Land acquisition and construction

(a) Definitions In this section— (1) the term at risk of homelessness has the meaning given the term in section 401(1) of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11360), except that 50 percent shall be substituted for 30 percent in subparagraph (A) of that section; (2) the terms extremely low-income and very low-income have the meanings given those terms in section 1303 of the Federal Housing Enterprises Financial Safety and Soundness Act of 1992 (12 U.S.C. 4502); (3) the term homeless means an individual or family who is— (A) living in a place not meant for human habitation or in an emergency shelter; (B) living in transitional housing for homeless persons and was homeless before entering transitional housing or an emergency shelter; (C) fleeing domestic violence; or (D) at risk of homelessness; and (4) the term Secretary means the Secretary of Housing and Urban Development. (b) Authorization of appropriations (1) In general There is authorized to be appropriated to the Housing Trust Fund established under section 1338 of the Federal Housing Enterprises Financial Safety and Soundness Act of 1992 (12 U.S.C. 4568) $10,000,000,000 for each of fiscal years 2026 through 2036 for allocation to States in accordance with subsection (c) of such section 1338, subject to subsections (c) through (f) of this section. (2) Administrative needs of States (A) Authorization of appropriations There is authorized to be appropriated to the Secretary $65,000,000 for each of fiscal years 2026 through 2031 for the administrative needs of States under this section, in accordance with subparagraph (C). (B) Allocation Of amounts authorized to be appropriated under subparagraph (A) for each fiscal year— (i) $15,000,000 shall be allocated to the Commonwealth of the Northern Mariana Islands, Guam, American Samoa, and the Virgin Islands; and (ii) the remainder shall be allocated to States pursuant to the formula established under paragraph (22)(E)(ii) of section 8(o) of the United States Housing Act of 1937 (42 U.S.C. 1437f(o)), as added by section 101 of this Act. (C) Eligible activities A State that receives funds authorized to be appropriated under subparagraph (A) may only use the funds for capacity-related investments that are necessary for the State to successfully allocate funds made available under paragraph (1) of this subsection. (D) Prohibition None of the funds made available under this paragraph may be used to provide raises or bonuses to any official of the executive branch of a State. (c) Revision of funding formula (1) In general Not later than 1 year after the date of enactment of this Act, the Secretary shall report to Congress proposed changes to the funding formula under section 1338(c)(3) of the Federal Housing Enterprises Financial Safety and Soundness Act of 1992 (12 U.S.C. 4568(c)(3)) in order to ensure that the funding formula takes into account the economic status of the people of the United States. (2) Contents The revised formula proposed under paragraph (1) shall address the following concerns: (A) The impacts of differing vacancy rates across various housing markets in the United States. (B) The rate of unsheltered homelessness in various housing markets across the United States. (C) The impact of differing rates of poverty and extreme poverty across various States. (D) The gap between demand for and supply of rental units that are affordable and available to very low-income and extremely low-income renters in a State. (d) Eligible households Housing that is assisted using amounts made available under subsection (b) may only be used for the benefit of very low-income or extremely low-income households. (e) Eligible activities A recipient of funds authorized under subsection (b)— (1) may only use the funds for land acquisition and the acquisition, rehabilitation, or development of rental housing that is affordable for very low-income or extremely low-income households; and (2) shall take all possible measures to expedite construction of housing described in paragraph (1). (f) Priority for occupancy in dwelling units (1) First 2 fiscal years During the first 2 fiscal years for which amounts are made available to carry out this section, the Secretary shall ensure that priority for occupancy in a dwelling unit that receives assistance under this section is given to a homeless family or homeless youth. (2) Subsequent 3 fiscal years During the third, fourth, and fifth fiscal years for which amounts are made available to carry out this section, the Secretary shall ensure that priority for occupancy in a dwelling unit that receives assistance under this section is given to a homeless family or homeless individual.