Page:United States Statutes at Large Volume 101 Part 3.djvu/585

 PUBLIC LAW 100-242—FEB. 5, 1988

101 STAT. 1883

SEC. 227. TIMETABLE FOR APPROVAL OF PLAN OF ACTION

(a) NOTIFICATION OF DEFICIENCIES.—Not later than 60 days after receipt of a plan of action, the Secretary shall notify the owner in writing of any deficiencies that prevent the plan of action from being approved. If deficiencies are found, such notice shall describe alternative ways in which the plan could be revised to meet the criteria for approval

12 USC 1715/ note.

(bi NOTIFICATION OF APPROVAL.—

(1) IN GENERAL.—Not later than 180 days after receipt of a plan of action, or such longer period as the owner requests, the Secretary shall notify the owner in writing whether the plan of action, including any revisions, is approved. If approval is withheld, the notice shall describe— (A) the reasons for withholding approval; and (B) the actions that could be taken to meet the criteria for approval. (2) OPPORTUNITY TO REVISE.—The Secretary shall subsequently give the owner a reasonable opportunity to revise the plan of action and seek approval. SEC. 228. MODIFICATION OF EXISTING REGULATORY AGREEMENTS.

(a) IN GENERAL.—If a plan of action cannot be approved within 300 days after a plan of action is submitted, the Secretary may, upon the request of the owner, modify existing regulatory agreements to— (1) prevent involuntary displacement of current tenants (except for good cause); (2) ensure that adequate expenditures will be made for maintenance and operation of the housing; (3) extend any expiring project-based assistance on the housing for the term of the agreement; (4) permit an increase in the allowable distribution that could be accommodated by a rise in rents on occupied units to rise to a level no higher than 30 percent of the adjusted income of the current tenants, as determined by the Secretary, except that rents shall not exceed the fair market rent for comparable housing under section 8(b) of the United States Housing Act of 1937 and any resulting increase in rents for current tenants shall be phased in equally over a period of no less than 3 years unless such increase is less than 10 percent; and (5) ensure that units becoming vacant during the term of the agreement are made available in accordance with section 225(b)(6) lb) EXPIRATION.—Agreements entered into under this section shall expire upon the expiration of the 4-year period beginning on the date of the enactment of this Act. Upon the expiration of the agreements, the housing covered by the agreements shall be subject to any law then affecting low income affordability restrictions. SEC. 229. CONSULTATIONS WITH OTHER INTERESTED PARTIES.

The Secretary shall confer with any appropriate State or local government agency to confirm any State or local assistance that is available to achieve the purposes of this title and shall give consideration to the views of any such agency when making determinations under section 225 The Secretary shall also confer with appropriate interested parties that the Secretary believes could assist in the

12 USC 1715Z note.

State and local governments. 12 USC 1715/ note.

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