38 USC § 2041 - Housing assistance for homeless veterans

(a)

(1) To assist homeless veterans and their families in acquiring shelter, the Secretary may enter into agreements described in paragraph (2) with—

(A) nonprofit organizations, with preference being given to any organization named in, or approved by the Secretary under, section 5902 of this title; or

(B) any State or any political subdivision thereof.

(2) To carry out paragraph (1), the Secretary may enter into agreements to sell, lease, lease with an option to purchase, or donate real property, and improvements thereon, acquired by the Secretary as the result of a default on a loan made, insured, or guaranteed under this chapter. Such sale or lease or donation shall be for such consideration as the Secretary determines is in the best interests of homeless veterans and the Federal Government.

(3) The Secretary may enter into an agreement under paragraph (1) of this subsection only if—

(A) the Secretary determines that such an action will not adversely affect the ability of the Department—

(i) to fulfill its statutory missions with respect to the Department loan guaranty program and the short- and long-term solvency of the Veterans Housing Benefit Program Fund established under section 3722 of this title; or

(ii) to carry out other functions and administer other programs authorized by law;

(B) the entity to which the property is sold, leased, or donated agrees to—

(i) utilize the property solely as a shelter primarily for homeless veterans and their families,

(ii) comply with all zoning laws relating to the property,

(iii) make no use of the property that is not compatible with the area where the property is located, and

(iv) take such other actions as the Secretary determines are necessary or appropriate in the best interests of homeless veterans and the Federal Government; and

(C) the Secretary determines that there is no significant likelihood of the property being sold for a price sufficient to reduce the liability of the Department or the veteran who defaulted on the loan.

(4) The term of any lease under this subsection may not exceed three years.

(5) An approved entity that leases a property from the Secretary under this section shall be responsible for the payment of any taxes, utilities, liability insurance, and other maintenance charges or similar charges that apply to the property.

(6) Any agreement, deed, or other instrument executed by the Secretary under this subsection shall be on such terms and conditions as the Secretary determines to be appropriate and necessary to carry out the purpose of such agreement.

(b)

(1) Subject to paragraphs (2) and (3), the Secretary may make loans to organizations described in paragraph (1)(A) of subsection (a) to finance the purchase of property by such organizations under such subsection.

(2) In making a loan under this subsection, the Secretary—

(A) shall establish credit standards to be used for this purpose;

(B) may, pursuant to section 3733 (a)(6) of this title, provide that the loan will bear interest at a rate below the rate that prevails for similar loans in the market in which the loan is made; and

(C) may waive the collection of a fee under section 3729 of this title in any case in which the Secretary determines that such a waiver would be appropriate.

(c) The Secretary may not enter into agreements under subsection (a) after December 31, 2012.

Source

(Added Pub. L. 102–54, § 9(a),June 13, 1991, 105 Stat. 272, § 1835; renumbered § 3735,Pub. L. 102–83, § 5(a),Aug. 6, 1991, 105 Stat. 406; amended Pub. L. 102–590, §§ 8, 9,Nov. 10, 1992, 106 Stat. 5140; Pub. L. 103–446, title XII, § 1201(d)(13),Nov. 2, 1994, 108 Stat. 4684; Pub. L. 104–110, title I, § 101(h),Feb. 13, 1996, 110 Stat. 768; Pub. L. 105–114, title II, § 203(a),Nov. 21, 1997, 111 Stat. 2288; Pub. L. 105–368, title VI, § 602(e)(1)(G),Nov. 11, 1998, 112 Stat. 3347; Pub. L. 106–117, title IX, § 902,Nov. 30, 1999, 113 Stat. 1587; renumbered § 2041,Pub. L. 107–95, § 5(c),Dec. 21, 2001, 115 Stat. 918; Pub. L. 108–170, title IV, § 404,Dec. 6, 2003, 117 Stat. 2063; Pub. L. 109–444, § 8(a)(5),Dec. 21, 2006, 120 Stat. 3313; Pub. L. 109–461, title VII, § 705, title X, §§ 1004(a)(5), 1006(b),Dec. 22, 2006, 120 Stat. 3440, 3465, 3468; Pub. L. 112–37, § 10(e),Oct. 5, 2011, 125 Stat. 397.)

Amendments

2011—Subsec. (c). Pub. L. 112–37substituted “December 31, 2012” for “December 31, 2011”.

2006—Subsec. (a)(3)(A)(i). Pub. L. 109–461, § 1006(b), provided that as of the enactment of Pub. L. 109–461, the amendments made by Pub. L. 109–444were deemed for all purposes not to have taken effect and that Pub. L. 109–444ceased to be in effect. See Amendment notes below and section 1006(b) ofPub. L. 109–461, set out as a Coordination of Provisions With Pub. L. 109–444note under section 101 of this title.

Pub. L. 109–461, § 1004(a)(5), substituted “established under section 3722 of this title” for “under this chapter”.

Pub. L. 109–444, which substituted “established under section 3722 of this title” for “under this chapter”, was terminated by Pub. L. 109–461, § 1006(b). See Amendment notes above.

Subsec. (c). Pub. L. 109–461, § 705, substituted “December 31, 2011” for “December 31, 2008”.

2003—Subsec. (c). Pub. L. 108–170substituted “December 31, 2008” for “December 31, 2003”.

2001—Pub. L. 107–95renumbered section 3735 of this title as this section.

1999—Subsec. (c). Pub. L. 106–117substituted “December 31, 2003” for “December 31, 1999”.

1998—Subsec. (a)(3)(A)(i). Pub. L. 105–368substituted “Veterans Housing Benefit Program Fund” for “Loan Guaranty Revolving Fund and the Guaranty and Indemnity Fund”.

1997—Subsec. (c). Pub. L. 105–114substituted “December 31, 1999” for “December 31, 1997”.

1996—Subsec. (c). Pub. L. 104–110substituted “December 31, 1997” for “December 31, 1995”.

1994—Subsec. (a)(1)(A). Pub. L. 103–446substituted “section 5902” for “section 3402”.

1992—Subsec. (a)(2). Pub. L. 102–590, § 8(a)(1), inserted “, lease, lease with an option to purchase, or donate” after “sell” and “or lease or donation” after “sale”.

Subsec. (a)(3)(B). Pub. L. 102–590, § 8(a)(2), inserted “, leased, or donated” after “sold” in introductory provisions.

Subsec. (a)(4) to (6). Pub. L. 102–590, § 8(a)(3), (4), added pars. (4) and (5) and redesignated former par. (4) as (6).

Subsec. (b). Pub. L. 102–590, § 9(a)(2), added subsec. (b). Former subsec. (b) redesignated (c).

Pub. L. 102–590, § 8(b), substituted “December 31, 1995” for “September 30, 1993”.

Subsec. (c). Pub. L. 102–590, § 9(a)(1), redesignatedsubsec. (b) as (c).

1991—Pub. L. 102–83renumbered section 1835 of this title as this section.

Effective Date of 1998 Amendment

Amendment by Pub. L. 105–368effective Oct. 1, 1998, see section 602(f) ofPub. L. 105–368, set out as a note under section 2106 of this title.

Ratification of Actions During Period of Expired Authority

Any action taken by Secretary of Veterans Affairs before Feb. 13, 1996, under provision of law amended by title I of Pub. L. 104–110that was taken during period beginning on date on which authority of Secretary under such provision of law expired and ending on Feb. 13, 1996, considered to have same force and effect as if such amendment had been in effect at time of that action, see section 103 ofPub. L. 104–110, set out as a note under section 1710 of this title.