Section 1 Short title
This Act may be cited as the “CDBG Grant Return Act of 2014”.
CDBG Grant Return Act of 2014
A BILL
To provide for recipients of community development block grant funds to return such funds to the Treasury of the United States without prejudice, and for other purposes.
Sec. 2 Return of unused grant funds
Section 106 of the Housing and Community Development Act of 1974 (42 U.S.C. 5306) is amended by adding at the end the following new subsection:
“(g) Return of unused grant funds
“(1) Authority—Any metropolitan city, urban county, unit of general local government, Indian tribe, or insular area that directly or indirectly receives amounts pursuant to this section may, at the sole discretion of such entity, return to the Treasury any or all of such amounts, subject to paragraph (2).
“(2) Retention and use of 10 percent of return amount—In returning any amounts pursuant to this subsection, a metropolitan city, urban county, unit of general local government, Indian tribe, or insular area, such city, county unit, tribe, or insular area may retain and use for any purpose, at the discretion of such city, county unit, tribe, or insular area and notwithstanding any other provision of this title, an amount not exceeding 1/10 of the total of such amounts otherwise to be returned.
“(3) Treatment of future grant amounts—Any return of amounts pursuant to this subsection shall not in any manner affect the future eligibility of such entity for grant funds under this title or the amount of such grant funds provided.
“(4) Treatment of returned amounts—Any amounts returned to the Treasury pursuant to this subsection shall be covered into the general fund and shall not be reallocated, redistributed, or otherwise made available under this title.”