The Secretary shall carry out a program under which the Secretary shall provide case management services to improve the retention of housing by veterans who were previously homeless and are transitioning to permanent housing and veterans who are at risk of becoming homeless.

In giving priority under subparagraph (A), the Secretary shall give extra priority to an organization described in such subparagraph that—

(1) The Secretary shall carry out the program through the award of grants.

In giving priority under subparagraph (A), the Secretary shall give extra priority to an organization described in such subparagraph that—

(A) In awarding grants under paragraph (1), the Secretary shall give priority to organizations that demonstrate a capability to provide case management services as described in subsection (a), particularly organizations that are successfully providing or have successfully provided transitional housing services using amounts provided by the Secretary under sections 2012 and 2061 of this title.

(B) In giving priority under subparagraph (A), the Secretary shall give extra priority to an organization described in such subparagraph that— (i) voluntarily stops receiving amounts provided by the Secretary under sections 2012 and 2061 of this title; and (ii) converts a facility that the organization used to provide transitional housing services into a facility that the organization uses to provide permanent housing that meets housing quality standards established under section 8(o)(8)(B) of the United States Housing Act of 1937 (42 U.S.C. 1437f(o)(8)(B)).

(C) In any case in which a facility, with respect to which a person received a grant for construction, rehabilitation, or acquisition under section 2011 of this title, is converted as described in subparagraph (B)(ii), such conversion shall be considered to have been carried out pursuant to the needs of the Department and such person shall not be considered in noncompliance with the terms of such grant by reason of such conversion.

(Added Pub. L. 114–315, title VII, § 712(a)(1)(B), Dec. 16, 2016, 130 Stat. 1586.)