[Federal Register Volume 74, Number 179 (Thursday, September 17, 2009)]
[Notices]
[Pages 47810-47812]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-22342]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-5346-N-01]


Multifamily Mortgage Insurance Premiums (MIPs) and Credit Subsidy 
Obligations for Fiscal Year (FY) 2010

AGENCY: Office of the Assistant Secretary for Housing--Federal Housing 
Commissioner, HUD.

[[Page 47811]]


ACTION: Notice.

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SUMMARY: This notice announces the mortgage insurance premiums (MIPs) 
for Federal Housing Administration (FHA) multifamily mortgage insurance 
programs, health care facilities; and hospital insurance programs that 
have commitments to be issued or reissued in Fiscal Year (FY) 2010. The 
FY2010 MIPs are the same as in FY2009. In addition to announcing MIPs 
for FY2010, this notice also announces:
    (A) The credit subsidy obligations for FY2010 are the same as those 
for firm commitments issued or reissued in FY2009. There are three 
positive credit subsidy programs: (1) Section 221(d)(3) New 
Construction/Substantial Rehabilitation for Nonprofit/Cooperatives; (2) 
Section 241(a) Supplemental Loans for apartments only; and (3) Section 
223(d) Operating Loss Loans.
    (B) The addition of an MIP for FHA's hospital insurance program, 
section 242/223f refinancing of an existing hospital.

DATES: Effective Date: October 1, 2009.

FOR FURTHER INFORMATION CONTACT: Eric Stevenson, Deputy Director, 
Office of Multifamily Development, Department of Housing and Urban 
Development, 451 Seventh Street, SW., Washington, DC 20410-8000; 
telephone: 202-708-1142 (this is not a toll-free number). Hearing- or 
speech-impaired individuals may access these numbers through TTY by 
calling the Federal Information Relay Service at 800-877-8339 (this is 
a toll-free number).

SUPPLEMENTARY INFORMATION: 

I. Background

    HUD's multifamily housing mortgage insurance regulation at 24 CFR 
207.254 provides as follows:

    Notice of future premium changes will be published in the 
Federal Register. The Department will propose MIP changes for 
multifamily mortgage insurance programs and provide a 30-day public 
comment period for the purpose of accepting comments on whether the 
proposed changes are appropriate.

    Under this regulation, HUD is required to publish a notice for 
public comment only when there are premium ``changes.'' Since HUD is 
not seeking to implement any premium changes for FY2010 for the 
multifamily mortgage insurance programs, health care facilities; and 
hospital insurance programs listed in this notice, a notice and public 
comment is not required. The MIP for the new provision for refinancing 
a hospital, set at 50 basis points, is the same as HUD's MIPs for other 
hospital financing programs and thus does not represent a change. HUD 
is merely providing this notice to ensure that there is clarity on the 
appropriated MIPs charged for FY2010, and is not seeking public 
comments.

II. Low-Income Housing Tax Credits

    MIP rates for many multifamily FHA mortgage programs depend on 
whether or not the sponsor is combining low-income housing tax credits 
with the FHA-insured loan. Under the Department of Housing and Urban 
Development Reform Act of 1989, Public Law 101-235 (approved December 
15, 1989), and HUD's implementing instructions, a sponsor is required 
to submit a certification regarding governmental assistance, including 
any low-income housing tax credits, with mortgage insurance 
applications.

III. MIPs for Multifamily Programs for FY2010

    This notice announces the MIPs, listed in this notice, which will 
be in effect during FY2010 for the multifamily housing programs, health 
care facilities; and hospital insurance programs. FHA's hospital 
mortgage insurance program, which is overseen by FHA's Office of 
Insured Health Care Facilities, is authorized under section 242 of the 
National Housing Act, 12 U.S.C. 1715z-7. Section 241(a) Supplemental 
Loans for hospitals and Section 223(a)(7) for Refinancing of existing 
hospitals under FHA-insured for the Section 242 Hospital Program are 
separately listed in the chart that follows. The effective date for 
these mortgage insurance premiums is October 1, 2009.

Credit Subsidy

    This notice also announces that a credit subsidy obligation 
continues to be required for the three sections of the National Housing 
Act listed below. However, if the mortgagor's equity is produced from 
low-income housing tax credits (LIHTC) for Sections 221(d)(3) or 
241(a), a credit subsidy obligation will not be required. For the loans 
requiring a credit subsidy obligation, the program office inserts a 
special clause into the firm commitment or an invitation pertaining to 
a Site Appraisal and Market Analysis (SAMA)/Feasibility/Multifamily 
Accelerated Processing (MAP) letter. The clause states that the firm 
commitment is contingent upon availability of funds.
    <bullet> Section 221(d)(3) New Construction/Substantial 
Rehabilitation for Nonprofit/Cooperatives.
    <bullet> Section 223(d) Operating Loss Loans for both apartments 
and health care facilities.
    <bullet> Section 241(a) Supplemental Loans for additions or 
improvements for apartments only.
    The mortgage insurance premiums to be in effect for FHA firm 
commitments issued or reissued in FY2010 are shown in the table below.

   Fiscal Year 2010 MIP Rates--Multifamily, Health Care Facilities and
                       Hospital Insurance Programs
------------------------------------------------------------------------
                                                                 Basis
                                                                 points
------------------------------------------------------------------------
FHA Apartments:
    207 Multifamily Housing New Construction/Sub Rehab                50
     without LIHTC...........................................
    207 Multifamily Housing New Construction/Sub Rehab with           45
     LIHTC...................................................
    207 Manufactured Home Parks without LIHTC................         50
    207 Manufactured Home Parks with LIHTC...................         45
    221(d)(3) New Construction/Substantial Rehabilitation (NC/        80
     SR) for Nonprofit/Cooperative mortgagor without LIHTC...
    221(d)(3) Limited dividend with LIHTC....................         45
    221(d)(4) NC/SR without LIHTC............................         45
    221(d)(4) NC/SR with LIHTC...............................         45
    220 Urban Renewal Housing without LIHTC..................         50
    220 Urban Renewal Housing with LIHTC.....................         45
    213 Cooperative..........................................         50
    207/223(f) Refinance or Purchase for Apartments without          *45
     LIHTC...................................................
    207/223(f) Refinance or Purchase for Apartments with             *45
     LIHTC...................................................
    223(a)(7) Refinance of Apartments without LIHTC..........         45
    223(a)(7) Refinance of Apartments with LIHTC.............         45

[[Page 47812]]

 
    223d Operating Loss Loan for Apartments..................         80
    241(a) Supplemental Loans for Apartments/coop without             80
     LIHTC...................................................
    241(a) Supplemental Loans for Apartments/coop with LIHTC.         45
FHA Health Care Facilities (Nursing Homes, ALF & B&C):
    232 NC/SR Health Care Facilities without LIHTC...........         57
    232 NC/SR--Assisted Living Facilities with LIHTC.........         45
    231 Elderly Housing without LIHTC........................         50
    231 Elderly Housing with LIHTC...........................         45
    232/223(f) Refinance for Health Care Facilities without          *50
     LIHTC...................................................
    232/223(f) Refinance for Health Care Facilities with             *45
     LIHTC...................................................
    223(a)(7) Refinance of Health Care Facilities without             50
     LIHTC...................................................
    223(a)(7) Refinance of Health Care Facilities with LIHTC.         45
    223d Operating Loss Loan for Health Care Facilities......         80
    241(a) Supplemental Loans for Health Care Facilities              57
     without LIHTC...........................................
    241(a) Supplemental Loans for Health Care Facilities with         45
     LIHTC...................................................
FHA Hospitals:
    242 Hospitals............................................         50
    223(f) Refinance of Existing FHA-insured Hospital........         50
    223(a)(7) Refinance of Existing FHA-insured Hospital.....         50
    241(a) Supplemental Loans for Hospitals..................         50
------------------------------------------------------------------------
* The First Year MIP for the section 207/223(f) loans for apartments is
  100 basis (one percent) points for the first year, as specified in
  sections 24 CFR 207.232b(a). The first year MIP for a 232/223(f)
  health care facility remains at 100 basis points (one percent).


    Dated: September 10, 2009.
David H. Stevens,
Assistant Secretary for Housing--Federal Housing Commissioner.
[FR Doc. E9-22342 Filed 9-16-09; 8:45 am]
BILLING CODE 4210-67-P