Sec. 8-68c. Notice of certain actions concerning federally assisted multifamily rental housing for low and moderate income persons and families.
Sec. 8-68c. Notice of certain actions concerning federally assisted multifamily
rental housing for low and moderate income persons and families. (a) As used in
this section, "covered program" means:
(1) New construction, substantial rehabilitation, moderate rehabilitation, property
disposition and loan management set-aside programs or any other program providing
project-based assistance under 42 USC 1437f, including, but not limited to, housing
regulated pursuant to 24 CFR 983.1 to 24 CFR 983.262, inclusive, 24 CFR Parts 880
to 884, inclusive, and 24 CFR Part 886;
(2) The Below Market Interest Rate Program under Section 221(d)(3) of the National Housing Act, 12 USC 1715l(d)(3), (5);
(3) Section 236 of the National Housing Act, 12 USC 1715z-1;
(4) Section 202 of the Housing Act of 1959, 12 USC 1701q;
(5) Programs for rent supplement assistance under Section 101 of the Housing and
Urban Development Act of 1965, 12 USC 1701s;
(6) Programs under Section 515 of the Housing Act of 1949, 42 USC 1485;
(7) Programs under Section 521 of the Housing Act of 1949, 42 USC 1490a;
(8) The Low Income Housing Tax Credit program, 26 USC 42; or
(9) Supportive Housing for Persons with Disabilities under 42 USC 8013.
(b) On and after July 1, 2006, any owner of multifamily rental housing for persons
and families of low and moderate income, that is assisted pursuant to a contract, mortgage, or mortgage insured under any covered program shall, not later than one year prior
to the expiration or planned or proposed termination of any subsidy for the development,
sale, transfer of title, lease of the development, prepayment of any such contract or
mortgage, or maturity of such mortgage, if any such action will result in the cessation
or reduction of the financial assistance or regulatory requirements designed to make the
assisted units affordable to low and moderate income households, provide written notice
of such action to the Commissioner of Economic and Community Development, the
chief executive officer of the municipality in which such housing is located and to all
tenants residing in such housing. Nothing in this section shall be construed to limit the
contractual rights or the ability of such owner to prepay any such mortgage or to interfere
with any existing contract. Not later than ten business days after receipt of any notice,
the Commissioner of Economic and Community Development shall cause such notice
to be posted on the web site of the department. Such notice shall also be made available
electronically to those persons who have provided the commissioner with a written
request to receive such notices along with a current electronic mail address.
(c) Notwithstanding the provisions of subsection (b) of this section, the owner of
multifamily rental housing that is assisted pursuant to a contract, mortgage or mortgage
insured under any covered program that was not subject to the provisions of this section
prior to July 1, 2006, and which, as of July 1, 2006, has less than one year remaining
prior to the expiration or planned or proposed termination of any subsidy for the development, sale, transfer of title, lease of the development, prepayment of any such contract
or mortgage or maturity of such mortgage, if any such action will result in the cessation
or reduction of the financial assistance or regulatory requirements designed to make the
assisted units affordable to low and moderate income households, shall provide not less
than ninety days written notice of such action. Said notice shall be delivered to the
parties listed in subsection (b) of this section and shall be posted and made available in
accordance with the provisions of said subsection (b).
(P.A. 88-262, S. 1, 3; P.A. 95-250, S. 1; P.A. 96-211, S. 1, 5, 6; P.A. 06-48, S. 1.)
History: P.A. 95-250 and P.A. 96-211 replaced Commissioner and Department of Housing with Commissioner and
Department of Economic and Community Development; P.A. 06-48 replaced former provisions re prepayment with new
Subsecs. (a), (b) and (c) re notice of certain actions concerning federally assisted multifamily rental housing for low and
moderate income persons and families, effective July 1, 2006.