REHABS Act of 2019

I 116TH CONGRESS 1ST SESSION H. R. 3295 To study and facilitate the abatement and removal of environmental hazards in homes rehabilitated with community participation, and for other purposes. IN THE HOUSE OF REPRESENTATIVES JUNE 14, 2019 Mr. SEAN PATRICK MALONEY of New York (for himself, Mr. SUOZZI, Mr. RYAN, Ms. KAPTUR, Mr. GRIJALVA, Mr. KATKO, Mr. HECK, and Ms. SCANLON) introduced the following bill; which was referred to the Com- mittee on Financial Services A BILL To study and facilitate the abatement and removal of envi- ronmental hazards in homes rehabilitated with commu- nity participation, and for other purposes. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Removing Environ- 4 mental Hazards And Building Safely Act of 2019’’ or the 5 ‘‘REHABS Act of 2019’’. 6 VerDate Sep 11 2014 02:56 Jun 20, 2019 Jkt 089200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H3295.IH H3295 lotter on DSKBCFDHB2PROD with BILLS 2 •HR 3295 IH SEC. 2. STUDY AND REMOVAL OF ENVIRONMENTAL HAZ- 1 ARDS IN HOMES BEING REHABILITATED. 2 (a) STUDY.—Not later than 1 year after the date of 3 enactment of this Act, the Secretary of Housing and 4 Urban Development shall conduct a study on— 5 (1) the best methods to assess the amount of 6 mold in a single family home prior to such home 7 being rehabilitated; 8 (2) the danger posed by mold in a single family 9 home prior to such home being rehabilitated; and 10 (3) best practices for safely removing mold 11 when rehabilitating a single family home. 12 (b) REPORT.—Not later than 30 days after the com- 13 pletion of the study pursuant to subsection (a), the Sec- 14 retary shall submit a report to Congress containing the 15 results of such study, and make such report available on 16 a public website of the Department. 17 SEC. 3. GRANT PROGRAM FOR THE ABATEMENT AND RE- 18 MOVAL OF ENVIRONMENTAL HAZARDS FROM 19 HOMES. 20 (a) GRANT AUTHORITY.—The Secretary may, to the 21 extent amounts are available to carry out this section and 22 the requirements of this section are met, make grants to 23 provide for or facilitate the abatement and removal of en- 24 vironmental hazards in homes being rehabilitated to na- 25 tional and regional organizations and consortia that have 26 VerDate Sep 11 2014 22:27 Jun 18, 2019 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H3295.IH H3295 lotter on DSKBCFDHB2PROD with BILLS 3 •HR 3295 IH experience in providing for or facilitating the abatement 1 and removal of environmental hazards from homes. 2 (b) GOALS AND ACCOUNTABILITY.—In making 3 grants under this section, the Secretary shall take such 4 actions as may be necessary to ensure that— 5 (1) assistance provided under this section is 6 used to provide for or facilitate the abatement and 7 removal of environmental hazards in homes being re- 8 habilitated through the provision of self-help hous- 9 ing, under which the homeowner contributes a sig- 10 nificant amount of sweat equity toward the rehabili- 11 tation of the dwelling; 12 (2) the dwellings for which abatement or re- 13 moval is performed in connection with assistance 14 provided under this section are quality dwellings 15 that comply with local building and safety codes and 16 standards and are available at prices below the pre- 17 vailing market prices; 18 (3) the provision of assistance under this sec- 19 tion establishes and fosters a partnership between 20 the Federal Government and organizations and con- 21 sortia, resulting in efficient rehabilitation of afford- 22 able housing with minimal governmental interven- 23 tion, limited governmental regulation, and signifi- 24 cant involvement by private entities; 25 VerDate Sep 11 2014 22:27 Jun 18, 2019 Jkt 089200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H3295.IH H3295 lotter on DSKBCFDHB2PROD with BILLS 4 •HR 3295 IH (4) activities to rehabilitate housing assisted 1 pursuant to this section involve community partici- 2 pation in which volunteers assist in the rehabilita- 3 tion of dwellings; and 4 (5) assistance under this section for the abate- 5 ment or removal of environmental hazards is pro- 6 vided for dwellings on a geographically diverse basis, 7 which shall include areas having high housing costs, 8 rural areas, and areas underserved by other home- 9 ownership opportunities that are populated by low- 10 income families unable to otherwise afford housing. 11 If, at any time, the Secretary determines that the goals 12 under this subsection cannot be met by providing assist- 13 ance in accordance with the terms of this section, the Sec- 14 retary shall immediately notify the applicable Committees 15 in writing of such determination and any proposed 16 changes for such goals or this section. 17 (c) NATIONAL COMPETITION.—The Secretary shall 18 select organizations and consortia referred to in subsection 19 (a) to receive grants through a national competitive proc- 20 ess, which the Secretary shall establish. 21 (d) USE.—Amounts from grants made under this 22 section, including any recaptured amounts, shall be used 23 only for the abatement and removal of environmental haz- 24 ards in connection with rehabilitating existing homes to 25 VerDate Sep 11 2014 22:27 Jun 18, 2019 Jkt 089200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H3295.IH H3295 lotter on DSKBCFDHB2PROD with BILLS 5 •HR 3295 IH make them decent, safe, and sanitary nonluxury dwellings 1 in the United States for families and persons who other- 2 wise would be unable to afford to purchase a dwelling. 3 (e) ESTABLISHMENT OF GRANT FUND.— 4 (1) IN GENERAL.—Any amounts from a grant 5 made under this section shall be deposited by the 6 grantee organization or consortium in a fund that is 7 established by such organization or consortium for 8 such amounts, administered by such organization or 9 consortium, and available only for the uses described 10 in subsection (d). Any interest, fees, or other earn- 11 ings of the fund shall be deposited in the fund and 12 shall be considered grant amounts for purposes of 13 this section. 14 (2) ASSISTANCE TO AFFILIATES.—Any organi- 15 zation or consortia that receives a grant under this 16 section may use amounts in the fund established for 17 such organizations or consortia pursuant to para- 18 graph (1), for the uses described in subsection (d), 19 by providing assistance from the fund to local affili- 20 ates of such organizations and consortia. 21 (f) REQUIREMENTS FOR ASSISTANCE.—The Sec- 22 retary may make a grant to an organization or consortium 23 under subsection (a) only pursuant to— 24 VerDate Sep 11 2014 22:27 Jun 18, 2019 Jkt 089200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H3295.IH H3295 lotter on DSKBCFDHB2PROD with BILLS 6 •HR 3295 IH (1) an expression of interest by such organiza- 1 tion or consortia to the Secretary for a grant for 2 such purposes; and 3 (2) a grant agreement entered into under sub- 4 section (g). 5 (g) GRANT AGREEMENT.—A grant under this section 6 shall be made only pursuant to a grant agreement entered 7 into by the Secretary and the organization or consortia 8 receiving the grant, which shall— 9 (1) require such organization or consortia to 10 use grant amounts only as provided in this section; 11 (2) require the organization or consortia to use 12 the grant amounts in a manner that leverages other 13 sources of funding other than grants under this sec- 14 tion, including private or public funds, in rehabili- 15 tating dwellings; 16 (3) provide that the Secretary shall recapture 17 any grant amounts provided to the organization or 18 consortia that are not used within 24 months after 19 such amounts are first disbursed to the organization 20 or consortia; and 21 (4) contain such other terms as the Secretary 22 may require to provide for compliance with sub- 23 section (b) and the requirements of this section. 24 VerDate Sep 11 2014 22:27 Jun 18, 2019 Jkt 089200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\H3295.IH H3295 lotter on DSKBCFDHB2PROD with BILLS 7 •HR 3295 IH (h) FULFILLMENT OF GRANT AGREEMENT.—If the 1 Secretary determines that an organization or consortia 2 awarded a grant under this section has not, within 24 3 months after grant amounts are first made available to 4 the organization or consortia, substantially fulfilled the ob- 5 ligations under the grant agreement, the Secretary shall 6 use any such undisbursed amounts remaining from such 7 grants for other grants in accordance with this section. 8 (i) RECORDS AND AUDITS.—During the period begin- 9 ning upon the making of a grant under this section and 10 ending upon close-out of the grant under subsection (j)— 11 (1) the organization awarded the grant shall 12 keep such records and adopt such administrative 13 practices as the Secretary may require to ensure 14 compliance with the provisions of this section and 15 the grant agreement; and 16 (2) the Secretary and the Comptroller General 17 of the United States, and any of their duly ap- 18 pointed representatives, shall have access for the 19 purpose of audit and examination to any books, doc- 20 uments, papers, and records of the grantee organiza- 21 tion or consortia and its affiliates that are pertinent 22 to the grant made under this section. 23 (j) CLOSE-OUT.—The Secretary shall close out a 24 grant made under this section upon determining that the 25 VerDate Sep 11 2014 22:27 Jun 18, 2019 Jkt 089200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\H3295.IH H3295 lotter on DSKBCFDHB2PROD with BILLS 8 •HR 3295 IH aggregate amount of any assistance provided from the 1 fund established under subsection (e)(1) by the grantee 2 organization or consortium exceeds the amount of the 3 grant. For purposes of this subsection, any interest, fees, 4 and other earnings of the fund shall be excluded from the 5 amount of the grant. 6 (k) REPORT TO CONGRESS.—Not later than 90 days 7 after close-out of all grants under this section is com- 8 pleted, the Secretary shall submit a report to the applica- 9 ble Committees describing— 10 (1) the grants made under this section; 11 (2) the grantees; 12 (3) the housing for which abatement or removal 13 of environmental hazards was performed in connec- 14 tion with the grant amounts; and 15 (4) the purposes for which the grant amounts 16 were used. 17 SEC. 4. DEFINITIONS. 18 For purposes of this Act, the following definitions 19 shall apply: 20 (1) APPLICABLE COMMITTEES.—The term ‘‘ap- 21 plicable Committees’’ means the House Committee 22 on Financial Services and the Senate Committee on 23 Banking, Housing, and Urban Affairs. 24 VerDate Sep 11 2014 22:27 Jun 18, 2019 Jkt 089200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\H3295.IH H3295 lotter on DSKBCFDHB2PROD with BILLS 9 •HR 3295 IH (2) ENVIRONMENTAL HAZARD.—The term ‘‘en- 1 vironmental hazard’’ means any condition that 2 causes exposure to lead, asbestos, mold, and other 3 hazards as determined by the Secretary. 4 (3) SECRETARY.—The term ‘‘Secretary’’ means 5 the Secretary of Housing and Urban Development. 6 (4) UNITED STATES.—The term ‘‘United 7 States’’ includes the States of the United States, the 8 District of Columbia, the Commonwealth of Puerto 9 Rico, the Commonwealth of the Northern Mariana 10 Islands, Guam, the Virgin Islands, American Samoa, 11 and any other territory or possession of the United 12 States. 13 SEC. 5. AUTHORIZATION OF APPROPRIATIONS. 14 There is authorized to be appropriated such sums as 15 may be necessary to carry out this Act. 16 SEC. 6. SUNSET. 17 The Secretary shall not enter into any grant agree- 18 ment, contract, or obligation under this Act after the con- 19 clusion of fiscal year 2022. 20 Æ VerDate Sep 11 2014 22:27 Jun 18, 2019 Jkt 089200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6301 E:\BILLS\H3295.IH H3295 lotter on DSKBCFDHB2PROD with BILLS