PUBLIC LAW 100-242—FEB. 5, 1988
101 STAT. 1937
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(1) in subsection (a), by inserting "qualified community organization or" before "public agency designated"; (2) in subsection (b), by inserting "qualified community organization or" before "public agency designated"; (3) in subsection (b)(1), by inserting before the semicolon the following: "or in accordance with subsection (1) to qualified community organizations"; (4) in subsection (b)(3)(D), by inserting "qualified community organization or" before "public agency designated"; (5) in subsection (b)(5), by inserting "qualified community organization or" before "public agency designated"; (6) by redesignating subsection (k) as subsection (1); and (7) by inserting after subsection (j) the following new subsection: "(k) A unit of general local government or a State, or a public State and local agency designated by a unit of general local government or a State, governments. may transfer any real property that it receives under subsection (a) Real property. or purchases under subsection (i) to a qualified community organization. Qualified community organizations shall be limited to organizations that— "(1) are incorporated and controlled by a board of directors whose members receive no compensation of any kind for the performance of their duties; "(2) are organized exclusively for charitable, educational, scientific purposes, or the promotion of social welfare, and qualify as exempt organizations under paragraph (3) or (4) of section 501(c) of the Internal Revenue Code of 1986; and "(3) agree to assist the applicable State or unit of general local government with the selection of homesteaders, the selection, inspection, and rehabilitation of the properties, and to perform such other functions as may be agreed between the State or unit of general local government and the qualified nonprofit . organization, including the acceptance of title to property from the relevant Federal agency and the direct conveyance of the property to the homesteaders subject to the terms and conditions specified in this section.". (e) AUTHORIZATION OF APPROPRIATIONS.—The first sentence of section 810(1) of the Housing and Community Development Act of 1974 (as so redesignated by subsection (d) of this section) is amended to read as follows: "To reimburse the housing loan funds for properties transferred pursuant to this section, and to carry out subsections (c), (g), (h), and (i), there are authorized to be appropriated $12,000,000 for fiscal year 1988, and $13,000,000 for fiscal year 1989.". SEC. 518. REHABILITATION LOANS.
(a) EXTENSION OF LOAN AUTHORITY.—Section 312(h) of the Housing Act of 1964 is amended by striking "March 15, 1988" and inserting "September 30, 1989". (b) PROHIBITION OF CERTAIN FEES.—Section 312(g) of the Housing Act of 1964 is amended by adding at the end the following new sentence: "No risk premium or loan fee may be imposed by or for the Secretary or any other Federal agency on or with respect to a loan made under this section after the date of the enactment of the Housing and Community Development Act of 1987.". (c) PROHIBITION OF LOAN SALES.—Section 312 of the Housing Act of
1964 is amended by adding at the end the following new subsection:
42 USC 1452b.
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