement of the goals and objectives of the Department of
Hawaiian Home Lands to enable the Department to serve the needs identified in
subparagraph (A) during the period.
(C) Activities plans.--An overview of the activities planned during the period including an
analysis of the manner in which the activities will enable the Department to meet its mission,
goals, and objectives.
(c) One-Year Plan.--A housing plan under this section shall-(1) be in a form prescribed by the Secretary; and
(2) contain the following information relating to the fiscal year for which the assistance under this
title is to be made available:
(A) Goals and objectives.--A statement of the goals and objectives to be accomplished during
the period covered by the plan.
(B) Statement of needs.--A statement of the housing needs of the low-income families served
by the Department and the means by which those needs will be addressed during the period
covered by the plan, including-(i) a description of the estimated housing needs and the need for assistance for the
low-income families to be served by the Department, including a description of the
manner in which the geographical distribution of assistance is consistent with-(I) the geographical needs of those families; and
(II) needs for various categories of housing assistance; and

40

(ii) a description of the estimated housing for all families to be served by the
Department.
(C) Financial resources.--An operating budget for the Department of Hawaiian Home Lands,
in a form prescribed by the Secretary, that includes-(i) an identification and a description of the financial resources reasonably available
to the Department to carry out the purposes of this title, including an explanation of
the manner in which amounts made available will be used to leverage additional
resources; and
(ii) the uses to which the resources described in clause (i) will be committed,
including-(I) eligible and required affordable housing activities; and
(II) administrative expenses.
(D) Affordable housing resources.--A statement of the affordable housing resources currently
available at the time of the submittal of the plan and to be made available during the period
covered by the plan, including-(i) a description of the significant characteristics of the housing market in the State of
Hawaii, including the availability of housing from other public sources, private
market housing;
(ii) the manner in which the characteristics referred to in clause (i) influence the
decision of the Department of Hawaiian Home Lands to use grant amounts to be
provided under this title for-(I) rental assistance;
(II) the production of new units;
(III) the acquisition of existing units; or
(IV) the rehabilitation of units;
(iii) a description of the structure, coordination, and means of cooperation between
the Department of Hawaiian Home Lands and any other governmental entities in the
development, submission, or implementation of housing plans, including a
description of-(I) the involvement of private, public, and nonprofit organizations and
institutions;
(II) the use of loan guarantees under section 184A of the Housing and
Community Development Act of 1992; and
(III) other housing assistance provided by the United States, including
loans, grants, and mortgage insurance;
(iv) a description of the manner in which the plan will address the needs identified
pursuant to subparagraph (C);
(v) a description of-(I) any existing or anticipated homeownership programs and rental programs
to be carried out during the period covered by the plan; and
(II) the requirements and assistance available under the programs referred to
in subclause (I);
(vi) a description of-(I) any existing or anticipated housing rehabilitation programs necessary to
ensure the long-term viability of the housing to be carried out during the
period covered by the plan; and
(II) the requirements and assistance available under the programs referred to
in subclause (I);
(vii) a description of-(I) all other existing or anticipated housing assistance provided by the
Department of Hawaiian Home Lands during the period covered by the plan,
including-(aa) transitional housing;
(bb) homeless housing;
(cc) college housing; and

41

(dd) supportive services housing; and
(II) the requirements and assistance available under such programs;
(viii)
(I) a description of any housing to be demolished or disposed of;
(II) a timetable for that demolition or disposition; and
(III) any other information required by the Secretary with respect to that
demolition or disposition;
(ix) a description of the manner in which the Department of Hawaiian Home Lands
will coordinate with welfare agencies in the State of Hawaii to ensure that residents
of the affordable housing will be provided with access to resources to assist in
obtaining employment and achieving self-sufficiency;
(x) a description of the requirements established by the Department of Hawaiian
Home Lands to-(I) promote the safety of residents of the affordable housing;
(II) facilitate the undertaking of crime prevention measures;
(III) allow resident input and involvement, including the establishment of
resident organizations; and
(IV) allow for the coordination of crime prevention activities between the
Department and local law enforcement officials; and
(xi) a description of the entities that will carry out the activities under the plan,
including the organizational capacity and key personnel of the entities.
(E) Certification of compliance.--Evidence of compliance that shall include, as appropriate-(i) a certification that the Department of Hawaiian Home Lands will comply with-(I) title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d et seq.) or with
the Fair Housing Act (42 U.S.C. 3601 et seq.) in carrying out this title, to the
extent that such title is applicable; and
(II) other applicable Federal statutes;
(ii) a certification that the Department will require adequate insurance coverage for
housing units that are owned and operated or assisted with grant amounts provided
under this title, in compliance with such requirements as may be established by the
Secretary;
(iii) a certification that policies are in effect and are available for review by the
Secretary and the public governing the eligibility, admission, and occupancy of
families for housing assisted with grant amounts provided under this title;
(iv) a certification that policies are in effect and are available for review by the
Secretary and the public governing rents charged, including the methods by which
such rents or homebuyer payments are determined, for housing assisted with grant
amounts provided under this title; and
(v) a certification that policies are in effect and are available for review by the
Secretary and the public governing the management and maintenance of housing
assisted with grant amounts provided under this title.
(d) Applicability of Civil Rights Statutes.-(1) In general.--To the extent that the requirements of title VI of the Civil Rights Act of 1964 (42
U.S.C. 2000d et seq.) or of the Fair Housing Act (42 U.S.C. 3601 et seq.) apply to assistance
provided under this title, nothing in the requirements concerning discrimination on the basis of race
shall be construed to prevent the provision of assistance under this title-(A) to the Department of Hawaiian Home Lands on the basis that the Department served
Native Hawaiians; or
(B) to an eligible family on the basis that the family is a Native Hawaiian family.
(2) Civil rights.--Program eligibility under this title may be restricted to Native Hawaiians. Subject to
the preceding sentence, no person may be discriminated against on the basis of race, color, national
origin, religion, sex, familial status, or disability.
(e) Use of Nonprofit Organizations.--As a condition of receiving grant amounts under this title, the
Department of Hawaiian Home Lands shall, to the extent practicable, provide for private nonprofit

42

organizations experienced in the planning and development of affordable housing for Native Hawaiians to
carry out affordable housing activities with those grant amounts.
SEC. 804. REVIEW OF PLANS.

[25 USC 4224]

(a) Review and Notice.-(1) Review.-(A) In general.--The Secretary shall conduct a review of a housing plan submitted to the
Secretary under section 803 to ensure that the plan complies with the requirements of that
section.
(B) Limitation.--The Secretary shall have the discretion to review a plan referred to in
subparagraph (A) only to the extent that the Secretary considers that the review is necessary.
(2) Notice.-(A) In general.--Not later than 60 days after receiving a plan under section 803, the Secretary
shall notify the Director of the Department of Hawaiian Home Lands whether the plan
complies with the requirements under that section.
(B) Effect of failure of secretary to take action.--For purposes of this title, if the Secretary
does not notify the Director, as required under this subsection and subsection (b), upon the
expiration of the 60-day period described in subparagraph (A)-(i) the plan shall be considered to have been determined to comply with the
requirements under section 803; and
(ii) the Director shall be considered to have been notified of compliance.
(b) Notice of Reasons for Determination of Noncompliance.--If the Secretary determines that a plan submitted
under section 803 does not comply with the requirements of that section, the Secretary shall specify in the
notice under subsection (a)-(1) the reasons for noncompliance; and
(2) any modifications necessary for the plan to meet the requirements of section 803.
(c) Review.-(1) In general.--After the Director of the Department of Hawaiian Home Lands submits a housing
plan under section 803, or any amendment or modification to the plan to the Secretary, to the extent
that the Secretary considers such action to be necessary to make a determination under this
subsection, the Secretary shall review the plan (including any amendments or modifications thereto)
to determine whether the contents of the plan-(A) set forth the information required by section 803 to be contained in the housing plan;
(B) are consistent with information and data available to the Secretary; and
(C) are not prohibited by or inconsistent with any provision of this Act or any other
applicable law.
(2) Incomplete plans.--If the Secretary determines under this subsection that any of the appropriate
certifications required under section 803(c)(2)(E) are not included in a plan, the plan shall be
considered to be incomplete.
(d) Updates to Plan.-(1) In general.--Subject to paragraph (2), after a plan under section 803 has been submitted for a fiscal
year, the Director of the Department of Hawaiian Home Lands may comply with the provisions of
that section for any succeeding fiscal year (with respect to information included for the 5-year period
under section 803(b) or for the 1-year period under section 803(c)) by submitting only such
information regarding such changes as may be necessary to update the plan previously submitted.
(2) Complete plans.--The Director shall submit a complete plan under section 803 not later than 4
years after submitting an initial plan under that section, and not less frequently than every 4 years
thereafter.
(e) Effective Date.--This section and section 803 shall take effect on the date provided by the Secretary
pursuant to section 807(a) to provide for timely submission and review of the housing plan as necessary for
the provision of assistance under this title for fiscal year 2001.

43

SEC. 805. TREATMENT OF PROGRAM INCOME AND LABOR STANDARDS.

[25 USC 4225]

(a) Program Income.-(1) Authority to retain.--The Department of Hawaiian Home Lands may retain any program income
that is realized from any grant amounts received by the Department under this title if-(A) that income was realized after the initial disbursement of the grant amounts received by
the Department; and
(B) the Director agrees to use the program income for affordable housing activities in
accordance with the provisions of this title.
(2) Prohibition of reduction of grant.--The Secretary may not reduce the grant amount for the
Department of Hawaiian Home Lands based solely on-(A) whether the Department retains program income under paragraph (1); or
(B) the amount of any such program income retained.
(3) Exclusion of amounts.--The Secretary may, by regulation, exclude from consideration as program
income any amounts determined to be so small that compliance with the requirements of this
subsection would create an unreasonable administrative burden on the Department.
(b) Labor Standards.-(1) In general.--Any contract or agreement for assistance, sale, or lease pursuant to this title shall
contain-(A) a provision requiring that an amount not less than the wages prevailing in the locality, as
determined or adopted (subsequent to a determination under applicable State or local law) by
the Secretary, shall be paid to all architects, technical engineers, draftsmen, technicians
employed in the development and all maintenance, and laborers and mechanics employed in
the operation, of the affordable housing project involved; and
(B) a provision that an amount not less than the wages prevailing in the locality, as
predetermined by the Secretary of Labor pursuant to the Act commonly known as the `DavisBacon Act' (46 Stat. 1494; chapter 411; 40 U.S.C. 276a et seq.) shall be paid to all laborers
and mechanics employed in the development of the affordable housing involved.
(2) Exceptions.--Paragraph (1) and provisions relating to wages required under paragraph (1) in any
contract or agreement for assistance, sale, or lease under this title, shall not apply to any individual
who performs the services for which the individual volunteered and who is not otherwise employed at
any time in the construction work and received no compensation or is paid expenses, reasonable
benefits, or a nominal fee for those services.
SEC. 806. ENVIRONMENTAL REVIEW.

[25 USC 4226]

(a) In General.-(1) Release of funds.-(A) In general.--The Secretary may carry out the alternative environmental protection
procedures described in subparagraph (B) in order to ensure-(i) that the policies of the National Environmental Policy Act of 1969 (42 U.S.C.
4321 et seq.) and other provisions of law that further the purposes of such Act (as
specified in regulations issued by the Secretary) are most effectively implemented in
connection with the expenditure of grant amounts provided under this title; and
(ii) to the public undiminished protection of the environment.
(B) Alternative environmental protection procedure.--In lieu of applying environmental
protection procedures otherwise applicable, the Secretary may by regulation provide for the
release of funds for specific projects to the Department of Hawaiian Home Lands if the
Director of the Department assumes all of the responsibilities for environmental review,
decisionmaking, and action under the National Environmental Policy Act of 1969 (42 U.S.C.
4321 et seq.), and such other provisions of law as the regulations of the Secretary specify, that
would apply to the Secretary were the Secretary to undertake those projects as Federal
projects.
(2) Regulations.--

44

(A) In general.--The Secretary shall issue regulations to carry out this section only after
consultation with the Council on Environmental Quality.
(B) Contents.--The regulations issued under this paragraph shall-(i) provide for the monitoring of the environmental reviews performed under this
section;
(ii) in the discretion of the Secretary, facilitate training for the performance of such
reviews; and
(iii) provide for the suspension or termination of the assumption of responsibilities
under this section.
(3) Effect on assumed responsibility.--The duty of the Secretary under paragraph (2)(B) shall not be
construed to limit or reduce any responsibility assumed by the Department of Hawaiian Home Lands
for grant amounts with respect to any specific release of funds.
(b) Procedure.-(1) In general.--The Secretary shall authorize the release of funds subject to the procedures under this
section only if, not less than 15 days before that approval and before any commitment of funds to
such projects, the Director of the Department of Hawaiian Home Lands submits to the Secretary a
request for such release accompanied by a certification that meets the requirements of subsection (c).
(2) Effect of approval.--The approval of the Secretary of a certification described in paragraph (1)
shall be deemed to satisfy the responsibilities of the Secretary under the National Environmental
Policy Act of 1969 (42 U.S.C. 4321 et seq.) and such other provisions of law as the regulations of the
Secretary specify to the extent that those responsibilities relate to the releases of funds for projects
that are covered by that certification.
(c) Certification.--A certification under the procedures under this section shall-(1) be in a form acceptable to the Secretary;
(2) be executed by the Director of the Department of Hawaiian Home Lands;
(3) specify that the Department of Hawaiian Home Lands has fully carried out its responsibilities as
described under subsection (a); and
(4) specify that the Director-(A) consents to assume the status of a responsible Federal official under the National
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) and each provision of law
specified in regulations issued by the Secretary to the extent that those laws apply by reason
of subsection (a); and
(B) is authorized and consents on behalf of the Department of Hawaiian Home Lands and the
Director to accept the jurisdiction of the Federal courts for the purpose of enforcement of the
responsibilities of the Director of the Department of Hawaiian Home Lands as such an
official.
SEC. 807. REGULATIONS.

[25 USC 4227]

The Secretary shall issue final regulations necessary to carry out this title not later than October 1, 2001.
SEC. 808. EFFECTIVE DATE.

[25 USC 4221]

Except as otherwise expressly provided in this title, this title shall take effect on the date of the enactment of
the American Homeownership and Economic Opportunity Act of 2000.
SEC. 809. AFFORDABLE HOUSING ACTIVITIES.

[25 USC 4228]

(a) National Objectives and Eligible Families.-(1) Primary objective.--The national objectives of this title are-(A) to assist and promote affordable housing activities to develop, maintain, and operate
affordable housing in safe and healthy environments for occupancy by low-income Native
Hawaiian families;

45

(B) to ensure better access to private mortgage markets and to promote self-sufficiency of
low-income Native Hawaiian families;
(C) to coordinate activities to provide housing for low-income Native Hawaiian families with
Federal, State, and local activities to further economic and community development;
(D) to plan for and integrate infrastructure resources on the Hawaiian Home Lands with
housing development; and
(E) to-(i) promote the development of private capital markets; and
(ii) allow the markets referred to in clause (i) to operate and grow, thereby benefiting
Native Hawaiian communities.
(2) Eligible families.-(A) In general.--Except as provided under subparagraph (B), assistance for eligible housing
activities under this title shall be limited to low-income Native Hawaiian families.
(B) Exception to low-income requirement.-(i) In general.--The Director may provide assistance for homeownership activities
under-(I) section 810(b);
(II) model activities under section 810(f ); or
(III) loan guarantee activities under section 184A of the Housing and
Community Development Act of 1992 to Native Hawaiian families who are
not low-income families, to the extent that the Secretary approves the
activities under that section to address a need for housing for those families
that cannot be reasonably met without that assistance.
(ii) Limitations.--The Secretary shall establish limitations on the amount of assistance
that may be provided under this title for activities for families that are not lowincome families.
(C) Other families.--Notwithstanding paragraph (1), the Director may provide housing or
housing assistance provided through affordable housing activities assisted with grant amounts
under this title to a family that is not composed of Native Hawaiians if-(i) the Department determines that the presence of the family in the housing involved
is essential to the well-being of Native Hawaiian families; and
(ii) the need for housing for the family cannot be reasonably met without the
assistance.
(D) Preference.-(i) In general.--A housing plan submitted under section 803 may authorize a
preference, for housing or housing assistance provided through affordable housing
activities assisted with grant amounts provided under this title to be provided, to the
extent practicable, to families that are eligible to reside on the Hawaiian Home
Lands.
(ii) Application.--In any case in which a housing plan provides for preference
described in clause (i), the Director shall ensure that housing activities that are
assisted with grant amounts under this title are subject to that preference.
(E) Use of nonprofit organizations.--As a condition of receiving grant amounts under this
title, the Department of Hawaiian Home Lands, shall to the extent practicable, provide for
private nonprofit organizations experienced in the planning and development of affordable
housing for Native Hawaiians to carry out affordable housing activities with those grant
amounts.

46

SEC. 810. ELIGIBLE AFFORDABLE HOUSING ACTIVITIES.

[25 USC 4229]

(a) In General.--Affordable housing activities under this section are activities conducted in accordance with
the requirements of section 811 to-(1) develop or to support affordable housing for rental or homeownership; or
(2) provide housing services with respect to affordable housing, through the activities described in
subsection (b).
(b) Activities.--The activities described in this subsection are the following:
(1) Development.--The acquisition, new construction, reconstruction, or moderate or substantial
rehabilitation of affordable housing, which may include-(A) real property acquisition;
(B) site improvement;
(C) the development of utilities and utility services;
(D) conversion;
(E) demolition;
(F) financing;
(G) administration and planning; and
(H) other related activities.
(2) Housing services.--The provision of housing-related services for affordable housing, including-(A) housing counseling in connection with rental or homeownership assistance;
(B) the establishment and support of resident organizations and resident management
corporations;
(C) energy auditing;
(D) activities related to the provisions of self-sufficiency and other services; and
(E) other services related to assisting owners, tenants, contractors, and other entities
participating or seeking to participate in other housing activities assisted pursuant to this
section.
(3) Housing management services.--The provision of management services for affordable housing,
including-(A) the preparation of work specifications;
(B) loan processing;
(C) inspections;
(D) tenant selection;
(E) management of tenant-based rental assistance; and
(F) management of affordable housing projects.
(4) Crime prevention and safety activities.--The provision of safety, security, and law enforcement
measures and activities appropriate to protect residents of affordable housing from crime.
(5) Model activities.--Housing activities under model programs that are-(A) designed to carry out the purposes of this title; and
(B) specifically approved by the Secretary as appropriate for the purpose referred to in
subparagraph (A).
SEC. 811 PROGRAM REQUIREMENTS.

[25 USC 4230]

(a) Rents.-(1) Establishment.--Subject to paragraph (2), as a condition to receiving grant amounts under this
title, the Director shall develop written policies governing rents and homebuyer payments charged for
dwelling units assisted under this title, including methods by which such rents and homebuyer
payments are determined.
(2) Maximum rent.--In the case of any low-income family residing in a dwelling unit assisted with
grant amounts under this title, the monthly rent or homebuyer payment (as applicable) for that
dwelling unit may not exceed 30 percent of the monthly adjusted income of that family.

47

(b) Maintenance and Efficient Operation.-(1) In general.--The Director shall, using amounts of any grants received under this title, reserve and
use for operating under section 810 such amounts as may be necessary to provide for the continued
maintenance and efficient operation of such housing.
(2) Disposal of certain housing.--This subsection may not be construed to prevent the Director, or any
entity funded by the Department, from demolishing or disposing of housing, pursuant to regulations
established by the Secretary.
(c) Insurance Coverage.--As a condition to receiving grant amounts under this title, the Director shall require
adequate insurance coverage for housing units that are owned or operated or assisted with grant amounts
provided under this title.
(d) Eligibility for Admission.--As a condition to receiving grant amounts under this title, the Director shall
develop written policies governing the eligibility, admission, and occupancy of families for housing assisted
with grant amounts provided under this title.
(e) Management and Maintenance.--As a condition to receiving grant amounts under this title, the Director
shall develop policies governing the management and maintenance of housing assisted with grant amounts
under this title.
SEC. 812. TYPES OF INVESTMENTS.

[25 USC 4231]

(a) In General.--Subject to section 811 and an applicable housing
plan approved under section 803, the Director shall have-(1) the discretion to use grant amounts for affordable housing activities through the use of-(A) equity investments;
(B) interest-bearing loans or advances;
(C) noninterest-bearing loans or advances;
(D) interest subsidies;
(E) the leveraging of private investments; or
(F) any other form of assistance that the Secretary determines to be consistent with the
purposes of this title; and
(2) the right to establish the terms of assistance provided with funds referred to in paragraph (1).
(b) Investments.--The Director may invest grant amounts for the purposes of carrying out affordable housing
activities in investment securities and other obligations, as approved by the Secretary.
SEC. 813. LOW-INCOME REQUIREMENT AND INCOME TARGETING.

[25 USC 4232]

(a) In General.--Housing shall qualify for affordable housing for purposes of this title only if-(1) each dwelling unit in the housing-(A) in the case of rental housing, is made available for occupancy only by a family that is a
low-income family at the time of the initial occupancy of that family of that unit; and
(B) in the case of housing for homeownership, is made available for purchase only by a
family that is a low-income family at the time of purchase; and
(2) each dwelling unit in the housing will remain affordable, according to binding commitments
satisfactory to the Secretary, for-(A) the remaining useful life of the property (as determined by the Secretary) without regard
to the term of the mortgage or to transfer of ownership; or
(B) such other period as the Secretary determines is the longest feasible period of time
consistent with sound economics and the purposes of this title, except upon a foreclosure by a
lender (or upon other transfer in lieu of foreclosure) if that action-(i) recognizes any contractual or legal rights of any public agency, nonprofit sponsor,
or other person or entity to take an action that would-(I) avoid termination of low-income affordability, in the case of foreclosure;
or
(II) transfer ownership in lieu of foreclosure; and
(ii) is not for the purpose of avoiding low-income affordability restrictions, as
determined by the Secretary.

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(b) Exception.--Notwithstanding subsection (a), housing assistance pursuant to section 809(a)(2)(B) shall be
considered affordable housing for purposes of this title.
SEC. 814. LEASE REQUIREMENTS AND TENANT SELECTION.

[25 USC 4233]

(a) Leases.--Except to the extent otherwise provided by or inconsistent with the laws of the State of Hawaii, in
renting dwelling units in affordable housing assisted with grant amounts provided under this title, the
Director, owner, or manager shall use leases that-(1) do not contain unreasonable terms and conditions;
(2) require the Director, owner, or manager to maintain the housing in compliance with applicable
housing codes and quality standards;
(3) require the Director, owner, or manager to give adequate written notice of termination of the lease,
which shall be the period of time required under applicable State or local law;
(4) specify that, with respect to any notice of eviction or termination, notwithstanding any State or
local law, a resident shall be informed of the opportunity, before any hearing or trial, to examine any
relevant documents, record, or regulations directly related to the eviction or termination;
(5) require that the Director, owner, or manager may not terminate the tenancy, during the term of the
lease, except for serious or repeated violation of the terms and conditions of the lease, violation of
applicable Federal, State, or local law, or for other good cause; and
(6) provide that the Director, owner, or manager may terminate the tenancy of a resident for any
activity, engaged in by the resident, any member of the household of the resident, or any guest or
other person under the control of the resident, that-(A) threatens the health or safety of, or right to peaceful enjoyment of the premises by, other
residents or employees of the Department, owner, or manager;
(B) threatens the health or safety of, or right to peaceful enjoyment of their premises by,
persons residing in the immediate vicinity of the premises; or
(C) is criminal activity (including drug-related criminal activity) on or off the premises.
(b) Tenant or Homebuyer Selection.--As a condition to receiving grant amounts under this title, the Director
shall adopt and use written tenant and homebuyer selection policies and criteria that-(1) are consistent with the purpose of providing housing for low-income families;
(2) are reasonably related to program eligibility and the ability of the applicant to perform the
obligations of the lease; and
(3) provide for-(A) the selection of tenants and homebuyers from a written waiting list in accordance with the
policies and goals set forth in an applicable housing plan approved under section 803; and
(B) the prompt notification in writing of any rejected applicant of the grounds for that
rejection.
SEC. 815. REPAYMENT.

[25 USC 4234]

If the Department of Hawaiian Home Lands uses grant amounts to provide affordable housing under activities
under this title and, at any time during the useful life of the housing, the housing does not comply with the
requirement under section 813(a)(2), the Secretary shall-(1) reduce future grant payments on behalf of the Department by an amount equal to the grant
amounts used for that housing (under the authority of section 819(a)(2)); or
(2) require repayment to the Secretary of any amount equal to those grant amounts.
SEC. 816. ANNUAL ALLOCATION.

[25 USC 4235]

For each fiscal year, the Secretary shall allocate any amounts made available for assistance under this title for
the fiscal year, in accordance with the formula established pursuant to section 817 to the Department of
Hawaiian Home Lands if the Department complies with the requirements under this title for a grant under this
title.

49

SEC. 817. ALLOCATION FORMULA.

[25 USC 4236]

(a) Establishment.--The Secretary shall, by regulation issued not later than the expiration of the 6-month
period beginning on the date of the enactment of the American Homeownership and Economic Opportunity
Act of 2000, in the manner provided under section 807, establish a formula to provide for the allocation of
amounts available for a fiscal year for block grants under this title in accordance with the requirements of this
section.
(b) Factors for Determination of Need.--The formula under subsection (a) shall be based on factors that reflect
the needs for assistance for affordable housing activities, including-(1) the number of low-income dwelling units owned or operated at the time pursuant to a contract
between the Director and the Secretary;
(2) the extent of poverty and economic distress and the number of Native Hawaiian families eligible
to reside on the Hawaiian Home Lands; and
(3) any other objectively measurable conditions that the Secretary and the Director may specify.
(c) Other Factors for Consideration.--In establishing the formula under subsection (a), the Secretary shall
consider the relative administrative capacities of the Department of Hawaiian Home Lands and other
challenges faced by the Department, including-(1) geographic distribution within Hawaiian Home Lands; and
(2) technical capacity.
(d) Effective Date.--This section shall take effect on the date of the enactment of the American
Homeownership and Economic Opportunity Act of 2000.
SEC. 818. REMEDIES FOR NONCOMPLIANCE.

[25 USC 4237]

(a) Actions by Secretary Affecting Grant Amounts.-(1) In general.--Except as provided in subsection (b), if the Secretary finds after reasonable notice and
opportunity for a hearing that the Department of Hawaiian Home Lands has failed to comply
substantially with any provision of this title, the Secretary shall-(A) terminate payments under this title to the Department;
(B) reduce payments under this title to the Department by an amount equal to the amount of
such payments that were not expended in accordance with this title; or
(C) limit the availability of payments under this title to programs, projects, or activities not
affected by such failure to comply.
(2) Actions.--If the Secretary takes an action under subparagraph (A), (B), or (C) of paragraph (1), the
Secretary shall continue that action until the Secretary determines that the failure by the Department
to comply with the provision has been remedied by the Department and the Department is in
compliance with that provision.
(b) Noncompliance Because of a Technical Incapacity.--The Secretary may provide technical assistance for
the Department, either directly or indirectly, that is designed to increase the capability and capacity of the
Director of the Department to administer assistance provided under this title in compliance with the
requirements under this title if the Secretary makes a finding under subsection (a), but determines that the
failure of the Department to comply substantially with the provisions of this title-(1) is not a pattern or practice of activities constituting willful noncompliance; and
(2) is a result of the limited capability or capacity of the Department of Hawaiian Home Lands.
(c) Referral for Civil Action.-(1) Authority.--In lieu of, or in addition to, any action that the Secretary may take under subsection
(a), if the Secretary has reason to believe that the Department of Hawaiian Home Lands has failed to
comply substantially with any provision of this title, the Secretary may refer the matter to the
Attorney General of the United States with a recommendation that an appropriate civil action be
instituted.
(2) Civil action.--Upon receiving a referral under paragraph (1), the Attorney General may bring a
civil action in any United States district court of appropriate jurisdiction for such relief as may be
appropriate, including an action--

50

(A) to recover the amount of the assistance furnished under this title that was not expended in
accordance with this title; or
(B) for mandatory or injunctive relief.
(d) Review.-(1) In general.--If the Director receives notice under subsection (a) of the termination, reduction, or
limitation of payments under this Act, the Director-(A) may, not later than 60 days after receiving such notice, file with the United States Court
of Appeals for the Ninth Circuit, or in the United States Court of Appeals for the District of
Columbia, a petition for review of the action of the Secretary; and
(B) upon the filing of any petition under subparagraph (A), shall forthwith transmit copies of
the petition to the Secretary and the Attorney General of the United States, who shall
represent the Secretary in the litigation.
(2) Procedure.-(A) In general.--The Secretary shall file in the court a record of the proceeding on which the
Secretary based the action, as provided in section 2112 of title 28, United States Code.
(B) Objections.--No objection to the action of the Secretary shall be considered by the court
unless the Department has registered the objection before the Secretary.
(3) Disposition.-(A) Court proceedings.-(i) Jurisdiction of court.--The court shall have jurisdiction to affirm or modify the
action of the Secretary or to set the action aside in whole or in part.
(ii) Findings of fact.--If supported by substantial evidence on the record considered as
a whole, the findings of fact by the Secretary shall be conclusive.
(iii) Addition.--The court may order evidence, in addition to the evidence submitted
for review under this subsection, to be taken by the Secretary, and to be made part of
the record.
(B) Secretary.-(i) In general.--The Secretary, by reason of the additional evidence referred to in
subparagraph (A) and filed with the court-(I) may-(aa) modify the findings of fact of the Secretary; or
(bb) make new findings; and
(II) shall file-(aa) such modified or new findings; and
(bb) the recommendation of the Secretary, if any, for the
modification or setting aside of the original action of the Secretary.
(ii) Findings.--The findings referred to in clause (i)(II)(bb) shall, with respect to a
question of fact, be considered to be conclusive if those findings are-(I) supported by substantial evidence on the record; and
(II) considered as a whole.
(4) Finality.-(A) In general.--Except as provided in subparagraph (B), upon the filing of the record under
this subsection with the court-(i) the jurisdiction of the court shall be exclusive; and
(ii) the judgment of the court shall be final.
(B) Review by supreme court.--A judgment under subparagraph (A) shall be subject to
review by the Supreme Court of the United States upon writ of certiorari or certification, as
provided in section 1254 of title 28, United States Code.

51

SEC. 819. MONITORING OF COMPLIANCE.

[25 USC 4238]

(a) Enforceable Agreements.-(1) In general.--The Director, through binding contractual agreements with owners or other
authorized entities, shall ensure long-term compliance with the provisions of this title.
(2) Measures.--The measures referred to in paragraph (1) shall provide for-(A) to the extent allowable by Federal and State law, the enforcement of the provisions of this
title by the Department and the Secretary; and
(B) remedies for breach of the provisions referred to in paragraph (1).
(b) Periodic Monitoring.-(1) In general.--Not less frequently than annually, the Director shall review the activities conducted
and housing assisted under this title to assess compliance with the requirements of this title.
(2) Review.--Each review under paragraph (1) shall include onsite inspection of housing to determine
compliance with applicable requirements.
(3) Results.--The results of each review under paragraph (1) shall be-(A) included in a performance report of the Director submitted to the Secretary under section
820; and
(B) made available to the public.
(c) Performance Measures.--The Secretary shall establish such performance measures as may be necessary to
assess compliance with the requirements of this title.
SEC. 820. PERFORMANCE REPORTS.

[25 USC 4239]

(a) Requirement.--For each fiscal year, the Director shall-(1) review the progress the Department has made during that fiscal year in carrying out the housing
plan submitted by the Department under section 803; and
(2) submit a report to the Secretary (in a form acceptable to the Secretary) describing the conclusions
of the review.
(b) Content.--Each report submitted under this section for a fiscal year shall-(1) describe the use of grant amounts provided to the Department of Hawaiian Home Lands for that
fiscal year;
(2) assess the relationship of the use referred to in paragraph (1) to the goals identified in the housing
plan;
(3) indicate the programmatic accomplishments of the Department; and
(4) describe the manner in which the Department would change its housing plan submitted under
section 803 as a result of its experiences.
(c) Submissions.--The Secretary shall-(1) establish a date for submission of each report under this section;
(2) review each such report; and
(3) with respect to each such report, make recommendations as the Secretary considers appropriate to
carry out the purposes of this title.
(d) Public Availability.-(1) Comments by beneficiaries.--In preparing a report under this section, the Director shall make the
report publicly available to the beneficiaries of the Hawaiian Homes Commission Act, 1920 (42 Stat.
108 et seq.) and give a sufficient amount of time to permit those beneficiaries to comment on that
report before it is submitted to the Secretary (in such manner and at such time as the Director may
determine).
(2) Summary of comments.--The report shall include a summary of any comments received by the
Director from beneficiaries under paragraph (1) regarding the program to carry out the housing plan.

52

SEC. 821. REVIEW AND AUDIT BY SECRETARY.

[25 USC 4240]

(a) Annual Review.-(1) In general.--The Secretary shall, not less frequently than on an annual basis, make such reviews
and audits as may be necessary or appropriate to determine whether-(A) the Director has-(i) carried out eligible activities under this title in a timely manner;
(ii) carried out and made certifications in accordance with the requirements and the
primary objectives of this title and with other applicable laws; and
(iii) a continuing capacity to carry out the eligible activities in a timely manner;
(B) the Director has complied with the housing plan submitted by the Director under section
803; and
(C) the performance reports of the Department under section 821 are accurate.
(2) Onsite visits.--Each review conducted under this section shall, to the extent practicable, include
onsite visits by employees of the Department of Housing and Urban Development.
(b) Report by Secretary.--The Secretary shall give the Department of Hawaiian Home Lands not less than 30
days to review and comment on a report under this subsection. After taking into consideration the comments
of the Department, the Secretary may revise the report and shall make the comments of the Department and
the report with any revisions, readily available to the public not later than 30 days after receipt of the
comments of the Department.
(c) Effect of Reviews.--The Secretary may make appropriate adjustments in the amount of annual grants
under this title in accordance with the findings of the Secretary pursuant to reviews and audits under this
section. The Secretary may adjust, reduce, or withdraw grant amounts, or take other action as appropriate in
accordance with the reviews and audits of the Secretary under this section, except that grant amounts already
expended on affordable housing activities may not be recaptured or deducted from future assistance provided
to the Department of Hawaiian Home Lands.
SEC. 822. GENERAL ACCOUNTING OFFICE AUDITS.

[25 USC 4241]

To the extent that the financial transactions of the Department of Hawaiian Home Lands involving grant
amounts under this title relate to amounts provided under this title, those transactions may be audited by the
Comptroller General of the United States under such regulations as may be prescribed by the Comptroller
General. The Comptroller General of the United States shall have access to all books, accounts, records,
reports, files, and other papers, things, or property belonging to or in use by the Department of Hawaiian
Home Lands pertaining to such financial transactions and necessary to facilitate the audit.
SEC. 823. REPORTS TO CONGRESS.

[42 USC 4242]

(a) In General.--Not later than 90 days after the conclusion of each fiscal year in which assistance under this
title is made available, the Secretary shall submit to Congress a report that contains-(1) a description of the progress made in accomplishing the objectives of this title;
(2) a summary of the use of funds available under this title during the preceding fiscal year; and
(3) a description of the aggregate outstanding loan guarantees under section 184A of the Housing and
Community Development Act of 1992.
(b) Related Reports.--The Secretary may require the Director to submit to the Secretary such reports and other
information as may be necessary in order for the Secretary to prepare the report required under subsection (a).
SEC. 824. AUTHORIZATION OF APPROPRIATIONS.

[25 USC 4243]

There are authorized to be appropriated to the Department of Housing and Urban Development for grants
under this title such sums as may be necessary for each of fiscal years 2001, 2002, 2003, 2004, and
2005.

53

Additional provisions from the NAHASDA Reauthorization Act of 2008 that did not amend NAHASDA:
TITLE VIII--MISCELLANEOUS
SEC. 801. LIMITATION ON USE FOR CHEROKEE NATION.
No funds authorized under this Act, or the amendments made by this Act, or appropriated pursuant to an
authorization under this Act or such amendments, shall be expended for the benefit of the Cherokee Nation;
provided, that this limitation shall not be effective if the Temporary Order and Temporary Injunction issued
on May 14, 2007, by the District Court of the Cherokee Nation remains in effect during the pendency of
litigation or there is a settlement agreement which effects the end of litigation among the adverse parties.
SEC. 802. LIMITATION ON USE OF FUNDS.
No amounts made available pursuant to any authorization of appropriations under this Act, or under the
amendments made by this Act, may be used to employ workers described in section 274A(h)(3)) of the
Immigration and Nationality Act (8 U.S.C. 1324a(h)(3)). [Note: this prohibits the hiring of unauthorized
aliens.]
SEC. 803. GAO STUDY OF EFFECTIVENESS OF NAHASDA FOR TRIBES OF DIFFERENT SIZES.
(a) IN GENERAL- The Comptroller General of the United States shall conduct a study of the effectiveness
of the Native American Housing Assistance and Self-Determination Act of 1996 in achieving its purposes of
meeting the needs for affordable housing for low-income Indian families, as compared to the programs for
housing and community development assistance for Indian tribes and families and Indian housing
authorities that were terminated under title V of such Act and the amendments made by such title. The study
shall compare such effectiveness with respect to Indian tribes of various sizes and types, and specifically
with respect to smaller tribes for which grants of lesser or minimum amounts have been made under title I
of such Act.
(b) REPORT- Not later than the expiration of the 12-month period beginning on the date of the enactment
of this Act, the Comptroller General shall submit a report to the Committee on Financial Services of the
House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate
regarding the results and conclusions of the study conducted pursuant to subsection (a). Such report shall
include recommendations regarding any changes appropriate to the Native American Housing Assistance
and Self-Determination Act of 1996 to help ensure that the purposes of such Act are achieved by all Indian
tribes, regardless of size or type.

54