Sec. 8-169w. Urban Homesteading Fund created. Regulations. Bond authorization.
Sec. 8-169w. Urban Homesteading Fund created. Regulations. Bond authorization. (a) A fund to be known as the "Urban Homesteading Fund" is hereby created.
Said fund shall be used (1) on a revolving basis to aid any urban homesteading agency
in accordance with section 8-169q, in providing financial assistance to urban homesteaders in the form of loans or deferred loans for the purchase and rehabilitation of, or
construction on, urban homestead program property and (2) to aid any urban homesteading agency in accordance with section 8-169q, in providing financial assistance to the
community housing development corporation chartered under section 8-218f in the form
of grants for the purchase and rehabilitation of, or construction on, urban homestead
program property. The Commissioner of Economic and Community Development may
authorize loans or deferred loans under subdivision (1) of this subsection from said fund
as requested and approved by the urban homesteading agency in such municipality,
subject to the applicable provisions of section 8-169u. In the case of a deferred loan, the
contract shall require that payments on interest are due immediately but that payments on
principal may be made at a later time. Such fund shall also be used on a revolving basis
to aid any nonprofit corporation incorporated pursuant to chapter 602 or any predecessor
statutes thereto, having as one of its purposes the construction, rehabilitation, ownership
or operation of housing and having articles of incorporation approved by the Commissioner of Economic and Community Development, which is an urban homesteader as
defined in section 8-169p. A nonprofit corporation shall notify the chief elected official
of the municipality in which it is located at the time a loan or deferred loan application
is submitted to the Department of Economic and Community Development in accordance with this section. The commissioner may charge the fund for any necessary costs
of administering such loan or deferred loan programs.
(b) The Commissioner of Economic and Community Development shall charge
and collect interest on each loan or deferred loan extended under this section at a rate
to be determined in accordance with subsection (t) of section 3-20. Payments of principal
and interest on such loans or deferred loans shall be paid to the Treasurer for deposit to
the credit of the Housing Repayment and Revolving Loan Fund.
(c) The Commissioner of Economic and Community Development shall adopt regulations in accordance with chapter 54 to carry out the provisions of sections 8-169o to
8-169v, inclusive, and this section. Such regulations shall (1) establish loan procedures,
repayment terms, security requirements, default and remedy provisions and such other
terms and conditions for said loans as said commissioner shall deem appropriate and
(2) establish procedures for the making of grants under section 8-169u and subdivision
(2) of subsection (a) of this section.
(d) For the purposes of subsections (a) to (c), inclusive, of this section, the State
Bond Commission shall have power, in accordance with the provisions of this section,
from time to time to authorize the issuance of bonds of the state in one or more series and
in principal amounts not exceeding in the aggregate one million five hundred thousand
dollars, the proceeds of the sale of which shall be used by the Department of Economic
and Community Development for the provision of financial assistance under section 8-169u and this section.
(e) All provisions of section 3-20 or the exercise of any right or power granted
thereby which are not inconsistent with the provisions of this section are hereby adopted
and shall apply to all bonds authorized by the State Bond Commission pursuant to this
section and temporary notes in anticipation of the money to be derived from the sale of
any such bonds so authorized may be issued in accordance with said section 3-20 and
from time to time renewed. Such bonds shall mature at such time or times not exceeding
twenty years from their respective dates as may be provided in or pursuant to the resolution or resolutions of the State Bond Commission authorizing such bonds. Such bonds
issued pursuant to this section shall be general obligations of the state and the full faith
and credit of the state of Connecticut are pledged for the payment of the principal of
and interest on such bonds as the same become due, and accordingly and as part of the
contract of the state with the holders of such bonds, appropriation of all amounts necessary for punctual payment of such principal and interest is hereby made and the Treasurer
shall pay such principal and interest as the same become due.
(P.A. 82-369, S. 16, 28; P.A. 83-269; P.A. 86-107, S. 1, 19; 86-396, S. 10, 25; 86-405, S. 9, 12; P.A. 87-416, S. 7, 24;
87-417, S. 4, 10; P.A. 90-238, S. 17, 32; P.A. 92-166, S. 9, 31; P.A. 95-250, S. 1; P.A. 96-211, S. 1, 5, 6; 96-256, S. 173, 209.)
History: P.A. 83-269 provided for direct aid to nonprofit corporations which are urban homesteaders; P.A. 86-107
removed reference to state treasurer as trustee of the fund under Subsec. (a); P.A. 86-396 increased bond authorization
from $1,000,000 to $1,500,000; P.A. 86-405 changed name of Urban Homesteading Loan Fund to Urban Homesteading
Fund and amended Subsec. (a) to authorize financial assistance to be provided for construction on urban homestead program
property, to add Subdiv. (2) re grants to urban homesteaders which are limited equity cooperatives or to the community
housing development corporation chartered under Sec. 8-218e and to add Subdiv. (3) re grants and loans for development
of limited equity cooperatives and development by such cooperatives of property other than urban homestead program
property, amended Subsec. (b) to require repaid loans to be used to provide additional financial assistance under Subsec.
(a), instead of for loans, amended Subsec. (c) to require regulations to be adopted to carry out provisions of part VII of
Ch. 130, instead of "this section" and to add Subdiv. (2) re grant procedures, Subdiv. (3) re financial assistance procedures
and Subdiv. (4) re formula limiting amount that may be received by a unit owner of a limited equity cooperative receiving
financial assistance under this section, and amended Subsec. (e) to require bond proceeds to be used for provision of
financial assistance under Sec. 8-169u and this section instead of for loans to urban homesteaders; P.A. 87-416 provided
that the interest rates on loans would be determined in accordance with Subsec. (t) of Sec. 3-20; P.A. 87-417 amended
Subsecs. (a) and (c) by deleting provisions re assistance to limited equity cooperatives, effective July 1, 1988; P.A. 90-238 revised provisions re allocation of moneys to housing funds; P.A. 92-166 amended Subsec. (a) by making deferred
loans a form of financial assistance available under the section and providing that payments on interest are due immediately
but that payments on principal may be made at a later time and made technical changes to Subsecs. (b) and (c), consistent
with changes in Subsec. (a); 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. 96-256 amended Subsec. (a) to replace
reference to "chapter 600" with "chapter 602 or any predecessor statutes thereto", effective January 1, 1997.