42 U.S.C. § 11382 — Continuum of care applications and

Page 8161 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 11382 subsection (a) of this section) the Secretary may make grants under the provisions of subtitles C and D of [title IV of] the McKinney-Vento Homeless Assistance Act [former parts C and D of this subchapter], as in ef- fect immediately before the enactment of this Act [Oct. 28, 1992]. Any grants made before such effective date shall be subject to the provisions of such subtitles.’’ DEMONSTRATION PROJECTS TO REDUCE NUMBER OF HOMELESS FAMILIES IN WELFARE HOTELS Pub. L. 100–628, title IX, § 903, Nov. 7, 1988, 102 Stat. 3258, as amended by Pub. L. 104–193, title I, § 110(g), Aug. 22, 1996, 110 Stat. 2171, authorized Secretary of Health and Human Services to carry out 2 or 3 demonstration projects to provide housing in transitional facilities for homeless families who are recipients of assistance under a State program funded by part A of subchapter IV of chapter 7 of this title and who reside in commer- cial or similar transient facilities and authorized ap- propriations of not more than $20,000,000 for the grants for fiscal year 1990. DEFINITION For provisions relating to definition of ‘‘local govern- ment’’ as used in this section, see section 100261 of Pub. L. 112–141, set out as a HEARTH Act Technical Correc- tions note under section 11360 of this title. § 11382. Continuum of care applications and grants (a) Projects The Secretary shall award grants, on a com- petitive basis, and using the selection criteria described in section 11386a of this title, to carry out eligible activities under this part for projects that meet the program requirements under section 11386 of this title, either by di- rectly awarding funds to project sponsors or by awarding funds to unified funding agencies. (b) Notification of funding availability The Secretary shall release a notification of funding availability for grants awarded under this part for a fiscal year not later than 3 months after the date of the enactment of the appropriate Act making appropriations for the Department of Housing and Urban Development for such fiscal year. (c) Applications (1) Submission to the Secretary To be eligible to receive a grant under sub- section (a), a project sponsor or unified fund- ing agency in a geographic area shall submit an application to the Secretary at such time and in such manner as the Secretary may re- quire, and containing such information as the Secretary determines necessary— (A) to determine compliance with the pro- gram requirements and selection criteria under this part; and (B) to establish priorities for funding projects in the geographic area. (2) Announcement of awards (A) In general Except as provided in subparagraph (B), the Secretary shall announce, within 5 months after the last date for the submis- sion of applications described in this sub- section for a fiscal year, the grants condi- tionally awarded under subsection (a) for that fiscal year. (B) Transition For a period of up to 2 years beginning after the effective date under section 1503 of the Homeless Emergency Assistance and Rapid Transition to Housing Act of 2009, the Secretary shall announce, within 6 months after the last date for the submission of ap- plications described in this subsection for a fiscal year, the grants conditionally awarded under subsection (a) for that fiscal year. (d) Obligation, distribution, and utilization of funds (1) Requirements for obligation (A) In general Not later than 9 months after the an- nouncement referred to in subsection (c)(2), each recipient or project sponsor shall meet all requirements for the obligation of those funds, including site control, matching funds, and environmental review require- ments, except as provided in subparagraphs (B) and (C). (B) Acquisition, rehabilitation, or construc- tion Not later than 24 months after the an- nouncement referred to in subsection (c)(2), each recipient or project sponsor seeking the obligation of funds for acquisition of hous- ing, rehabilitation of housing, or construc- tion of new housing for a grant announced under subsection (c)(2) shall meet all re- quirements for the obligation of those funds, including site control, matching funds, and environmental review requirements. (C) Extensions At the discretion of the Secretary, and in compelling circumstances, the Secretary may extend the date by which a recipient or project sponsor shall meet the requirements described in subparagraphs (A) and (B) if the Secretary determines that compliance with the requirements was delayed due to factors beyond the reasonable control of the recipi- ent or project sponsor. Such factors may in- clude difficulties in obtaining site control for a proposed project, completing the proc- ess of obtaining secure financing for the project, obtaining approvals from State or local governments, or completing the tech- nical submission requirements for the project. (2) Obligation Not later than 45 days after a recipient or project sponsor meets the requirements de- scribed in paragraph (1), the Secretary shall obligate the funds for the grant involved. (3) Distribution A recipient that receives funds through such a grant— (A) shall distribute the funds to project sponsors (in advance of expenditures by the project sponsors); and (B) shall distribute the appropriate portion of the funds to a project sponsor not later than 45 days after receiving a request for such distribution from the project sponsor. Page 8162 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 11382 1 So in original. Probably should be ‘‘paragraph’’. (4) Expenditure of funds The Secretary may establish a date by which funds made available through a grant an- nounced under subsection (c)(2) for a homeless assistance project shall be entirely expended by the recipient or project sponsors involved. The date established under this paragraph shall not occur before the expiration of the 24- month period beginning on the date that funds are obligated for activities described under paragraphs 1 (1) or (2) of section 11383(a) of this title. The Secretary shall recapture the funds not expended by such date. The Secretary shall reallocate the funds for another home- less assistance and prevention project that meets the requirements of this part to be car- ried out, if possible and appropriate, in the same geographic area as the area served through the original grant. (e) Renewal funding for unsuccessful applicants The Secretary may renew funding for a spe- cific project previously funded under this part that the Secretary determines meets the pur- poses of this part, and was included as part of a total application that met the criteria of sub- section (c), even if the application was not se- lected to receive grant assistance. The Sec- retary may renew the funding for a period of not more than 1 year, and under such conditions as the Secretary determines to be appropriate. (f) Considerations in determining renewal fund- ing When providing renewal funding for leasing, operating costs, or rental assistance for perma- nent housing, the Secretary shall make adjust- ments proportional to increases in the fair mar- ket rents in the geographic area. (g) More than 1 application for a geographic area If more than 1 collaborative applicant applies for funds for a geographic area, the Secretary shall award funds to the collaborative applicant with the highest score based on the selection criteria set forth in section 11386a of this title. (h) Appeals (1) In general The Secretary shall establish a timely ap- peal procedure for grant amounts awarded or denied under this part pursuant to a collabo- rative application or solo application for fund- ing. (2) Process The Secretary shall ensure that the proce- dure permits appeals submitted by entities carrying out homeless housing and services projects (including emergency shelters and homelessness prevention programs), and all other applicants under this part. (i) Solo applicants A solo applicant may submit an application to the Secretary for a grant under subsection (a) and be awarded such grant on the same basis as such grants are awarded to other applicants based on the criteria described in section 11386a of this title, but only if the Secretary deter- mines that the solo applicant has attempted to participate in the continuum of care process but was not permitted to participate in a reasonable manner. The Secretary may award such grants directly to such applicants in a manner deter- mined to be appropriate by the Secretary. (j) Flexibility to serve persons defined as home- less under other Federal laws (1) In general A collaborative applicant may use not more than 10 percent of funds awarded under this part (continuum of care funding) for any of the types of eligible activities specified in paragraphs (1) through (7) of section 11383(a) of this title to serve families with children and youth defined as homeless under other Federal statutes, or homeless families with children and youth defined as homeless under section 11302(a)(6) of this title, but only if the appli- cant demonstrates that the use of such funds is of an equal or greater priority or is equally or more cost effective in meeting the overall goals and objectives of the plan submitted under section 11386a(b)(1)(B) of this title, espe- cially with respect to children and unaccom- panied youth. (2) Limitations The 10 percent limitation under paragraph (1) shall not apply to collaborative applicants in which the rate of homelessness, as cal- culated in the most recent point in time count, is less than one-tenth of 1 percent of total population. (3) Treatment of certain populations (A) In general Notwithstanding section 11302(a) of this title and subject to subparagraph (B), funds awarded under this part may be used for eli- gible activities to serve unaccompanied youth and homeless families and children defined as homeless under section 11302(a)(6) of this title only pursuant to paragraph (1) of this subsection and such families and chil- dren shall not otherwise be considered as homeless for purposes of this part. (B) At risk of homelessness Subparagraph (A) may not be construed to prevent any unaccompanied youth and homeless families and children defined as homeless under section 11302(a)(6) of this title from qualifying for, and being treated for purposes of this part as, at risk of home- lessness or from eligibility for any projects, activities, or services carried out using amounts provided under this part for which individuals or families that are at risk of homelessness are eligible. (Pub. L. 100–77, title IV, § 422, as added Pub. L. 111–22, div. B, title III, § 1301(2), May 20, 2009, 123 Stat. 1681.) Editorial Notes REFERENCES IN TEXT The effective date under section 1503 of the Homeless Emergency Assistance and Rapid Transition to Housing Act of 2009, referred to in subsec. (c)(2)(B), is the effec- tive date under section 1503 of title V of div. B of Pub. Page 8163 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 11383 L. 111–22, set out as an Effective Date of 2009 Amend- ment note under section 11302 of this title. PRIOR PROVISIONS A prior section 11382, Pub. L. 100–77, title IV, § 422, as added Pub. L. 102–550, title XIV, § 1403(a), Oct. 28, 1992, 106 Stat. 4014; amended Pub. L. 104–330, title V, § 506(a)(7), Oct. 26, 1996, 110 Stat. 4044; Pub. L. 106–402, title IV, § 401(b)(14), Oct. 30, 2000, 114 Stat. 1740, which defined terms for purposes of this part, was repealed by Pub. L. 111–22, div. B, title III, § 1301(2), May 20, 2009, 123 Stat. 1680. Another prior section 11382, Pub. L. 100–77, title IV, § 422, July 22, 1987, 101 Stat. 499; Pub. L. 100–242, title V, § 570(i)(1), Feb. 5, 1988, 101 Stat. 1950; Pub. L. 100–628, title IV, §§ 441(a), 442(a), (b)(1), 443, 444, Nov. 7, 1988, 102 Stat. 3232, 3233; Pub. L. 101–625, title VIII, § 833(b), (k)(1), Nov. 28, 1990, 104 Stat. 4362, 4364, which defined terms for purposes of the supportive housing demonstration program, was repealed by Pub. L. 102–550, title XIV, § 1403(a), Oct. 28, 1992, 106 Stat. 4013. Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective on the earlier of 18 months after May 20, 2009, or 3 months after publication of certain final regulations by Secretary of Housing and Urban Development, see section 1503 of Pub. L. 111–22, set out as an Effective Date of 2009 Amendment note under sec- tion 11302 of this title. HOMELESS ASSISTANCE GRANTS Pub. L. 116–260, div. Q, title I, § 104, Dec. 27, 2020, 134 Stat. 2170, provided that: ‘‘(a) RENEWAL OF CONTINUUM OF CARE PROJECTS.—In allocating and awarding amounts provided for the Con- tinuum of Care program under subtitle C of title IV of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11381 et seq.), the Secretary of Housing and Urban Development shall renew for one 12-month pe- riod, without additional competition, all projects with existing grants expiring during calendar year 2021, in- cluding youth homelessness demonstration projects and shelter plus care projects expiring during calendar year 2021, notwithstanding any inconsistent provisions in subtitle C of title IV of the McKinney-Vento Home- less Assistance Act or any other Act. ‘‘(b) PLANNING AND UNIFIED FUNDING AGENCY AWARDS.—Continuum of Care planning and Unified Funding Agency awards expiring in calendar year 2021 may also be renewed and the Continuum of Care may designate a new collaborative applicant to receive the award in accordance with the existing process estab- lished by the Secretary of Housing and Urban Develop- ment. ‘‘(c) NOTICE.—The Secretary of Housing and Urban Development shall publish a notice that identifies and lists all projects and awards eligible for such non- competitive renewal, prescribes the format and process by which the projects and awards from the list will be renewed, makes adjustments to the renewal amount based on changes to the fair market rent, and estab- lishes a maximum amount for the renewal of planning and Unified Funding Agency awards notwithstanding the requirement that such maximum amount be estab- lished in a notice of funding availability.’’ DEFINITION For provisions relating to definition of ‘‘local govern- ment’’ as used in this section, see section 100261 of Pub. L. 112–141, set out as a HEARTH Act Technical Correc- tions note under section 11360 of this title. § 11383. Eligible activities (a) In general Grants awarded under section 11382 of this title to qualified applicants shall be used to carry out projects that serve homeless individ- uals or families that consist of one or more of the following eligible activities: (1) Construction of new housing units to pro- vide transitional or permanent housing. (2) Acquisition or rehabilitation of a struc- ture to provide transitional or permanent housing, other than emergency shelter, or to provide supportive services. (3) Leasing of property, or portions of prop- erty, not owned by the recipient or project sponsor involved, for use in providing transi- tional or permanent housing, or providing sup- portive services. (4) Provision of rental assistance to provide transitional or permanent housing to eligible persons. The rental assistance may include tenant-based, project-based, or sponsor-based rental assistance. Project-based rental assist- ance, sponsor-based rental assistance, and op- erating cost assistance contracts carried out by project sponsors receiving grants under this section may, at the discretion of the applicant and the project sponsor, have an initial term of 15 years, with assistance for the first 5 years paid with funds authorized for appropriation under this chapter, and assistance for the re- mainder of the term treated as a renewal of an expiring contract as provided in section 11386c of this title. Project-based rental assistance may include rental assistance to preserve ex- isting permanent supportive housing for homeless individuals and families. (5) Payment of operating costs for housing units assisted under this part or for the preser- vation of housing that will serve homeless in- dividuals and families and for which another form of assistance is expiring or otherwise no longer available. (6) Supportive services for individuals and families who are currently homeless, who have been homeless in the prior six months but are currently residing in permanent housing, or who were previously homeless and are cur- rently residing in permanent supportive hous- ing. (7) Provision of rehousing services, including housing search, mediation or outreach to property owners, credit repair, providing secu- rity or utility deposits, rental assistance for a final month at a location, assistance with moving costs, or other activities that— (A) are effective at moving homeless indi- viduals and families immediately into hous- ing; or (B) may benefit individuals and families who in the prior 6 months have been home- less, but are currently residing in permanent housing. (8) In the case of a collaborative applicant that is a legal entity, performance of the du- ties described under section 11360a(f)(3) of this title. (9) Operation of, participation in, and ensur- ing consistent participation by project spon- sors in, a community-wide homeless manage- ment information system. (10) In the case of a collaborative applicant that is a legal entity, payment of administra- tive costs related to meeting the requirements described in paragraphs (1) and (2) of section