[Federal Register Volume 61, Number 39 (Tuesday, February 27, 1996)]
[Notices]
[Pages 7394-7402]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-4316]




[[Page 7393]]

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Part III





Department of Housing and Urban Development





_______________________________________________________________________



Office of the Secretary



_______________________________________________________________________



Notice of Regulatory Waiver Requests Granted; Notice

  Federal Register / Vol. 61, No. 39 / Tuesday, February 27, 1996 / 
Notices   

[[Page 7394]]


DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

Office of the Secretary
[Docket No. FR-3864-N-05]


Notice of Regulatory Waiver Requests Granted

AGENCY: Office of the Secretary, HUD.

ACTION: Public Notice of the Granting of Regulatory Waivers. Request: 
July 1, 1995 through September 30, 1995.

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SUMMARY: Under the Department of Housing and Urban Development Reform 
Act of 1989 (Reform Act), the Department (HUD) is required to make 
public all approval actions taken on waivers of regulations. This 
notice is the nineteenth such notice being published on a quarterly 
basis, providing notification of waivers granted during the preceding 
reporting period. The purpose of this notice is to comply with the 
requirements of section 106 of the Reform Act.

FOR FURTHER INFORMATION CONTACT: For general information about this 
Notice, contact Camille E. Acevedo, Assistant General Counsel for 
Regulations, Room 10276, Department of Housing and Urban Development, 
451 Seventh Street, SW, Washington, DC 20410; telephone 202-708-3055; 
TDD: (202) 708-3259. (These are not toll-free numbers.) For information 
concerning a particular waiver action, about which public notice is 
provided in this document, contact the person whose name and address is 
set out, for the particular item, in the accompanying list of waiver-
grant actions.

SUPPLEMENTARY INFORMATION: As part of the Housing and Urban Development 
Reform Act of 1989, the Congress adopted, at HUD's request, legislation 
to limit and control the granting of regulatory waivers by the 
Department. Section 106 of the Act (Section 7(q)(3)) of the Department 
of Housing and Urban Development Act, 42 U.S.C. 3535(q)(3), provides 
that:
    1. Any waiver of a regulation must be in writing and must specify 
the grounds for approving the waiver;
    2. Authority to approve a waiver of a regulation may be delegated 
by the Secretary only to an individual of Assistant Secretary rank or 
equivalent rank, and the person to whom authority to waive is delegated 
must also have authority to issue the particular regulation to be 
waived;
    3. Not less than quarterly, the Secretary must notify the public of 
all waivers of regulations that the Department has approved, by 
publishing a Notice in the Federal Register. These Notices (each 
covering the period since the most recent previous notification) shall:
    a. Identify the project, activity, or undertaking involved;
    b. Describe the nature of the provision waived, and the designation 
of the provision;
    c. Indicate the name and title of the person who granted the waiver 
request;
    d. Describe briefly the grounds for approval of the request;
    e. State how additional information about a particular waiver grant 
action may be obtained.
    Section 106 also contains requirements applicable to waivers of HUD 
handbook provisions that are not relevant to the purposes of today's 
document.
    Today's document follows publication of HUD's Statement of Policy 
on Waiver of Regulations and Directives Issued by HUD (56 FR 16337, 
April 22, 1991). This is the nineteenth Notice of its kind to be 
published under Section 106. It updates HUD's waiver-grant activity 
from July 1, 1995 through September 30, 1995. In approximately three 
months, the Department will publish a similar Notice, providing 
information about waiver-grant activity for the period from October 1, 
1995 through December 31, 1995.
    For ease of reference, waiver requests granted by departmental 
officials authorized to grant waivers are listed in a sequence keyed to 
the section number of the HUD regulation involved in the waiver action. 
For example, a waiver-grant action involving exercise of authority 
under 24 CFR 24.200 (involving the waiver of a provision in Part 24) 
would come early in the sequence, while waivers in the Section 8 and 
Section 202 programs (24 CFR Chapter VIII) would be among the last 
matters listed. Where more than one regulatory provision is involved in 
the grant of a particular waiver request, the action is listed under 
the section number of the first regulatory requirement in Title 24 that 
is being waived as part of the waiver-grant action. (For example, a 
waiver of both Sec. 811.105(b) and Sec. 811.107(a) would appear 
sequentially in the listing under Sec. 811.105(b).) Waiver-grant 
actions involving the same initial regulatory citation are in time 
sequence beginning with the earliest-dated waiver grant action.
    Should the Department receive additional reports of waiver actions 
taken during the period covered by this report before the next report 
is published, the next updated report will include these earlier 
actions, as well as those that occur between October 1, 1995 through 
December 31, 1995.
    Accordingly, information about approved waiver requests pertaining 
to regulations of the Department is provided in the Appendix that 
follows this Notice.

    Dated: February 20, 1996.
Henry G. Cisneros,
Secretary.

Appendix

Listing of Waivers of Regulatory Requirements Granted by Officers of 
the Department of Housing and Urban Development July 1, 1995 through 
September 30, 1995

    Note to Reader: The person to be contacted for additional 
information about the waiver-grant items in this listing is:

Mr. James B. Mitchell, Director, Financial Services Division, U.S. 
Department of Housing and Urban Development, 470 L'Enfant Plaza 
East, Suite 3119, Washington, DC 20024, Phone: (202) 755-7450 x125

    1. Regulation: 24 CFR Part 811 (1977) Sections 811.106(d) and 
811.107(d).
    Project/Activity: The Rocky Mount, North Carolina Housing 
Authority refunding of bonds which financed a Section 8 assisted 
project, Tessie Street Elderly Apartments, No. NC19-0004-001.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Dated Granted: September 26, 1995
    Reasons Waived: The Part 811 regulations cited above prohibited 
refundings and restricted use of excess reserve balances to project 
purposes only. This refunding proposal was approved by HUD on 
September 6, 1995. Refunding bonds have been priced to an average 
yield of 6.28%. The 1979 Bond reserves will be used to help pay 
transactions costs. The tax-exempt refunding bond issue of $805,000 
at current low-interest rates will save Section 8 subsidy. The 
Treasury also gains long-term tax revenue benefits through 
replacement of outstanding tax-exempt coupons of 8% at the call date 
in 1995 with tax-exempt bonds at a substantially lower interest 
rate. The refunding serves the important public purposes of reducing 
HUD's Section 8 program costs, improving Treasury tax revenues 
(helping reduce the budget deficit), and increasing the likelihood 
that projects will continue to provide housing for low-income 
families after subsidies expire, a priority HUD objective.
    2. Regulation: 24 CFR Sections 811.107(a)(2), 811.107(b), 
811.108(a)(1), 811.108(a)(3), 811.114(b)(3), 811.114(d), and 
811.115(b).
    Project/Activity: The Greater Kentucky Housing Assistance 
Corporation refunding of bonds which financed a Section 8 assisted 
project, Tug Fork Woods Apartments, FHA No. 083-35239. 

[[Page 7395]]

    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation and 
authorize call of debentures prior to maturity.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Dated Granted: July 26, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. To credit enhance refunding bonds 
not fully secured by the FHA mortgage amount, HUD also agrees not to 
exercise its option under 24 CFR Section 207.259(e) to call 
debentures prior to maturity. This refunding proposal was approved 
by HUD on June 8, 1995. Refunding bonds have been priced to an 
average yield of 6.29%. The tax-exempt refunding bond issue of 
$2,535,000 at current low-interest rates will save Section 8 
subsidy. The Treasury also gains long-term tax revenue benefits 
through replacement of outstanding tax-exempt coupons of 9.5% at the 
call date in 1995 with tax-exempt bonds at a substantially lower 
interest rate. The refunding will also substantially reduce the FHA 
mortgage interest rate at expiration of the HAP contract, from 9.45% 
to 6.7%, thus reducing FHA mortgage insurance risk. The refunding 
serves the important public purposes of reducing HUD's Section 8 
program costs, improving Treasury tax revenues (helping reduce the 
budget deficit), and increasing the likelihood that projects will 
continue to provide housing for low-income families after subsidies 
expire, a priority HUD objective.
    3. Regulation: 24 CFR Sections 811.107(a)(2), 811.107(b), 
811.108(a)(1), 811.108(a)(3), 811.114(b)(3), 811.114(d), 811.115(b).
    Project/Activity: Ohio Capital Corporation for Housing refunding 
of bonds which financed four Section 8 assisted projects: Little 
Bark Manor, FHA No. 042-35344; Little Bark View, FHA No. 042-35345; 
Port Clinton, FHA No. 043-35238; and the McArthur Park Apartments, 
FHA No. 043-35238.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation and 
authorize call of debentures prior to maturity.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing--Federal Housing Commissioner.
    Dated Granted: July 27, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. To credit enhance refunding bonds 
not fully secured by the FHA mortgage amount, HUD also agrees not to 
exercise its option under 24 CFR Section 207.259(e) to call 
debentures prior to maturity. This refunding proposal was approved 
by HUD on July 20, 1995. Refunding bonds have been priced to an 
average yield of 6.20%. The tax-exempt refunding bond issue of 
$6,045,000 at current low-interest rates will save Section 8 
subsidy. The Treasury also gains long-term tax revenue benefits 
through replacement of outstanding tax-exempt coupons of 10.23% at 
the call date with tax-exempt bonds yielding substantially less. The 
refunding will also substantially reduce the FHA mortgage interest 
rate at expiration of the HAP contract, from 10.52% to 6.5%, thus 
reducing FHA mortgage insurance risk. The refunding serves the 
important public purposes of reducing HUD's Section 8 program costs, 
improving Treasury tax revenues (helping reduce the budget deficit), 
and increasing the likelihood that projects will continue to provide 
housing for low-income families after subsidies expire, a priority 
HUD objective.
    4. Regulation: 24 CFR Sections 811.107(a)(2), 811.108(a)(1), 
811.108(a)(3), 811.114(b)(3), 811.114(d), and 811.115(b).
    Project/Activity: The Gloucester County, New Jersey Housing 
Authority refunding of bonds which financed a Section 8 assisted 
project, New Sharon Woods Apartments, FHA No. 035-35086.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation and 
authorize call of debentures prior to maturity.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing--Federal Housing Commissioner.
    Dated Granted: July 31, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. To credit enhance refunding bonds 
not fully secured by the FHA mortgage amount, HUD also agrees not to 
exercise its option under 24 CFR Section 207.259(e) to call 
debentures prior to maturity. This refunding proposal was approved 
by HUD on April 10, 1995. Refunding bonds have been priced to an 
average yield of 6.70%. The tax-exempt refunding bond issue of 
$2,720,892 at current low-interest rates will save Section 8 
subsidy. The Treasury also gains long-term tax revenue benefits 
through replacement of outstanding tax-exempt coupons of 10% at the 
call date in 1995 with tax-exempt bonds at a substantially lower 
interest rate. The refunding will also substantially reduce the FHA 
mortgage interest rate at expiration of the HAP contract, from 10.8% 
to 7.3%, thus reducing FHA mortgage insurance risk. The refunding 
serves the important public purposes of reducing HUD's Section 8 
program costs, providing $160,000 for project repairs, improving 
Treasury tax revenues (helping reduce the budget deficit), and 
increasing the likelihood that projects will continue to provide 
housing for low-income families after subsidies expire, a priority 
HUD objective.
    5. Regulation: 24 CFR Part 811, Sections 811.106(b) and 
811.107(d) of 1977 Regulations.
    Project/Activity: City of Phoenix, Arizona refunding of bonds 
which financed two uninsured Section 8 assisted projects: Sunnyslope 
Manor and Fillmore Gardens.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing--FHA Commissioner.
    Dated Granted: August 8, 1995.
    Reasons Waived: The Part 811 regulations cited above prohibited 
refundings and required that excess reserve balances be used for 
project purposes. The issuer has requested HUD permission to release 
excess reserve balances from the 1978 and 1979 Trust Indentures for 
use in its housing assistance programs for low- and moderate-income 
families. Issuance of refunding bonds under Section 103 of the Tax 
Code will not reduce project debt service nor generate Section 8 
savings. The City of Phoenix will execute a HUD Use Agreement to 
maintain low-income project occupancy for 5 years after expiration 
of Section 8 subsidies.
    6. Regulation: 24 CFR Sections 811.107(a)(2), 811.107(b), 
811.108(a)(1), 811.108(a)(3), 811.114(b)(3), 811.114(d), and 
811.115(b).
    Project/Activity: The Beaumont, Texas Housing Authority 
refunding of bonds which financed a Section 8 assisted project, Park 
Shadows Apartments, FHA No. 114-35308.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation and 
authorize call of debentures prior to maturity.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing--Federal Housing Commissioner.
    Dated Granted: August 22, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. To credit enhance refunding bonds 
not fully secured by the FHA mortgage amount, HUD also agrees not to 
exercise its option under 24 CFR Section 207.259(e) to call 
debentures prior to maturity. This refunding proposal was approved 
by HUD on June 16, 1995. Refunding bonds have been priced to an 
average yield of 6.33%. The tax-exempt refunding bond issue of 
$4,130,000 at current low-interest rates will save Section 8 subsidy 
and provide $337,439 for project repairs. The Treasury also gains 
long-term tax revenue benefits through replacement of outstanding 
tax-exempt coupons of 10% at the call date in 1995 with tax-exempt 
bonds at a substantially lower interest rate. The refunding will 
also substantially reduce the FHA mortgage interest rate at 
expiration of the HAP contract, from 10.2% to 7.06%, thus reducing 
FHA mortgage insurance risk. The refunding serves the important 
public purposes of reducing HUD's Section 8 program costs, improving 
Treasury tax revenues (helping reduce the budget deficit), and 
increasing the likelihood that projects will continue to provide 
housing for low-income families after subsidies expire, a priority 
HUD objective.
    7. Regulation: 24 CFR Sections 811.107(a)(2), 811.107(b), 
811.108(a)(1), 811.108(a)(3), 811.114(b)(3), 811.114(d), and 
811.115(b).
    Project/Activity: The Ohio Capital Corporation for Housing 
refunding of bonds 

[[Page 7396]]
which financed a Section 8 assisted project, Stowe-Kent Gardens II 
Apartments, FHA No. 042-35381.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation and 
authorize call of debentures prior to maturity.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing--Federal Housing Commissioner.
    Dated Granted: August 30, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. To credit enhance refunding bonds 
not fully secured by the FHA mortgage amount, HUD also agrees not to 
exercise its option under 24 CFR Section 207.259(e) to call 
debentures prior to maturity. This refunding proposal was approved 
by HUD on August 4, 1995. Refunding bonds have been priced to an 
average yield of 6.41%. The tax-exempt refunding bond issue of 
$3,285,000 at current low-interest rates will save Section 8 
subsidy. The Treasury also gains long-term tax revenue benefits 
through replacement of outstanding tax-exempt coupons of 12% at the 
call date in 1995 with tax-exempt bonds at a substantially lower 
interest rate. The refunding will also substantially reduce the FHA 
mortgage interest rate at expiration of the HAP contract, from 
11.82% to 6.9%, thus reducing FHA mortgage insurance risk. The 
refunding serves the important public purposes of reducing HUD's 
Section 8 program costs, improving Treasury tax revenues (helping 
reduce the budget deficit), and increasing the likelihood that 
projects will continue to provide housing for low-income families 
after subsidies expire, a priority HUD objective.
    8. Regulation: 24 CFR Sections 811.107(a)(2), 811.107(b), 
811.108(a)(1), 811.108(a)(3), 811.114(b)(3), 811.114(d), and 
811.115(b).
    Project/Activity: The North Wilkesboro, North Carolina Housing 
Authority refunding of bonds which financed a Section 8 assisted 
project, Wilkes Towers Apartments, FHA No. 053-35264.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation and 
authorize call of debentures prior to maturity.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Date Granted: August 30, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. To credit enhance refunding bonds 
not fully secured by the FHA mortgage amount, HUD also agrees not to 
exercise its option under 24 CFR Section 207.259(e) to call 
debentures prior to maturity. This refunding proposal was approved 
by HUD on July 18, 1995. Refunding bonds have been priced to an 
average yield of 6.26%. The tax-exempt refunding bond issue of 
$2,170,000 at current low-interest rates will save Section 8 
subsidy. The Treasury also gains long-term tax revenue benefits 
through replacement of outstanding tax-exempt coupons of 10.4% at 
the call date in 1995 with tax-exempt bonds at a substantially lower 
interest rate. The refunding will also substantially reduce the FHA 
mortgage interest rate at expiration of the HAP contract, from 
10.69% to 6.25%, thus reducing FHA mortgage insurance risk. The 
refunding serves the important public purposes of reducing HUD's 
Section 8 program costs, improving Treasury tax revenues, (helping 
reduce the budget deficit), and increasing the likelihood that 
projects will continue to provide housing for low-income families 
after subsidies expire, a priority HUD objective.
    9. Regulation: 24 CFR Sections 811.107(a)(2), 811.107(b), 
811.108(a)(1), 811.108(a)(3), 811.114(b)(3), 811.114(d), and 
811.115(b).
    Project/Activity: The Ohio Capital Corporation for Housing 
refunding of bonds which financed a Section 8 assisted project, 
Lutheran Housing Services #1 Elderly Apartments, FHA No. 042-35250.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation and 
authorize call of debentures prior to maturity.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Date Granted: August 30, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. To credit enhance refunding bonds 
not fully secured by the FHA mortgage amount, HUD also agrees not to 
exercise its option under 24 CFR Section 207.259(e) to call 
debentures prior to maturity. This refunding proposal was approved 
by HUD on August 8, 1995. Refunding bonds have been priced to an 
average yield of 6.38%. The tax-exempt refunding bond issue of 
$3,815,000 at current low-interest rates will save Section 8 
subsidy. The Treasury also gains long-term tax revenue benefits 
through replacement of outstanding tax-exempt coupons of 10.45% at 
the call date in 1995 with tax-exempt bonds at a substantially lower 
interest rate. The refunding will also substantially reduce the FHA 
mortgage interest rate at expiration of the HAP contract, from 
10.72% to 6.85%, thus reducing FHA mortgage insurance risk. The 
refunding serves the important public purposes of reducing HUD's 
Section 8 program costs, improving Treasury tax revenues, (helping 
reduce the budget deficit), and increasing the likelihood that 
projects will continue to provide housing for low-income families 
after subsidies expire, a priority HUD objective.
    10. Regulation: 24 CFR Sections 811.107(a)(2), 811.107(b), 
811.108(a)(1), 811.108(a)(3), 811.114(b)(3), 811.114(d), and 
811.115(b).
    Project/Activity: The Mercedes, Texas Housing Authority 
refunding of bonds which financed a Section 8 assisted project, 
Mercedes Palms Apartments, FHA No. 115-35217.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation and 
authorize call of debentures prior to maturity.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Date Granted: September 7, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. To credit enhance refunding bonds 
not fully secured by the FHA mortgage amount, HUD also agrees not to 
exercise its option under 24 CFR Section 207.259(e) to call 
debentures prior to maturity. This refunding proposal was approved 
by HUD on August 3, 1995. Refunding bonds have been priced to an 
average yield of 6.57%. The tax-exempt refunding bond issue of 
$1,310,000 at current low-interest rates will save Section 8 
subsidy. The Treasury also gains long-term tax revenue benefits 
through replacement of outstanding tax-exempt coupons of 10% at the 
call date in 1995 with tax-exempt bonds at a substantially lower 
interest rate. The refunding will also substantially reduce the FHA 
mortgage interest rate at expiration of the HAP contract, from 10.3% 
to 6.9%, thus reducing FHA mortgage insurance risk. The refunding 
serves the important public purposes of reducing HUD's Section 8 
program costs, improving Treasury tax revenues, (helping reduce the 
budget deficit), and increasing the likelihood that projects will 
continue to provide housing for low-income families after subsidies 
expire, a priority HUD objective.
    11. Regulation: 24 CFR Sections 811.107(a)(2), 811.107(b), 
811.108(a)(1), 811.108(a)(3), 811.114(b)(3), 811.114(d), and 
811.115(b).
    Project/Activity: The Newport, Rhode Island Housing Authority 
refunding of bonds which financed a Section 8 assisted project, 
Broadway-West Broadway Apartments, FHA No. 016-35071.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation and 
authorize call of debentures prior to maturity.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Date Granted: September 11, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. To credit enhance refunding bonds 
not fully secured by the FHA mortgage amount, HUD also agrees not to 
exercise its option under 24 CFR Section 207.259(e) to call 
debentures prior to maturity. This refunding proposal was approved 
by HUD on August 24, 1995. Refunding bonds have been priced to an 
average yield of 6.8%. The tax-exempt refunding bond issue of 
$7,125,000 at current low-interest rates will save Section 8 
subsidy. The Treasury also gains long-term tax revenue benefits 
through replacement of 

[[Page 7397]]
outstanding tax-exempt coupons of 12% at the call date in 1995 with 
tax-exempt bonds at a substantially lower interest rate. The 
refunding will also substantially reduce the FHA mortgage interest 
rate at expiration of the HAP contract, from 12% to 7.05%, thus 
reducing FHA mortgage insurance risk. The refunding serves the 
important public purposes of reducing HUD's Section 8 program costs, 
improving Treasury tax revenues, (helping reduce the budget 
deficit), and increasing the likelihood that projects will continue 
to provide housing for low-income families after subsidies expire, a 
priority HUD objective.
    12. Regulation: 24 CFR Sections 811.107(a)(2), 811.107(b), 
811.108(a)(1), 811.108(a)(3), 811.114(b)(3), 811.114(d), and 
811.115(b).
    Project/Activity: The Ohio Capital Corporation for Housing 
refunding of bonds which financed a Section 8 assisted project, 
Horizon Apartments, FHA No. 043-35257.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation and 
authorize call of debentures prior to maturity.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Dated Granted: September 12, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. To credit enhance refunding bonds 
not fully secured by the FHA mortgage amount, HUD also agrees not to 
exercise its option under 24 CFR Section 207.259(e) to call 
debentures prior to maturity. This refunding proposal was approved 
by HUD on June 16, 1995. Refunding bonds have been priced to an 
average yield of 6.84%. The tax-exempt refunding bond issue of 
$5,400,000 at current low-interest rates will save Section 8 
subsidy. The Treasury also gains long-term tax revenue benefits 
through replacement of outstanding tax-exempt coupons of 10.2% at 
the call date in 1995 with tax-exempt bonds at a substantially lower 
interest rate. The refunding will also substantially reduce the FHA 
mortgage interest rate at expiration of the HAP contract, from 10.5% 
to 6.75%, thus reducing FHA mortgage insurance risk. The refunding 
serves the important public purposes of reducing HUD's Section 8 
program costs, improving Treasury tax revenues, (helping reduce the 
budget deficit), and increasing the likelihood that projects will 
continue to provide housing for low-income families after subsidies 
expire, a priority HUD objective.
    13. Regulation: 24 CFR Sections 811.107(a)(2), 811.107(b), 
811.108(a)(1), 811.108(a)(3), 811.114(b)(3), 811.114(d), and 
811.115(b).
    Project/Activity: The Elizabeth City Housing Development 
Corporation refunding of bonds which financed a Section 8 assisted 
project, Walnut West Apartments, FHA No. 053-35346.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation and 
authorize call of debentures prior to maturity.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Dated Granted: September 21, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. To enhance refunding bonds not 
fully secured by the FHA mortgage amount, HUD also agrees not to 
exercise its option under 24 CFR Section 207.259(e) to call 
debentures prior to maturity. This refunding proposal was approved 
by HUD on September 5, 1995. Refunding bonds have been priced to an 
average yield of 6.05%. The tax-exempt refunding bond issue of 
$1,075,000 at current low-interest rates will save Section 8 
subsidy. The Treasury also gains long-term tax revenue benefits 
through replacement of outstanding tax-exempt coupons of 11.5% at 
the call date in 1995 with tax-exempt bonds at a substantially lower 
interest rate. The refunding will also substantially reduce the FHA 
mortgage interest rate at expiration of the HAP contract, from 12% 
to 7%, thus reducing FHA mortgage insurance risk. The refunding 
serves the important public purposes of reducing HUD's Section 8 
program costs, improving Treasury tax revenues, (helping reduce the 
budget deficit), and increasing the likelihood that projects will 
continue to provide housing for low-income families after subsidies 
expire, a priority HUD objective.
    14. Regulation: 24 CFR Sections 811.107(a)(2), 811.107(b), 
811.108(a)(1), 811.108(a)(3), 811.114(b)(3), 811.114(d), and 
811.115(b).
    Project/Activity: The Winchester, Kentucky Housing Authority 
refunding of bonds which financed a Section 8 assisted project, 
Beverly P White Apartments, FHA No. 083-35304.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Dated Granted: September 21, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. This refunding proposal was 
approved by HUD on June 29, 1995. Refunding bonds have been priced 
to an average yield of 6.55%. The tax-exempt refunding bond issue of 
$3,135,000 at current low-interest rates will save Section 8 
subsidy. The Treasury also gains long-term tax revenue benefits 
through replacement of outstanding tax-exempt coupons of 10% at the 
call date in 1995 with tax-exempt bonds at a substantially lower 
interest rate. The refunding will also substantially reduce the FHA 
mortgage interest rate at expiration of the HAP contract, from 10.3% 
to 7.0%, thus reducing FHA mortgage insurance risk. The refunding 
serves the important public purposes of reducing HUD's Section 8 
program costs, improving Treasury tax revenues, (helping reduce the 
budget deficit), and increasing the likelihood that projects will 
continue to provide housing for low-income families after subsidies 
expire, a priority HUD objective.
    15. Regulation: 24 CFR Sections 811.107(a)(2), 811.107(b), 
811.108(a)(1), 811.108(a)(3), 811.114(b)(3), 811.114(d), 811.115(b).
    Project/Activity: The Pike County, Kentucky Housing Authority 
refunding of bonds which financed a Section 8 assisted project, the 
Northfield Apartments, FHA No. 083-35377.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Dated Granted: September 26, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. This refunding proposal was 
approved by HUD on September 18, 1995. Refunding bonds have been 
priced to an average yield of 6.35%. The tax-exempt refunding bond 
issue of $1,480,000 at current low-interest rates will save Section 
8 subsidy. The Treasury also gains long-term tax revenue benefits 
through replacement of outstanding tax-exempt coupons of 12% at the 
call date in 1995 with tax-exempt bonds at a substantially lower 
interest rate. The refunding will also substantially reduce the FHA 
mortgage interest rate at expiration of the HAP contract, from 12% 
to 6.85%, thus reducing FHA mortgage insurance risk. The refunding 
serves the important public purposes of reducing HUD's Section 8 
program costs, improving Treasury tax revenues, (helping reduce the 
budget deficit), and increasing the likelihood that projects will 
continue to provide housing for low-income families after subsidies 
expire, a priority HUD objective.
    16. Regulation: 24 CFR Sections 811.107(a)(2), 811.107(b), 
811.108(a)(1), 811.108(a)(3), 811.114(b)(3), 811.114(d), and 
811.115(b).
    Project/Activity: The Shelby, North Carolina Housing Development 
Corporation refunding of bonds which financed a Section 8 assisted 
project, Hickory Creek Apartments, FHA No. 053-35415.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation and 
authorize call of debentures prior to maturity.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Dated Granted: September 26, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. To credit enhance refunding bonds 
not fully secured by the FHA mortgage amount, HUD also 

[[Page 7398]]
agrees not to exercise its option under 24 CFR Section 207.259(e) to 
call debentures prior to maturity. This refunding proposal was 
approved by HUD on August 3, 1995. Refunding bonds have been priced 
to an average yield of 6.1%. The tax-exempt refunding bond issue of 
$1,165,000 at current low-interest rates will save Section 8 
subsidy. The Treasury also gains long-term tax revenue benefits 
through replacement of outstanding tax-exempt coupons of 12% at the 
call date in 1995 with tax-exempt bonds at a substantially lower 
interest rate. The refunding will also substantially reduce the FHA 
mortgage interest rate at expiration of the HAP contract, from 12.3% 
to 6.67%, thus reducing FHA mortgage insurance risk. The refunding 
serves the important public purposes of reducing HUD's Section 8 
program costs, improving Treasury tax revenues, (helping reduce the 
budget deficit), and increasing the likelihood that projects will 
continue to provide housing for low-income families after subsidies 
expire, a priority HUD objective.
    17. Regulation: 24 CFR Sections 811.107(a)(2), 811.107(b), 
811.108(a)(1), 811.108(a)(3), 811.114(b)(3), 811.114(d), 811.115(b).
    Project/Activity: The Atlanta, Georgia Housing Authority 
refunding of bonds which financed a Section 8 assisted project, the 
Bedford Tower Apartments, FHA No. 061-35319.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Dated Granted: September 26, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. This refunding proposal was 
approved by HUD on September 18, 1995. Refunding bonds have been 
priced to an average yield of 6.29%. The tax-exempt refunding bond 
issue of $4,435,000 at current low-interest rates will save Section 
8 subsidy. The Treasury also gains long-term tax revenue benefits 
through replacement of outstanding tax-exempt coupons of 10.3% at 
the call date in 1995 with tax-exempt bonds at a substantially lower 
interest rate. The refunding will also substantially reduce the FHA 
mortgage interest rate at expiration of the HAP contract, from 9.66% 
to 4.65%, thus reducing FHA mortgage insurance risk. The refunding 
serves the important public purposes of reducing HUD's Section 8 
program costs, improving Treasury tax revenues, (helping reduce the 
budget deficit), and increasing the likelihood that projects will 
continue to provide housing for low-income families after subsidies 
expire, a priority HUD objective.
    18. Regulation: 24 CFR Sections 811.107(a)(2), 811.107(b), 
811.108(a)(1), 811.108(a)(3), 811.114(b)(3), 811.114(d), and 
811.115(b).
    Project/Activity: The Ogden, Utah Housing Authority refunding of 
bonds which financed a Section 8 assisted project, St. Benedict's 
Manor, FHA No. 105-35063.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation and 
authorize call of debentures prior to maturity.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Dated Granted: September 27, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. To credit enhance refunding bonds 
not fully secured by the FHA mortgage amount, HUD also agrees not to 
exercise its option under 24 CFR Section 207.259(e) to call 
debentures prior to maturity. This refunding proposal was approved 
by HUD on September 18, 1995. Refunding bonds have been priced to an 
average yield of 6.61%. The tax-exempt refunding bond issue of 
$3,380,000 at current low-interest rates will save Section 8 
subsidy. The Treasury also gains long-term tax revenue benefits 
through replacement of outstanding tax-exempt coupons of 11.25% at 
the call date in 1996 with tax-exempt bonds at a substantially lower 
interest rate. The refunding will also substantially reduce the FHA 
mortgage interest rate at expiration of the HAP contract, from 
11.38% to 7.1%, thus reducing FHA mortgage insurance risk. The 
refunding serves the important public purposes of reducing HUD's 
Section 8 program costs, improving Treasury tax revenues, (helping 
reduce the budget deficit), and increasing the likelihood that 
projects will continue to provide housing for low-income families 
after subsidies expire, a priority HUD objective.
    19. Regulation: 24 CFR Part 811 Sections 811.108(a)(2), 
811.114(b), and 811.114(d).
    Project/Activity: Southeast Texas HDC redemption of bonds which 
financed a Section 8 assisted project in 1979, the Stonegate 
Retirement Village Apartments, FHA No. 114-35252.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Dated Granted: September 27, 1995.
    Reasons Waived: The Part 811 regulations cited above restrict 
uses of bond reserves and require HUD approval and reduction of 
Section 8 rents for prepayment of Section 11(b) bonds. The bonds 
will be redeemed by sale of the FHA mortgage note. Proceeds of the 
note sale will also finance project repairs of $333,750 as approved 
by HUD. No reduction in project debt service or contract rents will 
occur. The Treasury also gains long-term tax revenue benefits 
through prepayment of outstanding tax-exempt bonds. The refunding 
serves the important public purposes of improving Treasury tax 
revenues, (helping reduce the budget deficit), and assuring that the 
project is maintained in sound physical condition.
    20. Regulation: 24 CFR Sections 811.107(a)(2), 811.107(b), 
811.108(a)(1), 811.108(a)(3), 811.114(b)(3), and 811.115(b).
    Project/Activity: Atlanta Housing Authority refunding of bonds 
which financed four Section 8 assisted projects: Oakland City, FHA 
No. 061-35285; Capitol Towers, FHA No. 061-35282; Grant Park, FHA 
No. 061-35264; and Bedford Pines Apartments, FHA No. 061-35282.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation and 
authorize call of debentures prior to maturity.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Dated Granted: September 28, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. To credit enhance refundings bonds 
not fully secured by the FHA mortgage amount, HUD also agrees not to 
exercise its option under 24 CFR Section 207.259(e) to call 
debentures prior to maturity. The refunding proposals were approved 
by HUD on September 13, 18, 21, and 22, 1995, in four project 
letters. Refunding bonds have been priced to average yields of 
6.21%, 6.81%, and 6.87%. The tax-exempt refunding bond issues at 
current low-interest rates will save Section 8 subsidy. The Treasury 
also gains long-term tax revenue benefits through replacement of 
outstanding tax-exempt coupons at the call dates with tax-exempt 
bonds yielding substantially less. The refundings will also 
substantially reduce FHA mortgage interest rates at expiration of 
the HAP contracts, thus reducing FHA mortgage insurance risk. The 
refundings serve the important public purposes of reducing HUD's 
Section 8 program costs, improving Treasury tax revenues, (helping 
reduce the budget deficit), and increasing the likelihood that 
projects will continue to provide housing for low-income families 
after subsidies expire, a priority HUD objective.
    21. Regulation: 24 CFR Sections 811.107(a)(2), 811.107(b), 
811.108(a)(1), 811.108(a)(3), 811.114(b)(3), 811.114(d), and 
811.115(b).
    Project/Activity: The Martin County, Kentucky Housing 
Development Corporation for Housing refunding of bonds which 
financed a Section 8 assisted project, Dempsey Towers Apartments, 
FHA No. 083-35278.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation and 
authorize call of debentures prior to maturity.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Dated Granted: September 28, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions. This refunding proposal was 
approved by HUD on 

[[Page 7399]]
September 22, 1995. Refunding bonds have been priced to an average 
yield of 6.274%. The tax-exempt refunding bond issue of $5,730,000 
at current low-interest rates will save Section 8 subsidy. The 
Treasury also gains long-term tax revenue benefits through 
replacement of outstanding tax-exempt coupons of between 9.625 and 
10.10% at the call date in 1995 with tax-exempt bonds at a 
substantially lower interest rate. The refunding will also 
substantially reduce the FHA mortgage interest rate at expiration of 
the HAP contract, from 10.32% to 5.80%, thus reducing FHA mortgage 
insurance risk. The refunding serves the important public purposes 
of reducing HUD's Section 8 program costs, improving Treasury tax 
revenues, (helping reduce the budget deficit), and increasing the 
likelihood that projects will continue to provide housing for low-
income families after subsidies expire, a priority HUD objective.
    22. Regulation: 24 CFR Sections 811.114(d), 811.115(b), 811.117.
    Project/Activity: The Harbor Court Development, Inc. of Haines 
City, Florida refunding of bonds which financed a Section 8 assisted 
project, Harbor Court Apartments, FHA No. 067-35260.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation and 
authorize call of debentures prior to maturity.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Dated Granted: September 28, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions under Section 103 of the Tax Code. 
This refunding proposal was approved by HUD on March 24, 1995. 
Refunding bonds have been priced to an average yield of 6.64%. The 
tax-exempt refunding bond issue of $1,375,000 at current low-
interest rates will save Section 8 subsidy. The Treasury also gains 
long-term tax revenue benefits through replacement of outstanding 
tax-exempt coupons of 11.5% at the call date in 1995 with tax-exempt 
bonds at a substantially lower interest rate. The refunding serves 
the important public purposes of reducing HUD's Section 8 program 
costs, improving Treasury tax revenues, (helping reduce the budget 
deficit), and increasing the likelihood that projects will continue 
to provide housing for lower-income families after subsidies expire, 
a priority HUD objective.
    23. Regulation: 24 CFR Sections 811.114(d), 811.115(b), 811.117.
    Project/Activity: The San Francisco RA refunding of bonds which 
financed a Section 8 assisted project, Northridge Cooperative Homes, 
FHA No. 121-35721.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation and 
authorize call of debentures prior to maturity.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Dated Granted: September 28, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions under Section 103 of the Tax Code. 
This refunding proposal was approved by HUD on September 18, 1994. 
Refunding bonds have been priced to an average yield of 6.81%. The 
tax-exempt refunding bond issue of $20,110,000 at current low-
interest rates will save Section 8 subsidy. The Treasury also gains 
long-term tax revenue benefits through replacement of outstanding 
tax-exempt coupons of 12% at the call date in 1995 with tax-exempt 
bonds at a substantially lower interest rate. The refunding serves 
the important public purposes of reducing HUD's Section 8 program 
costs, improving Treasury tax revenues, (helping reduce the budget 
deficit), and increasing the likelihood that projects will continue 
to provide housing for lower-income families after subsidies expire, 
a priority HUD objective.
    24. Regulation: 24 CFR Sections 811.114(d), 811.115(b), 811.117.
    Project/Activity: County of Santa Clara, California refunding of 
bonds which financed a Section 8 assisted uninsured project, Villa 
Vasona Apartments, FHA No. 121-35786.
    Nature of Requirement: The Regulations set conditions under 
which HUD may grant a Section 11(b) letter of exemption of 
multifamily housing revenue bonds from Federal income taxation.
    Granted By: Nicolas P. Retsinas, Assistant Secretary for 
Housing-Federal Housing Commissioner.
    Dated Granted: September 28, 1995.
    Reasons Waived: The Part 811 regulations cited above were 
intended for original bond financing transactions and do not fit the 
terms of refunding transactions under Section 103 of the Tax Code. 
This refunding proposal was approved by HUD on September 11, 1995. 
Refunding bonds have been priced to an average yield of 6.375%. The 
tax-exempt refunding bond issue of $4,205,000 at current low-
interest rates will save Section 8 subsidy. The Treasury also gains 
long-term tax revenue benefits through replacement of outstanding 
tax-exempt coupons ranging between 9.50 and 10.00% at the call date 
in 1996 with taxable to tax-exempt bonds at a substantially lower 
interest rate. The refunding serves the important public purposes of 
reducing HUD's Section 8 program costs, improving Treasury tax 
revenues, (helping reduce the budget deficit), and increasing the 
likelihood that projects will continue to provide housing for lower-
income families after subsidies expire, a priority HUD objective.

    Note to Reader: The person to be contacted for additional 
information about these waiver-grant items in this listing is:

Debbie Ann Wills, Field Management Officer, U.S. Department of 
Housing and Urban Development, Office of Community Planning and 
Development, 451 7th Street, SW., Washington, DC 20410-7000, 
Telephone: (202) 708-2565.

    25. Regulation: 24 CFR 92.219(b)(1).
    Project/Activity: The State of Maryland requested a waiver of 
the match requirements cited at 24 CFR 92.219(b)(1).
    Nature of Requirement: The regulations at 24 CFR 92.219 (b)(1) 
cite specific requirements for how match is determined in the HOME 
program.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: August 28, 1995.
    Reasons Waived: It was determined that the proposed matching 
contribution, the State's Rental Allowance Program, was 
substantially equivalent to HOME match requirements and good cause 
was found to grant the waiver.
    26. Regulation: 24 CFR 92.251(a) & 24 CFR 92.206(a)(2)(i).
    Project/Activity: The State of Oklahoma requested a waiver, on 
behalf of Okfuskee County, to permit rehabilitation which utilizes 
HOME funds, to not bring a unit into compliance with HQS.
    Nature of Requirement: 24 CFR 92.251(a) provides that housing 
assisted with HOME funds meet, at a minimum, HUD housing quality 
standards (HQS), and provides other minimum standards for 
substantial rehabilitation and new construction. 24 CFR 
92.206(a)(2)(i) of the HOME regulations requires that properties 
rehabilitated with HOME Program funds minimally meet the housing 
quality standards at Section 882.109 of Title 24.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: August 18, 1995.
    Reasons Waived: The waiver was granted because the State and the 
County had outlined their extensive efforts to complete the 
rehabilitation of a specific unit. The owner of the unit would not 
grant either entity access to the property to complete the 
rehabilitation. Therefore, it was determined that there was good 
cause to grant the waiver.
    27. Regulation: 24 CFR 92.252(a)(2)(i).
    Project/Activity: Mercer County a HOME recipient, on behalf of 
Lawrence Township New Jersey, requested a waiver of the HOME program 
regulations at 24 CFR 92.252(a)(2)(i) to permit Section 811 project 
rents, which exceed the low HOME rents, to prevail for a project 
partially assisted with HOME funds.
    Nature of Requirement: The regulations at 24 CFR 92.252 
(a)(2)(i) state, ``to obtain the maximum monthly rent that may be 
charged for a unit that is subject to this limitation, the owner or 
participating jurisdiction multiplies the annual adjusted income of 
the tenant family by 30 percent and divides by 12, and if 
applicable, subtracts a monthly allowance for any utilities and 
services to be paid by the tenant.''
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: August 18, 1995.
    Reasons Waived: The application of Section 92.252(a)(2)(i) of 
the HOME regulations for the Section 811 project would create an 
undue hardship for the Township because a handicapped housing 
project would not be developed in the jurisdiction, and thus 
adversely affect the purposes of the Housing and Community 
Development Act.
    28. Regulation: 24 CFR 92.254(a)(3).
    Project/Activity: The Kentucky Housing Authority requested a 
waiver of 24 CFR 

[[Page 7400]]
92.254(a)(3) of the HOME regulations to increase the rental period from 
three to five years.
    Nature of Requirement: 24 CFR 92.254(a)(3) which requires a home 
to be purchased within 36 months if a lease-purchase agreement is 
used in conjunction with a homebuyer program.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: September 6, 1995.
    Reasons Waived: HUD determined that increasing the rental period 
in this case from three to five years will provide tenants the 
necessary time to succeed in the required life skills program and 
become responsible and reliable homeowners.
    29. Regulation: 24 CFR 92.258.
    Project/Activity: The State of North Dakota requested a waiver 
of 24 CFR 92.258 of the HOME regulations to waive the 30 year 
affordability period for low-income homebuyers receiving HOME 
assistance.
    Nature of Requirement: 24 CFR 92.258 provides a limitation on 
the use of HOME funds with FHA mortgage insurance for a period of 
time equal to the term of the HUD insured mortgage.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: August 28, 1995.
    Reasons Waived: The application of Section 92.258 of the HOME 
regulations to the State's program would create an undue hardship 
for North Dakota and its potential homeowners, and adversely affect 
the purposes of the Act.
    30. Regulation: 24 CFR 92.258.
    Project/Activity: Suffolk County, New York requested a waiver of 
24 CFR 92.258 of the HOME regulations to waive the 30 year 
affordability period for low-income homebuyers receiving HOME 
assistance.
    Nature of Requirement: 24 CFR 92.258 provides a limitation on 
the use of HOME funds with FHA mortgage insurance for a period of 
time equal to the term of the HUD insured mortgage.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: September 6, 1995.
    Reasons Waived: The application of Section 92.258 of the HOME 
regulations to the county program would create an undue hardship for 
Suffolk County and its potential homeowners, and adversely affect 
the purposes of the Act.
    31. Regulation: 24 CFR 291.400.
    Project/Activity: The Anoka County Community Action Program 
requested a waiver of the 24 month residency for a tenant in a 
single family property leased under the single family property 
disposition homeless program.
    Nature of Requirement: The regulations at 24 CFR 291.400 
prohibit a non-profit organization or a community participating in 
the Single Family Property Disposition Leasing Program from 
extending a lease to the same tenant for a period beyond 24 months.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: August 16, 1995.
    Reasons Waived: The waiver will allow a formerly homeless family 
more time to find permanent housing.
    32. Regulation: 24 CFR 291.400.
    Project/Activity: The Anoka County Community Action Program 
requested a waiver of the 24 month residency for three tenants in 
single family properties leased under the single family property 
disposition homeless program.
    Nature of Requirement: The regulations at 24 CFR 291.400 
prohibit a non-profit organization or a community participating in 
the Single Family Property Disposition Leasing Program from 
extending a lease to the same tenant for a period beyond 24 months.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: September 6, 1995.
    Reasons Waived: The waiver will allow three formerly homeless 
families more time to find permanent housing.
    33. Regulation: 24 CFR 511.76(h).
    Project/Activity: The City Salisbury, North Carolina requested a 
waiver of program closeout requirements of the Rental Rehabilitation 
program.
    Nature of Requirement: The regulations at 24 CFR 511.76(h) cite 
when proceeds received from Rental Rehabilitation loans become 
program income.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: July 3, 1995.
    Reasons Waived: The North Carolina Housing Finance Agency 
(NCHFA), the Rental Rehabilitation grantee, had not yet met the 
requirements for program closeout. However, the City of Salisbury, 
as a subrecipient of the State, had closed out all of its RRP grants 
and was receiving program income from them. The waiver allowed the 
City to use its program income to provide affordable rental housing 
to low income residents.
    34. Regulation: 24 CFR 570.200(h) & 570.200 (a)(5).
    Project/Activity: The City of San Angelo, Texas requested a 
waiver of 24 CFR 570.200(h) & 570.200(a)(5) regarding reimbursement 
of pre-agreement costs for the renovation of a building to be used 
as a one-stop public health facility.
    Nature of Requirement: Under the regulations a locality is 
precluded from obligating CDBG funds before grant award.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: July 28, 1995.
    Reasons Waived: HUD determined that failure to grant the waiver 
would cause hardship and adversely affect the purposes of the Act. 
The waiver of the limitations on pre-agreement costs at 24 CFR 
570.200(h) & 570.200(a)(5) will permit the renovation of the 
building which will be used for a public health facility.
    35. Regulation: 24 CFR 570.200(h) & 570.200(a)(5), 24 CFR 
570.207(b)(4).
    Project/Activity: The City of Albany Georgia requested a waiver 
of 24 CFR 570.200(h) & 570.200(a)(5) to facilitate the obligation of 
disaster recovery funds by permitting the City to reimburse real 
property owners for expenses incurred on or after the disaster date. 
The City of Albany Georgia also requested a waiver of 24 CFR 
570.207(b)(4) to permit it to carry out a household assistance 
program for victims of the disaster.
    Nature of Requirement: Under the regulations a locality is 
precluded from obligating CDBG funds before grant award. Also at 24 
CFR 570.207(b)(4) prohibit income payments to households or 
individuals.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: July 31, 1995.
    Reasons Waived: HUD determined that failure to grant the waiver 
would cause hardship and adversely affect the purposes of the Act. 
The waiver of the limitations on pre-agreement costs at 24 CFR 
570.200(h) & 570.200(a)(5) will permit the City to implement a plan 
to reimburse property owners for expenses incurred prior to the 
effective date of its CDBG emergency supplemental grant. The second 
waiver will allow a household assistance program for those suffering 
personal property damage caused by the Tropical Storm Alberto.
    36. Regulation: 24 CFR 570.200(h) & 570.200(a)(5).
    Project/Activity: The City of Davenport, Iowa requested a waiver 
of 24 CFR 570.200(h) & 570.200(a)(5) regarding reimbursement of pre-
agreement costs to permit the City to complete an acquisition 
activity.
    Nature of Requirement: Under the regulations a locality is 
precluded from obligating CDBG funds before grant award.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: August 18, 1995.
    Reasons Waived: HUD determined that failure to grant the waiver 
would cause hardship and adversely affect the purposes of the Act. 
The waiver of the limitations on pre-agreement costs at 24 CFR 
570.200(h) & 570.200(a)(5) will permit the city to fund the 
acquisition, by a non-profit organization, of a youth center to 
serve local youth and function as a community policing outpost, with 
FY 1996, FY 1997 and FY 1998 CDBG funds.
    37. Regulation: 24 CFR 570.200(h) & 570.200(a)(5).
    Project/Activity: Sacramento, California requested a waiver of 
24 CFR 570.200(h) & 570.200(a)(5) regarding reimbursement of pre-
agreement costs to permit the City to carry out street improvements 
in a low and moderate income area in one year in instead of in two 
phases.
    Nature of Requirement: Under the regulations a locality is 
precluded from obligating CDBG funds before grant award.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: September 6, 1995.
    Reasons Waived: HUD determined that failure to grant the waiver 
would cause hardship and adversely affect the purposes of the Act. 
The waiver of the limitations on pre-

[[Page 7401]]
agreement costs at 24 CFR 570.200(h) & 570.200(a)(5) will permit the 
reimbursement of local funds, for street improvements to a low and 
moderate income area, with FY 1996 and FY 1997 CDBG funds.
    38. Regulation: 24 CFR 570.200(h) & 570.200(a)(5).
    Project/Activity: Clark County, Nevada requested a waiver of 24 
CFR 570.200(h) & 570.200(a)(5) regarding reimbursement of pre-
agreement costs for the development of a public facility to provide 
recreational facilities for at-risk youth.
    Nature of Requirement: Under the regulations a locality is 
precluded from obligating CDBG funds before grant award.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: September 18, 1995.
    Reasons Waived: HUD determined that failure to grant the waiver 
would cause hardship and adversely affect the purposes of the Act. 
The waiver of the limitations on pre-agreement costs at 24 CFR 
570.200 (h) & 570.200(a)(5) will permit the City to develop a 
facility that will provide recreational programs to neighborhood 
youth. In addition, the Police Department has a neighborhood office 
there as do various county social service agencies.
    39. Regulation: 24 CFR 576.21.
    Project/Activity: The State of Michigan requested a waiver of 
the Emergency Shelter Grants regulations at 24 CFR 576.21.
    Nature of Requirement: The State requested a waiver of the 
expenditure limitation of ESG funds on essential services.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: July 10, 1995.
    Reasons Waived: Under the Stewart B. McKinney Homeless 
Assistance Act, amended by the National Affordable Housing Act the 
30 cap percent cap on essential services may be waived if the 
grantee ``demonstrates that the other eligible activities under the 
program are already being carried out in the locality with other 
resources''. The State demonstrated that other eligible activities 
will be carried out with other funds.
    40. Regulation: 24 CFR 576.21.
    Project/Activity: Monmouth County, New Jersey requested a waiver 
of the Emergency Shelter Grants regulations at 24 CFR 576.21.
    Nature of Requirement: The County requested a waiver of the 
expenditure limitation of ESG funds on essential services.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: July 10, 1995.
    Reasons Waived: Under the Stewart B. McKinney Homeless 
Assistance Act, amended by the National Affordable Housing Act the 
30 cap percent cap on essential services may be waived if the 
grantee ``demonstrates that the other eligible activities under the 
program are already being carried out in the locality with other 
resources.'' The County provided a letter that demonstrated that 
other categories of ESG activities will be carried out locally with 
other resources, therefore, it was determined that the waiver was 
appropriate.
    41. Regulation: 24 CFR 576.21.
    Project/Activity: The municipality of Caguas, Puerto Rico 
requested a waiver of the Emergency Shelter Grants regulations at 24 
CFR 576.21.
    Nature of Requirement: The municipality requested a waiver of 
the ESG expenditure limitation on essential services.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: July 10, 1995.
    Reasons Waived: Under the Stewart B. McKinney Homeless 
Assistance Act, amended by the National Affordable Housing Act the 
30 cap percent cap on essential services may be waived if the 
grantee ``demonstrates that the other eligible activities under the 
program are already being carried out in the locality with other 
resources''. The municipality provided a letter that demonstrated 
that other categories of ESG activities will be carried out locally 
with other resources, therefore, it was determined that the waiver 
was appropriate.
    42. Regulation: 24 CFR 576.21.
    Project/Activity: The State of Massachusetts requested a waiver 
of the Emergency Shelter Grants regulations at 24 CFR 576.21.
    Nature of Requirement: The State requested a waiver of the ESG 
expenditure limitation on essential services.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: July 21, 1995.
    Reasons Waived: Under the Stewart B. McKinney Homeless 
Assistance Act, amended by the National Affordable Housing Act the 
30 cap percent cap on essential services may be waived if the 
grantee ``demonstrates that the other eligible activities under the 
program are already being carried out in the locality with other 
resources''. The State provided a letter that demonstrated that 
other categories of ESG activities will be carried out locally with 
other resources, therefore, it was determined that the waiver was 
appropriate.
    43. Regulation: 24 CFR 576.21.
    Project/Activity: Mt. Vernon City, New York requested a waiver 
of the Emergency Shelter Grants regulations at 24 CFR 576.21.
    Nature of Requirement: The City requested a waiver of the ESG 
expenditure limitation on essential services.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: August 28, 1995.
    Reasons Waived: Under the Stewart B. McKinney Homeless 
Assistance Act, amended by the National Affordable Housing Act the 
30 percent cap on essential services may be waived if the grantee 
``demonstrates that the other eligible activities under the program 
are already being carried out in the locality with other 
resources''. The City provided a letter that demonstrated that other 
categories of ESG activities will be carried out locally with other 
resources, therefore, it was determined that the waiver was 
appropriate.
    44. Regulation: 24 CFR 576.21.
    Project/Activity: The City of Ft. Wayne, Indiana requested a 
waiver of the Emergency Shelter Grants regulations at 24 CFR 576.21.
    Nature of Requirement: The City requested a waiver of the ESG 
expenditure limitation on essential services.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: September 6, 1995.
    Reasons Waived: Under the Stewart B. McKinney Homeless 
Assistance Act, amended by the National Affordable Housing Act the 
30 cap percent cap on essential services may be waived if the 
grantee ``demonstrates that the other eligible activities under the 
program are already being carried out in the locality with other 
resources''. The City provided a letter that demonstrated that other 
categories of ESG activities will be carried out locally with other 
resources, therefore, it was determined that the waiver was 
appropriate.
    45. Regulation: 24 CFR 578.335(e).
    Project/Activity: The State of California on behalf of the 
California Department of Housing and Community Development requested 
a waiver of 24 CFR 578.335(e) of the conflict of interest 
regulations to allow two board members on a homeless advisory board 
to perform work for a permanent housing project.
    Nature of Requirement: 24 CFR 578.335(e) provides the 
regulations on conflict of interest for program participants.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: August 14, 1995.
    Reasons Waived: A determination was made that undue hardship 
would result from applying the requirement and would adversely 
affect the purposes of the permanent housing for the handicapped 
homeless program.
    46. Regulation: 24 CFR 582.803(a)(i).
    Project/Activity: The Fort Collins Housing Authority requested a 
waiver to accept as residents, three persons who were assisted under 
the Section 8 Certificate program, into a 12 unit SRO projects.
    Nature of Requirement: The regulations at 24 CFR 882.803(a)(i) 
state that housing is not eligible for SRO assistance if it is, or 
has been within 12 months before the owner submits a proposal to the 
public housing agency, (PHA), subsidized under any Federal Housing 
program.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: September 6, 1995.
    Reasons Waived: It was determined that the financially 
feasibility of the project was based on twelve units receiving 
rental assistance. The Assistant Secretary determined that granting 
the waiver was the most effective way of developing the project.
    47. Regulation: 24 CFR 882.408(b).
    Project/Activity: The Housing Authority of the City of San 
Francisco requested a waiver which would allow the Housing Authority 
to utilize a gross rent for one of its Shelter Plus Care projects 
that would exceed the applicable Fair Market Rent (FMR) by 12 
percent. 

[[Page 7402]]

    Nature of Requirement: The SRO regulations at 24 CFR 882.408(b) 
state that, a public housing agency may approve initial gross rents 
which exceed the applicable FMR by up to 10 percent for all units of 
a given size in specified areas. The Department is waiving the 
provisions of 24 CFR 882.408(b) which only allow pre-agreement 
exception rents to be approved on an area-wide basis and which only 
allow the exception rent to exceed the moderate rehabilitation FMR 
by 10 percent.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: July 28, 1995.
    Reasons Waived: It was determined that the City had taken all 
reasonable actions to reduce the gross rents to within the 
applicable FMR. So in order for project development to proceed the 
gross rent was increased beyond the FMR by 12 percent.
    48. Regulation: 24 CFR 882.808(a)(3)(4) &(b)(2).
    Project/Activity: The Housing Authority of Portland Oregon 
requested a waiver which would allow the owners of four SRO 
structures to maintain separate waiting lists rather than receive 
tenant referrals from the Housing Authority's waiting list for SRO 
projects.
    Nature of Requirement: The SRO regulations at 24 CFR 
882.808(a)(3)(4) &(b)(2) state that, a public housing agency waiting 
list must be used for tenant referrals to SRO projects.
    Granted By: Andrew Cuomo, Assistant Secretary for Community 
Planning & Development.
    Date Granted: July 20, 1995.
    Reasons Waived: The March 15, 1993, Interim Rule for the SRO 
program stated that the PHA waiting list requirement was being 
eliminated. Due to a technical error this new policy was not 
implemented. Since the Department plans on publishing a technical 
amendment which includes this policy, the waiver was granted.

    Note to Reader: The person to be contacted for additional 
information about the waiver-grant items in this listing is:

Mary Ann Russ, Deputy Assistant Secretary for Public and Assisted 
Housing Operations, Office of Public and Indian Housing, Department 
of Housing and Urban Development, 451 Seventh Street, SW., 
Washington, DC 20410, (202) 708-1380

    49. Regulation: 24 CFR 990.108(e).
    Project/Activity: Cuyahoga Metropolitan Housing Authority. A 
request was made to prevent a loss of operating subsidy when 
converting efficiency units to one bedroom units.
    Nature of Requirement: When unit months are lost through 
combining small units into larger units they must be removed from 
the calculation of unit months available in the PFS subsidy 
calculation.
    Granted By: Joseph Shuldiner, Assistant Secretary.
    Date Granted: October 4, 1995.
    Reason Waived: Because of problems the HA has experienced 
filling vacant efficiency units for the elderly the HA converted 
them to one bedroom units which it could rent. In order to support 
the HAs efforts to reduce vacancies, approval was granted for the HA 
to include the number of unit months which would be lost through 
this conversion in future PFS calculations.
    50. Regulation: 24 CFR 990.109(b)(3)(iv).
    Project/Activity: Breckenridge, MN, Housing and Redevelopment 
Authority. A request was made to use the HAs actual occupancy rate 
of 94% and recalculate its operating subsidy eligibility.
    Nature of Requirement: The regulation requires a Low Occupancy 
PHA without an approved Comprehensive Occupancy Plan to use a 
projected occupancy percentage of 97%.
    Granted By: Joseph Shuldiner, Assistant Secretary.
    Date Granted: September 22, 1995.
    Reason Waived: The HA was allowed to use its actual occupancy 
percentage to prevent undue hardships while it continues its efforts 
to reduce vacancies.
    51. Regulation: 24 CFR 990.109(b)(3)(iv).
    Project/Activity: Chicago Housing Authority. A request was made 
to use 80% for the HA's projected occupancy percentage when 
calculating its PFS operating subsidy eligibility.
    Nature of Requirement: The regulation requires a Low Occupancy 
PHA without an approved Comprehensive Occupancy Plan (COP) to use a 
projected occupancy percentage of 97%.
    Granted By: Michael B. Janis, General Deputy Assistant 
Secretary.
    Date Granted: September 26, 1995.
    Reason Waived: As acknowledged in the five-year Memorandum of 
Agreement (MOA) between HUD and the HA the key to achieving any of 
the vacancy reduction performance targets is the approval of the 
waiver. In order to be supportive of the MOA the HA was authorized 
to use 80% as the projected occupancy percentage.

[FR Doc. 96-4316 Filed 2-26-96; 8:45 am]
BILLING CODE 4210-32-P