Page:United States Statutes at Large Volume 105 Part 1.djvu/299

 PUBLIC LAW 102-54—JUNE 13, 1991 105 STAT. 271 (i) RENT AND LENGTH OF RESIDENCE.—The Secretary shall prescribe— (1) a procedure for establishing resisonable rental rates for persons residing in transitional housing; and (2) appropriate limits on the period for which such persons may reside in transitional housing. (j) DISPOSAL OF PROPERTY.—The Secretary may dispose of any property acquired for the purpose of this section. The proceeds of any such disposal shall be credited to the General Post Fund of the Department of Veterans Affairs. (k) AVAILABILITY OF GENERAL POST FUND. — Funds received by the Department under this section shall be deposited in the General Post Fund. The Secretary may distribute out of the fund such amounts as necessary for the acquisition, management, maintenance, and disposition of real property for the purpose of carrying out such program. The operation of the demonstration program and funds received shall be separately accounted for, and shall be stated in the documents accompanying the President's budget for each fiscal year. (1) REPORT.—After a demonstration program under this section has been in effect for two years, the Secretary shall submit to the Committees on Veterans' Affairs of the Senate and House of Representatives a report on the operation of the program. The Secretary shall include in the report such recommendations with regard to the program as the Secretary considers appropriate. SEC. 8. LOANS TO ORGANIZATIONS PROVIDING TRANSITIONAL HOUSING 38 USC 620A FOR SUBSTANCE ABUSERS. "o^ (a) LOAN PROGRAM. —The Secretary of Veterans Affairs may make loans in accordance with this section to assist in the provision of transitional housing exclusively to veterans who are in (or who recently have been in) a program for the treatment of substance abuse. (b) LOAN RECIPIENTS. — A loan under this section may only be made to a nonprofit organization under selection criteria promulgated by the Secretary and only to assist that organization in leasing housing units for use as a group residence for the purposes described in subsection (a). The amount of such a loan that is used with respect to any single residential unit may not exceed $4,500. In making loans under this subsection, the Secretary shall, except to the extent that the Secretary determines that it is infeasible to do so, ensure that— (1) each loan is repaid within two years after the date on which the loan is made; (2) each loan is repaid through monthly installments and that a reasonable penalty is assessed for each failure to pay an installment by the date specified in the loan agreement involved; and (3) each loan is made only to a nonprofit private entity which agrees that, in the operation of each residence established with the assistance of the loan— (A) the use of alcohol or any illegal drug in the residence will be prohibited; (B) any resident who violates the prohibition in subclause (A) of this clause will be expelled from the residence; i (C) the costs of maintaining the residence, including fees for rent and utilities, will be paid by the residents; (D) the residents will, through a majority vote of the residents, otherwise establish policies governing the condi-

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