State corporation commission, provided that the redevelopment corporation may not agree to any terms or condition which would reduce or restrict the supervision and regulation of the State over the redevelopment corporation. (d) Kentucky: No specific reference in statute.

(e) Massachusetts: A redevelopment corporation is authorized to receive loans and grants from the Federal Government or any agency or instrumentality thereof or from any other source, public or private, or to act as agent of or to cooperate with the Federal Government or any agent or instrumentality thereof on any project of the kind or character authorized by the urban redevelopment law: Provided, That nothing in the law shall operate to impair the powers and duties of the housing board with respect to any urban redevelopment corporation or any project operated by it.

(f) Michigan: No specific reference in statute.

(g) Minnesota: While the statute does not expressly mention the Federal Government, it states that any neighborhood redevelopment corporation or any city "may accept gifts of money or property for the purposes of use" under the statute; also, that any real property which has been or shall be forfeited to the State for nonpayment of taxes "shall be conveyed by the State to the city whenever it shall be desired for use under" the statute.

(h) Missouri: A redevelopment corporation may accept grants or loans from the Federal Government, if the loan or grant is approved by the supervising

agency.

(i) New Jersey: The governing body of a city may borrow or accept grants from the Federal or State Government for, or in aid of, the acquisition of lands required to carry out the purposes of the redevelopment companies law, and to enter into such contracts, mortgages and other agreements as the Federal or State Governments may require. The redevelopment companies law makes certain restrictions in the law inapplicable to any project receiving Federal funds or using any mortgage or mortgage bonds insured by the Federal Government. The governing body of a city is authorized to appropriate money for land acquisition required to carry out the purposes of the redevelopment companies law.

6) New York: (1) 1942 law: The redevelopment companies law makes certain restrictions in the law inapplicable to any project receiving Federal funds or using any mortgage or mortgage bonds insured by the Federal Government. (2) 1941 law: No specific reference in statute.

(k) Wisconsin: The governing body of a city may borrow or accept grants from the Federal or State Governments for or in aid of the acquisition of any lands required to carry out a redevelopment plan, or to construct public works and facilities for such plan, and to enter into such contracts, mortgage, and other agreements as the Federal Government may require.

A city may appropriate money for the purpose of making plans and surveys to carry out a redevelopment plan and for any other purposes required to carry out the intention of the urban redevelopment law, including the acquisition of lands required to carry out a redevelopment plan or the provision of public works and facilities in connection with the plan.

VII. PUBLIC CONTROLS

1. Plan for redevelopment: Requirements, characteristics, and approval

(a) Illinois: A neighborhood redevelopment corporation may undertake a redevelopment plan only after the redevelopment commission of the municipality has approved it and issued a certificate of convenience and necessity therefor. The redevelopment plan submitted to the commission must contain a detailed description of the land and buildings to be acquired, the dwellings and incidental business structures to be erected, and the method of financing the plan. The corporation must also file with the commission a performance bond for the completion of the redevelopment within the time limits prescribed by the commission, and agree in writing to devote at least 10 percent of the redevelopment area to a park, playground, or recreational center. Before issuing the certificate of convenience and necessity for the plan, the commission shall determine that: (1) The redevelopment will be in a slum and blight area and will effectuate the purposes of the neighborhood redevelopment corporation law, (2) the plan will conform to zoning ordinances and to the official plan of the municipality or the plan adopted by its plan commission, (3) adequate public facilities will be available, (4) the plan will not cause undue hardship to any families occupying dwellings in the redevelopment area to such a degree as to outweigh the public purpose of the law, (5) the plan will not replace the predominant primary racial group of inhabitants of the

redevelopment area, and (6) no more than 10 percent of the redevelopment area will be used for other than residential purposes unless the plan commission files an advisory report recommending a larger percentage for nonresidential use. Before determining these facts, the redevelopment commission must submit the redevelopment plan to the plan commission for its advisory report on the plan from a municipal planning point of view. In issuing certificates of convenience and necessity for redevelopment plans, the redevelopment commission shall give preference to the neighborhood redevelopment corporation whose incorporators had, for two or more years preceding the incorporation, owned at least 10 percent of the redevelopment area. If written objections to the approval of a redevelopment plan are filed as prescribed, the neighborhood redevelopment corporation must apply to the circuit court of the county for confirmation of such approval. In case the redevelopment plan is rejected by the redevelopment commission, the corporation may, within a specified time, apply to such court for a reversal of the rejection.

(b) Indiana: A corporation may undertake a redevelopment plan after approval by the planning commission (or if none, the Administrative Building Council of Indiana) of the city, town, or county having jurisdiction of the area to be redeveloped. Such plan must describe the slum or blighted area to be acquired and contain preliminary plans and drawings, a financial statement of the corporation, the estimated cost of the plan, and a statement of the proposed manner of operating the completed plan, whether upon a rental basis or by the sale of separate homes or units. Such plan must call for the construction of modern, sanitary, residential structures and must allocate not more than 5 percent of the area to commercial uses and at least 50 percent of the area to streets and other open ways. The planning commission must hold a public hearing on the plan, at which time objections to the plan may be filed. Before the planning commission approves a plan the commission must be satisfied that the corporation has the financial ability to carry out the plan and that it has net assets equal to at least 20 percent of the cost of the plan. The corporation must also file with the planning commission a performance bond assuring the completion of the plan within 3 years of its approval. The corporation, or any person filing objections at the public hearing, may appeal from the decision of the planning commission to the circuit or superior court of the county, which is given jurisdiction to review the decision.

(e) Kansas: A redevelopment corporation may only undertake a redevelopment plan with the approval of the city planning commission and the State corporation commission, which plan must consist of clearing, replanning, reconstruction, or rehabilitating a substandard or insanitary area. The city planning commission must first approve the redevelopment plan, which shall contain a detailed description of the land and buildings to be acquired, the buildings and incidental business structures to be erected, the public facilities available, method of financing, and persons to be active in the corporation during the first year of the plan. The plan must include a statement that it is in accord with the master plan of the city. After approval by the city planning commission, the redevelopment plan must be approved by the State corporation commission which must determine that (1) the proposed method of financing is feasible and (2) the persons to be active in the corporation during the first year of the plan have sufficient ability and experience to develop and consummate the plan. The owner of any property within the area of the redevelopment plan may appeal from the State corporation commission to the district court on the question of whether the redevelopment area is substandard or insanitary, if such appeal is taken within 30 days from the date of approval of the plan by the State corporation commission. After 30 days from such approval no suit may be brought to question the validity of any proceedings concerning the corporation taken before that time.

(d) Kentucky: Similar to Michigan, except that the proposed redevelopment plan need not contain a statement that there will be available for any families Occupying dwellings in the development area, similar accommodations in the city at similar rentals.

(e) Massachusetts: Before presenting the agreement of association to the secretary of the Commonwealth for filing, there must be submitted to the housing board an application specifying the location of the proposed project and stating reasons why the project is necessary, the uses to which the project is to be put, the estimated cost, and the amount of capital which it is intended to raise. The application shall also set forth in general terms a description of the buildings, structures, or facilities intended to be furnished and shall be accompanied by a site plan and typical building plan of the proposed buildings. The housing board shall transmit the application to the mayor of the city or the selectmen of the

town and these officials, as the case may be, shall request the planning board, if any, to make a report, after public hearing, on such application. The planning board shall determine whether the proposed project conflicts with the master plan, if any, of the city or town, whether the site of the proposed project is within one of the areas in which, within the opinion of the planning board, large-scale redevelopment in behalf of the public health and general welfare is most warranted, and whether the project would be in any way detrimental to the best interests of the public or inconsistent with the most suitable development of the city or town. If there is no planning board, the hearing shall be held and the report made by the mayor or the selectmen. The housing board, if it receives a certificate of approval from the mayor or the selectmen and the planning board. if any, and if it finds that the conditions exist which warrant the carrying out of the project will be practicable and that the construction and use of the project will not be in circumvention of any zoning, subdivision, health, or building ordnances or by laws, etc., or of standards fixed by the housing board (which is authorized by the statute to prescribe standards more restrictive than those imposed by planning, zoning, health, or building laws and regulations), shall issue a certificate that it approves the project. Construction of all buildings shall be inspected by competent personnel selected by the housing board. No redevelopment "corporation shall undertake more than one project." A project shall include the demolition or rehabilitation of buildings on a described area needing redevelopment, and the provision thereon or adjacent thereto, either by construction or rehabilitation, of decent, safe, and sanitary dwellings, together with appurtenant facilities, which shall include use for business, commercial, cultural, or recreational purposes related to the project as may be approved by the housing board as best serving the public interest.

(f) Michigan: A redevelopment corporation may undertake only one redevelopment plan which must be approved by the supervising agency and the planning commission of the city, and must consist of clearing, replanning, reconstructing, or rehabilitating a substandard or insanitary area. The planning i commission must first approve the redevelopment plan, which shall contain a detailed description of the land and buildings to be acquired, the dwellings and incidental business structures to be erected, the public facilities available, the method of financing, and the persons to be active in the corporation during the first year of the plan. The plan must include a statement that it is in accord with the master plan of the city, if any; that there will be available for any families then occupying dwellings in the area, similar accommodations in the city at similar rentals; and that the plan will not cause undue hardship to such families. After approval by the planning commission, the redevelopment plan must be approved by the supervising agency which must determine that (1) the proposed method of financing is feasible and (2) the persons to be active in the corporation during the first year of the plan have sufficient ability and experience to develop and consummate the plan.

(g) Minnesota: Similar to Illinois.

(h) Missouri: A redevelopment corporation may only undertake a redevelopment plan with the approval of the supervising agency and the board of public service of the city, which plan must consist of clearing, replanning, rehabilitating, or reconstructing a substandard, submarginal or insanitary area. A submarginal area is defined as one in which the cost of supplying municipal services is found to exceed the taxes collected by the city on real property in the area. The board of public service must first approve the redevelopment plan, which must contain a detailed description of the land and buildings to be acquired, dwellings and incidental building structures to be erected, the public facilities available, the method of financing and the persons to be active in the corporation during the first year after the plan is approved. The plan must include a statement that it is in accord with master plan of the city, if any; that there will be available for any families then occupying dwellings in the area similar accommodations in the city at similar rentals; and that the plan will not cause undue hardship to such families. After approval by the board of public service, the redevelopment plan must be approved by the supervising agency which must determine that (1) the persons to be associated with the management of the corporation during the period of at least 1 year from the date its plan of redevelopment was approved, have sufficient ability and experience and (2) the method of financing the redevelopment is feasible.

(i) New Jersey: The proposed plan of a project of a redevelopment company must be first submitted to the State department of economic development and must contain a description of the land to be acquired and the buildings to be

demolished and a statement of the type, number and character of the industrial, commercial, residential or other buildings to be erected, the amount and use of open spaces to be maintained in the project, the character, number of units and approximate rentals of any dwellings to be furnished during construction and upon completion of the project, the proposed method of financing, and the persons to be active in the management of the company for the first year. After preliminary approval of the State department of economic development of the plan for a project, as to conformity with the redevelopment companies law, the plan must be submitted to the planning board (or, if none, the legislative body) of the municipality for an approval relating to height and bulk of structures, density of population, percentage of land coverage by structures, and business, public and recreational facilities in the project, as to conformity with the redevelopment companies law and the master plan. The planning board after public hearing, may issue an unqualified approval or a qualified approval or disapprove the project. After such action by the planning board, the plan of the project (with a proposed form of contract between the municipality and the company, and any insurance company or savings bank to own all of the stock, mortgage bonds, and debentures of the company) must be submitted by the company to the legislative body of the municipality for its approval as to conformity with the redevelopment companies law, the extent of the tax assistance, if any, to be granted, the property to be taken by eminent domain, the amount of public land or facilities to be conveyed to the company, and the availability of other dwellings for families living in the area to be affected by the project. If the planning board has not issued an unqualified approval of the project, the legislative body may approve the project only after a public hearing thereon.

() New York: (1) 1942 law: After preliminary approval by the supervising agency of the municipality of a plan for a project, the plan must be submitted to the planning commission (or, if none, the legislative body) of the municipality for an approval relating to height and bulk of structures, density of population, and percentage of land coverage by structures (as to conformity with the redevelopment companies law, and the master plan, if any) and relating to business, public, and recreational facilities in the project. The planning commission, after public hearing, may issue an unqualified approval or a qualified approval or disapprove the project. After such action by the planning commission, the plan of the project (with a proposed form of contract between the municipality and the company and any insurance company to own all of the stock, mortgage bonds, and debentures of the company) must be submitted by the company to the legislative body of the municipality for its approval as to conformity with the redevelopment companies law, the extent of the tax exemption to be granted, the property to be taken by eminent domain, the amount of public land or facilities to be conveyed to the company, and the availability of other dwellings for families living in the area to be affected by the project. If the planning commission has issued an unqualified approval of the project, the legislative body may approve the project by majority vote. In other cases, the project may nevertheless be approved by the legislative body, after public hearing by a three-fourths vote. (2) 1941 law: Similar to Michigan.

(k) Wisconsin: Similar to Michigan, except that instead of an approval by a supervising agency, the redevelopment plan must be approved by a two-thirds vote of the members elected to the governing body of the city.

2. Regulations and limitations as to rents

(a) Illinois: The redevelopment plan, as submitted for approval, must contain a statement of the approximate rentals for the proposed dwelling accommodations to be provided under the redevelopment plan.

(b) Indiana: The redevelopment plan of a corporation, submitted for approval, must include a statement of the proposed manner of operating the completed plan, whether upon a rental basis or by the sale of separate homes or units.

(c) Kansas: Similar to Illinois.

(d) Kentucky: Similar to Illinois.

(e) Massachusetts: No specific reference in statute.

() Michigan: Similar to Illinois.

(g) Minnesota: Similar to Illinois.

(h) Missouri: Similar to Illinois.

(1) New Jersey: The rents to be charged for rooms in each project of a redevelopment company may be regulated by the contract between the municipality and the company which is submitted to the legislative body of the municipality with the plan of the project.

(j) New York: (1) 1942 law: The rents to be charged for rooms in each project of a redevelopment company must be regulated by the contract between the municipality and the company which is submitted to the legislative body of the municipality with the plan of the project.

(2) 1941 law: Similar to Illinois.

(k) Wisconsin: Similar to Illinois.

3. Regulations and limitations as to profits and dividends (a) Illinois: No specific reference in statute.

(b) Indiana: None. (The redevelopment law requires the articles of incorporation of a corporation operating under the law, to state that the dividend rate on its stock shall not exceed 6 percent of the par amount of the stock, until the expiration of the period during which the assessed valuation of its property is limited under the law. However, the redevelopment law contains no provision limiting the assessed valuation of property, as such provision was deleted from the law prior to its final enactment.)

(c) Kansas: No redevelopment corporation may pay any interest on its income debentures or dividends on its stocks during any year in excess of 6 percent per annum, and no such payment shall be made if there exists a default under any amortization requirements with respect to its indebtedness. (d) Kentucky: No specific reference in statute.

(e) Massachusetts: For a period of 40 years the stockholders of an urban redevelopment corporation shall be deemed to have agreed when they subscribe to and receive their stock that they shall at no time receive or accept, in payment of their investment, any sums in excess of the par value of the stock, together with accumulated dividends at the rate of 6 per centum per annum. No stockholder shall receive any dividend in any one year in excess of 6 per centum per annum, except that when in any prior year or years dividends in the amount authorized to be paid shall not have been paid in full, the stockholders shall be entitled to receive the payment of so much of such deficiency, without interest, out of any surplus earned in any succeeding year, as the directors shall determine. (f) Michigan: No redevelopment corporation may pay during any year as interest on its income debentures and as dividends on its stock, during the time its real property is exempt from increased assessment, any amount in excess of 5 percent of the development cost of the redevelopment plan, less all amounts payable during the year as interest on, but not as amortization of, any indebtedness of the corporation. No such payment may be made if the corporation is in default under any amortization requirements, but if the total amount of such authorized payment is not made in any year it may be made in subsequent years from any net income applicable to such payments. The development cost must be fixed by the supervising agency of the city and shall include reasonable costs of planning, financing, architectural and other services, working capital not exceeding 5 percent of the development cost, the actual cost of real property or the value thereof determined by the supervising agency if exchanged for securities, the actual cost of demolition, utilities, construction, equipment, and rehabilitating existing buildings, reasonable costs of management and operation until the development is ready for use, and the actual cost of improving the redevelopment area which is to remain as open space.

(g) Minnesota: No specific reference in statute.

(h) Missouri: No stockholder in any redevelopment corporation may receive any dividend therefrom in any year in excess of 6 percent per annum, except that any deficiency in the payment of such amount in previous years may also be paid out of any surplus of the corporation.

(i) New Jersey: There must be paid annually out of the earnings of the redevelopment company, after providing for all expenses and taxes, a sum for interest, amortization, and dividends equal to, but not exceeding, 6 percent of the cost of the project. The obligations in respect of such payments are cumulative, and any deficiency in any year must be paid from the first available earnings in subsequent years. The cost of the project must be determined by the State department of economic development and shall include reasonable costs of planning, financing, architectural and other services, working capital not exceeding 3 percent of the cost of the project, the actual cost of real property, demolition, utilities, construction, equipment, and rehabilitating existing buildings, reasonable costs of management and operation until the project is ready for use, the actual cost of improving the area in the project which is to remain an open space, and the actual cost, if any, of alleviating hardship caused to families occupying dwellings in the area of the project. Interest rate on income debentures may not