Page:United States Statutes at Large Volume 101 Part 3.djvu/378

 101 STAT. 1676

PUBLIC LAW 100-233—JAN. 6, 1988

(1) in subsection (a)(3), by inserting before the period ", including a reasonable number of farm outbuildings located on the adjoining land that are useful to the occupants of the homestead, and no more than 10 acres of adjoining land that is used to maintain the family of the individual"; (2) in subsection (h), by striking out paragraph (1) and inserting in lieu thereof the following new paragraph: "(1) The Secretary or the Administrator shall, on application by a borrower who meets the eligibility requirements of subsection (c)(l), permit the borrower to retain possession and occupancy of homestead property under the terms set forth, and until the action described in this section has been completed, if— "(A) the Secretary forecloses, holds in inventory on the date of the enactment of this paragraph, or takes into inventory, property securing a loan made or insured under this title; "(B) the Administrator forecloses, holds in inventory on the date of the enactment of this paragraph, or takes into inventory, property securing a farm program loan made under the Small Business Act (15 U.S.C. 631 et seq,); or "(C) the borrower of a loan made or insured by the Secretary or the Administrator files a petition in bankruptcy that results in the conveyance of the homestead property to the Secretary or the Administrator, or agrees to voluntarily liquidate or convey such property in whole or in part."; (3) by striking out subsection (c) and inserting in lieu thereof the following new subsection: "(c)(1) To be eligible to occupy homestead property, a borrower of a loan made or insured by the Secretary or the Administrator shall—^ "(A) apply for such occupancy not later than 90 days after the property is acquired by the Secretary or Administrator, or for property in inventory on the date of the enactment of this subsection, the borrower shall apply for occupancy not later than 90 days after such date;, "(B) have received from farming or ranching operations gross J farm income reasonably commensurate with— "(i) the size and location of the farming unit of the .,?jjt;: borrower; and "(ii) local agricultural conditions (including natural and
 * s iK economic conditions), in at least 2 calendar years during the

6-year period preceding the calendar year in which the t application is made; J "(C) have received from farming or ranching operations at j least 60 percent of the gross annual income of the borrower and any spouse of the borrower in at least 2 calendar years during any 6-year period described in subparagraph (B); "(D) have continuously occupied the homestead property during the 6-year period described in subparagraph (B), except that such requirement may be waived if a borrower has, due to circumstances beyond the control of the borrower, had to leave the homestead property for a period of time not to exceed 12 months during the 6-year period; "(E) during the period of the occupancy of the homestead property, pay a reasonable sum as rent for such property to the Secretary or the Administrator in an amount substantially equivalent to rents charged for similar residential properties in the area in which the homestead property is located;

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