Page:United States Statutes at Large Volume 106 Part 5.djvu/378

 106 STAT. 4016 PUBLIC LAW 102-550—OCT. 28, 1992 ing program recipients under title IV of this Act before the date of the enactment of the Housing and Community Development Act of 1992, may reapply for such assistance or for the renewal of such assistance to continue services funded under prior grants or to provide other services. "(6) TECHNICAL ASSISTANCE. — Technical assistance in carry- ing out the purposes of this subtitle. "(b) USE RESTRICTIONS.— "(1) ACQUISITION, REHABILITATION, AND NEW CONSTRUC- TION.— Projects assisted under subsection (a)(1) or (2) shall be operated for not less than 20 years for the purpose specified in the application. "(2) OTHER ASSISTANCE. —Projects assisted under subsection (a)(3), (4), (5), or (6) (but not under subsection (a)(1) or (2)) shall be operated for the purposes specified in the application for the duration of the period covered by the grant. "(3) CONVERSION.— If the Secretary determines that a project is no longer needed for use as supportive housing and approves the use of the project for the direct benefit of lowincome persons pursuant to a request for such use by the recipient operating the project, the Secretary may authorize the recipient to convert the project to such use. "(c) REPAYMENT OF ASSISTANCE AND PREVENTION OF UNDUE BENEFITS. — ^^^^^^^^ - M' "(1) REPAYMENT. —The Secretary shall require recipients to repay 100 percent of any assistance received under subsection (a)(1) or (2) if the project ceases to be used as supportive housing within 10 years after the project is placed in service. If such project is used as supportive housing for more than 10 years, the Secretary shall reduce the percentage of the amount required to be repaid by 10 percentage points for each year in excess of 10 that the project is used as supportive housing. "(2) PREVENTION OF UNDUE BENEFITS. — Except as provided in paragraph (3), upon any sale or other disposition of a project assisted under subsection (a)(1) or (2) occurring before the expiration of the 20-year period beginning on the date that the project is placed in service, the recipient shall comply with such terms and conditions as the Secretary may prescribe to prevent the recipient from unduly benefiting from such sale or disposition. "(3) EXCEPTION. —^A recipient shall not be required to comply with the terms and conditions prescribed under paragraphs (1) and (2) if the sale or disposition of the project results in the use of the project for the direct benefit of very lowincome persons or if all of the proceeds are used to provide supportive housing meeting the requirements of this subtitle. 42 USC 11384. "SEC. 424. SUPPORTIVE HOUSING. "(a) IN GENERAL. —Housing providing supportive services for homeless individuals shall be considered supportive housing for purposesof this subtitle if— "(1) the housing is safe and sanitary and meets any applicable State and local housing codes and licensing requirements in the jurisdiction in which the housing is located; and "(2) the housing— "(A) is transitional housing;

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