Helping More Families Save Act

In this subsection:

The term covered family means an eligible family enrolled in the pilot program established under this subsection.

The term escrow allocation means an account awarded under this subsection for which the awarded eligible entity shall use to create escrow accounts in accordance with paragraph (3).

The Secretary shall establish a pilot program under which the Secretary, through a competitive process, awards escrow allocations to eligible entities to establish and fund escrow accounts in accordance with this subsection.

An eligible entity awarded an escrow allocation under this subsection—

(i) shall establish, on behalf of each covered family, an interest-bearing escrow account and place into the account an amount equal to any increase in the amount of rent paid by the family in accordance with the provisions of section 3 or 8(o), as applicable, that is attributable to increases in earned income by the covered family; and

(ii) notwithstanding any other provision of law, may use funds it controls under section 8 or 9 for purposes of making the escrow deposit for covered families assisted under, or residing in units assisted under, section 8 or 9 of this title, respectively, provided such funds are offset by the increase in the amount of rent paid by the covered family.

The Secretary shall not escrow any amounts for any covered family whose adjusted income exceeds 80 percent of the area median income.

Amounts in an escrow account established for a covered family under this paragraph may be withdrawn by the covered family after the covered family ceases to receive income assistance under Federal or State welfare programs, after 5 years from the date of the establishment of the escrow account, and under other circumstances in which the Secretary determines an exception for good cause is warranted.

Any increase in the earned income of a covered family during the enrollment of the family in the pilot program established under this subsection may not be considered as income or a resource for purposes of eligibility of the family for other benefits, or amount of benefits payable to the family, under any program administered by the Secretary.

An eligible entity seeking an award under this subsection shall submit to the Secretary an application—

(i) at such time, in such manner, and containing such information as the Secretary may require; and

(ii) that includes the number of proposed covered families to be served by the eligible entity under this subsection.

The Secretary shall ensure that eligible entities awarded escrow allocations under this subsection—

(i) are located across various regions of the United States and in both urban and rural areas; and

(ii) vary by size and type, including both public housing agencies and private owners of projects receiving project-based rental assistance under section 8.

An eligible entity receiving an award under this subsection shall—

(A) notify covered families of their enrollment in the pilot program under this subsection;

(B) provide covered families with a detailed description of the pilot program, including how the pilot program will impact their rent and finances; and

(C) provide those covered families with the ability to elect not to participate in the pilot program—

(i) not less than 1 month before the date on which the escrow account is established under paragraph (3); and

(ii) at any point during the duration of the pilot program.

The Secretary shall award not more than 5,000 escrow allocations.

The Secretary shall seek to award escrow allocations to not less than 25 eligible entities.

During the term of participation by a covered family in the pilot program under this subsection, the amount of rent paid by the enrolled family shall be calculated under the rental provisions of section 3 or 8(o), as applicable.

Not later than 18 months after the date of enactment of this subsection, the Secretary shall award escrow allocations.

An eligible entity awarded an escrow allocation under this subsection shall—

(i) not later than 6 months after receiving the escrow allocation, establish escrow accounts under paragraph (3) for covered families; and

(ii) maintain those escrow accounts for not less than 5 years and not more than 7 years after the date on which the escrow account is established.

A covered family shall be able to access funds in an escrow account established under paragraph (3)—

(i) not earlier than the date that is 5 years after, and not later than the date that is 7 years after, the date on which the escrow account is established; or

(ii) on the date the covered family ceases to receive housing assistance under Federal or State programs, if that date is less than 5 years after the date on which the escrow account is established.

Assistance under section 8 or 9 for a family that elects not to participate in the pilot program shall not be delayed by reason of such election.

Housing assistance may not be terminated as a consequence of participating in the pilot program for any period of time.

Not later than 7 years after the date of enactment of this subsection, the Secretary shall conduct a study and submit to the Committee on Banking, Housing, and Urban Affairs of the Senate and the Committee on Financial Services of the House of Representatives a report on outcomes for covered families under the pilot program under this subsection, which shall evaluate the effectiveness of the pilot program in assisting families to achieve economic independence and self-sufficiency, and the impact supportive services, or the lack thereof, had on individual incomes.

The pilot program under this subsection shall terminate on the date that is 10 years after the date of enactment of this subsection.

There is authorized to appropriated to the Secretary for fiscal year 2025 $2,000,000 to carry out this subsection.

Any amounts appropriated under this subsection shall remain available until expended.