Page:United States Statutes at Large Volume 104 Part 5.djvu/947

 PUBLIC LAW 101-625—NOV. 28, 1990 104 STAT. 4269 improvements installed at the expense of the family during the family's tenure as owner; and "(iii) the appreciated value determined by an inflation allowance at a rate which may be based on a costof-living index, an income index, or market index as determined by the Secretary through regulation and agreed to by the purchaser and the entity that transfers ownership interests in, or shares representing, units to eligible families (or another entity specified in the approved application), at the time of initial sale, and applied against the contribution to equity. Such an entity may, at the time of initial sale, enter into an agreement with the family to set a meiximum amount which this appreciation may not exceed. "(C) 6-20 YEARS.— In the case of a transfer during the period beginning 6 years after the acquisition and ending 20 years after the acquisition, the homeownership program shall provide for the recapture by the Secretary or the program of an amount equal to the amount of the declining balance on the note described in subparagraph (A)(iii). "(D) USE OF RECAPTURED FUNDS.— Any net sales proceeds that may not be retained by the homeowner under the plan approved pursuant to this paragraph shall be paid to the HOME Investment Trust Fund for the unit of general local government in which the housing is located. If the housing is located in a unit of general local government that is not a participating jurisdiction (as such term is defined in section 104 of the Cranston-Gonzalez National Affordable Housing Act), any such net sales proceeds shall be paid to the HOME Investment Trust Fund for the State in which the housing is located. With respect to any proceeds transferred to a HOME Investment Trust Fund under this subparagraph, the Secretary shall take such actions as are necessary to ensure that the proceeds shall be immediately available for eligible activities to expand the supply of affordable housing under section 212 of the Cranston-Gonzalez National Affordable Housing Act. The Secretary shall require the maintenance of any records necessary to calculate accurately pa3nnents due under this paragraph. "(6) PROTECTION OF NONPURCHASING FAMIUES.— "(A) EVICTION.—No tenant residing in a dwelling unit in a property on the date the Secretary approves a plan of action may be evicted by reason of a homeownership program approved under this subtitle. "(B) RENTAL ASSISTANCE. —I f a tenant decides not to purchase a unit, or is not qualified to do so, the Secretary shall ensure that rental assistance under section 8 is available for use by each otherwise qualified tenant (that meets the eligibility requirements under such section) in that or another property. The requirement for giving preference to certain categories of eligible families under sections 8(d)(l)(A) and 8(o)(3) of the United States Housing Act of 1937 shall not apply to the provision of assistance to such families. "(C) RELOCATION ASSISTANCE. — The resident council shall also inform each such tenant that if the tenant chooses to

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