SAFE HAVENS FOR HOMELESS INDIVIDUALS DEMONSTRATION PROGRAM.

SEC. 1404. SAFE HAVENS FOR HOMELESS INDIVIDUALS DEMONSTRATION PROGRAM. Title IV of the Stewart B. McKinney Homeless Assistance Act (42 U.S.C. 11361 et seq.) is amended by inserting after subtitle C (as added by section 1003(a) of this Act) the following new subtitle: “Subtitle D—Safe Havens for Homeless Individuals Demonstration Program “SEC. 431. ESTABLISHMENT OF DEMONSTRATION. “(a) In General.—The Secretary may make grants to applicants to demonstrate the desirability and feasibility of providing very low-cost housing, to be known as safe havens, to homeless persons who, at the time, are unwilling or unable to participate in mental health treatment programs or to receive other supportive services. “(b) Purposes.— The demonstration program carried out under this subtitle shall demonstrate— “(1) whether and on what basis eligible persons choose to reside in safe havens; “(2) the extent to which, after a period of residence in a safe haven, residents are willing to participate in mental health treatment programs, substance abuse treatment, or other treatment programs and to move toward a more traditional form of permanent housing and the availability in the community of such permanent housing and treatment pro-grams; “(3) whether safe havens are cost-effective in comparison with other alternatives for eligible persons; and “(4) the various ways in which safe havens may be used to provide accommodations and low-demand services and referrals for eligible persons. “SEC. 432. DEFINITIONS.“For purposes of this subtitle: “(1) Applicant.—The term ‘applicant’ means a nonprofit corporation, public nonprofit organization, State, or unit of general local government. “(2) Eligible person.— The term ‘eligible person’ means an individual who— “(A) is seriously mentally ill and resides primarily in a public or private place not designed for, or ordinarily used as, a regular sleeping accommodation for human beings, which may include occasional residence in an emergency shelter; and “(B) is currently unwilling or unable to participate in mental health or substance abuse treatment programs or to receive other supportive services. 106 STAT. 4023 Such term does not include a person whose sole impairment is substance abuse. “(3) Facility.—The term ‘facility’ means a structure or a clearly identifiable portion of a structure that is assisted under this subtitle. “(4) Low-demand services and referrals.—The term low-demand services and referrals’ means the provision of health care, mental health, substance abuse, and other supportive services and referrals for services in a noncoercive manner, which may include medication management, education, counseling, job training, and assistance in obtaining entitlement benefits and in obtaining other supportive services including mental health treatment and substance abuse treatment. “(5) Nonprofit organization.— The term ‘nonprofit organization’ means an organization— “(A) no part of the net earnings of which inures to the benefit of any member, founder, contributor, or individual; “(B) that has a voluntary board; “(C) that has an accounting system, or has designated a fiscal agent in accordance with requirements established by the Secretary; and “(D) that practices nondiscrimination in the provision of assistance. “(6) Operating costs.— The term ‘operating costs’ means expenses incurred by a recipient operating a safe haven under this subtitle with respect to— “(A) the operation of the facility, including the cost of 24-hour management, and maintenance, repair, and security; “(B) utilities, fuel, furnishings, and equipment for such housing; and “(C) other reasonable costs necessary to the operation of the facility, which may include appropriate outreach and drop-in services. “(7) Recipient.—The term ‘recipient’ means an applicant that receives assistance under this subtitle. “(8) Safe haven.— The term ‘safe haven’ means a facility— “(A) that provides 24-hour residence for eligible persons who may reside for an unspecified duration; “(B) that provides private or semiprivate accommodations; “(C) that may provide for the common use of kitchen facilities, dining rooms, and bathrooms; “(D) that may provide supportive services to eligible persons who are not residents on a drop-in basis; and “(E) in which overnight occupancy is limited to no more than 25 persons. “(9) Secretary.—The term ‘Secretary’ means the Secretary of Housing and Urban Development. “(10) Seriously mentally ill.—The term ‘seriously men-tally ill’ means having a severe and persistent mental or emotional impairment that seriously limits a person’s ability to live independently. “(11) State.—The term ‘State’ means each of the several States, the District of Columbia, the Commonwealth of Puerto 106 STAT. 4024 Rico, the Virgin Islands, Guam, American Samoa, the Northern Mariana Islands, and Palau. “(12) Unit of general local government.—The term ‘unit of general local government’ has the meaning given the term in section 102(a) of the Housing and Community Development Act of 1974. “SEC. 433. PROGRAM ASSISTANCE. “(a) In General.— “(1) Eligible activities.— The Secretary may provide assistance with respect to a program under this subtitle for the following activities: “(A) The construction of a structure for use in providing a safe haven or the acquisition, rehabilitation, or acquisition and rehabilitation of an existing structure for use in providing a safe haven. “(B) The leasing of an existing structure for use in providing a safe haven. “(C) To cover the operating costs of a safe haven. “(D) To cover the costs of administering a safe haven program, not to exceed 10 percent of the amounts made available for activities under subparagraphs (A) through (C). “(E) Outreach activities designed to inform eligible per-sons about and attract them to a safe haven program. “(F) The provision of low-demand services and referrals for residents of a safe haven, except that grants under this subtitle may not be used to cover more than 50 percent of the cost of such services and referrals. “(G) Other activities that further the purposes of this subtitle, including the modification of an existing facility to use a portion of the facility to provide with a safe haven. “(2) Period of assistance.— Assistance may be provided to any safe haven program for activities under subparagraphs (B) through (F) of paragraph (1) for a period of not more than 5 years, except that the Secretary may, upon application by the recipient, provide assistance for an additional period of time, not to exceed 5 years, subject to— “(A) the determination of the Secretary that the performance of the recipient under this subtitle is satisfactory; and “(B) the availability of appropriations for such purpose. “(3) Limit on amount.—The total amount of assistance provided to any recipient under this subsection may not exceed $400,000 in any 5-year period. “(b) Matching Funding.— “(1) In general.—Each recipient shall supplement a grant provided under this subtitle with an equal amount of funds from sources other than this subtitle. Each recipient shall certify to the Secretary that it has complied with this paragraph, and shall include with the certification a description of the sources and amounts of such supplemental funds. “(2) Calculation of amounts.—In calculating the amount of supplemental funds required under paragraph (1), a recipient may include any funds derived from another source, the value of any lease on a building, any salary paid to staff to carry 106 STAT. 4025 out the program of the recipient, and the value of the time and services contributed by volunteers, at a rate determined by the Secretary, to carry out the program of the recipient. “SEC. 434. PROGRAM REQUIREMENTS. “(a) Applications.—Applications for assistance under this sub-title shall be submitted by an applicant in such form and in accordance with such procedures as the Secretary shall establish, and such applications shall contain at a minimum— “(1) a description of the proposed facility; “(2) a description of the number and characteristics of the eligible persons expected to occupy the safe haven; “(3) a plan for identifying and selecting eligible persons to participate; “(4) a program plan, containing a description of the method— “(A) of operation of the facility, including staffing plans and facility rules; “(B) by which the applicant will secure supportive services for residents of the safe haven; “(C) by which the applicant will monitor the willingness of residents to engage in treatment programs and other supportive services; “(D) by which access to supportive services will be secured for residents willing to use them; “(E) by which access to permanent housing with appropriate services, such as the Shelter Plus Care program under subtitle F, will be sought after residents are stabilized; and “(F) by which the applicant will conduct outreach activities to facilitate the entrance of eligible persons into the safe haven; “(5) a plan to ensure that adequate security precautions are taken to make the facility safe for the residents; “(6) an estimate of program costs; “(7) a description of the resources that are expected to be made available in accordance with section 433(b); “(8) assurances satisfactory to the Secretary that the facility will have 24-hour, on-site management, if practicable; “(9) assurances satisfactory to the Secretary that the facility will be operated for the purpose specified in the application for each year in which assistance is provided under this subtitle; “(10) a certification by the public official responsible for submitting the comprehensive housing affordability strategy under section 105 of the Cranston-Gonzalez National Affordable Housing Act for the State or unit of general local government within which the facility is located that the proposed activities are consistent with the approved housing strategy for such jurisdiction; “(11) a certification that the applicant will comply with the requirements of the Fair Housing Act, title VI of the Civil Rights Act of 1964, section 504 of the Rehabilitation Act of 1973, and the Age Discrimination Act of 1975, and will affirmatively further fair housing; “(12) a plan for program evaluation based on information that is collected on a periodic basis regarding the characteristics of the residents, including their movement in and out of the 106 STAT. 4026safe haven, their willingness to use low-demand services and referrals, the availability and quality of services used, and the movement of residents toward a more traditional form of permanent housing after a period of residency in the safe haven; and “(13) such other information as the Secretary may require. “(b) Site Control.—The Secretary shall require that an applicant furnish reasonable assurances that the applicant will have control of a site for the proposed facility not later than 1 year after notification of an award of assistance under this subtitle, f an applicant fails to obtain control of the site within this period the grant shall be recaptured by the Secretary and reallocated for use under this subtitle. “(c) Selection Criteria.—The Secretary shall establish selection criteria for selecting applicants to receive assistance under this subtitle pursuant to a national competition, which shall include— “(1) the extent to which the applicant demonstrates the ability to develop and operate a safe haven; “(2) the extent to which there is a need for a safe haven in the jurisdiction in which the facility will be located; “(3) the extent to which the program would link eligible persons to permanent housing and supportive services after stabilization in a safe haven; “(4) the cost-effectiveness of the proposed program; “(5) providing for geographical diversity among applicants selected to receive assistance; “(6) the extent to which the safe haven would meet the need of the eligible persons proposed to be served by the safe haven; and “(7) such other factors as the Secretary determines to be appropriate for purposes of carrying out the program established under this subtitle in an effective and efficient manner. “(d) Required Agreements.—The Secretary may not provide assistance under this subtitle for any safe haven program unless the applicant agrees— “(1) to develop and operate the proposed facility as a safe haven in accordance with the provisions of this subtitle; “(2) to ensure that the facility meets any standards of habitability established by the Secretary; “(3) to provide low-demand services and referrals for the residents of the safe haven; “(4) to prohibit the use of illegal drugs and alcohol in the facility; “(5) to ensure that adequate security precautions are taken to make the facility safe for the residents; “(6) not to establish limitations on the duration of residency; “(7) not to require participation in low-demand services and referrals as a condition of occupancy; “(8) to monitor and report to the Secretary on progress in carrying out the safe haven program; “(9) to the maximum extent practicable, to involve eligible persons, through employment, volunteer services, or otherwise, in renovating, maintaining, and operating facilities assisted under this subtitle and in providing services assisted under this subtitle; 106 STAT. 4027 “(10) to provide for the participation of not less than 1 homeless individual or former homeless individual on the board of directors or other equivalent policymaking entity of such recipient (in accordance with regulations that the Secretary shall issue), to the extent that such entity considers and makes policies and decisions regarding any facility or services assisted under this subtitle, or to otherwise provide for the consultation and participation of such an individual in considering and making such policies and decisions; and “(11) to comply with such other terms and conditions as the Secretary may establish for purposes of carrying out the program established under this subtitle in an effective and efficient manner. The Secretary may waive the applicability of the requirement under paragraph (10) for an applicant that is unable to meet such requirement, if the applicant agrees to otherwise consult with homeless or formerly homeless individuals in considering and making such policies and decisions. “SEC. 435. OCCUPANCY CHARGE.“Each eligible person who resides in a facility assisted under this subtitle shall pay an occupancy charge in an amount deter-mined by the recipient, but not to exceed the amount determined under section 3(a) of the United States Housing Act of 1937. The occupancy charge may be phased in or reduced based on the type of living accommodations provided. The recipient may waive occupancy charges for limited periods of time for residents unwilling or unable to pay them. Occupancy charges paid may be reserved to assist residents in moving to a more traditional form of permanent housing. “SEC. 436. TERMINATION OF ASSISTANCE.“If an eligible person who resides in a safe haven or who receives low-demand services or referrals endangers the safety, welfare, or health of other residents, or repeatedly violates a condition of occupancy contained in the rules for the safe haven (as set forth in the application submitted under this subtitle), the recipient may terminate such residency or assistance in accordance with a formal process established by the rules for the safe haven, which may include a hearing. “SEC. 437. EVALUATION AND REPORT.“The Secretary shall conduct an evaluation of the safe haven demonstration program under this subtitle and shall submit a report to the Congress, not later than December 31, 1994, which shall set forth the findings of the Secretary as a result of the evaluation. “SEC. 438. REGULATIONS. “(a) In General.—The Secretary shall, by notice published in the Federal Register, establish such requirements as may be necessary to carry out the amendments made by this subtitle. “(b) Consultation.—In establishing requirements to carry out the provisions of this subtitle, and in considering applications under this subtitle, the Secretary shall consult with officials of the appropriate agencies of the Department of Health and Human Services and with representative provider and public interest groups. “(c) Eligibility for SSI and Medicaid.— 106 STAT. 4028 “(1) Supplemental security income.— All provisions of the Supplemental Security Income program under title XVI of the Social Security Act and of State programs in supplementation thereof shall apply to participants in the safe havens demonstration program under this subtitle, except that no individual living in a safe haven shall— “(A) be considered an inmate of a public institution (as provided in section 1611(e)(1)(A) of such Act); or “(B) have benefits under such title XVI reduced or terminated because of the receipt of support and maintenance (as provided in section 1612(a)(2)(A) of such Act), to the extent such support and maintenance is received as a result of participation in the safe havens demonstration program. “(2) Medicaid.—A safe haven shall not be considered a hospital, nursing facility, institution for mental disease as defined under section 1905(i) of the Social Security Act, or any other inpatient facility, for purposes of the program under title XIX of such Act, and individuals shall not be denied eligibility for medicaid because of residency in such residence. “SEC. 439. AUTHORIZATION OF APPROPRIATIONS.“There are authorized to be appropriated to carry out this subtitle $62,000,000 for fiscal year 1993 and $64,604,000 for fiscal year 1994”.