Page:United States Statutes at Large Volume 104 Part 5.djvu/927

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PUBLIC LAW 101-625—NOV. 28, 1990 104 STAT. 4249 SEC. 583. EXTENSION OF CAPITAL ASSESSMENT STUDY. Section 204(c)(l) of the Department of Housing and Urban Development Reform Act of 1989 (12 U.S.C. 1715z-la note) is amended by striking "Not later than one year after the date of enactment of this Act" and inserting "Not later than March 1, 1992". TITLE VI—PRESERVATION OF AFFORDABLE RENTAL HOUSING Subtitle A—Prepayment of Mortgages Insured Under National Housing Act SEC. 601. PREPAYMENT OF MORTGAGES. (a) IN GENERAL. —Subtitles A and B of the Emergency Low Income Housing Preservation Act of 1987 (12 U.S.C. 1715/ note) are amended to read as follows: "Subtitle A—Short Title "SEC. 201. SHORT TITLE. "This title may be cited as the 'Low-Income Housing Preservation and Resident Homeownership Act of 1990'. "Subtitle B—Prepayment of Mortgages Insured Under National Housing Act "SEC. 211. GENERAL PREPAYMENT LIMITATION. "(a) PREPAYMENT AND TERMINATION. —An owner of eligible lowincome housing may prepay, and a mortgagee may accept prepay- ment of, a mortgage on such housing only in accordance with a plan of action approved by the Secretary under this subtitle or in accordance with section 224. An insurance contract with respect to eligible low-income housing may be terminated pursuant to section 229 of the National Housing Act only in accordance with a plan of action approved by the Secretary under this subtitle or in accordance with section 224. "(b) FORECLOSURE.— A mortgagee may foreclose the mortgage on, or acquire by deed in lieu of foreclosure, any eligible low-income housing project only if the mortgagee also conveys title to the project to the Secretary in connection with a claim for insurance benefits. "(c) EFFECT OF UNAUTHORIZED PREPAYMENT.—Any prepayment of a mortgage on eligible low-income housing or termination of the mortgage insurance on such housing not in compliance with the provisions of this subtitle shall be null and void and any low-income affordability restrictions on the housing shall continue to apply to the housing. "SEC. 212. NOTICE OF INTENT. "(a) FiliNG WITH THE SECRETARY. — An owner of eligible lowincome housing that intends to terminate the low-income afford- Low-Income Housing Preservation and Resident Homeownership Act of 1990. 12 USC 4101 note. 12 USC 4101. 12 USC 4102.