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 PUBLIC LAW 98-180—NOV. 29, 1983 97 STAT. 1137 (g) the term "person" means any individual, group of individ- uals, partnership, corporation, association, cooperative, or any other entity; (h) the term "producer" means any person engaged in the production of milk for commercial use; (i) the term "promotion" means actions such as paid advertis- ing, sales promotion, and publicity to advance the image and sales of and demand for dairy products; (j) the term "research" means studies testing the effectiveness of market development and promotion efforts, studies relating to the nutritional value of milk and dairy products, and other related efforts to expand demand for milk and dairy products; (k) the term "nutrition education" means those activities intended to broaden the understanding of sound nutritional principles including the role of milk and dairy products in a balanced diet; and (1) the term "United States" as used in sections 110 through 117 means the forty-eight contiguous States in the continental United States. ISSUANCE OF ORDERS SEC. 112. (a) During the period beginning with the date of enact- ment of this subtitle and ending thirty days after receipt of a proposal for an initial dairy products promotion and research order, the Secretary shall publish such proposed order and give due notice and opportunity for public comment upon the proposed order. The proposal for an order may be submitted by an organization certified under section 114 of this subtitle or by any interested person affected by the provisions of this subtitle. (b) After notice and opportunity for public comment are given, as provided for in subsection (a) of this section, the Secretary shall issue a dairy products promotion and research order. Such order shall become effective not later than ninety days following publica- tion of the proposal. (c) The Secretary may, from time to time, amend a dairy products promotion and research order. Public comments. 7 USC 4503. REQUIRED TERMS IN ORDERS SEC. 113. Any order issued under this subtitle shall contain terms 7 USC 4504 and conditions as follows: (a) The order shall provide for the establishment and administra- tion of appropriate plans or projects for advertisement and promo- tion of the sale and consumption of dairy products, for research projects related thereto, for nutrition education projects, and for the disbursement of necessary funds for such purposes. Any such plan or project shall be directed toward the sale and marketing or use of dairy products to the end that the marketing and use of dairy products may be encouraged, expanded, improved, or made more acceptable. No such advertising or sales promotion program shall make use of unfair or deceptive acts or practices with respect to the quality, value, or use of any competing product. Go) The order shall provide for the establishment and appointment by the Secretary of a National Dairy Promotion and Research Board that shall consist of not less than thirty-six members. Members of the Board shall be milk producers appointed by the Secretary from National Dairy Promotion and Research Board. Establishment.

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 97 STAT. 1138 PUBLIC LAW 98-180—NOV. 29, 1983 Geographic representation. Executive committee. Powers and duties. Budget approval. Agreements. nominations submitted by eligible organizations certified under sec- tion 114 of this subtitle, or, if the Secretary determines that a substantial number of milk producers are not members of, or their interests are not represented by, any such eligible organization, then from nominations made by such milk producers in the manner authorized by the Secretary. In making such appointments, the Secretary shall take into account, to the extent practicable, the geographical distribution of milk production volume throughout the United States. In determining geographic representation, whole States shall be considered as a unit. A region may be represented by more than one director and a region may be made up of more than one State. The term of appointment to the Board shall be for three years with no member serving more than two consecutive terms, except that initial appointments shall be proportionately for one- year, two-year, and three-year terms. The Board shall appoint from its members an executive committee whose membership shall equally reflect each of the different regions in the United States in which milk is produced. The executive committee shall have such duties and powers as are conferred upon it by the Board. Board members shall serve without compensation, but shall be reimbursed for their reasonable expenses incurred in performing their duties as members of the Board including a per diem allowance as recom- mended by the Board and approved by the Secretary. (c) The order shall define the powers and duties of the Board that shall include only the powers enumerated in this section. These shall include, in addition to the powers set forth elsewhere in this section, the powers to (1) receive and evaluate, or on its own initiative develop, and budget for plans or projects to promote the use of fluid milk and dairy products as well as projects for research and nutrition education and to make recommendations to the Secre- tary regarding such proposals, (2) administer the order in accord- ance with its terms and provisions, (3) make rules and regulations to effectuate the terms and provisions of the order, (4) receive, investi- gate, and report to the Secretary complaints of violations of the order, and (5) recommend to the Secretary amendments to the order. The Board shall solicit, among others, research proposals that would increase the use of fluid milk and dairy products by the military and by persons in developing nations, and that would demonstrate the feasibility of converting surplus nonfat dry milk to casein for domes- tic and export use. (d) The order shall provide that the Board shall develop and submit to the Secretary for approval any promotion, research, or nutrition education plan or project and that any such plan or project must be approved by the Secretary before becoming effective. (e) The order shall require the Board to submit to the Secretary for approval budgets on a fiscal period basis of its anticipated expenses and disbursements in the administration of the order, including projected costs of dairy products promotion and research projects. (f) The order shall provide that the Board, with the approval of the Secretary, may enter into agreements for the development and conduct of the activities authorized under the order as specified in subsection (a) and for the payment of the cost thereof with funds collected through assessments under the order. Any such agreement shall provide that (1) the contracting party shall develop and submit to the Board a plan or project together with a budget or budgets that shall show estimated costs to be incurred for such plan or project, (2)

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 PUBLIC LAW 98-180—NOV. 29, 1983 97 STAT. 1139 the plan or project shall become effective upon the approval of the Secretary, and (3) the contracting party shall keep accurate records of all of its transactions, account for funds received and expended, and make periodic reports to the Board of activities conducted, and such other reports as the Secretary or the Board may require. (g) The order shall provide that each person making payment to a producer for milk produced in the United States and purchased from the producer shall, in the manner as prescribed by the order, collect an assessment based upon the number of hundredweights of milk for commercial usc handled for the account of the producer and remit the assessment to the Board. The assessment shall be used for payment of the expenses in administering the order, with provision for a reasonable reserve, and shall include those adminis- trative costs incurred by the Department after an order has been promulgated under this subtitle. The rate of assessment prescribed by the order shall be 15 cents per hundredweight of milk for commercial usc or the equivalent thereof. A milk producer or the producer's cooperative who can establish that the producer is par- ticipating in active, ongoing qualified State or regional dairy prod- uct promotion or nutrition education programs intended to increase consumption of milk and dairy products generally shall receive credit in determining the assessment due from such producer for contributions to such programs of up to 10 cents per hundredweight of milk marketed or, for the period ending six months after the date of enactment of this Act, up to the aggregate rate in effect on the date of enactment of this Act of such contributions to such programs O^ut not to exceed 15 cents per hundredweight of milk marketed) if such aggregate rate exceeds 10 cents per hundredweight of milk marketed. Any person marketing milk of that person's own produc- tion directly to consumers shall remit the assessment directly to the Board in the manner prescribed by the order. (h) The order shall require the Board to (1) maintain such books and records (which shall be available to the Secretary for inspection and audit) as the Secretary may prescribe, (2) prepare and submit to the Secretary, from time to time, such reports as the Secretary may prescribe, and (3) account for the receipt and disbursement of all funds entrusted to it. (i) The order shall provide that the Board, with the approval of the Secretary, may invest, pending disbursement under a plan or project, funds collected through assessments authorized under this subtitle only in obligations of the United States or any agency thereof, in general obligations of any State or any political subdivi- sion thereof, in any interest-bearing account or certificate of deposit of a bank that is a member of the Federal Reserve System, or in obligations fully guaranteed as to principal and interest by the United States. (j) The order shall prohibit any funds collected by the Board under the order from being used in any manner for the purpose of influencing governmental policy or action except as provided by subsection (c)(5). (k) The order shall require that each person receiving milk from farmers for commercial use, and any person marketing milk of that person's own production directly to consumers, maintain and make available for inspection such books and records as may be required by the order and file reports at the time, in the manner, and having the content prescribed by the order. Such information shall be made available to the Secretary as is appropriate to the administration or Assessments. Records and reports. Investments. Governmental policy, restriction of influence. Records and reports.

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 97 STAT. 1140 PUBLIC LAW 98-180—NOV. 29, 1983 Information, confidentiality. Violations and penalties. enforcement of this subtitle, or any order or regulation issued under this subtitle. All information so obtained shall be kept confidential by all officers and employees of the Department, and only such information so obtained as the Secretary deems relevant may be disclosed by them and then only in a suit or administrative hearing brought at the request of the Secretary, or to which the Secretary or any officer of the United States is a party, and involving the order with reference to which the information to be disclosed was ob- tained. Nothing in this subsection may be deemed to prohibit (1) the issuance of general statements, based upon the reports, of the number of persons subject to an order or statistical data collected therefrom, which statements do not identify the information fur- nished by any person, or (2) the publication, by direction of the Secretary, of the name of any person violating any order, together with a statement of the particular provisions of the order violated by such person. No information obtained under the authority of this subtitle may be made available to any agency or officer of the Federal Government for any purpose other than the implementa- tion of this subtitle and any investigatory or enforcement action necessary for the implementation of this subtitle. Any person violat- ing the provisions of this subsection shall, upon conviction, be subject to a fine of not more than $1,000, or to imprisonment for not more than one year, or both, and, if an officer or employee of the Board or the Department, shall be removed from office. (1) The order shall provide terms and conditions, not inconsistent with the provisions of this subtitle, as necessary to effectuate the provisions of the order. CERTIFICATION OF ORGANIZATIONS 7 USC 4505. SEC. 114. (a) The eligibility of any organization to represent milk producers, and to participate in the making of nominations under section 113 of this subtitle shall be certified by the Secretary. The Secretary shall certify any organization that the Secretary deter- mines meets the eligibility criteria established by the Secretary under this section and the Secretary's determination as to eligibility shall be final. 0?) Certification shall be based, in addition to other available information, on a factual report submitted by the organization, which shall contain information deemed relevant and specified by the Secretary, including, but not limited to, the following: (1) geographic territory covered by the organization's active membership; (2) nature and size of the organization's active membership including the proportion of the total number of active milk producers represented by the organization; (3) evidence of stability and permanencv of the organization; (4) sources from which the organizations operating funds are derived; (5) functions of the organization; and (6) the organization's ability and willingness to further the aims and objectives of this subtitle. The primary considerations in determining the eligibility of an organization shall be whether its membership consists primarily of milk producers who produce a substantial volume of milk and whether the primary or overriding interest of the organization is in the production or processing of fluid milk and dairy products and

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 PUBLIC LAW 98-180—NOV. 29, 1983 promotion of the nutritional attributes of fluid milk and dairy products. REQUIREMENT OF REFERENDUM SEC. 115. (a) Within the sixty-day period immediately preceding September 30, 1985, the Secretary shall conduct a referendum among producers who, during a representative period (as deter- mined by the Secretary), have been engaged in the production of milk for commercial usc for the purpose of ascertaining whether the order then in effect shall be continued. Such order shall be contin- ued only if the Secretary determines that it has been approved by not less than a majority of the producers voting in the referendum, who during a representative period (as determined by the Secretary) have been engaged in the production of milk for commercial use. If continuation of the order is not approved by a majority of the producers voting in the referendum, the Secretary shall terminate collection of assessments under the order within six months after the Secretary determines that such action is favored by a majority of the producers voting in the referendum and shall terminate the order in an orderly manner as soon as practicable after such deter- mination. Qo) The Secretary shall be reimbursed from assessments collected by the Board for any expenses incurred by the Department in connection with the conduct of any referendum under this section and section 116, except for the salaries of Government employees. 97 STAT. 1141 7 USC 4506. Expenses, reimbursement. SUSPENSION AND TERMINATION OF ORDERS SEC. 116. (a) After September 30, 1985, the Secretary shall, when- 7 USC 4507. ever the Secretary finds that any order issued under this subtitle or any provision thereof obstructs or does not tend to effectuate the declared policy of this subtitle, terminate or suspend the operation of such order or such provisions thereof. (b) After September 30, 1985, the Secretary may conduct a referen- Referendum, dum at any time, and shall hold a referendum on request of a representative group comprising 10 per centum or more of the number of producers subject to the order, to determine whether the producers favor the termination or suspension of the order. The Secretary shall suspend or terminate collection of assessments under the order within six months after the Secretary determines that suspension or termination of the order is favored by a majority of the producers voting in the referendum who, during a representa- tive period (as determined by the Secretary), have been engaged in the production of milk for commercial usc and shall terminate the order in an orderly manner as soon as practicable after such determination. (c) The termination or suspension of any order, or any provision thereof, shall not be considered an order within the meaning of this subtitle. COOPERATIVE ASSOCIATION REPRESENTATION SEC. 117. Whenever, under the provisions of this subtitle, the 7 USC 4508. Secretary is required to determine the approval or disapproval of producers, the Secretary shall consider the approval or disapproval by any cooperative association of producers, engaged in a bona fide manner in marketing milk or the products thereof, as the approval

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 97 STAT. 1142 PUBLIC LAW 98-180—NOV. 29, 1983 or disapproval of the producers who are members of or under contract with such cooperative association of producers. If a coopera- tive association of producers elects to vote on behalf of its members, such cooperative association shall provide each producer, on whose behalf the cooperative association is expressing approval or disap- proval, a description of the question presented in the referendum together with a statement of the manner in which the cooperative association intends to cast its vote on behalf of the membership. Such information shall inform the producer of procedures to follow to cast an individual ballot should the producer so choose within the period of time established by the Secretary for casting ballots. Such notification shall be made at least thirty days prior to the referen- dum and shall include an official ballot. The ballots shall be tabu- lated by the Secretary and the vote of the cooperative association shall be adjusted to reflect such individual votes. 7 USC 4509. Hearing. U.S. district courts, jurisdiction. PETITION AND REVIEW SEC. 118. (a) Any person subject to any order issued under this subtitle may file with the Secretary a petition stating that any such order or any provision of such order or any obligation imposed in connection therewith is not in accordance with law and requesting a modification thereof or an exemption therefrom. The petitioner shall thereupon be given an opportunity for a hearing on the petition, in accordance with regulations issued by the Secretary, After such hearing, the Secretary shall make a ruling on the petition, which shall be final if in accordance with law. (b) The district courts of the United States in any district in which such person is an inhabitant or carries on business are hereby vested with jurisdiction to review such ruling, if a complaint for that purpose is filed within twenty days from the date of the entry of such ruling. Service of process in such proceedings may be had on the Secretary by delivering a copy of the complaint to the Secretary. If the court determines that such ruling is not in accordance with law, it shall remand such proceedings to the Secretary with direc- tions either (1) to make such ruling as the court shall determine to be in accordance with law, or (2) to take such further proceedings as, in its opinion, the law requires. 7 USC 4510. Violations and penalties. ENFORCEMENT SEC. 119. (a) The district courts of the United States are vested with jurisdiction specifically to enforce, and to prevent and restrain any person from violating, any order or regulation made or issued under this subtitle. Any civil action authorized to be brought under this subsection shall be referred to the Attorney General for appro- priate action, except that the Secretary is not required to refer to the Attorney General minor violations of this subtitle whenever the Secretary believes that the administration and enforcement of this subtitle would be adequately served by suitable written notice or warning to any person committing such violation. (b) Any person who willfully violates any provision of any order issued by the Secretary under this subtitle shall be assessed a civil penalty by the Secretary of not more than $1,000 for each such violation and, in the case of a willful failure to pay, collect, or remit the assessment as required by the order, in addition to the amount due, a penalty equal to the amount of the assessment on the

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 PUBLIC LAW 98-180—NOV. 29, 1983 97 STAT. 1143 quantity of milk as to which the failure applies. The amount of any such penalty shall accrue to the United States and may be recovered in a civil suit brought by the United States. (c) The remedies provided in subsections (a) and (b) of this section shall be in addition to, and not exclusive of, other remedies that may be available. INVESTIGATIONS; POWER TO SUBPENA AND TAKE OATHS AND AFFIRMATIONS; AID OF COURTS SEC. 120. The Secretary may make such investigations as the 7 USC 4511. Secretary deems necessary for the effective administration of this subtitle or to determine whether any person subject to the provi- sions of this subtitle has engaged or is about to engage in any act that constitutes or will constitute a violation of any provision of this subtitle or of any order, or rule or regulation issued under this subtitle. For the purpose of such investigation, the Secretary may administer oaths and affirmations, subpena witnesses, compel their attendance, take evidence, and require the production of any records that are relevant to the inquiry. Such attendance of witnesses and the production of any such records may be required from any place in the United States. In case of contumacy by, or refusal to obey a subpena to, any person, the Secretary may invoke the aid of any court of the United States within the jurisdiction of which such investigation or proceeding is carried on, or where such person resides or carries on business, in requiring the attendance and testimony of witnesses and the production of records. The court may issue an order requiring such person to appear before the Secretary to produce records or to give testimony touching the matter under investigation. Any failure to obey such order of the court may be punished by such court as a contempt thereof. Process in any such case may be served in the judicial district in which such person is an inhabitant or wherever such person may be found. ADMINISTRATIVE PROVISIONS SEC. 121. (a) Nothing in this subtitle may be construed to preempt 7 USC 4512. or supersede any other program relating to dairy product promotion organized and operated under the laws of the United States or any State. 0)) The provisions of this subtitle applicable to orders shall be applicable to amendments to orders. AUTHORIZATION SEC. 122. There are hereby authorized to be appropriated such 7 USC 4513. funds as are necessary to carry out the provisions of this subtitle. The funds so appropriated shall not be available for payment of the expenses or expenditures of the Board in administering any provi- sions of any order issued under the terms of this subtitle. TITLE II—TOBACCO Tobacco Adjustment Act of 1983. SHORT TITLE SEC. 201. This title may be cited as the "Tobacco Adjustment Act 7 USC 1421 note, of 1983".

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 97 STAT. 1144 PUBLIC LAW 98-180—NOV. 29, 1983 Ante, p. 296. Publication in Federal Register. Public comment. PRICE SUPPORT ADJUSTMENTS SEC. 202. Effective for the 1984 and subsequent crops of tobacco, section 106 of the Agricultural Act of 1949 (7 U.S.C. 1445) is amended by adding at the end thereof the following new subsec- tions: "(f) Notwithstanding the foregoing provisions of this section— "(1) For the 1984 crop of Flue-cured tobacco, the support level shall be the level in cents per pound at which the 1982 crop was supported. "(2) For the 1985 crop of Flue-cured tobacco, the support level shall be the level in cents per pound at which the 1982 crop was supported, plus or minus, respectively, the amount by which (A) the support level for the 1985 crop, as determined under subsec- tion (b), is greater or less than (B) the support level for the 1984 crop, as determined under subsection (b), as that difference may be adjusted by the Secretary under subsection (d) if the support level under clause (A) is greater than the support level under clause (B), except that the support level for the 1985 crop shall be the level in cents per pound at which the 1982 crop was supported if the support level as determined under subsection (b) for the 1985 crop would not be more than 5 per centum greater than the support level as determined under subsection (b) for the 1984 crop. "(3) For the 1984 crop of any kind of tobacco (other than Flue- cured tobacco) for which marketing quotas are in effect or are not disapproved by producers and for the 1985 crop of any kind of tobacco (other than Flue-cured and Burley tobacco) for which marketing quotas are in effect or are not disapproved by pro- ducers, the Secretary shall establish the support level at such level as will not narrow the normal price support differential between Flue-cured tobacco and such other kind of tobacco. Before establishing the support level under this paragraph for any such kind of tobacco the Secretary shall publish in the Federal Register a notice of the level the Secretary proposes to establish and give an opportunity for the public to comment on the proposal. In determining the level to be established under this paragraph for a particular kind of tobacco, the Secretary shall take into consideration the cost of producing such kind of tobacco, the supply and demand conditions for such kind of tobacco, the comments received in response to the public notice of the proposal, and such other relevant factors as the Secretary determines appropriate. "(4) For the 1985 crop of Burley tobacco and for the 1986 and each subsequent crop of any kind of tobacco for which market- ing quotas are in effect or are not disapproved by producers, the support level shall be the level in cents per pound at which the immediately preceding crop was supported (or if the level for that crop was adjusted under subsection (g) the level at which such crop would have been supported without regard to any adjustment under subsection (g)), plus or minus, respectively, the amount by which (A) the support level for the crop for which the determination is being made, as determined under subsection (b), is greater or less than (B) the support level for the immediately preceding crop, as determined under subsec- tion (b), as that difference may be adjusted by the Secretary

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 PUBLIC LAW 98-180—NOV. 29, 1983 97 STAT. 1145 under subsection (d) if the support level under clause (A) is greater than the support level under clause (B). "(g)(1) Except as provided in paragraph (2), notwithstanding the provisions of subsections (d) and (f) and section 403, the Secretary, if requested by the board of directors of the association through which price support for Flue-cured tobacco is made available to producers, may (1) designate for any crop certain grades of Flue-cured tobacco that are eligible for price support (but representing in the aggregate not more than 25 per centum of the total quantity of the Flue-cured tobacco crop that the Secretary estimates will be produced) that the Secretary determines are of such quantity or quality as to impair their marketability, and (2) without regard to the weighted average of the support rates for eligible grades of Flue-cured tobacco deter- mined under the proviso to the first sentence of subsection (d), further reduce the support rates for such grades to the extent the Secretary deems necessary to reflect their market value, but in no event by more than 12 per centum of the respective support rates that would otherwise be established under this section. "(2) Any reduction in the support rates for grades of Flue-cured tobacco under this subsection shall not be considered in determining the support levels for subsequent years.". EUMINATION OF DOUBLE ASSESSMENT; USE OF FUND SEC. 203. Section 106A(d) of the Agricultural Act of 1949 (7 U.S.C. 1445-l(d)) is amended by— (1) in paragraph (2), striking out "and subsequent crops" and inserting in lieu thereof "crop only"; and (2) in paragraph (3), inserting before the semicolon at the end thereof the following: ": Provided, That, notwithstanding any other provision of law, usc by the association of moneys in the Fund, including interest and other earnings, for the purposes of reducing the association's outstanding indebtedness to the Cor- poration associated with 1982 and subsequent crops of quota tobacco and making loan advances to producers is authorized, and use of such moneys for any other purposes that will be mutually beneficial to producers who contribute to the Fund and to the Corporation, shall, if approved by the Secretary, be considered an appropriate use of the Fund". NO NET COST TOBACCO ACCOUNT—FLUE-CURED TOBACCO SEC. 204. Section 106B(a) of the Agricultural Act of 1949 (7 U.S.C. 1445-2(a)) is amended by— (1) in paragraph (1), striking out ", except that the term does not include such an association that has entered into such an agreement to make price support available to producers of Flue- cured tobacco"; and (2) in paragraph (5), striking out "except Flue-cured tobacco". LEASE AND TRANSFER OF FLUE-CURED TOBACCO; FORFEITURE OF ALLOTMENT AND QUOTA SEC. 205. (a) Effective for the 1984 and subsequent crops of tobacco, section 316(a)(l) of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1314b(a)(l)) is amended to read as follows: "(a)(1) Notwithstanding any other provision of law—

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 97 STAT. 1146 PUBLIC LAW 98-180—NOV. 29, 1983 Regulations. Notice; hearing. "(A)(i) The Secretary, ifthe Secretary determines that it will not impair the effective operation of the tobacco marketing quota or price support program, may permit the owner and operator of any farm for which a tobacco acreage allotment (other than a Burley, Flue-cured, dark air-cured. Fire-cured, Virginia sun-cured and cigar-binder, type 54 or 55 tobacco acreage allotment) is estab- lished under this Act to lease and transfer all or any part of such allotment to any other owner or operator of a farm in the same county for usc in such county on a farm having a current tobacco allotment of the same kind. "(ii) The Secretary shall, only with respect to the 1984 through 1986 crops of Flue-cured tobacco, permit the owner of a farm to which a Flue-cured tobacco acreage allotment or quota is assigned under this Act to lease and transfer all or any part of such allotment or quota to any other owner or operator of a farm in the same county for usc in such county on a farm having a current Flue-cured tobacco acreage allotment or quota except that for the 1985 and 1986 crops such lease and transfer shall be permitted only if (except as otherwise provided in paragraph (2)(A)) the parties to the lease file a copy of the lease agreement with the county committee for the county in which the farms are located, together with a written statement certifying that none of the consideration for the lease has been or will be paid to the lessor, either directly or indirectly in any form including a loan by the lessee to the lessor, the endorsement of a note by the lessee for the lessor, or any other similar arrangement which represents the anticipated income for the lease, prior to the marketing of the tobacco produced under the lease and that the lease and transfer is otherwise in compliance with the provisions of this section. Beginning with the 1985 crop, the Secretary shall promulgate regulations establishing, insofar as is reasonably practicable, a similar requirement providing that none of the consideration for the lease of any Flue-cured tobacco acreage allotment and quota may be paid to the lessor prior to the marketing of the tobacco produced under the lease. The Secretary shall also require that any seller of a Flue-cured tobacco allotment and quota grant to the buyer an option to make payment therefore in equal annual installments payable each fall for a period not to exceed five years from the year in which the sale is made. With respect to the 1987 and subsequent crops ofFlue-cured tobacco, the Secretary shall not permit the lease and transfer of Flue-cured tobacco acreage allotments and quotas. "(B) If, after notice and opportunity for a hearing, the county committee determines that the lessee or the lessor of a Flue- cured tobacco acreage allotment or quota knowingly made a false statement in the written statement filed under subpara- graph (A), (i) in the case of a false statement knowingly made by the lessee, the lease agreement for purposes of the Flue-cured tobacco marketing quota program with respect to the lessee's farm shall be considered null and void as of the date approved by the county committee or (ii) in the case of a false statement knowingly made by the lessor, the Flue-cured tobacco allotment and quota next established for the farm of the lessor shall be

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 PUBLIC LAW 98-180—NOV. 29, 1983 97 STAT. 1147 reduced by the percentage which the leased allotment or quota was of the total Flue-cured tobacco allotment or quota for the farm. Notice of any determination made by the county commit- tee under the preceding provision shall be mailed as soon as practicable to the lessee or lessor involved. If the lessee or lessor Review, is dissatisfied with such determination, the lessee or lessor may request, within fifteen days after notice of such determination is mailed, a review of such determination by a local review com- mittee under section 363 of this Act.". 7 USC 1363. (b) Effective for the 1984 and subsequent crops of tobacco, section 317 of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1314c) is amended by inserting at the end thereof the following new subsec- tion: "(k)(1) Notwithstanding any other provision of law, any person who, on or after January 1, 1986, owns a farm for which a Flue- cured tobacco acreage allotment or marketing quota is established under this Act shall, subject to paragraph (2) of this subsection, forfeit such gdlotment or quota after February 15 of any year immediately following the last year of the three-year period immedi- ately preceding the year for which the determination is being made in which Flue-cured tobacco has not been planted or considered planted on such farm during at least two years out of such three- year period. "(2) The allotment or quota specified in paragraph (1) of this subsection shall be forfeited if, after notice and opportunity for a hearing, the appropriate county committee determines that the conditions for forfeiture specified in such paragraph exist. Any allotment or quota so forfeited shall be reallocated by such county committee for usc by active Flue-cured tobacco producers (as defined in section 316(g)(l) of this Act) in the county involved. 7 USC I3i4b. "(3) Notice of any determination made by the county committee under paragraph (2) of this subsection shall be mailed, as soon as practicable, to the person involved. If such person is dissatisfied with Review, such determination, such person may request, within fifteen days after notice of such determination is mailed, a review of such determination by a local review committee under section 363 of this Act.". 7 USC 1363. CONFORMING AMENDMENTS SEC. 206. (a) Effective for the 1984 and subsequent crops of tobacco, section 316(c) of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1314b(c)) is amended by striking out the second through the sixth sentences. (b) Effective for the 1987 and subsequent crops of tobacco, section 316 of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1314b), as amended by subsection (a), is further amended by— (1) in subsection (a), striking out paragraph (2); (2) in subsection (e)(1), striking out "or, in the case of Flue- cured tobacco," and inserting in lieu thereof "or, in the case of the sale of a Flue-cured tobacco acreage allotment or poundage quota,"; and (3) in subsection (g)(2), striking out the second sentence.

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 97 STAT. 1148 PUBLIC LAW 98-180—NOV. 29, 1983 BCANDATORY SALE OF ALLOTMENTS AND QUOTAS BY NON-FARMING ENTITIES SEC. 207. (a) Section 316A(a) of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1314b-l(a)) is amended by— (1) inserting after "individual" the following: ", any partner- ship, any family farm corporation, any trust, estate or similar fiduciary account with respect to which the beneficial interest is in one or more individuals, or any educational institution that uses a Flue-cured acreage allotment or quota for instructional or demonstration purposes"; and (2) striking out "1983" and inserting in lieu thereof "1984". (b) Section 316B(a) of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1314b-2(a)) is amended by- CD striking out clause (2) and inserting in lieu thereof "(2) does not usc the land on the farm for agricultural purposes, or does not usc its Burley marketing quota for educational, in- structional, or demonstration purposes;"; (2) striking out "1983" and inserting in lieu thereof "1984"; and (3) adding at the end thereof the following sentence: "Not- withstanding the forgoing provisions of this subsection, any person to whom this subsection, as in effect prior to the enact- Ante, p. 1143. ment of the Tobacco Adjustment Act of 1983, applies and who— "(A) is required to sell or forfeit the marketing quota by December 1, 1983, because the person was not significantly involved in the management or use of the land for agricul- tural purposes, but "(B) would be eligible to retain the marketing quota under this subsection, as amended by the Tobacco Adjust- ment Act of 1983, may, if the person elects to do so, sell such person's marketing quota if a record of the transfer is filed with the county committee by February 1, 1984. ". FLUE-CURED MARKETING QUOTA ANNOUNCEMENT DATE SEC. 208. Section 317(d) of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1314c(d)) is amended by striking out "December 1" and "February 1" each time they appear in the first and sixth sentences and inserting in lieu thereof "December 15" and "March 1", respectively. RESERVE FOR NEW FLUE-CURED TOBACCO GROWERS; FARM YIELD SEC. 209. (a) The second sentence of section 317(e) of the Agricul- tural Adjustment Act of 1938 (7 U.S.C. 1314c(e)) is amended by— (1) striking out "1 per centum" and inserting in lieu thereof "3 per centum"; and (2) inserting "(except that not less than two-thirds of such reserve shall be for new farms)" immediately before the period at the end thereof. (b) The last sentence of section 317(e) of the Agricultural Adjust- ment Act of 1938 (7 U.S.C. 1314c(e)) is amended by striking out the phrase ", and shall not exceed the community average jdeld".

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Page:United States Statutes at Large Volume 97.djvu/1181

 PUBLIC LAW 98-180—NOV. 29, 1983 97 STAT. 1149 DETERMINATION OF FLUE-CURED TOBACCO PLANTED ACREAGE SEC. 210. Section 317 of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1314c), as amended by section 205 of this Act, is further amended by adding at the end thereof the following new subsection: "(1) The Secretary shall determine the acreage planted to Flue- cured tobacco on each farm whenever an acreage-poundage program for Flue-cured tobacco is in effect under this section.". LIMIT ON THE LEASE OF BURLEY QUOTA; PROHIBITION AGAINST FALL LEASING SEC. 211. Effective for the 1984 and subsequent crops of tobacco, section 319(g) of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1314e(g)) is amended by striking out the third proviso and inserting in lieu thereof the following new provisos: 'Provided further, That not more than fifteen thousand pounds of Burley tobacco quota may be leased and transferred to any farm under this section: Provided further, That a lea^e and transfer of Burley tobacco quota shall not be effective for any crop year unless a record of the transfer is filed with the county committee not later than July 1 of that crop year:". COMBINATION OF FARMS WITH BURLEY QUOTA SEC. 212. (a) Section 318(b) of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1314d(b)) is amended by inserting "except as provided in section 3790?) of this Act," immediately after "(1)". (b) Section 379 of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1379) is amended by— (1) inserting "(a)" immediately after the section designation; and (2) adding at the end thereof a new subsection as follows: "(b) In any case in which two or more tracts of land are located in contiguous counties in the same State and are owned by the same person, the Secretary shall permit such tracts to be combined as one farm if (1) a Burley tobacco poundage quota is established for one or more of such tracts, and (2) the relevant county committees deter- mine that such tracts will be operated as a single farming unit.". IMPORTED TOBACCO SEC. 213. (a) Notwithstanding any other provision of law— (1) All tobacco offered for importation into the United States, except tobacco described in paragraph (2), shall be inspected, insofar as practicable, for grade and quality as tobacco marketed through a warehouse in the United States is inspected for grade and quality. (2) Cigar tobacco and oriental tobacco (both as provided for in Schedule 1, Part 13, Tariff Schedules of the United States) offered for importation into the United States shall be accompa- nied by a certification by the importer, in such form as the Secretary of Agriculture may prescribe, stating the kind and type of such tobacco, and, in the case of cigar tobacco, that such tobacco will be used solely in the manufacture or production of cigars. (b) The Secretary of Agriculture shall establish grade and quality Standards standards for the purposes of subsection (a)(1) that are, insofar as 7 USC 511r. Inspection. Certification. 19 USC 1202 note.

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Page:United States Statutes at Large Volume 97.djvu/1182

 97 STAT. 1150 PUBLIC LAW 98-180—NOV. 29, 1983 practicable, the same as those applicable to tobacco marketed through a warehouse in the United States. Denial of entry. (c) Any tobacco described in subsection (a)(2) that is not accompa- nied by the certification required by that subsection shall not be permitted entry into the United States. The provisions of section 1001 of title 18, United States Code, shall be applicable with respect to any certification made by an importer under such subsection. Enforcement. (d) The Secretary of Agriculture shall enforce the provisions of subsection (a) at the point of entry of tobacco offered for importation Regulations. into the United States. The Secretary shall by regulation fix and collect from the importer fees and charges for inspection under subsection (a)(1) which shall, as nearly as practicable, cover the costs of such services, including the administrative and supervisory costs customarily included by the Secretary in user fee calculations. The fees and charges, when collected, shall be credited to the current appropriation account that incurs the cost and shall be available without fiscal year limitation to pay the expenses of the Secretary incident to providing services under subsection (a)(l). TITLE m—DAIRY REPORTS AND OTHER PROVISIONS Submittal to congressional committees. 7 USC 4514. California standards, national applicability. Parity formula. Payment limit. DAIRY REPORTS SEC. 301. The Secretary of Agriculture shall submit to the House Committee on Agriculture and the Senate Committee on Agricul- ture, Nutrition, and Forestry the following reports: (1) Not later than July 1, 1984, a report on the effect of applying, nationally, standards similar to the current California standards for fluid milk products in their final consumer form, as they would relate to— (A) consumer acceptance, overall consumer consumption trends, and total per capita consumption; (B) nutritional augmentation, particularly for young and older Americans; (C) implementing improved interagency enforcement of minimum standards to prevent consumer fraud and deception; (D) multiple component pricing for producer milk; (E) reduced Commodity Credit Corporation purchases; (F) consistency of product quality throughout the year and between marketing regions of the United States; and (G) consumer prices. (2) Not later than December 31, 1984, a report on (A) recom- mendations for changes in the application of the parity formula to milk so eis to make the formula more consistent with modern production methods and with special attention to the cost of producing milk as a result of changes in productivity, and (B) the feasibility of imposing a limitation on the total amount of payments and other assistance a producer of milk may receive during a year under section 201(d) of the Agricultural Act of 1949 (7 U.S.C. 1446(d)). (3) Not later than April 15, 1985, a report on the effectiveness of the paid diversion program carried out under section 201(d) of the Agricultural Act of 1949. (4) Not later than July 1, 1985, and July 1 of each year after the date of enactment of this title, an annual report describing activities conducted under the dairy products promotion and

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Page:United States Statutes at Large Volume 97.djvu/1183

 PUBLIC LAW 98-180—NOV. 29, 1983 97 STAT. 1151 research order issued under subtitle B of title I of this Act, and accounting for the receipt and disbursement of all funds re- ceived by the National Dairy Promotion and Research Board under such order including an independent analysis of the effectiveness of the program. Ante, p. 1136. BARTER OF DAIRY AND OTHER COMMODITIES SEC. 302. (a) It is the sense of Congress that the Secretary of Agriculture should exchange or barter, to the maximum extent practicable under the provisions of law specified in subsection 0)), commodities (especially dairy products) owned by the Commodity Credit Corporation for materials, goods, and equipment produced in foreign countries. (b) The provisions of law referred to in subsection (a) are— (1) section 4(h) of the Commodity Credit Corporation Charter Act(15 U.S.C.714b(h)), (2) section 310 of the Agricultural Trade Development and Assistance Act of 1954 (7 U.S.C. 1692), and (3) section 416 of the Agricultural Act of 1949 (7 U.S.C. 1431). 7 USC 1727g note. 7 USC 1727g. "Eligible farmers and rs uichers." EMERGENCY FEED ASSISTANCE SEC. 303. (a) As used in this section— 7 USC 1427 note. (1) the term "damaged corn" means corn that is classified as "Dainaged U.S. No. 4, U.S. No. 5, or U.S. Sample grade under section com." 810.353 of title 7, Code of Federal Regulations; and (2) the term "eligible farmers and ranchers" means farmers and ranchers who are eligible to receive loans under section 321 of the Consolidated Farm and Rural Development Act (7 U.S.C. 1961). (b) To assist eligible farmers and ranchers in areas that have been adversely affected by the drought, hot weather, or related disaster to preserve and maintain foundation herds of livestock and poultry (including their offspring), the Secretary of Agriculture shall make damaged corn held by the Commodity Credit Corporation available to such farmers and ranchers in accordance with section 407 of the Agricultural Act of 1949 (7 U.S.C. 1427). (c) In making damaged corn available to such farmers and ranch- ers under this section, the Secretary shall offer the damaged corn held by the Corporation at a price that is equal to 75 per centum of the current basic county loan rate for such corn in effect under the Agricultural Act of 1949 (or a comparable price if there is no such 7 USC 1421 note, current basic county loan rate). (d) The Secretary shall make damaged corn available for sale, as provided under this section, until September 30, 1984, or the date, as determined by the Secretary, on which any emergency created by the drought, hot weather, or related disaster no longer exists. EGG INDUSTRY MARKETING ORDERS SEC. 304. The Agricultural Adjustment Act (7 U.S.C. 601 et seq.), reenacted with amendments by the Agricultural Marketing Agree- ment Act of 1937, is amended by— 7 USC 674. (1) striking out in the first sentence of section 8c(2) "poultry 7 USC 608c. (but not excepting turkeys), eggs (but not excepting turkey hatching eggs)," and inserting in lieu thereof "poultry (but not

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Page:United States Statutes at Large Volume 97.djvu/1184

 97 STAT. 1152 PUBLIC LAW 98-180—NOV. 29, 1983 excepting turkeys and not excepting poultry which produce commercial eggs),"; and 7 USC 608c. (2) inserting in subsection (I) of section 8c(6) after the word "pecans," and before the word "avocados,", the word "eggs,". SEPARABILITY 7 USC 1421 note. SEC. 305. Except as otherwise provided in this Act, if any provision of this Act or the application thereof to any person or circumstances is held invalid, the validity of the remainder of this Act and of the application of such provision to other persons and circumstances shall not be affected thereby. Approved November 29, 1983. LEGISLATIVE HISTORY—H.R. 3385 (H.R. 4196) (S. 1529): HOUSE REPORTS: No. 98 -289 (Comm. on Agriculture) and No. 98-556 (Comm. of SENATE REPORT No. 98 -163 accompanying S. 1529 (Comm. on Agriculture, Nutri- tion, and Forestry). CONGRESSIONAL RECORD, Vol. 129 (1983): July 18, 19, considered and passed House. Oct. 5, 6, S. 1529 considered in Senate. Oct. 7, H.R. 3385 considered and passed Senate, amended. Nov. 7, 9, H.R. 4196 considered and passed House. Nov. 9, House agreed to Senate amendments with amendments. Nov. 17, Senate agreed to conference report. Nov. 18, House agreed to conference report.

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Page:United States Statutes at Large Volume 97.djvu/1185

 PUBLIC LAW 98-181—NOV. 30, 1983 97 STAT. 1153 Public Law 98-181 98th Congress An Act Making supplemental appropriations for the fiscal year ending September 30, 1984, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled. That the following sums are appropriated, out of any money in the Treasury not otherwise appropriated, to provide supplemental appropriations for the fiscal year ending September 30, 1984, and for other purposes, namely: TITLE I CHAPTER I DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT HOUSING FOR THE ELDERLY OR HANDICAPPED FUND Title I of the Department of Housing and Urban Development- Independent Agencies Appropriation Act, 1984 (Public Law 98-45), is amended by inserting before the period at the end of the para- graph under the heading "Housing for the elderly or handicapped fund" (97 Stat. 219, 220) the following: ": Provided further, That notwithstanding section 202(a)(3) of the Housing Act of 1959, loans made in tiscal year 1984 shall bear an interest rate which does not exceed 9.25 per centum, including the allowance adequate in the judgment of the Secretary to cover administrative costs and prob- able losses under the program". EXECUTIVE OFFICE OF THE PRESIDENT COUNCIL ON ENVIRONMENTAL QUALITY AND OFFICE OF ENVIRONMENTAL QUALITY For an additional amount for the "(Douncil on Environmental Quality and Office of Environmental Quality", $600,000 to conduct a study to consider and define a National Center for Water Resources Research, and a study to define and plan a National Clearinghouse for Water Resources Information. FEDERAL EMERGENCY MANAGEMENT AGENCY SALARIES AND EXPENSES The limitation on spending for official reception and representa- tion allowance for fiscal year 1984 contained in the "Salaries and expenses" appropriation for the Federal Emergency Management Agency in the Department of Housing and Urban Development- Nov. 30, 1983 [H.R. 3959] Supplemental Appropriations Act, 1984. Ante, p. 219. 12 USC ITOlq note. 12 USC 1701q. 11-194 O i5—38:QL3

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Page:United States Statutes at Large Volume 97.djvu/1186

 97 STAT. 1154 PUBLIC LAW 98-181—NOV. 30, 1983 Ante, p. 219. Independent Agencies Appropriation Act, 1984 (Public Law 98-45), is increased from $500 to $2,000. STATE AND LOCAL ASSISTANCE The Department of Housing and Urban Development-Independent Ante, p. 219. Agencies Appropriation Act, 1984, under the account, Federal Emer- gency Management Agency, State and Local Assistance, is amended by adding the following before the period: ": Provided further, That notwithstanding any other provision of law for the fiscal year 1984, $55,000,000 is available for contributions to the States under section 205 of the Federal Civil Defense Act of 1950, as amended (50 U.S.C. App. 2286), for personnel and administrative expenses". EMERGENCY FOOD DISTRIBUTION AND SHELTER PROGRAM For an emergency food distribution and shelter program to be carried out by the Director of the Federal Emergency Management Agency, $30,000,000, such sum to remain available for obligation until March 31, 1984, and to be made available under the following terms and conditions: (1) The Director of the Federal Emergency Management Agency shall, as soon as practicable after the date of the enactment of this Act, constitute a national board for the purpose of determining how the program funds are to be distrib- uted to individual localities. The national board shall consist of seven members. The United Way of America, the Salvation Army, the National Council of Churches, the National Confer- ence of Catholic Charities, the Council of Jewish Federations, Incorporated, the American Red Cross, and the Federal Emer- gency Management Agency shall each designate a representa- tive to sit on the national board. The representative of the Federal Emergency Management Agency shall serve as chair- man of the national board. (2) Each locality designated by the national board to receive funds shall constitute a local board for the purpose of determin- ing how its funds will be distributed. The local board shall consist, to the extent practicable, of representatives of the same organizations as the national board except that the mayor or appropriate head of government will replace the Federal Emer- gency Management Agency member. (3) The Director of the Federal Emergency Managemen. Agency shall award a grant for $30,000,000 to the national board within thirty days after the date of the enactment of this Act for the purpose of providing emergency food and shelter to needy individuals through private voluntary organizations. (4) Eligible private voluntary organizations shall be nonprofit, have a voluntary board, have an accounting system, and prac- tice nondiscrimination. (5) Participation in the program shall be based upon a private voluntary organization's ability to deliver emergency food and shelter to needy individuals and such other factors as are determined by the local boards. (6) Total administrative costs may not exceed 2 percent of the total appropriation. (7) As authorized by the Charter of the Commodity Credit Corporation, the Corporation shall process and distribute sur-

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Page:United States Statutes at Large Volume 97.djvu/1187

 PUBLIC LAW 98-181—NOV. 30, 1983 97 STAT. 1155 plus food owned or to be purchased by the Corporation under the food distribution and emergency shelter program in cooper- ation with the Federal Emergency Management Agency. NATIONAL AERONAUTICS AND SPACE ADMINISTRATION CONSTRUCTION OF FACILITIES For an additional amount for "Construction of facilities", $20,000,000, to remain available until September 30, 1986, for partial funding of the construction of facilities at the John F. Kennedy Space Center for the Solid Rocket Booster assembly and refurbish- ment contractor and for warehousing to be used by the Shuttle processing contractor: Provided, That with the funds appropriated under the "Space flight, control and data communications" account in the 1984 Housing and Urban Development-Independent Agencies Appropriation Act (Public Law 98-45), NASA may enter into a contract with Morton Thiokol, Inc., to amortize the Thiokol Casting Pit Covers over a twelve-year period for a total cost of not to exceed $23,000,000 under the authority granted under Public Law 98-45. VETERANS ADMINISTRATION MEDICAL AND PROSTHETIC RESEARCH For an additional amount for "Medical and prosthetic research", $53,974,000, to remain available until September 30, 1985. Ante, p. 219. VETERANS JOB TRAINING For an additional amount for payment of expenses as authorized by the Emergency Veterans' Job Training Act of 1983 (Public Law 98-77), $75,000,000, to remain available until September 30, 1986. Ante, p. 443. SHORT TITLE AND TABLE OF CONTENTS SECTION 1. (a) Titles I through XI of this Act may be cited as the "Domestic Housing and International Recovery and Financial Sta- bility Act". (b) Titles I through V of this Act may be cited as the "Housing and Urban-Rural Recovery Act of 1983". TABLE OF CONTENTS Sec. 1. Short title and table of contents. TITLE I—COMMUNITY AND NEIGHBORHOOD DEVELOPMENT AND CONSERVATION PART A—COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM Sec. 101. Low and moderate income benefit objective. Sec. 102. Definitions. Sec. 103. Authorization of appropriations. Sec. 104. Statement of activities and review. Sec. 105. Eligible activities. Sec. 106. Allocation and distribution of funds. Sec. 107. Discretionary fund. Sec. 108. Guarantee of loans. Sec. 109. Use of grants to settle outstanding urban renewal loanb. Sec. 110. Transition provisions. Domestic Housing and International Recovery and Fina ncial Stability Act. 12 USC 1701 note. Housing and Urban-Rural Recovery Act of 1983. 12 USC 1701 note.

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Page:United States Statutes at Large Volume 97.djvu/1188

 97 STAT. 1156 PUBLIC LAW 98-181—NOV. 30, 1983 PART B—OTHER PROGRAMS Sec. 121. Urban development action grants. Sec. 122. Urban homesteading. Sec. 123. Neighborhood development demonstration. Sec. 124. Rehabilitation loans. Sec. 125. Neighborhood Reinvestment Corporation. Sec. 126. Repealers. TITLE n—HOUSING ASSISTANCE PROGRAMS Sec. 201. Allocation and use of assisted housing authority. Sec. 202. Increase in single person occupancy limitation. Sec. 203. Priority for housing assistance. Sec. 204. Lease and grievance procedures. Sec. 205. Reporting requirements. Sec. 206. Amendments affecting tenant rents or contributions. Sec. 207. Voucher demonstration. Sec. 208. Renewal of section 8 contracts. Sec. 209. Repeal of new construction authority. Sec. 210. Single room occupancy housing. Sec. 211. Shared housing for the elderly and handicapped. Sec. 212. Pa3Tnents for operation of lower income housing projects. Sec. 213. Income eligibility. Sec. 214. Demolition and disposition of public housing. Sec. 215. Financing limitations. Sec. 216. Emergency shelter program. Sec. 217. Operating assistance for troubled multifamily housing projects. Sec. 218. Section 236 assistance. Sec. 219. Rent supplement program. Sec. 220. Report regarding housing neighborhood strategy area program. Sec. 221. Consideration of utility payments made by tenants in assisted housing. Sec. 222. Public housing child care demonstration program. Sec. 223. Housing for the elderly and handicapped. Sec. 224. Congregate services. Sec. 225. Demonstration project. Sec. 226. Section 235 homeownership assistance. Sec. 227. Pet ownership in assisted rental housing for the elderly or handicappeo TITLE III—RENTAL HOUSING REHABILITATION AND PRODUCTION PROGRAM Sec. 301. Rental rehabilitation and development grants. Sec. 302. Conforming amendments to the Housing and Community Development Act of 1974. Sec. 303. Conforming amendments to the National Housing Act. TITLE IV—PROGRAM AMENDMENTS AND EXTENSIONS PART A—FEDERAL HOUSING ADMINISTRATION MORTGAGEINSURANCE PROGRAMS Subpart 1—General Authorities and Requirements Sec. 401. Extension of mortgage insurance programs. Sec. 402. Amount to be insur^ under the National Housing Act. Sec. 403. Authorization of appropriations to cover losses to the Creneral Insurance Fund. Sec. 404. Elimination of requirement that Federal Housing Administration interest rates be set by law. Sec. 405. Minimum property standards. Sec. 406. Time of payment of mortgage insurance premiums. Sec. 407. Mortgage insurance for American Samoa. Sec. 408. Assignment of section 221(g)(4) mortgages to Government National Mort- gage Association. Sec. 409. Termination of section 221 buy-back provision. Subpart 2—Single-Family Mortgage Insurance Programs Sec. 415. Title I insurance for existing manufactured homes. Sec. 416. Increased title I loan limits for manufactured homes and lots. Sec. 417. Refinancing manufactured homes under title I. Sec. 418. Counseling for persons assisted under temporary mortgage assistance pay ments program. Sec. 419. Cooperative housing. Sec. 420. Mortgage insurance for condominium units.

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 PUBLIC LAW 98-181—NOV. 30, 1983 97 STAT. 1157 Sec. 421. Single-family mortgage insurance on Hawaiian home lands. Sec. 422. Single family mortgage insurance on Indian reservations. Sec. 423. Treatment of Federal Housing Administration single family premiums. Sec. 424. Change in maximum loan-to-value ratio for modestly priced single family homes. Sec. 425. Nonoccupant single family mortgagors. Sec. 426. Payment of claims without acquisition of title. Sec. 427. Structural defects in Veterans' Administration-approved, Federal Housing Administration-insured new homes. Sec. 428. Reinsurance demonstration program. Subpart 3—Multifamily and Other Mortgage Insurance Programs Sec. 431. Discretionary authority to regulate rents or charges. Sec. 432. Removal of refinancing limitations on certain multifamily projects. Sec. 433. Limitation on prepayment of mortgages on multifamily rental housing. Sec. 434. Assumption of loss under multifamily co-insurance. Sec. 435. Mortgage insurance for manufactured home parks for the elderly Sec. 436. Mortgage insurance for public hospitals. Sec. 437. Mortgage insurance for board and care homes. Subpart 4—Insurance of Alternative Mortgage Instruments Sec. 441. Indexed mortgages. Sec. 442. Graduated payment mortgages for multifamily housing. Sec. 443. Adjustable rate mortgages for single family housing. Sec. 444. Shared appreciation mortgages for single family housing. Sec. 445. Shared appreciation mortgages for multifamily housing. Sec. 446. Insurance of mortgages not providing for complete amortization. Sec. 447. Premium charges for insurance of alternative mortgage instruments. Sec. 448. Report on home equity conversion mortgages for the elderly. PART B—FLOOD AND PROPERTY INSURANCE PROGRAMS Sec. 451. Flood insurance. Sec. 452. Crime and riot insurance. Sec. 453. Study of sinkhole insurance. PART C—REGULATORY AND OTHER PROGRAMS Sec. 461. Real estate settlement procedures. Sec. 462. National Institute of Building Sciences. Sec. 463. Solar Energy and Energy Conservation Bank. Sec. 464. Weatherization program. Sec. 465. Counseling. Sec. 466. Research authorization. Sec. 467. National housing partnerships. Sec. 468. Report regarding program changes. Sec. 469. Periodic report on residential mortgage delinquencies and foreclosures. Sec. 470. Public notice and comment regarding Department demonstration pro- grams. Sec. 471. Multifamily mortgage foreclosure. Sec. 472. Alternative mortgage transactions. Sec. 473. Due-on-sale clause prohibitions. Sec. 474. Cancellation of debt owed the Treasury and liquidation of new communi- ties program. PART D—SECONDARY MORTGAGE MARKET PROGRAMS Sec. 481. Amount to be guaranteed under the Government National Mortgage Asso- ciation mortgage-backed securities program. Sec. 482. Government National Mortgage Association commitment extension. Sec. 483. Special assistance and emergency mortgage purchase assistance functions of the Government National Mortgage Association. TITLE V—RURAL HOUSING Sec. 501. Short title. Sec. 502. Definitions. Sec. 503. Section 502 amendments. Sec. 504. Rehabilitation loans. Sec. 505. Technical services and research. Sec. 506. Standards for adequate housing. Sec. 507. General authority of the Secretary. Sec. 508. Amendment to section 511.

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CH. I.] diligence. The irrigation, effected by sluices from the stream just mentioned, and which also turned a powerful mill, was conveniently and effectually managed. We were on the borders of the Tierra Caliente: the agave was not here to be found with its refreshing beverage, the pulque, but, instead, the sugar-cane was luxuriating in the moist soil and hot atmosphere.

The first notice I perceived of the change of climate, was the effect it had upon our poor animals. The mule I rode was a little thick in the wind, and I believe very old; but she was nevertheless a fine animal, and I was surprised to find her, towards three o'clock in the afternoon, after having travelled about twenty miles, come to a stand-still. She was what they here call soleadod, or sun stricken. About two leagues farther on, we halted. One of the soldiers proposed to bleed her for me, and picking up a bit of stick, he cut it with his sword into a sharp point, and thrust it up


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Page:United States Statutes at Large Volume 97.djvu/1190

 97 STAT. 1158 PUBLIC LAW 98-181—NOV. 30, 1983 Sec. 509. Repeal of section 512. Sec. 510. Determination of need for housing under sections 514 and 516. Sec. 511. Authorizations. Sec. 512. Section 515 amendments. Sec. 513. Farm labor housing. Sec. 514. Insured rural housing loans. Sec. 515. Definition of rural area. Sec. 516. Shared housing for the elderly and handicapped. Sec. 517. Rental assistance tenant contribution. Sec. 518. Technical and supervisory assistance. Sec. 519. Condominium housing. Sec. 520. FHA insurance. Sec. 521. Processing of application. Sec. 522. Rural housing preservation grant program. Sec. 523. Miscellaneous. TITLE VI—EXPORT-IMPORT BANK ACT AMENDMENTS OF 1983 Sec. 601. Short title. PART A—EXPORT-IMPORT BANK ACT AMENDMENTS Sec. 611. Extension of the Export-Import Bank Act. Sec. 612. Competitive mandate. Sec. 613. Advisory committee. Sec. 614. Terms of directors. Sec. 615. Report on authority Sec. 616. Exports of services. Sec. 617. Competitive insurance. Sec. 618. Small business needs. Sec. 619. Special facilities in support of United States exports. Sec. 620. Technical amendments. Sec. 621. Capital level of the Bank. Sec. 622. Medium-term financing. Sec. 623. Report to Congress. PART B—MATCHING CREorrs Sec. 631. Matching credits. Sec. 632. Report. Sec. 633. Technical amendment. PART C—TIED AID CREDIT EXPORT SUBSIDIES Sec. 641. Short title. Sec. 642. Statement of purpose. Sec. 643. Negotiating mandate. Sec. 644. Establishment of a tied aid credit program in the United States Export- Import Bank. Sec. 645. Establishment of a tied aid credit program in the Agency for International Development. Sec. 646. Implementation. Sec. 647. Definitions. TITLE VII-MISCELLANEOUS PROVISIONS Sec. 701. Home Mortgage Disclosure Act Amendments. Sec. 702. Members to serve until successors are appointed. Sec. 703. Extension to March 30, 1984. TITLE VIII—INTERNATIONAL MONETARY FUND Sec. 801. Promoting conditions for exchange rate stability. Sec. 802. Quota increase. Sec. 803. Special drawing rights. Sec. 804. Instructions to the United States Executive Director. Sec. 805. Elimination of agricultural export subsidies. Sec. 806. Sustaining economic growth. Sec. 807. Opposing Fund bailouts of banks. Sec. 808. Surplus commodities. Sec. 809. International cooperation. Sec. 810. IMF interest rates. Sec. 811. Borrowing in United States credit markets. Sec. 812. Trade provisions. Sec. 813. Reports to Congress.

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 PUBLIC LAW 98-181—NOV. 30, 1983 97 STAT. 1159 TITLE DC—INTERNATIONAL LENDING SUPERVISION Sec. 901. Short title. Sec. 902. Declaration of policy. Sec. 903. Definitions. Sec. 904. Strengthened supervision of international lending. Sec. 905. Reserves. Sec. 906. Accounting for fees on international loans. Sec. 907. Collection and disclosure of certain intemationed lending data. Sec. 908. Capital adequacy. Sec. 909. Foreign loan evaluations. Sec. 910. General authorities. Sec. 911. GAO audit authority. Sec. 912. Equal representation for the Federal Deposit Insurance Corporation. Sec. 913. Reports. TITLE X—MULTILATERAL DEVELOPMENT BANKS Sec. 1001. Inter-American Development Bank. Sec. 1002. Asian Development Bank. Sec. 1003. African Development Fund. Sec. 1004. Human rights. Sec. 1005. Study. Sec. 1006. Personnel practices. TITLE XI—IMF APPROPRIATION Sec. 1101. IMF appropriation. Sec. 1102. Condition of international financial system. TITLE I—COMMUNITY AND NEIGHBORHOOD DEVELOPMENT AND CONSERVATION PART A—COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM LOW AND MODERATE INCOME BENEFIT OBJECTIVE SEC. 101. (a) Section 101(c) of the Housing and Community Devel- opment Act of 1974 is amended— 42 USC 5301. (1) in the first sentence, by inserting after "title" the follow- ing: "and of the community development program of each grantee under this title"; and (2) in the second sentence, by inserting after the first comma the following: "not less than 51 percent of the aggregate of the Federal assistance provided under section 106 and, if applicable, 42 USC 5306. the funds received as a result of a guarantee under section 108, 42 USC 5308. shall be used for the support of activities that benefit persons of 31 USC 1305. low and moderate income, and", (b) Section 104(b)(3) of such Act is amended— 42 USC 5304. (1) by striking out the first semicolon and inserting in lieu thereof ", and"; and (2) by inserting before the semicolon at the end thereof the following: ", except that the aggregate use of funds received under section 106 and, if applicable, as a result of a guarantee under section 108, during a period specified by the greuitee of not more than 3 years, shall principally benefit persons of low and moderate income in a manner that ensures that not less than 51 percent of such funds are used for activities that benefit such persons during such period". DEFINITIONS SEC. 102. (a) Section 102(a)(4) of the Housing and Community Development Act of 1974 is amended— 42 USC 5302.

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 97 STAT. 1160 PUBLIC LAW 98-181—NOV. 30, 1983 Metropolitan city. Notification. Classification deferral. Urban county. 42 USC 5302. 42 USC 5306. Definitions. 42 USC 5302. Post, p. 1179. 42 USC 1437f. (1) by striking out the semicolon and all that follows through "later'^ and (2) by adding at the end thereof the following new sentences: "In order to permit an orderly transition of each city losing its classification as a metropolitan city by reason of the population data of the 1980 decennial census or revisions in the designation of metropolitan areas or central cities, any city classified as or deemed by law to be a metropolitan city for purposes of assist- ance under any section of this title for fiscal year 1983 shall retain such qualiHcation for purposes of receiving such assist- ance for fiscal years 1984 and 1985. Any unit of general local government that becomes eligible to be classified as a metropoli- tan city for fiscal year 1984 or 1985 while its population is included in an urban county for such fiscal year may, upon submission of written notification to the Secretary, defer its classification as a metropolitan city for all purposes under this title for fiscal years 1984, 1985, and 1986 if such unit of general local government continues to have its population included in such urban county under subsection (d).". (b) Section 102(a)(6) of such Act is amended by striking out the last sentence and inserting in lieu thereof the following new sentences: "In order to permit an orderly transition of each county losing its classification as an urban county by reason of a decrease in popula- tion, any county classified as or deemed to be an urban county under this paragraph for purposes of receiving assistance under any sec- tion of this title for fiscal year 1983 shall retain such qualification for purposes of receiving such assistance for fiscal years 1984 and 1985, or for such longer period covered by a cooperation agreement entered into during fiscal year 1984. Notwithstanding the combined population smiount set forth in clause (B) of the first sentence, a county shall also qualify as an urban county for purposes of assist- ance under section 106 if such county (A) complies with all other requirements set forth in the first sentence; (B) has, according to the most recent available decennial census data, a combined population between 190,000 and 199,999, inclusive; (C) had a population growth rate of not less than 15 percent during the most recent 10-year period measured by applicable censuses; and (D) has submitted data satisfactory to the Secretary that it has a combined population of not less than 200,000.". (c) Section 102(a) of such Act is amended by adding at the end thereof the following new paragraphs: "(20) The terms 'persons of low and moderate income' and 'low- and moderate-income persons' have the meaning given the term 'lower income families' in section 3(b)(2) of the United States Housing Act of 1937. The term 'persons of very low income' has the meaning given the term 'very low-income fami- lies' in such section. For purposes of such terms, the area involved shall be determined in the same manner as such area is determined for purposes of assistance under section 8 of such Act. "(21) The term 'buildings for the general conduct of govern- ment' means city halls, county administrative buildings, State capital or office buildings or other facilities in which the legisla- tive or general administrative affairs of the government are conducted. Such term does not include such facilities as neigh- borhood service centers or special purpose buildings located in low- and moderate-income areas that house various nonlegisla-

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 PUBLIC LAW 98-181—NOV. 30, 1983 97 STAT. 1161 tive functions or services provided by government at decentral- (d) Section 102 of such Act is amended by striking out "Depart- 42 USC 5302. ment of Commerce" each place it appears in paragraphs (3), (4), and (9) of subsection (a) and in subsection (b) and inserting in lieu thereof "Office of Management and Budget". (e) Section 102(b) of such Act is amended by striking out the last sentence. if) The last sentence of section 102(d) of such Act is amended by inserting before the period at the end thereof the following: ", except where the unit of general local government loses the designation of metropolitan city". AUTHORIZATION OF APPROPRIATIONS SEC. 103. Section 103 of the Housing and Community Development Act of 1974 is amended by striking out the second sentence and 42 USC 5303. inserting in lieu thereof the following: "There are authorized to be appropriated for purposes of assistance under sections 106 and 107 COAV^^ ^^^^' not to exceed $3,468,000,000 for each of the fiscal years 1984, 1985, ^^O^- and 1986.". STATEMENT OF ACTIVITIES AND REVIEW SEC. 104. (a) Section 104(a)(l) of the Housing and Community Develpment Act of 1974 is amended by adding at the end thereof the 42 USC 5304. following new sentence: "In all cases, beginning in Hscal year 1984, the statement required in this subsection shall include a description of the use of funds made available under section 106 in fiscal year 42 USC 5306. 1982 and thereafter (or, beginning in fiscal year 1985, such usc since preparation of the last statement prepared pursuant to this subsec- tion) together with an assessment of the relationship of such usc to the community development objectives identified in the statement prepared pursuant to this subsection for such previous fiscal years and to the requirements of section 104(b)(3).". Ante, p. 1159. (b) Section 104(a)(2) of such Act is amended— (1) in the first sentence, by inserting "in a timely manner" after "shall"; (2) in subparagraph (A)— (A) by inserting after "citizens" the following: "or, as appropriate, units of general local government"; and (B) by inserting before the semicolon at the end thereof the following: ", including the estimated amount proposed to be used for activities that will benefit persons of low and moderate income and the plans of the grantee for minimiz- ing displacement of persons as a result of activities assisted with such funds and to assist persons actually displaced as a result of such activities"; (3) by striking out "and" at the end of subparagraph (B); (4) by striking out the period at the end of subparagraph (C) and inserting in lieu thereof a semicolon; (5) by inserting after subparagraph (C) the following new subparagraphs: "(D) provide citizens or, as appropriate, units of general local government with reasonable access to records regarding the past use of funds received under section 106 by the grantee; and 42 USC 5306. "(E) provide citizens or, as appropriate, units of general local government with reasonable notice of, and opportunity to com-

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 97 STAT. 1162 PUBLIC LAW 98-181—NOV. 30, 1983 ment on, any substantial change proposed to be made in the usc 42 USC 5306. of funds received under section 106 from one eligible activity to another."; and (6) by adding at the end thereof the following new sentence: "Any final statement of activities may be modified or amended from time to time by the grantee in accordance with the same procedures required in this paragraph for the preparation and submission of such statement.". 42 USC 5304. (c) Section 104(b) of such Act is amended— (1) by inserting before the semicolon at the end of paragraph (2) the following: ", and the grantee will affirmatively further fair housing"; (2) by striking out "and" at the end of paragraph (3); (3) by redesignating paragraph (4) as paragraph (6); and (4) by inserting after paragraph (3) the following new paragraphs: "(4) it has developed a community development plan, for the period specified by the grantee under paragraph (3), that identi- fies community development and housing needs and specifies both short- and long-term community development objectives that have been developed in accordance with the primary objec- tive and requirements of this title; "(5) the grantee will not attempt to recover any capital costs of public improvements assisted in whole or part under section 42 USC 5306. 106 or with amounts resulting from a guarantee under section 42 USC 5308. 108 by assessing any amount against properties owned and 31 USC 1305. occupied by persons of low and moderate income, including any fee charged or assessment made as a condition of obtaining access to such public improvements, unless (A) funds received under section 106 are used to pay the proportion of such fee or assessment that relates to the capital costs of such public improvements that are financed from revenue sources other than under this title; or (B) for purposes of assessing any amount against properties owned and occupied by persons of low and moderate income who are not persons of very low income, the grantee certifies to the Secretary that it lacks sufficient funds received under section 106 to comply with the requirements of subparagraph (A); and". (d) Section 104(c)(l)(A) of such Act is amended by inserting after "community" the first place it appears the following: "(including the number of vacant and abandoned dwelling units)". (e) Section 104(d) of such Act is amended— (1) by inserting "and evaluation" after "performance" in the first sentence; (2) by inserting "and to the requirements of subsection (b)(3)" after "subsection (a)" in the first sentence; and Report. (3) by inserting after the first sentence the following: "Such report shall also be made available to the citizens in each grantee's jurisdiction in sufficient time to permit such citizens to comment on such report prior to its submission, and in such manner and at such times as the grantee may determine. The grantee's report shall indicate its programmatic accomplish- ments, the nature of and reasons for changes in the grantee's program objectives, indications of how the grantee would change its programs as a result of its experiences, and an evaluation of the extent to which, its funds were used for activities that benefited low- and moderate-income persons. The

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 PUBLIC LAW 98-181—NOV. 30, 1983 97 STAT. 1163 report shall include a summary of any comments received by the grantee from citizens in its jurisdiction respecting its pro- gram. The Secretary shall encourage and assist national associ- ations of grantees eligible under section 106(d)(2)(B), national associations of States, and national associations of units of general local government in nonentitlement areas to develop and recommend to the Secretary, within one year after the effective date of this sentence, uniform recordkeeping, perform- ance reporting, and evaluation reporting, and auditing require- ments for such grantees. States, and units of local government, respectively. Based on the Secretary's approval of these recom- mendations, the Secretary shall establish such requirements for usc by such grantees. States, and units of local government.". (f) The second sentence of section 104(g)(l) of such Act is amended by inserting after "payment" the following: "and substantial dis- bursements from such fund must begin within 180 days after receipt of such payment". (g) Section 104 of such Act is amended by adding at the end thereof the following new subsections: "(i) Notwithstanding any other provision of law, any unit of general local government may retain any program income that is realized from any grant made by the Secretary, or any amount distributed by a State, under section 106 if (1) such income was realized after the initial disbursement of the funds received by such unit of general local government under such section; and (2) such unit of general local government has agreed that while the unit of general local government is participating in a community develop- ment program under this title it will utilize the program income for eligible community development activities in accordance with the provisions of this title. A State may require as a condition of any amount distributed by such State under section 106(d) that a unit of general local government shall pay to such State any such income to be used by such State to fund additional eligible community develop- ment activities, except that such State shall waive such condition to the extent such income is applied to continue the activity from which such income was derived. "(j) Each grantee shall provide for reasonable benefits to any person involuntarily and permanently displaced as a result of the use of assistance received under this title to acquire or substantially rehabilitate property.". Recommenda- tions. 42 USC 5306. Requirements. 42 USC 5304. 42 USC 5306. Payment and waiver. ELIGIBLE ACnVITIES SEC. 105. (a) Section 105(a)(2) of the Housing and Community Development Act of 1974 is amended to read as follows: '(2) the acquisition, construction, reconstruction, or installa- tion (including design features and improvements with respect to such construction, reconstruction, or installation that pro- mote energy efficiency) of public works, facilities (except for buildings for the general conduct of government), and site or other improvements;". (b)(1) Section 105(a)(8) of such Act is amended— (A) by striking out "10" and inserting in lieu thereof "15"; and (B) by inserting before the semicolon at the end thereof the following: "unless such unit of general local government used more than 15 percent of the assistance received under this title 42 USC 5305.

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 97 STAT. 1164 PUBLIC LAW 98-181—NOV. 30, 1983 Ante, p. 13. 42 USC 5305 note. 42 USC 5305. Elderly families. 42 USC 1437a. 42 USC 5306. for fiscal year 1983 for such activities (excluding any assistance received pursuant to Public Law 98-8), in which case such unit of general local government may usc not more than the percent- age or amount of such assistance used for such activities for such fiscal year, whichever method of calculation yields the higher amount". (2) Section 303(b) of the Housing and Community Development Amendments of 1981 is amended by striking out ", 1983, and 1984" and inserting in lieu thereof "and 1983". (c) Section 105(a)(14) of the Housing and Community Development Act of 1974 is amended by inserting after "public facilities" the following: "(except for buildings for the general conduct of government)". (d) Section 105(a)(15) of such Act is amended by inserting the following before the semicolon at the end thereof: ", including grants to neighborhood-based nonprofit organizations, or other pri- vate or public nonprofit organizations, for the purpose of assisting, as part of neighborhood revitalization or other community develop- ment, the development of shared housing opportunities (other than by construction of new facilities) in which elderly families (as de- fined in section 3(b)(3) of the United States Housing Act of 1937) benefit as a result of living in a dwelling in which the facilities are shared with others in a manner that effectively and efficiently meets the housing needs of the residents and thereby reduces their cost of housing". (e) Section 105 of such Act is amended by adding at the end thereof the following new subsection: "(c)(1) In any case in which an assisted activity described in paragraph (14) or (17) of subsection (a) is identified as principally benefiting persons of low and moderate income, such activity shall— "(A) be carried out in a neighborhood consisting predomi- nately of persons of low and moderate income and provide services for such persons; or "(B) involve facilities designed for usc predominately by per- sons of low and moderate income; or "(C) involve employment of persons, a majority of whom are persons of low and moderate income. "(2) In any case in which an assisted activity described in subsec- tion (a) is designed to serve an area generally and is clearly designed to meet identified needs of persons of low and moderate income in such area, such activity shall be considered to principally benefit persons of low and moderate income if (A) not less than 51 percent of the residents of such area are persons of low and moderate income; or (B) in any jurisdiction having no areas meeting the requirements of subparagraph (A), the area served by such activity has a larger proportion of persons of low and moderate income than not less than 75 percent of the other areas in the jurisdiction of the recipient. "(3) Any assisted activity under this title that involves the acquisi- tion or rehabilitation of property to provide housing shall be consid- ered to benefit persons of low and moderate income only to the extent such housing will, upon completion, be occupied by such persons.". ALLOCATION AND DISTRIBUTION OF FUNDS SEC. 106. (a) Section 106(b) of the Housing and Community Devel- opment Act of 1974 is amended by adding at the end thereof the following new paragraph:

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 PUBLIC LAW 98-181—NOV. 30, 1983 97 STAT. 1165 "(6)(A) Where data are available, the amount determined under paragraph (1) for a metropolitan city that has been formed by the consolidation of one or more metropolitan cities with an urban county shall be equal to the sum of the amounts that would have been determined under paragraph (1) for the metropolitan city or cities and the balance of the consolidated government, if such consolidation had not occurred. This paragraph shall apply only to any consolidation that— "(i) included all metropolitan cities that received grants under this section for the fiscal year preceding such consolidation and that were located within the urban county; "(ii) included the entire urban county that received a grant under this section for the fiscal year preceding such consolida- tion; and "(iii) took place on or after January 1, 1983. "(B) The population growth rate of all metropolitan cities referred to in section 102(a)(12) shall be based on the population of (i) metropolitan cities other than consolidated governments the grant for which is determined under this paragraph; and (ii) cities that were metropolitan cities before their incorporation into consolidated governments. For purposes of calculating the entitlement share for the balance of the consolidated government under this paragraph, the entire balance shall be considered to have been an urban county.". (b) Section 106(c)(l)(B) of such Act is amended to read as follows: "(B) in reallocating amounts resulting from an action under section 104(d) or section 111, a city or county against whom any such action was taken in a fiscal year shall be excluded from a calculation of share for purposes of reallocating, in the succeed- ing year, the amounts becoming available as a result of such action; and". (c) Section 106(c) of such Act is amended by adding at the end thereof the following new paragraph: "(3) Notwithstanding the provisions of paragraph (1), the Secre- tary may upon request transfer responsibility to any metropolitan city for the administration of any amounts received, but not obligated, by the urban county in which such city is located if (A) such city was an included unit of general local government in such county prior to the qualification of such city as a metropolitan city; (B) such amounts were designated and received by such county for usc in such city prior to the qualification of such city as a metropoli- tan city; and (C) such city and county agree to such transfer of responsibility for the administration of such amounts.". (d)(1) Section 106(d)(2)(A) of such Act is amended— (A) by striking out "the State" and inserting in lieu thereof "a State that has elected, in such manner and at such time as the Secretary shall prescribe"; and (B) by inserting after clause (ii) the following new sentence: "Any election to distribute funds made after the close of fiscal year 1984 is permanent and final.". (2) Section 106(d)(2)(B) of such Act is amended by striking out "where" and all that follows through the period at the end thereof and inserting in lieu thereof the following: "if the State has not elected to distribute such amounts.". (e) Section 106(d)(2)(C) of such Act is amended by striking out clause (iii) and inserting in lieu thereof the following new clause: Consolidation. 42 USC 5302. 42 USC 5306. Ante, p. 1162. 42 USC 5311. Transfer of responsibility.

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 97 STAT. 1166 PUBLIC LAW 98-181—NOV. 30, 1983 42 USC 5306. Certification. Pajmients. Ante, p. 1162. 42 USC 5311. 42 USC 2000a note. 82 Stat. 73. 42 USC 5304. "(iii) will not refuse to distribute such amounts to any unit of general local government on the basis of the particular eligible activity selected by such unit of general local government to meet its community development needs, except that this clause may not be considered to prevent a State from establishing priorities in distributing such amounts on the basis of the activities selected; and". (f) Section 106(d)(2) of such Act is amended by adding at the end thereof the following new subparagraph: "(D) To receive and distribute amounts allocated under paragraph (1), the Governor of each State shall certify that each unit of general local government to be distributed funds will be required to identify its community development and housing needs, including the needs of low and moderate income persons, and the activities to be under- taken to meet such needs.". (g) The second and third sentences of section 106(d)(3)(A) of such Act are amended to read as follows: "The State shall pay from its own resources all administrative expenses incurred by the State in carrying out its responsibilities under this title, except that from the amounts received for distribution in nonentitlement areeis, the State may deduct an amount to cover such expenses not to exceed the sum of $102,000 plus 50 percent of any such expenses in excess of $100,000. Amounts deducted in excess of $100,000 shall not exceed 2 percent of the amount so received.". (h) Section 106(d)(3) of such Act is amended by striking out subparagraph (C) and inserting in lieu thereof the following: "(C) Any amounts allocated for usc in a State under paragraph (1) that are not received by the State for any fiscal year because of failure to meet the requirements of subsection (a) or (b) of section 104, or that become available as a result of actions against the State under section 104(d) or 111, shall be added to amounts allocated to all States under paragraph (1) for the succeeding fiscal year. "(D) Any amounts allocated for usc in a State under paragraph (1) that become available as a result of actions under section 104(d) or 111 against units of general local government in nonentitlement areas of the State or as a result of the closeout of a grant made by the Secretary under this section in nonentitlement areas of the State shall be added to amounts allocated to the State under para- graph (1) for the fiscal year in which the amounts become so available.". (i) Section 106(d) of such Act is amended by adding at the end thereof the following new paragraphs: "(5) No amount may be distributed by any State or the Secretary under this subsection to any unit of general local government located in a nonentitlement area unless such unit of general local government certifies that— "(A) it will minimize displacement of persons as a result of activities assisted with such amounts; "(B) its program will be conducted and administered in con- formity with Public Law 88-352 and Public Law 90-284, and that it will affirmatively further fair housing; "(C) it will provide for opportunities for citizen participation, hearings, and access to information with respect to its commu- nity development program that are comparable to those required of grantees under section 104(a)(2); and (D) it will not attempt to recover any capital costs of public improvements assisted in whole or part under section 106 or

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 PUBLIC LAW 98-181—NOV. 30, 1983 97 STAT. 1167 with amounts resulting from a guarantee under section 108 by 42 USC 5308. assessing any amount against properties owned and occupied by 31 USC 1305. persons of low and moderate income, including any fee charged or assessment made as a condition of obtaining access to such public improvements, unless (i) funds received under section 106 42 USC 5306. are used to pay the proportion of such fee or assessment that relates to the capital costs of such public improvements that are financed from revenue sources other than under this title; or (ii) for purposes of assessing any amount against properties owned and occupied by persons of low and moderate income who are not persons of very low income, the grantee certifies to the Secretary or such State, as the case may be, that it lacks sufficient funds received under section 106 to comply with the requirements of clause (i). "(6) Any activities conducted with amounts received by a unit of general local government under this subsection shall be subject to the applicable provisions of this title and other Federal law in the same manner and to the same extent as activities conducted with amounts received by a unit of general local government under subsection (a).", (j) Section 106(f) of such Act is amended to read as follows: 42 USC 5306. "(f) If the total amount available for distribution in any fiscal year to metropolitan cities and urban counties under this section is insufficient to provide the amounts to which metropolitan cities and urban counties would be entitled under subsection (b), and funds are not otherwise appropriated to meet the deficiency, the Secretary shall meet the deficiency through a pro rata reduction of all amounts determined under subsection (b). If the total amount avail- able for distribution in any fiscal year to metropolitan cities and urban counties under this section exceeds the amounts to which metropolitan cities and urban counties would be entitled under subsection (b), the Secretary shall distribute the excess through a pro rata increase of all amounts determined under subsection (b).". DISCRETIONARY FUND SEC. 107. (a) Section 107(a) of the Housing and Community Devel- opment Act of 1974 is amended by striking out the first sentence and 42 USC 5307. inserting in lieu thereof the following: "Of the total amount approved in appropriation Acts under section 103 for each of the ^^ USC 5303. fiscal years 1984, 1985, and 1986, not more than $68,200,000 for each such fiscal year may be set aside in a special discretionary fund for grants under subsection (b).". Cb) Section 107(b)(4) of such Act is amended to read as follows: "(4) to States, units of general local government, Indian tribes, or areawide planning organizations for the purpose of providing technical assistance in planning, developing, and administering assistance under this title; to groups designated by such governmental units to assist them in carrying out assistance under this title; to qualified groups for the purpose of assisting more than one such governmental unit to carry out assistance under this title; and to States and units of general local government for implementing special projects otherwise authorized under this title; and the Secretary may also provide technical assistance, directly or through contracts, to such gov- ernmental units and groups; and", (c) Section 107(b) of such Act is amended—

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