Page:United States Statutes at Large Volume 111 Part 2.djvu/1031

 PUBLIC LAW 105-86—NOV. 18, 1997 111 STAT. 2111 (iii) in paragraph (6), by striking the period at the end and inserting "; and"; and (iv) by adding at the end the following: "(7) the Secretary may make a new loan to the current borrower to finance the final payment of the original loan for an additional period not to exceed twenty years, if— "(A) the Secretary determines— "(i) it is more cost-efilcient and serves the tenant base more effectively to maintain the current property than to build a new property in the same location; or "(ii) the property has been maintained to such an extent that it warrants retention in the current portfolio because it can be expected to continue providing decent, safe, and affordable rental units for the balance of the loan; and "(B) the Secretary determines— "(i) current market studies show that a need for low-income rural rental housing still exists for that area; and "(ii) any other criteria established by the Secretary has been met.", (c) LOAN GUARANTEES FOR MULTIFAMILY RENTAL HOUSING IN RURAL AREAS. —Section 538 of the Housing Act of 1949 (42 U.S.C. 1490p-2) is amended— (1) in subsection (q), by striking paragraph (2) and inserting the following: "(2) ANNUAL LIMITATION ON AMOUNT OF LOAN GUARANTEE. — In each fiscal year, the Secretary may enter into commitments to guarantee loans under this section only to the extent that the costs of the guarantees entered into in such fiscal year do not exceed such amount as may be provided in appropriation Acts for such fiscal year."; (2) by striking subsection (t) and inserting the following: "(t) AUTHORIZATION OF APPROPRIATIONS.— There are authorized to be appropriated for fiscal year 1998 for costs (as such term is defined in section 502 of the Congressional Budget Act of 1974) of loan guarantees made under this section such sums as may be necessary for such fiscal year."; and (3) in subsection (u), by striking "1996" and inserting " 1998".

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