; and (B) expend 100 percent of such grant amounts within 3 years of such date. (2) Reallocation after 2 years The Secretary may recapture any amounts not obligated in compliance with paragraph (1)(A) and reallocate such amounts to grantees in compliance with the formula referred to in subsection (h)(1)(A). (3) Rescission and reallocation of funds Any amounts made available pursuant to subsection (a) that are not expended by a grantee to provide assistance in accordance with this section by the deadline under paragraph (1)(B) shall be reallocated by the Secretary as follows: (A) 65 percent shall be transferred and credited to the Housing Trust Fund established under section 1338 of the Federal Housing Enterprises Financial Safety and Soundness Act of 1992 ( 12 U.S.C. 4568 ). (B) 35 percent shall be transferred or credited to the Capital Magnet Fund established under section 1339 of the Federal Housing Enterprises Financial Safety and Soundness Act of 1992 ( 12 U.S.C. 4569 ). (e) Rent restrictions (1) Inapplicability Section 576.106(d) of title 24, Code of Federal Regulations, shall not apply with respect to homelessness prevention assistance made available with amounts made available under subsection (a). (2) Amount of rental assistance In providing homelessness prevention assistance with amounts made available under subsection (a), the maximum amount of rental assistance that may be provided shall be the greater of— (A) 120 percent of the higher of— (i) the Fair Market Rent established by the Secretary for the metropolitan area or county; or (ii) the applicable Small Area Fair Market Rent established by the Secretary