Page:United States Statutes at Large Volume 111 Part 2.djvu/313

 PUBLIC LAW 105-65—OCT. 27, 1997 111 STAT. 1393 may be consolidated as part of an overall strategy for more than 1 property. (b) NOTICE REQUIREMENTS. —The Secretary shall establish notice procedures and hearing requirements for tenants and owners concerning the dates for the expiration of project-based assistance contracts for any eligible multifamily housing project. (c) EXTENSION OF CONTRACT TERM.— Subject to agreement by a project owner, the Secretary may extend the term of any expiring contract or provide a section 8 contract with rent levels set in accordance with subsection (g) for a period sufficient to facilitate the implementation of a mortgage restructuring and rental assistance sufficiency plan, as determined by the Secretary. (d) TENANT RENT PROTECTION. —If the owner of a project with Notification. an expiring Federal rental assistance contract does not agree to extend the contract, not less than 12 months prior to terminating the contract, the project owner shall provide written notice to the Secretary and the tenants and the Secretary shall make tenantbased assistance available to tenants residing in units assisted under the expiring contract at the time of expiration. (e) MORTGAGE RESTRUCTURING AND RENTAL ASSISTANCE SUFFICIENCY PLAN.— Each mortgage restructuring and rental assistance sufficiency plan shall— (1) except as otherwise provided, restructure the projectbased assistance rents for the eligible multifamily housing project in a manner consistent with subsection (g), or provide for tenant-based assistance in accordance with section 515; (2) allow for rent adjustments by applying an operating cost adjustment factor established under guidelines established by the Secretary; (3) require the owner or purchaser of an eligible multifamily housing project to evaluate the rehabilitation needs of the project, in accordance with regulations of the Secretary, and notify the participating administrative entity of the rehabilitation needs; (4) require the owner or purchaser of the project to provide or contract for competent management of the project; (5) require the owner or purchaser of the project to take such actions as may be necessary to rehabilitate, maintain adequate reserves, and to maintain the project in decent and safe condition, based on housing quality standards established by— (A) the Secretary; or (B) local housing codes or codes adopted by public housing agencies that— (i) meet or exceed housing quality standards established by the Secretary; and (ii) do not severely restrict housing choice; (6) require the owner or purchaser of the project to maintain affbrdability and use restrictions in accordance with regulations promulgated by the Secretary, for a term of not less than 30 years which restrictions shall be— (A) contained in a legally enforceable document recorded in the appropriate records; and (B) consistent with the long-term physical and financial viability and character of the project as affordable housing; (7) include a certification by the participating administrative entity that the restructuring meets subsidy layering

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