[Federal Register Volume 66, Number 83 (Monday, April 30, 2001)]
[Notices]
[Pages 21411-21412]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-10599]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-4655-N-12]


Submission for OMB Review: Review of Health Care Facility 
Portfolios

AGENCY: Office of Assistant Secretary for Housing, HUD.

ACTION: Notice of proposed information collection requirement.

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SUMMARY: The Department of Housing and Urban Development (HUD) 
will be publishing a Notice which establishes classifications of owners 
and or operators of health care facilities: owners of large portfolios 
of health care facilities; owners of mid-size portfolios, and owners of 
small portfolios. The mid-size and large owners who intend to finance 
or refinance 11 or more health care facilities, with a combined 
estimated mortgage amount equal to or in excess of $75 million, in an 
18-month period of time are required to submit additional information 
to a rating agency for evaluation and submission to HUD. The additional 
information, covering a variety of corporate-related information such 
as a strategic management plan, is designed to enable HUD to determine 
the financial and management strength of the proposed sponsor.

DATES: Comments Due Date: May 7, 2001.

ADDRESSES: Interested persons are invited to submit comments 
regarding this proposal. Comments should refer to the proposal by name 
and/or OMB Control Number and should be sent to: Joseph F. Lackey, Jr., 
HUD Desk Officer, Office of Management and Budget, New Executive Office 
Building, Washington, DC 20503.

FOR FURTHER INFORMATION CONTACT: Wayne Eddins, reports 
Management Officer, Department of Housing and Urban Development, 451 
Seventh Street, SW, Washington, DC 20410, telephone (202) 708-2374 
(This is not a toll-free number) or e-mail to 
Wayne_[email protected]. Copies of the available documents 
submitted to OMB may be obtained from Mr. Eddins.

SUPPLEMENTARY INFORMATION: The Department has submitted the 
proposal for the collection of information, as described below, to OMB 
for review as required by the Paperwork Reduction Act (44 USC Chapter 
35). HUD has requested OMB approval by May 7, 2001.
    An agency may not conduct or sponsor, and a person is not required 
to respond to, a collection of information unless collection displays a 
valid control number.
    This notice contains the following information:
    (1) The title for the collection of information;
    (2) A summary of the collection of information;
    (3) A brief description of the need for the information and 
proposed use of the information;
    (4) A description of the likely respondents, including the 
estimated number of likely respondents, and proposed frequency of 
response to the collection of information;
    (5) An estimate of the total annual reporting and recordkeeping 
burden that will result from the collection of information;
    Title: Review of Health Care Facility Portfolios
    OMB Control Number: 2502-
    Type of submission: An owner and/or an operator of health 
care facilities (nursing homes, intermediate care facilities, board and 
care facilities, or assisted living facilities) may wish to finance or 
refinance large groups of those facilities. If it intends to seek FHA 
mortgage insurance for loans for these facilities, and it is planning 
to finance or refinance a minimum of 11 health care facilities, with 
combined estimated mortgage amount of $75 million or more, during an 18 
month period, then the owner/operator must furnish information that has 
not been previously required with the application for mortgage 
insurance. The owner and/or operator will be acting with an FHA-
approved lender, or, if the application is to be processed with 
Multifamily Accelerated Processing (MAP), the lender must be MAP-
approved.
    The information includes a Corporate Credit Analysis, to be 
submitted to a credit rating agency (Standard & Poor's, Moody's 
Investor Services, Fitch IBCA, Duff & Phelps) and the Analysis

[[Page 21412]]

includes detailed financial information, management policies, and 
corporate strategy. Owners/operators with 50 or more projects, with 
estimated combined mortgage amount of $250 million or more must file, 
in addition to the Corporate Credit Analysis, more detailed information 
that is required for non-Portfolio owners in connection with the site 
visit. These large-size owners/operators must also provide information 
on their other properties and lines of business not being financed with 
FHA mortgage insurance.

Need and Use of the information

    The information is collected and evaluated, first by a rating 
agency and then by HUD. The purpose is to determine the financial 
strength and management reliability of the owner/operator. If the owner 
and/or the operator should go into bankruptcy or be unable to continue 
management of its large group of properties, the ability of the 
individual properties to keep operating successfully would be severely 
jeopardized. The failure of the owner/operator could lead to 
assignments to HUD of large numbers of health care facilities, and a 
serious resulting charge to the mortgage insurance fund.
    Respondents:
    Reporting Burden:

 
      Number of                    Frequency of
     respondents         X           response           X      Hours per response      =      Total burden hours
 
 
 

    Contact: Eric Stevenson, HUD (202) 708-0614, ext. 2544), Joseph 
Lackey, OMB, (202) 395-7316

    Authority: Section 3507 of the Paperwork Reduction Act 
of 1995, 44 U.S.C. Chapter 35, as amended.

    Dated: April 20, 2001.
Wayne Eddins,
Reports Management Officer, Office of the Chief Information Officer.
[FR Doc. 01-10599 Filed 4-27-01; 8:45 am]
BILLING CODE 4210-27-M