Page:United States Statutes at Large Volume 97.djvu/1226

 97 STAT. 1194 PUBLIC LAW 98-181—NOV. 30, 1983 12 USC 1715z. Homeowner assistance fund. 42 USC 1437c. eommitments and reservations. SECTION 235 HOMEOWNERSHIP ASSISTANCE SEC. 226. (a) Section 235(c)(l) of the National Housing Act is amended— (1) by striking out "The" in the first sentence and inserting in lieu thereof "Subject to the second sentence of this paragraph, the"; and (2) by inserting after the first sentence the following new sentence: "Assistance payments pursuant to any new contract entered into after September 30, 1983, that utilizes authority approved in appropriation Acts for any fiscal year beginning after such date may not be made for more than ^ 10-year period.". (b) Section 235(c) of such Act is amended by adding at the end thereof the following new paragraph: "(3)(A) There hereby is established in the Treasury of the United States a fund, which, to the extent approved in appropriation Acts, may be used by the Secretary for purposes of carrying out subpara- graph (B). There shall be deposited into such fund (i) any amount recaptured under paragraph (2); (ii) any authority to make assist- ance payments under subsection (a) that is committed for usc in a contract but is unused because the mortgage loan, or advance of credit involved is refinanced or because such assistance payments are terminated or suspended for other reasons before the original termination date of such contract; and (iii) any amount received under subparagraph (C). "(Bf) In th^ase of any homeowner whose assistance payments are terminated by reason of the 10-year limitation referred to in para- graph (1), and who is determined by the Secretary to be unable to assumeptthe full payments due under the mortgage, loan, or advance of credit involved, the Secretary shall, to the extent of the availabil- ity of amounts in the fund estabhshed in subparagraph (A), contract to make, and make, continued assistance payments on behalf of such homeowner. Such continued assistance payments shall be made in an amount determined in accordance with the applicable provisions of paragraph (1) or subsection (a)(2)(B) arid for such period as the Secretary determines to be appropriate. "(C) Any amounts in such fund determined by the Secretary to be in excess of the amounts currently required to carry out the provi- sions of subparagraph (B) shall be invested by the Secretary in obligations of, or obligations guaranteed as to both principal and interest by, the United States or any agency of the United States.". (c) Section 235(h)(l) of such Act is amended— (1) by striking out "and" after "1971," in the second sentence; (2) by inserting the following before the period at the end of such sentence: ", and by such sums as may be approved in an appropriation Act on or after October 1, 1983 (from the addi- tional authority to enter into contracts made available on such date under the first sentence of section 5(c)(l) of the United States Housing Act of 1937)"; and (3) by inserting the following new sentences after the second sentence: "The aggregate amount that may be obligated over the duration of the contracts entered into with the authority provided on or after October 1, 1983, may not exceed such sums of new budget authority as may be appropriated after the date of enactment of this sentence. The Secretary shall begin issuing new commitments and reservations to provide mortgage insur-

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