[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]]
_______________________________________________________________________
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