83 STAT. 398 82 Stat. 591. 15 USC 1702. 82 Stat. 602. 42 USC 1441c. 82 Stat. 479. 12 USC 1715z. 82 Stat. 500. INTERSTATE LAND SALES SEC. 411. Section 1403 (a) (10) of the Housing and Urban Development Act of 1968 is amended to read as follows: "(10) the sale or lease of real estate which is free and clear of all liens, encumbrances, and adverse claims if each and every purchaser or his or her spouse has made a personal on-the-lot inspection of the real estate which he purchased and if the developer executes a written affirmation to that effect to be made a matter of record in accordance with rules and regulations of the Secretary. As used in this subparagraph, the terms 'liens', 'encumbrances', and 'adverse claims' do not refer to property reservations which land developers commonly convey or dedicate to local bodies or public utilities for the purpose of bringing public services to the land being developed, nor to taxes and assessments imposed by a State, by any other public body having authority to assess and tax property, or by a property owners' association, which, under applicable State or local law, constitute liens on the property before they are due and payable, nor to beneficial property restrictions which would be enforceable by other lot owners or lessees in the subdivision, if (A) the developer, prior to the time the contract of sale or lease is entered into, has furnished each purchaser or lessee with a statement, the form and content of which has been approved by the Secretary, setting forth in descriptive and concise terms all such reservations, taxes, assessments, and restrictions which are applicable to the lot to be purchased or leased, and (B) receipt of such statement has been acknowledged in writing by the purchaser or lessee, and a copy of the acknowledged statement is filed with the Secretary in accordance with such rules and regulations as he may require." REPORTS SEC. 412. (a) Section 1603 of the Housing and Urban Development Act of 1968 is amended by striking out "January 15," and inserting in lieu thereof "February 15,". (b) The last sentence of section 235 (h) (2) of the National Housing Act is amended by striking out "annually" and inserting in lieu thereof "semiannually". (c) The last sentence of section 236 (i) (2) of the National Housing 12 USC 17152-1. Act is amended by striking out "annually" and inserting in lieu thereof "semiannually". Ante, p. 125. 42 USC 1483, 1485, 1487. 79 Stat. 498. 42 USC 1487. Sale of assets. 42 Stat. 20. 31 USC 1. RURAL HOUSING SEC. 413. (a) Sections 513, 515(b) (5), and 517(a)(1) of the Housing Act of 1949 are each amended by striking out "January 1, 1970" wherever it appears and inserting in lieu thereof "October 1, 1973" (b) Section 517 (c) of such Act is amended by striking out all that follows "section" and inserting in lieu thereof a period. (c) Section 517 of such Act is amended by adding at the end thereof the following new subsection: "(k) Any sale by the Secretary of loans individually or in blocks, pursuant to subsections (c) and (g), shall be treated as a sale of assets for the purposes of the Budget and Accounting Act, 1921, notwithstanding the fact that the Secretary, under an agreement with the purchaser, holds the debt instruments evidencing the loans and holds or reinvests payments thereon as trustee and custodian for the purchaser." (d) Section 517 of such Act is further amended by adding at the end thereof (after subsection (k), as added by subsection (c) of this section) the following new subsection: "(1) The Secretary may also, upon the application of lenders, builders, or sellers and upon compliance with requirements specified by him, make commitments upon such terms and conditions as he shall prescribe to make or insure loans under this section to eligible applicants. (e) (1) Section 517 of such Act is further amended by adding at the end thereof (after subsection (1), as added by subsection (d) of this section) the following new subsection: "(m) The assets and liabilities of, and authorizations applicable to, the Rural Housing Direct Loan Account are hereby transferred to the Fund, and such Account is hereby abolished. Such assets and their proceeds, including loans made out of the Fund pursuant to this section, shall be subject to all of the provisions of this section.' (2) The first sentence of section 517(d) of such Act is amended— (A) by striking out "(a) and (b)" and inserting in lieu thereof "(a), (b), and (m)"; and (B) by inserting "or otherwise acquired by" after "loans made from". (3) Section 518 of such Act is repealed. (4) Section 519 of such Act is amended by striking out "or the Rural Housing Direct Loan Account" and "or Account". (f) (1) Title V of such Act is amended by adding at the end thereof a new section as follows: "FINANCIAL ASSISTANCE TO NONPROFIT ORGANIZATIONS TO PROVIDE SITES FOR RURAL HOUSING FOR LOW- AND MODERATE-INCOME FAMILIES 83 STAT. 399 79 Stat. 498. 42 USC 1487. Repeal. 42 USC 1488. 42 USC 1489. 63 Stat. 432; 82 Stat. 553. 42 USC 14711490c. 82 Stat. 477, 12 USC 1715z, 1715z-1. "SEC. 524. (a) The Secretary may make loans, on such terms and conditions and in such amounts as he deems necessary, to public or private nonprofit organizations for the acquisition and development of land as building sites to be subdivided and sold to families, nonprofit organizations, and cooperatives eligible for assistance under section 235 or 236 of the National Housing Act or section 521 of this Act. Such a loan shall bear interest at a rate prescribed by the Secretary 498, 551. taking into consideration a rate determined annually by the Secretary of the Treasury as the current average market yield on outstanding marketable obligations of the United States with remaining periods 42 USC 1490a. to maturity comparable to the average maturities of such Icans, adjusted to the nearest one-eighth of 1 per centum, and shall be repaid within a period not to exceed two years from the making of the loan or within such additional period as may be authorized by the Secretary in any case as being necessary to carry out the purposes of this section. "(b) In determining whether to extend financial assistance under this section, the Secretary shall take into consideration, among other factors, (1) the suitability of the area to the types of dwellings which can feasibly be provided, and (2) the extent to which the assistance will (i) facilitate providing needed decent, safe, and sanitary housing, (ii) be utilized efficiently and expeditiously, and (iii) fulfill a need in the area which is not otherwise being met through other programs, including those being carried out by other Federal, State, or local agencies." 83 STAT, 400 79 Stat. 498. 42 USC 1487. 63 Stat. 377. 40 USC 471 note. 50 Stat. 888. 42 USC 1430. (2) Section 517 (b) of such Act is amended by striking out "and 515" and inserting ", 515", and by adding after "(b) (4))," the following: “and 524,”. SALE OF LAND FOR HOUSING SEC. 414. (a) Notwithstanding the provisions of the Federal Property and Administrative Services Act of 1949, any surplus real property within the meaning of such Act may in the discretion of the Administrator of General Services be transferred to the Secretary of Housing and Urban Development at his request for sale or lease by him at its fair value for use in the provision of rental or cooperative housing to be occupied by families or individuals of low or moderate income. Any such sale or lease of surplus land shall be made only to (1) a public body which will use the land in connection with the development of a low-rent housing project assisted under the United States Housing Act of 1937, or under a State or local program found by the Secretary of Housing and Urban Development to have the same general purposes as the Federal program under such Act, or (2) a purchaser or lessee who will use the land in connection with the development of housing (A) with respect to which annual payments will be made to the housing owner pursuant to section 101 of the Housing and Urban Development Act of 1965, (B) financed with a mortgage which receives the benefit of the interest rate provided for in the proviso in section 221 (d) (5) of the National Housing Act, or (C) with respect to which interest reduction payments will be made under section 236 of the National Housing Act: Provided, That prior to any such sale or lease to a purchaser or lessee other than a public body, the Secretary 12 USC 1715z-1. shall notify the governing body of the locality where the land is located of the proposed sale or lease and no such sale or lease shall be made if the local governing body, within ninety days of such notification, formally advises the Secretary that it objects to the proposed sale or lease. If the United States paid valuable consideration for any such land the Secretary shall not sell it for less than its cost to the United States at the time of acquisition. In addition, if such land contains improvements constructed by the Federal Government which have potential use in the provision of housing for low- or moderate-income families or individuals, the improvements shall be separately appraised for such use and the price for which such land is sold shall include an amount which is not less than the value of such improvements as so appraised. 79 Stat. 451. 12 USC 1701s. 75 Stat. 152; 79 Stat. 454. 12 USC 17151. 82 Stat. 498. (b) As a condition to any sale or lease of surplus land under this section to a purchaser or lessee other than a public body, the Secretary shall obtain such undertakings as he may consider appropriate to assure that the property will be used in the provision of rental or cooperative housing to be occupied by families or individuals of low or moderate income for a period of not less than forty years. If during such period the property is used for any purpose other than the purpose for which it was sold or leased it shall revert to the United States (or, in the case of leased property, the lease shall terminate) unless the Secretary, after the expiration of the first twenty years of such period, has approved the use of the property for such other purpose. The Secretary shall notify the Committees on Banking and Currency of the Senate and House of Representatives whenever any surplus land is sold or leased by him, or he approves a change in the use of any surplus land theretofore sold or leased by him, pursuant to the authority of this section. AUTHORITY TO TRANSFER ADDITIONAL AMOUNTS FROM GENERAL INSURANCE SEC. 415. Section 238 (b) of the National Housing Act is amended by striking out "the sum of $5,000,000" in the first sentence and inserting in lieu thereof ", at such times and in such amounts as he may determine to be necessary, a total sum of $20,000,000”. SAVINGS AND LOAN ASSOCIATIONS SEC. 416. (a) Section 5 of the Federal Home Loan Bank Act (12 U.S.C. 1425) is amended to read as follows: "SEC. 5. No institution shall be admitted to or retained in membership, or granted the privileges of nonmember borrowers, if the combined total of the amounts paid to it for interest, commission, bonus, discount, premium, and other similar charges, less a proper deduction for all dividends, refunds, and cash credits of all kinds, creates an actual net cost to the home owner in excess of the lawful contract rate of interest applicable to such transactions, or, in case there is no lawful contract rate of interest applicable to such transactions, in excess of such rates as may be prescribed in writing by the Board acting in its discretion from time to time. This section applies only to home mortgage loans on single-family dwellings." (b) Section 5 (c) of the Home Owners' Loan Act of 1933 (12 U.S.C. 1464 (c)) is amended by adding at the end thereof the following new paragraph: "Without regard to any other provision of this subsection, any such association is authorized to invest in shares of stock issued by a corporation authorized to be created pursuant to title IX of the Housing and Urban Development Act of 1968, and is authorized to invest in any partnership, limited partnership, or joint venture formed pursuant to section 907(a) or 907 (c) of that Act." (c) (1) Section 404 (d) (2) (B) of the National Housing Act (12 U.S.C. 1727 (d) (2) (B)) is amended by striking out "1966” and inserting in lieu thereof "1965". (2) Section 6(b) of the Act of September 21, 1968 (Public Law 90-505), is amended by striking out "1968" and inserting in lieu thereof "1965". RESTRAINTS AGAINST USE OF NEW AND IMPROVED TECHNOLOGIES SEC. 417. Section 1010(a) of the Demonstration Cities and Metropolitan Development Act of 1966 is amended (1) by striking out "and" at the end of paragraph (2); (2) by striking out the period at the end of paragraph (3) and inserting in lieu thereof "; and"; and (3) by adding after paragraph (3) a new paragraph as follows: "(4) assure, to the extent feasible, in connection with the construction, major rehabilitation, or maintenance of any housing 83 STAT. 401 82 Stat. 487. 12 USC 1715z-3. Regulations. 47 Stat. 727. Investment 48 Stat. 132. 82 Stat. 547. 42 USC 39313940. 82 Stat. 858. 82 Stat. 859. 12 USC 1727 note. 80 Stat. 1286; 82 Stat. 603. 42 USC 3372. 83 STAT. 402 assisted under this section, that there is no restraint by contract, building code, zoning ordinance, or practice against the employment of new or improved technologies, techniques, materials, and methods or of preassembled products which may reduce the cost or improve the quality of such construction, rehabilitation, and maintenance, and therefore stimulate expanded production of housing under this section, except where such restraint is necessary to insure safe and healthful working and living conditions." 82 Stat. 478. 12 USC 1715z. 82 Stat. 499. MISCELLANEOUS AND TECHNICAL AMENDMENTS SEC. 418. (a) Section 235 (c) of the National Housing Act is amended by inserting immediately before the period at the end of the first sentence the following: ": Provided further, That the Secretary is authorized to continue making such assistance payments where the mortgage has been assigned to the Secretary". (b) Section 236(b) of such Act is amended by striking out "Pro12 USC 1715z-1. vided, That" and inserting in lieu thereof the following "Provided, That the Secretary is authorized to continue making such interest reduction payments where the mortgage has been assigned to the Secretary: Provided further, That". 75 Stat. 182; 82 Stat. 510. 12 USC 1715n. 82 Stat. 486. 12 USC 1715n. 53 Stat. 807. 12 USC 1715c. 80 Stat. 1274. 12 USC 1749aaa1749aaa-5. 63 Stat. 57. 12 USC 1715d. (c) Section 223 (d) of such Act is amended by inserting the following new sentence at the end thereof: "A loan involving a project covered by a mortgage insured under section 213 that is the obligation of the Cooperative Management Housing Insurance Fund shall be the obligation of such fund, and loans involving projects covered by a mortgage insured under section 236 or under any section of this title pursuant to subsection (e) of this section shall be the obligation of the Special Risk Insurance Fund." (d) Section 223 (e) of such Act is amended to read as follows: "(e) Notwithstanding any of the provisions of this Act except section 212, and without regard to limitations upon eligibility contained in any section of this title or title XI, the Secretary is authorized, upon application by the mortgagee, to insure under any section of this title or title XI a mortgage executed in connection with the repair, rehabilitation, construction. or purchase of property located in an older, declining urban area in which the conditions are such that one or more of the eligibility requirements applicable to the section or title under which insurance is sought could not be met, if the Secretary finds that (1) the area is reasonably viable, giving consideration to the need for providing adequate housing or group practice facilities for families of low and moderate income in such area, and (2) the property is an acceptable risk in view of such consideration. The insurance of a mortgage pursuant to this subsection shall be the obligation of the Special Risk Insurance Fund." (e) Section 214 of such Act is amended by inserting in the first sentence after "construct dwellings" the words "or mobile home courts or parks". |