(a) The Council of the District of Columbia hereby finds: that a decline in the number of housing units in the District of Columbia, together with the existing number of substandard dwellings, has produced a critical shortage of adequate housing for low and moderate income families; that this shortage of affordable housing and the inability of residents to obtain appropriate financing compels a substantial number of District residents to live in unsanitary, overcrowded and unsafe conditions and to expend a disproportionate portion of their incomes on housing; that these conditions are detrimental to the health and welfare of District residents and adversely affect the economy of the District; that a major cause of this housing crisis is the cost of funds made available by mortgage lenders in the District to finance housing for low and moderate income families; and further that this situation has frustrated the construction, lease, sale and purchase of housing units for low and moderate income families.
(b) The Council determines that a corporate instrumentality of the District shall be created and given authority to generate funds from private and public sources to increase the supply and lower the cost of funds available for residential mortgages and construction loans and thereby help alleviate the shortage of adequate housing. The Council further determines that this purpose can be accomplished through programs whereby mortgage lenders and/or the Agency make mortgage, construction and rehabilitation loans for single and multifamily rental and home ownership units on terms designed to expand available housing opportunities. The Council further determines that this purpose can also be accomplished through a program whereby the Agency issues bonds and lends the proceeds thereof to Eligible State and Local Government Units to enhance the Agency's ability to generate revenues to fulfill its duties under this chapter. The Council further determines that the goals of neighborhood and fiscal stability can be achieved through a policy of residential economic diversity.
(c) The Council hereby declares that the enactment of this chapter is in the public interest and for the public benefit, and that the authority and powers conferred by this chapter and the expenditure of monies pursuant to this chapter are to serve valid public purposes.
(Mar. 3, 1979, D.C. Law 2-135, § 101, 25 DCR 5008; Apr. 20, 1999, D.C. Law 12-247, § 2(a), 46 DCR 1100.)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 45-2101.
1973 Ed., § 45-1901.
Legislative History of Laws
Law 2-135, the "District of Columbia Housing Finance Agency Act," was introduced in Council and assigned Bill No. 2-161, which was referred to the committee on Housing and Urban Development. The Bill was adopted on first and second readings on July 25, 1978, and September 19, 1978, respectively. Signed by the Mayor on November 1, 1978, it was assigned Act No. 2-291 and transmitted to both Houses of Congress for its review.
Law 12-247, the "Housing Finance Agency Amendment Act of 1998," was introduced in Council and assigned Bill No. 12-300, which was referred to the Committee on Economic Development. The Bill was adopted on first and second readings on December 1, 1998, and December 15, 1998, respectively. Signed by the Mayor on December 24, 1998, it was assigned Act No. 12-584 and transmitted to both Houses of Congress for its review. D.C. Law 12-247 became effective on April 20, 1999.
The following terms as used in this chapter shall have the following meanings unless a different meaning clearly appears from the context:
(1) "Chapter" means this Housing Finance Agency Act.
(2) "Agency" means the District of Columbia Housing Finance Agency.
(3) "Board" means the Board of Directors of the District of Columbia Housing Finance Agency.
(4) "Bonds," "notes" and "other obligations" refer to any bonds, notes, debentures, interim certificates or other evidences of financial indebtedness of the Agency authorized to be issued under the provisions of this chapter.
(5) "Council" means the Council of the District of Columbia.
(6) "Construction loan" means a short term advance of monies for the purpose of constructing or rehabilitating housing projects.
(7) "District" means the District of Columbia.
(8) "Eligible persons" means individuals and families who qualify for housing under a given program according to the requirements of the program as established by the Agency.
(8A) "Eligible State or Local Government Unit" means any state or political subdivision thereof within the meaning of § 103 of the Internal Revenue Code of 1986 (or successor provisions), including any agency, authority, body, commission or entity that acts on behalf of any such state or political subdivision, which is authorized under applicable law to issue bonds or enter into other obligations for the purpose of providing low and moderate income housing.
(8B) "State or Local Government Loan" means a loan or other advance of monies by the Agency to an Eligible State or Local Government Unit to be used as permitted by refunding agreements between the Eligible State or Local Government Unit and the Department of Housing and Urban Development.
(9) "Forward Commitment Mortgage Purchase Program" means a program pursuant to which the Agency commits to purchase from or originate through mortgage lenders mortgage loans committed to and originated by the mortgage lender or the Agency after the date of the Agency's commitment where the loans are to low or moderate income persons for financing housing units to be owner-occupied or are loans which meet the requirements of subsection (b) or (c) of § 42-2703.02.
(10) "Homeownership program" means any type of program through which a person can achieve an ownership position in a residential unit including, but not limited to, cooperatives and condominiums.
(11) "Housing project or project" means any undertaking to plan, develop, construct or rehabilitate one or more dwelling units located in the District of Columbia which meets the requirements of this chapter. Such undertaking may include, but is not limited to any building, land, equipment, facilities or other real or personal property which are necessary, convenient or desirable appurtenances, streets, sewers, utilities, parks, site preparation or landscaping; and other non-housing facilities, such as offices, stores, commercial facilities, community, medical, educational, social, health, recreational, and welfare facilities, which are reasonably related to and subordinate to the housing project, consistent with the applicable Internal Revenue Code provisions, as amended, and the regulations thereunder, as determined to be necessary, convenient or desirable by the Agency. Any facility which incorporates the residence and care of persons with special needs, including but not limited to the aged, youth, students, homeless, persons with disabilities, persons requiring health and medical care, shall be deemed an undertaking for purposes of this chapter.
(11A) "Loan" means a secured or unsecured obligation issued for the purposes of financing a housing project or homeownership program.
(12) "Low income persons" means those persons and families whose annual income as determined by the Agency does not exceed the income requirements for low income persons as established by the Internal Revenue Service or the Department of Housing and Urban Development from time to time as applicable to the particular housing project or homeownership program under the Agency's plan of financing.
(13) "Moderate income persons" means those persons and families whose annual income as determined by the Agency does not exceed the income requirements for moderate income persons established by the Internal Revenue Service or the Department of Housing and Urban Development from time to time as applicable to the particular housing project or homeownership program under the Agency's plan of financing.
(14) "Mortgage" means a mortgage deed, deed of trust, or other security instrument which shall constitute a lien in the District on improvements and real property in fee simple, on a lease having a remaining term, which at the time such mortgage is acquired does not expire for at least that number of years beyond the maturity date of the obligation secured by such mortgage.
(15) "Mortgage lender" means an entity as defined in § 26-1101(11), that is deemed eligible by the Agency to participate in any of its programs.
(16) "Mortgage loan" means an obligation secured by a mortgage financing a housing project.
(17) "Sponsor" means a sole proprietor, joint venture, partnership, limited partnership, trust, corporation, cooperative, or condominium, whether nonprofit or organized for profit, which owns or sponsors a housing project pursuant to the provisions of this chapter.
(18) "Subsidy" means any resources generated through appropriation by the federal or District government, or donated by a public or private source; the resources must be designated for meeting housing expense and may be payments to the occupant of a housing unit as reimbursement for monies expended, payment made for supplementing housing or rent payments made by an occupant, or payments made to effect a reduction in mortgage interest rates paid by the mortgagor of a housing unit.
(19) "Cooperative" means a rental housing unit or project, unless the Agency determines by resolution that a given unit or units in a given project shall be deemed to be a homeownership housing unit or project.
(20) "Very-Low Income" means those persons and families whose annual income as determined by the Agency does not exceed the income requirements for very-low income persons as established by the Internal Revenue Service or the Department of Housing and Urban Development from time to time as applicable to the particular housing project or homeownership program under the agency's plan of financing.
(Mar. 3, 1979, D.C. Law 2-135, § 102, 25 DCR 5008; Aug. 5, 1981, D.C. Law 4-28, § 2(a)-(f), 28 DCR 2848; Apr. 20, 1999, D.C. Law 12-247, § 2(b), 46 DCR 1100; Apr. 12, 2000, D.C. Law 13-91, § 164, 47 DCR 520; Mar. 25, 2003, D.C. Law 14-239, § 2(a), 49 DCR 11162.)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 45-2102.
1973 Ed., § 45-1902.
Effect of Amendments
D.C. Law 13-91 validated a previously made technical amendment.
D.C. Law 14-239 rewrote par. (15) which had read as follows:
"(15) 'Mortgage lender' means any bank, mortgage banking company, trust company, savings bank, savings and loan association, credit union, national banking association, federal savings and loan association or federal credit union maintaining an office in the District, or any insurance company authorized to do business in the District and deemed eligible by the Agency to participate in any of its programs."
Legislative History of Laws
For legislative history of D.C. Law 2-135, see Historical and Statutory Notes following § 42-2701.01.
Law 4-28, the "District of Columbia Housing Finance Agency Act Amendments Act of 1981," was introduced in Council and assigned Bill No. 4-145, which was referred to the Committee on Housing and Economic Development. The Bill was adopted on first and second readings on May 5, 1981, and May 19, 1981, respectively. Signed by the Mayor on June 9, 1981, it was assigned Act No. 4- 49 and transmitted to both Houses of Congress for its review.
For legislative history of D.C. Law 12-247, see Historical and Statutory Notes following § 42-2701.01.
Law 13-91, the "Technical Amendments Act of 1999," was introduced in Council and assigned Bill No. 13-435, which was referred to the Committee of the Whole. The Bill was adopted on first and second readings on November 2, 1999, and December 7, 1999, respectively. Signed by the Mayor on December 29, 1999, it was assigned Act No. 13-234 and transmitted to both Houses of Congress for its review. D.C. Law 13-91 became effective on April 12, 2000.
Law 14-239, the "Housing Finance Agency Amendment Act of 2002", was introduced in Council and assigned Bill No. 14-345, which was referred to the Committee on Economic Development. The Bill was adopted on first and second readings on October 1, 2002, and November 7, 2002, respectively. Signed by the Mayor on November 26, 2002, it was assigned Act No. 14-520 and transmitted to both Houses of Congress for its review. D.C. Law 14-239 became effective on March 25, 2003.
References in Text
Section 103 of the Internal Revenue Code of 1986, referred to in (8A), is codified at 26 U.S.C. § 103.
