Page images
PDF
EPUB

Housing Act of 1949

1 Provided, That, if at any time during the underTaking of the project, the interest rate on such a loan from a source other than the Federal Government is greater than the rate at which funds could be made available under the Federal loan contract, the Secretary may make a supplemental grant to the local public agency in the amount of the difference between the interest cost from such sources and the interest cost at the contract rate, and no part of the amount of any such grant shall be required to be contributed as a part of the local grant-in-aid. In connection with any such pledge of a loan contract, including loan payments thereunder, as security for the repayment of obligations of the local public agency held by other tban the Federal Government, the Secretary is authorized to agree to pay, through operations of a paying agent or agents, and to pay or cause to be paid when due, from funds obtained pursuant to subsection (e) of this section, to the holders of such obligations (or to their agents or designees) the principal of and the interest on such obligations, subject to such conditions as the Secretary may determine but without regard to any other condition or requirement. Notwithstanding any other provision

of law, any contract or other instrument executed by INCONTESTABLE the Secretary which, by its terms, includes an FEDERAL

obligation of the Secretary to make payment OBLIGATION IN

pursuant to this subsection shall be construed by PRIVATE FINANCING all officers of the United States separate and

apart from the loan contract and shall be
incontestable in the hands of a bearer and the full
faith and credit of the United States is pledged
to the payment of all amounts agreed to be paid
by the Secretary pursuant to this subsection.

This proviso was added by sec. 507(a)(2), Housing and Urban Development Act of 1968, Public Law 90-448, approved August 1, 1968, 82 Stat. 476, 522. Sec. 507(b) provided that loan contracts outstanding on the date of its enactment "may be amended to incorporate the provisions authorized by the amendments contained in subsection (a) without regard to the proviso in section 110(8) of the Housing Act of 1949". (see also footnote 2, supra, on page 12).

Sec. 302(a), Housing Act of 1961, Public Law 87-70, approved June 30, 1961, 75 Stat. 149, 166, added this sentence.

Housing Act of 1949

(a) The

The Secretary may make advances of funds to local public agencies for surveys of urban areas to determine whether the undertaking of urban renewal projects therein may be feasible and for surveys and

plans for urban renewal projects which may be assisted FEASIBILITY under this title, including, but not limited to, (1) MEASURES

plans for carrying out a program of voluntary repair
and rehabilitation of buildings and improvements
(ii) plans for the enforcement of State and local

laws, codes, and regulations relating to the use PLANNING

of land and the use and occupancy of buildings and ADVANCES

improvements, and to the compulsory repair, rehabilita-
tion, demolition, or removal of buildings and improve-
ments, and (iii) appraisals, title searches, and other
preliminary work necessary to prepare for the acquisi-
tion of land in connection with the undertaking of
such projects. The contract for any such advance
of funds shall be made upon the condition that such
advance of funds shall be repaid, with interest at
not less than the applicable going Federal rate,
out of any moneys which become available to the local
public agency for the undertaking of the project
involved. No contract for any such advances of
funds for surveys and plans for urban renewal projects
which may be assisted under this title shall be
made unless the governing body of the locality
involved has by resolution or ordinance approved
the undertaking of such surveys and plans and the
submission by the local public agency of an application

las originally enacted subsection (a) read as follows: "(a) The Administrator may make advances of funds to local public agencies for surveys and plans in preparation of projects which may be assisted under this title, and the contracts for such advances of funds may be made upon the condition that such advances of funds shall be repaid, with interest at not less than the applicable going Federal rate, out of any moneys which become available to such agency for the undertaking of the project or projects involved".

Sec. 304, Housing Act of 1954, Public Law 83-560, approved Aug. 2, 1954, 68 Stat. 590, 624, amended subsec. (a) to read as set forth in the text except for subsequent amendments noted by footnotes indicated in the text.

?Sec. 303(b), Housing Act of 1956, Public Law 1020, 84th Congress, approved Aug. 7, 1956, 70 Stat. 1091, 1100, inserted "surveys of urban areas to determine whether the undertaking of urban renewal projects therein may be feasible and for".

Housing Act of 1949

for such advance of funds. Notwithstanding? section
210(h) or the use in any other provision of this
title of the term "local public agency" or "local
public agencies" the Secretary may make advances
of funds under this subsection for surveys and plans
for an urban renewal project (including General
Neighborhood Renewal Plans as hereinafter defined)
to a single local public body which has the authority
to undertake and carry out a substantial portion,
as determined by the Secretary, of the surveys and
plans or the project respecting which such surveys
and plans are to be made: Provided, That the
application for such advances shows, to the satisfac-
tion of the Secretary, that the filing thereof has
been approved by the public body or bodies authorized
to undertake the other portions of the surveys and
plans or of the project which the applicant is not
authorized to undertake.

In? order to facilitate proper preliminary
planning for the attainment of the urban renewal

objectives of this title, the Secretary may also GENERAL

make advances of funds (in addition to those NEIGHBORHOOD

authorized above) to local public agencies for the RENEWAL

preparation of General Neighborhood Renewal Plans PLANS

(as herein defined). A General Neighborhood Renewal Plan may be prepared for an area consisting of an urban renewal area or areas, together with any adjoining areas having specially related problems, and which is of such size that the urban renewal

IThis sentence was added by sec. 301, Housing Act of 1956, Public Law 1020, 84th Congress, approved Aug. 7, 1956, 70 Stat. 1091, 1097. The

The first two sentences of this paragraph were added by sec. 303, Housing and Urban Development Act of 1965, Public Law 89-117, approved August 10, 1965, 79 Stat. 451, 475, in lieu of the following sentence: "In order to facilitate proper preliminary planning for the attainment of the urban renewal objectives of this title, the Administrator may also make advances of funds (in addition to those authorized above) to local public agencies for the preparation of General Neighborhood Renewal Plans (as herein defined) for urban renewal areas of such scope that the urban renewal activities therein may have to be carried out in stages, consistent with the capacity and resources of the respective local public agency, over an estimated period of not more than ten years

This paragraph and the remainder of this subsection were added by sec. 303(a), Housing Act of 1956, Public Law 84-1020, approved August 7, 1956, 70 Stat. 1091, 1099.

Housing Act of 1949

activities in the urban renewal area or areas may have to be initiated in stages, consistent with the capacity and resources of the respective local public agency or agencies, over an estimated period of not more than eight years. No contract for advances for the preparation of a General Neighborbood Renewal Plan may be made unless the Secretary has determined that:

(1)1 in the interest of sound community plaming, it is desirable that the urban renewal activities proposed for the area be planned in their entirety;

(2) the local public agency proposes to undertake promptly an urban renewal project embracing at least 10 per centum of such area, upon completion of the General Neighborhood Renewal Plan and the preparation of an urban renewal plan for such project; and

(3) the governing body of the locality bas by resolution or ordinance (i) approved the undertaking of the General Neighborhood Renewal Plan and the submission of an application for such advance and (ii) represented that such plan will be used to the fullest extent feasible as a guide for the provision of public improvements in such area and that the plan will be considered in formulating codes and other regulatory measures affecting property in the area and in undertaking other local governmental activities pertaining to the development, redevelopment, rehabilitation, and conservation of the area.

The contract for any such advance of funds for
& General Neighborhood Renewal Plan shall be made
upon the condition that such advance shall be repaid,
with interest at not less than the applicable going
Federal rate, out of any moneys which become available

1

Paragraph (1) was amended to read as set forth in text by sec. 303(2) of the Housing and Urban Development Act of 1965, Public Law 89-117, approved August 10, 1965, 79 Stat. 451, 475. The original paragraph numbered (1) was added by sec. 303(a), Housing Act of 1956, Public Law 84-1020, approved August 7, 1956, 70 Stat. 1091, 1099, and read as follows:

"(1) in the interest of sound community planning, it is desirable that the urban renewal area be planned for urban renewal purposes in its entirety;".

Housing Act of 1949

to the local public agency for the undertaking of
the first urban renewal project in such area:
Provided, That in the event of the undertaking of
any other project or projects in such area an appropriate
allocation of the amount of the advance, with interest,
may be effected to the end that each such project may
bear its proper allocable part, as determined by the
Secretary, of the cost of the General Neighborhood
Renewal Plan. As used herein, a General Neighborhood
Renewal Plan means & preliminary plan (conforming
in the determination of the governing body of the
locality, to the general plan of the locality as
a whole and to the workable program of the community
meeting the requirements of section 101) which outlines
the urban renewal activities proposed for the area
involved, provides a framework for the preparation
of urban renewal plans and indicates generally, to the
extent feasible in preliminary planning, the land
uses, population density, building coverage, prospec-
tive requirements for rehabilitation and improvement
of property, and any portions of the area contemplated
for clearance and redevelopment.

(e) The total amount of loan contracts out-
standing at any one time under this title shall not

1.

Subsec. (e) was amended to read as set forth in the text by sec. 404, Housing Act of 1959, Public Law 86-372, approved Sept. 23, 1959, 73 Stat. 654, 671. As originally enacted subsection (e) read as follows:

"(e) To obtain funds for loans under this title, the Administrator, on and after July 1, 1949, may, with the approval of the President, issue and have outstanding at any one time notes and obligations for purchase by the Secretary of the Treasury in an amount not to exceed $25,000,000, which limit on such outstanding amount shall be increased by $225,000,000 on July 1, 1950, and by further amounts of $250,000,000 on July 1 in each of the years 1951, 1952, and 1953, respectively: Provided, That (subject to the total authorization of not to exceed $1,000,000,000) such limit, and any such authorized increase therein, may be increased, at any time or times, by additional amounts aggregating not more than $250,000,000 upon a determination by the President, after receiving advice from the Counsel of Economic Advisers as to the general effect of such increase upon the conditions in the building industry and upon the national economy, that such action is in the public interest."

Executive Order 10530, issued May 10, 1954, 19 Fed. Reg. 2709, es powered the Housing and Home Finance Administrator ( now Secretary of Housing and Urban Development) to issue obligations to the Treasury without the approval, ratification, or other action of the President, as provided at that time in subsec. (e).

« PreviousContinue »