NEIGHBORHOOD DEVELOPMENT PROGRAM.

SEC. 832. NEIGHBORHOOD DEVELOPMENT PROGRAM. (a) Authorization.—Section 123(g) of the Housing and Urban-Rural Recovery Act of 1983 (42 U.S.C. 5318 note) is amended to read as follows: “(g) Authorization.—Of the amounts made available for assistance under section 103 of the Housing and Community Development Act of 1974, $1,004,000 for fiscal year 1993 (in addition to other amounts provided for such fiscal year) and $3,000,000 for fiscal year 1994 shall be available to carry out this section”. (b) Permanent Program.—Section 123 of the Housing and Urban-Rural Recovery Act of 1983 (42 U.S.C. 5318 note) is amended— (1) by striking the section heading and inserting the following new heading: “john heinz neighborhood development program”; (2) by striking “demonstration program” each place it appears and inserting “program”; (3) in subsection (b)(1), by striking “determine the feasibility of supporting” and inserting “support”; (4) in subsection (e)(3), by inserting after “year” the following: “, except that, if appropriations for this section exceed $3,000,000, the Secretary may pay not more than $75,000 to any participating neighborhood development organization”; (5) in subsection (e)(6)— (A) in subparagraph (C), by inserting “and” after the semicolon at the end; (B) by striking subparagraph (D); (C) by redesignating subparagraph (E) as subparagraph (D); and (D) in subparagraph (D), as so redesignated, by striking “demonstration” and inserting “program”; (6) by striking subsection (O) and inserting the following new subsection: “(f) The Secretary shall submit a report to the Congress, not later than 3 months after the end of each fiscal year in which payments are made under this section, regarding the program under this section. The report shall contain a summary of the activities carried out under this section during such fiscal year and any findings, conclusions, and recommendations for legislation regarding the program.”; and (7) by adding at the end the following new subsection: “(h) Short Title.—This section may be cited as the ‘John Heinz Neighborhood Development Act’. ”. (c) Compliance With CHAS and Community Development Plans.—Section 123(e)(5)(A) of the Housing and Urban-Rural Recovery Act of 1983 (42 U.S.C. 5318 note) is amended by striking “housing and community development plans of such unit” and inserting “comprehensive housing affordability strategy of such unit approved under section 105 of the Cranston-Gonzalez National Affordable Housing Act or the statement of community development activities and community development plans of the unit submitted 106 STAT. 3853under section 104(m) of the Housing and Community Development Act of 1974”. (d) Eligible Neighborhood Development Organization.—Section 123(a)(2) of the Housing and Urban-Rural Recovery Act of 1983 (42 U.S.C. 5318 note) is amended— (1) in subparagraph (A), by inserting “(i)” after “(A)”; (2) in subparagraph (E), by striking the period at the end and inserting “; or”; (3) by redesignating subparagraphs (B) through (E) as clauses (ii) through (v), respectively; and (4) by adding at the end the following new subparagraph: (B) any facility that provides small entrepreneurial business with affordable shared support services and business development services and meets the requirements of subparagraph (A).”, (e) Definitions.—Section 123(a) of the Housing and Urban-Rural Recovery Act of 1983 (42 U.S.C. 5318 note) is amended— (1) by striking subparagraph (2)(A)(iv) (as so redesignated by subsection (d) of this section) and inserting the following new clause: “(iv) an organization that operates within an area that— “(I) meets the requirements for Federal assistance under section 119 of the Housing and Community Development Act of 1974; “(II) is designated as an enterprise zone under Federal law; “(III) is designated as an enterprise zone under State law and recognized by the Secretary for purposes of this section as a State enterprise zone; or “(IV) is a qualified distressed community within the meaning of section 233(b)(1) of the Bank Enterprise Act of 1991; and”; (2) by redesignating paragraph (3) as paragraph (4); and (3) by inserting before paragraph (4) (as so redesignated) the following new paragraph: “(3) The term ‘neighborhood development funding organization’ means— “(A) a depository institution the accounts of which are insured pursuant to the Federal Deposit Insurance Act or the Federal Credit Union Act, and any subsidiary (as such term is defined in section 3(w) of the Federal Deposit Insurance Act) thereof; “(B) a depository institution holding company and any subsidiary thereof (as such term is defined in section 3(w) of the Federal Deposit Insurance Act); or “(C) a company at least 75 percent of the common stock of which is owned by one or more insured depository institutions or depository institution holding companies.”. (f) Coordination With Community Development finding Organizations.—Section 123 of the Housing and Urban-Rural Recovery Act of 1983 (42 U.S.C. 5318 note) is amended— (1) in subsection (b)(1), by inserting “, and from neighbor-hood development funding organizations,” after “neighbor-hoods”; (2) in subsection (b)(3)— (A) in subparagraph (B), by striking “and” at the end; 106 STAT. 3854 (B) in subparagraph (C), by striking the period and inserting the following: “, especially in cooperation with a neighborhood development funding organization, except that an eligible neighborhood development organization shall be deemed to have the full benefit of the cooperation of a neighborhood development funding organization if the eligible neighborhood development organization— “(i) is located in an area described in subsection (a)(2)(A)(iv) that does not contain a neighborhood development funding organization; or “(ii) demonstrates to the satisfaction of the Secretary that it has been unable to obtain the cooperation of any neighborhood development funding organization in such area despite having made a good faith effort to obtain such cooperation; and”; and (C) by adding at the end the following new subparagraph: “(D) specify a strategy for increasing the capacity of the organization.”; (3) in subsection (c)(3), by inserting before the semicolon the following: “and by the extent of participation in the proposed activities by a neighborhood development funding organization that has a branch or office in the neighborhood, except that an eligible neighborhood development organization shall be deemed to have the full benefit of the participation of a neighborhood development funding organization if the eligible neighborhood development organization— “(A) is located in an neighborhood that does not contain a branch or office of a neighborhood development funding organization; or “(B) demonstrates to the satisfaction of the Secretary that it has been unable to obtain the participation of any neighborhood development funding organization that has a branch or office in the neighborhood despite having made a good faith effort to obtain such participation”; and (4) in subsection (e)(i), by inserting “, and from neighbor-hood development funding organizations,” after “neighborhood”, (g) Administrative Changes.—Section 123 of the Housing and Urban-Rural Recovery Act of 1983 (42 U.S.C. 5318 note) is amended— (1) in subsection (a)(2)(A)(iu), as so redesignated by sub-section (d) of this section, by striking “three years” and inserting “one year”; and (2) in subsection (b)(2), by striking “Not more than 30 per centum” and inserting “For fiscal year 1993 and thereafter, not more than 50 percent.”