Eligible activities
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(a) In generalAssistance provided under section 11372 of this title may be used for the following activities:
(1)
The renovation, major rehabilitation, or conversion of buildings to be used as emergency shelters.
(2) The provision of essential services related to emergency shelter or street outreach, including services concerned with employment, health, education, family support services for homeless youth, substance abuse services, victim services, or mental health services, if—
(A)
such essential services have not been provided by the local government during any part of the immediately preceding 12-month period or the Secretary determines that the local government is in a severe financial deficit; or
(B)
the use of assistance under this part would complement the provision of those essential services.