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24 CFR Part 866 FHA Owned ProjectsLease and Grievance Procedures. Subpart ADwelling Leases, Procedures and Requirements (40 FR 33402-33406). Subpart BGrievance Procedures and Requirements (40 FR 33406-33408).

24 CFR Part 880 Section 8 Housing Assistance Payments Program-New Construction (40 FR 18682–18724).

24 CFR Part 881 Section 8 Housing Assistance Payments Program-Substantial Rehabilitation (40 FR 18902-18944).

24 CFR Part 882 Section 8 Housing Assistance Payments Program-Existing Housing (40 FR 19612-19631).

24 CFR Part 883 Section 8 Housing Assistance Payments Program-Housing Finance and Development Agencies (40 FR 16934-16965).

24 CFR Part 888 Section 8 Housing Assistance Payments Program-Fair Market Rents-Contract Rent Automatic Annual Adjustment Factors. New Construction (40 FR 14502-14564). Existing Housing (40 FR 15580-15860).

24 CFR Part 899 Section 8 Housing Assistance Payments Program-Determination of Income for Eligibility and Gross Family Contribution (40 FR 15542-15543).

24 CFR Part 890 Annual Contributions for Operating Subsidy (40 FR 17008-17015). [41 FR 8056, Feb. 24, 1976. Redesignated at 41 FR 22814, June 7, 1976]

§ 899.202

Effective date of certain provisions of the Act respecting annual contributions contracts.

(a) From and after February 22, 1976, whenever (1) additional dwelling units are to be included in a Public Housing Agency's (PHAS) low-income housing program, (2) a commitment of additional annual contributions is requested or required by a PHA, or (3) a modification or amendment of the annual contributions contract is requested or required by a PHA, the annual contributions contract(s) with the PHA shall be amended to incorporate the following provisions which shall supersede any contractual provisions in conflict therewith:

At least 20 percentum of the dwelling units in any project placed under annual contributions contract in any year after [September 26, 1975,] shall be occupied by very low-income families.

(1) Under section 3(1) of the Act: (2) Under section 4(a) of the Act: (a) ** ⚫ such loans [i.e., loans to public housing agencies to help finance or refinance the development, acquisition, or operation of low-income housing projects by such agencies] shall bear interest at a rate specified by the Secretary which shall not be less than a rate determined by the Secretary of the

Treasury taking into consideration the current average market yield on outstanding marketable obligations of the United States with remaining periods to maturity comparable to the average maturities of such loans, plus one-eighth of per centum. • (3) Under section 6(a) of the Act: (a) except in the case of housing predominantly for the elderly, high-rise elevator projects shall not be provided for families with children unless the Secretary makes a determination that there is no practical alternative.

(4) Under section 6(b) of the Act:

(b) ⚫ the cost of construction and equipment of the project (excluding land, demolition, and nondwelling facilities) on which the computation of any annual contributions under this Act may be based shall not exceed by more than 10 per centum the appropriate prototype cost for the area.

(5) Under section 6(c) of the Act:

(c) (1) the Secretary may require the public housing agency to review and revise its maximum income limits if the Secretary determines that changed conditions in the locality makes such revision necessary in achieving the purpose of this Act;

(2) the public housing agency shall determine, and so certify to the Secretary, that each family in the project was admitted in accordance with duly adopted regulations and approved income limits; and the public housing agency shall review the incomes of families living in the project at intervals of two years (or at shorter intervals where the Secretary deem it desirable);

(3) the public housing agency shall promptly notify (1) any applicant determined to be ineligible for admission to the project of the basis for such determination and provide the applicant upon request, within a reasonable time after the determination, is made, with an opportunity for an informal hearing on such determination, and (ii) any applicant determined to be ellgible for admission to the project of the approximate date of occupancy insofar as such date can be reasonably determined; and

(4) the public housing agency shall comply with such procedures and requirements as the Secretary may prescribe to assure that sound management practices will be followed in the operation of the project, including requirements pertaining to

(A) the establishment of tenant selection criteria designed to assure that, within a reasonable period of time, the project will include families with a broad range of incomes and will avoid concentrations of low-income and deprived families with serious social problems, but this shall not permit maintenance of vacancies to await higher income tenants where lower income tenants are available;

(B) the establishment of satisfactory procedures designed to assure the prompt payment and collection of rents and the

prompt processing of evictions in the case of nonpayment of rent;

(C) the establishment of effective tenantmanagement relationships designed to assure that satisfactory standards of tenant security and project maintenance are formulated and that the public housing agency (together with tenant councils where they exist) enforces those standards fully and effectively; and

(D) the development by local housing authority managements of viable homeownership opportunity programs for lowincome families capable of assuming the responsibilities of homeownership."

(6) Under section 6(d) of the Act:

(d) ... no annual contributions by the Secretary shall be made available for such project [1.e., low-income housing project] unless such project (exclusive of any portion there of which is not assisted by annual contributions under this Act) is exempt from all real and personal property taxes levied or imposed by the State, city, county, or other political subdivision; and such contract shall require the public housing agency to make payments in lieu of taxes equal to 10 per centum of the sum of the annual shelter rents charged in such project, or such lesser amount as (1) is prescribed by State law, or (11) is agreed to by the local governing body in its agreement for local cooperation with the public housing agency required under section 5(e) (2) of this Act, or (ii) is due to failure of a local public body or bodies other than the public housing agency to perform any obligation under such agreement. If any such projects is not exempt from all real and personal property taxes levied, or imposed by the State, city, county, or other political subdivision, ... no annual contributions by the Secretary shall be made available for such project unless and until the State, city, county, or other political subdivision in which such project is situated shall contribute, in the form of cash or tax remission, the amount by which the taxes paid with respect to the project exceed 10 per centum of the annual shelter rents charged in such project." (7) Under section 6(e) of the Act: (e) • whenever in any year the receipts of a public housing agency in connection with a low-income housing project exceed its expenditures (including debt service, operation, maintenance, establishment of reserves, and other costs and charges), an amount equal to such excess shall be applied, or set aside for application, to purposes which, in the determination of the Secre

tary, will effect a reduction in the amount of subsequent annual contributions."

(8) Under section 6(f) of the Act:

(1) ... when the public housing agency and the Secretary mutually agree that a housing project is obsolete as to physical condition, or location, or other factors, making it unusable for housing purposes, a program of modifications or closeout shall be prepared. ....

(9) Under section 12 of the Act:

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not less than the wages prevailing in the locality, as determined or adopted (subsequent to a determination under applicable State or local law) by the Secretary, shall be paid to all architects, technical engineers, draftsmen, and technicians employed in the development, and all maintenance laborers and mechanics employed in the operation, of the low-income housing project involved; and ・・・ not less than the wages prevailing in the locality, as predetermined by the Secretary of Labor pursuant to the Davis-Bacon Act (49 Stat. 1011), shall be paid to all laborers and mechanics employed in the development of the project involved (including a project with nine or more units assisted under section 8 of this Act, where the public housing agency or the Secretary and the building or sponsor enter into an agreement for such use before construction or rehabilitation is commenced),

(b) To the extent that the substance of the provisions in paragraph (a) of this section have been found to be consistent with the provisions of section 8 of the Act, the substance of the provisions have been included in the section 8 Housing Assistance Payments Program contracts and regulations. Accordingly, the provisions of paragraph (a) do not apply to the section 8 Housing Assistance Payments Program.

[41 FR 8056, Feb. 24, 1976. Redesignated at 41 FR 22814, June 7, 1976]

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CHAPTER IX-OFFICE OF INTERSTATE LAND SALES REGISTRATION, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

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1715 Advertising, sales practices, posting of notices of suspension 1720 Formal procedures and rules of practice

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gust 1, 1968 (hereafter sometimes referred to as the Act) to make full disclosure in the sale or lease of certain undeveloped, subdivided land. The Act makes it unlawful (except with respect to certain exempted transactions) for any developer to sell or lease, by use of the mail or by any means in interstate commerce, any such land offered as part of a common promotional plan unless the land is registered with the Secretary of Housing and Urban Development and a printed property report is furnished to the purchaser or lessee in advance of the signing of an agreement for sale or lease.

§ 1700.5 Authority of Secretary.

Section 1416(a) of the Act vests authority and responsibility for its administration in the Secretary of Housing and Urban Development (hereafter in this part referred to as the Secretary), and authorizes the Secretary to delegate any of his functions, duties and powers thereunder to employees of the Department of Housing and Urban Development.

§ 1700.10 Delegation of authority.

(a) The Secretary has delegated to the Interstate Land Sales Administrator and the Deputy Administrator all of the authority to exercise the power and authority vested in him under the Act except the authority to:

(1) Conduct hearings in accordance with 5 USC 556 and 557.

(2) Issue orders or determinations after such hearings.

(3) Issue rules and regulations under section 1416(a) of the Interstate Land Sales Full Disclosure Act 15 USC 17011720, Title XIV of the Housing and Urban Development Act of 1968 prescribing rights of appeal from the decisions of hearing examiners.

(4) Transmit evidence of apparent violations of the Act to the Attorney General of the United States for the institution of any appropriate criminal proceedings under section 1415(a) of the Act.

(5) Sue and be sued.

(b) The Secretary has further authorized the Administrator to redelegate any of the delegated authority to employees of the Department.

§ 1700.15 Establishment of office.

There is established, as an organizational unit of the Department of Housing and Urban Development, the Office of Interstate Land Sales Registration. § 1700.20 Administrator.

The Office of Interstate Land Sales Registration is headed by the Interstate Land Sales Administrator who shall be designated by the Secretary.

§ 1700.25 Principal divisions.

The following Divisions have been established within the Office of Interstate Land Sales Registration:

(a) Examination Division.

(b) Land Sales Enforcement Division. (c) Policy Development and Control Division.

§ 1700.30 Public information.

(a) In general. The identifiable records of the Office of Interstate Land Sales Registration are subject to the provisions of 5 USC 552, as implemented by Part 15-Public Information, Subtitle A, of this title.

(b) Availability of information and records. Information concerning land sales registrations and copies of statements of record may be obtained from the following address:

Office of Interstate Land Sales Registration, Department of Housing and Urban Development, 451 Seventh Street, SW., Washington, D.C. 20410.

In addition, statements of record may be reviewed at such address on any business day from 9 a.m. to 4:15 p.m.

(c) Nonapplicability of exemptions authorized by 5 USC 552. Section 1405(d) of the Act specifically provides that information contained in or filed with any statement of record shall be made available to the public. The exemptions from public disclosure authorized by 5 USC 552, as set forth in § 15.21 of this title, are not applicable to information contained in or filed with a statement of record.

(d) Duplication fee-property report. Notwithstanding the provisions of § 15.14, Schedule of Fees, of this title, copies of a Property Report on file with the Office of Interstate Land Sales Registration will be provided upon request for a fixed fee of $2.50 per copy regardless of the number of pages duplicated. Payment may be made in cash or by check or money order payable to the Department of Housing and Urban Development. Personal checks are acceptable.

(e) Duplication and certification feerequired documents to the several States that accept Federal filings. Notwithstanding the provisions of § 15.14 Schedule of fees of this title, copies of documents on file with the Office of Interstate Land Sales Registration that are provided for certification to the several states that accept Federal filings will be provided upon request for a fixed fee of $12.00 per filing regardless of the number of pages duplicated.

(f) Methods of payment. The fees set forth in paragraphs (d) and (e) of this section may be paid by cash, by personal check, or by company check; or by U.S. money orders; or by certified check payable to the Treasurer of the United States or to the Department of Housing and Urban Development. Postage stamps will not be accepted. All other fees must be paid as set forth in § 15.14(g) of Title 24 of the Code of Federal Regulations. (Sec. 7(d), Department of Housing and Urban Development Act, 79 Stat. 670 (42 U.S.C. 3535(d), 1419); Secretary's delegation of authority published at 37 FR 5071) [39 FR 19778, June 4, 1974, as amended at 40 FR 14753, Apr. 2, 1975]

§ 1700.35 Separability of provisions.

If any clause, sentence, paragraph, or part of these regulations shall, for any reason, be adjudged by any court of competent jurisdiction to be invalid, such judgment shall not affect, impair, or invalidate the remainder thereof, but shall be confined by its operation to the clause,

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