Page:United States Statutes at Large Volume 104 Part 5.djvu/945

 PUBLIC LAW 101-625—NOV. 28, 1990 104 STAT. 4267 "(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. "(c) DELAYED APPROVAL.— I f the Secretary does not approve a plan of action within the period under subsection (b), the Secretary shall provide incentives and assistance under this subtitle in the amount that the owner would have received if the Secretary had complied with such time limitations. The preceding sentence shall not apply if the plan of action was not approved because of deficiencies. An owner may bring an action in the appropriate Federal district court to enforce this subsection. "SEC. 226. RESIDENT HOMEOWNERSHIP PROGRAM. 12 USC 4116. "(a) FORMATION OF RESIDENT COUNCIL. —Tenants seeking to purchase eligible low-income housing in accordance with section 220 shall organize a resident council for the purpose of developing a resident homeownership program in accordance with standards established by the Secretary. The resident council shall work with a public or private nonprofit organization or a public body (including an agency or instrumentality thereof). Such organization or public body shall have experience to enable it to help the tenants consider their options and to develop the capacity necessary to own and manage the housing, where appropriate, and shall be approved by the Secretary. " (b) OTHER PROGRAM REQUIREMENTS AND LIMITATIONS. — "(1) SALES TO RESIDENTS. —As a condition of approval of a plan of action involving homeownership program under this subtitle, the resident council shall prepare a workable plan acceptable to the Secretary for giving all residents an opportunity to become owners, which plan shall identify— "(A) the price at which the resident council intends to transfer ownership interests in, or shares representing, units in the housing; "(B) the factors that will influence the establishment of such price; "(C) how such price compares to the estimated appraised value of the ownership interests or shares; "(D) the underwriting standard the resident council plans to use (or reasonably expects a public or private lender to use) for potential tenant purchasers; "(E) the financing arrangements the tenants are expected to pursue or be provided; and "(F) a workable schedule of sale (subject to the limitations of paragraph (8)) beised on estimated tenant incomes. " (2) APPROVAL OF METHOD OF CONVERSION. — The Secretary shall approve the method for converting the housing to homeownership, which may involve acquisition of ownership interests in, or shares representing, the units in a project under any arrangement determined by the Secretary to be appropriate, such as cooperative ownership (including limited equity cooperative ownership) and fee simple ownership (including condominium ownership). "(3) REQUIRED CONDITIONS. —The Secretary shall require that the form of homeownership impose appropriate conditions, including conditions to assure that—

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