((a)) ** Rental rates**

((1)) ** Establishment** Notwithstanding any other provision of law, a tribal health program that operates a hospital or other health facility and the federally owned quarters associated with such a facility pursuant to a contract or compact under the Indian Self-Determination and Education Assistance Act ( et seq.)  may establish the rental rates charged to the occupants of those quarters, on providing notice to the Secretary.25 U.S.C. 4501

((2)) ** Objectives** In establishing rental rates under this subsection, a tribal health program shall attempt—

((A)) to base the rental rates on the reasonable value of the quarters to the occupants of the quarters; and

((B)) to generate sufficient funds to prudently provide for the operation and maintenance of the quarters, and at the discretion of the tribal health program, to supply reserve funds for capital repairs and replacement of the quarters.

((3)) ** Equitable funding** A federally owned quarters the rental rates for which are established by a tribal health program under this subsection shall remain eligible to receive improvement and repair funds to the same extent that all federally owned quarters used to house personnel in programs of the Service are eligible to receive those funds.

((4)) ** Notice of rate change** A tribal health program that establishes a rental rate under this subsection shall provide occupants of the federally owned quarters a notice of any change in the rental rate by not later than the date that is 60 days notice before the effective date of the change.

((5)) ** Rates in Alaska** A rental rate established by a tribal health program under this section for a federally owned quarters in the State of Alaska may be based on the cost of comparable private rental housing in the nearest established community with a year-round population of 1,500 or more individuals.

((b)) ** Direct collection of rent**

((1)) ** In general** Notwithstanding any other provision of law, and subject to paragraph (2), a tribal health program may collect rent directly from Federal employees who occupy federally owned quarters if the tribal health program submits to the Secretary and the employees a notice of the election of the tribal health program to collect rents directly from the employees.

((2)) ** Action by employees** On receipt of a notice described in paragraph (1)—

((A)) the affected Federal employees shall pay rent for occupancy of a federally owned quarters directly to the applicable tribal health program; and

((B)) the Secretary shall not have the authority to collect rent from the employees through payroll deduction or otherwise.

((3)) ** Use of payments** The rent payments under this subsection—

((A)) shall be retained by the applicable tribal health program in a separate account, which shall be used by the tribal health program for the maintenance (including capital repairs and replacement) and operation of the quarters, as the tribal health program determines to be appropriate; and

((B)) shall not be made payable to, or otherwise be deposited with, the United States.

((4)) ** Retrocession of authority** If a tribal health program that elected to collect rent directly under paragraph (1) requests retrocession of the authority of the tribal health program to collect that rent, the retrocession shall take effect on the earlier of—

((A)) the first day of the month that begins not less than 180 days after the tribal health program submits the request; and

((B)) such other date as may be mutually agreed on by the Secretary and the tribal health program.