[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6115 Introduced in House (IH)]








109th CONGRESS
  2d Session
                                H. R. 6115

     To extend the authority of the Secretary of Housing and Urban 
Development to restructure mortgages and rental assistance for certain 
                     assisted multifamily housing.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 20, 2006

 Ms. Pryce of Ohio (for herself, Ms. Waters, Mr. Gerlach, Mr. Frank of 
Massachusetts, and Mr. Tiberi) introduced the following bill; which was 
            referred to the Committee on Financial Services

_______________________________________________________________________

                                 A BILL


 
     To extend the authority of the Secretary of Housing and Urban 
Development to restructure mortgages and rental assistance for certain 
                     assisted multifamily housing.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Mark-to-Market Extension Act of 
2006''.

SEC. 2. REAUTHORIZATION.

    Section 579 of the Multifamily Assisted Housing Reform and 
Affordability Act of 1997 (42 U.S.C. 1437f note) is amended--
            (1) in subsection (a)(1), by striking ``October 1, 2006'' 
        and inserting ``October 1, 2011''; and
            (2) in subsection (b), by striking ``October 1, 2006'' and 
        inserting ``October 1, 2011''.

SEC. 3. EXCEPTION RENTS.

    Section 514(g)(2)(A) of the Multifamily Assisted Housing Reform and 
Affordability Act of 1997 (42 U.S.C. 1437f note) is amended by striking 
``five percent'' and inserting ``nine percent''.

SEC. 4. PERIOD OF ELIGIBILITY FOR NONPROFIT DEBT RELIEF.

    Section 517(a)(5) of the Multifamily Assisted Housing Reform and 
Affordability Act of 1997 (42 U.S.C. 1437f note) is amended by 
inserting before the period at the end the following: ``: Provided, 
That if such purchaser acquires such project subsequent to the date of 
recordation of the affordability agreement described in section 
514(e)(6), (A) such purchaser must acquire such project on or before 
the later of (i) five years after the date of recordation of the 
affordability agreement and (ii) two years after the date of enactment 
of this title; and (B) the Secretary must have received, and determined 
acceptable, such purchaser's application for modification, assignment 
or forgiveness prior to such purchaser's acquisition of the project''.

SEC. 5. DEFINITIONS.

    Section 512 of the Multifamily Assisted Housing Reform and 
Affordability Act of 1997 (42 U.S.C. 1437f note) is amended by adding 
at the end the following new paragraph:
            ``(20) Disaster-damaged eligible project.--The term 
        `disaster-damaged eligible project' means an eligible 
        multifamily housing project--
                    ``(A) that is located in a county that was declared 
                a major disaster area on or after January 1, 2005, by 
                the President pursuant to the Robert T. Stafford 
                Disaster Relief and Emergency Assistance Act (42 U.S.C. 
                5121 et seq);
                    ``(B) whose owner carried casualty and liability 
                insurance covering such project in amounts required by 
                the Secretary;
                    ``(C) that suffered damages not covered by such 
                insurance that the Secretary determines are likely to 
                exceed $5,000 per unit in connection with the natural 
                disaster that was the subject of such designation; and
                    ``(D) whose owner requests restructuring within two 
                years following the date that such damages were 
                incurred.
        Disaster-damaged eligible projects shall be eligible without 
        regard to the relationship between rent level for the assisted 
        units and comparable market rents.''.

SEC. 6. DISASTER-DAMAGED ELIGIBLE PROJECTS.

    (a) Market Rent Determinations.--Subparagraph (B) of section 
514(g)(1) of the Multifamily Assisted Housing Reform and Affordability 
Act of 1997 (42 U.S.C. 1437f note) is amended to read as follows:
                    ``(B) if those rents cannot be determined--
                            ``(i) with respect to a disaster-damaged 
                        eligible project, are equal to 100 percent of 
                        the fair market rents for the relevant market 
                        area (in effect at the time of such disaster); 
                        and
                            ``(ii) with respect to other eligible 
                        multifamily housing projects, are equal to 90 
                        percent of the fair market rents for the 
                        relevant market area.''.
    (b) Owner Investment.--Section 517(c) of the Multifamily Assisted 
Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f note) is 
amended by adding at the end the following new paragraph:
            ``(3) Properties damaged by natural disasters.--With 
        respect to a disaster-damaged eligible project, the owner 
        contribution toward rehabilitation needs shall be determined in 
        accordance with paragraph (2)(C).''.
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