§ 1701x. — Assistance with respect to housing for low and moderateincome families.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 12USC1701x]
TITLE 12--BANKS AND BANKING
CHAPTER 13--NATIONAL HOUSING
Sec. 1701x. Assistance with respect to housing for low- and
moderate-income families
(a) Authorization to provide information, advice, and technical
assistance; scope of assistance; authorization of appropriations
(1) The Secretary is authorized to provide, or contract with public
or private organizations to provide, information, advice, and technical
assistance, including but not limited to--
(i) the assembly, correlation, publication, and dissemination of
information with respect to the construction, rehabilitation, and
operation of low- and moderate-income housing;
(ii) the provision of advice and technical assistance to public
bodies or to nonprofit or cooperative organizations with respect to
the construction, rehabilitation, and operation of low- and
moderate-income housing, including assistance with respect to self-
help and mutual self-help programs;
(iii) counseling and advice to tenants and homeowners with
respect to property maintenance, financial management, and such
other matters as may be appropriate to assist them in improving
their housing conditions and in meeting the responsibilities of
tenancy or homeownership; and
(iv) the provision of technical assistance to communities,
particularly smaller communities, to assist such communities in
planning, developing, and administering Community Development
Programs pursuant to title I of the Housing and Community
Development Act of 1974 [42 U.S.C. 5301 et seq.].
(2) The Secretary (A) shall provide the services described in clause
(iii) of paragraph (1) for homeowners assisted under section 235 of the
National Housing Act [12 U.S.C. 1715z]; (B) shall, in consultation with
the Secretary of Agriculture, provide such services for borrowers who
are first-time homebuyers with guaranteed loans under section 502(h) of
the Housing Act of 1949 [42 U.S.C. 1472(h)]; and (C) may provide such
services for other owners of single family dwelling units insured under
title II of the National Housing Act [12 U.S.C. 1707 et seq.] or
guaranteed or insured under chapter 37 of title 38. For purposes of this
paragraph and clause (iii) of paragraph (1), the Secretary may provide
the services described in such clause directly or may enter into
contracts with, make grants to, and provide other types of assistance to
private or public organizations with special competence and knowledge in
counseling low- and moderate-income families to provide such services.
(3) There is authorized to be appropriated for the purposes of this
subsection, without fiscal year limitation, such sums as may be
necessary; except that for such purposes there are authorized to be
appropriated $6,025,000 for fiscal year 1993 and $6,278,050 for fiscal
year 1994. Of the amounts appropriated for each of fiscal years 1993 and
1994, up to $500,000 shall be available for use for counseling and other
activities in connection with the demonstration program under section
152 of the Housing and Community Development Act of 1992. Any amounts so
appropriated shall remain available until expended.
(b) Loans to nonprofit organizations or public housing agencies; purpose
and terms; repayment; authorization of appropriations; deposit
of appropriations in Low and Moderate Income Sponsor Fund
(1) The Secretary is authorized to make loans to nonprofit
organizations or public housing agencies for the necessary expenses,
prior to construction, in planning, and obtaining financing for, the
rehabilitation or construction of housing for low or moderate income
families under section 235 of the National Housing Act [12 U.S.C. 1715z]
or any other federally assisted program. Such loans shall be made
without interest and shall not exceed 80 per centum of the reasonable
costs expected to be incurred in planning, and in obtaining financing
for, such housing prior to the availability of financing, including, but
not limited to, preliminary surveys and analyses of market needs,
preliminary site engineering and architectural fees, site acquisition,
application and mortgage commitment fees, and construction loan fees and
discounts. The Secretary shall require repayment of loans made under
this subsection, under such terms and conditions as he may require, upon
completion of the project or sooner, and may cancel any part or all of a
loan if he determines that it cannot be recovered from the proceeds of
any permanent loan made to finance the rehabilitation or construction of
the housing.
(2) The Secretary shall determine prior to the making of any loan
that the nonprofit organization or public housing agency meets such
requirements with respect to financial responsibility and stability as
he may prescribe.
(3) There are authorized to be appropriated for the purposes of this
subsection not to exceed $7,500,000 for the fiscal year ending June 30,
1969, and not to exceed $10,000,000 for the fiscal year ending June 30,
1970. Any amounts so appropriated shall remain available until expended,
and any amounts authorized for any fiscal year under this paragraph but
not appropriated may be appropriated for any succeeding fiscal year.
(4) All funds appropriated for the purposes of this subsection shall
be deposited in a fund which shall be known as the Low and Moderate
Income Sponsor Fund, and which shall be available without fiscal year
limitation and be administered by the Secretary as a revolving fund for
carrying out the purposes of this subsection. Sums received in repayment
of loans made under this subsection shall be deposited in such fund.
(c) Grants for homeownership counseling organizations
(1) In general
The Secretary of Housing and Urban Development may make grants--
(A) to nonprofit organizations experienced in the provision
of homeownership counseling to enable the organizations to
provide homeownership counseling to eligible homeowners; and
(B) to assist in the establishment of nonprofit
homeownership counseling organizations.
(2) Program requirements
(A) Applications for grants under this subsection shall be
submitted in the form, and in accordance with the procedures, that
the Secretary requires.
(B) The homeownership counseling organizations receiving
assistance under this subsection shall use the assistance only to
provide homeownership counseling to eligible homeowners.
(C) The homeownership counseling provided by homeownership
counseling organizations receiving assistance under this subsection
shall include counseling with respect to--
(i) financial management;
(ii) available community resources, including public
assistance programs, mortgage assistance programs, home repair
assistance programs, utility assistance programs, food programs,
and social services; and
(iii) employment training and placement.
(3) Availability of homeownership counseling
The Secretary shall take any action that is necessary--
(A) to ensure the availability throughout the United States
of homeownership counseling from homeownership counseling
organizations receiving assistance under this subsection, with
priority to areas that--
(i) are experiencing high rates of home foreclosure and
any other indicators of homeowner distress determined by the
Secretary to be appropriate;
(ii) are not already adequately served by homeownership
counseling organizations; and
(iii) have a high incidence of mortgages involving
principal obligations (including such initial service
charges, appraisal, inspection, and other fees as the
Secretary shall approve) in excess of 97 percent of the
appraised value of the properties that are insured pursuant
to section 203 of the National Housing Act [12 U.S.C. 1709];
and
(B) to inform the public of the availability of the
homeownership counseling.
(4) Eligibility for counseling
A homeowner shall be eligible for homeownership counseling under
this subsection if--
(A) the home loan is secured by property that is the
principal residence (as defined by the Secretary) of the
homeowner;
(B) the home loan is not assisted under title V of the
Housing Act of 1949 [42 U.S.C. 1471 et seq.]; and
(C) the homeowner is, or is expected to be, unable to make
payments, correct a home loan delinquency within a reasonable
time, or resume full home loan payments due to a reduction in
the income of the homeowner because of--
(i) an involuntary loss of, or reduction in, the
employment of the homeowner, the self-employment of the
homeowner, or income from the pursuit of the occupation of
the homeowner; or
(ii) any similar loss or reduction experienced by any
person who contributes to the income of the homeowner.
An applicant for a mortgage shall be eligible for homeownership
counseling under this subsection if the applicant is a first-time
homebuyer who meets the requirements of section 12852(b)(1) of title
42 and the mortgage involves a principal obligation (including such
initial service charges, appraisal, inspection, and other fees as
the Secretary shall approve) in excess of 97 percent of the
appraised value of the property and is to be insured pursuant to
section 203 of the National Housing Act [12 U.S.C. 1709].
(5) Notification of availability of homeownership counseling
(A) Notification of availability of homeownership counseling
(i) Requirement
Except as provided in subparagraph (C), the creditor of
a loan (or proposed creditor) shall provide notice under
clause (ii) to (I) any eligible homeowner who fails to pay
any amount by the date the amount is due under a home loan,
and (II) any applicant for a mortgage described in paragraph
(4).
(ii) Content
Notification under this subparagraph shall--
(I) notify the homeowner or mortgage applicant of
the availability of any homeownership counseling offered
by the creditor (or proposed creditor);
(II) if provided to an eligible mortgage applicant,
state that completion of a counseling program is
required for insurance pursuant to section 203 of the
National Housing Act [12 U.S.C. 1709]; and
(III) notify the homeowner or mortgage applicant of
the availability of homeownership counseling provided by
nonprofit organizations approved by the Secretary and
experienced in the provision of homeownership
counseling, or provide the toll-free telephone number
described in subparagraph (D)(i).
(B) Deadline for notification
The notification required in subparagraph (A) shall be
made--
(i) in a manner approved by the Secretary; and
(ii) before the expiration of the 45-day period
beginning on the date on which the failure referred to in
such subparagraph occurs.
(C) Notification
Notification under subparagraph (A) shall not be required
with respect to any loan for which the eligible homeowner pays
the amount overdue before the expiration of the 45-day period
under subparagraph (B)(ii).
(D) Administration and compliance
The Secretary shall, to the extent of amounts approved in
appropriation Acts, enter into an agreement with an appropriate
private entity under which the entity will--
(i) operate a toll-free telephone number through which
any eligible homeowner can obtain a list of nonprofit
organizations, which shall be updated annually, that--
(I) are approved by the Secretary and experienced in
the provision of homeownership counseling; and
(II) serve the area in which the residential
property of the homeowner is located;
(ii) monitor the compliance of creditors with the
requirements of subparagraphs (A) and (B); and
(iii) report to the Secretary not less than annually
regarding the extent of compliance of creditors with the
requirements of subparagraphs (A) and (B).
(E) Report
The Secretary shall submit a report to the Congress not less
than annually regarding the extent of compliance of creditors
with the requirements of subparagraphs (A) and (B) and the
effectiveness of the entity monitoring such compliance. The
Secretary shall also include in the report any recommendations
for legislative action to increase the authority of the
Secretary to penalize creditors who do not comply with such
requirements.
(6) Definitions
For purposes of this subsection:
(A) The term ``creditor'' means a person or entity that is
servicing a home loan on behalf of itself or another person or
entity.
(B) The term ``eligible homeowner'' means a homeowner
eligible for counseling under paragraph (4).
(C) The term ``home loan'' means a loan secured by a
mortgage or lien on residential property.
(D) The term ``homeowner'' means a person who is obligated
under a home loan.
(E) The term ``residential property'' means a 1-family
residence, including a 1-family unit in a condominium project, a
membership interest and occupancy agreement in a cooperative
housing project, and a manufactured home and the lot on which
the home is situated.
(7) Regulations
The Secretary shall issue any regulations that are necessary to
carry out this subsection.
(8) Authorization of appropriations
There are authorized to be appropriated to carry out this
section $7,000,000 for fiscal year 1993 and $7,294,000 for fiscal
year 1994, of which amounts $1,000,000 shall be available in each
such fiscal year to carry out paragraph (5)(D). Any amount
appropriated under this subsection shall remain available until
expended.
(d) Prepurchase and foreclosure-prevention counseling demonstration
(1) Purposes
The purpose of this subsection is--
(A) to reduce defaults and foreclosures on mortgage loans
insured under the Federal Housing Administration single family
mortgage insurance program;
(B) to encourage responsible and prudent use of such
federally insured home mortgages;
(C) to assist homeowners with such federally insured
mortgages to retain the homes they have purchased pursuant to
such mortgages; and
(D) to encourage the availability and expansion of housing
opportunities in connection with such federally insured home
mortgages.
(2) Authority
The Secretary of Housing and Urban Development shall carry out a
program to demonstrate the effectiveness of providing coordinated
prepurchase counseling and foreclosure-prevention counseling to
first-time homebuyers and homeowners in avoiding defaults and
foreclosures on mortgages insured under the Federal Housing
Administration single family home mortgage insurance program.
(3) Grants
Under the demonstration program under this subsection, the
Secretary shall make grants to qualified nonprofit organizations
under paragraph (4) to enable the organizations to provide
prepurchase counseling services to eligible homebuyers and
foreclosure-prevention counseling services to eligible homeowners,
in counseling target areas.
(4) Qualified nonprofit organizations
The Secretary shall select nonprofit organizations to receive
assistance under the demonstration program under this subsection
based on the experience and ability of the organizations in
providing homeownership counseling and their ability to provide
community-based prepurchase and foreclosure-prevention counseling
under paragraphs (5) and (6) in a counseling target area. To be
eligible for selection under this paragraph, a nonprofit
organization shall submit an application containing a proposal for
providing counseling services in the form and manner required by the
Secretary.
(5) Prepurchase counseling
(A) Mandatory participation
Under the demonstration program, the Secretary shall require
any eligible homebuyer who intends to purchase a home located in
a counseling target area and who has applied for (as determined
by the Secretary) a qualified mortgage (as such term is defined
in paragraph (9)) on such home that involves a downpayment of
less than 10 percent of the principal obligation of the
mortgage, to receive counseling prior to signing of a contract
to purchase the home. The counseling shall include counseling
with respect to--
(i) financial management and the responsibilities
involved in homeownership;
(ii) fair housing laws and requirements;
(iii) the maximum mortgage amount that the homebuyer can
afford; and
(iv) options, programs, and actions available to the
homebuyer in the event of actual or potential delinquency or
default.
(B) Eligibility for counseling
A homebuyer shall be eligible for prepurchase counseling
under this paragraph if--
(i) the homebuyer has applied for a qualified mortgage;
(ii) the homebuyer is a first-time homebuyer; and
(iii) the home to be purchased under the qualified
mortgage is located in a counseling target area.
(6) Foreclosure-prevention counseling
(A) Availability
Under the demonstration program, the Secretary shall make
counseling available for eligible homeowners who are 60 or more
days delinquent with respect to a payment under a qualified
mortgage on a home located within a counseling target area. The
counseling shall include counseling with respect to options,
programs, and actions available to the homeowner for resolving
the delinquency or default.
(B) Notification of delinquency
Under the demonstration program, the Secretary shall require
the creditor of any eligible homeowner who is delinquent (as
described in subparagraph (A)) to send written notice by
registered or certified mail within 5 days (excluding Saturdays,
Sundays, and legal public holidays) after the occurrence of such
delinquency--
(i) notifying the homeowner of the delinquency and the
name, address, and phone number of the counseling
organization for the counseling target area; and
(ii) notifying any counseling organization for the
counseling target area of the delinquency and the name,
address, and phone number of the delinquent homeowner.
(C) Coordination with emergency homeownership counseling program
The Secretary may coordinate the provision of assistance
under subsection (c) of this section with the demonstration
program under this subsection.
(D) Eligibility for counseling
A homeowner shall be eligible for foreclosure-prevention
counseling under this paragraph if--
(i) the home owned by the homeowner is subject to a
qualified mortgage; and
(ii) such home is located in a counseling target area.
(7) Scope of demonstration program
(A) Designation of counseling target areas
The Secretary shall designate 3 counseling target areas (as
provided in subparagraph (B)), which shall be located in not
less than 2 separate metropolitan areas. The Secretary shall
provide for counseling under the demonstration program under
this subsection with respect to only such counseling target
areas.
(B) Counseling target areas
Each counseling target area shall consist of a group of
contiguous census tracts--
(i) the population of which is greater than 50,000;
(ii) which together constitute an identifiable
neighborhood, area, borough, district, or region within a
metropolitan area (except that this clause may not be
construed to exclude a group of census tracts containing
areas not wholly contained within a single town, city, or
other political subdivision of a State);
(iii) in which the average age of existing housing is
greater than 20 years; and
(iv) for which (I) the percentage of qualified mortgages
on homes within the area that are foreclosed exceeds 5
percent for the calendar year preceding the year in which
the area is selected as a counseling target area, or (II)
the number of qualified mortgages originated on homes in
such area in the calendar year preceding the calendar year
in which the area is selected as a counseling target area
exceeds 20 percent of the total number of mortgages
originated on residences in the area during such year.
(C) Mortgage characteristics
In designating counseling target areas under subparagraph
(A), the Secretary shall designate at least 1 such area that
meets the requirements of subparagraph (B)(iv)(I) and at least 1
such area that meets the requirements of subparagraph
(B)(iv)(II).
(D) Expansion of target areas
The Secretary may expand any counseling target area during
the term of the demonstration program, if the Secretary
determines that counseling can be adequately provided within
such expanded area and the purposes of this subsection will be
furthered by such expansion. Any such expansion shall include
only groups of census tracts that are contiguous to the
counseling target area expanded and such census tract groups
shall not be subject to the provisions of subparagraph (B).
(E) Designation of control areas
For purposes of determining the effectiveness of counseling
under the demonstration program, the Secretary shall designate 3
control areas, each of which shall correspond to 1 of the
counseling target areas designated under subparagraph (A). Each
control area shall be located in the metropolitan area in which
the corresponding counseling target area is located, shall meet
the requirements of subparagraph (B), and shall be similar to
such area with respect to size, age of housing stock, median
income, and racial makeup of the population. Each control area
shall also comply with the requirements of subclause (I) or (II)
of subparagraph (B)(iv), according to the subclause with which
the corresponding counseling target area complies.
(8) Evaluation
Each organization providing counseling under the demonstration
program under this subsection shall maintain records with respect to
each eligible homebuyer and eligible homeowner counseled and shall
provide information with respect to such counseling as the Secretary
or the Comptroller General may require.
(9) Definitions
For purposes of this subsection:
(A) The term ``control area'' means an area designated by
the Secretary under paragraph (7)(E).
(B) The term ``counseling target area'' means an area
designated by the Secretary under paragraph (7)(A).
(C) The term ``creditor'' means a person or entity that is
servicing a loan secured by a qualified mortgage on behalf of
itself or another person or entity.
(D) The term ``displaced homemaker'' means an individual
who--
(i) is an adult;
(ii) has not worked full-time, full-year in the labor
force for a number of years, but has during such years,
worked primarily without remuneration to care for the home
and family; and
(iii) is unemployed or underemployed and is experiencing
difficulty in obtaining or upgrading employment.
(E) The term ``downpayment'' means the amount of purchase
price of home required to be paid at or before the time of
purchase.
(F) The term ``eligible homebuyer'' means a homebuyer that
meets the requirements under paragraph (5)(B).
(G) The term ``eligible homeowner'' means a homeowner that
meets the requirements under paragraph (6)(D).
(H) The term ``first-time homebuyer'' means an individual
who--
(i) (and whose spouse) has had no ownership in a
principal residence during the 3-year period ending on the
date of purchase of the home pursuant to which counseling is
provided under this subsection;
(ii) is a displaced homemaker who, except for owning a
residence with his or her spouse or residing in a residence
owned by the spouse, meets the requirements of clause (i);
or
(iii) is a single parent who, except for owning a
residence with his or her spouse or residing in a residence
owned by the spouse while married, meets the requirements of
clause (i).
(I) The term ``home'' includes any dwelling or dwelling unit
eligible for a qualified mortgage, and includes a unit in a
condominium project, a membership interest and occupancy
agreement in a cooperative housing project, and a manufactured
home and the lot on which the home is situated.
(J) The term ``metropolitan area'' means a standard
metropolitan statistical area as designated by the Director of
the Office of Management and Budget.
(K) The term ``qualified mortgage'' means a mortgage on a 1-
to 4-family home that is insured under title II of the National
Housing Act [12 U.S.C. 1707 et seq.].
(L) The term ``Secretary'' means the Secretary of Housing
and Urban Development.
(M) The term ``single parent'' means an individual who--
(i) is unmarried or legally separated from a spouse; and
(ii)(I) has 1 or more minor children for whom the
individual has custody or joint custody; or
(II) is pregnant.
(10) Regulations
The Secretary may issue any regulations necessary to carry out
this subsection.
(11) Authorization of appropriations
There are authorized to be appropriated to carry out this
subsection $365,000 for fiscal year 1993 and $380,330 for fiscal
year 1994.
(12) Termination
The demonstration program under this subsection shall terminate
at the end of fiscal year 1994.
(e) Certification
(1) Requirement for assistance
An organization may not receive assistance for counseling
activities under subsection (a)(1)(iii), (a)(2), (c), or (d) of this
section, unless the organization provides such counseling, to the
extent practicable, by individuals who have been certified by the
Secretary under this subsection as competent to provide such
counseling.
(2) Standards and examination
The Secretary shall, by regulation, establish standards and
procedures for testing and certifying counselors. Such standards and
procedures shall require for certification that the individual shall
demonstrate, by written examination (as provided under subsection
(f)(4) of this section), competence to provide counseling in each of
the following areas:
(A) Financial management.
(B) Property maintenance.
(C) Responsibilities of homeownership and tenancy.
(D) Fair housing laws and requirements.
(E) Housing affordability.
(F) Avoidance of, and responses to, rental and mortgage
delinquency and avoidance of eviction and mortgage default.
(3) Encouragement
The Secretary shall encourage organizations engaged in providing
homeownership and rental counseling that do not receive assistance
under this section to employ individuals to provide such counseling
who are certified under this subsection or meet the certification
standards established under this subsection.
(f) Homeownership and rental counselor training and certification
programs
(1) Establishment
To the extent amounts are provided in appropriations Acts under
paragraph (7), the Secretary shall contract with an appropriate
entity (which may be a nonprofit organization) to carry out a
program under this subsection to train individuals to provide
homeownership and rental counseling and to administer the
examination under subsection (e)(2) of this section and certify
individuals under such subsection.
(2) Eligibility and selection
(A) Eligibility
To be eligible to provide the training and certification
program under this subsection, an entity shall have demonstrated
experience in training homeownership and rental counselors.
(B) Selection
The Secretary shall provide for entities meeting the
requirements of subparagraph (A) to submit applications to
provide the training and certification program under this
subsection. The Secretary shall select an application based on
the ability of the entity to--
(i) establish the program as soon as possible on a
national basis, but not later than the date under paragraph
(6);
(ii) minimize the costs involved in establishing the
program; and
(iii) effectively and efficiently carry out the program.
(3) Training
The Secretary shall require that training of counselors under
the program under this subsection be designed and coordinated to
prepare individuals for successful completion of the examination for
certification under subsection (e)(2) of this section. The
Secretary, in consultation with the entity selected under paragraph
(2)(B), shall establish the curriculum and standards for training
counselors under the program.
(4) Certification
The entity selected under paragraph (2)(B) shall administer the
examination under subsection (e)(2) of this section and, on behalf
of the Secretary, certify individuals successfully completing the
examination. The Secretary, in consultation with such entity, shall
establish the content and format of the examination.
(5) Fees
Subject to the approval of the Secretary, the entity selected
under paragraph (2)(B) may establish and impose reasonable fees for
participation in the training provided under the program and for
examination and certification under subsection (e)(2) of this
section, in an amount sufficient to cover any costs of such
activities not covered with amounts provided under paragraph (7).
(6) Timing
The entity selected under paragraph (2)(B) to carry out the
training and certification program shall establish the program as
soon as possible after such selection, and shall make training and
certification available under the program on a national basis not
later than the expiration of the 1-year period beginning upon such
selection.
(7) Authorization of appropriations
There are authorized to be appropriated to carry out this
subsection $2,000,000 for fiscal year 1993 and $2,084,000 for 1994.
(Pub. L. 90-448, title I, Sec. 106, Aug. 1, 1968, 82 Stat. 490; Pub. L.
91-609, title IX, Sec. 903(a), (b), Dec. 31, 1970, 84 Stat. 1808; Pub.
L. 93-383, title VIII, Sec. 811, Aug. 22, 1974, 88 Stat. 735; Pub. L.
95-128, title IX, Sec. 903, Oct. 12, 1977, 91 Stat. 1149; Pub. L. 97-35,
title III, Sec. 339A, Aug. 13, 1982, 95 Stat. 417; Pub. L. 98-181, title
IV, Sec. 465, Nov. 30, 1983, 97 Stat. 1236; Pub. L. 98-479, title II,
Sec. 204(f), Oct. 17, 1984, 98 Stat. 2233; Pub. L. 100-242, title I,
Sec. 169, Feb. 5, 1988, 101 Stat. 1865; Pub. L. 100-628, title X,
Sec. 1009, Nov. 7, 1988, 102 Stat. 3266; Pub. L. 101-137, Sec. 8, Nov.
3, 1989, 103 Stat. 826; Pub. L. 101-625, title V, Sec. 577, title VII,
Sec. 706(c), Nov. 28, 1990, 104 Stat. 4238, 4286; Pub. L. 102-550, title
I, Sec. 162(a)-(d), Oct. 28, 1992, 106 Stat. 3719-3721; Pub. L. 104-316,
title I, Sec. 106(a), Oct. 19, 1996, 110 Stat. 3830; Pub. L. 105-276,
title V, Sec. 594(a), (b), Oct. 21, 1998, 112 Stat. 2655; Pub. L. 107-
73, title II, Sec. 205, Nov. 26, 2001, 115 Stat. 674.)
References in Text
The Housing and Community Development Act of 1974, referred to in
subsec. (a)(1)(iv), is Pub. L. 93-383, Aug. 22, 1974, 88 Stat. 633, as
amended. Title I of the Housing and Community Development Act of 1974 is
classified principally to chapter 69 (Sec. 5301 et seq.) of Title 42,
The Public Health and Welfare. For complete classification of this Act
to the Code, see Short Title note set out under section 5301 of Title 42
and Tables.
The National Housing Act, referred to in subsecs. (a)(2) and
(d)(9)(K), is act June 27, 1934, ch. 847, 48 Stat. 1246, as amended.
Title II of the Act is classified generally to subchapter II (Sec. 1707
et seq.) of this chapter. For complete classification of this Act to the
Code, see section 1701 of this title and Tables.
Section 152 of the Housing and Community Development Act of 1992,
referred to in subsec. (a)(3), is section 152 of Pub. L. 102-550, which
was set out as a note under section 1437f of Title 42, The Public Health
and Welfare, prior to repeal by Pub. L. 105-276, title V, Sec. 550(f),
Oct. 21, 1998, 112 Stat. 2610.
The Housing Act of 1949, referred to in subsec. (c)(4)(B), is act
July 15, 1949, ch. 338, 63 Stat. 413, as amended. Title V of the Housing
Act of 1949 is classified generally to subchapter III (Sec. 1471 et
seq.) of chapter 8A of Title 42, The Public Health and Welfare. For
complete classification of this Act to the Code, see Short Title note
set out under section 1441 of Title 42, The Public Health and Welfare,
and Tables.
Codification
Section was enacted as part of the Housing and Urban Development Act
of 1968, and not as part of the National Housing Act which comprises
this chapter.
Amendments
2001--Subsec. (c)(9). Pub. L. 107-73 struck out heading and text of
par. (9). Text read as follows: ``The provisions of this subsection
shall not be effective after September 30, 2000.''
1998--Subsec. (c)(5)(C). Pub. L. 105-276, Sec. 594(b), amended
heading and text of subpar. (C) generally. Prior to amendment, text read
as follows: ``Notification under subparagraph (A) shall not be required
with respect to any loan--
``(i) insured or guaranteed under chapter 37 of title 38; or
``(ii) for which the eligible homeowner pays the amount overdue
before the expiration of the 45-day period under subparagraph
(B)(ii).''
Subsec. (c)(9). Pub. L. 105-276, Sec. 594(a), substituted ``2000''
for ``1994''.
1996--Subsec. (d)(5)(A). Pub. L. 104-316, Sec. 106(a)(2),
substituted ``(9)'' for ``(10)(K)'' in introductory provisions.
Subsec. (d)(8). Pub. L. 104-316, Sec. 106(a)(3), struck out ``(for
purposes of the study and report under paragraph (9))'' before ``may
require''.
Subsec. (d)(9) to (13). Pub. L. 104-316, Sec. 106(a)(1), (4),
redesignated pars. (10) to (13) as (9) to (12), respectively, and struck
out former par. (9) which related to GAO study and report on
demonstration program.
1992--Subsec. (a)(3). Pub. L. 102-550, Sec. 162(a), substituted
``except that for such purposes there are authorized to be appropriated
$6,025,000 for fiscal year 1993 and $6,278,050 for fiscal year 1994. Of
the amounts appropriated for each of fiscal years 1993 and 1994, up to
$500,000 shall be available for use for counseling and other activities
in connection with the demonstration program under section 152 of the
Housing and Community Development Act of 1992.'' for ``except that for
such purposes there are authorized to be appropriated $3,600,000 for
fiscal year 1991 and $3,700,000 for fiscal year 1992.''
Subsec. (c)(3)(A)(iii). Pub. L. 102-550, Sec. 162(b)(3), added cl.
(iii).
Subsec. (c)(4). Pub. L. 102-550, Sec. 162(b)(4), inserted flush
sentence at end.
Subsec. (c)(5)(A). Pub. L. 102-550, Sec. 162(b)(5), added subpar.
(A) and struck out former subpar. (A) which read as follows: ``(A) In
general.--Except as provided in subparagraph (C), if any eligible
homeowner fails to pay any amount by the date the amount is due under a
home loan, the creditor of the loan shall notify the homeowner of the
availability of any homeownership counseling offered by the creditor
and, as a supplement to counseling provided by the creditor, shall
notify the homeowner of 1 of the following:
``(i) The availability of homeownership counseling provided by
nonprofit organizations approved by the Secretary and experienced in
the provision of homeownership counseling.
``(ii) The toll-free telephone number described in subparagraph
(D)(i).''
Subsec. (c)(5)(D)(i). Pub. L. 102-550, Sec. 162(b)(6), inserted ``,
which shall be updated annually,'' after ``organizations''.
Subsec. (c)(8). Pub. L. 102-550, Sec. 162(b)(1), amended first
sentence generally. Prior to amendment, first sentence read as follows:
``There is authorized to be appropriated to carry out this section
$6,700,000 for fiscal year 1991 and $7,000,000 for fiscal year 1992, of
which amounts $2,000,000 shall be available in each such fiscal year to
carry out paragraph (5)(D).''
Subsec. (c)(9). Pub. L. 102-550, Sec. 162(b)(2), substituted
``1994'' for ``1992''.
Subsec. (d)(12). Pub. L. 102-550, Sec. 162(c), amended par. (12)
generally. Prior to amendment, par. (12) read as follows: ``There are
authorized to be appropriated to carry out this subsection $350,000 for
fiscal year 1991 and $365,000 for fiscal year 1992.''
Subsecs. (e), (f). Pub. L. 102-550, Sec. 162(d), added subsecs. (e)
and (f).
1990--Subsec. (a)(2)(A) to (C). Pub. L. 101-625, Sec. 706(c),
designated portions of existing text as cls. (A) and (C), and added cl.
(B).
Subsec. (a)(3). Pub. L. 101-625, Sec. 577(a), substituted provisions
authorizing appropriations of $3,600,000 for fiscal year 1991 and
$3,700,000 for fiscal year 1992, for provisions authorizing
appropriations of $3,500,000 for each of the fiscal years 1988 and 1989.
Subsec. (c)(5). Pub. L. 101-625, Sec. 577(b)(3), amended par. (5)
generally. Prior to amendment, par. (5) read as follows: ``The creditor
of a delinquent home loan shall notify an eligible homeowner of the
availability of any homeownership counseling offered by the creditor. As
a supplement to the counseling provided by the creditor, the creditor
shall notify the homeowner of the availability of 1 of the following:
``(A) Homeownership counseling provided by nonprofit
organizations approved by the Secretary and experienced in the
provision of homeownership counseling.
``(B) A list of the nonprofit organizations, approved by the
Secretary and experienced in the provision of homeownership
counseling, that can be obtained by calling a toll-free telephone
number at the Department of Housing and Urban Development.
``(C) Homeownership counseling provided by the Administrator of
Veterans' Affairs for loans insured or guaranteed under chapter 37
of title 38.''
Subsec. (c)(8). Pub. L. 101-625, Sec. 577(b)(1), amended first
sentence generally. Prior to amendment, first sentence read as follows:
``There are authorized to be appropriated to carry out this subsection
$3,500,000 for each of the fiscal years 1988 and 1989.''
Subsec. (c)(9). Pub. L. 101-625, Sec. 577(b)(2), substituted
``September 30, 1992'' for ``September 30, 1990''.
Subsec. (d). Pub. L. 101-625, Sec. 577(c), added subsec. (d).
1989--Subsec. (c)(9). Pub. L. 101-137 substituted ``September 30,
1990'' for ``September 30, 1989''.
1988--Subsec. (a)(2). Pub. L. 100-628 inserted before period at end
of first sentence ``or guaranteed or insured under chapter 37 of title
38''.
Subsec. (a)(3). Pub. L. 100-242, Sec. 169(a), substituted ``except
that for each of the fiscal years 1988 and 1989 there are authorized to
be appropriated $3,500,000 for such purposes'' for ``except that for the
fiscal year 1984, there are authorized to be appropriated not to exceed
$3,500,000 for such purposes''.
Subsec. (c). Pub. L. 100-242, Sec. 169(b), added subsec. (c).
1984--Subsec. (b)(1). Pub. L. 98-479 substituted ``architectural''
for ``architechtual''.
1983--Subsec. (a)(3). Pub. L. 98-181 substituted ``1984'' for
``1982'', and ``$3,500,000'' for ``$4,000,000''.
1981--Subsec. (a)(3). Pub. L. 97-35 inserted provisions authorizing
appropriations for fiscal year 1982.
1977--Subsec. (a)(2). Pub. L. 95-128 authorized the Secretary to
provide the services for other owners of single family dwelling units
insured under subchapter II of this chapter.
1974--Subsec. (a)(1). Pub. L. 93-383, Sec. 811(b)(1), (c), in cl.
(iii) substituted provisions authorizing counseling and advice to
tenants and homeowners with respect to property maintenance, etc., for
provisions authorizing counseling on household management, self-help,
etc., for families receiving assistance under this chapter or the United
States Housing Act of 1937, and added cl. (iv).
Subsec. (a)(2). Pub. L. 93-383, Sec. 811(b)(2), added par. (2).
Former par. (2) redesignated (3).
Subsec. (a)(3). Pub. L. 93-383, Sec. 811(b)(2), (d), redesignated
former par. (2) as (3) and substituted ``such sums as may be necessary''
for ``not to exceed $5,000,000''.
Subsec. (b)(1), (2). Pub. L. 93-383, Sec. 811(e), (f), inserted
reference to public housing agencies.
1970--Subsec. (a). Pub. L. 91-609, Sec. 903(a), designated existing
provisions as par. (1), inserted provision respecting specific
authorities without limitation to such authorities, redesignated former
par. (1) as cl. (i), struck out introductory text relating to assistance
with respect to construction, rehabilitation, and operation by nonprofit
organizations of housing for low or moderate income families now
incorporated in cl. (i), redesignated former par. (2) as cl. (ii),
inserting therein provision for assistance to public bodies or to
nonprofit or cooperative organizations, including assistance with
respect to self-help and mutual self-help programs, and added cl. (iii)
and par. (2).
Subsec. (b)(1). Pub. L. 91-609, Sec. 903(b), substituted ``section
1715z of this title or any other federally assisted program'' for ``any
federally assisted program'' in first sentence.
Effective Date of 1998 Amendment
Pub. L. 105-276, title V, Sec. 594(c), Oct. 21, 1998, 112 Stat.
2656, provided that: ``The amendments made by this section [amending
this section] are made on, and shall apply beginning upon, the date of
the enactment of this Act [Oct. 21, 1998].''
Effective Date of 1981 Amendment
Amendment by Pub. L. 97-35 effective Oct. 1, 1981, see section 371
of Pub. L. 97-35, set out as an Effective Date note under section 3701
of this title.
Regulations
Section 162(e) of Pub. L. 102-550 provided that: ``The Secretary of
Housing and Urban Development shall issue any regulations necessary to
carry out the amendments made by subsection (d) [amending this section],
not later than the expiration of the 6-month period beginning on the
date of the enactment of this Act [Oct. 28, 1992].''
Section Referred to in Other Sections
This section is referred to in section 1715z-20 of this title; title
42 sections 1472, 3535, 9816.
