[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 3620 Introduced in Senate (IS)]
<DOC>
116th CONGRESS
2d Session
S. 3620
To establish a Housing Assistance Fund at the Department of the
Treasury.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
May 6, 2020
Mr. Reed (for himself, Mr. Brown, Mr. Tester, Mr. Schatz, Mr. Jones,
Ms. Smith, Ms. Warren, Ms. Sinema, Mr. Warner, Mr. Menendez, Mr. Van
Hollen, Ms. Cortez Masto, Mr. Kaine, Mr. Udall, Mr. Booker, Mrs.
Feinstein, Mr. Durbin, Mr. Merkley, and Mr. Wyden) introduced the
following bill; which was read twice and referred to the Committee on
Banking, Housing, and Urban Affairs
_______________________________________________________________________
A BILL
To establish a Housing Assistance Fund at the Department of the
Treasury.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. HOUSING ASSISTANCE FUND.
(a) Definitions.--In this section:
(1) Conforming loan limit.--The term ``conforming loan
limit'' means the applicable limitation governing the maximum
original principal obligation for a mortgage secured by a
single-family residence, a mortgage secured by a 2-family
residence, a mortgage secured by a 3-family residence, or a
mortgage secured by a 4-family residence, as determined and
adjusted annually under section 302(b)(2) of the Federal
National Mortgage Association Charter Act (12 U.S.C.
1717(b)(2)) and section 305(a)(2) of the Federal Home Loan
Mortgage Corporation Act (12 U.S.C. 1454(a)(2)).
(2) Eligible household.--The term ``eligible household''
means a household whose income does not exceed 150 percent of
the area median income for their household size, as determined
by the Secretary of Housing and Urban Development.
(3) Mortgage.--The term ``mortgage'' means a mortgage--
(A) that is secured by the principal residence of a
borrower; and
(B) the unpaid principal balance of which was, at
the time of origination, not more than the conforming
loan limit.
(4) Secretary.--The term ``Secretary'' means the Secretary
of the Treasury.
(5) State.--The term ``State'' means any State of the
United States, the District of Columbia, any territory of the
United States, the Commonwealth of Puerto Rico, Guam, American
Samoa, the Virgin Islands, and the Northern Mariana Islands.
(b) Establishment of Fund.--There is established at the Department
of the Treasury a Housing Assistance Fund to provide such funds as are
appropriated in subsection (f) to State housing finance agencies and
any entity named under subsection (j) for the purpose of preventing
homeowner mortgage defaults, foreclosures, and displacements of
individuals and families experiencing financial hardship after January
21, 2020.
(c) Allocation of Funds.--
(1) In general.--The Secretary shall establish such
criteria as are necessary to allocate the funds available
within the Housing Assistance Fund to each State. The Secretary
shall allocate such funds among all States taking into
consideration the number of unemployment claims within a State
relative to the nation-wide number of unemployment claims.
(2) Small state minimum.--Each State of the United States,
the District of Columbia, and the Commonwealth of Puerto Rico
shall receive no less than $250,000,000 for the purposes
established in (b).
(3) Territory set-aside.--Notwithstanding any other
provision of this section, of the amounts appropriated under
subsection (f), the Secretary shall reserve $200,000,000 to be
disbursed to Guam, American Samoa, the Virgin Islands, and the
Northern Mariana Islands based on each such territory's share
of the combined total population of all such territories, as
determined by the Secretary. For the purposes of this
paragraph, population shall be determined based on the most
recent year for which data are available from the United States
Census Bureau.
(4) Tribal set-aside.--The Secretary shall allocate funds
to an entity designated under subsection (j) pursuant to the
requirements of that subsection.
(d) Disbursement of Funds.--
(1) Initial disbursement.--The Secretary shall disburse to
the State housing finance agencies and entities designated
under subsection (j) not less than \1/2\ of the amount made
available pursuant to this section, and in accordance with the
allocations established under subsections (c) and (j), not
later than 120 days after the date of enactment of this Act.
The Secretary or designee shall enter into a contract with each
State housing finance agency and each entity designated under
subsection (j), which may be amended from time to time,
establishing the terms of the use of such funds, in accordance
with subsection (e), prior to the disbursement of such funds.
(2) Second disbursement.--The Secretary shall disburse all
funds made available pursuant to this section, and in
accordance with the allocations established under subsections
(c) and (j), not later than 180 days after the date of
enactment of this Act.
(e) Permissible Uses of Fund.--
(1) In general.--Funds made available to State housing
finance agencies and designated entities under subsection (j)
pursuant to this section may be used to assist eligible
households for the purposes established under subsection (b),
which may include--
(A) mortgage payment assistance;
(B) financial assistance to allow a borrower to
reinstate their mortgage following a period of
forbearance;
(C) principal reduction;
(D) payment assistance for--
(i) utilities, including electric, gas, and
water;
(ii) internet service, including broadband
internet access service, as defined in section
8.1(b) of title 47, Code of Federal Regulations
(or any successor regulation); and
(iii) property taxes;
(E) any program established under the Housing
Finance Agency Innovation Fund for the Hardest Hit
Housing Markets;
(F) reimbursement of funds expended by a State or
local government during the period beginning on January
21, 2020, and ending on the date that the first funds
are disbursed by the State under the Housing Assistance
Fund, for the purpose of providing housing or utility
payment assistance to individuals or otherwise
providing funds to prevent foreclosure or eviction of a
homeowner or tenant or prevent mortgage delinquency or
loss of housing or utilities as a response to the
coronavirus disease 2019 (COVID-19) pandemic; and
(G) any other assistance to prevent eviction,
mortgage delinquency or default, foreclosure, or the
loss of utility services for an eligible household.
(2) Administrative expenses.--Not greater than 10 percent
of the amount allocated to a State or an entity pursuant to
subsections (c) or (j) may be used by a State housing financing
agency or an entity for administrative expenses. Any amounts
allocated to administrative expenses that are no longer
necessary for administrative expenses may be used in accordance
with paragraph (1).
(f) Appropriation.--There is appropriated, out of amounts in the
Treasury not otherwise appropriated, for the fiscal year ending
September 30, 2020, to remain available until expended or transferred
or credited under subsection (h) or subsection (j), $75,000,000,000 to
the Housing Assistance Fund established under subsection (b).
(g) Use of Housing Finance Agency Innovation Fund for the Hardest
Hit Housing Markets Funds.--A State housing finance agency may
reallocate any administrative or programmatic funds it has received as
an allocation from the Housing Finance Agency Innovation Fund for the
Hardest Hit Housing Markets created pursuant to section 101(a) of the
Emergency Economic Stabilization Act of 2008 (12 U.S.C. 5211(a)) that
have not been otherwise allocated or disbursed as of the date of
enactment of this Act to supplement any administrative or programmatic
funds received from the Housing Assistance Fund. Such reallocated funds
shall not be considered when allocating resources from the Housing
Assistance Fund using the process established under subsection (c) and
shall remain available for the uses permitted in subsection (e) and
under the terms and conditions established by the contract with the
Secretary created pursuant to subsection (d)(1) and the terms of
subsection (h).
(h) Rescission of Funds.--Any funds that have not been allocated by
a State housing finance agency to provide assistance as described under
subsection (e) by December 31, 2030, shall be reallocated by the
Secretary in the following manner:
(1) 65 percent shall be transferred or credited to the
Housing Trust Fund established under section 1338 of the
Federal Housing Enterprises Financial Safety and Soundness Act
of 1992 (12 U.S.C. 4568); and
(2) 35 percent shall be transferred or credited to the
Capital Magnet Fund under section 1339 of the Federal Housing
Enterprises Financial Safety and Soundness Act of 1992 (12
U.S.C. 4569).
(i) Reporting Requirements.--The Secretary shall provide public
reports not less frequently than quarterly regarding the use of funds
provided by the Housing Assistance Fund. Such reports shall include the
following data by State or entity receiving funds pursuant to
subsection (j) and by program within each State or entity receiving
funds pursuant to subsection (j), both for the past quarter and for the
life of the program--
(1) the amount of funds allocated;
(2) the amount of funds disbursed;
(3) the number of households and individuals assisted;
(4) the acceptance rate of applicants;
(5) the average amount of assistance provided per household
receiving assistance;
(6) the average length of assistance provided per household
receiving assistance;
(7) the income ranges of households for each household
receiving assistance;
(8) demographic information about each household receiving
assistance, including race, ethnicity, and service member
status; and
(9) the outcome 12 months after the household has received
assistance.
(j) Tribal Set-Aside.--
(1) Definitions.--In this subsection:
(A) Department of hawaiian home lands.--The term
``Department of Hawaiian Home Lands'' has the meaning
given the term in section 801 of the Native American
Housing Assistance and Self-Determination Act of 1996
(42 U.S.C. 4221).
(B) Eligible recipient.--The term ``eligible
recipient'' means any entity eligible to receive a
grant under section 101 of the Native American Housing
Assistance and Self-Determination Act of 1996 (25
U.S.C. 4111).
(2) Set-aside.--
(A) In general.--Notwithstanding any other
provision of this section, of the amounts appropriated
under subsection (f), the Secretary shall use 5 percent
to make grants to eligible recipients for the purposes
described in subsection (e)(1).
(B) Native hawaiian set-aside.--Of the funds set
aside under subparagraph (A), the Secretary shall use
0.3 percent to make grants to the Department of
Hawaiian Home Lands for the purposes described in
subsection (e)(1).
(3) Requirements.--
(A) Allocation.--Except for the funds set aside
under paragraph (2)(B), the Secretary shall allocate
the funds set aside under paragraph (2)(A) using the
allocation formula described in subpart D of part 1000
of title 24, Code of Federal Regulations (or successor
regulations).
(B) Native hawaiians.--The Secretary shall use the
funds made available under paragraph (2)(B) in
accordance with part 1006 of title 24, Code of Federal
Regulations (or successor regulations).
(4) Rescission.--The Secretary shall transfer any funds
made available under paragraph (2) that have not been allocated
by an eligible recipient or the Department of Hawaiian Home
Lands, as applicable, to provide the assistance described in
subsection (e)(1) by December 31, 2030, to the Secretary of
Housing and Urban Development to carry out the Native American
Housing Assistance and Self-Determination Act of 1996 (25
U.S.C. 4101 et seq.).
<all>
A bill to establish a Housing Assistance Fund at the Department of the Treasury.
#3620 | S Congress #116
Policy Area: Housing and Community Development
Subjects: Alaska Natives and HawaiiansAmerican SamoaAppropriationsCardiovascular and respiratory healthEmergency medical services and trauma careGovernment information and archivesGuamHousing and community development fundingHousing finance and home ownershipIndian social and development programsInfectious and parasitic diseasesInternet and video servicesInternet, web applications, social mediaNorthern Mariana IslandsProperty taxPublic utilities and utility ratesState and local financeTelecommunication rates and feesU.S. territories and protectorates
Last Action: Read twice and referred to the Committee on Banking, Housing, and Urban Affairs. (Sponsor introductory remarks on measure: CR S2291-2292) (5/6/2020)
Bill Text Source: Congress.gov
Summary and Impacts
Original Text