1、805 Asst. Secry., for Public and Indian Housing, HUD 1007.5 (2) Reduce payments to the DHHL by an amount equal to the amount not ex-pended in accordance with the Act or this part; (3) Limit the availability of pay-ments to programs, projects, or activi-ties not affected by such failure to comply; or
2、 (4) Adjust, reduce or withdraw grant amounts or take other action as appro-priate in accordance with reviews and audits. (b) Exception. Grant amounts already expended on affordable housing activi-ties may not be recaptured or deducted from future assistance provided to the DHHL. (c) HUD may, upon d
3、ue notice, sus-pend payments at any time after the issuance of the opportunity for hearing pending such hearing and final deci-sion, to the extent HUD determines such action necessary to preclude the further expenditure of funds for activi-ties affected by such failure to comply. (d) Hearing require
4、ment. Before impos-ing remedies under this section, HUD will: (1) Take at least one of the corrective or remedial actions specified under 1006.430 and permit the DHHL to make an appropriate and timely response; (2) Provide the DHHL with the oppor-tunity for an informal consultation with HUD regardin
5、g the proposed ac-tion; and (3) Provide DHHL with reasonable notice and opportunity for a hearing. (e) Continuance of actions. If HUD takes an action under paragraph (a) of this section, the action will continue until HUD determines that the failure of the DHHL to comply with the provi-sion has been
6、 remedied and the DHHL is in compliance with the provision. (f) Referral to the Attorney General. In lieu of, or in addition to, any action HUD may take under paragraph (a) of this section, if HUD has reason to be-lieve that the DHHL has failed to com-ply substantially with any provision of the Act
7、or this part, HUD may refer the matter to the Attorney General of the United States with a recommenda-tion that an appropriate civil action be instituted. Upon receiving a referral, the Attorney General may bring a civil action in any United States district court of appropriate jurisdiction for such
8、 relief as may be appropriate, in-cluding an action to recover the amount of the assistance furnished under the Act that was not expended in accordance with the Act or this part or for mandatory or injunctive relief. PART 1007SECTION 184A LOAN GUARANTEES FOR NATIVE HA-WAIIAN HOUSING Sec. 1007.1 Purp
9、ose. 1007.5 Definitions. 1007.10 Eligible Borrowers. 1007.15 Eligible uses. 1007.20 Eligible housing. 1007.25 Eligible lenders. 1007.30 Security for loan. 1007.35 Loan terms. 1007.40 Environmental requirements. 1007.45 Applicability of civil rights statutes. 1007.50 Certificate of guarantee. 1007.55
10、 Guarantee fee. 1007.60 Liability under guarantee. 1007.65 Transfer and assumption. 1007.70 Disqualification of lenders and civil money penalties. 1007.75 Payment under guarantee. AUTHORITY: 12 U.S.C. 1715z13b; 42 U.S.C. 3535(d). SOURCE: 67 FR 40776, June 13, 2002, unless otherwise noted. 1007.1 Pur
11、pose. This part provides the requirements and procedures that apply to loan guar-antees for Native Hawaiian Housing under section 184A of the Housing and Community Development Act of 1992. Section 184A permits HUD to guar-antee an amount not to exceed 100 per-cent of the unpaid principal and inter-e
12、st that is due on an eligible loan. The purpose of section 184A and this part is to provide access to sources of private financing to Native Hawaiian families who otherwise could not acquire hous-ing financing because of the unique legal status of the Hawaiian Home Lands or as a result of a lack of
13、access to private financial markets. 1007.5 Definitions. The following definitions apply in this part: Department of Hawaiian Home Lands (DHHL) means the agency or depart-ment of the government of the State of VerDate Mar2010 10:07 May 20, 2011 Jkt 223080 PO 00000 Frm 00815 Fmt 8010 Sfmt 8010 Y:SGML
14、223080.XXX 223080erowe on DSK5CLS3C1PROD with CFRProvided by IHSNot for ResaleNo reproduction or networking permitted without license from IHS-,-,-806 24 CFR Ch. IX (4111 Edition) 1007.10 Hawaii that is responsible for the ad-ministration of the Hawaiian Homes Commission Act, 1920 (42 Stat. 108 et s
15、eq.). Eligible entity means a Native Hawai-ian family, the Department of Hawai-ian Home Lands, the Office of Hawaiian Affairs, and private nonprofit or pri-vate for-profit organizations experi-enced in the planning and development of affordable housing for Native Hawai-ians. Family means one or more
16、 persons maintaining a household, and includes, but is not limited to, a family with or without children, an elderly family, a near-elderly family, a disabled family, or a single person. Guarantee Fund means the Native Ha-waiian Housing Loan Guarantee Fund under this part. Hawaiian Home Lands means
17、lands that: (1) Have the status of Hawaiian Home Lands under section 204 of the Hawai-ian Homes Commission Act (42 Stat. 110); or (2) Are acquired pursuant to that Act. HUD means the Department of Hous-ing and Urban Development. Native Hawaiian means any indi-vidual who is: (1) A citizen of the Unit
18、ed States; and (2) A descendant of the aboriginal people, who, prior to 1778, occupied and exercised sovereignty in the area that currently constitutes the State of Ha-waii, as evidenced by: (i) Genealogical records; (ii) Verification by kupuna (elders) or kamaaina (long-term community resi-dents);
19、or (iii) Birth records of the State of Ha-waii. Native Hawaiian family means a fam-ily with at least one member who is a Native Hawaiian. Office of Hawaiian Affairs means the entity of that name established under the constitution of the State of Hawaii. 1007.10 Eligible borrowers. A loan guaranteed
20、under this part may only be made to the following bor-rowers: (a) A Native Hawaiian family; (b) The Department of Hawaiian Home Lands; (c) The Office of Hawaiian Affairs; or (d) A private, nonprofit organization experienced in the planning and devel-opment of affordable housing for Na-tive Hawaiians
21、. 1007.15 Eligible uses. (a) In general. A loan guaranteed under this part may only be used to construct, acquire, or rehabilitate eli-gible housing. (b) Construction advances. Advances made by the lender during construction are eligible if: (1) The mortgagor and the mortgagee execute a building loa
22、n agreement, ap-proved by HUD, setting forth the terms and conditions under which advances will be made; (2) The advances are made only as provided in the building loan agree-ment; (3) The principal amount of the mort-gage is held by the mortgagee in an in-terest bearing account, trust, or escrow fo
23、r the benefit of the mortgagor, pend-ing advancement to the mortgagor or to his or her creditors as provided in the loan agreement; and (4) The mortgage bears interest on the amount advanced to the mortgagor or to his or her creditors and on the amount held in an account or trust for the benefit of
24、the mortgagor. 1007.20 Eligible housing. (a) A loan guaranteed under this part may only be made for one to four-fam-ily dwellings that are standard hous-ing, in accordance with paragraph (b), of this section. The housing must be lo-cated on Hawaiian Home Lands for which a housing plan that provides
25、for the use of loan guarantees under this part has been submitted and approved under part 1006 of this chapter. (b) Standard housing must meet housing safety and quality standards that: (1) Provide sufficient flexibility to permit the use of various designs and materials; and (2) Require each dwelli
26、ng unit to: (i) Be decent, safe, sanitary, and modest in size and design; (ii) Conform with applicable general construction standards for the region in which the housing is located; (iii) Contain a plumbing system that: VerDate Mar2010 10:07 May 20, 2011 Jkt 223080 PO 00000 Frm 00816 Fmt 8010 Sfmt 8
27、010 Y:SGML223080.XXX 223080erowe on DSK5CLS3C1PROD with CFRProvided by IHSNot for ResaleNo reproduction or networking permitted without license from IHS-,-,-807 Asst. Secry., for Public and Indian Housing, HUD 1007.30 (A) Uses a properly installed system of piping; (B) Includes a kitchen sink and a
28、partitional bathroom with lavatory, toilet, and bath or shower; and (C) Uses water supply, plumbing, and sewage disposal systems that conform to any minimum standards established by the applicable county or State; (iv) Contain an electrical system using wiring and equipment properly installed to saf
29、ely supply electrical en-ergy for adequate lighting and for oper-ation of appliances that conforms to any appropriate county, State, or na-tional code; (v) Be not less than the size provided under the applicable locally adopted standards for size of dwelling units, ex-cept that HUD, upon request of
30、the DHHL may waive the size requirements under this paragraph; and (vi) Conform with the energy per-formance requirements for new con-struction established by HUD under section 526(a) of the National Housing Act (12 U.S.C.A. 1735f4), unless HUD determines that the requirements are not applicable. (c
31、) The relevant requirements of the Lead-Based Paint Poisoning Preven-tion Act (42 U.S.C. 48214846), the Resi-dential Lead-Based Paint Hazard Re-duction Act of 1992 (42 U.S.C. 48514856), and implementing regulations at part 35, subparts A, B, and R of this title and 200.805 and 200.810 of this title
32、apply to housing eligible for a loan guaranteed under this part. (d) Housing that meets the minimum property standards for Section 247 mortgage insurance (12 U.S.C. 1715z-12) is deemed to meet the required housing safety and quality standards. 67 FR 40776, June 13, 2002, as amended at 68 FR 66985, N
33、ov. 28, 2003 1007.25 Eligible lenders. (a) In general. To qualify for a guar-antee under this part, a loan shall be made only by a lender meeting quali-fications established in this part and approved by HUD, including any lender described in paragraph (b), of this sec-tion, except that a loan otherw
34、ise in-sured or guaranteed by an agency of the Federal Government or made by the DHHL from amounts borrowed from the United States shall not be eli-gible for a guarantee under this part. (b) Approval. The following lenders shall be considered to be lenders that have been approved by HUD: (1) Any mor
35、tgagee approved by HUD for participation in the single family mortgage insurance program under title II of the National Housing Act (12 U.S.C.A. 1707 et seq.); (2) Any lender that makes housing loans under chapter 37 of title 38, United States Code, that are automati-cally guaranteed under section 3
36、702(d) of title 38, United States Code; (3) Any lender approved by the Sec-retary of Agriculture to make guaran-teed loans for single family housing under the Housing Act of 1949 (42 U.S.C.A. 1441 et seq.); (4) Any other lender that is super-vised, approved, regulated, or insured by any agency of th
37、e Federal Govern-ment; and (5) Any other lender approved by HUD under this part. 1007.30 Security for loan. (a) In general. A loan guaranteed under section 184A of the Housing and Community Development Act of 1992 and this part may be secured by any collateral authorized under and not prohibited by
38、Federal or State law and determined by the lender and approved by HUD to be sufficient to cover the amount of the loan. Eligible collateral may include, but is not limited to, the following: (1) The property and/or improve-ments to be acquired, constructed, or rehabilitated, to the extent that an in
39、-terest in such property is not subject to any restrictions against alienation applicable to Hawaiian Home Lands; (2) A security interest in non-Hawai-ian Home Lands property; (3) Personal property; or (4) Cash, notes, an interest in securi-ties, royalties, annuities, or any other property that is t
40、ransferable and whose present value may be determined. (b) Hawaiian Home Lands property in-terest as collateral. If a property interest in Hawaiian Home Lands is used as col-lateral or security for the loan, the fol-lowing additional provisions apply: (1) Approved Lease. Any land lease for a unit fi
41、nanced under section 184A of VerDate Mar2010 10:07 May 20, 2011 Jkt 223080 PO 00000 Frm 00817 Fmt 8010 Sfmt 8010 Y:SGML223080.XXX 223080erowe on DSK5CLS3C1PROD with CFRProvided by IHSNot for ResaleNo reproduction or networking permitted without license from IHS-,-,-808 24 CFR Ch. IX (4111 Edition) 1
42、007.35 the Housing and Community Develop-ment Act of 1992 must be on a form ap-proved by both the DHHL and HUD. (2) Assumption or sale of leasehold. The lease form must contain a provision re-quiring the DHHLs consent before any assumption of an existing lease, except where title to the leasehold in
43、terest is obtained by HUD through foreclosure of the guaranteed mortgage or a deed in lieu of foreclosure. A mortgagee other than HUD must obtain the DHHLs consent before obtaining title through a foreclosure sale. The DHHLs consent must be obtained on any subse-quent transfer from the purchaser, in
44、-cluding HUD, at foreclosure sale. The lease may not be terminated by the les-sor without HUDs approval while the mortgage is guaranteed or held by HUD. (3) Liquidation. The lender or HUD shall only pursue liquidation after of-fering to transfer the account to an-other eligible Native Hawaiian famil
45、y or the DHHL. The lender or HUD shall not sell, transfer, or otherwise dispose of or alienate the property except to another eligible Native Hawaiian fam-ily or the DHHL. (4) Eviction procedures. Before HUD will guarantee a loan secured by a Ha-waiian Home Lands property, the DHHL must notify HUD t
46、hat it has adopted and will enforce procedures for eviction of defaulted mortgagors where the guaranteed loan has been fore-closed. (i) Enforcement. If HUD determines that the DHHL has failed to enforce adequately its eviction procedures, HUD will cease issuing guarantees for loans under this part e
47、xcept pursuant to existing commitments. (ii) Review. If HUD ceases issuing guarantees for the DHHLs failure to enforce its eviction procedures, HUD shall notify the DHHL of such action and that the DHHL may, within 30 days after notification of HUDs action, file a written appeal with the Deputy As-s
48、istant Secretary, Office of Native American Programs (ONAP). Upon no-tification of an adverse decision by the Deputy Assistant Secretary, the DHHL has 30 additional days to file an appeal with the Assistant Secretary for Public and Indian Housing. The determination of the Assistant Secretary shall b
49、e final, but the DHHL may resubmit the issue to the Assistant Secretary for re-view at any subsequent time if new evi-dence or changed circumstances war-rant reconsideration. 67 FR 40776, June 13, 2002, as amended at 68 FR 66985, Nov. 28, 2003 1007.35 Loan terms. To be eligible for guarantee under this part, the loan shall: (a) Be made for a term not exceeding 30 years; (b) Bear interest (exclusive of the guarantee fee under 1007.55 and serv-ice charges,
