Catalog. Call either of these offices to obtain a copy of Handbook 7610.1 REV-2 dated September 1990. Headquarters Office: Single Family Servicing Division, Secretary Held and Counseling Services Branch, Department of Housing (202) 708-3664. This is NOT a toll-free number. 14.170 CONGREGATE HOUSING SERVICES PROGRAM (CHSP) written assurances, related documentation, and other criteria, and determine the grant amounts. This program is subject to the provisions of OMB Circular No. A-110. The standard applications forms as furnished by the Federal agency and required by OMB Circular No. A-102 must be used for this program. The applicants compete for housing counseling grants within the Region, and not all applicants receive housing counseling grants. The HUD allocation of counseling funds to the Regions and the grant award proc ess do not cross Regional boundaries. Award Procedure: Grants are awarded competitively by the HUD Regional Offices. Grant agreements are issued by the HUD Re gional Offices to the successful applicants. Deadlines: Due dates and times for the receipt of applications for housing counseling grants are specified in the application. Range of Approval/Disapproval Time: Housing counseling grants must be awarded on or prior to the end of the fiscal year. Appeals: Applicants for housing counseling grants may appeal their denial of a grant award or the insufficiency of the grant amount to the Regional Contracting Officer in HUD Regional Office. Applicants may also appeal their denial of an application for a housing counseling grant. Renewals: HUD-approved housing counseling agencies are subject to a biennial performance review by the local HUD Field Office to retain status as a HUD-approved counseling agency. The Field Office may conduct a review at any time it deems it necessary. ASSISTANCE CONSIDERATIONS: Formula and Matching Requirements: This program has no statutory formula. Grantees need to obtain funding from other resources, as HUD funding only partially supports the costs of housing counseling activities of the grantees. This program has no matching re quirements. Length and Time Phasing of Assistance: Funding assistance is for a discrete period of time, generally 1 year. Grantees invoice HUD on a monthly basis for housing counseling services delivered during the previous month. Payments of grant funds are subsequently made to grantees via Treasury check or direct deposit/ electronic funds transfer (DD/EFT). POST ASSISTANCE REQUIREMENTS: Reports: Grantees must file monthly invoice and quarterly perform ance reports as well as final reports pursuant to grant agreement. Audits: A performance review once every two years is required and made by HUD Field Office. No other audits are required, but may be performed by Regional Office or Headquarters, HUD Office of Inspector General or General Accounting Office. Records: As required in grant document and Housing Counseling Handbook, HUD 7610.1 REV 2 dated September 1990. Account Identification: 86-0156-0-1-506. FY 94 est $0. the number and amount of its grants based upon the Region's allocation of counseling funds in relation to the need for the services documented by the Regional Office and the applicant, the applicant's past performance as a HUD-approved housing counseling agency and HUD grantee, and other related factors. The average grant in FY 1992 was $15,590. PROGRAM ACCOMPLISHMENTS: HUD funded 340 HUD-ap proved housing counseling agencies in fiscal year 1992. REGULATIONS, GUIDELINES, AND LITERATURE: Housing coun seling proposed regulations were published in the Federal Register on November 15, 1991. HUD expects to publish the final Rule in 1993. The revised Housing Counseling Program Handbook 7610.1 Rev 2 was distributed to HUD Regional and Field Offices in October 1990. Regional and Field Offices distributed copies of the handbook to all agencies approved as of that date. INFORMATION CONTACTS: Regional or Local Office: Contact the Director of Housing in HUD Regional Offices or the Chief of the Loan Management Branch in local HUD Field Offices. Offices are listed in Appendix IV of the FEDERAL AGENCY: HOUSING, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT AUTHORIZATION: Congregate Housing Services Act of 1978; Hous ing and Community Development Amendments of 1978, Title IV, as amended, Public Law 95-557, 42 U.S.C. 8001; Housing and Community Development Act of 1987, Public Law 100-242. A revised CHSP was authorized under Section 802 of the National Affordable Housing Act, Public Law 101-625. HUD administers the revised CHSP in coordination with Farmers Home Administration (FmHA) of the Department of Agriculture. OBJECTIVES: 1) To prevent premature or unnecessary institutional ization of the frail elderly, non-elderly handicapped, and temporarily disabled, 2) to provide a variety of innovative approaches for the delivery of meals and non-medical supportive services while utilizing existing service programs and 3) to fill gaps in existing service systems and ensure availability of funding for meals, and appropriate services needed to maintain independent living. This program was converted from a demonstration to ongoing status by the Housing and Community Development Act of 1987. TYPES OF ASSISTANCE: Project Grants. USES AND USE RESTRICTIONS: Project must include at least one meal per day, seven days per week and may also propose additional meals and other supportive services essential for maintaining independent living subject to HUD approval. Projects must not duplicate services which are already affordable, accessible and suffi ciently available on a long-term basis to project recipients. ELIGIBILITY REQUIREMENTS: Applicant Eligibility: Eligible applicants are States, Indian tribes, units of local government, public and Indian housing authorities, Section 202 projects, and those projects funded under Section 8 project-based certificates, Sections 221(d) and 236, and, Sections 514, 515, and 516 of the Farmers' Home Administration. Although grantees are limited to nonprofit owners or units of government, profit-motivated owners may be included under an umbrella application submitted by a unit of government. Applicants must: (1) have an accessible dining facility; (2) have a need for the program; (3) be able to demonstrate a record of satisfactory management in housing or services for the elderly or non-elderly disabled; (4) have a record of satisfactory performance in areas of equal oppor tunity. Beneficiary Eligibility: Eligible beneficiaries must be residents of the approved housing projects and be frail elderly (62 or over), and unable to perform at least three activities of daily living (ADLs), non-elderly disabled or temporarily disabled. Credentials/Documentation: None. This program is excluded from coverage under OMB Circular No. A-87. APPLICATION AND AWARD PROCESS: Preapplication Coordination: This program is excluded from cover age under OMB Circular No. A-102. This program is eligible for coverage under E.O. 12372, "Intergovernmental Review of Federal Programs.” An applicant should consult the office or official designated as the single point of contact in his or her State for more information on the process the State requires to be followed in applying for assistance, if the State has selected the program for review. Application Procedure: Applications must be submitted in accordance with the requirements stipulated in the Notice of Funding Availkeeping, personal assistance and transportation; (2) A 200 unit Section 202 development where 60 residents are served meals. Other services include housekeeping, escort and personal assistance; (3) A 48 unit handicapped development where all residents receive two meals daily, transportation, personal assistance and housekeeping; (4) A 158 unit Section 202 development where 33 residents are being served lunch and dinner daily. Other services include housekeeping, personal care, transportation and counseling. CRITERIA FOR SELECTING PROPOSALS: Published in the Notice of Funding Availability and the Request for Grant Application for each application period. 14.171 MANUFACTURED HOME CONSTRUCTION AND SAFETY STANDARDS (Manufactured Housing) ability (NOFA) and forms provided in the Request for Grant Application (REGA) which are mailed upon request directly to potential applicants by HUD Headquarters. This program is subject to the provisions of OMB Circular No. A-110. Under the existing CHSP, applications for new grants have not been solicited by HUD since 1983. The program was funded in 1985, 1986, 1987, 1988, 1989, 1990 and 1991 solely to continue existing grants. Award Procedure: Applications are approved by the HUD Head quarters Office. Deadlines: Periodic application deadlines may be announced by HUD. Contact the HUD Field Offices, Director, Housing Man agement Division, for further information. Range of Approval/Disapproval Time: Within 60 days from date of application deadline for new applications. Appeals: None. Renewals: At end of grant period, subject to the availability of ap propriations. ASSISTANCE CONSIDERATIONS: Formula and Matching Requirements: Under the existing CHSP, grantees are expected to maintain services currently being provided to project residents and to establish fees for program participants to pay all or part of the cost of the Congregate Housing Services Program services received. Current CHSP applicants are exempt from the owner or third party match requirements during the 6 year transitional period allowed under the National Affordable Housing Act (Public Law 101-625). Under the revised CHSP, HUD will provide funds to cover up to 40 percent of the cost of supportive services; States, Indian tribes, units of government, project owners or other third party sources will pay at least 50 percent of the costs; and, program participants shall pay at least 10 percent of the costs up to a maximum of 20 percent of adjusted income. Length and Time Phasing of Assistance: Assistance for existing grants is for annual renewals, subject to appropriations. Assistance for new grants will be 5 years, and renewable, at the expiration of the contract term, subject to appropriations. Funds are made available through Treasury Check. POST ASSISTANCE REQUIREMENTS: Reports: Monthly or quarterly financial reports; semiannual perform ance report for first 2 years of grant and quarterly and annual per formance reports thereafter, as stated in OMB Circular No. A-110. Audits: Annual and final audits required. Records: As required by OMB Circular No. A-110 and grant docu ment. Account Identification: 86-0178-0-1-604. FY 94 est $6,267,000. year 1985 has been only to amend existing contracts. In fiscal year 1993, HUD/FmHA expects to fund new grants for the revised CHSP using fiscal year 1992 and 1993 funds. PROGRAM ACCOMPLISHMENTS: See Examples of Funded Projects. REGULATIONS, GUIDELINES, AND LITERATURE: HUD Hand book 4640.1, Monitoring and Technical Assistance Handbook for the Congregate Housing Services Program. INFORMATION CONTACTS: Regional or Local Office: Contact Director of Housing Management Division in appropriate HUD Field Office listed in Appendix IV of the Catalog Headquarters Office: Chief, Services Branch, Housing for the Elder ly and Handicapped People Division, Office of Elderly and Assisted Housing, Department of Housing and Urban Development, Washington, DC 20410. Telephone: (202) 708-3291. RELATED PROGRAMS: 93.045, Special Programs for the Aging Title III, Part C-Nutrition Services. EXAMPLES OF FUNDED PROJECTS: Examples of Congregate Housing Services Program; (1) a public housing development where 35 residents are being included in the program. Lunch and dinner served seven days a week. Other services include house FEDERAL AGENCY: HOUSING, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT AUTHORIZATION: National Manufactured Housing Construction and Safety Standards Act, Title VI, Public Law 93-383; 42 U.S.C. 5401, et seq., as amended; Public Laws 95-128 and 96-399. OBJECTIVES: To improve the safety, quality, and durability of manu factured homes and provide consumer protection through enforcement of the HUD design and construction standards for these homes, investigation of consumer complaints, and certifications, testing, in-plant inspections, and review of manufacturers' designs and Quality Assurance programs. HUD has no jurisdiction over the siting of the homes which is the responsibility of local govern ment officials. TYPES OF ASSISTANCE: Dissemination of Technical Information; Investigation of Complaints. USES AND USE RESTRICTIONS: Manufacturers who build "manu factured homes” as defined by the Act, for sale in the United States are subject to the Act and must comply with preemptive Federal Manufactured Home Construction and Safety Standards (24 CFR 3280). Designs of homes are reviewed for compliance, and homes are inspected during construction by HUD-approved third-party inspection agencies. Consumers receiving defective homes have recourse, ranging from the right to be notified that their home contains a defect, to correction by the manufacturer of serious defects and imminent safety hazards. Dealers are prohibited from selling homes which they know have noncompliances with the Federal Standards. The program only regulates design and construction of the factory-built home, and does not cover the siting or foundation of the home, or have jurisdiction over on-site improvements such as utilities, driveways, porches, foundations, etc. ELIGIBILITY REQUIREMENTS: Applicant Eligibility: Any purchaser of a manufactured home built on or after June 15, 1976 for residential use is automatically cov ered by the program. Beneficiary Eligibility: Any purchaser of a residential manufactured home built on or after June 15, 1976. Credentials/Documentation: None required for the purchaser. This program is excluded from coverage under OMB Circular No. A 87. APPLICATION AND AWARD PROCESS: Preapplication Coordination: Not required. This program is excluded from coverage under E.O. 12372. Application Procedure: Manufacturers must have designs for each manufactured home model to be produced, reviewed and approved by a HUD-approved third-party design inspection agency. Each home must be inspected during at least one phase of construction by a third-party in-plant inspection entity. A purchaser with a complaint must contact HUD or a State Administrative Agency (SAA) approved by HUD to participate in the program. This program is excluded from coverage under OMB Circular Nos. A-102 and A-110. Award Procedure: Unless defects or noncompliances with the stand ards are found in homes, retailers or manufacturers may label and sell the units. If a purchaser complains, HUD or an SAA may request an investigation by the manufacturer or the dealer, and may then initiate enforcement actions under applicable regulations (24 CFR 3282). Deadlines: Each manufactured home must bear a manufacturer's certification label, certifying compliance with the Federal Stand ards, before the home can be sold to a retailer or purchaser. Range of Approval/Disapproval Time: Not applicable. Appeals: A manufacturer may appeal a preliminary determination, and be granted a hearing or presentation of views by HUD or by a State Administrative Agency (SAA) whenever homes are identified as having "serious defects" or "imminent safety hazards," and notification or correction would be required under the regulations. Renewals: Not applicable. ASSISTANCE CONSIDERATIONS: Formula and Matching Requirements: Not applicable. Length and Time Phasing of Assistance: Not applicable. Reports: Not applicable. fill out an information card listing the name of the purchaser and the home's location, and to send it to the home manufacturer. FINANCIAL INFORMATION: Account Identification: 86-5271-0-2-376. $950,000; and FY 94 est SO. (Contracts); FY 92 $3,100,000; FY 93 States); FY 92 $2,435,000; FY 93 $3,600,000; and FY 94 est $0. Range and Average of Financial Assistance: Not applicable. PROGRAM ACCOMPLISHMENTS: Since 1976, over 3.8 million manufactured homes have been produced under this program. Current annual production is around 210,000 homes, or one out of every six new single-family homes built in this country. Fire safety and durability of the homes have improved. Each year approximately 1000 consumer complaints are handled by HUD, and an additional 7,000 are handled by State Administrative Agencies participating in the program. REGULATIONS, GUIDELINES, AND LITERATURE: Manufactured Home Construction and Safety Standards appear in the Code of appear at 24 CFR 3283, et seq. INFORMATION CONTACTS: Regional or Local Office: None. of Manufactured Housing and Regulatory Functions (HSM), Man- DC 20410-8000. Telephone: (202) 708-2210. provided certain conditions are met. The maximum insurable mortgage loan for an occupant mortgagor is the same as pre scribed for Section 203(b). ELIGIBILITY REQUIREMENTS: Applicant Eligibility: All persons intending to occupy the property are eligible to apply. Beneficiary Eligibility: Individuals/families. Credentials/Documentation: Documentation regarding the character. istics of the property and the qualifications of the mortgagor are assembled by the mortgagee and submitted with the application. This program is excluded from coverage under OMB Circular No. A-87. APPLICATION AND AWARD PROCESS: Preapplication Coordination: None. This program is excluded from coverage under E.O. 12372. Application Procedure: Application is submitted for review and ap proval or disapproval to the local HUD Field Office through a HUD-approved mortgagee lending institution. This program is excluded from coverage under OMB Circular Nos. A-102 and A 110. Award Procedure: See Application Procedure. Deadlines: None. Range of Approval/Disapproval Time: Varies. Appeals: HUD will state the reasons for refusing an application. The applicant may reapply subject to concurrence of the lender. Renewals: Not applicable. ASSISTANCE CONSIDERATIONS: Formula and Matching Requirements: For most families, the maxi mum amount of the loan is 97 percent of the first $25,000 of estimated value (including total allowable closing costs) plus 95 percent up to $125,000. If the property is in an area with mortgage limits above $125,000, the financing is 90 percent of such value in excess of $125,000. In no event (except for veteran loans) may a loan exceed 98.75 percent of value for properties worth up to $50,000; or 97.75 percent of value for properties worth more than $50,000. The downpayment is the difference between the maximum loan amount and the purchase price of the home. In addition to the downpayment, the purchaser must pay for all items of prepaid expense. The mortgage insurance premium which may be financed is required at the time of loan origination for a single family house. The loan origination charge by the mortgagee varies, but may not exceed one percent of the total mortgage (minus the mortgage insurance premium, if financed). Mortgagors may be charged appraisal and inspection fees in accordance with fee schedules established by HUD. If the property is a condominium unit; the mortgage insurance premium is one-half percent paid monthly Length and Time Phasing of Assistance: The Mortgage terms vary according to the plan chosen. POST ASSISTANCE REQUIREMENTS: Reports: Defaults in meeting the mortgage terms must be reported. All approved mortgagees at any time upon request by HUD must furnish a copy of their latest financial statement. Audits: The Department of Housing and Urban Development re serves the right to audit the account of the Mortgagee to determine its compliance and conformance with HUD regulations and standards. Records: Mortgagees are required to service and maintain records in accordance with acceptable mortgage practices of prudent lending instructions and the HUD regulations. FINANCIAL INFORMATION: Account Identification: 86-4587-0-3-371. Range and Average of Financial Assistance: Not applicable. PROGRAM ACCOMPLISHMENTS: In fiscal year 1992, 1,315 units were insured with a value of $119,678,004. Cumulative totals through September 30, 1992 are 18,495 units insured with a value of $1,434,754,683. REGULATIONS, GUIDELINES, AND LITERATURE: Departmental memorandums dated June 4 and July 15, 1982. 14.172 MORTGAGE INSURANCE-GROWING EQUITY MORTGAGES (GEMs) FEDERAL AGENCY: HOUSING, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT AUTHORIZATION: National Housing Act, as amended, Section 245(a). OBJECTIVES: To provide a rapid principal reduction and shorter mortgage term by increasing payments over a 10-year period, thereby expanding housing opportunities to the homebuying public. TYPES OF ASSISTANCE: Guaranteed/Insured Loans. USES AND USE RESTRICTIONS: HUD insures lenders against loss on mortgage loans. These loans may be used to finance the purchase of proposed, under construction, or existing single family housing, as well as to refinance indebtedness on existing housing, INFORMATION CONTACTS: with the nearest local HUD Field Office listed in Appendix IV of the Catalog. Headquarters Office: Director, Single Family Development Division, Office of Insured Single Family Housing, Department of Housing and Urban Development, Washington, DC 20410. Telephone: (202) 708-2700. RELATED PROGRAMS: 14.108, Rehabilitation Mortgage Insurance; 14.120, Mortgage Insurance-Homes for Low and Moderate Housing. 14.174 HOUSING DEVELOPMENT GRANTS (HDG) FEDERAL AGENCY: HOUSING, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT AUTHORIZATION: Housing Act of 1937, as amended, Section 17, Public Law 75-412; Housing and Urban-Rural Recovery Act of 1983, Section 301, Public Law 98-181. OBJECTIVES: To support the construction or substantial rehabilita tion of rental housing in areas experiencing severe shortages of decent rental housing opportunities for families and individuals without other reasonable and affordable housing alternatives in the private market. (There have been no new appropriations for this program since FY 1987. The authorization terminated at the end of FY 1989, pursuant to Section 152(a) of the Housing and Community Development Act of 1987, Public Law 100-242. Therefore, no new funding announcements are anticipated.) TYPES OF ASSISTANCE: Project Grants. USES AND USE RESTRICTIONS: Grant funds are used by grantee (cities, counties and States) to provide grants, loans, interest reduction subsidies or other assistance to owners for the construction or substantial rehabilitation rental housing projects which are located in HUD-designated eligible areas or which promote HUD-approved special housing needs or neighborhood preservation purposes. The maximum grant amount for a project may not exceed 50 percent of the total project development cost, generally excluding the cost of site/property acquisition. At least 20 percent of an assisted project's units must be occupied, or available for occupancy, by lower-income families, (i.e., families with incomes not exceeding 80 percent of area median income) at rents not exceeding 30 percent of the adjusted income of a family whose income equals 50 percent of the area median income. ELIGIBILITY REQUIREMENTS: Applicant Eligibility: Any unit of general local government and States acting on behalf of, and with the concurrence of, units of general local government are eligible to apply. Beneficiary Eligibility: Grant funds will ultimately benefit developers and owners of newly-constructed and substantially-rehabilitated rental housing, as well as families and individuals (including those qualifying as lower-income) in need of decent rental units. Credentials/Documentation: The applicant must submit documenta tion regarding the physical characteristics of the proposed project, the financial feasibility of the project and other factors which must be considered by HUD in selecting projects for funding. Costs will be determined in accordance with OMB Circular No. A-87 for State and local governments. APPLICATION AND AWARD PROCESS: Preapplication Coordination: The standard application forms as fur nished by HUD and required by OMB Circular No. A-102 must be used for this program. An environmental assessment is required for each project under this program. Prospective applicants may contact HUD field offices to obtain application materials, assistance in preparing applications and general program guidance prior to submitting applications. This program is eligible for coverage under E.O. 12372, ”Intergovernmental Review of Federal Programs." An applicant should consult the office or official designated as the single point of contact in his or her State for more information on the process the State requires to be followed in apply ing for assistance, if the State has selected the program for review. Application Procedure: No applications are being accepted. Award Procedure: HUD Field offices will review applications and forward their comments and recommendations to HUD Headquarters. HUD Headquarters also will review applications and, taking into account field office findings, will make selections for funding on the basis of selection factors and priorities set forth in the stat ute and HUD regulations. Deadlines: Not applicable. Range of Approval/Disapproval Time: Approximately 2-3 months from the deadline for submission of applications. Appeals: None. Renewals: Not applicable. ASSISTANCE CONSIDERATIONS: Formula and Matching Requirements: This program has no statutory formula. Maximum grant for a particular project may not exceed 50 percent of the total development cost of the project; thus, at least 50 percent of the project cost must be covered by private and/or other public funds. This program has maintenance of effort (MOE) requirements, see funding agency for further details. Length and Time Phasing of Assistance: Construction must start within 24 months of Notification of Grant Award. POST ASSISTANCE REQUIREMENTS: Reports: Grantees are required to submit semiannual progress reports until project closeout. Grantees will also be required to submit reports on relocation and various matters relating to fair housing and equal opportunity. Audits: In accordance with the provisions of OMB Circular No. A 128, "Audits of State and Local Governments,” State and local governments that receive financial assistance of $100,000 or more within the State's fiscal year shall have an audit made for that year. State and local governments that receive between $25,000 and $100,000 within the State's fiscal year shall have an audit made in accordance with Circular No. A-128, or in accordance with Federal laws and regulations governing the programs in which they participate. Records: A grantee is required to retain financial records, supporting documents, statistical records, environmental review records, and all other records pertinent to the grant-funded project for a period of at least three years from the date of submission of its last progress report. FINANCIAL INFORMATION: Account Identification: 86-0169-1-1-451. $0. (FY 1993 activity reflects re-obligations of a previously de-ob ligated project pursuant to the 1993 Appropriations Act.) Range and Average of Financial Assistance: Average award per project is $1.9 million, ranging from $203,000 to $9,500,000, based on first, second and third round approvals. PROGRAM ACCOMPLISHMENTS: A total of 24,797 units were ap proved in fiscal years 1984 through 1987 for a total of $504.4 mil lion. REGULATIONS, GUIDELINES, AND LITERATURE: 24 CFR, Part 850. INFORMATION CONTACTS: Regional or Local Office: See Appendix IV of the Catalog for loca tions of HUD field offices. Headquarters Office: Director, Development Grants Division, Office of Elderly and Assisted Housing, Department of Housing and Urban Development, Room 3201, 470 L'Enfant Plaza, S.W., Washington, DC 20024. Telephone: (202) 755-4961. RELATED PROGRAMS: None. EXAMPLES OF FUNDED PROJECTS: All first and second round applications were for rental housing projects of at least 20 units, but not more than 300 units. The third and fourth funding rounds had a maximum limit of 200 units per project. CRITERIA FOR SELECTING PROPOSALS: HUD will compare proposalş on the following statutorily-prescribed selection criteria: (a) severity of rental housing shortage in project area; (b) amount of private and nonfederal funds leveraged by the grant(e) impact on neighborhood development and the mitigation of displacement; (d) the applicant's record in meeting assisted housing needs and its capacity to carry out the project; (e) average per-unit subsidy cost; (1) the applicant's mechanism of assuring the maintenance of affordable rents for lower-income families; (g) the financial feasibility of the project; (h) number of units intended for occupancy by families, including large families. Priority consideration will be given to projects which are in areas where waiting lists for assisted housing are relatively long and where Section 8 certificate holders require an excessive length of time to locate units, and which will have more than 20 percent of their units available for occupancy by lower-income families. 14.175 ADJUSTABLE RATE MORTGAGES (ARMS) FEDERAL AGENCY: HOUSING, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT AUTHORIZATION: National Housing Act, as amended; Housing and Urban-Rural Recovery Act of 1983, Section 251, Public Law 98 181, 12 U.S.C. 17152-16. OBJECTIVES: To provide mortgage insurance for an adjustable rate mortgage which offers lenders more assurance of long term profitability than a fixed rate mortgage, while offering consumer protec tion features. TYPES OF ASSISTANCE: Guaranteed/Insured Loans. USES AND USE RESTRICTIONS: HUD insures lenders against loss on mortgage loans. These loans may be used to finance the purchase of proposed, under construction, or existing one- to fourfamily housing as well as to refinance indebtedness on existing housing. The maximum insurable mortgage loan for an occupant mortgagor is the same as prescribed for Section 203(b). ELIGIBILITY REQUIREMENTS: Applicant Eligibility: All persons intending to occupy the property are eligible to apply. Beneficiary Eligibility: Individuals/Families. Credentials/Documentation: Documentation regarding the character istics of the property and the qualifications of the mortgagor are assembled by the mortgagee and submitted with the application. This program is excluded from coverage under OMB Circular No. A-87. APPLICATION AND AWARD PROCESS: Preapplication Coordination: None. This program is excluded from coverage under E.O. 12372. Application Procedure: Application is submitted for review and ap proval or disapproval to the local HUD Field Office through a HUD-approved lending institution. This program is excluded from coverage under OMB Circular Nos. A-102 and A-110. Award Procedure: See Application Procedure. Deadlines: None. Range of Approval/Disapproval Time: Varies. Appeals: HUD will state the reasons for refusing an application. The applicant may reapply subject to concurrence of the lender. Renewals: Not applicable. ASSISTANCE CONSIDERATIONS: Formula and Matching Requirements: For most families, the maxi mum amount of the loan is 97 percent of the first $25,000 of estimated value (including total allowable closing costs) plus 95 percent up to $125,000. If the property is in an area with mortgage limits above $125,000, the financing is 90 percent of such value in excess of $125,000. In no event (except for veteran loans) may a loan exceed 98.75 percent of value for properties worth up to $50,000; or 97.75 percent of value for properties worth more than $50,000. The downpayment is the difference between the maximum loan amount and the purchase price of the home. In addition to the downpayment, the purchaser must pay all items of prepaid expense. The mortgage insurance premium, which may be fi nanced, is required at the time of loan origination for a single family house. If the property is a condominium, the mortgage insurance premium is one-half percent paid monthly. The loan origination charge by the mortgagee varies, but may not exceed one percent of the total mortgage (minus the mortgage insurance premium, if financed). Mortgagors may be charged appraisal and inspection fees in accordance with fee schedules established by HUD. The interest rate adjustments of the mortgage may not increase more than one percent per year or five percent over the term of the mortgage. There is no negative amortization. The mortgagor must receive a disclosure statement explaining the ad justable rate features of their mortgage. Length and Time Phasing of Assistance: The mortgage term may extend for 30 years. POST ASSISTANCE REQUIREMENTS: Reports: Defaults in meeting the mortgage terms must be reported. All approved mortgagees at any time upon request by HUD must furnish a copy of their latest financial statement. Audits: The Department of Housing and Urban Development re serves the right to audit the account of the mortgagee to determine its compliance and conformance with HUD regulations and standards. Records: Mortgagees are required to service and maintain records in accordance with acceptable mortgage practices of prudent lending institutions and the HUD regulations. FINANCIAL INFORMATION: Account Identification: 86-4587-0-3-371. Range and Average of Financial Assistance: Not applicable. PROGRAM ACCOMPLISHMENTS: In fiscal year 1992, 99,099 units were insured with a value of $8,112,099,832. Cumulative totals through September 30, 1992 are 192,305 units insured with a value of $14,652,761,840. REGULATIONS, GUIDELINES, AND LITERATURE: 24 CFR 203.49; 234.79. INFORMATION CONTACTS: Regional or Local Office: Persons are encouraged to communicate with the nearest local HUD Field Office listed in Appendix IV of the Catalog Headquarters Office: Director, Single Family Development Division, Office of Insured Single Family Housing, Department of Housing and Urban Development, Washington, DC 20410. Telephone: (202) 708-2700. RELATED PROGRAMS: 14.117, Mortgage Insurance—Homes; 14.133, Mortgage Insurance-Purchase of Units in Condominiums; 14.159, Section 245 Graduated Payment Mortgage Program. EXAMPLES OF FUNDED PROJECTS: Not applicable. CRITERIA FOR SELECTING PROPOSALS: Not applicable. 14.179 NEHEMIAH HOUSING OPPORTUNITY GRANT PROGRAM (Nehemiah Housing) FEDERAL AGENCY: HOUSING, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT AUTHORIZATION: Housing and Community Development Act of 1987, Title VI, Public Law 100-242, 12 U.S.C. 17151. Note: The Cranston-Gonzalez National Affordable Housing Act of 1990, Public Law 101-625, repeals this authorization effective October 1, 1991. OBJECTIVES: To provide an opportunity for those families who oth erwise would not be financially able to realize their dream of owning a home, to increase the employment opportunities of the residents in neighborhoods where the housing is proposed and to create sound and attractive neighborhoods. TYPES OF ASSISTANCE: Project Grants. USES AND USE RESTRICTIONS: Recipients must be private, non profit organizations. Assistance is limited to programs involving the construction or substantial rehabilitation of homes, including detached dwellings, townhouses and condominium projects that consist of not more than four units. Programs must be of sufficient |