69 1 is commenced), and the Secretary shall require certification 2 as to compliance with the provisions of this section prior to 3 making any payment under such contract." 4 APPLICABILITY OF RENTAL REQUIREMENTS 5 SEC. 202. (a) If the provisions of the United States 6 Housing Act of 1937, as amended by section 201 of this 7 Act, would require the establishment of an increased monthly 8 rental charge in an amount in excess of $10 for 9 10 11 a family which occupies a low-income housing dwelling unit as of the effective date of such section, the required adjust ment in the family's rent will be accomplished as follows: 12 (1) When the public agency makes the first review of 13 the family's income pursuant to section 6(c) (2) of the 14 Act, the family's monthly rent will be increased 15 by an amount equal to one-half the additional amount of 16 rent which would then be required under the Act; and (2) 17 the family's monthly rental charge will be increased to the 18 full amount of the rental charge required under the Act 19 when the public housing agency makes its next review of 20 the family's income. Increases in rentals for such families 21 will be effective the first day of the month immediately 22 following the month in which the public housing agency 23 makes the review of the family income. 24 (b) Section 213 (b) of the Housing and Urban De25 velopment Act of 1969 is repealed. 1 2 70 EXEMPTION OF CERTAIN PROJECTS FROM RENTAL FORMULA 3 SEC. 203. The rental or income contribution provisions 4 of the United States Housing Act of 1937, as amended by 5 section 201 of this Act, shall not preclude (1) the use of 6 special schedules of required payments as approved by the 7 Secretary for participants in mutual help housing projects 8 who contribute labor, land, or materials to the development 9 of such projects, or (2) the continued use of special sched10 ules of required payments as approved by the Secretary for 11 home buyers in occupancy in homeownership opportunity 12 projects under lease-purchase type contracts on the effective 13 date of this title. 14 15 16 REPEAL OF SPECIFICATION REQUIREMENTS IN CONSTRUCTION CONTRACTS SEC. 204. Section 815 of the Housing Act of 1954 is 17 repealed. 18 19 RETROACTIVE EFFECT OF REPEAL OF SECTION 10 (j) SEC. 205. Section 206 (c) of the Housing Act of 1961 20 (Public Law 87-70, approved June 30, 1961; 75 Stat. 165) 21 is amended by adding at the end thereof the following sen22 tence: "The Secretary of Housing and Urban Development is authorized to agree with a public housing agency to the 24 amendment of any annual contributions contract containing 25 the provision prescribed in section 10 (j), so as to delete 71 1 such provision and waive any rights of the United States 2 accrued or that may accrue under such provision.' 3 4 AMENDMENT TO NATIONAL BANK ACT SEC. 206. The sixth sentence of paragraph "Seventh" 5 of section 5136 of the Revised Statutes, as amended (12 6 U.S.C. 24), is amended 15 16 17 (1) by striking out "1421a (b) of title 42" wherever it appears and inserting in lieu thereof "6 (f) of the United States Housing Act of 1937"; (2) by striking out "either" immediately before clause (1); (3) by striking out "(which obligations shall have a maturity of not more than eighteen months)" in clause (1); (4) by striking out "or" immediately before clause (2); and (5) by inserting before the colon preceding the first 18 proviso the following: ", or (3) by a pledge of both annual contributions under an annual contributions con tract containing the covenant by the Secretary which is authorized by section 6 (f) of the United States Housing Act of 1937, and a loan under an agreement between the local public housing agency and the Secretary in which the public housing agency agrees to borrow from the Secretary, and the Secretary agrees to lend to the public housing agency, prior to the maturity of such ob 72 1 ligations, moneys in an amount which (together with 2 any other moneys irrevocably committed under the an 3 nual contributions contract to the payment of principal 4 5 6 7 8 9 10 11 and interest on such obligations) will suffice to provide for the payment when due of all installments of principal and interest on such obligations, which moneys under the terms of such agreement are required to be used for the purpose of paying the principal and interest on such obligations at their maturity". AMENDMENT TO LANHAM ACT SEC. 207. Section 606 (b) of the Act of October 14, 12 1940, as amended (42 U.S.C. 1586), is amended by striking 13 out all of the first sentence which follows the parenthetical 14 phrase and inserting in lieu thereof a period, and by striking out the second sentence. 15 16 17 EFFECTIVE DATE SEC. 208. The provisions of this chapter shall be effec18 tive at such date or dates as the Secretary of Housing and 19 Urban Development shall prescribe, but not later than 120 20 days after the enactment thereof. 21 CHAPTER III-MORTGAGE CREDIT ASSISTANCE 22 CONSOLIDATION AND REVISION OF MORTGAGE INSURANCE AUTHORITIES SEC. 301. The provisions of this section which follow 25 shall be effective as provided in section 302 and may be cited. as the "Revised National Housing Act”. 4 SECTION 1. As used in this Act (a) The term "first mortgage" means such classes of 5 first liens as are commonly given to secure advances on, 6 or the unpaid purchase price of, real estate, under the laws 7 of the State in which the real estate is located, together 8 with the credit instruments, if any, secured thereby. 9 (b) The term "mortgage" means a first mortgage on 10 real estate in fee simple, or on a leasehold (1) under a 11 lease for not less than ninety-nine years which is renewable 12 or (2) under a lease having a period of not less than fifty 13 years to run from the date the mortgage was executed. 14 (c) The term "mortgagee" includes the original lender 15 under a mortgage, and its successors and assigns approved 16 by the Secretary. 17 18 19 (d) The term "mortgagor" includes the original borrower under a mortgage, and its successors and assigns. (e) The term "home mortgage" means a mortgage 20 involving a one- to four-family residence or a one-family 21 unit in a condominium. 22 (f) The term "project mortgage" means a mortgage 23 involving multifamily housing, a land development project, 24 or a health facility. 25 (g) The term "condominium" means a multiunit hous 26 ing project which is subject to a plan of family unit owner |