[Federal Register Volume 74, Number 75 (Tuesday, April 21, 2009)]
[Notices]
[Pages 18247-18248]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-9121]
[[Page 18247]]
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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
[Docket No. FR-5319-N-01]
Federal Housing Administration (FHA) Title I Manufactured Home
Loan Program:Notification of Availability of Program Reform
Implementation and Request for Comments
AGENCY: Office of the Assistant Secretary for Housing--Federal Housing
Commissioner, HUD.
ACTION: Notice.
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SUMMARY: HUD has issued a 2009 Title I Letter 2009 to implement the
reforms that were made to the Title I Manufactured Home Loan Program
pursuant to the FHA Manufactured Housing Modernization Act. The letter
is available at www.hud.gov/fha. Through this notice, HUD solicits
comments on the implementation of these reforms as presented in the
letter. HUD will take these comments into consideration in the
development of a final rule that will follow the letter, and codify in
regulation the reforms to the Title I Manufactured Home Loan Program.
DATES: Comment Due Date: June 22, 2009.
ADDRESSES: Interested persons are invited to submit comments regarding
the 2009 title I Letter 2009 to the Regulations Division, Office of
General Counsel, Department of Housing and Urban Development, 451 7th
Street, SW., Room 10276, Washington, DC 20410-0500. Communications must
refer to the above docket number and title. There are two methods for
submitting public comments. All submissions must refer to the above
docket number and title.
1. Submission of Comments by Mail. Comments may be submitted by
mail to the Regulations Division, Office of General Counsel, Department
of Housing and Urban Development, 451 7th Street, SW., Room 10276,
Washington, DC 20410-0500.
2. Electronic Submission of Comments. Interested persons may submit
comments electronically through the Federal eRulemaking Portal at
www.regulations.gov. HUD strongly encourages commenters to submit
comments electronically. Electronic submission of comments allows the
commenter maximum time to prepare and submit a comment, ensures timely
receipt by HUD, and enables HUD to make them immediately available to
the public. Comments submitted electronically through the
www.regulations.gov Web site can be viewed by other commenters and
interested members of the public. Commenters should follow the
instructions provided on that site to submit comments electronically.
Note: To receive consideration as public comments, comments
must be submitted through one of the two methods specified above.
Again, all submissions must refer to the docket number and title of
the rule.
No Facsimile Comments. Facsimile (FAX) comments are not acceptable.
Public Inspection of Public Comments. All properly submitted
comments and communications submitted to HUD will be available for
public inspection and copying between 8 a.m. and 5 p.m. weekdays at the
above address. Due to security measures at the HUD Headquarters
building, an appointment to review the public comments must be
scheduled in advance by calling the Regulations Division at 202-708-
3055 (this is not a toll-free number). Individuals with speech or
hearing impairments may access this number via TTY by calling the
Federal Information Relay Service at 800-877-8339. Copies of all
comments submitted are available for inspection and downloading at
www.regulations.gov.
FOR FURTHER INFORMATION CONTACT: For information contact, Margaret
Burns, Director, Office of Single Family Program Development, Office of
Housing, Department of Housing and Urban Development, 451 7th Street,
SW., Room 9278, Washington, DC 20410-8000; telephone number 202-708-
2121. (This is not a toll-free number.) Persons with hearing or speech
impairments may access this number through TTY by calling the toll-free
Federal Information Relay Service at 1-800-877-8339.
SUPPLEMENTARY INFORMATION:
The FHA Manufactured Housing Loan Modernization Act of 2008
(Subtitle B of Title II of the Housing and Economic Recovery Act of
2008; Public Law 110-289, approved July 30, 2008) (Act), amended
various provisions in section 2 of Title I of the National Housing Act
(12 U.S.C. 1703 et seq.) relating to the Manufactured Home Loan Program
for the purpose of providing: (1) Adequate funding for FHA insured
manufactured housing for low and moderate income homebuyers, (2)
modernizing the FHA Title I insurance program for manufactured housing
loans to enhance participation by Ginnie Mae and the private lending
markets, and (3) to adjust the low loan limits for Title I manufactured
home loan insurance to reflect the increase in costs since such limits
were last increased in 1992 and to index the limits to inflation.
The Act revised the FHA Title I Manufactured Home Loan Program by:
(1) Increasing the loan limits and establishing indexing for future
adjustments based on inflation, (2) changing the insurance type from
portfolio insurance to individual loan insurance, (3) providing that
insurance on each individually Title I insured manufactured home loan
be incontestable, except for fraud or misrepresentation, (4) changing
the method for calculating the insurance premium by allowing for both
an upfront insurance premium, not to exceed 2.25 percent, and an annual
insurance premium to be paid during the term of the loan, not to exceed
1.0 percent, (5) revising the underwriting criteria for loans and
advances of credit in connection with the Title I manufactured home
loan products as may be necessary to ensure that the program is
financially sound, and (6) requiring a leasehold agreement if a
manufactured home unit is to be situated in a manufactured home
community. The term of the lease must not less than 3 years, renewable
upon expiration of the original term by successive 1 year terms. The
lessor must provide the lessee written notice of termination of the
lease not less than 180 days prior to expiration of the current lease.
A Title I Letter has been issued to implement these reforms. HUD
requests comments from lenders and other interested parties with regard
to the implementation of these reforms. All comments received will be
reviewed and considered by HUD in its development of a rule amending
the Title I Manufactured Home Loan Program regulations at 24 CFR part
201. The rule will adopt the letter as issued or as may be revised
pursuant to public comment or further consideration by HUD. Although
FHA welcomes comments on all aspects of the Title I Letter, it is
especially interested in receiving comments concerning upfront and
periodic insurance charges, the methodology for indexing so as to be
able to annually adjust the maximum loan limits, the underwriting
criteria, and the potential economic costs and benefits of the reforms
contained in the letter.
Comments must be submitted by the deadline date established in the
DATES section of this notice, and in accordance with the instructions
contained in the ADDRESSES section of this notice.
[[Page 18248]]
Dated: April 14, 2009.
Brian D. Montgomery,
Assistant Secretary for Housing--Federal Housing Commissioner.
[FR Doc. E9-9121 Filed 4-20-09; 8:45 am]
BILLING CODE 4210-67-P