
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 23, 2000]
[Document not affected by Public Laws enacted between
  January 23, 2000 and December 4, 2001]
[CITE: 42USC12893]

 
                 TITLE 42--THE PUBLIC HEALTH AND WELFARE
 
                CHAPTER 130--NATIONAL AFFORDABLE HOUSING
 
 SUBCHAPTER IV--HOPE FOR HOMEOWNERSHIP OF MULTIFAMILY AND SINGLE FAMILY 
                                  HOMES
 
          Part B--HOPE for Homeownership of Single Family Homes
 
Sec. 12893. Implementation grants


(a) Grants

    The Secretary is authorized to make implementation grants to 
applicants for the purpose of carrying out homeownership programs 
approved under this part.

(b) Eligible activities

    Implementation grants may be used for activities to carry out 
homeownership programs (which may include programs for cooperative 
ownership), including the following activities:
        (1) Architectural and engineering work.
        (2) Acquisition of the property for the purpose of transferring 
    ownership to eligible families in accordance with a homeownership 
    program meeting the requirements of this part.
        (3) Rehabilitation of the property covered by the homeownership 
    program, in accordance with standards established by the Secretary.
        (4) Abatement of lead-based paint hazards, as required by 
    section 4822(a) of this title.
        (5) Administrative costs of the applicant, which may not exceed 
    15 percent of the amount of assistance provided under this section.
        (6) Counseling and training of homebuyers and homeowners under 
    the homeownership program.
        (7) Relocation of eligible families who elect to move.
        (8) Any necessary temporary relocation of homebuyers during 
    rehabilitation.
        (9) Legal fees.
        (10) Defraying costs for the ongoing training needs of the 
    recipient that are related to developing and carrying out the 
    homeownership program.
        (11) Economic development activities that promote economic self-
    sufficiency of homebuyers and homeowners under the homeownership 
    program.

(c) Matching funding

                           (1) In general

        Each recipient shall assure that contributions equal to not less 
    than 25 percent of the grant amounts under this section are provided 
    from non-Federal sources to carry out the homeownership program.

                              (2) Form

        Such contributions may be in the form of--
            (A) cash contributions from non-Federal resources which may 
        not include funds from a grant made under section 5306(b) or 
        section 5306(d) of this title;
            (B) payment of administrative expenses, as defined by the 
        Secretary, from non-Federal resources, including funds from a 
        grant made under section 5306(b) or section 5306(d) of this 
        title;
            (C) the value of taxes, fees, or other charges that are 
        normally and customarily imposed but are waived, foregone, or 
        deferred in a manner that facilitates the implementation of a 
        homeownership program assisted under this part;
            (D) the value of investment in on-site and off-site 
        infrastructure required for a homeownership program assisted 
        under this part; or
            (E) such other in-kind contributions as the Secretary may 
        approve.

    Contributions for administrative expenses shall be recognized only 
    up to an amount equal to 7 percent of the total amount of grants 
    made available under this section.

(d) Application

                       (1) Form and procedure

        An application for an implementation grant shall be submitted by 
    an applicant in such form and in accordance with such procedures as 
    the Secretary shall establish.

                      (2) Minimum requirements

        The Secretary shall require that an application contain at a 
    minimum--
            (A) a request for an implementation grant, specifying the 
        amount of the grant requested and its proposed uses;
            (B) a description of the qualifications and experience of 
        the applicant in providing low-income housing;
            (C) a description of the proposed homeownership program, 
        consistent with section 12894 of this title and the other 
        requirements of this part specifying the activities proposed to 
        be carried out and their estimated costs, identifying reasonable 
        schedules for carrying it out, and demonstrating that the 
        program will comply with the affordability requirements under 
        section 12894(b) of this title;
            (D) an identification and description of the properties to 
        be acquired under the homeownership program and a description of 
        the composition of potential eligible families, including family 
        size and income;
            (E) a description of and commitment for the resources that 
        are expected to be made available to provide the matching 
        funding required under subsection (c) of this section and of 
        other resources that are expected to be made available in 
        support of the homeownership program;
            (F) identification and description of the financing proposed 
        for any (i) rehabilitation and (ii) acquisition (I) of the 
        project, where applicable, by an entity for transfer to eligible 
        families, and (II) by eligible families of ownership interests 
        in, or shares representing, units in the project;
            (G) the proposed sales prices for the properties, the basis 
        for such price determinations, and terms to an entity, if any, 
        that will purchase that property for resale to eligible 
        families;
            (H) the proposed sales prices, if any, and terms to eligible 
        families;
            (I) identification and description of the entity that will 
        operate and manage the property;
            (J) a certification by the public official responsible for 
        submitting the comprehensive housing affordability strategy 
        under section 12705 of this title that the proposed activities 
        are consistent with the approved housing strategy of the State 
        or unit of general local government within which the project is 
        located (or, during the first 12 months after November 28, 1990, 
        that the application is consistent with such other existing 
        State or local housing plan or strategy that the Secretary shall 
        determine to be appropriate); and
            (K) a certification that the applicant will comply with the 
        requirements of the Fair Housing Act [42 U.S.C. 3601 et seq.], 
        title VI of the Civil Rights Act of 1964 [42 U.S.C. 2000d et 
        seq.], section 504 of the Rehabilitation Act of 1973 [29 U.S.C. 
        794], and the Age Discrimination Act of 1975 [42 U.S.C. 6101 et 
        seq.], and will affirmatively further fair housing.

(e) Selection criteria

    The Secretary shall establish selection criteria for assistance 
under this part, which shall include--
        (1) the ability of the applicant to develop and carry out the 
    proposed homeownership program, taking into account the 
    qualifications and experience of the applicant and the quality of 
    any related ongoing program of the applicant;
        (2) the feasibility of the homeownership program;
        (3) the quality and viability of the proposed homeownership 
    program;
        (4) the extent to which suitable eligible property is available 
    for use under the program in the area to be served, and the extent 
    to which the types of property expected to be covered by the 
    proposed homeownership program are federally owned;
        (5) whether the approved comprehensive housing affordability 
    strategy for the jurisdiction within which the eligible property is 
    located includes the proposed homeownership program as one of the 
    general priorities identified pursuant to section 12705(b)(7) of 
    this title;
        (6) national geographic diversity among housing for which 
    applicants are selected to receive assistance; and
        (7) the extent to which a sufficient supply of affordable rental 
    housing of the type assisted under this part exists in the locality, 
    so that the implementation of the homeownership program will not 
    appreciably reduce the number of such rental units available to 
    residents currently residing in such units or eligible for residency 
    in such units.

(f) Approval

    The Secretary shall notify each applicant, not later than 6 months 
after the date of the submission of the application, whether the 
application is approved or not approved.

(Pub. L. 101-625, title IV, Sec. 443, Nov. 28, 1990, 104 Stat. 4174; 
Pub. L. 102-550, title X, Sec. 1012(j)(2), Oct. 28, 1992, 106 Stat. 
3906; Pub. L. 103-233, title II, Sec. 221, Apr. 11, 1994, 108 Stat. 
366.)

                       References in Text

    The Fair Housing Act, referred to in subsec. (d)(2)(K), is title 
VIII of Pub. L. 90-284, Apr. 11, 1968, 82 Stat. 81, as amended, which is 
classified principally to subchapter I (Sec. 3601 et seq.) of chapter 45 
of this title. For complete classification of this Act to the Code, see 
Short Title note set out under section 3601 of this title and Tables.
    The Civil Rights Act of 1964, referred to in subsec. (d)(2)(K), is 
Pub. L. 88-352, July 2, 1964, 78 Stat. 241, as amended. Title VI of the 
Act is classified generally to subchapter V (Sec. 2000d et seq.) of 
chapter 21 of this title. For complete classification of this Act to the 
Code, see Short Title note set out under section 2000a of this title and 
Tables.
    The Age Discrimination Act of 1975, referred to in subsec. 
(d)(2)(K), is title III of Pub. L. 94-135, Nov. 28, 1975, 89 Stat. 728, 
as amended, which is classified generally to chapter 76 (Sec. 6101 et 
seq.) of this title. For complete classification of this Act to the 
Code, see Short Title note set out under section 6101 of this title and 
Tables.


                               Amendments

    1994--Subsec. (c)(1). Pub. L. 103-233 substituted ``25 percent'' for 
``33 percent''.
    1992--Subsec. (b)(4) to (11). Pub. L. 102-550 added par. (4) and 
redesignated former pars. (4) to (10) as (5) to (11), respectively.


                    Effective Date of 1994 Amendment

    Amendment by Pub. L. 103-233 applicable with respect to any amounts 
made available to carry out subchapter II (Sec. 12721 et seq.) of this 
chapter after Apr. 11, 1994, and any amounts made available to carry out 
that subchapter before that date that remain uncommitted on that date, 
with Secretary to issue any regulations necessary to carry out such 
amendment not later than end of 45-day period beginning on that date, 
see section 209 of Pub. L. 103-233, set out as a note under section 5301 
of this title.
