Page:United States Statutes at Large Volume 82.djvu/641

 82 STAT. ]

PUBLIC LAW 90-448-AUG. 1, 1968

599

L'tates in his official capacity is a party. No costs shall be assessed for or against the Secretary in any proceeding under this title brought by or against him in the Supreme Court or such other courts. APPROPRIATIONS

SEC. 1421. There are authorized to be appropriated such sums as may be necessary to carry out this title. EFFECTIVE DATE

SEC. 1422. This title shall take effect upon the expiration of two hundred and seventy days after the date of its enactment. TITLE XV—MORTGAGE INSURANCE FOR NONPROFIT HOSPITALS AMENDMENT TO N A T I O N A L H O U S I N G ACT

SEC. 1501. Title II of the National Housing Act is amended by,,^,25^0 1707adding at the end thereof (after the new section added by section 1715y. 807 of this Act) the following new section: "MORTGAGE INSURANCE FOR NONPROFIT HOSPITALS

"SEC. 242. (a) The purpose of this section is to assist the provision of urgently needed hospitals for the care and treatment or persons who are acutely ill or who otherwise require medical care and related services of the kind customarily furnished only (or most effectively) by hospitals. "(b) For the purposes of this section— " (1) the term 'hospital' means a facility— " (A) which provides community service for inpatient medical care of the sick or injured (including obstetrical care); " (B) not more than 50 per centum of the total patient days of which during any year are customarily assignable to the categories of chronic convalescent and rest, drug and alcoholic, epileptic, mentally deficient, mental, nervous and mental, and tuberculosis; and " (C) which is owned and operated by one or more nonprofit corporations or associations no part of the net earnings of which inures, or may lawfully inure, to the benefit of any private shareholder or individual; and " (2) the terms 'mortgage' and 'mortgagor' shall have the meanings respectfully set forth in section 207(a) of this Act. "(c) The Secretary is authorized to insure any mortgage (including advances on such mortagage during construction) in accordance with the provisions of this section upon such terms and conditions as he may prescribe and to make commitments for insurance of such mortgage prior to the date of its execution or disbursement thereon. " (d) I n order to carry out the purpose of this section, the Secretary is authorized to insure any mortgage which covers a new or rehabilitated hospital, including equipment to be used in its operation, subject to the following conditions: " (1) The mortgage shall be executed by a mortgagor approved by the Secretary. The Secretary may in his discretion require any such mortgagor to be regulated or restricted as to charges and methods of financing, and, in addition thereto, if the mortgagor is a corporate entity, as to capital structure and rate of return. As an aid to the regulation or restriction of any mortgagor with respect to any of the fore-

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