[United States Statutes at Large, Volume 120, 109th Congress, 2nd Session]
[From the U.S. Government Printing Office, www.gpo.gov]

120 STAT. 1173

Public Law 109-281
109th Congress

An Act


 
To amend the Workforce Investment Act of 1998 to provide for a
YouthBuild program.  NOTE: Sept. 22, 2006 -  [S. 3534]

Be it enacted by the Senate and House of Representatives of the
United States of America in Congress  NOTE: YouthBuild Transfer Act. 29
USC 2801 note.  assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the ``YouthBuild Transfer Act''.

SEC. 2. YOUTHBUILD PROGRAM.

(a) Establishment of YouthBuild Program in the Department of
Labor.--Subtitle D of title I of the Workforce Investment Act of 1998 is
amended by inserting before section 174 (29 U.S.C. 2919) the following
new section:

``SEC. 173A.  NOTE: 29 USC 2918a.  YOUTHBUILD PROGRAM.

``(a) Statement of Purpose.--The purposes of this section are--
``(1) to enable disadvantaged youth to obtain the education
and employment skills necessary to achieve economic self-
sufficiency in occupations in demand and postsecondary education
and training opportunities;
``(2) to provide disadvantaged youth with opportunities for
meaningful work and service to their communities;
``(3) to foster the development of employment and leadership
skills and commitment to community development among youth in
low-income communities; and
``(4) to expand the supply of permanent affordable housing
for homeless individuals and low-income families by utilizing
the energies and talents of disadvantaged youth.

``(b) Definitions.--In this section:
``(1) Adjusted income.--The term `adjusted income' has the
meaning given the term in section 3(b) of the United States
Housing Act of 1937 (42 U.S.C. 1437a(b)).
``(2) Applicant.--The term `applicant' means an eligible
entity that has submitted an application under subsection (c).
``(3) Eligible entity.--The term `eligible entity' means a
public or private nonprofit agency or organization (including a
consortium of such agencies or organizations), including--
``(A) a community-based organization;
``(B) a faith-based organization;
``(C) an entity carrying out activities under this
title, such as a local board;
``(D) a community action agency;
``(E) a State or local housing development agency;

[[Page 1174]]
120 STAT. 1174

``(F) an Indian tribe or other agency primarily
serving Indians;
``(G) a community development corporation;
``(H) a State or local youth service or conservation
corps; and
``(I) any other entity eligible to provide education
or employment training under a Federal program (other
than the program carried out under this section).
``(4) Homeless individual.--The term `homeless individual'
has the meaning given the term in section 103 of the McKinney-
Vento Homeless Assistance Act (42 U.S.C. 11302).
``(5) Housing development agency.--The term `housing
development agency' means any agency of a State or local
government, or any private nonprofit organization, that is
engaged in providing housing for homeless individuals or low-
income families.
``(6) Income.--The term `income' has the meaning given the
term in section 3(b) of the United States Housing Act of 1937
(42 U.S.C. 1437a(b)).
``(7) Indian; indian tribe.--The terms `Indian' and `Indian
tribe' have the meanings given such terms in section 4 of the
Indian Self-Determination and Education Assistance Act (25
U.S.C. 450b).
``(8) Individual of limited english proficiency.--The term
`individual of limited English proficiency' means an eligible
participant under this section who meets the criteria set forth
in section 203(10) of the Adult Education and Family Literacy
Act (20 U.S.C. 9202(10)).
``(9) Low-income family.--The term `low-income family' means
a family described in section 3(b)(2) of the United States
Housing Act of 1937 (42 U.S.C. 1437a(b)(2)).
``(10) Qualified national nonprofit agency.--The term
`qualified national nonprofit agency' means a nonprofit agency
that--
``(A) has significant national experience providing
services consisting of training, information, technical
assistance, and data management to YouthBuild programs
or similar projects; and
``(B) has the capacity to provide those services.
``(11) Registered apprenticeship program.--The term
`registered apprenticeship program' means an apprenticeship
program--
``(A) registered under the Act of August 16, 1937
(commonly known as the `National Apprenticeship Act'; 50
Stat. 664, chapter 663; 20 U.S.C. 50 et seq.); and
``(B) that meets such other criteria as may be
established by the Secretary under this section.
``(12) Transitional housing.--The term `transitional
housing' means housing provided for the purpose of facilitating
the movement of homeless individuals to independent living
within a reasonable amount of time. The term includes housing
primarily designed to serve deinstitutionalized homeless
individuals and other homeless individuals who are individuals
with disabilities or members of families with children.
``(13) Youthbuild program.--The term `YouthBuild program'
means any program that receives assistance under this section
and provides disadvantaged youth with opportunities

[[Page 1175]]
120 STAT. 1175

for employment, education, leadership development, and training
through the rehabilitation or construction of housing for
homeless individuals and low-income families, and of public
facilities.

``(c) YouthBuild Grants.--
``(1) Amounts of grants.--The Secretary is authorized to
make grants to applicants for the purpose of carrying out
YouthBuild programs approved under this section.
``(2) Eligible activities.--An entity that receives a grant
under this subsection shall use the funds made available through
the grant to carry out a YouthBuild program, which may include
the following activities:
``(A) Education and workforce investment activities
including--
``(i) work experience and skills training
(coordinated, to the maximum extent feasible, with
preapprenticeship and registered apprenticeship
programs) in the rehabilitation and construction
activities described in subparagraphs (B) and (C);
``(ii) occupational skills training;
``(iii) other paid and unpaid work
experiences, including internships and job
shadowing;
``(iv) services and activities designed to
meet the educational needs of participants,
including--
``(I) basic skills instruction and
remedial education;
``(II) language instruction
educational programs for individuals
with limited English proficiency;
``(III) secondary education services
and activities, including tutoring,
study skills training, and dropout
prevention activities, designed to lead
to the attainment of a secondary school
diploma, General Education Development
(GED) credential, or other State-
recognized equivalent (including
recognized alternative standards for
individuals with disabilities);
``(IV) counseling and assistance in
obtaining postsecondary education and
required financial aid; and
``(V) alternative secondary school
services;
``(v) counseling services and related
activities, such as comprehensive guidance and
counseling on drug and alcohol abuse and referral;
``(vi) activities designed to develop
employment and leadership skills, which may
include community service and peer-centered
activities encouraging responsibility and other
positive social behaviors, and activities related
to youth policy committees that participate in
decision-making related to the program;
``(vii) supportive services and provision of
need-based stipends necessary to enable
individuals to participate in the program and
supportive services to assist individuals, for a
period not to exceed 12 months after the
completion of training, in obtaining or retaining
employment, or applying for and transitioning to
postsecondary education; and

[[Page 1176]]
120 STAT. 1176

``(viii) job search and assistance.
``(B) Supervision and training for participants in
the rehabilitation or construction of housing, including
residential housing for homeless individuals or low-
income families, or transitional housing for homeless
individuals.
``(C) Supervision and training for participants in
the rehabilitation or construction of community and
other public facilities, except that not more than 10
percent of funds appropriated to carry out this section
may be used for such supervision and training.
``(D) Payment of administrative costs of the
applicant, except that not more than 15 percent of the
amount of assistance provided under this subsection to
the grant recipient may be used for such costs.
``(E) Adult mentoring.
``(F) Provision of wages, stipends, or benefits to
participants in the program.
``(G) Ongoing training and technical assistance that
are related to developing and carrying out the program.
``(H) Follow-up services.
``(3) Application.--
``(A) Form and procedure.--To be qualified to
receive a grant under this subsection, an eligible
entity shall submit an application at such time, in such
manner, and containing such information as the Secretary
may require.
``(B) Minimum requirements.--The Secretary shall
require that the application contain, at a minimum--
``(i) labor market information for the labor
market area where the proposed program will be
implemented, including both current data (as of
the date of submission of the application) and
projections on career opportunities in growing
industries;
``(ii) a request for the grant, specifying the
amount of the grant requested and its proposed
uses;
``(iii) a description of the applicant and a
statement of its qualifications, including a
description of the applicant's relationship with
local boards, one-stop operators, local unions,
entities carrying out registered apprenticeship
programs, other community groups, and employers,
and the applicant's past experience, if any, with
rehabilitation or construction of housing or
public facilities, and with youth education and
employment training programs;
``(iv) a description of the proposed site for
the proposed program;
``(v) a description of the educational and job
training activities, work opportunities,
postsecondary education and training
opportunities, and other services that will be
provided to participants, and how those
activities, opportunities, and services will
prepare youth for employment in occupations in
demand in the labor market area described in
clause (i);
``(vi) a description of the proposed
rehabilitation or construction activities to be
undertaken under the grant and the anticipated
schedule for carrying out such activities;

[[Page 1177]]
120 STAT. 1177

``(vii) a description of the manner in which
eligible youth will be recruited and selected as
participants, including a description of
arrangements that will be made with local boards,
one-stop operators, community- and faith-based
organizations, State educational agencies or local
educational agencies (including agencies of Indian
tribes), public assistance agencies, the courts of
jurisdiction, agencies operating shelters for
homeless individuals and other agencies that serve
youth who are homeless individuals, foster care
agencies, and other appropriate public and private
agencies;
``(viii) a description of the special outreach
efforts that will be undertaken to recruit
eligible young women (including young women with
dependent children) as participants;
``(ix) a description of the specific role of
employers in the proposed program, such as their
role in developing the proposed program and
assisting in service provision and in placement
activities;
``(x) a description of how the proposed
program will be coordinated with other Federal,
State, and local activities and activities
conducted by Indian tribes, such as local
workforce investment activities, vocational
education programs, adult and language instruction
educational programs, activities conducted by
public schools, activities, conducted by community
colleges, national service programs, and other job
training provided with funds available under this
title;
``(xi) assurances that there will be a
sufficient number of adequately trained
supervisory personnel in the proposed program;
``(xii) a description of results to be
achieved with respect to common indicators of
performance for youth and lifelong learning, as
identified by the Secretary;
``(xiii) a description of the applicant's
relationship with local building trade unions
regarding their involvement in training to be
provided through the proposed program, the
relationship of the proposed program to
established registered apprenticeship programs and
employers, and the ability of the applicant to
grant industry-recognized skill certification
through the program;
``(xiv) a description of activities that will
be undertaken to develop the leadership skills of
participants;
``(xv) a detailed budget and a description of
the system of fiscal controls, and auditing and
accountability procedures, that will be used to
ensure fiscal soundness for the proposed program;
``(xvi) a description of the commitments for
any additional resources (in addition to the funds
made available through the grant) to be made
available to the proposed program from--
``(I) the applicant;
``(II) recipients of other Federal,
State or local housing and community
development assistance who will sponsor
any part of the rehabilitation,
construction, operation and maintenance,
or other

[[Page 1178]]
120 STAT. 1178

housing and community development
activities undertaken as part of the
proposed program; or
``(III) entities carrying out other
Federal, State, or local activities or
activities conducted by Indian tribes,
including vocational education programs,
adult and language instruction
educational programs, and job training
provided with funds available under this
title;
``(xvii) information identifying, and a
description of, the financing proposed for any--
``(I) rehabilitation of the property
involved;
``(II) acquisition of the property;
or
``(III) construction of the
property;
``(xviii) information identifying, and a
description of, the entity that will operate and
manage the property;
``(xix) information identifying, and a
description of, the data collection systems to be
used;
``(xx) a certification, by a public official
responsible for the housing strategy for the State
or unit of general local government within which
the proposed program is located, that the proposed
program is consistent with the housing strategy;
and
``(xxi) a certification that the applicant
will comply with the requirements of the Fair
Housing Act (42 U.S.C. 3601 et seq.) and will
affirmatively further fair housing.
``(4) Selection criteria.--For an applicant to be eligible
to receive a grant under this subsection, the applicant and the
applicant's proposed program shall meet such selection criteria
as the Secretary shall establish under this section, which shall
include criteria relating to--
``(A) the qualifications or potential capabilities
of an applicant;
``(B) an applicant's potential for developing a
successful YouthBuild program;
``(C) the need for an applicant's proposed program,
as determined by the degree of economic distress of the
community from which participants would be recruited
(measured by indicators such as poverty, youth
unemployment, and the number of individuals who have
dropped out of secondary school) and of the community in
which the housing and public facilities proposed to be
rehabilitated or constructed is located (measured by
indicators such as incidence of homelessness, shortage
of affordable housing, and poverty);
``(D) the commitment of an applicant to providing
skills training, leadership development, and education
to participants;
``(E) the focus of a proposed program on preparing
youth for occupations in demand or postsecondary
education and training opportunities;
``(F) the extent of an applicant's coordination of
activities to be carried out through the proposed
program with local boards, one-stop operators, and one-
stop partners participating in the operation of the one-
stop delivery

[[Page 1179]]
120 STAT. 1179

system involved, or the extent of the applicant's good
faith efforts in achieving such coordination;
``(G) the extent of the applicant's coordination of
activities with public education, criminal justice,
housing and community development, national service, or
postsecondary education or other systems that relate to
the goals of the proposed program;
``(H) the extent of an applicant's coordination of
activities with employers in the local area involved;
``(I) the extent to which a proposed program
provides for inclusion of tenants who were previously
homeless individuals in the rental housing provided
through the program;
``(J) the commitment of additional resources (in
addition to the funds made available through the grant)
to a proposed program by--
``(i) an applicant;
``(ii) recipients of other Federal, State, or
local housing and community development assistance
who will sponsor any part of the rehabilitation,
construction, operation and maintenance, or other
housing and community development activities
undertaken as part of the proposed program; or
``(iii) entities carrying out other Federal,
State, or local activities or activities conducted
by Indian tribes, including vocational education
programs, adult and language instruction
educational programs, and job training provided
with funds available under this title;
``(K) the applicant's potential to serve different
regions, including rural areas and States that have not
previously received grants for YouthBuild programs; and
``(L) such other factors as the Secretary determines
to be appropriate for purposes of carrying out the
proposed program in an effective and efficient manner.
``(5)  NOTE: Notification. Deadline.  Approval.--To the
extent practicable, the Secretary shall notify each applicant,
not later than 5 months after the date of receipt of the
application by the Secretary, whether the application is
approved or not approved.

``(d) Use of Housing Units.--Residential housing units rehabilitated
or constructed using funds made available under subsection (c) shall be
available solely--
``(1) for rental by, or sale to, homeless individuals or
low-income families; or
``(2) for use as transitional or permanent housing, for the
purpose of assisting in the movement of homeless individuals to
independent living.

``(e) Additional Program Requirements.--
``(1) Eligible participants.--
``(A) In general.--Except as provided in
subparagraph (B), an individual may participate in a
YouthBuild program only if such individual is--
``(i) not less than age 16 and not more than
age 24, on the date of enrollment;
``(ii) a member of a low-income family, a
youth in foster care (including youth aging out of
foster care), a youth offender, a youth who is an
individual with

[[Page 1180]]
120 STAT. 1180

a disability, a child of incarcerated parents, or
a migrant youth; and
``(iii) a school dropout.
``(B) Exception for individuals not meeting income
or educational need requirements.--Not more than 25
percent of the participants in such program may be
individuals who do not meet the requirements of clause
(ii) or (iii) of subparagraph (A), but who--
``(i) are basic skills deficient, despite
attainment of a secondary school diploma, General
Education Development (GED) credential, or other
State-recognized equivalent (including recognized
alternative standards for individuals with
disabilities); or
``(ii) have been referred by a local secondary
school for participation in a YouthBuild program
leading to the attainment of a secondary school
diploma.
``(2) Participation limitation.--An eligible individual
selected for participation in a YouthBuild program shall be
offered full-time participation in the program for a period of
not less than 6 months and not more than 24 months.
``(3) Minimum time devoted to educational services and
activities.--A YouthBuild program receiving assistance under
subsection (c) shall be structured so that participants in the
program are offered--
``(A) education and related services and activities
designed to meet educational needs, such as those
specified in clauses (iv) through (vii) of subsection
(c)(2)(A), during at least 50 percent of the time during
which the participants participate in the program; and
``(B) work and skill development activities such as
those specified in clauses (i), (ii), (iii), and (viii)
of subsection (c)(2)(A), during at least 40 percent of
the time during which the participants participate in
the program.
``(4) Authority restriction.--No provision of this section
may be construed to authorize any agency, officer, or employee
of the United States to exercise any direction, supervision, or
control over the curriculum, program of instruction,
administration, or personnel of any educational institution
(including a school) or school system, or over the selection of
library resources, textbooks, or other printed or published
instructional materials by any educational institution or school
system.
``(5) State and local standards.--All educational programs
and activities supported with funds provided under subsection
(c) shall be consistent with applicable State and local
educational standards. Standards and procedures for the programs
and activities that relate to awarding academic credit for and
certifying educational attainment in such programs and
activities shall be consistent with applicable State and local
educational standards.

``(f) Management and Technical Assistance.--
``(1) Secretary assistance.--The Secretary may enter into
contracts with 1 or more entities to provide assistance to the
Secretary in the management, supervision, and coordination of
the program carried out under this section.
``(2) Technical assistance.--
``(A) Contracts and grants.--The Secretary shall
enter into contracts with or make grants to 1 or more

[[Page 1181]]
120 STAT. 1181

qualified national nonprofit agencies, in order to
provide training, information, technical assistance, and
data management to recipients of grants under subsection
(c).
``(B) Reservation of funds.--Of the amounts
available under subsection (h) to carry out this section
for a fiscal year, the Secretary shall reserve 5 percent
to carry out subparagraph (A).
``(3) Capacity building grants.--
``(A) In general.--In each fiscal year, the
Secretary may use not more than 3 percent of the amounts
available under subsection (h) to award grants to 1 or
more qualified national nonprofit agencies to pay for
the Federal share of the cost of capacity building
activities.
``(B) Federal share.--The Federal share of the cost
described in subparagraph (A) shall be 25 percent. The
non-Federal share shall be provided from private
sources.

``(g) Subgrants and Contracts.--Each recipient of a grant under
subsection (c) to carry out a YouthBuild program shall provide the
services and activities described in this section directly or through
subgrants, contracts, or other arrangements with local educational
agencies, postsecondary educational institutions, State or local housing
development agencies, other public agencies, including agencies of
Indian tribes, or private organizations.
``(h) Authorization of Appropriations.--
``(1) In general.--There are authorized to be appropriated
for each of fiscal years 2007 through 2012 such sums as may be
necessary to carry out this section.
``(2) Fiscal year.--Notwithstanding section 189(g),
appropriations for any fiscal year for programs and activities
carried out under this section shall be available for obligation
only on the basis of a fiscal year.''.

(b) Clerical Amendment.--Section 1(b) of the Workforce Investment
Act of 1998  NOTE: 29 USC 2801 prec. note.  (relating to the table of
contents) is amended by inserting before the item relating to section
174 the following:

``Sec. 173A. YouthBuild program''.

(c) Exception to Program Year Appropriation Cycle Requirement.--
Section 189(g)(1)(A) of the Workforce Investment Act of 1998 (29 U.S.C.
2939(g)(1)(A)) is amended by inserting ``and section 173A'' after
``Except as provided in subparagraph (B)''.
(d) Conforming Amendments.--
(1) Section 3 of the Housing and Urban Development Act of
1968 (12 U.S.C. 1701u) is amended in paragraphs (1)(B)(iii) and
(2)(B) of subsection (c), and paragraphs (1)(B)(iii) and (2)(B)
of subsection (d), by striking ``Youthbuild'' and all that
follows and inserting ``YouthBuild programs receiving assistance
under section 173A of the Workforce Investment Act of 1998.''.
(2) Section 507(b) of the Native American Housing Assistance
and Self-Determination Act of 1996 (25 U.S.C. 4183(b)) is
amended by striking ``subtitle D of title IV of the Cranston-
Gonzalez National Affordable Housing Act,''.
(3) Section 402 of the Cranston-Gonzalez National Affordable
Housing Act (42 U.S.C. 12870) is amended by striking the second
sentence of subsections (a) and (b).

(e) Repeal of Provisions.--Subtitle D of title IV of the Cranston-
Gonzalez National Affordable Housing Act (42 U.S.C. 12899 et seq.) is
repealed.

[[Page 1182]]
120 STAT. 1182

(f)  NOTE: 12 USC 1701u note.  Effective Date.--This section and
the amendments made by this section take effect on the earlier of--
(1) the date of enactment of this Act; and
(2) September 30, 2006.

SEC. 3.  NOTE: 29 USC 2918a note.  TRANSFER OF FUNCTIONS AND SAVINGS
PROVISIONS.

(a) Definitions.--For purposes of this section, unless otherwise
provided or indicated by the context--
(1) the term ``Federal agency'' has the meaning given to the
term ``agency'' by section 551(1) of title 5, United States
Code;
(2) the term ``function'' means any duty, obligation, power,
authority, responsibility, right, privilege, activity, or
program; and
(3) the term ``office'' includes any office, administration,
agency, institute, unit, organizational entity, or component
thereof.

(b) Transfer of Functions.--There are transferred to the Department
of Labor all functions which the Secretary of Housing and Urban
Development exercised before the effective date of this section
(including all related functions of any officer or employee of the
Department of Housing and Urban Development) relating to subtitle D of
title IV of the Cranston-Gonzalez National Affordable Housing Act (42
U.S.C. 12899 et seq.).
(c) Determinations of Certain Functions by the Office of Management
and Budget.--If necessary, the Office of Management and Budget shall
make any determination of the functions that are transferred under
subsection (b).
(d) Personnel Provisions.--
(1) Appointments.--The Secretary of Labor may appoint and
fix the compensation of such officers and employees, including
investigators, attorneys, and administrative law judges, as may
be necessary to carry out the respective functions transferred
under this section. Except as otherwise provided by law, such
officers and employees shall be appointed in accordance with the
civil service laws and their compensation fixed in accordance
with title 5, United States Code.
(2) Experts and consultants.--The Secretary of Labor may
obtain the services of experts and consultants in accordance
with section 3109 of title 5, United States Code, and compensate
such experts and consultants for each day (including traveltime)
at rates not in excess of the rate of pay for level IV of the
Executive Schedule under section 5315 of such title. The
Secretary of Labor may pay experts and consultants who are
serving away from their homes or regular place of business
travel expenses and per diem in lieu of subsistence at rates
authorized by sections 5702 and 5703 of such title for persons
in Government service employed intermittently.

(e) Delegation and Assignment.--Except where otherwise expressly
prohibited by law or otherwise provided by this section, the Secretary
of Labor may delegate any of the functions transferred to the Secretary
of Labor by this section and any function transferred or granted to the
Secretary of Labor after the effective date of this section to such
officers and employees of the Department of Labor as the Secretary of
Labor may designate, and may authorize successive redelegations of such
functions as may be

[[Page 1183]]
120 STAT. 1183

necessary or appropriate. No delegation of functions by the Secretary of
Labor under this subsection or under any other provision of this section
shall relieve the Secretary of Labor of responsibility for the
administration of such functions.
(f) Reorganization.--The Secretary of Labor is authorized to
allocate or reallocate any function transferred under subsection (b)
among the officers of the Department of Labor, and to establish,
consolidate, alter, or discontinue such organizational entities in the
Department of Labor as may be necessary or appropriate.
(g) Rules.--The Secretary of Labor is authorized to prescribe, in
accordance with the provisions of chapters 5 and 6 of title 5, United
States Code, such rules and regulations as the Secretary of Labor
determines necessary or appropriate to administer and manage the
functions of the Department of Labor.
(h) Transfer and Allocations of Appropriations.--Except as otherwise
provided in this section, the assets, liabilities, grants, contracts,
property, records, and unexpended balances of appropriations,
authorizations, allocations, and other funds used, held, arising from,
available to, or to be made available in connection with the functions
transferred by this section, subject to section 1531 of title 31, United
States Code, shall be transferred to the Department of Labor. Unexpended
funds transferred pursuant to this subsection shall be used only for the
purposes for which the funds were originally authorized and
appropriated.
(i) Transfers.--The Director of the Office of Management and Budget,
at such time or times as the Director shall provide, is authorized to
make such determinations as may be necessary with regard to the
functions transferred by this section, and to make such dispositions of
assets, liabilities, grants, contracts, property, records, and
unexpended balances of appropriations, authorizations, allocations, and
other funds used, held, arising from, available to, or to be made
available in connection with such functions, subject to section 1531 of
title 31, United States Code, as may be necessary to carry out the
provisions of this section. The Director of the Office of Management and
Budget shall provide for the termination of the affairs of all entities
terminated by this section and for such further measures and
dispositions as may be necessary to effectuate the purposes of this
section.
(j) Savings Provisions.--
(1) Continuing effect of legal documents.--All orders,
determinations, rules, regulations, permits, agreements, grants,
contracts, certificates, licenses, registrations, privileges,
and other administrative actions--
(A) which have been issued, made, granted, or
allowed to become effective by the President, any
Federal agency or official thereof, or by a court of
competent jurisdiction, in the performance of functions
which are transferred under this section; and
(B) which are in effect at the time this section
takes effect, or were final before the effective date of
this section and are to become effective on or after the
effective date of this section,
shall continue in effect according to their terms until
modified, terminated, superseded, set aside, or revoked in
accordance with law by the President, the Secretary of Labor or
other authorized official, a court of competent jurisdiction, or
by operation of law.

[[Page 1184]]
120 STAT. 1184

(2) Proceedings not affected.--The provisions of this
section shall not affect any proceedings, including notices of
proposed rulemaking, or any application for any license, permit,
certificate, or financial assistance pending before the
Department of Housing and Urban Development at the time this
section takes effect, with respect to functions transferred by
this section but such proceedings and applications shall be
continued. Orders shall be issued in such proceedings, appeals
shall be taken therefrom, and payments shall be made pursuant to
such orders, as if this section had not been enacted, and orders
issued in any such proceedings shall continue in effect until
modified, terminated, superseded, or revoked by a duly
authorized official, by a court of competent jurisdiction, or by
operation of law. Nothing in this paragraph shall be deemed to
prohibit the discontinuance or modification of any such
proceeding under the same terms and conditions and to the same
extent that such proceeding could have been discontinued or
modified if this section had not been enacted.
(3) Suits not affected.--The provisions of this section
shall not affect suits commenced before the effective date of
this section, and in all such suits, proceedings shall be had,
appeals taken, and judgments rendered in the same manner and
with the same effect as if this section had not been enacted.
(4) Nonabatement of actions.--No suit, action, or other
proceeding commenced by or against the Department of Housing and
Urban Development, or by or against any individual in the
official capacity of such individual as an officer of the
Department of Housing and Urban Development, shall abate by
reason of the enactment of this section.
(5) Administrative actions relating to promulgation of
regulations.--Any administrative action relating to the
preparation or promulgation of a regulation by the Department of
Housing and Urban Development relating to a function transferred
under this section may be continued by the Department of Labor
with the same effect as if this section had not been enacted.

(k) Separability.--If a provision of this section or its application
to any person or circumstance is held invalid, neither the remainder of
this section nor the application of the provision to other persons or
circumstances shall be affected.
(l) Transition.--The Secretary of Labor is authorized to utilize--
(1) the services of such officers, employees, and other
personnel of the Department of Housing and Urban Development
with respect to functions transferred to the Department of Labor
by this section; and
(2) funds appropriated to such functions for such period of
time,

as may reasonably be needed to facilitate the orderly implementation of
this section.
(m) Accomplishing Orderly Transfer.--Consistent with the
requirements of this section, the Secretary of Labor and the Secretary
of Housing and Urban Development shall take such actions as the
Secretaries determine are appropriate to accomplish the orderly transfer
of functions as described in subsection (b).
(n) Administration of Prior Grants.--Notwithstanding any other
provision of this Act, grants awarded under subtitle D of

[[Page 1185]]
120 STAT. 1185

title IV of the Cranston-Gonzalez National Affordable Housing Act (42
U.S.C. 12899 et seq.) with funds appropriated for fiscal year 2006 or a
preceding fiscal year shall be subject to the continuing authority of
the Secretary of Housing and Urban Development under the provisions of
such subtitle, as in effect on the day before the date of enactment of
this Act, until the authority to expend applicable funds for the grants,
as specified by the Secretary of Housing and Urban Development, has
expired and the Secretary has completed the administrative
responsibilities associated with the grants.
(o) References.--A reference in any other Federal law, Executive
order, rule, regulation, or delegation of authority, or any document of
or relating to--
(1) the Secretary of Housing and Urban Development with
regard to functions transferred under subsection (b), shall be
deemed to refer to the Secretary of Labor; and
(2) the Department of Housing and Urban Development with
regard to functions transferred under subsection (b), shall be
deemed to refer to the Department of Labor.

(p) Effective Date.--This section takes effect on the earlier of--
(1) the date of enactment of this Act; and
(2) September 30, 2006.

Approved September 22, 2006.

LEGISLATIVE HISTORY--S. 3534:
---------------------------------------------------------------------------

CONGRESSIONAL RECORD, Vol. 152 (2006):
Aug. 3, considered and passed Senate.
Sept. 6, considered and passed House.