Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, <<NOTE: Departments of Labor, Health and Human Services, and Education, and Related Agencies Appropriations Act, 2002.>> That the following sums are appropriated, out of any money in the Treasury not otherwise appropriated, for the Departments of Labor, Health and Human Services, and Education, and related agencies for the fiscal year ending September 30, 2002, and for other purposes, namely:
Title I—DEPARTMENT OF LABOR <<NOTE: Department of Labor Appropriations
Title II—DEPARTMENT <<NOTE: Department of Health and Human Services
Title III—DEPARTMENT OF EDUCATION <<NOTE: Department of Education
Title IV—RELATED AGENCIES
Title V—GENERAL PROVISIONS
Title VI—EXTENSION OF
(a) Short Title.--This title may be cited as the ``Mark-to-Market Extension Act of 2001''. (b) Table of Contents.--The table of contents for this title is as follows:
Title VI—EXTENSION OF MARK-TO-MARKET PROGRAM FOR MULTIFAMILY ASSISTED
The purposes of this title are-- (1) to continue the progress of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (referred to in this section as ``that Act''); (2) to ensure that properties that undergo mortgage restructurings pursuant to that Act are rehabilitated to a standard that allows the properties to meet their long-term affordability requirements; (3) to ensure that, for properties that undergo mortgage restructurings pursuant to that Act, reserves are set at adequate levels to allow the properties to meet their long-term affordability requirements; (4) to ensure that properties that undergo mortgage restructurings pursuant to that Act are operated efficiently, and that operating expenses are sufficient to ensure the long- term financial and physical integrity of the properties; (5) to ensure that properties that undergo rent restructurings have adequate resources to maintain the properties in good condition; (6) to ensure that the Office of Multifamily Housing Assistance Restructuring of the Department of Housing and Urban Development continues to focus on the portfolio of properties eligible for restructuring under that Act; (7) to ensure that the Department of Housing and Urban Development carefully tracks the condition of those properties on an ongoing basis; (8) to ensure that tenant groups, nonprofit organizations, and public entities continue to have the resources for building the capacity of tenant organizations in furtherance of the purposes of subtitle A of that Act; and (9) to encourage the Office of Multifamily Housing Assistance Restructuring to continue to provide participating administrative entities, including public participating administrative entities, with the flexibility to respond to specific problems that individual cases may present, while ensuring consistent outcomes around the country.
Except as provided in sections 616(a)(2), 633(b), and 634(b), this title and the amendments made by this title shall take effect or are deemed to have taken effect, as appropriate, on the earlier of-- (1) the date of the enactment of this title; or (2) September 30, 2001.
Subtitle A--Multifamily Housing Mortgage and Assistance Restructuring and Section 8 Contract Renewal
Section 512 of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended by adding at the end the following new paragraph: ``(19) Office.--The term `Office' means the Office of Multifamily Housing Assistance Restructuring established under section 571.''.
(a) Funding for Tenant and Nonprofit Participation.--Section 514(f)(3)(A) of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended-- (1) by striking ``Secretary may provide not more than $10,000,000 annually in funding'' and inserting ``Secretary shall make available not more than $10,000,000 annually in funding, which amount shall be in addition to any amounts made available under this subparagraph and carried over from previous years,''; and (2) by striking ``entities), and for tenant services,'' and inserting ``entities), for tenant services, and for tenant groups, nonprofit organizations, and public entities described in section 517(a)(5),''.
(b) Exception Rents.--Section 514(g)(2)(A) of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended by striking ``restructured mortgages in any fiscal year'' and inserting ``portfolio restructuring agreements''. (c) Notice to Displaced Tenants.--Section 516(d) of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended by striking ``Subject to'' and inserting the following: ``(1) Notice to certain residents.--The Office shall notify any tenant that is residing in a project or receiving assistance under section 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f) at the time of rejection under this section, of such rejection, except that the Office may delegate the responsibility to provide notice under this paragraph to the participating administrative entity. ``(2) Assistance and moving expenses.--Subject to''.
(d) Restructuring Plans for Transfers of Prepayment Projects.--The Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended-- (1) in section 524(e), by adding at the end the following new paragraph:
``(3) Mortgage restructuring and rental assistance sufficiency plans.--Notwithstanding paragraph (1), the owner of the project may request, and the Secretary may consider, mortgage restructuring and rental assistance sufficiency plans to facilitate sales or transfers of properties under this subtitle, subject to an approved plan of action under the Emergency Low Income Housing Preservation Act of 1987 (12 U.S.C. 1715l note) or the Low-Income Housing Preservation and Resident Homeownership Act of 1990 (12 U.S.C. 4101 et seq.), which plans shall result in a sale or transfer of those properties.''; and (2) in the last sentence of section 512(2), by inserting ``, but does include a project described in section 524(e)(3)'' after ``section 524(e)''.
(e) Addition of Significant Features.--Section 517 of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended-- (1) by striking subsection (c) (except that the striking of such subsection may not be construed to have any effect on the provisions of law amended by such subsection, as such subsection was in effect before the date of the enactment of this Act); (2) in subsection (b)-- (A) in paragraph (7), by striking ``(7)'' and inserting ``(1)''; and (B) by adding at the end the following new paragraph: ``(2) Addition of significant features.-- ``(A) Authority.--An approved mortgage restructuring and rental assistance sufficiency plan may require the improvement of the project by the addition of significant features that are not necessary for rehabilitation to the standard provided under paragraph (1), such as air conditioning, an elevator, and additional community space. The Secretary shall establish guidelines regarding the inclusion of requirements regarding such additional significant features under such plans. ``(B) Funding.--Significant features added pursuant to an approved mortgage restructuring and rental assistance sufficiency plan may be paid from the funding sources specified in the first sentence of paragraph (1)(A). ``(C) Limitation on owner contribution.--An owner of a project may not be required to contribute from non- project resources, toward the cost of any additional significant features required pursuant to this paragraph, more than 25 percent of the amount of any assistance received for the inclusion of such features. ``(D) Applicability.--This paragraph shall apply to all eligible multifamily housing projects, except projects for which the Secretary and the project owner executed a mortgage restructuring and rental assistance sufficiency plan on or before the date of the enactment of the Mark-to-Market Extension Act of 2001.''; and (3) by inserting after paragraph (6) of subsection (b) the following:
``(c) Rehabilitation Needs and Addition of Significant Features.-- ''.
(f) Look-Back Projects.--Section 512(2) of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended by adding after the period at the end of the last sentence the following: ``Notwithstanding any other provision of this title, the Secretary may treat a project as an eligible multifamily housing project for purposes of this title if (I) the project is assisted pursuant to a contract for project-based assistance under section 8 of the United States Housing Act of 1937 renewed under section 524 of this Act, (II) the owner consents to such treatment, and (III) the project met the requirements of the first sentence of this paragraph for eligibility as an eligible multifamily housing project before the initial renewal of the contract under section 524.''. (g) Second Mortgages.--Section 517(a) of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended-- (1) in paragraph (1)(B), by striking ``no more than the'' and inserting the following: ``not more than the greater of-- ``(i) the full or partial payment of claim made under this subtitle; or ``(ii) the''; and (2) in paragraph (5), by inserting ``of the second mortgage, assign the second mortgage to the acquiring organization or agency,'' after ``terms''.
(h) Exemptions From Restructuring.--Section 514(h)(2) of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended by inserting before the semicolon the following: ``, or refinanced pursuant to section 811 of the American Homeownership and Economic Opportunity Act of 2000 (12 U.S.C. 1701q note)''.
AND RENT RESTRUCTURINGS.
Subtitle A of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended by adding at the end the following new section:
``SEC. 525. CONSISTENCY OF RENT LEVELS UNDER ENHANCED VOUCHER ASSISTANCE AND RENT RESTRUCTURINGS.
``(a) In General.--The Secretary shall examine the standards and procedures for determining and establishing the rent standards described under subsection (b). Pursuant to such examination, the Secretary shall establish procedures and guidelines that are designed to ensure that the amounts determined by the various rent standards for the same dwelling units are reasonably consistent and reflect rents for comparable unassisted units in the same area as such dwelling units.
``(b) Rent Standards.--The rent standards described in this subsection are as follows: ``(1) Enhanced vouchers.--The payment standard for enhanced voucher assistance under section 8(t) of the United States Housing Act of 1937 (42 U.S.C. 1437f(t)). ``(2) Mark-to-market.--The rents derived from comparable properties, for purposes of section 514(g) of this Act. ``(3) Contract renewal.--The comparable market rents for the market area, for purposes of section 524(a)(4) of this Act.''.
BUILDINGS.
Section 524(a)(4)(C) of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended by adding after the period at the end the following: ``Notwithstanding any other provision of law, the Secretary shall include in such budget-based cost increases costs relating to the project as a whole (including costs incurred with respect to units not covered by the contract for assistance), but only (I) if inclusion of such costs is requested by the owner or purchaser of the project, (II) if inclusion of such costs will permit capital repairs to the project or acquisition of the project by a nonprofit organization, and (III) to the extent that inclusion of such costs (or a portion thereof) complies with the requirement under clause (ii).''.
HOUSING INSURANCE.
Section 223(a)(7) of the National Housing Act (12 U.S.C. 1715n(a)(7)) is amended-- (1) by striking ``under this Act: Provided, That the principal'' and inserting the following: ``under this Act, or an existing mortgage held by the Secretary that is subject to a mortgage restructuring and rental assistance sufficiency plan pursuant to the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note), provided that-- ``(A) the principal''; (2) by striking ``except that (A)'' and inserting ``except that (i)''; (3) by striking ``(B)'' and inserting ``(ii)''; (4) by striking ``(C)'' and inserting ``(iii)''; (5) by striking ``(D)'' and inserting ``(iv)''; (6) by striking ``: Provided further, That a mortgage'' and inserting the following ``; and ``(B) a mortgage''; (7) by striking ``or'' at the end; and (8) by adding at the end the following new subparagraph: ``(C) a mortgage that is subject to a mortgage restructuring and rental assistance sufficiency plan pursuant to the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) and is refinanced under this paragraph may have a term of not more than 30 years; or''.
(a) Exemptions From Restructuring.-- (1) In general.--Section 514(h) of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended to read as if the amendment made by section 531(c) of Public Law 106-74 (113 Stat. 1116) were made to ``Section 514(h)(1)'' instead of ``Section 514(h)''. (2) Retroactive effect.--The <<NOTE: 42 USC 1437f note.>> amendment made by paragraph (1) of this subsection is deemed to have taken effect on the date of the enactment of Public Law 106-74 (113 Stat. 1109).
(b) Other.--The Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended--
(1) in section 511(a)(12), by striking ``this Act'' and inserting ``this title''; (2) in section 513, by striking ``this Act'' each place such term appears in subsections (a)(2)(I) and (b)(3) and inserting ``this title''; (3) in section 514(f)(3)(B), by inserting ``Housing'' after ``Multifamily''; (4) in section 515(c)(1)(B), by inserting ``or'' after the semicolon; (5) in section 517(b)-- (A) in each of paragraphs (1) through (6), by capitalizing the first letter of the first word that follows the paragraph heading; (B) in each of paragraphs (1) through (5), by striking the semicolon at the end and inserting a period; and (C) in paragraph (6), by striking ``; and'' at the end and inserting a period; (6) in section 520(b), by striking ``Banking and''; and (7) in section 573(d)(2), by striking ``Banking and''.
Subtitle B--Office of Multifamily Housing Assistance Restructuring
Section 579 of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended-- (1) by striking subsection (a) and inserting the following new subsection:
``(a) Repeals.-- ``(1) Mark-to-market program.--Subtitle A (except for section 524) is repealed effective October 1, 2006. ``(2) OMHAR.--Subtitle D (except for this section) is repealed effective October 1, 2004.''; (2) in subsection (b), by striking ``October 1, 2001'' and inserting ``October 1, 2006''; (3) in subsection (c), by striking ``upon September 30, 2001'' and inserting ``at the end of September 30, 2004''; and (4) by striking subsection (d) and inserting the following new subsection:
``(d) Transfer of Authority.--Effective upon the repeal of subtitle D under subsection (a)(2) of this section, all authority and responsibilities to administer the program under subtitle A are transferred to the Secretary.''.
(a) In General.--Section 572 of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended by striking subsection (a) and inserting the following new subsection: ``(a) Appointment.--The Office shall be under the management of a Director, who shall be appointed by the President from among individuals who are citizens of the United States and have a demonstrated understanding of financing and mortgage restructuring for affordable multifamily housing.''.
(b) Applicability.--The amendment made by subsection (a) shall apply to the first Director of the Office of Multifamily Housing Assistance Restructuring of the Department of Housing and Urban Development appointed after the date of the enactment of this Act, and any such Director appointed thereafter.
(a) In General.--Section 572 of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended by striking subsection (b) and inserting the following new subsection: ``(b) Vacancy.--A vacancy in the position of Director shall be filled by appointment in the manner provided under subsection (a). The President shall make such an appointment not later than 60 days after such position first becomes vacant.''.
(b) Applicability.--The amendment made by subsection (a) shall apply to any vacancy in the position of Director of the Office of Multifamily Housing Assistance Restructuring of the Department of Housing and Urban Development which occurs or exists after the date of the enactment of this Act.
(a) In General.--Section 578 of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended to read as follows:
``SEC. 578. OVERSIGHT BY FEDERAL HOUSING COMMISSIONER.
``All authority and responsibilities assigned under this subtitle to the Secretary shall be carried out through the Assistant Secretary of the Department of Housing and Urban Development who is the Federal Housing Commissioner.''. (b) Report.--The second sentence of section 573(b) of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended by striking ``Secretary'' and inserting ``Assistant Secretary of the Department of Housing and Urban Development who is the Federal Housing Commissioner''.
Section 576 of the Multifamily Assisted Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is amended by striking ``2-year period'' and inserting ``1-year period''.
Subtitle C--Miscellaneous Housing Program Amendments
Section 105(a)(8) of the Housing and Community Development Act of 1974 (42 U.S.C. 5305(a)(8)) is amended by striking ``through 2001'' and inserting ``through 2003''.
Section 8(t)(2) of the United States Housing Act of 1937 (42 U.S.C. 1437f(t)(2)) is amended by inserting after ``insurance contract for the mortgage for such housing project'' the following: ``(including any such mortgage prepayment during fiscal year 1996 or a fiscal
year thereafter or any insurance contract voluntary termination during fiscal year 1996 or a fiscal year thereafter)''.
HOUSING.
(a) In General.--Section 811 of the American Homeownership and Economic Opportunity Act of 2000 (12 U.S.C. 1701q note) is amended by striking subsection (e). (b) Effectiveness Upon Date of Enactment.--The amendment made by subsection (a) of this section shall take effect upon the date of the enactment of this Act and the provisions of section 811 of the American Homeownership and Economic Opportunity Act of 2000 (12 U.S.C. 1701q note), as amended by subsection (a) of this section, shall apply as so amended upon such date of enactment, notwithstanding-- (1) any authority of the Secretary of Housing and Urban Development to issue regulations to implement or carry out the amendments made by subsection (a) of this section or the provisions of section 811 of the American Homeownership and Economic Opportunity Act of 2000 (12 U.S.C. 1701q note); or (2) any failure of the Secretary of Housing and Urban Development to issue any such regulations authorized.
(a) In General.--Section 101(a) of Public Law 100-77 (42 U.S.C. 11301 note) is amended to read as if the amendment made by section 1 of Public Law 106-400 (114 Stat. 1675) were made to ``Section 101'' instead of ``Section 1''. (b) Retroactive Effect.--The amendment made by subsection (a) of this section is deemed to have taken effect immediately after the enactment of Public Law 106-400 (114 Stat. 1675).
Title VII—MENTAL HEALTH PARITY
(a) ERISA.--Section 712(f) of the Employee Retirement Income Security Act of 1974 (29 U.S.C. 1185a(f)) is amended by striking ``September 30, 2001'' and inserting ``December 31, 2002''. (b) PHSA.--Section 2705(f) of the Public Health Service Act (42 U.S.C. 300gg-5(f)) is amended by striking ``September 30, 2001'' and inserting ``December 31, 2002''. (c) Internal Revenue Code of 1986.--Section 9812(f) of the Internal Revenue Code of 1986 is amended by striking ``September 30, 2001'' and inserting ``December 31, 2002''.
Notwithstanding Rule 3 of the Budget Scorekeeping Guidelines set forth in the joint explanatory statement of the committee of conference accompanying Conference Report 105-217, the provisions of this title that would have been estimated by the Office of Management and Budget as changing direct spending or receipts under section 252 of the Balanced Budget and Emergency Deficit Control Act of 1985 were it included in an Act other than an appropriations Act shall be treated as direct spending or receipts legislation, as appropriate, under section 252 of the Balanced Budget and Emergency Deficit Control Act of 1985, and by the Chairmen of the
House and Senate Budget Committees, as appropriate, under the Congressional Budget Act. This Act may be cited as the ``Departments of Labor, Health and Human Services, and Education, and Related Agencies Appropriations Act, 2002''.
Approved January 10, 2002.
LEGISLATIVE HISTORY--H.R. 3061 (S. 1536): ---------------------------------------------------------------------------
HOUSE REPORTS: Nos. 107-229 (Comm. on Appropriations) and 107-342 (Comm. of Conference). SENATE REPORTS: No. 107-84 accompanying S. 1536 (Comm. on Appropriations). CONGRESSIONAL RECORD, Vol. 147 (2001): Oct. 11, considered and passed House. Oct. 30, 31, Nov. 1, 2, 6, considered and passed Senate, amended. Dec. 19, House agreed to conference report. Dec. 20, Senate agreed to conference report. WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 38 (2002): Jan. 10, Presidential statement.
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