text:
Page:United States Statutes at Large Volume 82.djvu/497

 82 STAT. ]

PUBLIC LAW 90-439-JULY 29, 1968

"(2) If any material change occurs in the facts set forth in the statements to the issuer and the exchange, and in the statement filed with the Commission, an amendment shall be transmitted to the issuer and the exchange and shall be filed with the Commission, in accordance with such rules and regulations as the Commission may prescribe as necessary or appropriate in the public interest or for the protection of investors. "(3) When two or more persons act as a partnership, limited partnership, syndicate, or other group for the purpose of acquiring, holding, or disposing of securities of an issuer, such syndicate or group shall be deemed a 'person' for the purposes of this subsection. "(4) In determining, for purposes of this subsection, any percentage of a class of any security, such class shall be deemed to consist of the amount of the outstanding securities of such class, exclusive of any securities of such class held by or for the account of the issuer or a subsidiary of the issuer. "(5) The provisions of this subsection shall not apply to— " (A) any acquisition or offer to acquire securities made or proposed to be made by means of a registration statement under the Securities Act of 1933; " (B) any acquisition of the beneficial ownership of a security which, together with all other acquisitions by the same person of securities of the same class during the preceding twelve months, does not exceed 2 per centum of that class; " (C) any acquisition of an equity security by the issuer of such security; " (D) any acquisition or proposed acquisition of a security which the Commission, by rules or regulations or by order, shall exempt from the provisions of this subsection as not entered into for the purpose of, and not having the effect of, changing or influencing the control of the issuer or otherwise as not comprehended within the purposes of this subsection. " (e)(1) I t shall be unlawful for an issuer which has a class of equity securities registered pursuant to section 12 of this title, or which is a closed-end investment company registered under the Investment Company Act of 1940, to purchase any equity security issued by it if such purchase is in contravention of such rules and regulations as the Commission, in the public interest or for the protection of investors, may adopt (A) to define acts and practices which are fraudulent, deceptive, or manipulative, and (B) to prescribe means reasonably designed to prevent such acts and practices. Such rules and regulations may require such issuer to provide holders of equity securities of such class with such information relating to the reasons for such purchase, the source of funds, the number of shares to be purchased, the price to be paid for such securities, the method of purchase, and such additional information, as the Commission deems necessary or appropriate in the public interest or for the protection of investors, or which the Commission deems to be material to a determination whether such security should be sold. "(2) For the purpose of this subsection, a purchase by or for the issuer or any person controlling, controlled by, or under common control with the issuer, or a purchase subject to control of the issuer or any such person, shall be deemed to be a purchase by the issuer." SEC. 3. Section 14 of the Securities Exchange Act of 1934 is amended by adding at the end thereof the following new subsections:

96-600 O - 69 - 32

455

"Person."

48 Stat. 74. ^^ "^^ ^^^'

is use 78/. ^^ use soa-si.

^^ ^^'^ ^^"•

�


text:
Page:United States Statutes at Large Volume 82.djvu/498

 456

PUBLIC LAW 90-439-JULY 29, 1968

[82 STAT.

" (d)(1) It shall be unlawful for any person, directly or-indirectly, by use of the mails or by any means or instrumentality of interstate commerce or of any facility of a national securities exchange or otherwise, to make a tender offer for, or a request or invitation for tenders of, any class of any equity security which is registered pursuant to 15 USC 78/. section 12 of this title, or any equity security issued by a closed-end investment company registered under the Investment Company Act 15 USC 80a-5i. of 1940, if, after consummation thereof, such person would, directly or indirectly, be the beneficial owner of more than 10 per centum of such class, unless at the time copies of the offer or request or invitation are first published or sent or given to security holders such person has filed w'ith the Commission a statement containing such of the Ante. p. 454. information specified in section 13(d) of this title, and such additional information as the Commission may by rules and regulations prescribe as necessary or appropriate in the public interest or for the protection of investors. All requests or invitations for tenders or advertisements making a tender offer or requesting or inviting tenders of such a security shall be filed as a part of such statement and shall contain such of the information contained in such statement as the Commission may by rules and regulations prescribe. Copies of any additional material soliciting or requesting such tender offers subsequent to the initial solicitation or request shall contain such information as the Commission may by rules and regulations prescribe as necessary or appropriate in the public interest or for the protection of investors, and shall be filed with the Commission not later than the time copies of such material are first published or sent or given to security holders. Copies of all statements, in the form in which such material is furnished to security holders and the Commission, shall be sent to the issuer not later than the date such material is first published or sent or given to any security holders. "Person." «(£) When two or more persons act as a partnership, limited partnership, syndicate, or other ^roup for the purpose of acquiring, holding, or disposing of securities of an issuer, such syndicate or group shall be deemed a 'person' for purposes of this subsection. "(3) I n determining, for purposes of this subsection, any percentage of a class of any security, such class shall be deemed to consist of the amount of the outstanding securities of such class, exclusive of any securities of such class held by or for the account of the issuer or a subsidiary of the issuer. "(4) Any solicitation or recommendation to the holders of such a security to accept or reject a tender offer or request or invitation for tenders shall be made in accordance with such rules and regulations as the Commission may prescribe as necessary or appropriate in the public interest or for the protection of investors. "(5) Securities deposited pursuant to a tender offer or request or invitation for tenders may be withdrawn by or on behalf of the de'positor at any time until the expiration of seven days after the time definitive copies of the offer or request or invitation are first published or sent or given to security holders, and at any time after sixty days from the date of the original tender offer or request or invitation, except as the Commission may otherwise prescribe by rules, regulations, or order as necessary or appropriate in the public interest or for the protection of investors.

�

license: Creative Commons - Attribution Share-Alike - https://creativecommons.org/licenses/by-sa/4.0/


text:
Page:United States Statutes at Large Volume 82.djvu/499

 82 STAT. ]

PUBLIC LAW 90-439-JULY 29, 1968

457

"(6) Where any person makes a tender offer, or request or invitation for tenders, for less than all the outstanding equity securities of a class, and where a greater number of securities is deposited pursuant thereto within ten days after copies of the offer or request or invitation are first published or sent or given to security holders than such person is bound or willing to take up and pay for, the securities taken up shall be taken up as nearly as may be pro rata, disregarding fractions, according to the number of securities deposited by each depositor. The provisions of this subsection shall also apply to securities deposited within ten days after notice of an increase in the consideration offered to security holders, as described in paragraph (7), is first published or sent or given to security holders. "(7) Where any person varies the terms of a tender offer or request or invitation for tenders before the expiration thereof by increasing the consideration offered to holders of such securities, such person shall pay the increased consideration to eac!h security holder whose securities are taken up and paid for pursuant to the tender offer or request or invitation for tenders whether or not such securities have been taken up by such person before the variation of the tender offer or request or invitation. "(8) The provisions of this subsection shall not apply to any offer for, or request or invitation for tenders of, any security— " (A) proposed to be made by means of a registration statement under the Securities Act of 1933; 48 Stat. 74. " (B) if the acquisition of such security, together with all other ^^ "^^ '''^^^ acquisitions by the same person of securities of the same class during the preceding twelve months, would not exceed 2 per centum of that class; " (C) by the issuer of such security; or " (D) which the Commission, by rules or regulations or by order, shall exempt from the provisions of this subsection as not entered into for the purpose of, and not having the effect of, changing or influencing the control of the issuer or otherwise as not comprehended within the purposes of this subsection. "(e) I t shall be unlawful for any person to make any untrue statement of a material fact or omit to state any material fact necessary in order to make the statements made, in the light of the circumstances under which they are made, not misleading, or to engage in any fraudulent, deceptive, or manipulative acts or practices, in connection with any tender offer or request or invitation for tenders, or any solicitation of security holders in opposition to or in favor of any such offer, request, or invitation. " (f) If, pursuant to any arrangement or understanding with the person or persons acquiring securities in a transaction subject to subsection (d) of this section or subsection (d) of section 13 of this title, 45^"'*' ^^ '*^^' any persons are to be elected or designated as directors of the issuer, otherwise than at a meeting of security holders, and the persons so elected or d e s i ^ a t e d will constitute a majority of the directors of the issuer, then, prior to the time any such person takes office as a director, and in accordance with rules and regulations prescribed by the Commission, the issuer shall file with the Commission, and transmit to all holders of record of securities of the issuer who would be entitled to vote at a meeting for election of directors, information substantially equivalent to the information which would be required by subsection (a) or (c^ of this section to be transmitted if such person or persons were nominees for election as directors at a meeting of such security holders." Approved July 29, 1968.

�


text:
Page:United States Statutes at Large Volume 82.djvu/500

 458

PUBLIC LAW 90-440-JULY 30, 1968

[82 STAT.

Public Law 90-440 July 30, 1968 I^S-1941]

District of

Columbia Air P o l l u t i o n Control Act.

AN ACT To p r e v e n t, a b a t e, and c o n t r o l a i r p o l l u t i o n i n the District of C o l u m b i a, for other purposes.

Be it enacted by the Senate and House of Representatives United States of America In Congress assembled,

and

of the

SHORT TITLE

1. This Act may be cited as the "District of Columbia Air Pollution Control Act". SECTION

DECLARATION OF PURPOSE

SEC. 2. I t is the purpose of this Act to enable the District of Columbia Council and the Commissioner of the District of Columbia to take such action (including the adoption of air pollution control regulations of the type proposed in the model air pollution control ordinance adopted by the Metropolitan Washington Council of Governments) as may be necessary to protect and enhance the quality of the District of (Columbia's air resources so as to promote the public health and welfare and the productive capacity of its population; to foster their comfort and convenience; and to increase the enjoyment of all of the attractions of the Nation's Capital. E M I S S I O N A N D AIR Q U A L I T Y STANDARDS ESTABLISHED BY THE o r COLUMBIA C O U N C I L

Minimum standards.

81 Stat. 494. Review and re-

Federal property

DISTRICT

SEC. 3. (a)(1) The District of Columbia Council (hereafter referred to in this Act as the "Council") shall prescribe (A) within six months after the date of the enactment of this Act regulations to control emissions in the District of Columbia of substances into the atmosphere, and (B) such other regulations to protect and improve air quality in the District of Columbia as it determines are necessary to carry out the purposes of this Act. (2) In carrying out clause (A) of paragraph (1) of this subsection, the Council shall prescribe regulations for the control of the following air pollution problems in the District of Columbia: (A) combustion of fuels at stationary sources, (B) solid waste disposal and salvage operations, (C) visible emissions, (D) process emissions, and (E) emissions from motor vehicles (including diesel driven vehicles). The provisions of such regulations shall be at least as stringent as the provisions of the recommendations made by the Secretary of Health, Education, and Welfare for the control of such problems and contained in his recommendations for abatement of air pollution in the National Capital metropolitan area presented in January 1968 to the interstate air pollution abatement conference called under section 105(d)(1)(C) of the Clean Air Act (42 U.S.C. 1857d). _ (3) The Council may review and make such revisions of regulations prescribed under this Act as it determines are necessary to carry out the purposes of this Act, except that any regulation prescribed under clause (A) of paragraph (1) of subsection (a) shall be so reviewed at least once every two years. (4) The regulations prescribed by the Council under this Act shall apply to any building, installation, or other property, which is located in the District of Columbia and which is under the juris-

�


text:
Page:United States Statutes at Large Volume 82.djvu/501

 82 STAT. ]

459

PUBLIC LAW 90-440-JULY 30, 1968

diction of any department, agency, or instrumentality of the United States Government, only to the extent provided in Executive Order 11282 of May 26, 1966, any other Executive order of the President, and any Federal regulations, issued to carry out section 111 of the Clean Air Act (42 U.S.C. 1857f). (5) The Council may impose in any regulation prescribed under this Act a fine (not to exceed $300) or imprisonment (not to exceed ninety days), or both, for a violation of such regulation; and may provide that if such violation is a continuing one, each day of such violation shall constitute a separate offense. (b) In the formulation of any regulations under this Act, the Council shall afford interested persons an opportunity to participate in the formulation of such regulations through submission of written data, views, or arguments with opportunity to present oral testimony and argument. The Council shall make its regulations under this Act on the basis of the record established in proceedings held pursuant to this subsection.

42 USC 1857f note. 81 Stat. 499. Penalties.

Public participation.

AIR P O L L U T I O N CONTROL PROGRAM FOR THE DISTRICT OF COLUMBIA

SEC. 4. (a) The Commissioner of the District of Columbia (hereafter referred to in this Act as the "Commissioner") shall take such action as may be necessary to prepare a comprehensive program for the control and prevention of air pollution in the District of Columbia. Such program shall provide for the administration and enforcement by the Commissioner of the regulations pr ascribed by the Council under section 3 of this Act. As part of such program, the Commissioner— (1) shall conduct research, investigations, experiments, training demonstrations, surveys, and studies, relating to the causes, effects, extent, prevention, and control of air pollution in the District of Columbia; (2) shall collect and make available, through publications, educational and training programs, and other appropriate means, the results of, and other information pertaining to, the activities carried out under paragraph (1); (3) shall establish, m accordance with such regulations as the Council may prescribe, such procedures as may be necessary to enable him (acting by himself or with air pollution control agencies of surrounding jurisdictions) to effectively deal with an air pollution emergency; and (4) may advise, consult, cooperate, and enter into agreements with the governments and agencies of any State or political subdivision thereof adjacent to the District of Columbia and any interstate or other regional agency representing any such State or political subdivision to (A) establish cooperative effort and mutual assistance for the prevention and control of air pollution and the enforcement of their respective laws relating thereto, and (B) establish such agencies as may be necessary to carry out such agreements. (b) For the purpose of carrying out his duties under this Act, the Commissioner may— (1) delegate the performance of such duties to an agency of the government of the District of Columbia, designated or established by him; (2) issue such orders as may be necessary to enforce the regulations prescribed by the Council under this Act and enforce such orders by all appropriate administrative and judicial proceedings, including injunctive relief;

D u t i e s of Commissioner.

Emergency powers.

Cooperation with adjacent jurisdictions.

Delegation of authority.

Enforcement.

�


text:
Page:United States Statutes at Large Volume 82.djvu/502

 460

PUBLIC LAW 90-441-JULY 30, 1968

[82

STAT.

(8) hold hearings relating to the administration of this Act; (4) secure necessary scientific, technical, administrative, and operational services, including laboratory facilities, by contract, or otherwise; (5) receive and administer grants or gifts made for the purpose of carrying out the purposes of this Act; and (6) take any other action which may be necessary to carry out his duties under this Act. JUDICIAL REVIEW D.C. Court of Appeals, jurisdiction. 77 Stat. 485; 78 Stat. 633.

"Agency action." 80 Stat. 383.

SEC. 5. Section 11-742(a) of the District of Columbia Code is amended— (1) by striking out "and" at the end of paragraph (9), (2) by striking out the period at the end of paragraph (10) and inserting in lieu thereof "; and", and (3) by adding after paragraph (10) the following: "(11) Any agency action taken by the Commissioner of the District of Columbia or the District of Columbia Council under the District of Columbia Air Pollution Control Act. For purposes of paragraph (11) of this subsection, the term 'agency action' shall have the same meaning that is given that term in section 551(13) of title 5 of the United States Code." REPEAL O F ACT OF AUGUST 15, 193 5

49 Stat. 653.

SEC. 6. Effective on the one hundred and eightieth day following the date of the enactment of this Act, the Act approved August 15, 1935 (D.C. Code, secs. 6-801—6-804), is repealed. Approved July 30, 1968.

Public Law 90-441 July 30, 1968 [S.3456]

D.C. Disorderly and obscene acts.

AN ACT To provide that the prosecution of the offenses of disorderly conduct and lewd, indecent, or obscene acts shall be conducted in the name of and for the benefit of the District of Columbia.

Be it enacted by the Senate and House of Representathes of the United States of America in Congress assembled, That, notwithstanding section 932 of the Act approved March 3, 1901 (31 Stat. 1340), as amended (D.C. Code, sec. 23-101), prosecutions for violations of sections 5 and 6 of the Act approved July 29, 1892 (27 Stat. 323), as amended by the Act approved July 8, 1898 (30 Stat. 723), and section 210 of the Act approved June 29, 1953 (67 Stat. 97; D.C. Code, sec. 22-1107), relating to disorderly conduct, and for violations of section 9 of such Act approved July 29, 1892, as amended by section 202 of such Act approved June 29, 1953 (67 Stat. 92; D.C. Code, sec. 22-1112), relating to lewd, indecent, or obscene acts, shall be conducted in the name of the District of Columbia by the Corporation Counsel or his assistants. Approved July 30, 1968.

�


text:
Page:United States Statutes at Large Volume 82.djvu/503

 82 STAT. J

461

PUBLIC LAW 90-444-JULY 30, 1968

Public Law 90-442 AN ACT To amend the Foreign Service Buildings Act, 1926, to authorize additional appropriations.

July 30, 1968 [H.R. isoes]

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 4(f)(2) Foreign Service of the Foreign Service Buildings Act, 1926 (22 U.S.C. 2 9 5 (f)(2)), fdimoTilpp, appropriation. is amended— (1) by striking out "and" and inserting in lieu thereof a comma; 80 Stat. 881. and (2) by inserting immediately^ before the period at the end thereof a comma and the following: "not to exceed $13,500,000 for the fiscal year 1970, and not to exceed $14,300,000 for the fiscal year 1971'I Approved July 30, 1968.

Public Law 90-443 JOINT RESOLUTION To authorize the President to designate the week of August 4 through August 10, 1968, as "Professional Photography Week".

July 30, 1968 [S.J. Res. 181]

Resolved by the Senate and House of Representatives of the United States of America in Congress assembled, That as a tribute to the pro- Professional fessional photographer and his many works and in recognition of the week°^'^^^*'*^ importance of professional photography in our life today and in Proclamation. America's future, the President is authorized to issue a proclamation designating the week beginning August 4 through August 10, 1968, . as "Professional Photography Week", and calling upon the people of the United States to observe such week with appropriate ceremonies and activities. Approved July 30, 1968.

Public Law 90-444 AN ACT To authorize the Secretary of the Army to modify certain use restrictions on a tract of land in the State of Iowa in order that such land may be used as a site for the construction of buildings or other improvements for the Iowa Law Enforcement Academy.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the Secretary of the Army is authorized to modify on behalf of the United States the land use restriction applicable to a tract of land constituting a portion of a larger tract of State-owned land and also a portion of lands heretofore conveyed by the United States to the State of Iowa pursuant to the Act entitled "An Act to direct the Secretary of the Army to convey certain property located in Polk County, Iowa, and described

July 30, 1968 [S.3495]

Iowa. Land use restrictions, modification.

�


text:
Page:United States Statutes at Large Volume 82.djvu/504

 462

PUBLIC LAW 90-445-JULY 31, 1968

[82 STAT.

as Camp Dodge and Polk County Target Range, to the State of Iowa", approved June 1, 1955 (69 Stat. 70), so that such tract with respect to which such modification is given may be used by such State for law enforcement academy purposes. The exact description of the tract with respect to which such restriction is modified by the Secretary pursuant to this authority shall be agreed upon by the Secretary and the State of Iowa, but in no event shall the total area of such tract exceed nine acres. SEC. 2. The Secretary of the Army is authorized to impose such terms and conditions on the modification authorized by this Act as he deems appropriate to protect the interests of the United States. All expenses for surveys and the preparation and execution of legal documents necessary or appropriate to carry out the provisions of this Act shall be borne by the State of Iowa. Approved July 30, 1968.

Public Law 90-445 July 31, 1968 JJl. R. 12120]

J u v e n i l e Delinquency P r e vention and Control Act of 1968.

AN ACT To assist the courts, correctional systems, community agencies, and primary and secondary public school systems to prevent, treat, and control juvenile delinquency; to support research and training efforts in the prevention, treatment, and control of juvenile delinquency; and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the "Juvenile Delinquency Prevention and Control Act of 1968". F I N D I N G S AND PURPOSE

SEC. 2. The Congress finds that delinquency among youths constitutes a national problem which can be met by assisting and coordinating the efforts of public and private agencies engaged in combating the problem, and by increasing the number and extent of the services available for preventing and combating juvenile delinquency. I t is, therefore, the purpose of this Act to help State and local communities strengthen their juvenile justice and juvenile aid systems, including courts, correctional systems, police agencies, and law enforcement and other agencies which deal with juveniles, and to assist communities in providing diagnosis, treatment, rehabilitative, and preventive services to youths who are delinquent or in danger of becoming delinquent, to encourage the development of community-based rehabilitation and prevention programs to provide assistance in the training of personnel employed or preparing for employment in occupations involving the provision of such services, to provide support for comprehensive planning, development of improved techniques, and information services in the field of juvenile delinquency, and to provide technical assistance in such field.

�


text:
Page:United States Statutes at Large Volume 82.djvu/505

 82 STAT. ]

PUBLIC LAW 90-445-JULY 31, 1968

TITLE I—PLANNING AND P R E V E N T IV E AND REHABILITATIVE SERVICES PART A—STATE AND LOCAL PLANNING AND STATE ASSISTANCE TO LOCALITIES STATE AND LOCAL PLANNING

SEC. 101. (a) I n order to encourage States and localities to prepare and adopt comprehensive plans covering their respective jurisdictions, based on a thorough evaluation of problems of juvenile delinquency and youths in danger of becoming delinquent in the State, the Secretary is authorized to make grants to any State or local public agency to assist in preparing or revising such a plan. No such grant may exceed 90 per centum of the cost of the planning with respect to which such grant is made. (b) The Secretary may impose as a condition to any grants under this title within any State or locality that such planning be undertaken and that, where he deems it appropriate, a comprehensive plan or plans be prepared within a reasonable period. GRANTS FOR PLANNING PROJECTS OR PROGRAMS

SEC. 102. The Secretary is authorized to make grants to any State, county, municipal, or other public agency or nonprofit private agency or organization to assist it in meeting the cost of planning any project or program for which a grant may be made under the other provisions of this title. No such grant may exceed 90 per centum of the cost of the planning with respect to which such grant is made. PART B—REHABILITATIVE SERVICES STAL'EMENT OF PURPOSE

SEC. 111. The purpose of this part is to assist courts, correctional institutions, law enforcement agencies, and other agencies having responsibilities with respect to delinquent youths and youths in danger of becoming delinquent, including youths who are on parole or probation, to develop, improve, and make full use of State and community rehabilitation services for the diagnosis, treatment, and rehabilitation of such youths; to assist and encourage States to devote resources under other programs, in the fields of general and vocational education, job training, prevention and detection of crime, health, and welfare, to support programs for the diagnosis, treatment, and rehabilitation of delinquent youths and youths in danger of becoming delinquent, including support through the provision of assistance to establish linkage between the planning, conduct, and delivery of services under such other programs and programs under this act for delinquent youths and youths in danger of becoming delinquent; and to encourage the development in communities of new designs and new methods of care and treatment, including the operation of full-time or part-

463

�


text:
Page:United States Statutes at Large Volume 82.djvu/506

 464

PUBLIC LAW 90-445-JULY 31, 1968

[82 STAT.

time community-based residential facilities for such youths requiring residential care, diagnosis, treatment, and rehabilitation. AUTHORIZATION

OP GRANTS

SEC. 112. The Secretary is authorized to make grants to meet not to exceed 60 per centum of the cost of projects or programs designed to carry out the purposes of this part. APPLICATIONS

SEC. 113. (a) Grants under this part may be made only upon application, to a State agency or, in the case of direct grants under section 132, to the Secretary, by a State, county, municipality, or other public agency or combination thereof, which contains or is accompanied by satisfactory assurances that— (1) such applicant agency will provide to the extent feasible for coordinating, on a continuing basis, its operations with the operations of public agencies and private nonprofit organizations furnishing welfare, education, health, mental health, recreation, job training, job placement, correction, and other basic services in the community for youths; (2) such applicant agency will make reasonable efforts to secure or provide any of such services which are necessary for diagnosing, treating, and rehabilitating youths referred to in section 111 and which are not otherwise being provided in the community, or if being provided are not adequate to meet its needs; (3) maximum use will be made under the program or project of other Federal, State, or local resources available for provision of such services; (4) financial resources will, in the case of grants for construction, be available for the non-Federal share of such construction and for continued operation of the facility constructed; and (5) public and private agencies and organizations (including courts, law enforcement and other agencies involved in the youth correction process) providing the services referred to in paragraph (1) will be consulted in the formulation by the applicant of the project or program, taking into account the services and expertise of such agencies and organizations, and with a view to adapting such services to the better fulfillment of the purposes of this part. (b) Such application shall contain such information as may be necessary to carry out the purpose of this Act, including— (1) a description of the services for youths described in section 111 which are available in the State or community; (2) a statement of the method or methods of linking the agencies and organizations, public and private, providing these and other services; and (3) a showing that the project or program is consistent with any comprehensive plan developed under any other Act which is related to the purpose of this Act.

�


text:
Page:United States Statutes at Large Volume 82.djvu/507

 82 STAT. ]

PUBLIC LAW 90-445-JULY 31, 1968 PART C—PREVENTIVE SERVICES STATEMENT OF PURPOSE

SEC. 121. The purpose of this part is to promote the use of community-based services for the prevention of delinquency of youths; and to assist States and communities to establish special preventive services, including educational delinquency prevention programs in schools, for youths in danger of becoming delinquent, including youths who are on parole or probation. AUTHORIZATION OF GRANTS

SEC. 122. The Secretary is authorized to make grants to meet not to exceed 75 per centum of the cost of projects or programs designed to carry out the purposes of this part. APPLICATIONS

SEC. 123. (a) Grants under this part may be made only upon application, to a State agency or, in the case of direct grants under section 132, to the Secretary, by a public agency or nonprofit private agency or organization, which contains or is accompanied by satisfactory assurances that— (1) steps have been or will be taken toward provision, within a reasonable period of time, of a program of services in the area served which are necessary for the prevention of delinquency of youths, including diagnosis, treatment, and rehabilitation of youths in danger of becoming delinquent; (2) such applicant agency or organization will make special efforts to assure that the services provided by the program or project will be available for youths with serious behavioral problems; (3) such applicant agency or organization will provide to the extent feasible for coordinating, on a continuing basis, its operations with the operations of public agencies and private nonprofit organizations furnishing welfare, education, health, mental health, recreation, job training, job placement, correction, and other basic services in the community for youths; (4) such applicant agency or organization will make reasonable efforts to secure or provide any of such services which are necessary^ for diagnosing, treating, and rehabilitating youths referred to in section 121 and which are not otherwise being provided in the community, or if being provided are not adequate to meet its needs; (5) maximum use will be made under the program or project of other Federal, State, or local resources available for provision of such services; and (6) public and private agencies and organizations (including courts, law enforcement and other agencies involved in the youth correction process) providing the services referred to in paragraph (3) will be consulted in the formulation by the applicant

465

�


text:
Page:United States Statutes at Large Volume 82.djvu/508

 466

Information.

PUBLIC LAW 90-445-JULY 31, 1968

[82 STAT.

of the project or program, taking into account the services and expertise of such agencies and organizations, and with a view to adapting such services to the better fulfillment of the purposes of this part. ^jj) Such application shall contain such information as may be necessary to carry out the purpose of this Act, including— (1) a description of the services for youths described in section 121 which are available in the State or community; (2) a statement of the method or methods of linking the agencies and organizations, public and private, providing these and other services; and (3) a showing that the project or program is consistent with any comprehensive plan developed under any other Act which is related to the purpose of this Act. PART I)—GENERAL PROVISIONS STATE

PLAN

SEC. 131. (a) Any State which desires to receive a grant under part B or C of this title in order to make program or project grants within such State shall, through a single State agency designated for the purposes of this title, submit to the Secretary a comprehensive juvenile delinquency plan in such detail as the Secretary deems necessary. (b) The Secretary shall approve a State plan or modification thereof for any fiscal year for purposes of this section if he determines that the plan for that fiscal year— (1) provides that the grant to the State will be used solely (A) for projects and programs which are submitted to the State agency by a community, municipal, or other local public agency or local nonprofit private agency or organization, or combination thereof, which meet the requirements of section 113 or section 123, and which are approved by such State agency, and (B) for paying up to 75 per centum of the cost of administering the plan approved under this section; (2)(A) sets forth, on the basis of an analysis and survey of the needs in the State for assistance under part B or C, a method of distribution of funds under the plan, including establishment of priorities for locations and types of projects and programs, which gives emphasis to community based alternatives to programs of institutionalization and which conforms to criteria of the Secretary, and (B) provides for distribution of such funds, insofar as financial resources make possible, in accordance with such method; (3) provides for an appropriate balance of rehabilitation and preventive projects and programs; (4) provides for (A) effective coordination of plans and programs developed and conducted by the State in fields related to juvenile delinquency, including programs under the Elementary note-"2Vsci305 ^^^ Secoudary Education Act of 1965, the Social Security Act, 257? note. ' the Maupower Development and Training Act of 1962, and pro-

�


text:
Page:United States Statutes at Large Volume 82.djvu/509

 82 STAT. ]

PUBLIC LAW 90-445-JULY 31, 1968

grams for the f)reveiition and detection of crime, with plans, projects, and programs developed and conducted by the State under this title, and (B) appropriate application of resources under such other plans and programs to support and reinforce plans, projects, and programs under this title; (5) provides for the effective participation of persons representative of local and areawide public and private groups and organizations familiar with the field of juvenile delinquency and with associated fields in the development and implementation of the State plan; (6) demonstrates the capability of the State agency in the areas of planning, project and program development, technical assistance, and evaluation, and sets forth the administrative organization and procedures in such detail as the Secretary may prescribe by regulation; (7) provides for the maximum use of other Federal, State, and local resources, including resources available through the programs referred to in paragraph (4), in carrying out the State plan and projects and programs under it; (8) sets forth policies and procedures which give assurance that the Federal grant for any fiscal year will be used to supplement and, to the extent practical, increase the fiscal effort (determined in accordance with criteria prescribed by the Secretary by regulation) that would, in the absence of such Federal grant, be made by the State, and subdivisions thereof, in the field of juvenile delinquency; (9) provides for adoption of effective procedures (A) for the evaluation at least annually of the effectiveness of the programs and projects supported under the State plan, and (B) for dissemination of information secured thereby and other useful information to local public or nonprofit private agencies and organizations in the State operating in the neld of juvenile delinquency or a related field; (10) provides for adoption of procedures to assure that funds paid to local public or nonprofit private agencies and organizations with respect to projects and programs under the plan wnll be used in accordance with applications therefor approved under the plan; (11) provides for making an annual report and such other reports, in such form and containing such information and evaluations, as the Secretary may reasonably require; (12) provides that final action by the State agency denying (in whole or in part), or withholding funds wth respect to, any application (or amendment thereof) made to it for a grant under part B or C shall not be taken without first affording the applicant reasonable notice and opportunity for a hearing; (13) provides, in the case of an application for a program or a project which is in the nature of an amendment to the State plan or a clear departure from the purview of the State plan, that final approval by the State agency of such application shall not be given unless such application has been submitted to the Secretary together with a brief statement describing the proposed program or project, and the Secretary has not, within thirty days after such submission, disapproved such application; and (14) provides assurance that the State will furnish at least one-half of the non-Federal share of funds required to meet the cost of programs and projects aided under the State plan. (c) Depending upon the availability of funds, and the other applications under part B or C, the Secretary may approve all or part of

467

�


text:
Page:United States Statutes at Large Volume 82.djvu/510

 468

PUBLIC LAW 90-445-JULY 31, 1968

[82 STAT.

the assistance requested by a State agency pursuant to an approved State plan, but all assistance requested by such agency, pursuant to an approved State plan, may be disapproved only if he determines that the provision of such assistance would so disperse available funds that the effectiveness of other projects or programs under part B or C which would more effectively carry out the purposes of part B or C, would be impaired. (d) The Secretary may, if he finds that a State plan for a fiscal year is in substantial (but not complete) compliance with the requirements set forth in subsection (b), approve that part of the plan which is in compliance with such requirements and make available to that State only those funds which he determines to be necessary to carry out that part of the plan so approved. (e)(1) The Secretary shall not finally disapprove any plan submitted under subsection (a), or any modification thereof, without first affording the State agency submitting the plan reasonable notice and opportunity for a hearing. (2) Whenever the Secretary, after reasonable notice and opportunity for hearing to any State agency, finds that there has been a failure to comply substantially with any requirement set forth in the plan of that State approved under this section, the Secretary shall notify the agency that further payments will not be made to the State under parts B and C (or, in his discretion, that the State agency shall not make further payments thereunder to specified public agencies or nonprofit private agencies or organizations affected by the failure) until he is satisfied that there is no longer any such failure to comply. Until he is so satisfied, no further payments shall be made to the State under such parts or payments by the State agency under such parts shall be limited to public agencies or nonprofit private agencies and organizations not affected by the failure, as the case may be. DIRECT GRANTS

SEC. 132. Until a State has submitted a State comprehensive juvenile delinquency plan under this title and the Secretary has approved such plan, or upon failure of the State to carry out such plan according to the terms and conditions specified in such plan as approved, the Secretary may make grants directly to public agencies or nonprofit private agencies and organizations in accordance with the provisions of parts B and C of this title. No grant under this section shall be for an amount in excess of 60 per centum in the case of part B or 75 per centum in the case of part C of the cost of the project or program with respect to which it is made. USE OF FUNDS

SEC. 133. Funds paid to any agency or organization (whether directly or through a State agency) under part B or C of this title may be used for— (1) meeting the cost of securing or providing services designed to carry out the purposes of such part, but only to the extent and for the period reasonably necessary for the community to provide such services; and (2) in the case of part B, meeting not to exceed 50 per centum of the cost of construction of community-based, unusual, and special purpose or innovative types of facilities which, in the judgment of the Secretary, are necessary for carrying out the purposes of part B, including community-based, unusual, and special purpose or innovative (A) combination detention and diagnostic facilities, (B) halfway houses for youths who because of special behavioral

�


text:
Page:United States Statutes at Large Volume 82.djvu/511

 82 STAT. ]

PUBLIC LAW 90-445-JULY 31, 1968

problems have a high risk of becoming delinquent or who have been determined to be delinquent and are not yet ready for full return to society; (C) small, special-purpose, residential, community-based facilities for diagnosis, treatment, and rehabilitation of youths; (D) training schools for the rehabilita/tion and education of youths who are in custody of any public agency charged with the care of delinquent youths; but, m developing )lans for such facilities, due consideration shall be given to excelence of architecture and design: Provided, however, That not to exceed 25 per centum of the funds appropriated for any fiscal year under this Act may be used to meet such costs of co istruction. I t shall be a condition of any grant under part B which is wholly or partially for construction that all laborers and mechanics employed by contractors or subcontractors on such construction shall be paid wages at rates not less than those prevailing on similar construction in the locality as determined by the Secretary of Labor in accordance with the Davis-Bacon Act, as amended (40 U.S.C. 276a—276a-5). The Secretary of Labor shall have with respect to these labor standards the authority and functions set forth in Reorganization Plan Numbered 14 of 1950 (15 P.R. 36, 64 Stat. 1267) and section 2 of the Act of June 13, 1934, as amended (40 U.S.C. 276c).

469

{

49 Stat. uu i.

63 Stat. los; 72 Stat. 967.

NOTIFICATION

SEC. 134. The Secretary shall not approve an application for a grant under part A or section 132 until a copy of the application has been submitted— (1) to the Governor of the State, or an officer designated by him or by State law, and a reasonable opportunity has been afforded the Governor or such officer to prepare and submit to the Secretary his evaluation of the planning, program, or project, which shall include comments on the relationship of the application to other applications then pending and to existing or proposed plans in the State for the development of new or additional programs for the diagnosis, treatment, or rehabilitation or preventive services for youths who are delinquent or in danger of becoming delinquent; and (2) to the governing bodies of the political units principally affected, and a reasonable opportunity afforded such governing bodies, acting through such officers as they may designate, to prepare and submit to the Secretary an evaluation of the planning, program, or project. CONSIDERATIONS FOR APPROVAL OF APPLICATIONS

SEC. 135. I n determining whether or not to approve applications for grants under part B or C of this title, the State agency or, in the case of grants under section 132, the Secretary shall consider, among other relevant factors in the State or community of the applicant— (1) the relative costs and effectiveness of the project or program in effectuating the purposes of such part; (2) the incidence of and rate of increase in youth offenses and juvenile delinquency; (3) school dropout rates; (4) the adequacy of existing facilities and services for carrying out the purposes of such part; (5) the extent of comprehensive planning in the community for carrying out the purposes of such part; ( 6) youth unemployment rates;

�


text:
Page:United States Statutes at Large Volume 82.djvu/512

 470

PUBLIC LAW 90-445-JULY 31, 1968

[82 STAT.

(7) the extent to which proposed programs or projects incorporate new or innovative techniques within the State or community to carry out the purposes of such part; and (8) the extent to which the proposed programs or projects incorporate programs for the parents of youths who are delinquent or in danger of becoming delinquent, as well as programs for other adults who offer guidance or supervision to such youths. TITLE II—TRAINING AUTHORIZATION

SEC. 201. The Secretary is authorized, with the concurrence of the Secretary of Labor, to make grants or contracts for projects for the training of personnel employed in or preparing for employment in fields related to the diagnosis, treatment, or rehabilitation of vouths who are delinquent or in danger of becoming delinquent, or for the counseling or instruction of parents in the improving or parental instruction and supervision of youths who are delinquent or in danger of becoming delinquent. Such projects shall include special programs which provide youths and adults with training for career opportunities, including new types of careers, in such fields. Such projects may include, among other things, development of courses of study and of interrelated curricula in schools, colleges, and universities, establishment of short-term institutes for training at such schools, colleges, and universities, inservice training, and traineeships with such stipends, including allowances for travel and subsistence expenses, as the Secretary may determine to be necessary. R E C I P I E N T S AND CONDITIONS OF GRANTS A N D CONTRACTS

SEC. 202. Such grants may be made to and such contracts may be made with any Federal, State, or local public or nonprofit private agency or organization; and to the extent he deems it appropriate, the Secretary shall require the recipient of any such grant or contract to contribute money, facilities, or services for carrying out the projects for which the grant or contract is made. TITLE III — I M P R O V E D T E C H N I Q U E S AND P R ACT I C E S NEW

Grants.

Contracts.

Appropriation, limitation.

TREATMENT

AND

SERVICES

SEC. 301. (a) The Secretary is authorized to develop improved techniques and practices which, in his judgment, hold promise of making a substantial contribution toward prevention of delinquency and treatment of youths who are delinquent or in danger of becoming delinquent or toward improvement in the rehabilitative services for delinquent youths, including techniques and practices for the training of personnel. (b) The Secretary may also make grants for such purposes to any State, local, or other public agency or nonprofit private agency or organization; and, to the extent he deems it appropriate, the Secretary shall require the recipient of any such grant to contribute money, facilities, or services for carrying out the project for which such grant was made. (c) The Secretary is further authorized to enter into contracts for any such purposes with public or private agencies and organizations and with individuals. (d) Not more than 10 per centum of the funds appropriated for any fiscal year under this Act, or $2,000,000, whichever is the lesser, may be used to carry out this section.

�


text:
Page:United States Statutes at Large Volume 82.djvu/513

 82 STAT. ]

PUBLIC LAW 90-445-JULY 31, 1968 TECHNICAL

ASSISTANCE

SEC. 302. The Secretary is authorized to cooperate with and, either directly or through grants to or contracts with any public agency or nonprofit private agency or organization, render technical assistance to State, local, or other public or private agencies or organizations in matters relating to prevention of delinquency or to rehabilitative services for delinquent youths and youths in danger of becoming delinquent, and to provide short-term training and instruction of a technical nature with respect to such matters. STATE A S S I S T A N C E TO LOCAL U N I T S

SEC. 303. The Secretary is authorized to make grants to any State agency which is able and willing to provide technical assistance to local public agencies and nonprofit private agencies and organizations engaged in or preparing to engage in activities for which aid may be provided under this Act. No such grant may exceed 90 per centum of the cost of the activities of the State agency with respect to which such grant is made. INFORMATION

SERVICES

SEC. 304. The Secretary is directed to collect, evaluate, publish, and disseminate information and materials relating to research and programs and projects conducted under this Act, and other matters relating to prevention or treatment of delinquency or provision of rehabilitative services for delinquent youths and youths who are in danger of becoming delinquent, such information and materials to be for the general public and for agencies, organizations, and personnel engaged in programs concerning youths who are delinquent or in danger of becoming delinquent. TITLE IV—ADMINISTRATION PAYMENT

PROCEDURE

SEC. 401. Payments of any grant or under any contract under this Act may be made (after necessary adjustment on account of previously made overpayments or underpayments) in installments, and in advance or by way of reimbursement, as may be determined by the Secretary, and shall be made on such conditions as he finds necessary to carry out the purposes for which the grant or contract is made. APPROPRIATIONS

SEC. 402. There are authorized to be appropriated for grants and contracts under this Act, to the Department of Health, Education, and Welfare, $25,000,000 for the fiscal year ending June 30, 1969, $50,000,000 for the fiscal year ending June 30, 1970, and $75,000,000 for the fiscal year ending June 30, 1971. A M O U N T S AVAILABLE FOR E. \ C H STATE

SEC. 403. (a) The total of the grants made under title I of this Act for any fiscal year with respect to activities in any one State may not exceed 15 per centum of the total of the funds available for such grants under such title for such fiscal year. (b) Of the funds available for grants under title I for any fiscal year—

96-600 O - 69 - 33

471

�


text:
Page:United States Statutes at Large Volume 82.djvu/514

 472

PUBLIC LAW 90-445-JULY 31, 1968

[82 STAT.

(1) $25,000 each shall be reserved for the Virgin Islands, Guam, American Samoa, and the Trust Territory of the Pacific Ish\nds; and (2) $100,000 shall be reserved for each other State; except that, if the Secretary determines, on the basis of the information available to him on the last day of the ninth month of any fiscal year, that any portion of such $25,000 or $100,000 for any State will not be required for such grants under title I of this Act for such year, such portion shall be available for grants under such title for such year with respect to activities in any other State (in the case of which such a determination has not been made). EVAIAATION

SEC. 404. (a) The Secretary shall provide for the continuing evaluation of the programs, projects, and other activities under this Act, includhig their effectiveness in achieving stated goals and their relationship to and impact on related Federal, State, and local activities. This evaluation shall include comparis(ms with proper control groups c(miposed of persons who have not participated in programs under this Act. The results of such evaluations shall be included in the report required by section 408. (b) In addition to funds otherwise available for evaluation, such portion of any appropriation under section 402 as the Secretary may determine, but not exceeding 1 per centum thereof, shall be available for evaluation by the Secretary (directly or by grants or contracts) of the activities for which such appropriation is made. JUDICIAL REVIEW'

fusc'vowoe.

SEC. 405. I n the case of action taken by the Secretary terminating or refusing to continue financial assistance to a grantee, such grantee may obtain judicial review of such action in accordance with chapter 'J' of title 5 of the United States Code. JOINT FUNDING

SEC. 406. Pursuant to regulations prescribed by the President, where funds are advanced for a single project by more than one Federal agency to an agency or organization assisted under this Act, any one Federal agency may be designated to act for all in administering the funds advanced. I n such cases, a single non-Federal share requirement may be established according to the proportion of funds advanced by each Federal agency, and any such agency may waive any technical grant or contract requirement (as defined by such regulations) which is inconsistent with the similar requirements of the administering agency or which the administering agency does not impose. COORDINATION

SEC. 407, To avoid duplication of efforts, it shall be the responsibility of the Secretary to consult and coordinate with the Attorney General and such other Federal officers as are charged with responsibilities in the area of combating juvenile deliiK|uency or crime in general. ANNUAL R E P O R T

SEC. 408. Not later than one hundred and twenty days after the close of each fiscal year, the Secretary, with the appropriate assistance and concurrence of the heads of other Federal agencies wdio are consulted and whose activities are coordinated under section 407, shall

�


text:
Page:United States Statutes at Large Volume 82.djvu/515

 82 STAT. ]

PUBLIC LAW 90-445-JULY 31, 1968

prepare and submit to the President for transmittal to the Congress a full and complete report on all Federal activities in the fields of juvenile delinquency, youth development, and related fields. Such report shall include, but not be limited to— (1) planning, program, and project activities conducted under this Act; (2) the nature and results of model programs and technical assistance conducted under title III of this Act; (3) the number and types of training projects, number of persons trained and in training, and job placement and other followup information on trainees and former trainees assisted under title II of this Act: and (4) steps taken and mechanisms and methods used to coordinate and avoid duplication of Federal activities in the fields of juvenile delinquency, youth development, and related fields and the effectiveness of such steps, mechanisms, and methods. ADVISORY

COMMITTEES

SEC. 409. (a) The Secretary is authorized to appoint an advisory committee to advise him with respect to matters of general policy involved in the administration of this Act, and particularly with respect to the coordination of activities under this Act and related activities under other Federal, State, or local laws and on such other matters relating to this Act as the Secretary may request. (b)(i) The Secretary is also authorized to appoint such other technical or advisory committees to advise him in connection with activities under this Act as he deems necessary. (2) Members of any committee appointed under this section who are not otherwise in the regular full-time employ of the United States, while attending meetings of their respective committees, shall be entitled to receive compensation at a rate to be fixed by the Secretary, but not exceeding $100 per diem (or, if higher, the rate specified at the time of such service for grade GS-18 in title 5, United States Code, section 5332), including travel time, and while away from their homes s use 5332 or regular places of business they may be allowed travel expenses, "°*^ including per diem in lieu of subsistence, as authorized by law (5 U.S.C. 5703) for persons in the Government service employed 8° Stat. 499. intermittently. DEFINITIONS

SEC. 410. For purposes of this Act— (1) The term "State" includes the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, Guam, American Samoa, and the Trust Territory of the Pacific Islands. (2) The term "State agency'' means the State agency designated in a State's comprehensive juvenile delinquency plan. (3) The tenn "public agency" means a duly elected political body or a subdivision thereof and shall not be construed to include the Office of Economic Opportunity. Such term includes an Indian tribe. In the case of a grant under part A of title I or section 132, if the Secretary is satisfied that an Indian tribe does not have sufficient funds available to meet the non-Federal share of the cost of any planning, project, or program, he may increase the Federal share of the cost thereof payable under this Act to the extent necessary, notwithstanding the maximum otherwise imposed by this Act on the portion of such cost which may be so payable. (4) The term "nonprofit private agency or organization" means any accredited institution of higher education, and any other agency, organization, or institution which is owned and operated by one or

473

�


text:
Page:United States Statutes at Large Volume 82.djvu/516

 474

PUBLIC LAW 90-446-JULY 31, 1968

[82 STAT.

more nonprofit corporations or orgaiuzations no part of the net earnings of which inures, or may lawfully inure, to the benefit of any private shareholder or individual, but only if such agency, organization, or institution was in existence at least two years before the date of an application under this Act. Such term shall not be construed to include the Office of Economic Opportunity. Participation by the Office of Economic Opportunity is expressly prohibited in administering this Act. (5) The term "Secretary"' means the Secretary of Health, Education, and Welfare. Approved July 31, 1968.

Public Law 90-446 July 31, 1968 [ H. R. 10673]

P a c k e r s and Stockyards Act, amendment. 42 Stat. 163; 72 Stat. 1750. "Stockyard."

Market a g e n c i e s and d e a l e r s, approval by stockyard owners.

7 USC 201. Penalty.

Services without discrimination. 44 Stat. 397.

AN ACT To amend title III of the Packers and Stockyards Act, 1921, as amended.

Be It enacted by the Seriate and House of Representative.^ of the United States of America in Congress assembled, That title III of the Packers and Stockyards Act, 1921, as amended (7 U.S.C. 201 et seq.), is amended as follows: (a) Section 302(a) (7 U.S.C. 202(a)) is amended to read: "'(a) When used in this title the term 'stockyard' means any place, establishment, or facility commonly known as stockyards, conducted, operated, or managed for profit or nonprofit as a public market for livestock producers, feeders, market agencies, and buyers, consisting of pens, or other inclosures, and their appurtenances, in which live cattle, sheep, swine, horses, mules, or goats are received, held, or kept for sale or shipment in commerce."' (b) Section 303 (7 U.S.C. 203) is amended to read: "SEC. 303. After the expiration of thirty da;^s after the Secretary has given public notice that any stockyard is within the definition of section 302, by posting copies of such notice in the stockyard, no person shall carry on the business of a market agency or dealer at such stockyard unless (1) the stockvard owner has determined that his services wdll be beneficial to the Wsiness and welfare of said stockyard, its patrons, and customers, which determination shall be made on a basis which is not unreasonable or unjustly discriminatory, and has given written authorization to such person, and (2) he has registered with the Secretary, under such rules and regulations as the Secretary may prescribe, his name and address, the character of business in which he is engaged, and the kinds of stockyards services, if any, which he furnishes at such stockyard. Every other person operating as a market agency or dealer as defined in section 301 of the Act may be required to register in such manner as the Secretary may prescribe. Whoever violates the provisions of this section shall be liable to a penalty of not more than $500 for each such offense and not more than $25 for each day it continues, which shall accrue to the United States and may be recovered in a civil action brought by the United States." (c) Section 304 (7 U.S.C. 205) is amended to read: '"SEC. 304. All stockyard services furnished pursuant to reasonable request made to a stockyard owner or market agency at such stockyard shall be reasonable and nondiscriminatory and stockyard services which are furnished shall not be refused on any basis that is unreasonable or unjustly discriminatory: Provided, That in any State where the weighing of livestock at a stockyard is conducted by a duly authorized department or agency of the State, the Secretary, upon application

�


text:
Page:United States Statutes at Large Volume 82.djvu/517

 82 STAT. ]

PUBLIC LAW 90-447-JULY 31, 1968

475

of such department or aji^ency, may register it as a market agency for the wei.<^hing of livestock received in such stockyard, and upon such registration such department or agency and the members thereof shall be amenable to all the requirements of this Act, and upon failure of such department or agency or the members thereof to comply with the orders of the Secretary under this Act he is authorized to revoke the registration of such department or agency and to enforce such revocation as provided in section 315 of this Act." ^ use 2i(5. (d) Section 307 (7 U.S.C. 208) is amended to redesignate the first. Nondiscriminatsentence as paragraph " (a) " and to add a new paragraph (b) as mfnag°emJirt'! follows: " (b) I t shall be the responsibility and right of every stockyard owner to manage and regulate his stockyard in a just, reasonable, and nondiscriminatory manner, to prescribe rules and regulations and to require those persons engaging in or attempting to engage in the purchase, sale, or solicitation of livestock at such stockyard to conduct their operations in a manner which will foster, preserve, or insure an efficient, competitive public market. Such rules and regulations shall not prevent a registered market agency or dealer from rendering service on other markets or in occasional and incidental off-market transactions.'' (e) Section 312(a) (7 U.S.C. 213(a)) is amended by inserting y2%,ll%^^J'' after the words '"in connection with'' the phrase "determining whether persons should be authorized to operate at the stockyards, or with". Approved July 31, 1968.

Public Law 90-447 JOINT RESOLUTION July 31, 1968 Making continuing appropriations for thefiscalyear 1969, and for other purposes, [H. J. Res. 1420] Resolved by the Senate and House of Representatives of the United States of America in Congress assembled. That clause (c) of section continuing approp .. .. • . _ _ . _ _ ^ ' . Drooriaf o n 102 of ithe joint resolution' of_ June 29, '1968 (Public. Law 90-366), is 1959r i a t iio n ss, hereby amended by striking out "July 31, 1968" and inserting in lieu Ante, p. 276. thereof "September 30, 1968". Approved July 31, 1968, 7:45 p.m.

�


text:
Page:United States Statutes at Large Volume 82.djvu/518

 476

PUBLIC LAW 90-448-AUG. 1, 1968

[82

STAT.

Public Law 90-448 August 1, 1968 [S.3497]

Housing and Urban Developmv.it Act of 1968.

AN ACT To assist in the provision of housing for low and m o d e r a t e income families, and to extend and amend laws relating to housing and urban development.

Be It enacted by the JSetiate and House of I?eprexentafhe.S' of the I'n'tted States of America hi ('Ongress ansenihJed. That this Act may be cited as the ""Housing and Urban Development Act of 1908''. DECLAKATION OF POLICY

63 Stat. 4 1 3. 42 USC 1441.

SEC. 2. The Congress affirms the national goal, as set forth in section 2 of the Housing Act of 1949, of "a decent home and a suitable living environment for every American family". The Congress finds that this goal has not been fully realized for many of the Nation's lower income families; that this is a matter of grave national concern; and that there exist in the public and private sectors of the economy the resources and capabilities necessary to the full realization of this goal. The Congress declares that in the administration of those housing programs authorized by this Act which are designed to assist families with incomes so low that they could not otherwise decently house themselves, and of other Government programs designed to assist in the provision of housing for such families, the highest priority and emphasis should be given to meeting the housing needs of those families for which the national goal has not become a reality; and in the carrying out of such programs there should be the fullest practicable utilization of the resources and capabilities of private enterprise and of individual self-help techniques. JOBS I N H O U S I N G; EMPLOYMENT O P P O R T U N I T I E S FOR LOWER I N C O M E P E R SONS I N C ON NE Cr r iO N W I T H ASSISIT.D P R O J E C T S

Post, pp. 477, 498. 75 Stat. 150. 12 USC 1715^. 50 Stat. 888. 42 USC 1430. 79 Stat. 4 5 1. 12 USC 1749aa note.

V

SEC. 3. I n the administration of the programs authorized by sections 235 and 236 of the National Housing Act, the below-market interest rate program under section 221(d)(3) of such Act, the lowrent public housing program under the United States Housing Act of 1937, and the rent supplement program under section 101 of the Housing and Urban Development Act of 1965, the Secretary of Housing and LTrban Development shall— (1) require, in consultation with the Secretary of Labor, that to the greatest extent feasible opportunities for training and employment arising in connection with the planning, construction, rehabilitation, and operation of housing assisted under such programs be given to lower income persons residing in the area of such housing; and (2) require, in consultation with the Administrator of the Small Business Administration, that to the greatest extent feasible contracts for work to be performed pursuant to such programs shall, where appropriate, be awarded to business concerns, including but not limited to individuals or firms doing business in the fields of design, architecture, building construction, rehabilitation, maintenance, or repair, located in or owned in substantial part by persons residing in the area of such housing.

�


text:
Page:United States Statutes at Large Volume 82.djvu/519

 82 STAT. ]

PUBLIC LAW 90-448-AUG. 1, 1968

477

IMPROVED A R C H I T E C T U R A L DESIGN I N GOVERNMENT ITOUSIN(} PROGRAMS

SEC, 4. The Congress finds that Federal aids to housing have not (•ontribiited fully to improvement in architectural standards. This objective has been contemplated in Federal housing legislation since the establishment of mortgage insurance through the Federal Housing Administration, The Congress commends the Department of Housing and Urban Development for its recent efforts to impix)ve architectural standards through competitive design awards and in other ways but at the same time recogiiizes that this important objective requires high priority if Federal aid is to make its full connnunitywide contribution toward improving our urban environment. The Congress further finds that even within the necessary budget limitations on housing for low and moderate income families architectural design could be improved not only to make the housing more attractive, but to make it better suited to the needs of occupants. The Congress declares that in the administration of housing programs which assist in the provision of housing for IOAV and moderate nicome families, emphasis should be given to encouraging good design as an essential component of such housing and to developing housing which will be of such quality as to reflect its important relationship to the architectural standards of the neighborhood and community in which it is situated, consistent with prudent budgeting. A N N U A L REPORT ON AREAS OK PRCKJRAM ADMINISTRATION M A N A G E M E N T W H I C H REQUIRE IMPROVEMENT

AND

SEC, 5. The Secretary shall, as early as practicable in the calendar Rep°" \° conyear 1969 and in the calendar year 19 rO, make a report to the mittees. respective Committees on Banking and Currency of the House of Representatives and the Senate identifying specific areas of program administration and management which require improvement, describing actions taken and proposed for the purpose of making such improvements, and recommending such legislation as may be necessary to accomplish such improvements. Each such report shall include, but not be limited to, the following areas of program administration and management: uniformity antl standardization in program requirements, simplification of program procedures, ways and means of expediting consideration of proposed projects and applications for assistance, the provision of more useful and specific assistance to communities, organizations and individuals seeking to utilize the Department's programs, and ways and means of combining or otherwise adapting the Department's programs to increase their usefulness in meeting the individual needs of applicants. TITLE I — L O W E R INCOME H O U S I N G H O M E O W N E R S H I P FOR LOWER I N C O M E

FAMILIES

SEC, 101. (a) Title II of the National Housing Act is amended by \ 52 Stat. 9. adding at the end thereof the following: new section: xl^,^^^ ^^°^' '15y.

J I O M E O W N E R S H I P FOR LOWER I N C O M E

FAMILIES

"SEC. 235. (a) For the purpose of assisting lower income families in acquiring homeownership or in acquiring membership in a cooperative association operating a housing project, the Secretary is authorized to make, and to contract to make, periodic assistance payments on behalf of such homeowners and cooperative members. The assistance shall

i / '

�


text:
Page:United States Statutes at Large Volume 82.djvu/520

 478

PUBLIC LAW 90-448-AUG. 1, 1968

[82 STAT.

I be accomplished through payments to moitgagees holding mortgages meeting the special requirements specified in this section. " (b) To qualify for assistance payments, the homeowner or the cooperative member shall be of lower income and satisfy eligibility requirements prescribed by the Secretary, and— "(1) the homeowner shall be a mortgagor under a mortgage which meets the requirements of and is insured under subsection (i) or (j)(4) of this section: Provided, That a mortgage meeting the requirements of subsection (i)(3)(A) of this section but Post, p. 485. insured under section 237 may qualify for assistance payments if such mortgage was executed by a mortgagor who is determined not to be an acceptable credit risk for mortgage insurance purposes (but otherwise eligible) under subsection (j)(4) of this Ts^star^e^o^^' section or under section 221(d)(2) or 234(c) and accepted as a 12 USC 1715^, reasonably satisfactory credit risk under section 237; or ^7i5y. "(2) the cooperative association of which the family is a member shall operate a housing project the construction or substantial rehabilitation of which has been financed with a mortgage insured 12 u^c nise. under section 213 and which has been completed within two years prior to the filing of the application for assistance payments and the dwelling unit has had no previous occupant other than the ,/ I f'^imi\y[]Provided, That if the initial cooperative member receiv(y^^'^' I ing assistance payments transfers his membership and occupancy •' I A \ I rights to another person who satisfies the eligibility requirements ,.. \ ^ ^ \ prescribed by the Secretary, such new cooperative member may \ I qualify for assistance payments upon the filing of an application L with respect to the dwelling unit involved to be occupied by himT] Provided further. That assistance payments may be made witlii respect to a dwelling unit in an existing cooperative project which meets such standards as the Secretary may prescribe, if the family qualifies as a displaced family as defined in section 80^8131^*13^1^7^' ^21 (f), or a family which includes five or more minor persons, or a family occupying low-rent public housing: Provided further. That the amount of the mortgage attributable to the dwelling unit shall involve a principal obligation not in excess of $15,000 ($17,500 in any geographical area where the Secretary authorizes an increase on the basis of a finding that cost levels so require), except that with respect to any family with five or more persons the foregoing limits shall be $17,500 and $20,000, respectively. "(c) The assistance payments to a mortgagee by the Secretary on behalf of a mortgagor shall be made during such time as the mortgagor shall continue to occupy the property which secures the mortgage: Provided, That assistance payments may be made on behalf of a homeowner who assumes a mortgage insured under subsection (j)(4) with respect to which assistance payments have been made on behalf of the previous owner, if the homeowner is approved by the Secretary as eligible for receiving such assistance. The payment shall be in an amount not exceeding the lesser of— "(1) the balance of the monthly payment for principal, interest, taxes, insurance, and mortgage insurance premium due under the mortgage remaining unpaid after applying 20 per centum of the mortgagor's income; or "(2) the difference between the amount of the monthly payment for principal, interest, and mortgage insurance premium which the mortgagor is obligated to pay under the mortgage and the monthly payment for principal and interest which the mortgagor would be obligated to pay if the mortgage were to bear interest at the rate of 1 per centum per annum.

�


text:
Page:United States Statutes at Large Volume 82.djvu/521

 82 STAT. ]

PUBLIC LAW 90-448-AUG. 1, 1968

479

" (d) Assistance payments to a mortgagee by the Secretary on behalf of a family holding membership in a cooperative association operating a housing project shall be made only during such time as the family is an occupant of such project and shall be in amounts computed on the basis of the formula set forth in subsection (c) applying the cooperative member's proportionate share of the obligations under the project mortgage to the items specified in the formula. "(e) The Secretary may include in the payment to the mortgagee such amount, in addition to the amount computed under subsection (c), (d), or (j)(7), as he deems appropriate to reimburse the mortgagee for its expenses in handling the mortgage. "(f) Procedures shall be adopted by the Secretary for recertifications of the mortgagor's (or cooperative member's) income at intervals of two years (or at shorter intervals where the Secretary deems it desirable) for the purpose of adjusting the amount of such assistance payments within the limits of the formula described in subsection (c). " (g) The Secretary shall prescribe such regulations as he deems necessary to assure that the sales price of, or other consideration paid in connection with, the purchase by a homeowner of the property with respect to which assistance payments are to be made is not increased above the appraised value on which the maximum mortgage which the Secretary will insure is computed. " (h)(1) There are authorized to be appropriated such sums as may Appropriation. be necessary to carry out the provisions of this section, including such sums as may be necessary to make the assistance payments under contracts entered into under this section. The aggregate amount of contracts to make such payments shall not exceed amounts approved in appropriation Acts, and payments pursuant to such contracts shall not exceed $75,000,000 per annum prior to July 1, 1969, which maximum dollar amount shall be increased by $100,000,000 on July 1, 1969, and by $125,000,000 on July 1, 1970. " (2) Not more than 20 per centum of the total amount of assistance payments authorized to be contracted to be made pursuant to appropriation Acts shall be contracted to be made on behalf of families whose incomes at the time of their initial occupancy exceed 135 per centum of the maximum income limits which can be established in the area, pursuant to the limitations prescribed in sections 2(2) and 15(7)(b) (ii) of the United States Housing Act of 1987, for initial 79 Stat. 457; occupancy in public housing dAvellings, but the incomes of such fam- ^^42 USC ^1402, ilies at the time of their initial occupancy shall in no case exceed 90 i4is. l>er centum of the limits prescribed by the Secretary for occupants of projects financed with mortgages insured under section 221(d)(3) 75 Stat. 150. which bear interest at the below-market interest rate prescribed in the 12 USC 1715^ proviso of section 221(d)(5). The limitations prescribed in this para- 75 Stat. 152; graph shall be administered by the Secretary so as to accord a prefer- 79 Stat. 454. ence to those families whose incomes are within the lowest practicable limits for achieving homeownership with assistance under this section. The Secretary shall report annually to the respective Committees on Report to conBanking and Currency of the Senate and House of Representatives gressional comwith respect to the income levels of families on behalf of which assist- mittees. ance payments have been made under this section. "(3) Notwithstanding the provisions of subsections (b)(2) and (i)(3)(A) with respect to the prior construction or rehabilitation of a dwelling, or of the project in which there is a dwelling unit, for which assistance payments may be made, and notwithstanding the provisions of subsection (j)(l) authorizing the purchase of housing which is neither deteriorating nor substandard, not more than— " (A) 25 per centum of the total amount of contracts for as-

�


text:
Page:United States Statutes at Large Volume 82.djvu/522

 480

75*'star\6o^^' \ 2 USC 1715^, '7'5y.

68 Stat. 599; 80 Stat. 1317.

Post, p. 498.
 * 9 st^^^-45\-

12 USC 1701s.

PUBLIC LAW 90-448-AUG. 1, 1968

[82 STAT.

sistance payments authorized by appropriation Acts to be made prior to July 1, 1969, " (B) 15 per centum of the total additional amount of contracts for assistance payments authorized by appropriation Acts to be made prior to July 1, 1970, and "'(C) 10 per centum of the total additional amount of contracts for assistance payments authorized by appropriations Acts to be made prior to July 1, 1971, may be nnide with respect to existing dwellings, or dwelling units in existing projects. "(i)(1) The Secretary is authorized, upon application by the mortgagee, to insure a mortgage executed by a mortgagor who meets the eligibility requirements for assistance payments prescribed by the Secretary under subsection (b). Commitments for the insurance of such mortgages may be issued by the Secretary prior to the date of their execution or disbursement thereon, upon such terms and conditions as the Secretary may prescribe. "(2) To be eligible for insurance under this subsection, a mortgage sball meet the requirements of section 221(d)(2) or 2:M(c), except as such requirements are modified by this subsection. "(3) X mortgage to be insured under this subsection shall— " (A) invol ve a single-family dwelling which has been approved by the Secretary prior to the beginning of construction or substantial rehabilitation, or a two-family dwelling one of the units of which is to be occupied by the owner if the dwelling is purchased with the assistance of a nonprofit organization and is approved by the Secretary prior to the beginning of substantial rehabilitation, or a one-family unit in a condominium project (together with an undivided interest in the common areas and facilities serving the project) which is released from a multifamily project, the construction or substantial rehabilitation of which has been completed within two years prior to the filing of the application for assistance payments with respect to such family unit and the unit has had no previous occupant other than the mortgagor: Provided, That the mortgage may involve an existing dwelling or a family unit in an existing condominium project which meets such standards as the Secretary may prescribe, if the mortgagor qualifies as a displaced family as denned in section 221(f), Or a family which includes five or more minor persons, ^^,^ family occupying low-rent public housing: Provided further. That the mortgage may involve an existing dwelling or a family unit in an existing condominium project if assistance payments have been made on behalf of the previous owner of the dwelling or family unit with respect to a mortgage insured under subsection (j)(4): Provided further, That the mortgage may involve a dwelling unit in an existing project covered by a mortgage insured under section 236 or in an existing project receiving the benefits of financial assistance under section 101 of the Housing and Urban Development Act of 1965; " (B) where it is to cover a one-family unit in a condominium project, have a principal obligation not exceeding $15,000 ($17,500 in any geographical area wdiere the Secretary authorizes an increase on the basis of a finding that cost levels so require), except that with respect to any family wuth five or more persons the foregoing limits shall be $17,500 and $20,000, respectively; and " (C) l:>e executed by a mortgagor who shall have paid (i) in the case of any family whose income is not in excess of 135 per centum of the maximum income limits which can be established

�


text:
Page:United States Statutes at Large Volume 82.djvu/523

 82 STAT. ]

PUBLIC LAW 90-448-AUG. 1, 1968

481

in the area, pursuant to the limitations prescribed in sections 2(2) and 15(7)(b) (ii) of the United States Housing Act of 1987, for Jl^ll%'^''' initial occupancy in public housing dwellings, at least $200, or 42 USC 1402, (ii) in the case of any other family, at least 3 per centum (or such 1415. larger amount as the Secretary may require) of the Secretary's estimate of the cost of acquisition, which amount (in cash or its equivalent) in either instance may be applied for the payment of settlement costs and initial payments for taxes, hazard insurance, mortgage insurance premiums, and other prepaid expenses, " (j)(1) I n addition to mortgages insured under the provisions of subsection (i), the Secretary is authorized, upon application by the mortgagee, to insure a mortgage (including advances under such mortgage during rehabilitation) which is executed by a nonprofit organization or public body or agency to finance the purchase of housing, and the rehabilitation of such housing if it is deteriorating or substandard, for subsequent resale to lower income home purchasers who meet the eligibility requirements for assistance payments prescribed by the Secretary under subsection (b). Commitments for the insurance of such mortgages may be issued by the Secretary prior to the date of their execution or disbursement thereon, upon such terms and conditions as the Secretary may prescribe. "(2) To be eligible for insurance under paragraph (1) of this subsection, a mortgage shall— " (A) be executed by a private nonprofit organization or public body or agency, approved by the Secretary, for the purpose of financing the purchase (with the intention of subsequent resale), and rehabilitation where the housing involved is deteriorating or substandard, of property comprising one or more tracts or parcels, whether or not contiguous, consisting of (i) four or more single-family dw^ellings of detached, semidetached, or row construction, or (ii) four or more one-family units in a structure or structures for which a plan of family unit ownership approved by the Secretary is established; except that in a case not involving the rehabilitation of deteriorating or substandard housing the property purchased may consist of one or more such dwellings or units; " (B) be in a principal amount not exceeding the appraised value of the property at the time of its purchase under the mortgage plus the estimated cost of any rehabilitation; '•(C) bear interest (exclusive of premium charges for insurance and service charge, if any) at not to exceed such per centum per annum (not in excess of 6 per centum), on the amount of the principal obligation outstanding at any time, as the Secretary finds necessary to meet the mortgage market; " (D) provide for complete amortization (subject to paragraph (4)(E)) by periodic payments within such term as the Secretary may prescribe; and " (E) provide for the release of individual single-family dwellings from the lien of the mortgage upon their sale in accordance wnth paragraph (4). "(3) No mortgage shall be insured under paragraph (1) unless the mortgagor shall have demonstrated to the satisfaction of the Secretary that (A) the property involved is located in a neighborhood which is sufficiently stable and contains sufficient public facilities and amenities to support long-term values, or (B) the purchase or rehabilitation of such property plus the mortgagor's related activities and the activities of other owners of housing in the neighborhood, together with actions to be taken by public authorities, will be of such scope

�


text:
Page:United States Statutes at Large Volume 82.djvu/524

 482

Definitions.

PUBLIC LAW 90-448-AUG. 1, 1968

[82 STAT.

and quality as to give reasonable promise that a stable enviroiinieut will be created in the neighborhood. "(4)(A) No mortgage shall be insured under paragraph (1) unless the mortgagor enters into an agreement, satisfactory to the Secretary, that it will oft'er to sell the dwellings involved, after purchase and upon completion of any rehabilitation, to lower income individuals or families meeting the eligibility requirements established by the Secretary under sul)section (b). " (B) The Secretary is authorized to insure under this paragraph moi"tgages executed to tinance the sale of individual dwellings to lower income purchasers as provided in subparagraph (A). Any such mortgage shall— "(i) be in a principal amount not in excess of that ix>rtion of the unpaid principal balance of the blanket mortgage covering the property which is allocable to the individual dwelling involved; •'(ii) bear interest at the same rate as the blanket mortgage; and "(iii) provide for complete amortization by periodic ]>ayments within a term equal to the remaining term (determinecl without regard to subparagraph (E)) of such blanket mortgage. ' ' (C) The price for which any individual dwelling is sold under this paragraph shall be in an amount eqvuil to that portion of the unpaid principal balance of the blanket mortgage covering the property which is allocable to the dwelling plus such additional amount, not less than $200 (which may be applied in whole or in part toward closing costs and may be paid in cash or its equivalent), as the Secretary may determine to be reasonable. "'(D) Upon the sale under this paragraph of any individual dwelling, such dwelling shall be released from the lien of the blanket mortgage. I'ntil all of the individual dwellings in the property covered by the blanket mortgage have been sold, the mortgagor shall hold and operate the dwellings remaining unsold at any given time, in such manner and under such terms as the Secretary may prescribe, as though they constituted rental units. '"(E) Upon the sale under this paragraph of all the individual dwellings in the property covered by the blanket mortgage and the release of all individual dwellings from the lien of the blanket mortgage, the insurance of the blanket mortgage shall be terminated and no adjusted premium charge shall be charged by the Secretary upon such termination. "(5) Where the Secretary has approved a plan of family unit ownership the terms 'single-family dwelling-, 'single-family dwellings', 'individual dwelling', and 'individual dwellings" shall mean a family unit or family units, together with the undivided interest (or interests) in the common areas and facilities. "(6) For purposes of this subsection, the terms 'single-family dwelling' and 'single-family dwellings' (except for purposes of paragraph (5)) shall include a two-family dwelling which has been approved by the Secretary if one of the units is to be occupied by the owner. "(7) I n addition to the assistance payments authorized under subsection (b), the Secretary may make such payments to a mortgagee on behalf of a nonprofit organization or public body or agency which is a mortgagor under the provisions of paragraph (1) in an amount not exceeding the difference between the monthly payment for principal, interest, and mortgage insurance premium which the mortgagor is obligated to pay under the mortgage and the monthly payment for

�


text:
Page:United States Statutes at Large Volume 82.djvu/525

 82 STAT. ] •

PUBLIC LAW 90-448-AUG. 1, 1968

principal and interest such mortgagor would be obligated to pay if the mortgage were to bear interest at the rate of 1 per centum per annum. "(8) A mortgage covering property which is not deteriorating or substandard may be insured under this subsection only if it is situated in an area in which mortgages may be insured under section 221(h). '"(k) The Secretary shall from time to time allocate and transfer to the Secretary of Agriculture, for use (in accordance with the terms and conditions of this section) in rural areas and small towns, a reasonable portion of the total authority to contract to make assistance payments as approved in appropriation Acts under subsection (h)(1). "(l) In determining the income of any person for the purposes of this section, there shall be deducted an amount equal to $800 for each minor person who is a member of the immediate family of such person and living with such family, and the earnings of any such minor person shall not be included in the income of such person or his family." (b)(1) Section 2 2 1 (d)(2)(A) of the National Housing Act is 1 1

amended— ... (A) by striking out "not to exceed (i) $12,500" and inserting in lieu thereof "not to exceed (i) $15,000 (or $17,500, if the mortgagor's family includes five or more persons)"'; and (B) by striking out "not to exceed $15,0(M)" in the second proviso and inserting in lieu thereof "not to exceed $17,500 (or $20,000 if the mortgagor's family includes five or more persons)". (2) Section 221(d)(2)(B) of such Act is amended— (A) by inserting ", in cash or its equivalent" before the semicolon after "acquisition cost" in the first proviso; and (B) by inserting before the semicolon after "appraised value" at the end thereof the following: ": Provided further, That, if the mortgagor is the owner and an occupant of the property, such mortgagor shall to the maximum extent feasible be given the opportunity to contribute the value of his labor as equity in such dwelling". (c)(1) Section 221(h)(5)(B) (ii) of such Act is amended to read as follows: "(ii) bear interest at the same rate as the principal mortgage or such lower rate, not less than 1 per centum, as the Secretary may prescribe if in his judgment the purchaser's income is sufficiently low to justify the lower rate, and provide for complete amortization within a term equal to the remaining term (determined without regard to subparagra})!! (E)) of such principal mortgage: Provided, That, if the rate of interest mitially prescribed is less than the rate borne by the principal mortgage and the purchaser's income (as determined on the basis of periodic review) subsequently rises, the rate of interest so prescribed shall be increased (but not above the rate borne by such principal mortgage), under regulations of the Secretary, to the extent appropriate to reflect the increase in such income, and the mortgage shall so provide." "(2) Section 221(h)(4) of such Act is amended by striking out "$20,000,000" and inserting in lieu thereof "$50,000,000". (3) Section 221(h) of such Act is further amended by adding at the end thereof the following new paragraph: " (6) I n addition to the mortgages that may be insured under paragraphs (1) and (5), the Secretary is authorized to insure under this subsection at any time within one year after the date of the enactment of this paragraph, upon such terms and conditions as he may prescribe,

483

^"^'•«-

75 Stat. i49; 80 Stat. 1268.

12 USC 1715^.

8° ^tat. 1269.

�


text:
Page:United States Statutes at Large Volume 82.djvu/526

 (484

42 u'sc f ^^0

80 Stat. 1269^. Ante, p. 477. 53 Stat. 807; ^ iruscV7i5c. Counseling services. ° "

PUBLIC LAW 90-448-AUG. 1, 1968

[82 STAT.

inortgages which are executed by individuals or families that meet the income criteria prescribed in paragraph (5)(A) and are executed for the purj:)ose of financing the rehabilitation or improvement of singlefamily dwellings of detached, semidetached, or row construction that are owned and occupied in each instance by a mortgagor who has purchased the dwelling from a nonprofit organization of the type described in this subsection. To be eligible for such insurance, a mortgage shall— " (A) be in a principal amount not exceeding the lesser of $15,000 or the sum of the estimated cost of repair and rehabilitation and the Secretary's estimate of the value of the property before repair and rehabilitation, except that in no case involving refinancing shall such mortgage exceed such estimated cost of repair and rehabilitation and the amount (as determined by the Secretary) required to refinance existing indebtedness secured by the property; " (B) bear interest (exclusive of premium charges for insurance and service charge, if any) at 3 per centum per annum or such lower rate, not less than 1 per centum, as the Secretary may prescribe if in his judgment the mortgagor's income is sufficiently low to justify the lower rate: Provided, That, if the rate of interest initially prescribed is less than 3 per centum per annum and the mortgagor's income (as determined on the basis of periodic review) subsequently rises, the rate shall be increased (but not above 3 per centum), under regulations of the Secretary, to the extent appropriate to reflect the increase in such income, and the mortgage shall so provide; " (C) involve a mortgagor that shall have paid on account of the property at the time of the rehabilitation such amount (which shall not be less than $200 in cash or its equivalent, but which may be applied in whole or in part toward closing costs) as the Secretary may determine to be reasonable and appropriate under the circumstances; and " (D) contain a provision that, if the low-income mortgagor does not continue to occupy the property, the interest rate shall increase to the highest rate permissible under this section and the regulations of the Secretary effective at the time the commitment was issued for insurance of the mortgage; except that the increase in interest rate shall not be applicable if the property is sold and the purchaser is (i) a nonprofit organization which has been engaged in purchasing and rehabilitating deteriorating and substandard housing with financing under a mortgage insured under paragraph (1) of this subsection, (ii) a public housing agency having jurisdiction under the United States Housing Act ^^^"^ ^^®^ ^ ^^^^ where the dwelling is located, or (iii) a lowincome purchaser approved for the purposes of this paragraph by the Secretary." (4) The purchase of any individual dwelling, sold by a nonprofit organization pursuant to the provisions of section 221(h)(5) of the National Housing Act after the date of enactment of this section, may be financed with a mortgage insured under the provisions of section 235(j)(4) of such Act, but such mortgage shall bear interest at the rate provided in section 235(j)(2)(C) of such Act. (,^) Section 212(a) of such Act is amended by inserting "or section 2 3 5 (j)(l) " after "subsection (h)(1) " each place it appears. (e) The Secretary of Housing and Urban Development is authorized to provide, or contract with public or private organizations to provide, such budget, debt management, and related counseling

�