TYPES OF ASSISTANCE.

SEC. 423. TYPES OF ASSISTANCE. (a) In General.— The Secretary may provide the following assistance to a project under this subtitle: (1) An advance, in an amount not to exceed $200,000, of the aggregate cost of acquisition, substantial rehabilitation, or acquisition and rehabilitation of an existing structure for use in the provision of supportive housing. (2) A grant for moderate rehabilitation of an existing structure for use in the provision of supportive housing. (3) Annual payments for operating costs of transitional housing, not to exceed 75 percent of the annual operating costs of such housing. (4) Technical assistance in establishing and operating such housing and providing supportive services to the residents of such housing. (b) Repayment of Advance.— Subject to the foregoing, any advance provided under subsection (a)(1) shall be repaid on such terms as may be prescribed by the Secretary when the project ceases to be used as supportive housing in accordance with the provisions of this subtitle. Recipients and project sponsors shall be required to repay 100 percent of the advance if the project is used as supportive housing for fewer than 10 years following initial occupancy. If the project is used as supportive housing for more than 10 years, the percentage of the amount that shall be required to be repaid shall be reduced by 10 percentage points for each year in excess of 10 that the property is used as supportive housing. A project may continue to be treated as supportive housing for purposes of this subsection if the Secretary determines that such project is no longer needed for use as supportive housing and approves the use of such project for the direct benefit of lower income persons. (c) Prevention of Undue Benefits.— Upon any sale or other disposition of a project acquired or rehabilitated with assistance under this subtitle prior to the close of 20 years after the project is placed in service, other than a sale or other disposition resulting in the use of the project for the direct benefit of lower income persons or where all of the proceeds are used to provide supportive housing, the recipient shall comply with such terms and conditions as the Secretary may prescribe to prevent the recipient from unduly benefiting from the sale or other disposition of the project.