; (C) the number of overcrowded housing units in the geographic area represented by the collaborative applicant; (D) the number of unsheltered homeless individuals and the number of chronically homeless individuals; and (E) any other factors that the Secretary considers appropriate. (3) Grants For each fiscal year for which amounts are made available under subsection (a), the Secretary shall make a grant to each collaborative applicant for which an amount is allocated pursuant to application of the formula established pursuant to paragraph (2) of this subsection in an amount that is equal to the formula amount determined for such collaborative applicant. (4) Timing (A) Formula to be devised swiftly The funding formula required under paragraph (2) shall be established not later than 60 days after the date of enactment of this section. (B) Distribution Amounts appropriated or otherwise made available under this section shall be distributed according to the funding formula established pursuant to paragraph (2) not later than 30 days after the establishment of such formula. (c) Use of grants (1) In general Subject to paragraphs (2) through (4), a collaborative applicant that receives a grant under this section may use such grant amounts only for eligible activities under section 415, 423, or 441(b). (2) Permanent supportive housing requirement (A) Requirement Except as provided in subparagraph (B), each collaborative applicant that receives a grant under this section shall use not less than 75 percent of such grant amount for permanent supportive housing, including capital costs, rental subsidies, and services. (B) Exemption The Secretary shall exempt a collaborative applicant from the applicability of the requirement under subparagraph (A) if the applicant demonstrates, in accordance with such standards and procedures as the Secretary shall establish, that— (i) chronic homelessness has been functionally eliminated in the geographic area served by the applicant