,i  #aai? ,,congress  #a/ ,session  ,h4 
,r4 #dbff  ,,9 ,,! ,,h\se ,,(           
,,repres5tatives  ,june #cj1 #bjbe,mr4  
,suozzi 7= himself & ,ms4 ,malliotakis7 
introduc$ ! foll[+ bill2 :i* 0 ref]r$ to
 ! ,committee on ,f9ancial ,s]vices  ,a 
,,bill  ,to require t any am\nts receiv$
 by ! ,f$]al ,gov]nm5t z a result ( !   
release ( ! ,f$]al ,national ,mortgage  
,association & ! ,f$]al ,home ,loan     
,mortgage ,corporation be us$ = ,/ate   
h\s+ revolv+ loan funds = middle-class  
h\s+ supply1 & = o!r purposes4  #a4     
,%ort title ,?is ,act may be cit$ z !   
,h\s+ = ,,u ,act4  #b4 ,am\nts receiv$ f
 release ( ,f$]al ,national ,mortgage   
,association & ,f$]al ,home ,loan       
,mortgage ,corporation  7a7 ,9 g5]al    
,not)/&+ any o!r provision ( law1 any   
am\nts receiv$ by ! ,f$]al ,gov]nm5t z a
 result ( ! release ( ! ,f$]al ,national
 ,mortgage ,association & ! ,f$]al ,home
 ,loan ,mortgage ,corporation %all be   
transf]r$ to a tru/ fund to be us$      
solely = ! purpose describ$ 9 section #c

 = a p]iod ( #aj ye>s aft] ! date ( su* 
transf]4  7b7 ,deficit r$uction ,on !   
date t is #aj ye>s aft] ! transf]       
describ$ 9 subsection 7a71 !            
capitalization loans describ$ 9 section 
#c %all be paid back by ! ,/ates to !   
,g5]al ,fund ( ! ,treasury1 d$icat$ = ! 
sole purpose ( deficit r$uction4  #c4   
,revolv+ loan fund = middle-class h\s+  
supply  7a7 ,def9itions ,9 ?is section3 
7#a7 ,secret>y ,! t]m ,secret>y means ! 
,secret>y ( ,h\s+ & ,urban ,developm5t4 
7#b7 ,/ate ,! t]m ,/ate means ea* ( !   
sev]al ,/ates1 ! ,di/rict ( ,colombia1 &
 ! t]ritories ( ! ,unit$ ,/ates4  7#c7  
,eligible entity ,! t]m eligible entity 
means a local gov]nm5t or non-pr(it     
organization t receives a loan f a ,/ate
 loan fund4  7b7 ,g5]al au?ority  7#a7  
loans to ,/ates to e/abli% ,/ate loan   
funds  7,a7 ,9 g5]al ,! ,secret>y %all1 
to ! ext5t t am\nts are available "u    
section #b & ! ext5t t ,/ates meet !    
requirem5ts ( ?is ,act1 ent] into       
agreem5ts ) ,/ates to make              

capitalization loans1 out ( am\nts      
receiv$ pursuant to section #b1 to su*  
,/ates = ! e/abli%m5t ( h\s+ revolv+    
loan funds = provid+ fund+ assi/ance to 
eligible entities to c>ry out eligible  
projects "u ?is section to increase !   
supply ( h\s+ available = middle-class  
,am]icans1 z det]m9$ by ! ,secret>y4    
7,b7 ,agreem5ts ,any agreem5t ent]$ into
 "u ?is section %all require ,/ates to--
 7i7 comply ) ! requirem5ts ( ?is       
section2 &  7ii7 use acc\nt+1 audit1 &  
fiscal proc$ures con=m+ to g5]ally      
accept$ acc\nt+ /&>ds4  7,c7 ,e/abli%m5t
 ( fund ,to be eligible to receive a    
capitalization loan "u ?is section1 a   
,/ate %all e/abli% a h\s+ revolv+ loan  
fund 7ref]r$ to 9 ?is section z a ,/ate 
loan fund7 & comply ) ! o!r requirem5ts 
( ?is section4 ,ea* loan to a ,/ate "u  
?is section %all be deposit$ 9 ! ,/ate  
loan fund e/abli%$ by ! ,/ate1 except z 
o!rwise provid$ 9 ?is section4  7,d7    
,ext5d$ p]iod ,! loan to a ,/ate %all be
 available to ! ,/ate = obligation dur+ 

! fiscal ye> = :i* ! funds are au?oriz$ 
& dur+ ! foll[+ fiscal ye>4  7,e7       
,allotm5t =mula ,funds made available to
 c>ry out ?is section %all be allott$ to
 ,/ates t h ent]$ into an agreem5t      
pursuant to ?is section bas$ on1 z      
det]m9$ by ! ,secret>y-- 7i7 ! %>e (    
total ne$ = an increas$ supply (        
af=dable h\s+ = families ( diff]5t sizes
 betwe5 #hj & #afe p]c5t ( ! area m$ian 
income2  7ii7 inadequate h\s+ supply &  
sub/&>d h\s+ 9 ! ,/ate2  7iii7 co/s (   
produc+ h\s+ 9 ! ,/ate1 includ+ increas$
 funds 9 ,/ates ) a high co/ ( produc+  
h\s+2 &  7iv7 any o!r factors z det]m9$ 
by ! ,secret>y4  7#b7 ,use ( funds  7,a7
 ,9 g5]al ,except z o!rwise au?oriz$ by 
?is section1 am\nts deposit$ 9 a ,/ate  
loan fund1 includ+ loan repaym5ts &     
int]e/ e>n$ on su* am\nts1 %all be us$  
only = provid+ loans or loan gu>antees  
to eligible entities1 or z a s\rce (    
res]ve & security = lev]ag$ loans1 !    
proce$s ( :i* are deposit$ 9 a ,/ate    
loan fund e/abli%$ "u p>agraph 7#a74    

7,b7 ,eligible uses ,f9ancial assi/ance 
provid$ to an eligible entity "u ?is    
section may be us$ by su* entity to--   
7i7 support home[n]%ip & r5tal h\s+     
af=dability1 z describ$ 9 subsection    
7g71 = middle-income p]sons & families  
?r\gh ! new con/ruction or              
rehabilitation ( h\s+2  7ii7 conduct    
relat$ activities includ+ real prop]ty  
acquisition1 site improvem5t1 conv]sion1
 demolition2  7iii7 provide = o!r       
exp5ses1 includ+ f9anc+ co/s &          
relocation exp5ses ( any displac$       
p]sons1 families1 bus9esses1 or         
organizations2 or  7iv7 provide = !     
paym5t ( reasonable adm9i/rative &      
plann+ co/s4  7,c7 ,ineligible uses     
,funds provid$ "u ?is section may n be  
us$ to-- 7i7 mod]nize public h\s+2  7ii7
 provide t5ant-bas$ assi/ance "u section
 #h7o7 ( ! ,unit$ ,/ates ,h\s+ ,act (   
#aicg 7#db ,u4,s4,c4 #adcg;f7o772  7iii7
 support ongo+ op]ational co/s ( r5tal  
h\s+2  7iv7 pay back taxes or fees on   
prop]ties t are or w be assi/$ "u ?is   

section2 &  7v7 provide non-,f$]al mat*+
 funds = any o!r ,f$]al program4  7,d7  
,sale ( bonds ,funds may also be us$ by 
a ,/ate z a s\rce ( rev5ue 7re/rict$    
solely to int]e/ e>n+s ( ! applicable   
,/ate loan fund7 or security = paym5t ( 
! pr9cipal & int]e/ on rev5ue or g5]al  
obligation bonds issu$ by ! ,/ate to    
provide mat*+ funds "u subsection 7d71  
if ! proce$s ( ! sale ( ! bonds w be    
deposit$ 9 ! ,/ate loan fund4  7#c7     
,limitation ,no assi/ance "u ?is section
 %all be provid$ to an eligible entity t
 does n h ! te*nical1 manag]ial1 &      
f9ancial capability to ensure compliance
 ) ! requirem5ts ( ?is section4  7c7    
,fund managem5t ,ea* ,/ate loan fund "u 
?is section %all be e/abli%$1 ma9ta9$1 &
 cr$it$ ) repaym5ts & int]e/4 ,! fund   
corpus %all be available 9 p]petuity =  
provid+ f9ancial assi/ance "u ?is       
section4 ,to ! ext5t am\nts 9 ! fund are
 n requir$ = curr5t obligation or       
exp5diture1 su* am\nts %all be inve/$ 9 
int]e/ be>+ obligations4  7d7 ,/ate     

contribution ,ea* agreem5t "u subsection
 7b7 %all require t ! ,/ate deposit 9 ! 
,/ate loan fund f ca% contributions f   
non-,f$]al res\rces an am\nt equal to at
 lea/ #bj p]c5t ( ! total am\nt ( ! loan
 to be made to ! ,/ate on or be=e ! date
 on :i* ! loan paym5t is made to !      
,/ate4  7e7 ,types ( assi/ance ,except z
 o!rwise limit$ by ,/ate law1 ! am\nts  
deposit$ into a ,/ate loan fund "u ?is  
section may be us$ only-- 7#a7 to make  
loans to eligible entities = ! purposes 
describ$ 9 subsection 7b77#b71 on !     
condition t-- 7,a7 ! int]e/ rate = ea*  
loan is less ?an or equal to ! m>ket    
int]e/ rate1 includ+ an int]e/-free     
loan2  7,b7 pr9cipal & int]e/ paym5ts on
 ea* loan w comm5ce n lat] ?an #ah mon?s
 aft] completion ( ! project = :i* !    
loan 0 made2  7,c7 ea* loan w be fully  
amortiz$ n lat] ?an #cj ye>s aft] !     
completion ( ! project1 except t a ,/ate
 may provide an ext5d$ t]m = a loan1 if 
! ext5d$ t]m-- 7i7 t]m9ates n lat] ?an !
 date t is #dj ye>s aft] ! date (       

project completion2 &  7ii7 does n exce$
 ! expect$ design life ( ! project2     
7,d7 ! recipi5t ( ea* loan w e/abli% a  
d$icat$ s\rce ( rev5ue 7or1 9 ! case ( a
 privately own$ sy/em1 demon/rate t !re 
is adequate security7 = ! repaym5t ( !  
loan2 &  7,e7 ! ,/ate loan fund w be    
cr$it$ ) all paym5ts ( pr9cipal & int]e/
 on ea* loan2  7#b7 to buy or ref9ance !
 debt obligation ( a municipality or an 
int]municipal or int]/ate ag5cy )9 !    
,/ate at an int]e/ rate t is less ?an or
 equal to ! m>ket int]e/ rate 9 any case
 9 :i* a debt obligation is incurr$ aft]
 ! date ?is bill takes effect2  7#c7 to 
gu>antee1 or pur*ase insurance =1 a     
local obligation 7all ( ! proce$s ( :i* 
f9ance a project eligible = assi/ance "u
 ?is section7 if ! gu>antee or pur*ase  
w\ld improve cr$it m>ket access or r$uce
 ! int]e/ rate applicable to !          
obligation2  7#d7 z a s\rce ( rev5ue or 
security = ! paym5t ( pr9cipal & int]e/ 
on rev5ue or g5]al obligation bonds     
issu$ by ! ,/ate if ! proce$s ( ! sale (

 ! bonds w be deposit$ into ! ,/ate loan
 fund2 &  7#e7 to e>n int]e/ on ! am\nts
 deposit$ into ! ,/ate loan fund4  7f7  
,adm9i/ration ( ,/ate loan funds  7#a7  
,comb9$ f9ancial adm9i/ration ,a ,/ate  
may 7z a conv5i5ce & to avoid unnecess>y
 adm9i/rative co/s7 comb9e1 9 accordance
 ) ,/ate law1 ! f9ancial adm9i/ration ( 
a ,/ate loan fund e/abli%$ "u ?is       
section ) ! f9ancial adm9i/ration ( any 
o!r revolv+ fund e/abli%$ by ! ,/ate if 
o!rwise n prohibit$ by ! law "u :i* !   
,/ate loan fund 0 e/abli%$ & if !       
,secret>y det]m9es t-- 7,a7 ! loans "u  
?is section1 toge!r ) loan repaym5ts &  
int]e/1 w be sep>ately acc\nt$ = & us$  
solely = ! purposes specifi$ 9          
subsection 7b72 &  7,b7 ! au?ority to   
e/abli% assi/ance priorities & c>ry out 
ov]sight & relat$ activities 7o!r ?an   
f9ancial adm9i/ration7 ) respect to     
assi/ance rema9s ) ! ,/ate ag5cy hav+   
prim>y responsibility = adm9i/ration ( !
 ,/ate program1 aft] consultation ) o!r 
appropriate ,/ate ag5cies 7z det]m9$ by 

! ,/ate74  7#b7 ,co/ ( adm9i/]+ fund    
7,a7 ,au?orization  7i7 ,9 g5]al ,= ea* 
fiscal ye>1 a ,/ate may use ! am\nt     
describ$ 9 clause 7ii7-- 7,i7 to cov] ! 
reasonable co/s ( adm9i/ration ( !      
programs "u ?is section1 includ+ !      
recov]y ( reasonable co/s exp5d$ to     
e/abli% a ,/ate loan fund t are incurr$ 
aft] ! date ?is section takes effect2 & 
7,,ii7 to provide te*nical assi/ance to 
eligible entities )9 ! ,/ate4  7ii7     
,description ( am\nt ,! am\nt ref]r$ to 
9 clause 7i7 is an am\nt equal to ! sum 
(-- 7,i7 ! am\nt ( any fees collect$ by 
! ,/ate = use 9 accordance ) clause     
7i77,i71 reg>dless ( ! s\rce2 &  7,,ii7 
! greate/ (-- 7aa7 #djj1jjj2  7bb7 #a_/e
 p]c5t ( ! curr5t valuation ( ! fund2 & 
7cc7 an am\nt equal to #d p]c5t ( all   
loan aw>ds to ! fund "u ?is section = ! 
fiscal ye>4  7,b7 ,additional use (     
funds ,= fiscal ye> #bjbf & ea* fiscal  
ye> !reaft]1 ea* ,/ate may use up to an 
additional #aj p]c5t ( ! funds allott$  
to ! ,/ate "u ?is section to adm9i/] or 

provide te*nical assi/ance to eligible  
entities4  7,c7 ,te*nical assi/ance ,an 
additional #b p]c5t ( ! funds annually  
allott$ to ea* ,/ate "u ?is section may 
be us$ by ! ,/ate to provide te*nical   
assi/ance to eligible entities s]v+     
#aj1jjj or few] p]sons 9 ! ,/ate4  7#c7 
,guidance & regulations ,! ,secret>y    
%all publi% guidance & promulgate       
regulations z may be necess>y to c>ry   
out ! provisions ( ?is section1         
includ+-- 7,a7 provisions to ensure t   
ea* ,/ate commits & exp5ds funds allott$
 to ! ,/ate "u ?is section z effici5tly 
z possible 9 accordance ) ?is section & 
applicable ,/ate laws2  7,b7 guidance to
 prev5t wa/e1 fraud1 & abuse2 &  7,c7   
guidance to ensure t ! ,/ates1 &        
eligible entities1 use acc\nt+1 audit1 &
 fiscal proc$ures t con=m to g5]ally    
accept$ acc\nt+ /&>ds4  7#d7 ,/ate      
report ,ea* ,/ate adm9i/]+ a ,/ate loan 
fund & assi/ance program "u ?is         
subsection %all publi% & submit to !    
,secret>y a report e #b ye>s on its     

activities "u ?is section1 includ+ !    
f9d+s ( ! mo/ rec5t audit ( ! fund & !  
entire ,/ate allotm5t4 ,! ,secret>y %all
 p]iodically audit all ,/ate loan funds 
e/abli%$ by1 & all o!r am\nts allott$   
to1 ! ,/ates pursuant to ?is section 9  
accordance ) proc$ures e/abli%$ by !    
,comptroll] ,g5]al4  7g7 ,qualifi$ h\s+ 
7#a7 ,r5tal h\s+  7,a7 ,9 g5]al ,= n    
less ?an #ae ye>s aft] h\s+ is assi/$ "u
 ?is section1 h\s+ t is = r5tal %all    
qualify z af=dable h\s+ "u ?is section  
only if ! h\s+-- 7i7 be>s r5ts t-- 7,i7 
are n great] ?an ! exi/+ fair m>ket r5t 
= comp>able units 9 ! area1 z e/abli%$  
by ! ,secret>y2 or  7,,ii7 does n exce$ 
#cj p]c5t ( #afe p]c5t ( ! m$ian income 
= ! area & is n bel[ #cj p]c5t ( #hj    
p]c5t ( ! m$ian income = ! area1 z      
det]m9$ by ! ,secret>y1 ) adju/m5t =    
numb] ( b$rooms 9 ! unit1 except t !    
,secret>y may e/abli% high] or l[]      
income p>amet]s on ! basis ( !          
,secret>y's f9d+s t su* v>iations are   
necess>y because ( prevail+ levels (    

con/ruction co/s or fair m>ket r5ts1 or 
unusually high or l[ family incomes2    
7ii7 is occupi$ only by h\seholds )     
income at or l[] ?an ! area m$ian income
 at :i* ! r5tal price w\ld be #cj p]c5t 
( ! area m$ian income2 &  7iii7 if newly
 con/ruct$1 meets ! same en]gy effici5cy
 /&>ds promulgat$ by ! ,secret>y        
pursuant to section #aji ( !            
,cran/on-,gonzalez ,national ,af=dable  
,h\s+ ,act 7#db ,u4,s4,c4 #abgji74  7,b7
 ,adju/m5t ( qualify+ r5t ,! ,secret>y  
may adju/ ! qualify+ r5t e/abli%$ = a   
project "u subp>agraph 7,a71 only if !  
,secret>y f9ds t su* adju/m5t is        
necess>y to support ! cont9u$ f9ancial  
viability ( ! project & only by su*     
am\nt z ! ,secret>y det]m9es is necess>y
 to ma9ta9 cont9u$ f9ancial viability ( 
! project4  7,c7 ,mix$-income project   
,h\s+ t acc\nts = less ?an #ajj p]c5t ( 
! dwell+ units 9 a project f9anc$ "u ?is
 section %all qualify = loans "u ?is    
section if su* h\s+ meets ! crit]ia (   
?is ,act4  7,d7 ,mix$-use project ,h\s+ 

9 a project t is design$ 9 "p = uses o!r
 ?an resid5tial use %all qualify = loans
 "u ?is section if su* h\s+ meets !     
crit]ia ( ?is ,act4  7,e7 ,waiv] (      
qualify+ r5t ,= ! purpose ( provid+     
af=dable h\s+1 ! ,secret>y may1 ^u !    
application ( ! project own]1 waive !   
applicability ( subp>agraph 7,a7 )      
respect to a dwell+ unit if-- 7i7 ! r5t 
= ! unit is n great] ?an ! exi/+ fair   
m>ket r5t = comp>able units 9 ! area1 z 
e/abli%$ by ! ,secret>y2 &  7ii7 !      
,secret>y det]m9es t ! waiv]1 toge!r )  
waiv]s "u ?is p>agraph = o!r dwell+     
units 9 ! project1 w result 9 ! use (   
am\nts 9 an effective mann] t w improve 
! provision ( af=dable h\s+ = su*       
families4  7#b7 ,home[n]%ip ,h\s+ t is =
 home[n]%ip %all qualify z af=dable h\s+
 "u ?is section only if ! h\s+-- 7,a7 ) 
respect to h\s+ ) #e or m units1        
includes-- 7i7 #ej p]c5t ( su* h\s+     
units t are af=dable = families ^:      
income is betwe5 #abj & #afe p]c5t ( !  
m$ian income = ! area1 z det]m9$ by !   

,secret>y2 &  7ii7 #bj p]c5t ( su* h\s+ 
units t are af=dable = families ^:      
income is "u #hj p]c5t ( ! m$ian income 
= ! area1 z det]m9$ by ! ,secret>y2     
7,b7 ) respect to h\s+ ) #a to #d units1
 is af=dable = families ^: income is    
betwe5 #hj & #afe p]c5t ( ! m$ian income
 = ! area1 z det]m9$ by ! ,secret>y2    
7,c7 is subject to resale re/rictions1 =
 #e ye>s1 t are e/abli%$ by ! eligible  
entity & det]m9$ by ! ,secret>y to be   
appropriate to-- 7i7 all[ = subsequ5t   
pur*ase ( ! prop]ty only by p]sons :o   
meet ! qualifications specifi$ "u       
subp>agraphs 7,a7 & 7,b71 at a price :i*
 w-- 7,i7 provide ! own] ) a fair return
 on inve/m5t1 includ+ any improvem5ts1 &
  7,,ii7 ensure t ! h\s+ w rema9        
af=dable to a reasonable range (        
middle-income homebuy]s2 or  7ii7       
recapture ! inve/m5t provid$ "u ?is     
section 9 ord] to assi/ o!r p]sons 9    
accordance ) ! requirem5ts ( ?is        
section1 except :]e !re are no net      
proce$s or :]e ! net proce$s are        

insuffici5t to repay ! full am\nt ( !   
assi/ance2 &  7,d7 if newly con/ruct$1  
meets ! same en]gy effici5cy /&>ds      
promulgat$ by ! ,secret>y pursuant to   
section #aji ( ! ,cran/on-,gonzalez     
,national ,af=dable ,h\s+ ,act 7#db     
,u4,s4,c4 #abgji74  7h7 ,labor          
requirem5ts ,an eligible entity t       
receives a loan "u ?is section mu/      
comply ) ! foll[+ requirem5ts ) respect 
to urban areas ) an av]age great] ?an   
#b1jjj h\s+ units p] adjac5t c5sus      
block3 7#a7 ,appr5tice%ip requirem5ts ,!
 requirem5ts describ$ 9 ?is p>agraph )  
respect to ! con/ruction ( any h\s+ unit
 are z foll[s3 7,a7 ,labor h\rs         
,eligible entities %all ensure t1 )     
respect to ! con/ruction ( any h\s+     
unit1 n less ?an #ae p]c5t ( ! total    
labor h\rs ( ! con/ruction1 alt]ation1  
or rehabilitation "w 7includ+ su* "w    
p]=m$ by any contractor or              
subcontractor7 ) respect to su* unit    
%all1 subject to subp>agraph 7,b71 be   
p]=m$ by qualifi$ appr5tices4  7,b7     

,appr5tice to j\rneywork] ratio ,!      
requirem5t "u subp>agraph 7,a7 %all be  
subject to any applicable requirem5ts = 
appr5tice-to-j\rneywork] ratios ( !     
,dep>tm5t ( ,labor or ! applicable ,/ate
 appr5tice%ip ag5cy4  7,c7 ,p>ticipation
 ,ea* eligible entity1 contractor1 or   
subcontractor :o employs #d or m        
individuals to p]=m con/ruction1        
alt]ation1 or repair "w ) respect to !  
con/ruction ( a h\s+ unit %all employ #a
 or m qualifi$ appr5tices to p]=m su*   
"w4  7,d7 ,exception  7i7 ,9 g5]al ,an  
eligible entity %all n be treat$ z fail+
 to satisfy ! requirem5ts ( ?is p>agraph
 if su* eligible entity-- 7,i7 satisfies
 ! requirem5ts describ$ 9 clause 7ii72  
or  7,,ii7 9 ! case ( any failure by !  
eligible entity to satisfy ! requirem5t 
"u subp>agraphs 7,a7 & 7,c7 ) respect to
 ! con/ruction1 alt]ation1 or           
rehabilitation "w on any h\s+ unit to   
:i* subclause 7,i7 does n apply1 makes  
paym5t to ! ,secret>y ( a p5alty 9 an   
am\nt equal to ! product (-- 7aa7 #ej2  

multipli$ by  7bb7 ! total labor h\rs = 
:i* ! requirem5t describ$ 9 su*         
subp>agraph 0 n satisfi$ ) respect to ! 
con/ruction1 alt]ation1 or repair "w on 
su* h\s+ unit4  7ii7 ,good fai? ef=t ,= 
purposes ( clause 7i71 an eligible      
entity %all be deem$ to h satisfi$ !    
requirem5ts "u ?is p>agraph ) respect to
 a h\s+ unit if su* eligible entity has 
reque/$ qualifi$ appr5tices f a regi/]$ 
appr5tice%ip program1 &-- 7,i7 su*      
reque/ has be5 d5i$1 provid$ t su* d5ial
 is n ! result ( a refusal by ! eligible
 entity or any contractors or           
subcontractors engag$ 9 ! p]=mance (    
con/ruction1 alt]ation1 or repair "w )  
respect to su* h\s+ unit to comply ) !  
e/abli%$ /&>ds & requirem5ts ( ! regi/]$
 appr5tice%ip program2 or  7,,ii7 !     
regi/]$ appr5tice%ip program fails to   
respond to su* reque/ )9 #e bus9ess days
 aft] ! date on :i* su* regi/]$         
appr5tice%ip program receiv$ su* reque/4
  7,e7 ,def9itions ,= purposes ( ?is    
p>agraph-- 7i7 ,labor h\rs ,! t]m labor 

h\rs-- 7,i7 means ! total numb] ( h\rs  
devot$ to ! p]=mance ( con/ruction1     
alt]ation1 or repair "w by any          
individual employ$ by ! eligible entity 
or by any contractor or subcontractor2 &
  7,,ii7 excludes any h\rs work$ by--   
7aa7 =em52  7bb7 sup]9t5d5ts2  7cc7     
own]s2 or  7dd7 p]sons employ$ 9 a bona 
fide executive1 adm9i/rative1 or        
pr(essional capacity 7)9 ! mean+ ( ^?   
t]ms 9 "p #eda ( title #bi1 ,code (     
,f$]al ,regulations74  7ii7 ,qualifi$   
appr5tice ,! t]m qualifi$ appr5tice     
means an individual :o is employ$ by !  
eligible entity or by any contractor or 
subcontractor & :o is p>ticipat+ 9 a    
regi/]$ appr5tice%ip program4  7#b7     
,prevail+ wage requirem5ts  7,a7        
,davis-,bacon ,all labor]s & me*anics   
employ$ by contractors or subcontractors
 9 ! p]=mance ( con/ruction1 alt]ation1 
or repair "w on a project assi/$ 9 :ole 
or 9 "p by fund+ made available "u ?is  
section %all be paid wages at rates n   
less ?an ^? prevail+ on simil> projects 

9 ! locality1 z det]m9$ by ! ,secret>y (
 ,labor 9 accordance ) sub*apt] ,,iv (  
*apt] #ca ( title #dj1 ,unit$ ,/ates    
,code 7commonly ref]r$ to z !           
,davis-,bacon ,act74  7,b7 ,au?ority ,) 
respect to ! labor /&>ds specifi$ 9     
subp>agraph 7,a71 ! ,secret>y ( ,labor  
%all h ! au?ority & functions set =? 9  
,reorganization ,plan ,no4 #ad ( #aiej  
7#fd ,/at4 #abfg2 #e ,u4,s4,c4 ,app47 & 
section #cade ( title #dj1 ,unit$ ,/ates
 ,code4  7#c7 ,i-#i compliance ,!       
eligible entity or any contractor or    
subcontractor 9 ! con/ruction ( any h\s+
 unit %all complete docum5tation to     
e/abli% t any labor]s or me*anics       
employ$ by ! eligible entity or any     
contractor or subcontractor is eligible 
to "w 9 ! ,unit$ ,/ates1 9 accordance ) 
"p ,,viii ( sub*apt] ,,ii ( *apt] #ab ( 
title #h1 ,unit$ ,/ates ,code4  7#d7    
,project labor agreem5ts  7,a7 ,9 g5]al 
,a contractor = a project c>ri$ out "u  
?is section t is a con/ruction project  
%all be a p>ty to a cov]$ project labor 

agreem5t4  7,b7 ,def9itions ,9 ?is      
p>agraph3 7i7 ,cov]$ project labor      
agreem5t ,! t]m cov]$ project labor     
agreem5t means a project labor agreem5t 
t-- 7,i7 b9ds all contractors &         
subcontractors on ! con/ruction project 
?r\gh ! inclusion ( appropriate         
specifications 9 all relevant           
solicitation provisions & contract      
docum5ts2  7,,ii7 all[s all contractors 
& subcontractors to compete = contracts 
& subcontracts )\t reg>d to :e!r !y are 
o!rwise a p>ty to a collective b>ga9+   
agreem5t2  7,,iii7 conta9s gu>antees    
aga9/ /rikes1 lock\ts1 & o!r simil> job 
disruptions2  7,,iv7 sets =? effective1 
prompt1 & mutually b9d+ proc$ures =     
resolv+ labor disputes aris+ dur+ !     
cov]$ project labor agreem5t2 &  7,v7   
provides o!r me*anisms = labor-managem5t
 coop]ation on matt]s ( mutual int]e/ & 
conc]n1 includ+ productivity1 quality ( 
"w1 safety1 & heal?4  7ii7 ,project     
labor agreem5t ,! t]m project labor     
agreem5t means a pre-hire collective    

b>ga9+ agreem5t ) "o or m labor         
organizations t e/abli%es ! t]ms &      
conditions ( employm5t = a specific     
con/ruction project & is describ$ 9     
section #h7;f7 ( ! ,national ,labor     
,relations ,act 7#bi ,u4,s4,c4          
#aeh7;f774  7#e7 ,responsible contractor
 policy ,any contractor or subcontractor
 = a project c>ri$ out ) funds provid$  
"u ?is section %all-- 7,a7 foll[ all    
applicable ,f$]al1 ,/ate1 & local laws1 
includ+ su* laws relat$ to requir$      
lic5ses1 regi/rations1 c]tifications1   
insurance1 & o!r cr$5tials2  7,b7 )9 !  
previ\s #aj ye>s1 n h be5 convict$ ( any
 crime relat+ to ! contract+ bus9ess (  
su* contractor or subcontractor2 &  7,c7
 )9 ! previ\s #h ye>s1 n h-- 7i7 be5    
deb>r$ or susp5d$ by a ,f$]al1 ,/ate1 or
 local gov]nm5t ag5cy or au?ority2  7ii7
 default$ on a project2  7iii7 _h any   
type ( bus9ess1 contract+ or trade      
lic5se1 regi/ration1 or o!r c]tification
 revok$ or susp5d$2 &  7iv7 be5 f\nd 9  
violation ( any law applicable to !     

bus9ess ( ! contractor or subcontractor1
 includ+ lic5s+1 tax1 wage & h\r1       
prevail+ wage1 labor1 employm5t1        
environm5tal1 safety laws1 or o!rs1 :]e 
! result ( su* violation 0 ! paym5t ( a 
f9e1 back pay damages or any o!r type ( 
p5alty 9 ! am\nt ( #e1jjj or m4  7#f7   
,regulations & guidance ,! ,secret>y    
%all issue su* regulations or o!r       
guidance z ! ,secret>y det]m9es necess>y
 to c>ry out ! purposes ( ?is           
subsection1 includ+ regulations or o!r  
guidance :i* provides = requirem5ts =   
recordkeep+ or in=mation report+ =      
purposes ( adm9i/]+ ! requirem5ts ( ?is 
subsection4