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U.S. Code as of:
01/19/04
Section 1701q-2. Grants for conversion of elderly housing to assisted living facilities
(a) Grant authority
The Secretary of Housing and Urban Development may make grants in
accordance with this section to owners of eligible projects
described in subsection (b) of this section for one or both of the
following activities:
(1) Repairs
Substantial capital repairs to projects that are needed to
rehabilitate, modernize, or retrofit aging structures, common
areas, or individual dwelling units.
(2) Conversion
Activities designed to convert dwelling units in the eligible
project to assisted living facilities for elderly persons.
(b) Eligible projects
An eligible project described in this subsection is a multifamily
housing project that is -
(1)(A) described in subparagraph (B), (C), (D), (E), (F), or
(G) of section 13641(2) of title 42, or (B) only to the extent
amounts of the Department of Agriculture are made available to
the Secretary of Housing and Urban Development for such grants
under this section for such projects, subject to a loan made or
insured under section 1485 of title 42;
(2) owned by a private nonprofit organization (as such term is
defined in section 1701q of this title); and
(3) designated primarily for occupancy by elderly persons.
Notwithstanding any other provision of this subsection or this
section, an unused or underutilized commercial property may be
considered an eligible project under this subsection, except that
the Secretary may not provide grants under this section for more
than three such properties. For any such projects, any reference
under this section to dwelling units shall be considered to refer
to the premises of such properties.
(c) Applications
Applications for grants under this section shall be submitted to
the Secretary in accordance with such procedures as the Secretary
shall establish. Such applications shall contain -
(1) a description of the substantial capital repairs or the
proposed conversion activities for which a grant under this
section is requested;
(2) the amount of the grant requested to complete the
substantial capital repairs or conversion activities;
(3) a description of the resources that are expected to be made
available, if any, in conjunction with the grant under this
section; and
(4) such other information or certifications that the Secretary
determines to be necessary or appropriate.
(d) Funding for services
The Secretary may not make a grant under this section for
conversion activities unless the application contains sufficient
evidence, in the determination of the Secretary, of firm
commitments for the funding of services to be provided in the
assisted living facility, which may be provided by third parties.
(e) Selection criteria
The Secretary shall select applications for grants under this
section based upon selection criteria, which shall be established
by the Secretary and shall include -
(1) in the case of a grant for substantial capital repairs, the
extent to which the project to be repaired is in need of such
repair, including such factors as the age of improvements to be
repaired, and the impact on the health and safety of residents of
failure to make such repairs;
(2) in the case of a grant for conversion activities, the
extent to which the conversion is likely to provide assisted
living facilities that are needed or are expected to be needed by
the categories of elderly persons that the assisted living
facility is intended to serve, with a special emphasis on very
low-income elderly persons who need assistance with activities of
daily living;
(3) the inability of the applicant to fund the repairs or
conversion activities from existing financial resources, as
evidenced by the applicant's financial records, including assets
in the applicant's residual receipts account and reserves for
replacement account;
(4) the extent to which the applicant has evidenced community
support for the repairs or conversion, by such indicators as
letters of support from the local community for the repairs or
conversion and financial contributions from public and private
sources;
(5) in the case of a grant for conversion activities, the
extent to which the applicant demonstrates a strong commitment to
promoting the autonomy and independence of the elderly persons
that the assisted living facility is intended to serve;
(6) in the case of a grant for conversion activities, the
quality, completeness, and managerial capability of providing the
services which the assisted living facility intends to provide to
elderly residents, especially in such areas as meals, 24-hour
staffing, and on-site health care; and
(7) such other criteria as the Secretary determines to be
appropriate to ensure that funds made available under this
section are used effectively.
(f) Section 8 project-based assistance
(1) Eligibility
Notwithstanding any other provision of law, a multifamily
project which includes one or more dwelling units that have been
converted to assisted living facilities using grants made under
this section shall be eligible for project-based assistance under
section 8 of the United States Housing Act of 1937 [42 U.S.C.
1437f], in the same manner in which the project would be eligible
for such assistance but for the assisted living facilities in the
project.
(2) Calculation of rent
For assistance pursuant to this subsection, the maximum monthly
rent of a dwelling unit that is an assisted living facility with
respect to which assistance payments are made shall not include
charges attributable to services relating to assisted living.
(g) Definitions
For the purposes of this section -
(1) the term "assisted living facility" has the meaning given
such term in section 1715w(b) of this title; and
(2) the definitions in section 1701q(k) of this title shall
apply.
(h) Authorization of appropriations
There is authorized to be appropriated for providing grants under
this section such sums as may be necessary for fiscal year 2000.
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