Sec. 601. Demonstration program
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At the end of the Act, add the following: In this title: The term affordable housing has the meaning given the term in section 4. The term housing infrastructure means basic facilities, services, systems, and installations necessary or appropriate for the functioning of a housing community, including facilities, services, systems, and installations for water, sewage, power, communications, and transportation. The term long-term lease means an agreement between a participating Indian tribe and a member of the participating Indian tribe that authorizes the member— to occupy a specific plot of tribal land for 50 or more years; and to request renewal of the agreement at least once.
The term participating Indian tribe means an Indian tribe for which a final plan under section 905 for participation in the demonstration program under this title has been approved by the Secretary under section 906. In addition to any other authority provided in this Act for the construction, development, maintenance, and operation of housing for Indian families, the Secretary shall provide a participating Indian tribe having a final plan approved pursuant to section 906 with the authority to exercise the activities provided under this title and the plan for the acquisition and development of housing to meet the needs of members of the participating Indian tribe.
Except as otherwise specifically provided in this title, titles I through IV, VI, and VII shall not apply to the use of funds by a participating Indian tribe during any period during which the Indian tribe is participating in the demonstration program under this title. The following provisions of titles I through VIII shall apply to the demonstration program under this title and amounts made available under the demonstration program under this title: Subsections
(d)and
(e)of section 101 (relating to tax exemption). Section 101(j) (relating to Federal supply sources). Section 101(k) (relating to tribal preference in employment and contracting). Section 104 (relating to treatment of program income and labor standards). Section 105 (relating to environmental review). Section 201(b) (relating to eligible families), except as otherwise provided in this title. Section 203(g) (relating to a de minimis exemption for procurement of goods and services). Section 702 (relating to 99-year leasehold interests in trust or restricted lands for housing purposes). To be eligible to participate in the demonstration program under this title, an Indian tribe shall submit to the Secretary a notice of intention to participate during the 60-day period beginning on the date of enactment of this title, in such form and such manner as the Secretary shall require. On approval under section 906 of the final plan of an Indian tribe for participation in the demonstration program under this title, the Secretary shall enter into a cooperative agreement with the participating Indian tribe that provides the Indian tribe with the authority to carry out activities under the demonstration program. The Secretary shall not approve more than 20 Indian tribes for participation in the demonstration program under this title. Not later than 180 days after the date on which the Indian tribe submits notice under section 903(a), the Indian tribe shall— obtain assistance from a qualified entity in assessing the housing needs, including the affordable housing needs, of the Indian tribe; and release a request for quotations from entities interested in partnering with the Indian tribe in designing and carrying out housing activities sufficient to meet the housing needs of the Indian tribe as identified pursuant to paragraph (1). Except as provided in paragraph (2), not later than 18 months after the date of enactment of this title, an Indian tribe requesting to participate in the demonstration program under this title shall— select an investor partner from among the entities that have responded to the request of the Indian tribe for quotations under subsection (a)(2); and together with that investor partner, establish and submit to the Secretary a final plan that meets the requirements described in section 905. The Secretary may extend the period under paragraph
(1)for any Indian tribe that— has not received any satisfactory quotation in response to the request released pursuant to subsection (a)(2); or has any other satisfactory reason, as determined by the Secretary, for failure to select an investor partner. A final plan of an Indian tribe for participation in the demonstration program under this title shall— be developed by the Indian tribe and the investor partner of the Indian tribe selected under section 904(b)(1)(A); identify the qualified entity that assisted the Indian tribe in assessing the housing needs of the Indian tribe; set forth a detailed description of the projected housing needs, including affordable housing needs, of the Indian tribe, which shall include— a description of those projected housing needs over— the 2-year period following the date of submission of the final plan; and the period that is the earlier-ending period of— the 5-year period following the expiration of the 2-year period described in clause (i); and the period ending on the date on which those projected housing needs are met; and the same information that would be required under section 102 to be included in an Indian housing plan for the Indian tribe, as modified by the Secretary to take consideration of the requirements of the demonstration program under this title; provide for specific housing activities sufficient to meet the housing needs of the Indian tribe, including affordable housing needs, as identified pursuant to paragraph
(3)within the time periods referred to in that paragraph, which shall include— development of affordable housing; development of conventional homes for rental, lease-to-own, or sale, which may be combined with affordable housing developed pursuant to subparagraph (A); development of housing infrastructure, including housing infrastructure sufficient to serve affordable housing developed under the final plan; and investments by the investor partner, the Indian tribe, members of the Indian tribe, and financial institutions and other outside investors necessary to provide financing for the development of housing under the final plan and for mortgages for members of Indian tribes purchasing that housing; provide that the Indian tribe will agree to provide long-term leases to members of the Indian tribe sufficient for lease-to-own arrangements for, and sale of, the housing developed pursuant to paragraph (4); provide that the Indian tribe— will be liable for delinquencies under mortgage agreements for housing developed under the final plan that are financed under the final plan and entered into by members of the Indian tribe; and shall, on foreclosure under a mortgage described in subparagraph (A), take possession of the housing and have the responsibility for making the housing available to other members of the Indian tribe; provide for sufficient protections, as determined by the Secretary, to ensure that the Indian tribe and the Federal Government are not liable for the acts of the investor partner or of any contractors; provide that the Indian tribe shall have sole final approval of the design and location of housing developed under the final plan; and set forth— specific deadlines and schedules for activities to be carried out under the final plan; the responsibilities of the Indian tribe and the investor partner; specific terms and conditions— for return on investment by the investor partner and other investors under the plan; and to provide that the Indian tribe shall pledge grant amounts allocated for the Indian tribe pursuant to title III for that return on investment; the terms of a cooperative agreement on the operation and management of the current assistance housing stock and current housing stock for the Indian tribe assisted under titles I through VIII; any plans for the sale of the affordable housing of the Indian tribe under section 906; and if those plans are included, additional plans sufficient to meet the requirements of section 906 regarding meeting future affordable housing needs of the Indian tribe; terms for enforcement of the final plan, including an agreement regarding jurisdiction of any actions under or to enforce the final plan, including a waiver of immunity; and any other information determined appropriate by the Indian tribe and the investor partner. Not later than 90 days after the date of submission by an Indian tribe of a final plan under section 905 to the Secretary, the Secretary shall— review the plan and the process by which the Indian tribe solicited requests for quotations from investors and selected the investor partner under section 904(b)(1); and approve or disapprove the plan in accordance with paragraphs
(2)and (3). After the review described in paragraph (1), the Secretary shall approve the plan, unless the Secretary determines that— the assessment of the housing needs of the Indian tribe by the qualified entity, or as set forth in the plan pursuant to section 905(3), is inaccurate or insufficient; the process established by the Indian tribe to solicit requests for quotations and select an investor partner was insufficient or negligent; or the plan is insufficient to meet the housing needs of the Indian tribe, as identified in the plan pursuant to section 905(3). Except as provided in paragraph (3), the Secretary shall approve a plan determined insufficient under subparagraph (A), on the condition that the Indian tribe and the investor partner make such revisions to the plan as the Secretary may require to meet the needs of the Indian tribe for affordable housing. The Secretary may disapprove the plan only if— the Secretary determines that the plan fails to meet the minimal housing standards and requirements of this Act; and the Secretary notifies the Indian tribe of the elements requiring the disapproval. Subject to paragraph (2), in the case of any disapproval of a final plan of an Indian tribe under subsection (a)(3), the Secretary shall allow the tribe, for a period of 180 days beginning on the date of the notification to the tribe of the disapproval, to resubmit a revised plan for approval. If the final plan for an Indian tribe is resubmitted pursuant to paragraph
(1)and the Secretary disapproves the plan a second time, the Indian tribe— may not thereafter resubmit the plan; and shall be ineligible to participate in the demonstration program under this title. The Secretary may not disapprove a final plan under section 905 or condition approval of that plan based on the design or location of any housing to be developed or assisted under the plan. If the Secretary does not notify an Indian tribe submitting a final plan of approval, conditional approval, or disapproval of the plan before the expiration of the period referred to in subsection (a)(1), the plan shall be deemed approved for purposes of this title. Amounts otherwise allocated for a participating Indian tribe under title III— shall not be made available to the participating Indian tribe under titles I through VIII; and shall only be available for the participating Indian tribe, on request by the participating Indian tribe and approval by the Secretary, for the purposes described in subsections
(b)through (e). The Secretary may use the amounts described in subsection
(a)to ensure the payment of any amounts pledged by a participating Indian tribe pursuant to section 905(9)(C) for return on the investment made by the investor partner or other investors. The Secretary may provide to a participating Indian tribe, on the request of the participating Indian tribe, not greater than 10 percent of any annual allocation made under title III for the participating Indian tribe during that fiscal year for the administrative costs of the participating Indian tribe in carrying out the requirements of sections 904 and 905. A participating Indian tribe may use the amounts described in subsection
(a)for housing infrastructure costs associated with providing affordable housing for the participating Indian tribe under the final plan. A participating Indian tribe may use the amounts described in subsection
(a)for maintenance of affordable housing for the participating Indian tribe and for the eligible affordable housing activities described in paragraphs (3), (4), and
(5)of section 202. Notwithstanding any other provision of this Act, a participating Indian tribe may, in accordance with the provisions of the final plan of the participating Indian tribe approved pursuant to section 906, resell any affordable housing developed with assistance made available under this Act for use other than as affordable housing, on the condition that the tribe provides such assurances as the Secretary determines are appropriate to ensure that the participating Indian tribe— is meeting the need for affordable housing of the participating Indian tribe; will provide affordable housing in the future sufficient to meet future affordable housing needs; and will use any proceeds only— to meet those future affordable housing needs; or in accordance with section 907. Each participating Indian tribe shall submit to the Secretary annually a report— describing the progress of the participating Indian tribe in complying with, and meeting the deadlines and schedules set forth in, the approved final plan for the participating Indian tribe; and containing such other information as the Secretary may require. The Secretary shall submit to Congress annually a report describing the activities and progress of the demonstration program under this title, including— a summary of the information in the reports submitted under subsection (a); the number of Indian tribes that have selected an investor partner pursuant to a request for quotations under section 904; for each tribe applying for participation in the demonstration program the final plan of which was disapproved under section 906(a)(3), a detailed description and explanation of— the reasons for the disapproval; and all actions taken by the Indian tribe to eliminate the reasons for disapproval, and an identification of whether the tribe has re-submitted a final plan; an identification, by participating Indian tribe, of any amounts requested and approved for use under section 907; and an identification of any participating Indian tribes that have terminated participation in the demonstration program and the circumstances of the terminations. The Secretary shall provide for audits among participating Indian tribes to ensure implementation and compliance with the final plans for the participating Indian tribes, including on-site visits with participating Indian tribes and requests for documentation appropriate to ensure the compliance. A participating Indian tribe may terminate participation in the demonstration program under this title at any time, subject to this section. Termination by a participating Indian tribe in the demonstration program under this section shall not terminate any obligations of the Indian tribe under agreements entered into under the demonstration program with the investor partner of the Indian tribe or any other investors or contractors. Nothing in this title prevents an Indian tribe that terminates participation in the demonstration program and any party with which the Indian tribe has entered into an agreement from mutually agreeing to terminate that agreement. The Secretary shall provide for grants to be made in accordance with, and subject to the requirements of, this Act for any amounts remaining after use pursuant to section 907 from the allocation under title III for an Indian tribe that terminates participation in the demonstration program. The Secretary shall not be liable for any obligations or costs incurred by an Indian tribe during its participation in the demonstration program under this title. Not later 5 years after the date of enactment of this title, the Secretary shall submit to Congress a final report describing the effectiveness of the demonstration program, which shall include— an assessment of the success under the demonstration program of participating Indian tribes in meeting the housing needs of the participating Indian tribe, including affordable housing needs, on tribal land; recommendations for any improvements to the demonstration program; and a determination of whether the demonstration program should be expanded into a permanent program available for Indian tribes to opt into at any time and, if so, recommendations for that expansion, including any legislative actions necessary to expand the program. The Secretary shall establish any requirements and criteria necessary to carry out the demonstration program under this title by notice published in the Federal Register. .