,,ii #aafth ,,congress #ast ,session ,s4 #ghg ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,march #ac1 #bjai,ms4 ,warren 7for herself1 ,mrs4 ,gillibrand1 and ,mr4 ,markey7 introduced the following bill2 which was read twice and referred to the ,committee on ,finance ,a ,,bill ,to make housing more affordable1 and for other purposes4 #a4 ,short title2 table of contents 7a7 ,short title ,this ,act may be cited as the ,american ,housing and ,economic ,mobility ,act of #bjai4 7b7 ,table of contents ,the table of contents for this ,act is as follows3 ,sec4 #a4 ,short title2 table of contents4 ,,title ,i--,making housing more affordable ,sec4 #aja4 ,local housing innovation grants4 ,sec4 #ajb4 ,investing in affordable housing infrastructure4 ,sec4 #ajc4 ,conditions for the sale of real estate-owned properties and non-performing loans4 ,,title ,,ii--,taking the first steps to reverse the legacy of housing discrimination and government negligence ,sec4 #bja4 ,down payment assistance program for communities formerly segregated by law4 ,sec4 #bjb4 ,formula grant program for communities that have not recovered from the financial crisis4 ,sec4 #bjc4 ,strengthening the ,community ,reinvestment ,act of #aigg4 ,sec4 #bjd4 ,amendments relating to credit union service to underserved areas4 ,,title ,,iii--,removing barriers that isolate communities ,sec4 #cja4 ,expanding rights under the ,fair ,housing ,act4 ,sec4 #cjb4 ,improving outcomes in housing assistance programs4 ,,title ,,iv--,estate ,tax ,reform ,sec4 #dja4 ,amendment to ,internal ,revenue ,code of #aihf4 ,sec4 #djb4 ,rate adjustment4 ,sec4 #djc4 ,required minimum #aj-year term1 etc41 for grantor retained annuity trusts4 ,sec4 #djd4 ,certain transfer tax rules applicable to grantor trusts4 ,sec4 #dje4 ,elimination of generation-skipping transfer tax exemption for certain trusts4 ,sec4 #djf4 ,simplifying gift tax exclusion for annual gifts4 ,i ,making housing more affordable #aja4 ,local housing innovation grants 7a7 ,definitions ,in this section3 7#a7 ,elementary school2 secondary school ,the terms elementary school and secondary school have the meanings given those terms in section #haja of the ,elementary and ,secondary ,education ,act of #aife 7#bj ,u4,s4,c4 #ghja74 7#b7 ,eligible entity ,the term eligible entity means-- 7,a7 a ,state2 7,b7 a unit of general local government2 or 7,c7 a metropolitan area4 7#c7 ,institution of higher education ,the term institution of higher education has the meaning given the term in section #aja of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajja74 7#d7 ,metropolitan area2 ,state2 unit of general local government ,the terms metropolitan area1 ,state1 and unit of general local government have the meanings given those terms in section #ajb of the ,housing and ,community ,development ,act of #aigd 7#db ,u4,s4,c4 #ecjb74 7#e7 ,secretary ,the term ,secretary means the ,secretary of ,housing and ,urban ,development4 7b7 ,establishment ,not later than #a year after the date of enactment of this ,act1 the ,secretary shall establish a program to make grants to eligible entities that-- 7#a7 reform local land use restrictions to bring down the costs of producing affordable housing2 and 7#b7 remove unnecessary barriers to building affordable units in their communities4 7c7 ,eligible activities ,an eligible entity receiving a grant under this section may use funds to-- 7#a7 carry out any of the activities described in section #aje of the ,housing and ,community ,development ,act of #aigd 7#db ,u4,s4,c4 #ecje72 7#b7 carry out any of the activities permitted under the program for national infrastructure investments 7commonly known as the ,better ,utilizing ,investments to ,leverage ,development 7,,build7 discretionary grant program7 authorized under title ,i of division ,l of the ,consolidated ,appropriations ,act1 #bjah 7,public ,law #aae-ada7 or a subsequent appropriations ,act2 or 7#c7 modernize1 renovate1 or repair facilities used by public elementary schools1 public secondary schools1 and public institutions of higher education1 including modernization1 renovation1 and repairs that-- 7,a7 promote physical1 sensory1 and environmental accessibility2 and 7,b7 are consistent with a recognized green building rating system4 7d7 ,application 7#a7 ,in general ,an eligible entity desiring a grant under this section shall submit to the ,secretary an application that demonstrates that the eligible entity has carried out1 or is in the process of carrying out1 initiatives that facilitate the expansion of the supply of well-located affordable housing4 7#b7 ,activities ,initiatives that meet the criteria described in paragraph 7#a7-- 7,a7 include-- 7i7 establishing by-right development1 which allows jurisdictions to administratively approve new developments that are consistent with their zoning code2 7ii7 revising or eliminating off-street parking requirements to reduce the cost of housing production2 7iii7 instituting measures that incentivize owners of vacant land to redevelop the space into affordable housing or other productive uses2 7iv7 revising minimum lot size requirements and bans or limits on multifamily construction to allow for denser and more affordable development2 7v7 instituting incentives to promote dense development1 such as density bonuses2 7vi7 passing inclusionary zoning ordinances that require a portion of newly developed units to be reserved for low- and moderate-income renters or homebuyers2 7vii7 streamlining regulatory requirements and shortening processes1 reforming zoning codes1 or other initiatives that reduce barriers to housing supply elasticity and affordability2 7viii7 allowing accessory dwelling units2 7ix7 using local tax incentives to promote development of affordable housing2 and 7x7 implementing measures that protect tenants from harassment and displacement1 including access to counsel for tenants facing eviction1 the prohibition of eviction except for just cause1 and measures intended to prevent or mitigate sudden increases in rents1 or repealing laws that prevent localities from implementing those measures2 and 7,b7 do not include activities that alter ordinances that govern wage and hour laws1 family and medical leave laws1 or protections for workers' health and safety1 anti-discrimination1 and right to organize4 7e7 ,labor laws 7#a7 ,in general ,all laborers and mechanics employed by contractors or subcontractors in the performance of construction work financed in whole or in part with a grant received under this section shall be paid wages at rates not less than those prevailing on similar construction in the locality1 as determined by the ,secretary of ,labor in accordance with subchapter ,,iv of chapter #ca of title #dj1 ,united ,states ,code 7commonly known as the ,davis-,bacon ,act74 7#b7 ,exception ,paragraph 7#a7 shall not apply with respect to-- 7,a7 the rehabilitation of residential property if the property contains less than #h units2 or 7,b7 construction carried out by employees of the eligible entity receiving the grant under this section4 7f7 ,authorization of appropriations ,there is authorized to be appropriated to carry out this section #b1jjj1jjj1jjj for each of fiscal years #bjbj through #bjbd4 #ajb4 ,investing in affordable housing infrastructure 7a7 ,housing ,trust ,fund ,section #acch7;a7 of the ,federal ,housing ,enterprises ,financial ,safety and ,soundness ,act of #aiib 7#ab ,u4,s4,c4 #defh7;a77 is amended by adding at the end the following3 7#c7 ,authorization of appropriations ,there is authorized to be appropriated to the ,housing ,trust ,fund #dd1ejj1jjj1jjj for each of fiscal years #bjbj through #bjbi4 4 7b7 ,capital ,magnet ,fund ,section #acci of the ,federal ,housing ,enterprises ,financial ,safety and ,soundness ,act of #aiib 7#ab ,u4,s4,c4 #defi7 is amended by adding at the end the following3 7k7 ,authorization of appropriations ,there is authorized to be appropriated to the ,capital ,magnet ,fund #b1ejj1jjj1jjj for each of fiscal years #bjbj through #bjbi4 4 7c7 ,public housing capital fund ,section #i7;c77#b77;,b7 of the ,united ,states ,housing ,act of #aicg 7#db ,u4,s4,c4 #adcg;g7c77#b77;,b77 is amended to read as follows3 7,b7 ,capital fund ,for allocations of assistance from the ,capital ,fund1 #c1eib1jjj1jjj for fiscal year #bjbj4 4 7d7 ,indian housing block grant program ,section #ajh of the ,native ,american ,housing ,assistance and ,self-,determination ,act of #aiif 7#be ,u4,s4,c4 #daag7 is amended-- 7#a7 by striking such sums as may be necessary for each of fiscal years #bjji through #bjac and inserting #b1ejj1jjj1jjj for fiscal year #bjbj and such sums as may be necessary for each of fiscal years #bjba through #bjbi2 and 7#b7 by striking the second sentence4 7e7 ,native ,hawaiian housing block grant program ,section #hbd of the ,native ,american ,housing ,assistance and ,self-,determination ,act of #aiif 7#be ,u4,s4,c4 #dbdc7 is amended by striking such sums as may be necessary for each of fiscal years #bjja1 #bjjb1 #bjjc1 #bjjd1 and #bjje and inserting #h1jjj1jjj for fiscal year #bjbj4 7f7 ,rural housing programs ,out of funds in the ,treasury not otherwise appropriated1 there is appropriated for fiscal year #bjbj-- 7#a7 to provide direct loans under section #ejb of the ,housing ,act of #aidi 7#db ,u4,s4,c4 #adgb71 #adj1jjj1jjj2 7#b7 to provide assistance under section #ead of such ,act 7#db ,u4,s4,c4 #adhd71 #bh1jjj1jjj2 7#c7 to provide assistance under section #eae of such ,act 7#db ,u4,s4,c4 #adhe71 #ahj1jjj1jjj2 7#d7 to provide assistance under section #eaf of such ,act 7#db ,u4,s4,c4 #adhf71 #ajj1jjj1jjj2 and 7#e7 to provide grants under section #ebc of such ,act 7#db ,u4,s4,c4 #adij;c71 #ge1jjj1jjj4 7g7 ,middle ,class ,housing ,emergency ,fund 7#a7 ,definition ,in this subsection1 the term affordable rental housing unit means a unit for which monthly rent is #cj percent or less than the monthly area median income4 7#b7 ,establishment ,the ,secretary of ,housing and ,urban ,development shall establish and manage a fund1 to be known as the ,middle ,class ,housing ,emergency ,fund1 which shall be funded with any amounts as may be appropriated1 transferred1 or credited to the ,fund under any provision law4 7#c7 ,grants ,from amounts available in the fund established under paragraph 7#b71 the ,secretary of ,housing and ,urban ,development shall award grants on a competitive basis to ,state housing finance agencies located in a ,state in which-- 7,a7 there is a shortage of affordable rental housing units available to individuals with an income that is at or below the area median income and median rents have risen on average over the preceding #c years substantially faster than the area median income2 or 7,b7 there is a shortage of housing units available for sale that are affordable to individuals with an income that is at or below the area median income and median home prices have risen on average over the preceding #c years substantially faster than the area median income4 7#d7 ,use of funds ,grants received under this subsection shall be used to fund-- 7,a7 the construction of rental housing units or units for purchase that are affordable to residents making less than #abj percent of the area median income2 and 7,b7 measures to prevent tenant displacement and harassment1 including the provision of legal advice and representation for tenants facing eviction1 enforcement of anti-harassment laws1 emergency rental assistance1 and other measures as specified by the ,secretary of ,housing and ,urban ,development4 7#e7 ,labor laws 7,a7 ,in general ,all laborers and mechanics employed by contractors or subcontractors in the performance of construction work financed in whole or in part with a grant received under this subsection shall be paid wages at rates not less than those prevailing on similar construction in the locality as determined by the ,secretary of ,labor in accordance with subchapter ,,iv of chapter #ca of title #dj1 ,united ,states ,code 7commonly known as the ,davis-,bacon ,act74 7,b7 ,exception ,subparagraph 7,a7 shall not apply with respect to-- 7i7 the rehabilitation of residential property if the property contains less than #h units2 or 7ii7 construction carried out by employees of the eligible entity receiving the grant under this section4 7#f7 ,regulations ,the ,secretary of ,housing and ,urban ,development shall promulgate regulations to carry out this subsection1 including with respect to the metrics that the ,secretary shall use to determine eligibility for a grant under this subsection4 7#g7 ,appropriations ,out of funds in the ,treasury not otherwise appropriated1 there is appropriated to the fund established under this subsection #d1jjj1jjj1jjj for fiscal year #bjbj4 #ajc4 ,conditions for the sale of real estate-owned properties and non-performing loans 7a7 ,findings ,congress finds that-- 7#a7 the ,federal ,housing ,administration1 the ,federal ,national ,mortgage ,association1 and the ,federal ,home ,loan ,mortgage ,corporation provide critical homeownership opportunities that greatly benefit individuals1 families and communities2 and 7#b7 it is the purpose of this section to-- 7,a7 preserve owner-occupied homes with mortgages insured by the ,federal ,housing ,administration or purchased by the ,federal ,national ,mortgage ,association or the ,federal ,home ,loan ,mortgage ,corporation for continued use as owner-occupied homes2 and 7,b7 direct that1 upon the sale of those properties or transfer of those mortgages1 certain percentages of those properties are sold to low- and moderate-income homeowners4 7b7 ,loans insured by the ,federal ,housing ,administration ,title ,,ii of the ,national ,housing ,act 7#ab ,u4,s4,c4 #agjg et seq47 is amended by adding at the end the following3 #bei4 ,sale of real estate-owned properties 7a7 ,in general ,not later than #a year after the date of enactment of this section1 the ,secretary shall develop programs within the ,federal ,housing ,administration to ensure that not less than #ge percent of the single-family residential properties that were acquired by the ,federal ,housing ,administration through foreclosure or other transfer-related mortgages insured under this title on the properties are sold-- 7#a7 directly to an owner-occupant2 or 7#b7 to community partners that will-- 7,a7 rehabilitate or develop the property2 and 7,b7 sell the property to an owner-occupant4 7b7 ,anti-,predatory feature ,unless the ,secretary provides prior approval1 the ,secretary shall prohibit any purchaser of a real estate-owned property of the ,federal ,housing ,administration from re-selling the property within #ae years of purchase using a land installment contract or through any other mechanism that does not transfer title to the buyer at the time of sale4 #bfj4 ,sale of non-performing loans 7a7 ,in general ,except as provided in this section1 the ,secretary may not sell or transfer any mortgage insured under this title that is secured by a single-family residential property 7in this section referred to as a covered mortgage74 7b7 ,conditions for sale or transfer 7#a7 ,in general ,the ,secretary-- 7,a7 may sell or transfer a covered mortgage only if-- 7i7 the capital level of the ,fund is substantially below the capital ratio required under section #bje7;f77#d72 7ii7 the ,secretary certifies that other reasonable measures are not available to restore the ,fund to that capital ratio2 and 7iii7 the ,secretary complies with paragraph 7#b77;,c71 if applicable2 and 7,b7 shall sell or transfer only such covered mortgages as are necessary to assist in restoration of that capital ratio4 7#b7 ,requirements for the ,secretary 7,a7 ,in general ,if the ,secretary intends to sell or transfer a covered mortgage1 the ,secretary shall provide the current borrower and all owners of record of the property securing the covered mortgage1 or require that the current borrower and owners of record be provided1 a separate written notice of the intent to sell the covered mortgage that-- 7i7 is mailed via certified and first class mail not less than #ij days before the date on which the loan is included in any proposed sale2 and 7ii7 includes-- 7,i7 a description of the loss mitigation options of the ,administration that are available to borrowers in financial distress and the obligation of servicers to consider borrowers in default for those options2 7,,ii7 a description of the actions that the servicer of the loan has taken to review and implement those options for the borrower2 and 7,,iii7 a description of the procedures the borrower may use to contest with the ,secretary the compliance by the servicer with that obligation4 7,b7 ,judicial review ,the determination of the ,secretary to authorize the sale of a mortgage insured under this title shall be reviewable under chapter #g of title #e1 ,united ,states ,code1 for abuse of discretion and arbitrary and capricious agency action4 7,c7 ,auctions ,the ,secretary may not sell any covered mortgage through any type of non-performing loan sale auction program until the ,secretary issues rules1 through the notice and comment rule making procedures under section #eec of title #e1 ,united ,states ,code1 that address essential aspects of any non-performing loan sale program1 including-- 7i7 the method of selection of loans for sale2 7ii7 notice to borrowers prior to inclusion of the loan in a sale2 and 7iii7 review of loss mitigation status prior to the sale1 selection of eligible bidders1 loss mitigation guidelines applicable to loan purchasers1 and reporting requirements for purchasers4 7#c7 ,certification requirement for lenders and servicers 7,a7 ,certification ,as a condition to payment of an insurance claim under this title in connection with any non-performing loan sale1 the lender or servicer of the loan shall provide the ,secretary and the borrower with written certification of the loss mitigation review contained in the ,,fha ,single ,family ,housing ,policy ,handbook #djjj4a1 or any successor handbook4 7,b7 ,false statements 7i7 ,in general ,any false statement provided in a certification described in subparagraph 7,a7 shall be a basis for-- 7,i7 recovery by the ,secretary of any amounts paid under the insurance claim and any other penalties and sanctions authorized under ,federal law2 and 7,,ii7 a private right of action by the borrower against the lender and servicer1 with remedies to include compensatory and punitive damages and an assessment of costs and attorney's fees4 7ii7 ,transfers ,unless a bona fide purchaser has acquired title to the property as a primary residence-- 7,i7 a certification described in subparagraph 7,a7 that contains a false statement shall be a basis for revoking the transfer of the property2 and 7,,ii7 the pre-sale lender and servicer of the property shall-- 7aa7 resume servicing the loan as a loan insured under this title2 and 7bb7 reimburse the ,secretary for any insurance claim paid and all costs related to the sale of the property4 7#d7 ,requirements for purchasers 7,a7 ,in general ,each purchaser of a covered mortgage shall offer the borrower on the covered mortgage-- 7i7 appropriate loss mitigation options1 including affordable and sustainable loan modifications2 and 7ii7 the opportunity for a short sale or a deed in lieu of foreclosure4 7,b7 ,loss mitigation options ,the specific formula1 calculations1 waterfall steps1 and other terms for appropriate loss mitigation options described in subparagraph 7,a7 shall be published by the ,secretary1 made available to the public1 and included in a written notice given to borrowers before any acceleration or foreclosure is initiated after a loan sale4 7#e7 ,requirements for transferees ,with respect to a transferee1 including any subsequent transferee1 of a covered mortgage that is sold under this title-- 7,a7 the transferee shall certify in writing to the ,secretary that the transferee will comply with the provisions of this section in the marketing and transfer of any property received in the disposition of any transferred loan2 7,b7 the transferee shall provide to the ,secretary records documenting that the transfers of those properties are in compliance with this section2 and 7,c7 the failure of the ,secretary or the transferee to comply with the requirements under this section for a loan in default shall be a defense to foreclosure1 and a transferee shall not execute a foreclosure judgment or order of sale1 or conduct a foreclosure sale1 until the transferee has complied with all requirements under this section4 7c7 ,limitations ,with respect to covered mortgages that are sold under this title and foreclosed upon by the buyer1 not less than #ij percent of the properties that are the subject of the covered mortgages in an auction shall be-- 7#a7 sold to owner-occupants2 7#b7 operated or transferred to an entity that will operate the property as affordable rental housing for households below #hj percent of the area median income for a period of not less than #ae years2 or 7#c7 transferred or donated to a nonprofit agency that is certified by the ,secretary and will redevelop the property for owner occupancy or affordable rental housing4 7d7 ,prioritization of sales ,the ,secretary shall implement policies1 procedures1 and controls to-- 7#a7 identify and recruit community partners2 7#b7 engage in consultations with community partners before the sale of a pool of covered mortgages under this title to determine whether that sale can be designed to meet the specific needs of the communities served by the community partners2 and 7#c7 prioritize the sale of pools of single-family mortgages to community partners by-- 7,a7 designing pools of covered mortgages for direct sale to a community partner1 the price of which shall be set by the ,secretary based on a pricing model that considers-- 7i7 the current fair market value of the properties2 and 7ii7 the potential impact of foreclosures on those properties to the value of other homes that secure mortgages insured under this title in the same census tract2 or 7,b7 in the case of an auction1 if the winning bid is not from a community partner1 permitting any community partner that bid during that same auction to have a final opportunity to enter a higher bid on the pool4 4 7c7 ,fannie ,mae ,section #cjb of the ,federal ,national ,mortgage ,association ,charter ,act 7#ab ,u4,s4,c4 #agag7 is amended by adding at the end the following3 7d7 7#a7 ,the corporation may not sell or transfer any mortgage that is secured by a single-family residential property 7in this section referred to as a covered mortgage7 under this section unless the requirements of this subsection are met4 7#b7 7,a7 ,if the corporation intends to sell or transfer a covered mortgage1 the corporation shall provide the current borrower and all owners of record of the property securing the covered mortgage1 or require that the current borrower and owners of record be provided1 a separate written notice of the intent to sell the covered mortgage that-- 7i7 is mailed via certified and first class mail not less than #ij days before the date on which the loan is included in any proposed sale2 and 7ii7 includes-- 7,i7 a description of the loss mitigation options of the corporation that are available to borrowers in financial distress and the obligation of servicers to consider borrowers in default for those options2 7,,ii7 a description of the actions that the servicer of the loan has taken to review and implement those options for the borrower2 and 7,,iii7 a description of the procedures the borrower may use to contest with the corporation the compliance by the servicer with that obligation4 7,b7 ,the determination of the corporation to authorize the sale of a mortgage under this section shall be reviewable under chapter #g of title #e1 ,united ,states ,code1 for abuse of discretion and arbitrary and capricious agency action4 7,c7 ,the corporation may not sell any covered mortgage through any type of non-performing loan sale auction program until the corporation issues rules1 through the notice and comment rule making procedures under section #eec of title #e1 ,united ,states ,code1 that address essential aspects of any non-performing loan sale program1 including-- 7i7 the method of selection of loans for sale2 7ii7 notice to borrowers prior to inclusion of the loan in a sale2 and 7iii7 review of loss mitigation status prior to the sale1 selection of eligible bidders1 loss mitigation guidelines applicable to loan purchasers1 and reporting requirements for purchasers4 7#c7 7,a7 ,each purchaser of a covered mortgage shall offer the borrower on the covered mortgage-- 7i7 appropriate loss mitigation options1 including affordable and sustainable loan modifications2 and 7ii7 the opportunity for a short sale or a deed in lieu of foreclosure4 7,b7 ,the specific formula1 calculations1 waterfall steps1 and other terms for appropriate loss mitigation options described in subparagraph 7,a7 shall be published by the corporation1 made available to the public1 and included in a written notice given to borrowers before any acceleration or foreclosure is initiated after a loan sale4 7#d7 ,with respect to a transferee1 including any subsequent transferee1 of a covered mortgage that is sold by the corporation under this section-- 7,a7 the transferee shall certify in writing to the corporation that the transferee will comply with the provisions of this subsection in the marketing and transfer of any property received in the disposition of any transferred loan2 7,b7 the transferee shall provide to the corporation records documenting that the transfers of those properties are in compliance with this subsection2 and 7,c7 the failure of the corporation or the transferee to comply with the requirements under this subsection for a loan in default shall be a defense to foreclosure1 and a transferee shall not execute a foreclosure judgment or order of sale1 or conduct a foreclosure sale1 until the transferee has complied with all requirements under this subsection4 7#e7 ,with respect to covered mortgages that are sold by the corporation under this section and foreclosed upon by the buyer1 not less than #ij percent of the properties that are the subject of the covered mortgages in an auction shall be-- 7,a7 sold to owner-occupants2 7,b7 operated or transferred to an entity that will operate the property as affordable rental housing for households below #hj percent of the area median income for a period of not less than #ae years2 or 7,c7 transferred or donated to a nonprofit agency that is certified by the corporation and will redevelop the property for owner occupancy or affordable rental housing4 7#f7 ,the corporation shall implement policies1 procedures1 and controls to-- 7,a7 identify and recruit community partners2 7,b7 engage in consultations with community partners before the sale of a pool of covered mortgages under this section to determine whether that sale can be designed to meet the specific needs of the communities served by the community partners2 and 7,c7 prioritize the sale of pools of single-family mortgages to community partners by-- 7i7 designing pools of covered mortgages for direct sale to a community partner1 the price of which shall be set by the corporation based on a pricing model that considers-- 7,i7 the current fair market value of the properties2 and 7,,ii7 the potential impact of foreclosures on those properties to the value of other homes in the same census tract2 or 7,,iii7 in the case of an auction1 if the winning bid is not from a community partner1 permitting any community partner that bid during that same auction to have a final opportunity to enter a higher bid on the pool4 4 7d7 ,freddie ,mac ,section #cje of the ,federal ,home ,loan ,mortgage ,corporation ,act 7#ab ,u4,s4,c4 #aded7 is amended by adding at the end the following3 7e7 7#a7 ,the ,corporation may not sell or transfer any mortgage that is secured by a single-family residential property 7in this section referred to as a covered mortgage7 under this section unless the requirements of this subsection are met4 7#b7 7,a7 ,if the ,corporation intends to sell or transfer a covered mortgage1 the ,corporation shall provide the current borrower and all owners of record of the property securing the covered mortgage1 or require that the current borrower and owners of record be provided1 a separate written notice of the intent to sell the covered mortgage that-- 7i7 is mailed via certified and first class mail not less than #ij days before the date on which the loan is included in any proposed sale2 and 7ii7 includes-- 7,i7 a description of the loss mitigation options of the ,corporation that are available to borrowers in financial distress and the obligation of servicers to consider borrowers in default for those options2 7,,ii7 a description of the actions that the servicer of the loan has taken to review and implement those options for the borrower2 and 7,,iii7 a description of the procedures the borrower may use to contest with the ,corporation the compliance by the servicer with that obligation4 7,b7 ,the determination of the ,corporation to authorize the sale of a mortgage under this section shall be reviewable under chapter #g of title #e1 ,united ,states ,code1 for abuse of discretion and arbitrary and capricious agency action4 7,c7 ,the ,corporation may not sell any covered mortgage through any type of non-performing loan sale auction program until the ,corporation issues rules1 through the notice and comment rule making procedures under section #eec of title #e1 ,united ,states ,code1 that address essential aspects of any non-performing loan sale program1 including-- 7i7 the method of selection of loans for sale2 7ii7 notice to borrowers prior to inclusion of the loan in a sale2 and 7iii7 review of loss mitigation status prior to the sale1 selection of eligible bidders1 loss mitigation guidelines applicable to loan purchasers1 and reporting requirements for purchasers4 7#c7 7,a7 ,each purchaser of a covered mortgage shall offer the borrower on the covered mortgage-- 7i7 appropriate loss mitigation options1 including affordable and sustainable loan modifications2 and 7ii7 the opportunity for a short sale or a deed in lieu of foreclosure4 7,b7 ,the specific formula1 calculations1 waterfall steps1 and other terms for appropriate loss mitigation options described in subparagraph 7,a7 shall be published by the ,corporation1 made available to the public1 and included in a written notice given to borrowers before any acceleration or foreclosure is initiated after a loan sale4 7#d7 ,with respect to a transferee1 including any subsequent transferee1 of a covered mortgage that is sold by the ,corporation under this section-- 7,a7 the transferee shall certify in writing to the ,corporation that the transferee will comply with the provisions of this section in the marketing and transfer of any property received in the disposition of any transferred loan2 7,b7 the transferee shall provide to the ,corporation records documenting that the transfers of those properties are in compliance with this subsection2 and 7,c7 the failure of the ,corporation or the transferee to comply with the requirements under this subsection for a loan in default shall be a defense to foreclosure1 and a transferee shall not execute a foreclosure judgment or order of sale1 or conduct a foreclosure sale1 until the transferee has complied with all requirements under this subsection4 7#e7 ,with respect to covered mortgages that are sold by the ,corporation under this section and foreclosed upon by the buyer1 not less than #ij percent of the properties that are the subject of the covered mortgages in an auction shall be-- 7,a7 sold to owner-occupants2 7,b7 operated or transferred to an entity that will operate the property as affordable rental housing for households below #hj percent of the area median income for a period of not less than #ae years2 or 7,c7 transferred or donated to a nonprofit agency that is certified by the ,corporation and will redevelop the property for owner occupancy or affordable rental housing4 7#f7 ,the ,corporation shall implement policies1 procedures1 and controls to-- 7,a7 identify and recruit community partners2 7,b7 engage in consultations with community partners before the sale of a pool of covered mortgages under this section to determine whether that sale can be designed to meet the specific needs of the communities served by the community partners2 and 7,c7 prioritize the sale of pools of single-family mortgages to community partners by-- 7i7 designing pools of covered mortgages for direct sale to a community partner1 the price of which shall be set by the ,corporation based on a pricing model that considers-- 7,i7 the current fair market value of the properties2 and 7,,ii7 the potential impact of foreclosures on those properties to the value of other homes in the same census tract2 or 7,,iii7 in the case of an auction1 if the winning bid is not from a community partner1 permitting any community partner that bid during that same auction to have a final opportunity to enter a higher bid on the pool4 4 ,,ii ,taking the first steps to reverse the legacy of housing discrimination and government negligence #bja4 ,down payment assistance program for communities formerly segregated by law 7a7 ,findings ,congress finds the following3 7#a7 ,for generations1 buying a home has been the primary way working families build wealth4 7#b7 ,a home is not only a place to live1 but also an asset that may appreciate1 help fund a new business1 finance an education1 or cover retirement expenses4 ,a home provides stability and financial predictability1 which are important foundations for prosperity and access to opportunity for a family4 7#c7 ,for decades1 the ,federal ,government subsidized homeownership--for ,white families4 ,until the #aifjs1 the ,federal ,government systematically denied ,african ,americans and other marginalized groups the ability to obtain mortgage credit1 buy homes1 and build wealth for their families while subsidizing the ,american dream for ,white families4 7#d7 ,the ,federal ,government1 through the ,home ,owners' ,loan ,corporation and the ,federal ,housing ,administration1 standardized and institutionalized discriminatory policies on the basis of race1 national origin1 and religion that reflected practices in the private sector and became a model for their widespread adoption across the housing industry4 7#e7 ,racist restrictive covenants and zoning ordinances also robbed families of color of the opportunity to live and build opportunity for their families in the community of their choice4 7#f7 ,in the years before the #bjjh financial crisis1 lenders targeted borrowers of color with abusive loans while government regulators sat on their hands1 further extracting wealth from these same communities4 7#g7 ,the legacy of housing discrimination and regulatory negligence is a contributor to a large and growing gap in wealth and outcomes between ,black and ,white families4 ,the median income ,white family in the ,united ,states has almost #aj times the wealth of the median income ,black family in the ,united ,states4 ,the gap between the ,white homeownership rate and the ,black homeownership rate is bigger today than it was when housing discrimination was legal4 ,seventy-five percent of formerly redlined communities are still low-income and #ff percent are still minority communities4 7#h7 ,the purpose of this section is for the ,federal ,government to take the first step toward addressing the racial wealth gap that it contributed to creating by helping individuals or descendants of individuals who were harmed by housing discrimination or negligence by the ,federal ,government4 7b7 ,definitions ,in this section3 7#a7 ,eligible resident ,the term eligible resident means a resident of a geographic area1 as defined by the ,secretary by regulation under subsection 7g71 who-- 7,a7 is a first-time homebuyer2 7,b7 has an income that is less than #abj percent of the area median income2 and 7,c7 7i7 resided in that geographic area during the #d-year period preceding the date of enactment of this ,act2 7ii7 resided in that geographic area for a period of #d years before moving out of the geographic area subsequent to a foreclosure1 short sale1 or deed in lieu of foreclosure on a home that-- 7,i7 was the primary residence of the resident2 and 7,,ii7 was purchased or refinanced during the period beginning on ,january #a1 #bjja1 and ending on ,december #cj1 #bjjh2 or 7iii7 resided in that geographic area for a period of #d years before moving out of the geographic area due to a major disaster declared by the ,president or a ,state1 territorial1 or ,tribal government4 7#b7 ,first-time homebuyer ,the term first-time homebuyer means an individual 7and if married1 the spouse of the individual7 who-- 7,a7 has had no ownership in a principal residence during the #c-year period ending on the date of purchase of the property2 or 7,b7 who surrendered an ownership interest in a principal residence during the #c-year period ending on the date of purchase of the property as part of a divorce proceeding4 7#c7 ,secretary ,the term ,secretary means the ,secretary of ,housing and ,urban ,development4 7c7 ,establishment ,there is established in the ,office of ,housing of the ,department of ,housing and ,urban ,development a fund1 to be administered by the ,secretary1 that shall be used-- 7#a7 to provide grants to eligible residents to purchase homes2 7#b7 for outreach to financial institutions in targeted areas and eligible residents1 including for the administration of that outreach2 7#c7 for counseling or financial education administered by counseling agencies approved by the ,secretary in order to ensure sustainable homeownership2 7#d7 to create and maintain the database described in subsection 7g77#c72 and 7#e7 to maintain any records required to implement this section4 7d7 ,grant amount ,eligible residents may receive a grant from the fund established under subsection 7c7 in an amount equal to-- 7#a7 not more than #c4e percent of the appraised value of the property to be purchased2 or 7#b7 if the appraised value is more than the principal obligation amount limitation for mortgages insured under title ,,ii of the ,national ,housing ,act 7#ab ,u4,s4,c4 #agjg et seq471 #c4e percent of the maximum principal obligation limitation for the property to be purchased4 7e7 ,,fha loan ,an eligible resident is not required to obtain a mortgage that is insured under title ,,ii of the ,national ,housing ,act 7#ab ,u4,s4,c4 #agjg et seq47 as a condition of receiving a grant under this section4 7f7 ,geographic area ,an eligible resident is not required to purchase a home within the geographic area described in subsection 7b77#a77;,c7 as a condition of receiving a grant under this section4 7g7 ,regulations and database ,not later than #a year after the date of enactment of this ,act1 the ,secretary shall-- 7#a7 in consultation with interested parties1 including housing counseling agencies approved by the ,secretary and individuals or groups with expertise in fair housing1 finalize regulations relating to the use of the fund established under subsection 7c71 including defining the geographic areas in which residents are eligible to receive grants through the fund1 which shall include-- 7,a7 census tracts graded as hazardous or definitely decliningin maps drawn by the ,home ,owners' ,loan ,corporation that are1 as of the date of enactment of this ,act1 low-income communities2 7,b7 census tracts that were designated for non-,white citizens in jurisdictions that historically had racially segregated zoning codes and are1 as of the date of enactment of this ,act1 low-income communities2 and 7,c7 census tracts that are racially or ethnically concentrated areas of poverty1 which shall mean a census tract-- 7i7 with a non-,white population of #ej percent or more2 and 7ii7 7,i7 in which not less than #dj percent of families living in the census tract have incomes that are at or below the poverty line2 or 7,,ii7 in which the average tract poverty rate is #c or more times the average tract poverty tract for the metropolitan or micropolitan area2 7#b7 finalize regulations relating to the disbursement of funds under this section to ensure that eligible residents are able to receive funds before the closing date for their home1 which may include creating a program that allows a lender to be reimbursed by the fund established under subsection 7c7 if the lender-- 7,a7 provides the eligible resident with funds for the closing2 or 7,b7 allows eligible residents to be preapproved to receive assistance under this section when arranging financing for their home2 7#c7 create a publicly accessible database that allows individuals1 real estate professionals1 and lenders to determine whether a borrower is eligible for assistance under this section2 and 7#d7 establish methods to verify that an individual is an eligible resident4 7h7 ,appropriations ,out of funds in the ,treasury not otherwise appropriated1 there is appropriated to the fund established under subsection 7c7 such sums as may be necessary for each of fiscal years #bjbj through #bjbi to provide grants under this section and to carry out consumer education efforts related to this section4 7i7 ,inclusion of program in home buying information booklets ,section #e7;b7 of the ,real ,estate ,settlement ,procedures ,act of #aigd 7#ab ,u4,s4,c4 #bfjd7;b77 is amended by inserting after paragraph 7#ad7 the following3 7#ae7 ,information relating to the down payment assistance program established under section #bja of the ,american ,housing and ,economic ,mobility ,act of #bjai4 4 7j7 ,inclusion of program as mortgage product ,section #bjc7;f77#a7 of the ,national ,housing ,act 7#ab ,u4,s4,c4 #agji7;f77#a77 is amended by inserting 1 including the down payment assistance program established under section #bja of the ,american ,housing and ,economic ,mobility ,act of #bjai1 after mortgage products4 #bjb4 ,formula grant program for communities that have not recovered from the financial crisis 7a7 ,establishment ,the ,secretary of ,housing and ,urban ,development shall establish a formula grant program to provide funding to ,states to assist borrowers with negative equity in their primary residence through-- 7#a7 measures that provide funds to borrowers to-- 7,a7 pay down arrears on an otherwise affordable loan2 7,b7 pay down arrears or principal on a loan in order to qualify for a loan modification that will allow the borrower to keep their home2 7,c7 pay off the entire or pay down part of a second mortgage or home equity line of credit2 7,d7 pay off a small-dollar mortgage2 7,e7 pay delinquent taxes and tax liens2 7,f7 pay off delinquent water or sewer bills and liens2 and 7,g7 pay for home repairs or maintenance or for modifications to bring the home into compliance with any applicable codes2 and 7#b7 programs to purchase or rehabilitate vacant land and foreclosed homes to enhance neighborhood property values4 7b7 ,formula ,the ,secretary of ,housing and ,urban ,development shall distribute amounts under this section based on the number of borrowers in the ,state with a primary residence with negative equity4 7c7 ,authorization of appropriations ,there is authorized to be appropriated to carry out this section #b1jjj1jjj1jjj for fiscal year #bjbj4 #bjc4 ,strengthening the ,community ,reinvestment ,act of #aigg 7a7 ,short title ,this section may be cited as the ,community ,reinvestment ,reform ,act of #bjai4 7b7 ,amendments to the ,community ,reinvestment ,act of #aigg ,the ,community ,reinvestment ,act of #aigg 7#ab ,u4,s4,c4 #bija et seq47 is amended-- 7#a7 by amending sections #hjb and #hjc 7#ab ,u4,s4,c4 #bija1 #bijb7 to read as follows3 #hjb4 ,findings and purpose 7a7 ,findings ,congress finds that-- 7#a7 regulated financial institutions are required by law to demonstrate that they serve the convenience and needs of the communities in which they are chartered or do business1 in particular low- and moderate-income communities2 7#b7 the convenience and needs of communities include the need for credit services1 deposit services1 transaction services1 other financial services1 and community development loans and investments2 and 7#c7 regulated financial institutions have a continuing and affirmative obligation to meet the credit or other financial needs of the local communities in which they are chartered or do business4 7b7 ,purpose ,it is the purpose of this title to require each appropriate ,federal financial supervisory agency to use its authority when examining regulated financial institutions to ensure that those institutions meet the credit or other financial needs of the local communities in which they are chartered or do business consistent with the safe and sound operation of those institutions4 #hjc4 ,definitions ,in this title3 7#a7 ,application for a deposit facility ,the term application for a deposit facility means an application to the appropriate ,federal financial supervisory agency otherwise required under ,federal law or regulations thereunder for-- 7,a7 a charter for a national bank or ,federal savings and loan association2 7,b7 deposit insurance in connection with a newly chartered ,state bank1 savings bank1 savings and loan association1 or similar institution2 7,c7 the establishment of a domestic branch or other facility with the ability to accept deposits of a regulated financial institution2 7,d7 the relocation of the home office or a branch office of a regulated financial institution2 7,e7 the merger or consolidation with1 the acquisition of the assets of1 or the assumption of the liabilities of a regulated financial institution requiring approval under section #ah7;c7 of the ,federal ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahbh7;c772 or 7,f7 the acquisition of shares in1 or the assets of1 a regulated financial institution requiring approval under section #c of the ,bank ,holding ,company ,act of #aief 7#ab ,u4,s4,c4 #ahdb74 7#b7 ,appropriate ,federal banking agency ,the term appropriate ,federal banking agency has the meaning given the term in section #c of the ,federal ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahac74 7#c7 ,appropriate ,federal financial supervisory agency ,the term appropriate ,federal financial supervisory agency means-- 7,a7 the appropriate ,federal banking agency with respect to depository institutions and depository institution holding companies2 and 7,b7 the ,bureau of ,consumer ,financial ,protection with respect to any covered person supervised by the ,bureau pursuant to section #ajbd of the ,dodd-,frank ,wall ,street ,reform and ,consumer ,protection ,act 7#ab ,u4,s4,c4 #eead74 7#d7 ,assessment area ,the term assessment area means1 with respect to a regulated financial institution1 each community1 including a ,state1 metropolitan area1 and urban or rural county1 in which the institution-- 7,a7 maintains deposit-taking branches1 automated teller machines1 or retail offices2 7,b7 is represented by an agent2 7,c7 issues a significant number of loans or other products relative to the total number of loans or other products made by the institution2 7,d7 has issued not less than #ge percent of the loans of the institution2 or 7,e7 has conducted not less than #ge percent of the business of the institution4 7#e7 ,community benefits plan ,the term community benefits plan means a plan that provides measurable goals for future amounts of safe and sound loans1 investments1 services1 and other financial products for low- and moderate-income communities and other distressed or underserved communities4 7#f7 ,community development ,the term community development means-- 7,a7 affordable housing for low- or moderate-income individuals and avoidance of patterns of lending resulting in the loss of affordable housing units2 7,b7 community development services1 including counseling and successful mortgage or loan modifications of delinquent loans2 7,c7 activities that promote integration2 7,d7 activities that promote economic development by financing small businesses or farms that meet the size eligibility requirements of the development company or small business investment company programs under section #aba4cja of title #ac1 ,code of ,federal ,regulations1 or any successor regulation1 with an emphasis on small businesses that have gross annual revenues of not more than #a1jjj1jjj2 7,e7 activities that revitalize or stabilize-- 7i7 low- or moderate-income geographies2 7ii7 designated disaster areas2 7iii7 distressed or underserved nonmetropolitan middle-income geographies designated by the ,federal ,financial ,institutions ,examination ,council1 based on-- 7,i7 rates of poverty1 unemployment1 and population loss2 or 7,,ii7 population size1 density1 and dispersion1 if those activities help to meet essential community needs1 including the needs of low- and moderate-income individuals2 or 7iv7 other distressed or underserved communities2 or 7,f7 activities that promote physical1 environmental1 and sensory accessibility in housing stock that is integrated into the community4 7#g7 ,depository institution2 depository institution holding company ,the terms depository institution and depository institution holding company have the meanings given those terms in section #c of the ,federal ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahac74 7#h7 ,entire community ,the term entire community means all of the assessment areas of a regulated financial institution4 7#i7 ,enumerated consumer laws ,the term enumerated consumer laws has the meaning given the term in section #ajjb of the ,consumer ,financial ,protection ,act of #bjaj 7#ab ,u4,s4,c4 #edha74 7#aj7 ,geography ,the term geography means a census tract delineated by the ,bureau of the ,census in the most recent decennial census4 7#aa7 ,insured depository institution ,the term insured depository institution has the meaning given the term in section #c of the ,federal ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahac74 7#ab7 ,other distressed or underserved community ,the term other distressed or underserved community means an area that1 according to a periodic review and data analysis by the appropriate ,federal financial supervisory agencies on an interagency basis through the ,federal ,financial ,institutions ,examination ,council1 is experiencing economic hardship or is underserved by financial institutions4 7#ac7 ,regulated financial institution ,the term regulated financial institution means-- 7,a7 an insured depository institution2 7,b7 a depository institution holding company2 and 7,c7 a ,u4,s4 nonbank mortgage originator4 7#ad7 ,u4,s4 nonbank mortgage originator ,the term ,u4,s4 nonbank mortgage originator means a covered person subject to section #ajbd of the ,dodd-,frank ,wall ,street ,reform and ,consumer ,protection ,act 7#ab ,u4,s4,c4 #eead7 that offers or provides-- 7,a7 origination of loans secured by real estate for use by consumers primarily for personal1 family1 or household purposes2 or 7,b7 loan modification or foreclosure relief services in connection with a loan described in subparagraph 7,a74 2 7#b7 in section #hjd 7#ab ,u4,s4,c4 #bijc7-- 7,a7 by redesignating subsections 7c7 and 7d7 as subsections 7f7 and 7g71 respectively2 7,b7 by striking subsections 7a7 and 7b7 and inserting the following3 7a7 ,depository institutions and bank holding companies ,in connection with its examination of a regulated financial institution other than a ,u4,s4 nonbank mortgage originator1 the appropriate ,federal financial supervisory agency shall perform the following3 7#a7 ,assess the record of the institution in meeting the credit or other financial needs of its entire community1 in particular low- and moderate-income people and communities1 and other distressed or underserved communities1 consistent with the safe and sound operation of the institution4 7#b7 ,assess the effectiveness of the following activities in meeting the credit or other financial needs of the assessment areas of the institution1 consistent with the safe and sound operation of the institution3 7,a7 ,retail lending1 including home1 small business1 consumer1 and other lending and financial products1 that responds to credit needs or other financial needs4 7,b7 ,community development lending and investments1 which may include a consideration of-- 7i7 the origination of loans and other efforts by the institution to assist existing low- and moderate-income residents to remain in affordable housing in their community2 and 7ii7 the origination of loans by the institution that result in the construction1 rehabilitation1 or preservation of affordable housing units4 7,c7 ,retail financial services and community development services4 7#c7 ,with respect to its evaluation of an application for a deposit facility by the institution-- 7,a7 consider the record described in paragraph 7#a71 the overall rating of the institution under this section1 and any improvement plans submitted pursuant to this section2 7,b7 provide an opportunity for public comment for a period of not less than #fj days2 7,c7 consider changes in the community reinvestment performance of the institution since the most recent rating under this section by the appropriate ,federal financial supervisory agency2 and 7,d7 require-- 7i7 a demonstration of public benefit1 including a community benefits plan with measurable goals regarding increasing responsible lending and other financial products2 7ii7 that the institution consult with community-based organizations and other community stakeholders in developing the community benefits plan2 and 7iii7 a public hearing for any institution that has a received a need-to-improve or sufficient grade in any individual assessment area during the most recent examination4 7b7 ,u4,s4 nonbank mortgage originator ,in connection with its examination of a ,u4,s4 nonbank mortgage originator1 the appropriate ,federal financial supervisory agency shall perform the following3 7#a7 ,assess the record of the ,u4,s4 nonbank mortgage originator in meeting the credit or other financial needs of its entire community1 in particular low-income and moderate-income people and communities and other distressed or underserved communities1 consistent with the safe and sound operation of the ,u4,s4 nonbank mortgage originator4 7#b7 ,assess1 as appropriate1 the following activities in the assessment areas of the ,u4,s4 nonbank mortgage originator3 7,a7 ,retail lending1 including home loans4 7,b7 ,community development services4 7,c7 ,community development lending and investments1 which may include a consideration of-- 7i7 the origination of loans and other efforts by the institution to assist existing low- and moderate-income residents to remain in affordable housing in their community2 7ii7 the origination of loans by the institution that result in the construction1 rehabilitation or preservation of affordable housing units2 and 7iii7 investments in or loans to community development financial institutions 7as defined in section #ajc of the ,community ,development ,banking and ,financial ,institutions ,act of #aiid 7#ab ,u4,s4,c4 #dgjb771 community development corporations 7as defined in section #fac of the ,community ,economic ,development ,act of #aiha 7#db ,u4,s4,c4 #ihjb771 and other nonprofit organizations serving the housing and development needs of the community4 7#c7 ,with respect to its evaluation of an application for a deposit facility by the ,u4,s4 nonbank mortgage originator-- 7,a7 consider the record described in paragraph 7#a71 the overall rating of the ,u4,s4 nonbank mortgage originator under this section1 and any improvement plans submitted pursuant to this section2 7,b7 provide an opportunity for public comment for a period of not less than #fj days2 7,c7 consider changes in the community reinvestment performance of the ,u4,s4 nonbank mortgage originator since the most recent rating under this section by the appropriate ,federal financial supervisory agency2 and 7,d7 require-- 7i7 a demonstration that granting the application for a deposit facility is in the public interest1 which shall include a submission of a community benefits plan by the ,u4,s4 nonbank mortgage originator to the appropriate ,federal financial supervisory agency2 7ii7 that the ,u4,s4 nonbank mortgage originator consult with community-based organizations and other community stakeholders in developing the community benefits plan2 and 7iii7 a public hearing for any ,u4,s4 nonbank mortgage originator that has a received a need-to-improve or sufficient grade in any individual assessment area during the most recent examination4 7c7 ,requirements 7#a7 ,in general ,in connection with its examination of a regulated financial institution under subsection 7a7 or 7b71 the appropriate ,federal financial supervisory agency shall-- 7,a7 consider public comments received by the appropriate ,federal financial supervisory agency regarding the record of the institution in meeting the credit or other financial needs of its entire community1 including low- and moderate-income communities2 and 7,b7 require an improvement plan for an institution that receives a rating of sufficient or lower on the written evaluation of the institution1 or such a rating in any individual assessment area1 and require the improvement plan to result in the reasonable likelihood that the institution will obtain a rating of at least satisfactory record of meeting community credit or other financial needs in the relevant measure on the next examination4 7#b7 ,improvement plan 7,a7 ,in general ,a regulated financial institution that is required to submit an improvement plan required under paragraph 7#a77;,b7 shall submit the plan in writing to the appropriate ,federal financial supervisory agency not later than #ij days after receiving notice that the regulated financial institution is required to submit the plan4 7,b7 ,public comment ,upon receipt of an improvement plan of a regulated financial institution required under paragraph 7#a77;,b71 the appropriate ,federal financial supervisory agency shall-- 7i7 make the plan available to the public for review and comment for a period of not less than #fj days2 and 7ii7 require the regulated financial institution to revise1 as appropriate1 the improvement plan in response to the public comments received under the public review and comment period described in clause 7i7 and submit the plan to the appropriate ,federal financial supervisory agency not later than #fj days after the end of that period4 7#c7 ,examination of certain regulated financial institutions ,in the case of a regulated financial institution whose lending or other business is not clustered in geographical areas and is thinly dispersed across the country1 the institution shall-- 7,a7 be evaluated under subsection 7a7 or 7b71 as applicable-- 7i7 by considering the effectiveness of the institution in serving customers or borrowers1 with a special emphasis on low- and moderate-income individuals across the country regardless of where the individuals reside2 and 7ii7 based on objective thresholds developed by the appropriate ,federal financial supervisory agencies to clarify when lending or other business is dispersed across the country and not clustered in distinct geographical areas1 which may include low levels of lending or other financial products across ,states or other areas2 and 7,b7 meet the needs of other distressed or underserved communities4 7d7 ,consideration ,remediation of consumers pursuant to an order by an court or administrative body or a settlement with a government agency or a private party shall not be considered in an assessment conducted under subsection 7a77#b7 or 7b77#b74 7e7 ,rule of construction ,an evaluation of a bank holding company under this section shall incorporate evaluations of subsidiary regulated financial institutions made by the appropriate ,federal financial supervisory agency of each subsidiary1 if applicable4 2 7,c7 in subsection 7f71 as so redesignated-- 7i7 by striking paragraph 7#b72 7ii7 by redesignating paragraph 7#c7 as paragraph 7#b72 and 7iii7 in paragraph 7#b71 as so redesignated1 by striking subparagraph 7,c72 and 7,d7 in subsection 7g71 as so redesignated1 by striking subsection 7a7 and inserting subsections 7a7 and 7b72 7#c7 in section #hjg 7#ab ,u4,s4,c4 #bijf7-- 7,a7 in subsection 7a7-- 7i7 by striking an insured depository institution and inserting a regulated financial institution2 and 7ii7 by inserting or financial after credit2 7,b7 in subsection 7b7-- 7i7 in paragraph 7#a7-- 7,i7 in subparagraph 7,a7-- 7aa7 in clause 7ii71 by striking and at the end2 7bb7 by redesignating clause 7iii7 as clause 7iv72 and 7cc7 by inserting after clause 7ii7 the following3 7iii7 disclose whether the institution engaged in acts or practices that the ,bureau of ,consumer ,financial ,protection has determined1 and has publicly disclosed1 violate the enumerated consumer laws2 and 2 and 7,,ii7 by striking subparagraph 7,b7 and inserting the following3 7,b7 ,metropolitan area distinctions ,the information required under clauses 7i7 and 7ii7 of subparagraph 7,a7 shall be presented separately for each assessment area4 7,c7 ,treatment with respect to violations of enumerated consumer laws ,if a regulated financial institution has engaged in acts or practices that the appropriate ,federal financial supervisory agency has determined to be unfair1 deceptive1 or abusive or acts or practices that violate enumerated consumer laws intended to ensure the fair1 equitable1 and nondiscriminatory access to credit for individuals and communities that are enforced by the ,bureau of ,consumer ,financial ,protection or other ,federal or ,state agencies1 the written evaluation shall be negatively influenced in a manner commensurate with the extent of the harm suffered by those individuals and communities4 2 7ii7 in paragraph 7#b7-- 7,i7 by striking subparagraphs 7,a71 7,b71 7,c71 and 7,d7 and inserting the following3 7,a7 ,outstanding record of meeting community credit or other financial needs4 7,b7 ,satisfactory record of meeting community credit or other financial needs4 7,c7 ,sufficient record of meeting community credit or other financial needs4 7,d7 ,needs to improve record of meeting community credit or other financial needs4 7,e7 ,substantial noncompliance in meeting community credit or other financial needs4 2 and 7iii7 by inserting after the flush text following paragraph 7#b7 the following3 7#c7 ,additional authority ,the appropriate ,federal financial supervisory agencies may-- 7,a7 alter the ratings under this subsection to change or include additional ratings2 and 7,b7 develop an accompanying point system that includes ranges for each rating category under paragraph 7#b74 2 7,c7 by redesignating subsection 7e7 as subsection 7f72 and 7,d7 by inserting after subsection 7d7 the following3 7e7 ,appeals of rating ,if a regulated financial institution appeals the assigned rating under this section1 the appropriate ,federal financial supervisory agency shall post a public notice of the appeal on the website of the appropriate ,federal financial supervisory agency4 2 and 7#d7 by adding at the end the following3 #haj4 ,data collection and reporting requirements 7a7 ,data collection 7#a7 ,small business and small farm loans ,each regulated financial institution shall collect and maintain in machine readable form1 as prescribed by the appropriate ,federal financial supervisory agency1 until the completion of the next examination under this title1 the following data for each small business or small farm loan originated or purchased by the regulated financial institution3 7,a7 ,a unique number or alpha-numeric symbol that can be used to identify the relevant loan4 7,b7 ,the loan amount at origination4 7,c7 ,the loan location4 7,d7 ,an indicator whether the loan was to a business or farm with gross annual revenues of #a1jjj1jjj or less4 7#b7 ,consumer loans ,each regulated financial institution shall collect and maintain in machine readable form1 as prescribed by the appropriate ,federal financial supervisory agency1 data for consumer loans originated or purchased by the regulated financial institution1 including motor vehicle loans1 credit cards1 home equity loans1 and other secured or unsecured loans4 ,the regulated financial institution shall maintain data separately for each category of consumer loan1 including the following for each loan3 7,a7 ,a unique number or alpha-numeric symbol that can be used to identify the relevant loan4 7,b7 ,the loan amount at origination or purchase4 7,c7 ,the loan location4 7,d7 ,the gross annual income of the borrower that the regulated financial institution considered in making its credit decision4 7#c7 ,community development loans and investments ,each regulated financial institution shall collect and maintain in machine readable form1 as prescribed by the appropriate ,federal financial supervisory agency1 data on the categories of community development lending and investments1 including data regarding financing affordable housing1 small business development1 and economic development4 7#d7 ,assessment area data ,each regulated financial institution shall collect and report to the appropriate ,federal financial supervisory agency by ,march #a of each year a list for each assessment area showing the geographies within the area4 7#e7 ,deposits ,the appropriate ,federal ,supervisory agency shall collect data from regulated financial institutions that reflects how many of the customers of those institutions are low- and moderate-income customers and the services that are used by those customers4 7b7 ,,cra ,small ,business ,disclosure ,statement ,the appropriate ,federal financial supervisory agency shall prepare annually for each regulated financial institution that reports data pursuant to this section a statement to be known as the ,,cra ,small ,business ,disclosure ,statement that contains1 on a ,state-by-,state basis1 the following3 7#a7 ,for each county 7and for each assessment area smaller than a county7 with a population of #ejj1jjj persons or fewer in which the regulated financial institution reported a small business or small farm loan3 7,a7 ,the number and amount of small business and small farm loans reported as originated or purchased located in low-1 moderate-1 middle-1 and upper-income geographies4 7,b7 ,a list grouping each geography according to whether the geography is low-1 moderate-1 middle-1 or upper-income4 7,c7 ,a list showing each geography in which the regulated financial institution reported a small business or small farm loan4 7,d7 ,the number and amount of small business and small farm loans to businesses and farms with gross annual revenues of #a1jjj1jjj or less4 7#b7 ,for each county 7and for each assessment area smaller than a county7 with a population in excess of #ejj1jjj in which the regulated financial institution reported a small business or small farm loan3 7,a7 ,the number and amount of small business and small farm loans reported as originated or purchased located in geographies with median income relative to the area median income of less than #aj percent1 #aj or more but less than #bj percent1 #bj or more but less than #cj percent1 #cj or more but less than #dj percent1 #dj or more but less than #ej percent1 #ej or more but less than #fj percent1 #fj or more but less than #gj percent1 #gj or more but less than #hj percent1 #hj or more but less than #ij percent1 #ij or more but less than #ajj percent1 #ajj or more but less than #aaj percent1 #aaj or more but less than #abj percent1 and #abj percent or more4 7,b7 ,a list grouping each geography in the county or assessment area according to whether the median income in the geography relative to the area median income is less than #aj percent1 #aj or more but less than #bj percent1 #bj or more but less than #cj percent1 #cj or more but less than #dj percent1 #dj or more but less than #ej percent1 #ej or more but less than #fj percent1 #fj or more but less than #gj percent1 #gj or more but less than #hj percent1 #hj or more but less than #ij percent1 #ij or more but less than #ajj percent1 #ajj or more but less than #aaj percent1 #aaj or more but less than #abj percent1 and #abj percent or more4 7,c7 ,a list showing each geography in which the regulated financial institution reported a small business or small farm loan4 7,d7 ,the number and amount of small business and small farm loans to businesses and farms with gross annual revenues of #a1jjj1jjj or less4 7#c7 ,the number and amount of small business and small farm loans located inside each assessment area reported by the regulated financial institution and the number and amount of small business and small farm loans located outside the assessment areas reported by the regulated financial institution4 7#d7 ,the number and amount of community development loans reported as originated or purchased4 7c7 ,aggregate disclosure statements 7#a7 ,in general ,each appropriate ,federal financial supervisory agency shall prepare annually1 for each county and for each assessment area smaller than a county1 an aggregate disclosure statement of small business1 small farm1 and consumer lending by all regulated financial institutions subject to reporting under this section1 which shall indicate1 for each geography1 the number and amount of all small business1 small farm1 and consumer loans originated or purchased by reporting regulated financial institutions4 7#b7 ,adjusted form ,an appropriate ,federal financial supervisory agency may adjust the form of the disclosure statement prepared under paragraph 7#a7 if necessary1 because of special circumstances1 to protect the privacy of a borrower or the competitive position of a regulated financial institution4 7d7 ,central data depositories ,the ,federal ,financial ,institutions ,examination ,council1 in consultation with the appropriate ,federal financial supervisory agencies1 shall implement a system-- 7#a7 to allow the public to access online and in a searchable format the data maintained under paragraphs 7#a7 through 7#d7 of subsection 7a72 and 7#b7 that ensures that personally identifiable financial information is not disclosed to public4 7e7 ,limitation ,an appropriate ,federal financial supervisory agency may not use the authorities of the appropriate ,federal financial supervisory agency under this section to obtain a record from a regulated financial institution for the purpose of gathering or analyzing the personally identifiable financial information of a consumer4 4 7c7 ,amendment to the ,bank ,holding ,company ,act of #aief ,section #d7k77#f7 of the ,bank ,holding ,company ,act of #aief 7#ab ,u4,s4,c4 #ahdc7k77#f77 is amended to read as follows3 7#f7 ,notice and opportunity for comment required 7,a7 ,in general ,no financial holding company shall directly or indirectly acquire1 and no company that becomes a financial holding company shall directly or indirectly acquire control of1 any company in the ,united ,states1 including through merger1 consolidation1 or other type of business combination1 that is engaged in activities permitted under this subsection or subsection 7n7 or 7o71 unless-- 7i7 the holding company has provided notice to the ,board1 not later than #fj days prior to the proposed acquisition or prior to becoming a financial holding company1 and during that time period1 or such longer time period not exceeding an additional #fj days1 as established by the ,board2 7ii7 the ,board has provided public notice and opportunity for comment for not less than #fj days2 and 7iii7 the ,board has not issued a notice disapproving the proposed acquisition or retention4 7,b7 ,factors for consideration ,in reviewing any prior notice filed under this paragraph1 the ,board shall-- 7i7 consider the overall rating of the financial holding company under the ,community ,reinvestment ,act of #aigg 7#ab ,u4,s4,c4 #bija et seq47 and any improvement plans submitted pursuant to that ,act2 7ii7 provide opportunity for public comment for a period of not less than #fj days2 7iii7 consider changes in the community reinvestment performance of the financial holding company since the last rating under the ,community ,reinvestment ,act of #aigg 7#ab ,u4,s4,c4 #bija et seq47 by the appropriate ,federal financial supervisory agency2 and 7iv7 require-- 7,i7 a demonstration that granting the application for a deposit facility is in the public interest1 which shall include submission to the appropriate ,federal financial supervisory agency of a community benefits plan2 7,,ii7 that the institution consult with community-based organizations and other community stakeholders in developing the community benefits plan2 and 7,,iii7 a public hearing for any bank that has received a need-to-improve or sufficient grade in any assessment area during the last examination under the ,community ,reinvestment ,act of #aigg 7#ab ,u4,s4,c4 #bija et seq474 4 7d7 ,technical and conforming amendment ,section #aj7;c77#b77;,h77i7 of the ,home ,owners' ,loan ,act 7#ab ,u4,s4,c4 #adfg;a7c77#b77;,h77i77 is amended by striking section #hjd7;c7 of the ,community ,reinvestment ,act of #aigg 7#ab ,u4,s4,c4 #bijc7;c77 and inserting section #hjd7;f7 of the ,community ,reinvestment ,act of #aigg 7#ab ,u4,s4,c4 #bijc7;f774 #bjd4 ,amendments relating to credit union service to underserved areas 7a7 ,in general ,the ,federal ,credit ,union ,act 7#ab ,u4,s4,c4 #agea et seq47 is amended-- 7#a7 in section #aja 7#ab ,u4,s4,c4 #ageb7-- 7,a7 in paragraph 7#h71 by striking and at the end2 7,b7 in paragraph 7#i71 by striking the period at the end and inserting 2 and2 and 7,c7 by adding at the end the following3 7#aj7 the term underserved area-- 7,a7 means a local community1 neighborhood1 or rural district that-- 7i7 is an investment area1 as defined in section #ajc of the ,community ,development ,banking and ,financial ,institutions ,act of #aiid 7#ab ,u4,s4,c4 #dgjb71 that meets such additional requirements that the ,board may impose2 and 7ii7 is underserved1 based on data of the ,board and the ,federal banking agencies 7as defined in section #c of the ,federal ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahac771 by other depository institutions 7as defined in section #ai7;b77#a77;,a7 of the ,federal ,reserve ,act 7#ab ,u4,s4,c4 #dfa7;b77#a77;,a772 and 7,b7 notwithstanding subparagraph 7,a71 includes1 with respect to any ,federal credit union1 any geographic area within which the credit union-- 7i7 has received approval to provide service before the date of enactment of this paragraph from the ,administration2 and 7ii7 has established a service facility before that date of enactment4 2 7#b7 in section #ajf 7#ab ,u4,s4,c4 #agef71 by adding at the end the following3 ,the ,board shall monitor adherence by a ,federal credit union to a significant unmet needs plan submitted under section #aji7;h7 by that ,federal credit union that describes how the ,federal credit union will serve the deposit and other financial needs of the community42 and 7#c7 in section #aji 7#ab ,u4,s4,c4 #agei7-- 7,a7 in subsection 7c71 by amending paragraph 7#b7 to read as follows3 7#b7 ,exception for underserved areas 7,a7 ,in general ,notwithstanding subsection 7b71 the ,board may approve an application by a ,federal credit union to allow the membership of the credit union to include any person or organization whose principal residence or place of business is located within a local community1 neighborhood1 or rural district if-- 7i7 the ,board determines-- 7,i7 at any time after ,august #g1 #aiih1 that the local community1 neighborhood1 or rural district taken into account for purposes of this paragraph is an underserved area2 and 7,,ii7 at the time of the approval1 that the credit union is well capitalized or adequately capitalized 7as defined in section #baf7;c77#a772 and 7ii7 before the end of the #bd-month period beginning on the date of the approval1 the credit union has established and maintains an ongoing method to provide services in the local community1 neighborhood1 or rural district4 7,b7 ,termination of approval 7i7 ,in general ,any failure of a ,federal credit union to meet the requirement of clause 7ii7 of subparagraph 7,a7 by the end of the #bd-month period referred to in that clause shall constitute a termination1 as a matter of law1 of any approval of an application under this paragraph by the ,board with respect to the membership of the credit union4 7ii7 ,significant unmet needs plan ,the ,board may terminate the membership of a ,federal credit union upon a finding that the credit union is not meeting the terms of the significant unmet needs plan of the credit union submitted under subsection 7h77#a74 7,c7 ,credit union reporting requirement ,any ,federal credit union that has an application approved under this paragraph shall1 as part of the ordinary course of the examination cycle and supervision process1 submit a report to the ,administration that includes-- 7i7 the number of members of the credit union who are members by reason of the application2 7ii7 the number of offices or facilities maintained by the credit union in the local community1 neighborhood1 or rural district taken into account by the ,board in approving the application2 and 7iii7 evidence1 as specified by the ,board by regulation1 demonstrating compliance by the credit union with the significant unmet needs plan submitted by the credit union under subsection 7h77#a71 as specified by the ,administration4 7,d7 ,publication by administration ,the ,administration shall publish an annual report containing-- 7i7 a list of all the applications approved under this paragraph before the date on which the report is published2 7ii7 the number and locations of the underserved areas taken into account in approving those applications2 7iii7 the total number of members of credit unions who are members by reason of the approval of those applications2 and 7iv7 evidence demonstrating compliance by credit unions with significant unmet needs plans submitted by the credit unions under subsection 7h77#a71 as specified by the ,administration4 2 7,b7 in subsection 7e77#b71 by inserting subsection 7c77#b7 and after provided in2 and 7,c7 by adding at the end the following3 7h7 ,additional requirements for community credit unions 7#a7 ,in general ,a ,federal credit union desiring membership as a credit union described in subsection 7b77#c7 shall submit to the ,board a business plan1 which shall include1 among other issues1 a marketing plan that identifies-- 7,a7 the unique needs of the various demographic groups in the proposed community2 and 7,b7 how the credit union will market to each group1 particularly underserved groups1 to address those needs4 7#b7 ,public comment and hearing ,with respect to a ,federal credit union desiring membership as a credit union described in subsection 7b77#c7 for an area with multiple political jurisdictions with a population of not less than #b1ejj1jjj1 the ,administration shall-- 7,a7 publish a notice in the ,federal ,register seeking comment from interested parties about the proposed community2 and 7,b7 conduct a public hearing regarding the application of the ,federal credit union4 4 7b7 ,regulations ,not later than #a year after the date of enactment of this ,act1 the ,national ,credit ,union ,administration ,board shall issue final regulations to implement the amendments made by subsection 7a74 ,,iii ,removing barriers that isolate communities #cja4 ,expanding rights under the ,fair ,housing ,act 7a7 ,purposes ,the purposes of the amendments made under this section are-- 7#a7 to expand1 as well as clarify1 confirm1 and create greater consistency in1 the protections against discrimination on the basis of all covered characteristics2 and 7#b7 to provide guidance and notice to individuals1 organizations1 corporations1 and agencies regarding their obligations under ,federal law4 7b7 ,amendments to the ,fair ,housing ,act ,the ,fair ,housing ,act 7#db ,u4,s4,c4 #cfja et seq47 is amended-- 7#a7 in section #hjb 7#db ,u4,s4,c4 #cfjb71 by adding at the end the following3 7p7 ,gender identity means the gender-related identity1 appearance1 or mannerisms or other gender-related characteristics of an individual1 with or without regard to the individual's designated sex at birth4 7q7 ,marital status has the meaning given the term in section #bjb4b of title #ab1 ,code of ,federal ,regulations1 or any successor regulation4 7r7 ,sexual orientation means homosexuality1 heterosexuality1 or bisexuality4 7s7 ,source of income includes income for which there is a reasonable expectation that the income will continue from-- 7#a7 a profession1 occupation or job2 7#b7 any government or private assistance1 grant1 loan or rental assistance program1 including low-income housing assistance certificates and vouchers issued under the ,united ,states ,housing ,act of #aicg 7#db ,u4,s4,c4 #adcg et seq472 7#c7 a gift1 an inheritance1 a pension1 an annuity1 alimony1 child support1 or other consideration or benefit2 or 7#d7 the sale or pledge of property or an interest in property4 7t7 ,veteran status means-- 7#a7 a member of the uniformed services1 as defined in section #aja of title #aj1 ,united ,states ,code2 or 7#b7 a veteran1 as defined in section #aja of title #ch1 ,united ,states ,code4 2 7#b7 in section #hjd 7#db ,u4,s4,c4 #cfjd7-- 7,a7 by inserting actual or perceived before race1 color each place that term appears2 7,b7 by inserting sexual orientation1 gender identity1 marital status1 source of income1 veteran status1 after sex1 each place that term appears2 and 7,c7 in subsection 7c7-- 7i7 by inserting 7#a7 before ,to make2 and 7ii7 by adding at the end the following3 7#b7 ,nothing in this title shall be construed to-- 7,a7 prohibit a lender from implementing a loan program for veterans or based upon veteran status2 or 7,b7 prohibit an entity from providing housing assistance under section #h7o77#ai7 of the ,united ,states ,housing ,act of #aicg 7#db ,u4,s4,c4 #adcg;f7o77#ai771 the ,homeless ,providers ,grant and ,per ,diem program of the ,department of ,veterans ,affairs1 or any other ,federal housing assistance program for veterans or based upon veterans status4 2 7#c7 in section #hje 7#db ,u4,s4,c4 #cfje7-- 7,a7 by inserting actual or perceived before race1 color each place that term appears2 and 7,b7 by inserting sexual orientation1 gender identity1 marital status1 source of income1 veteran status1 after sex1 each place that term appears2 7#d7 in section #hjf 7#db ,u4,s4,c4 #cfjf7-- 7,a7 by inserting actual or perceived before race1 color2 and 7,b7 by inserting sexual orientation1 gender identity1 marital status1 source of income1 veteran status1 after sex12 and 7#e7 in section #hjg 7#db ,u4,s4,c4 #cfjg71 by adding at the end the following3 7c7 ,nothing in this title limits the ability of the owner of a dwelling owner to determine1 in a commercially reasonable and non-discriminatory manner1 the ability of a person to afford to purchase or rent the dwelling4 4 7c7 ,prevention of intimidation ,section #ija of the ,civil ,rights ,act of #aifh 7#db ,u4,s4,c4 #cfca7 is amended-- 7#a7 by inserting actual or perceived before race1 color each place that term appears2 and 7#b7 by inserting sexual orientation 7as defined in section #hjb71 gender identity 7as defined in section #hjb71 marital status 7as defined in section #hjb71 source of income 7as defined in section #hjb71 veteran status 7as defined in section #hjb71 after sex1 each place that term appears4 7d7 ,rule of construction ,nothing in the amendments made by this section shall be construed to mean that a particular class of individuals was not protected against discrimination under existing ,federal law4 #cjb4 ,improving outcomes in housing assistance programs 7a7 ,indian housing assistance ,section #ejb of the ,native ,american ,housing ,assistance and ,self-,determination ,act of #aiif 7#be ,u4,s4,c4 #daha7 is amended by adding at the end the following3 7c7 ,applicability ,subsections 7a7 and 7b7 shall not apply with respect to tenant-based assistance provided under section #h7o7 of the ,united ,states ,housing ,act of #aicg 7#db ,u4,s4,c4 #adcg;f7o774 4 7b7 ,supplemental administrative fee ,section #h7q77#b77;,b7 of the ,united ,states ,housing ,act of #aicg 7#db ,u4,s4,c4 #adcg;f7q77#b77;,b77 is amended by inserting 1 including the cost of assisting families with children or families with a member with a disability that move to lower poverty1 higher opportunity neighborhoods 7as determined by the ,secretary based on objective1 evidence-based criteria7 after programs4 7c7 ,regional planning ,to increase access to higher opportunity areas ,section #h7o7 of the ,united ,states ,housing ,act of #aicg 7#db ,u4,s4,c4 #adcg;f7o77 is amended by adding at the end the following3 7#ba7 ,increase access to higher opportunity areas 7,a7 ,location analysis 7i7 ,in general ,a public housing agency that administers the program under this subsection in a metropolitan area shall-- 7,i7 analyze the locations where the participants of the program of the public housing agency live2 and 7,,ii7 based on the analysis described in subclause 7,i71 establish policies and practices to reduce disparities and barriers to access to locations throughout the metropolitan area that evidence indicates are more likely to improve outcomes for children or adults4 7ii7 ,considerations ,the location analysis required under this subparagraph shall-- 7,i7 consider separately the locations of families with children1 households that include a person with disabilities1 and other groups protected under the ,fair ,housing ,act 7#db ,u4,s4,c4 #cfja et seq472 and 7,,ii7 include an analysis of the locations in relation to dwelling units with rents that are potentially affordable to voucher holders and the likely impact of key neighborhood attributes on their well-being and long-term success1 based on ,federal and available local data4 7iii7 ,mapping tools ,the ,secretary shall-- 7,i7 provide mapping tools and other information necessary for a public housing agency to perform the location analysis under this subparagraph using the demographic data on participating families submitted to the ,secretary under part #ijh of title #bd1 ,code of ,federal ,regulations1 or any successor regulation2 7,,ii7 publish a notice in the ,federal ,register1 subject to public comment1 that specifies the data sources and definitions that will be incorporated in each mapping tool required under subclause 7,i72 and 7,,iii7 update the notice required under subclause 7,,ii7 as needed based on changes in the availability of relevant data or evidence of neighborhood attributes likely to impact the well-being and long-term success of participants in the program under this subsection4 7iv7 ,frequency and availability ,the location analysis required under this subparagraph shall-- 7,i7 be performed by each public housing agency described in clause 7i7 not less frequently than once every #e years2 7,,ii7 be performed by all public housing agencies in a metropolitan area in the same year1 as determined by the ,secretary2 and 7,,iii7 be made available to the public in a manner that protects the privacy of program participants4 7,b7 ,regional policies to increase access to higher opportunity neighborhoods ,each public housing agency described in subparagraph 7,a77i7 shall-- 7i7 consult with other such public housing agencies in the same metropolitan area1 or smaller regional area approved by the ,secretary1 about the possible barriers and other reasons for the disparities identified in the location analysis required under subparagraph 7,a72 7ii7 identify policies or practices that those public housing agencies could adopt individually or in collaboration1 or other strategies that recipients of grants or other funding from the ,secretary could adopt1 to reduce the barriers and disparities and increase the share of families with children and other demographic groups using vouchers in higher-opportunity neighborhoods in the metropolitan area or region2 and 7iii7 include in the administrative plan required under section #ihb4ed of title #bd1 ,code of ,federal ,regulations1 or any successor regulation1 the policies that the public housing agency has adopted under this paragraph4 7,c7 ,assessment ,the ,secretary shall include public housing agency performance in achieving the goal described in subparagraph 7,a77i77,,ii7 in the periodic assessment of agency performance in managing the program under this subsection required under part #ihe of title #bd1 ,code of ,federal ,regulations1 or any successor regulation4 4 7d7 ,required regulatory changes to public housing agency consortia 7#a7 ,definitions ,in this subsection3 7,a7 ,moving to ,work demonstration program ,the term ,moving to ,work demonstration program means the program established under section #bjd of the ,departments of ,veterans ,affairs and ,housing and ,urban ,development1 and ,independent ,agencies ,appropriations ,act1 #aiif 7,public ,law #ajd-acd2 #aaj ,stat4 #acba-bha74 7,b7 ,public housing agency ,the term public housing agency has the meaning given the term in section #c7;b77#f7 of the ,united ,states ,housing ,act of #aicg 7#db ,u4,s4,c4 #adcg;a7b77#f774 7#b7 ,requirement ,not later than #a year after the date of enactment of this ,act1 the ,secretary of ,housing and ,urban ,development shall establish policies and procedures that-- 7,a7 enable public housing agencies that elect to operate in consortia under section #ac7;a7 of the ,united ,states ,housing ,act of #aicg 7#db ,u4,s4,c4 #adcgk7a771 excluding public housing agencies participating in the ,moving to ,work demonstration program-- 7i7 to consolidate their funding contracts for assistance provided under section #h7o7 of such ,act 7#db ,u4,s4,c4 #adcg;f7o77 into a single contract2 7ii7 to consolidate their funding contracts for assistance provided under subsections 7d7 and 7e7 of section #i of such ,act 7#db ,u4,s4,c4 #adcg;g72 or 7iii7 to exercise the consolidation options under each of clauses 7i7 and 7ii72 and 7,b7 enable public housing agencies to form partial consortia under such section #ac7;a7 7#db ,u4,s4,c4 #adcgk7a77 that consolidate the administration of certain aspects of their housing programs to increase access to higher-opportunity areas or for other purposes1 subject to such requirements as the ,secretary may establish4 7#c7 ,moving to ,work agencies ,any flexibility or waiver applicable to the ,moving to ,work demonstration program shall not apply to any activities or funds administered through a partial consortia formed under paragraph 7#b77;,b7 by #a or more public housing agencies participating in the ,moving to ,work demonstration program4 ,,iv ,estate ,tax ,reform #dja4 ,amendment to ,internal ,revenue ,code of #aihf ,except as otherwise expressly provided1 whenever in this title an amendment or repeal is expressed in terms of an amendment to1 or repeal of1 a section or other provision1 the reference shall be considered to be made to a section or other provision of the ,internal ,revenue ,code of #aihf4 #djb4 ,rate adjustment 7a7 ,increase in estate tax rates ,the table contained in section #bjja7;c7 is amended to read as follows3 ,if the amount with respect to which the tentative tax to be computed is3,the tentative tax is3,not over #ac1jjj1jjjee percent of such amount4,over #ac1jjj1jjj but not over #ic1jjj1jjjg1aej1jjj1 plus #fj percent of the excess of such amount over #ac1jjj1jjj4,over #ic1jjj1jjjee1aej1jjj1 plus #fe percent of the excess of such amount over #ic1jjj1jjj4 7b7 ,reduction of basic exclusion amount ,paragraph 7#c7 of section #bjaj7;c7 is amended to read as follows3 7#c7 ,basic exclusion amount ,for purposes of this subsection1 the basic exclusion amount is #c1ejj1jjj4 4 7c7 ,surtax on billion dollar estates ,section #bjja is amended-- 7#a7 in subsection 7b71 by striking ,the tax and inserting ,subject to subsection 7h71 the tax1 and 7#b7 by adding at the end the following new subsection3 7h7 ,surtax on billion dollar estates 7#a7 ,in general ,in the case of a taxable estate for which the applicable amount is in excess of #a1jjj1jjj1jjj1 the tax determined under subsection 7b7 shall be increased by an amount equal to #aj percent of such applicable amount4 7#b7 ,applicable amount ,for purposes of this subsection1 the applicable amount shall be equal to the sum of the amounts under subparagraphs 7,a7 and 7,b7 of paragraph 7#a7 of subsection 7b7 for the taxable estate4 4 #djc4 ,required minimum #aj-year term1 etc41 for grantor retained annuity trusts 7a7 ,in general ,subsection 7b7 of section #bgjb is amended-- 7#a7 by redesignating paragraphs 7#a71 7#b71 and 7#c7 as subparagraphs 7,a71 7,b71 and 7,c71 respectively1 and by moving such subparagraphs 7as so redesignated7 #b ems to the right2 7#b7 by striking ,for purposes of and inserting the following3 7#a7 ,in general ,for purposes of 2 7#c7 by striking paragraph 7#a7 or 7#b7 in paragraph 7#a77;,c7 7as so redesignated7 and inserting subparagraph 7,a7 or 7,b72 and 7#d7 by adding at the end the following new paragraph3 7#b7 ,additional requirements with respect to grantor retained annuities ,for purposes of subsection 7a71 in the case of an interest described in paragraph 7#a77;,a7 7determined without regard to this paragraph7 which is retained by the transferor1 such interest shall be treated as described in such paragraph only if-- 7,a7 the right to receive the fixed amounts referred to in such paragraph is for a term of not less than #aj years1 7,b7 such fixed amounts1 when determined on an annual basis1 do not decrease relative to any prior year during the first #aj years of the term referred to in subparagraph 7,a71 and 7,c7 the remainder interest has a value equal to or greater than #aj percent of the value of the assets transferred to the trust1 determined as of the time of the transfer4 4 7b7 ,effective date ,the amendments made by this section shall apply to transfers made after the date of the enactment of this ,act4 #djd4 ,certain transfer tax rules applicable to grantor trusts 7a7 ,in general ,subtitle ,b is amended by adding at the end the following new chapter3 #af ,special rules for grantor trusts ,sec4 #bija4 ,application of transfer taxes4 #bija4 ,application of transfer taxes 7a7 ,in general ,in the case of any portion of a trust to which this section applies-- 7#a7 the value of the gross estate of the deceased deemed owner of such portion shall include all assets attributable to that portion at the time of the death of such owner1 7#b7 any distribution from such portion to one or more beneficiaries during the life of the deemed owner of such portion shall be treated as a transfer by gift for purposes of chapter #ab1 and 7#c7 if at any time during the life of the deemed owner of such portion1 such owner ceases to be treated as the owner of such portion under subpart ,e of part #a of subchapter ,j of chapter #a1 all assets attributable to such portion at such time shall be treated for purposes of chapter #ab as a transfer by gift made by the deemed owner4 7b7 ,portion of trust to which section applies ,this section shall apply to-- 7#a7 the portion of a trust with respect to which the grantor is the deemed owner1 and 7#b7 the portion of the trust to which a person who is not the grantor is a deemed owner by reason of the rules of subpart ,e of part #a of subchapter ,j of chapter #a1 and such deemed owner engages in a sale1 exchange1 or comparable transaction with the trust that is disregarded for purposes of subtitle ,a4 ,for purposes of paragraph 7#b71 the portion of the trust described with respect to a transaction is the portion of the trust attributable to the property received by the trust in such transaction1 including all retained income therefrom1 appreciation thereon1 and reinvestments thereof1 net of the amount of consideration received by the deemed owner in such transaction4 7c7 ,exceptions ,this section shall not apply to-- 7#a7 any trust that is includible in the gross estate of the deemed owner 7without regard to subsection 7a77#a771 and 7#b7 any other type of trust that the ,secretary determines by regulations or other guidance does not have as a significant purpose the avoidance of transfer taxes4 7d7 ,deemed owner defined ,for purposes of this section1 the term deemed owner means any person who is treated as the owner of a portion of a trust under subpart ,e of part #a of subchapter ,j of chapter #a4 7e7 ,reduction for taxable gifts to trust made by owner ,the amount to which subsection 7a7 applies shall be reduced by the value of any transfer by gift by the deemed owner to the trust previously taken into account by the deemed owner under chapter #ab4 7f7 ,liability for payment of tax ,any tax imposed pursuant to subsection 7a7 shall be a liability of the trust4 4 7b7 ,clerical amendment ,the table of chapters for subtitle ,b is amended by adding at the end the following new item3 ,chapter #af4 ,special rules for grantor trusts 4 7c7 ,effective date ,the amendments made by this section shall apply-- 7#a7 to trusts created on or after the date of the enactment of this ,act2 7#b7 to any portion of a trust established before the date of the enactment of this ,act which is attributable to a contribution made on or after such date2 and 7#c7 to any portion of a trust established before the date of the enactment of this ,act to which section #bija7;a7 of the ,internal ,revenue ,code of #aihf 7as added by subsection 7a77 applies by reason of a transaction described in section #bija7;b77#b7 of such ,code on or after such date4 #dje4 ,elimination of generation-skipping transfer tax exemption for certain trusts 7a7 ,in general ,section #bfdb is amended by adding at the end the following new subsection3 7h7 ,elimination of ,,gst exemption for certain trusts 7#a7 ,in general 7,a7 ,transfers from non-qualifying trusts ,in the case of any generation-skipping transfer made from a trust that is not a qualifying trust1 the inclusion ratio with respect to any property transferred in such transfer shall be #a4 7,b7 ,qualifying trust ,for purposes of this subsection1 the term qualifying trust means a trust for which the date of termination of such trust is not greater than #ej years after the date on which such trust is created4 7#b7 ,trusts created before date of enactment ,in the case of any trust created before the date of the enactment of this subsection1 such trust shall be deemed to be a qualifying trust for a period of #ej years after the date of the enactment of this subsection4 7#c7 ,date of creation of certain deemed separate trusts ,in the case of any portion of a trust which is treated as a separate trust under section #bfed7;b77#a71 such separate trust shall be treated as created on the date of the first transfer described in such section with respect to such separate trust4 7#d7 ,date of creation of pour-over trusts ,in the case of any generation-skipping transfer of property which involves the transfer of property from #a trust to another trust1 the date of the creation of the transferee trust shall be treated as being the earlier of-- 7,a7 the date of the creation of such transferee trust1 or 7,b7 the date of the creation of the transferor trust4 ,in the case of multiple transfers to which the preceding sentence applies1 the date of the creation of the transferor trust shall be determined under the preceding sentence before the application of the preceding sentence to determine the date of the creation of the transferee trust4 7#e7 ,regulations ,the ,secretary may prescribe such regulations or other guidance as may be necessary or appropriate to carry out this subsection4 4 7b7 ,effective date ,the amendments made by this section shall take effect on the date of the enactment of this ,act4 #djf4 ,simplifying gift tax exclusion for annual gifts 7a7 ,in general ,paragraph 7#a7 of section #bejc7;b7 is amended to read as follows3 7#a7 ,in general 7,a7 ,limit per donee ,in the case of gifts made to any person by the donor during the calendar year1 the first #aj1jjj of such gifts to such person shall not1 for purposes of subsection 7a71 be included in the total amount of gifts made during such year4 7,b7 ,cumulative limit per donor 7i7 ,in general ,the aggregate amount excluded under subparagraph 7,a7 with respect to all transfers described in clause 7ii7 made by the donor during the calendar year shall not exceed twice the dollar amount in effect under such subparagraph for such calendar year4 7ii7 ,transfers subject to limitation ,the transfers described in this clause are-- 7,i7 a transfer in trust1 7,,ii7 a transfer of an interest in a passthrough entity1 7,,iii7 a transfer of an interest subject to a prohibition on sale1 and 7,,iv7 any other transfer of property that1 without regard to withdrawal1 put1 or other such rights in the donee1 cannot immediately be liquidated by the donee4 4 7b7 ,conforming amendment ,section #bejc is amended by striking subsection 7c74 7c7 ,regulations ,the ,secretary of the ,treasury1 or the ,secretary of the ,treasury's delegate1 may prescribe such regulations or other guidance as may be necessary or appropriate to carry out the amendments made by this section4 7d7 ,effective date ,the amendments made by this section shall apply to any calendar year beginning after the date of the enactment of this ,act4