
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 23, 2000]
[Document affected by Public Law 107-95 Section 5(d)(1)]
[CITE: 38USC3773]

 
                      TITLE 38--VETERANS' BENEFITS
 
               PART III--READJUSTMENT AND RELATED BENEFITS
 
              CHAPTER 37--HOUSING AND SMALL BUSINESS LOANS
 
 SUBCHAPTER VI--LOAN GUARANTEE FOR MULTIFAMILY TRANSITIONAL HOUSING FOR 
                            HOMELESS VETERANS
 
Sec. 3773. Requirements

    (a) A loan referred to in section 3772 of this title meets the 
requirements of this subchapter if each of the following requirements is 
met:
        (1) The loan--
            (A) is for--
                (i) construction of, rehabilitation of, or acquisition 
            of land for a multifamily transitional housing project 
            described in subsection (b), or more than one of such 
            purposes; or
                (ii) refinancing of an existing loan for such a project; 
            and

            (B) may also include additional reasonable amounts for--
                (i) financing acquisition of furniture, equipment, 
            supplies, or materials for the project; or
                (ii) in the case of a loan made for purposes of 
            subparagraph (A)(i), supplying the organization carrying out 
            the project with working capital relative to the project.

        (2) The loan is made in connection with funding or the provision 
    of substantial property or services for such project by either a 
    State or local government or a nongovernmental entity, or both.
        (3) The maximum loan amount does not exceed the lesser of--
            (A) that amount generally approved (utilizing prudent 
        underwriting principles) in the consideration and approval of 
        projects of similar nature and risk so as to assure repayment of 
        the loan obligation; and
            (B) 90 percent of the total cost of the project.

        (4) The loan is of sound value, taking into account the 
    creditworthiness of the entity (and the individual members of the 
    entity) applying for such loan.
        (5) The loan is secured.
        (6) The loan is subject to such terms and conditions as the 
    Secretary determines are reasonable, taking into account other 
    housing projects with similarities in size, location, population, 
    and services provided.

    (b) For purposes of this subchapter, a multifamily transitional 
housing project referred to in subsection (a)(1) is a project that--
        (1) provides transitional housing to homeless veterans, which 
    housing may be single room occupancy (as defined in section 8(n) of 
    the United States Housing Act of 1937 (42 U.S.C. 1437f (n)));
        (2) provides supportive services and counselling services 
    (including job counselling) at the project site with the goal of 
    making such veterans self-sufficient;
        (3) requires that each such veteran seek to obtain and maintain 
    employment;
        (4) charges a reasonable fee for occupying a unit in such 
    housing; and
        (5) maintains strict guidelines regarding sobriety as a 
    condition of occupying such unit.

    (c) Such a project--
        (1) may include space for neighborhood retail services or job 
    training programs; and
        (2) may provide transitional housing to veterans who are not 
    homeless and to homeless individuals who are not veterans if--
            (A) at the time of taking occupancy by any such veteran or 
        homeless individual, the transitional housing needs of homeless 
        veterans in the project area have been met;
            (B) the housing needs of any such veteran or homeless 
        individual can be met in a manner that is compatible with the 
        manner in which the needs of homeless veterans are met under 
        paragraph (1); and
            (C) the provisions of paragraphs (4) and (5) of subsection 
        (b) are met.

    (d) In determining whether to guarantee a loan under this 
subchapter, the Secretary shall consider--
        (1) the availability of Department of Veterans Affairs medical 
    services to residents of the multifamily transitional housing 
    project; and
        (2) the extent to which needs of homeless veterans are met in a 
    community, as assessed under section 107 of Public Law 102-405.

(Added Pub. L. 105-368, title VI, Sec. 601(a), Nov. 11, 1998, 112 Stat. 
3343.)

                       References in Text

    Section 107 of Public Law 102-405, referred to in subsec. (d)(2), is 
set out as a note under section 527 of this title.

                  Section Referred to in Other Sections

    This section is referred to in section 3772 of this title.
