text: SECTION 1. SHORT TITLE.
  
      This Act may be cited as the ``Native American Veteran Home Loan 
  Act ''.
  
  SEC. 2. PERMANENT AUTHORITY TO MAKE DIRECT HOUSING LOANS TO NATIVE 
                AMERICAN VETERANS.
  
      (a) Permanent Authority.--Section 3761 of title 38, United States 
  Code, is amended--
              (1) in subsection (a)--
                      (A) by striking ``establish and implement a pilot 
                  program under which the Secretary may'' in the first 
                  sentence; and
                      (B) by striking ``shall establish and implement the 
                  pilot program'' in the third sentence and inserting 
                  ``shall make such loans'';
              (2) in subsection (b), by striking ``In carrying out the 
          pilot program under this subchapter, the'' and inserting 
          ``The''; and
              (3) by striking subsection (c).
      (b) Conforming Amendments.--Section 3762 of such title is amended--
              (1) in subsection (b)(1)(E), by striking ``the pilot 
          program established under this subchapter is implemented'' and 
          inserting ``loans under this subchapter are made'';
              (2) in subsection (c)(1)(B), by striking ``carry out the 
          pilot program under this subchapter in a manner that 
          demonstrates the advisability of making direct housing loans'' 
          in the second sentence and inserting ``make direct housing 
          loans under this subchapter'';
              (3) in subsection (i)--
                      (A) by striking ``the pilot program provided for 
                  under this subchapter and'' in paragraph (1);
                      (B) by striking ``under the pilot program and in 
                  assisting such organizations and veterans in 
                  participating in the pilot program.'' in paragraph 
                  (2)(A) and inserting ``under this subchapter and in 
                  assisting such organizations and veterans with respect 
                  to such housing benefits.''; and
                      (C) by striking ``in participating in the pilot 
                  program.'' in paragraph (2)(E) and inserting ``with 
                  respect to such benefits.'';
              (4) in subsection (j)--
                      (A) in the matter preceding paragraph (1)--
                              (i) by striking ``through 2006''; and
                              (ii) by striking ``the implementation of 
                          the pilot program'' and inserting ``activities 
                          conducted''; and
                      (B) by striking ``pilot program'' each place it 
                  appears in paragraphs (3), (4), and (5) and inserting 
                  ``housing benefits under this subchapter''.
      (c) Establishment of Maximum Amount of Loans.--(1) Subsection 
  (c)(1)(B) of section 3762 of such title is amended--
                      (A) by striking ``(B) The'' and inserting ``(B)(i) 
                  The'';
                      (B) by striking ``The amount'' in the second 
                  sentence and inserting ``Subject to clause (ii), the 
                  amount''; and
                      (C) by adding at the end the following new clause:
      ``(ii) The amount of any increase under clause (i) may not exceed 
  an amount determined by subtracting--
              ``(I) the amount referred to in subparagraph (A), from
              ``(II) the amount of the Freddie Mac conforming loan limit 
          limitation determined under section 305(a)(2) of the Federal 
          Home Loan Mortgage Corporation Act (12 U.S.C. 1454(a)(2)) for a 
          single-family residence, as adjusted for the year involved.''.
      (2) Subsection (j)(1) of such section is amended by inserting 
  ``referred to in subsection (c)(1)(A)'' before the period at the end.
      (d) Technical Amendment.--Subsection (c)(1)(A) of section 3762 of 
  such title is amended by inserting ``veteran'' after ``Native 
  American''.
      (e) Clerical Amendments.--(1) The heading for subchapter V of 
  chapter 37 of such title is amended to read as follows:
  
    ``SUBCHAPTER V--DIRECT HOUSING LOANS FOR NATIVE AMERICAN VETERANS''.
  
      (2) The heading for section 3761 of such title is amended to read 
  as follows:
  ``Sec. 3761. Permanent authority to make direct housing loans to Native 
                American veterans''.
      (3) The table of sections at the beginning of chapter 37 of such 
  title is amended by striking the items relating to subchapter V and 
  section 3761 and inserting the following new items:
  
     ``subchapter v--direct housing loans for native american veterans
  ``3761. Permanent authority to make direct housing loans to Native 
                              American veterans.''.
  
  SEC. 3. EXTENSION OF ELIGIBILITY FOR DIRECT LOANS FOR NATIVE AMERICAN 
                VETERANS TO A VETERAN WHO IS THE SPOUSE OF A NATIVE 
                AMERICAN.
  
      (a) Extension.--Subchapter V of chapter 37 of title 38, United 
  States Code, is amended--
              (1) by redesignating section 3764 as section 3765; and
              (2) by inserting after section 3763 the following new 
          section:
  ``Sec. 3764. Qualified non-Native American veterans
      ``(a) Subject to the succeeding provisions of this section, for 
  purposes of this subchapter, a qualified non-Native American veteran is 
  deemed to be a Native American veteran, except that any reference in 
  this subchapter to the jurisdiction of a tribal organization over a 
  Native American veteran is deemed to be a reference to the Native 
  American spouse of the qualified non-Native American veteran.
      ``(b) In making direct loans under this subchapter to a qualified 
  non-Native American veteran, the Secretary shall ensure that the tribal 
  organization permits, and the qualified non-Native American veteran 
  actually holds, possesses, or purchases, using the proceeds of the 
  loan, jointly with the Native American spouse of the qualified non-
  Native American veteran, a meaningful interest in the lot, dwelling, or 
  both, that is located on trust land.
      ``(c) Nothing in subsection (b) shall be construed as precluding a 
  tribal organization from imposing reasonable restrictions on the right 
  of the qualified non-Native American veteran to convey, assign, or 
  otherwise dispose of such interest in the lot, dwelling, or both if 
  such restrictions are designed to ensure the continuation in trust 
  status of the lot, dwelling, or both. Such requirements may include the 
  termination of the interest of the qualified non-Native American 
  veteran in the lot, dwelling, or both upon the dissolution of the 
  marriage of the qualified non-Native American veteran to the Native 
  American spouse.''.
      (b) Conforming Amendments.--Section 3765 of such title, as 
  redesignated by subsection (a), is amended by adding at the end the 
  following new paragraph:
              ``(5) The term `qualified non-Native American veteran' 
          means a veteran who--
                      ``(A) is the spouse of a Native American, but
                      ``(B) is not a Native American.''.
      (c) Clerical Amendment.--The table of sections at the beginning of 
  chapter 37 of such title is amended by striking the item relating to 
  section 3764 and inserting after the item relating to section 3763 the 
  following new items:
  
  ``3764. Qualified non-Native American veterans.
  ``3765. Definitions.''.
target: Native American Veteran Home Loan Act - Amends Federal veterans law to: (1) convert into a permanent program the pilot program (set to expire after December 31, 2008) under which the Secretary of Veterans Affairs may make direct housing loans to Native American veterans; (2) limit the amount of any increase in the principal amount of any direct housing loan made to a Native American; and (3) extend the eligibility for such direct loans to a non-Native American veteran who is the spouse of a Native American.
feat_title: To amend title 38, United States Code, to make permanent the Native American Veteran Housing Loan Program, and for other purposes.