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83 STAT. 378

80 Stat. 132. Report to Congress.

TITLE III-SMALL BUSINESS ADMINISTRATION
ACTIVITY

SEC. 301. The Small Business Administration shall promptly increase the level of its financing functions utilizing the business loan and investment fund established under section 4(c) (1) (B) of the Small Business Act (15 U.S.C. 633 (c) (1) (B)) by $70,000,000 above the level prevailing at the time of enactment of this Act. The Small Business Administration shall submit to Congress a monthly report of its implementation of this section.

Approved December 23, 1969.

LEGISLATIVE HISTORY:

HOUSE REPORTS: No. 91-755 accompanying H. R. 15091 (Comm. on
Banking & Currency) and No. 91-769 (Comm. of
Conference).

SENATE REPORT No. 91-516 (Comm. on Banking & Currency).
CONGRESSIONAL RECORD, Vol. 115 (1969):

Nov. 12, 13: Considered and passed Senate.

Dec. 17: Considered and passed House, amended, in lieu of
H. R. 15091.

Dec. 19: Senate and House agreed to conference report.

54-544 O 71 vol. II 13

91st Congress, S. 2864
December 24, 1969

An Act

To amend and extend laws relating to housing and urban development, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the "Housing and Urban Development Act of 1969". SEC. 2. Section 305 (g) of the National Housing Act is amended(1) by striking out "$1,000,000,000" and inserting in lieu thereof "$2,500,000,000";

(2) by inserting "at par" immediately after "and to purchase"; and

(3) by striking out "$15,000", "$17,500", and "$22,500" and inserting in lieu thereof "$17,500", "$20,000", and "$25,000", respectively.

TITLE I-MORTGAGE CREDIT

EXTENSION OF PROGRAMS

SEC. 101. (a) Section 2(a) of the National Housing Act is amended by striking out "January 1, 1970" in the first sentence and inserting in lieu thereof "October 1, 1970".

(b) Section 217 of such Act is amended

(1) by striking out "title VIII, or title X" and inserting in lieu thereof "section 235, section 236, title VIII, title X, or title XI"; and

by striking out "January 1, 1970" and inserting in lieu thereof "October 1, 1970".

(c) Section 221(f) of such Act is amended by striking out "January 1, 1970" in the fifth sentence and inserting in lieu thereof "October 1, 1970".

(d) Section 235 of such Act is amended by adding at the end thereof the following new subsection:

"(m) No mortgage shall be insured under this section after October 1, 1971, except pursuant to a commitment to insure before that date." (e) Section 236 of such Act is amended by adding at the end thereof the following new subsection:

"(n) No mortgage shall be insured under this section after October 1, 1971, except pursuant to a commitment to insure before that date." (f) Section 809 (f) of such Act is amended by striking out "January 1, 1970" in the second sentence and inserting in lieu thereof "October 1, 1970".

(g) Section 810(k) of such Act is amended by striking out "January 1, 1970" in the second sentence and inserting in lieu thereof "October 1, 1970".

(h) Section 1002 (a) of such Act is amended by striking out "January 1, 1970" in the second sentence and inserting in lieu thereof "October 1, 1970".

(i) Section 1101(a) of such Act is amended by striking out "January 1, 1970" in the second sentence and inserting in lieu thereof "October 1, 1970".

LOWER DOWNPAYMENTS FOR FHA-FINANCED SALES HOUSING

SEC. 102. (a) Section 203(b) (2) of the National Housing Act is amended by striking out "$20,000" each place it appears and inserting in lieu thereof "$25,000".

83 STAT. 379

Housing and
Urban

Development
Act of 1969.
80 Stat. 738.
12 USC 1720.

Ante, p. 125. 12 USC 1703.

79 Stat. 465; Ante, p. 125. 12 USC 1715h.

Ante, p. 125. 12 USC 17151.

82 Stat. 477.

12 USC 1715z.

82 Stat. 498.
12 USC 1715z-1.

Ante, p. 125. 12 USC 1748h-1.

Ante, p. 125. 12 USC 1748h-2.

Ante, p. 125.

12 USC 1749bb.

Ante, p. 125.

12 USC 1749aaa.

75 Stat. 177; 79 Stat. 466. 12 USC 1709.

83 STAT. 380

75 Stat. 179;

80 Stat. 1267. 12 USC 1715k.

79 Stat. 470. 12 USC 1715m.

78 Stat. 780. 12 USC 1715y.

69 Stat. 635. 12 USC 1713.

78 Stat. 774.

53 Stat. 804. 12 USC 1703.

68 Stat. 590.

56 Stat. 305.

55 Stat. 364.

(b) Section 220 (d) (3) (A) (i) of such Act is amended by striking out "$20,000" each place it appears and inserting in lieu thereof “$25,000".

(c) Section 222 (b)(3) of such Act is amended by striking out "$20,000" each place it appears and inserting in lieu thereof "$25,000". (d) Section 234 (c) of such Act is amended by striking out "$20,000" each place it appears and inserting in lieu thereof "$25,000".

MOBILE HOMES

SEC. 103. (a) (1) Section 207(a) of the National Housing Act is amended

(A) by striking out "trailer coach mobile dwellings" in paragraph (1) and inserting in lieu thereof "mobile homes";

(B) by striking out "trailer court or park” in paragraph (6) and inserting in lieu thereof "mobile home court or park"; and

(C) by striking out "trailer coach mobile dwellings" in paragraph (6) and inserting in lieu thereof "mobile homes". (2) Section 207 (c)(3) of such Act is amended by striking out "trailer courts or parks" and inserting in lieu thereof "mobile home courts or parks”.

(b) Section 207 (c)(3) of such Act is amended by striking out "$1,800 per space or $500,000 per mortgage" and inserting in lieu thereof "$2,500 per space or $1,000,000 per mortgage".

(c) Section 2 of such Act is amended

(1) by inserting "(i)" after the words "for the purpose of" in the first sentence of subsection (a);

(2) by inserting "; and for the purpose of (ii) financing the purchase of a mobile home to be used by the owner as his principal residence" before the period at the end of the first sentence of subsection (a);

(3) by inserting "(other than mobile homes)" after "new residential structures" in clause (1) of subparagraph (iii) of the second paragraph of subsection (a);

(4) by inserting the following new sentence at the end of subsection (a): "The Secretary is hereby authorized and directed, with respect to mobile homes to be financed under this section, to (i) prescribe minimum property standards to assure the livability and durability of the mobile home and the suitability of the site on which the mobile home is to be located; and (ii) obtain assurances from the borrower that the mobile home will be placed on a site which complies with the standards prescribed by the Secretary and with local zoning and other applicable local requirements.";

(5) by inserting ", except that an obligation financing the purchase of a mobile home may be in an amount not exceeding $10,000" before the semicolon at the end of clause (1) in the first sentence of subsection (b);

(6) by inserting ": Provided, That an obligation financing the purchase of a mobile home may have a maturity not in excess of twelve years and thirty-two days" before the semicolon at the end of clause (2) in the first sentence of subsection (b); and

(7) by striking out "real property" each place it appears in subsection (c) (2) and inserting in lieu thereof "real or personal property".

MAXIMUM MORTGAGE AMOUNT UNDER SECTION 220 MULTIFAMILY
HOUSING PROGRAM

SEC. 104. Section 220 (d) (3) (B) (i) of the National Housing Act is amended to read as follows:

"(i) not exceed $50,000,000;".

MORTGAGE INSURANCE ON CONDOMINIUM UNITS FOR SERVICEMEN

SEC. 105. Section 222 (b) (1) of the National Housing Act is amended by inserting "or 234 (c)," immediately after "221 (d) (2),”.

ASSISTANCE PAYMENTS UNDER SECTION 235 FOR PURCHASER ASSUMING
MORTGAGE

SEC. 106. (a) Section 235 (c) of the National Housing Act is amended by striking out "subsection (j) (4)" and inserting in lieu thereof "subsection (i) or (j) (4)".

(b) Section 235 (b) (2) of such Act is amended by striking out the first proviso and inserting in lieu thereof the following: ": Provided, That if any cooperative member who has received assistance payments transfers his membership and occupancy rights to another person who satisfies the eligibility requirements prescribed by the Secretary and undertakes the obligation to pay occupancy charges, the new cooperative member may qualify for assistance payments upon the filing of an application with respect to the dwelling unit involved to be occupied by him".

AUTHORIZATION FOR ASSISTANCE PAYMENTS UNDER SECTIONS 235 AND 236

SEC. 107. (a) The second sentence of section 235 (h) of the National Housing Act is amended by striking out "$100,000,000 on July 1, 1969, and by $125,000,000 on July 1, 1970" and inserting in lieu thereof "$125,000,000 on July 1, 1969, by $125,000,000 on July 1, 1970, and by $170,000,000 on July 1, 1971".

(b) The second sentence of section 236 (i) (1) of such Act is amended by striking out "$100,000,000 on July 1, 1969, and by $125,000,000 on July 1, 1970" and inserting in lieu thereof "$125,000.000 on July 1, 1969, by $125,000,000 on July 1, 1970, and by $170,000,000 on July 1, 1971"

INTEREST REDUCTION PAYMENTS UNDER SECTION 236 ON CERTAIN PROJECTS
FINANCED UNDER STATE OR LOCAL HOUSING PROGRAMS

SEC. 108. The proviso in section 236 (b) of the National Housing Act is amended by striking out "with respect to a rental or cooperative housing project" and inserting in lieu thereof "with respect to a mortgage or part thereof on a rental or cooperative housing project".

ASSISTANCE PAYMENTS WITH RESPECT TO EXISTING DWELLINGS
UNDER SECTION 235

SEC. 109. Section 235 (h)(3) of the National Housing Act is amended

(1) by inserting "and" at the end of subparagraph (A); and (2) by striking out subparagraphs (B) and (C) and inserting in lieu thereof the following:

"(B) 30 per centum of the total additional amount of contracts for assistance payments authorized by appropriation Acts to be made prior to July 1, 1971,".

83 STAT. 381

78 Stat. 777. 12 USC 1715k.

78 Stat. 779.

12 USC 1715m.

82 Stat. 477.

12 USC 1715z.

82 Stat. 498.

12 USC 17152-1.

83 STAT. 382

82 Stat. 485.
12 USC 1715z-2.

73 Stat. 663. 12 USC 1715w.

82 Stat. 511.

"Intermediate care facility."

82 Stat. 512.

73 Stat. 663.

78 Stat. 452. 42 USC 291d.

PREFERENCES IN SECTION 237 MORTGAGE INSURANCE PROGRAM

SEC. 110. Section 237 (d) of the National Housing Act is amended-
(1) by inserting "and in providing counseling services" after
"applications"; and

(2) by inserting "(1) to families which are eligible for assistance payments under section 235, and (2)" after "this section".

EXPANSION OF THE FHA NURSING HOME PROGRAM TO INCLUDE
INTERMEDIATE CARE FACILITIES

SEC. 111. Section 232 of the National 'Housing Act is amended-
(1) by striking out subsection (a) and inserting in lieu thereof
the following:

66

(a) The purpose of this section is to assist in the provision of facilities for either of the following purposes or for a combination of such purposes:

"(1) The development of nursing homes for the care and treatment of convalescents and other persons who are not acutely ill and do not need hospital care but who require skilled nursing care and related medical services.

"(2) The development of intermediate care facilities for the care of persons who, while not in need of nursing home care and treatment, nevertheless are unable to live fully independently and who are in need of minimum but continuous care provided by licensed or trained personnel.";

(2) by striking out "and" at the end of paragraph (1) of subsection (b);

(3) by redesignating paragraph (2) of subsection (b) as paragraph (3) and inserting after paragraph (1) of such subsection the following new paragraph:

"(2) the term 'intermediate care facility' means a proprietary facility or facility of a private nonprofit corporation or association licensed or regulated by the State (or, if there is no State law providing for such licensing and regulation by the State, by the municipality or other political subdivision in which the facility is located) for the accommodation of persons who, because of incapacitating infirmities, require minimum but continuous care but are not in need of continuous medical or nursing services; and";

(4) by striking out "a new or rehabilitated nursing home" in the introductory text of subsection (d) and inserting in lieu thereof "a new or rehabilitated nursing home or intermediate care facility or combined nursing home and intermediate care facility";

(5) by striking out "operation of the nursing home" in subsection (d) (2) and inserting in lieu thereof "operation of the home or facility or combined home and facility";

(6) by striking out paragraph (4) of subsection (d) and inserting in lieu thereof the following:

(4) The Secretary shall not insure any mortgage under this section unless he has received, from the State agency designated in accordance with section 604 (a) (1) of the Public Health Service Act for the State in which is located the nursing home or intermediate care facility or combined nursing home and intermediate care facility covered by the mortgage, a certification that (A) there is a need for such home or facility or combined home and facility, and (B) there are in force in such State or in the municipality or other political subdivision of the State in which

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