[Federal Register Volume 62, Number 177 (Friday, September 12, 1997)]
[Notices]
[Pages 48106-48107]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-24189]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-4286-D-01]


Redelegation of Authority

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

ACTION: Redelegation of authority.

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SUMMARY: This notice amends the field reorganization Revocation and 
Redelegation of Authority for the Office of Housing, published on 
December 6, 1994, at 59 FR 62739. In this notice, the Assistant 
Secretary for Housing-Federal Housing Commissioner redelegates 
nationwide authority to perform all functions related to the 
Multifamily Coinsurance Program, to the Director, Multifamily Housing 
Division, in the Greensboro, North Carolina field office. Thus, the 
authority of the Director, Multifamily Housing Division in the 
Greensboro, North Carolina field office is extended to include 
properties located not only in the Greensboro geographic area, but 
throughout the nation.

EFFECTIVE DATE: September 5, 1997.

FOR FURTHER INFORMATION CONTACT:
William Harris, Acting Director, Operations Division, Office of 
Multifamily Asset Management and Disposition, Department of Housing and 
Urban Development, 451 Seventh Street, S.W., Room 6186, Washington, 
D.C. 20410, (Telephone No. (202) 708-0216), (HUD's TTY No. (202) 708-
1455); or Daniel A. McCanless, Multifamily Housing Division Director, 
Department of Housing and Urban Development, North Carolina State 
Office, Koger Building, 2306 West Meadowview Road, Greensboro, North 
Carolina, 27407-3707, (Telephone No. (910) 547-4020), (HUD North 
Carolina State Office's TTY No. (910) 547-4055). Persons with hearing 
or speech impairments may also utilize the Federal Information Relay 
Service's TTY Number at (800) 877-8339. With the exception of the 
``800'' number, all telephone and TTY numbers listed are not toll-free.

SUPPLEMENTARY INFORMATION: Section 307 of the Housing and Community 
Development Act of 1974 amended the National Housing Act by adding a 
new section 244, entitled ``Coinsurance.'' See 12 U.S.C. Sec. 1715z-9. 
The Multifamily Coinsurance Program was intended to function as a joint 
venture between the private and public sectors, in which lenders and 
HUD would share mortgage insurance risk, thereby providing an 
alternative to traditional HUD full insurance financing. The 
Multifamily Coinsurance Program experienced an unacceptably high level 
of loan defaults and losses to the FHA General Insurance Fund, and was 
ultimately terminated in October of 1990. See 55 FR 41312, published 
October 10, 1990.
    In 1990, the Coinsurance Management Division was established in the 
Office of Multifamily Asset Management and Disposition to provide 
oversight of the coinsured and formerly coinsured (i.e., coinsured 
loans converted to full insurance due to the failure of the coinsuring 
lender) portfolios. In September, 1995, with the decline of the 
coinsured mortgage portfolio, the Coinsurance Management Division was 
abolished and the coinsurance management workload was absorbed by the 
Operations Division within the Office of Multifamily Asset Management 
and Disposition.
    On December 6, 1994, at 59 FR 62739, the Department published a 
Notice of Revocation and Redelegation of Authority which granted 
authority to carry out the Multifamily Coinsurance Program to various 
specified field offices. That field reorganization redelegation has 
been amended on several occasions and remains in effect, as amended.
    Based upon a thorough analysis of the coinsured and formerly 
coinsured mortgage portfolio workload, in order to best utilize its 
finite resources, and to ensure that the Department is able to most 
effectively service its coinsured and formerly coinsured portfolio, the 
Assistant Secretary for Housing-Federal Housing Commissioner has 
determined to redelegate nationwide authority to perform all functions 
related to the Multifamily Coinsurance Program, to the Director, 
Multifamily Housing Division, in the Greensboro, North Carolina field 
office.
    Additionally, the coinsurance regulations, at 24 CFR 251.3, 252.3 
and 255.3, were revised to provide for the conversion of individual 
coinsured loans to full insurance, in conjunction with either a full or 
partial claim payment. See 61 FR 49036, published September 17, 1996. 
Under this revision, coinsuring lenders were given the option of 
requesting that a coinsured mortgage be converted to full insurance. 
Under the coinsurance regulations, as cited above, the Federal Housing 
Commissioner has authority to endorse such conversions from coinsurance 
to full insurance. In this notice, the Federal Housing Commissioner 
also redelegates the authority to endorse such requests, on a 
nationwide basis, to the Director, Multifamily Housing Division, in the 
Greensboro, North Carolina field office.
    Accordingly, the Assistant Secretary for Housing-Federal Housing 
Commissioner redelegages authority as follows:

Section A. Authority Redelegated

    The Assistant Secretary for Housing-Federal Housing Commissioner 
redelegates authority to the Director, Multifamily Housing Division in 
the Greensboro, North Carolina field office, and modifies the field 
reorganization Revocation and Redelegation of Authority, published 
December 6, 1994 at 59 FR 62739, as follows:
    1. The Director, Multifamily Housing Division, Greensboro, North 
Carolina is redelegated nationwide authority with regard to the 
Multifamily Coinsurance Program (Section 244 of the National Housing 
Act, 12 U.S.C. Sec. 1715z-9).
    2. The Director, Multifamily Housing Division, Greensboro, North 
Carolina, is redelegated the authority to perform all functions on a 
nationwide basis relating to the Multifamily Coinsurance Program. This 
authority includes but is not limited to performing the functions 
relating to multifamily coinsurance that are listed within the field 
reorganization redelegation at 59 FR 62739; in addition, with regard to 
the function listed at B., III., (a), (iii), A., 24, 59 FR 62743, the 
Director is herein redelegated the authority to execute second mortgage 
documents without first obtaining Headquarters approval of partial 
payment of claims. Also, the Director, Multifamily Housing Division, 
Greensboro, North Carolina is herein specifically redelegated the 
authority to perform the function of endorsing

[[Page 48107]]

requests for conversion from coinsurance to full insurance, as per the 
coinsurance regulations at 24 CFR 251.3, 252.3, and 255.3.

Section B. Authority To Further Redelegate

    The authority redelegated above, in Section A of the instant 
document, may be further redelegated in writing to appropriate field 
office staff. In cases where authority is redelegated to staff not 
reporting to the redelegating field office official, prior concurrence 
of the Assistant Secretary for Housing-Federal Housing Commissioner, is 
required.

    Authority: Section 7(d), Department of Housing and Urban 
Development Act, 42 U.S.C. Sec. 3535(d).

    Dated: September 5, 1997.
Nicolas P. Retsinas,
Assistant Secretary for Housing-Federal Housing Commissioner.
[FR Doc. 97-24189 Filed 9-11-97; 8:45 am]
BILLING CODE 4210-27-M