Md. Code Regs. 05.10.02.04

Current through Register Vol. 51, No. 22, November 1, 2024

Section 05.10.02.04 - Exemption Application Procedures

A. Requests for secretarial exemptions under this regulation shall include:

(1) A letter requesting the exemption and outlining the reasons why the property owner believes the exemption is appropriate under the Act and these regulations;

(2) A description of the nature of the proposed protected action;

(3) A list of the federal program or programs which govern the federally-assisted mortgage;

(4) A description of any federal project-based assistance;

(5) A description of any other state, local government, or other assistance to the project;

(6) Copies of the notices of intent given under § 7201 of the Act, and copies of all other notices delivered in connection with the proposed protected action, including notices to or required by HUD or other federal regulatory agencies, and any notices in connection with any state or local proceedings concerning the assisted households' leases at the project;

(7) A statement as to the expected impact of the proposed protected action on rents and the continued occupancy by existing assisted households for 3 years following the date of the protected action;

(8) Data which shows the number of:

(a) Assisted households;

(b) Assisted households with senior citizens and handicapped persons; and

(c) Assisted households with minors;

(9) An explanation of any provisions planned or previously given to provide assisted households with adequate alternative housing or other assistance, including any federal rental assistance;

(10) The timetable anticipated for taking any protected action;

(11) The anticipated dates on which the protected action would result in dispossession of any assisted households at the project;

(12) A statement certifying that the owner has not taken any of the following actions, or any other action before the date of the protected action in order to avoid the owner's obligations in conjunction with the protected action:

(a) Termination without cause of the lease of any tenant occupying an assisted unit;

(b) Alteration of any of the terms and conditions of executed leases of existing tenants;

(c) Interference with any existing rights of tenants to occupy their units in the assisted project under existing leases or under any applicable federal, state, or local law;

(d) Interference with the efforts of individual tenants to obtain housing subsidies or other public assistance; or

(e) Discrimination in the leasing of units in the project based on source of income or receipt of rent subsidies provided by governmental or other sources; and

(13) Other supporting documentation required by the Director.

B. Timing for Requests for Exemption.

(1) To permit compliance with the notice requirements of the Act, requests for exemption should ordinarily be submitted at least 1 year and 60 days before the effective date of any protected action, except as permitted under §B(2) of this regulation.

(2) In an emergency situation when urgent action is required, requests for exemption may be considered in the discretion of the Secretary if submitted at least 90 days before the effective date of any protected action.

C. Requests for secretarial exemption shall be submitted to the Secretary of Housing and Community Development, Department of Housing and Community Development, Attn: Director, Division of Credit Assurance, 100 Community Place, Crownsville, Maryland 21032.

D. Copies of Exemption Requests.

(1) Copies of the letter requesting an exemption described under §A(1) of this regulation shall be delivered to the following parties not later than 3 days after the request is made to the Secretary:

(a) The chief executive officers of each local jurisdiction in which the assisted project is located;

(b) Any public housing authority existing in any local jurisdiction where the assisted project is located; and

(c) Each assisted household of the assisted project.

Md. Code Regs. 05.10.02.04