Page:United States Statutes at Large Volume 80 Part 1.djvu/1307

 80 STAT.]

PUBLIC LAW 8 9 - 7 5 4 - N O V. 3, 1966

1271

tion of the project) voluntarily donate their services without compensation for the purpose of lowering their housing costs in a cooperative housing project and the Secretary determines that any amounts saved thereby are fully credited to the cooperative undertaking the construction, and "(2) with respect to mortgages described in such subsection (h)(1), in cases or classes of cases where prospective owners of such dwellings voluntarily donate their services without compensation, or other persons (not otherwise employed at.any tinie in the rehabilitation of the property) voluntarily donate their services without compensation, and the Secretary determines that any amounts saved thereby are fully credited to the nonprofit organization undertaking the rehabilitation." WAIVER OF DEDUCTION ON A S S I G N M E N T OF PROPERTY TO SECRETARY I N L I E U OF FORECLOSURE

SEC. 312. Title V of the National Housing Act is amended by add- 1/3^5^^^^ ^^^^^" ine: at the end thereof the followinsr new section: " W A IV E R OF DEDUCTION ON A S S I G N M E N T OF PROPERTY TO SECRETARY I N L I E U OF FORECLOSURE

"SEC. 523. Notwithstanding any other provision of this Act, from and after the date of the enactment of the Demonstration Cities and Metropolitan Development Act of 1966, the Secretary, under such terms and conditions as he may approve, may waive all or a part of the 1 per centum deduction otherwise made from insurance benefits with respect to multifamily housing or land development mortgages assigned to him, where the assignment is made at his request in lieu of foreclosure of the mortgage." TITLE IV—LAND DEVELOPMENT AND N E W COMMUNITIES E X P E R I M E N T A L MORTGAGE INSURANCE PROGRAM FOR N E W

COMMUNITIES

SEC. 401. (a) Title X of the National Housing Act is amended by inserting after section 1003 the following new section 1004 and redesignating the remaining sections accordingly: "NEW

COMMUNITIES

"SEC. 1004. (a) New communities consisting of developments, satisfying all other requirements under this title, may be approved under this section by the Secretary for mortgage insurance if they meet the requirements of subsection (b) of this section. " (b) A development shall be eligible for approval as a new community if the Secretary determines it will, in view of its size and scope, make a substantial contribution to the sound and economic growth of the area within which it is located in the form of— "(1) substantial economies, made possible through large-scale development, in the provision of improved residential sites; "(2) adequate housing to be provided for those who would be employed in the community or the surrounding area; "(3) maximum accessibility from the new residential sites to industrial or other employment centers and commercial, recreational, and cultural facilities in or near the community; and "(4) maximum accessibility to any major central city in the area.

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