106 1 during any period in which assistance payments are made 2 with respect to such project. 3 "(B) Not more than 25 per centum of the total 4 amount of assistance payments authorized to be contracted 5 to be made pursuant to appropriation Acts as provided in 6 subsection (i) (1) (after the date of the enactment of the 7 Housing and Urban Development Act of 1972) shall be 8 contracted to be made with respect to projects covered by 9 mortgages given under subparagraph (A) of this para10 graph." 11 12 23 INTERIM REQUIREMENT OF LOCAL GOVERNMENTAL APPROVAL FOR SECTION 235 AND 236 HOUSING 13 SEC. 117. (a) Section 235 (a) of the National Hous14 ing Act is amended by adding at the end thereof the fol15 lowing new sentence: "Assistance payments shall not be 16 made under this section (and mortgages shall not be in17 sured under subsection (i) or (j) with respect to eight or 18 more dwellings constructed as part of a single development, 19 except pursuant to a reservation or commitment made be20 fore the date of the enactment of the Housing and Urban 21 Development Act of 1972, unless the governing body of 22 the locality in which the development is located has by 23 resolution specifically approved such development." 24 (b) Section 236 (a) of such Act is amended by adding 25 at the end thereof the following new sentence: "No assist 107 1 ance payments with respect to any project shall be made 2 under this section (and no mortgage covering any project 3 shall be insured under subsection (j)); except pursuant to 4 a reservation or commitment made before the date of the 5 enactment of the Housing and Urban evelopment Act of 6 1972, unless the governing body of the locality where such 7 project is or would be situated has by resolution specifically 8 approved it." 9 TITLE II-PRESERVATION AND REVITALIZA 10 11 121 16 TION OF DECLINING NEIGHBORHOODS PURPOSE SEC. 201. It is the purpose of this title to help preserve 13 older urban neighborhoods which are threatened with blight 14 and housing abandonment by establishing a program of 15 neighborhood preservation grants and a new demonstration program of Federal mortgage insurance which, in conjunction 17 with additional activities to be carried out by the localities 18 involved, give reasonable promise that the threat of housing 19 abandonment will be eliminated and a suitable and stable 20 living environment restored or maintained. 21 22 225 222 GRANTS FOR NEIGHBORHOOD PRESERVATION PROGRAMS SEC. 202. (a) The Secretary of Housing and Urban 23 Development is authorized to make and contract to make 24 grants under this section to cities, municipalities, counties, 25 and other general purpose units of local government (in 108 1 cluding the District of Columbia) to assist such localities in 2 carrying out in designated neighborhood preservation areas 3 programs designed to improve basic community facilities and services and bring about such other changes as may be 25 necessary or appropriate to eliminate the threat of housing abandonment in such areas and to restore or maintain for the residents of such areas a suitable and stable living en vironment. (b) Grants under this section may not exceed 90 per centum of the cost of carrying out, over a period not to exceed three years, any of the following types of activities: (1) the repair of streets, sidewalks, parks, playgrounds, publicly owned utilities, and public buildings to meet the needs of the area, (2) the improvement of private properties to elim inate dangers to the public health and safety, (3) the demolition of structures determined to be structurally unsound or unfit for occupancy, (4) the establishment of temporary or permanent public playgrounds on vacant land, and (5) such other similar activities and improvements as the Secretary deems reasonably calculated to aid significantly in achieving the objectives of this section. (c) To be eligible for assistance under this section, a locality, acting through its local governing body, shall 109 1 designate a specific and identifiable area threatened with 2 housing abandonment which the Secretary finds has a reason3 able prospect of being restored or maintained as a suitable 4 and stable living environment with Federal assistance to be 5 provided under this title in conjunction with increased and 6 improved social services to be provided under other federally 7 assisted, State, or local programs. Upon approval of a 8 neighborhood preservation area by the Secretary, the local9 ity shall prepare and submit to the Secretary a plan specify10 ing the improvements in basic community facilities and in 11 services to be made in such area over a three-year period. No 12 grants shall be made under this section to a locality with 13 respect to its designated neighborhood preservation area 14 unless the Secretary finds (1) that the three-year plan sub15 mitted by such locality is workable and, in conjunction with 16 mortgage insurance to be provided by the Secretary pur suant to section 505 (g) of the Housing and Urban Develop18 ment Act of 1970, will provide an effective means of carry19 ing out the purpose of this title in such area, (2) that the 20 locality has the necessary capacity to carry out in a timely 21 fashion all of the activities and undertakings set forth in such 22 plan, and (3) that the locality satisfies such other conditions 23 and requirements as he may impose to assure that the pur24 pose of this title will be achieved. (d) There are authorized to be appropriated for grants 110 1 under this section not to exceed $25,000,000 for the fiscal 2 year ending June 30, 1973, not to exceed $25,000,000 for 3 the fiscal year ending June 30, 1974, and not to exceed 4 $25,000,000 for the fiscal year ending June 30, 1975. The 5 amount so appropriated shall remain available until expended, 6 and any amounts authorized for any fiscal year under this 7 subsection but not appropriated may be appropriated for any 8 succeeding fiscal year commencing prior to July 1, 1975. 9 DEMONSTRATION OF FEDERAL MORTGAGE INSURANCE TO 10 11 12 13 FACILITATE SALE OR REFINANCING OF HOUSING IN NEIGHBORHOOD PRESERVATION AREAS AND OTHER AREAS THREATENED BY ABANDONMENT SEC. 203. Section 505 of the Housing and Urban 14 Development Act of 1970 is amended by adding at the end 15 thereof the following new subsection: 16 20 "(g) Notwithstanding the provisions of any other law, 17 the Secretary is authorized to make mortgage insurance 18 available, under such terms and conditions as he determines 19 appropriate, to facilitate the refinancing of existing mortgages covering housing located in demonstration project areas under 21 this section or in neighborhood preservation areas as desig22 nated and approved under section 202 of the Housing and 23 Urban Development Act of 1972, the transfer of housing 24 located in such areas to resident, nonprofit, or cooperative ownership, and the repair and improvement of housing 25 |