1108 
NEIGHBORHOOD REINVESTMENT CORPORATION 
PAYMENT TO THE NEIGHBORHOOD REINVESTMENT 
CORPORATION 
For payment to the Neighborhood Reinvestment Cor-
poration for use in neighborhood reinvestment activities, 
as authorized by the Neighborhood Reinvestment Corpora-
tion Act (42 U.S.C. 8101–8107), $131,000,000, of which 
$5,000,000 shall be for a multi-family rental housing pro-
gram: Provided, That of the amounts made available 
under this heading, $6,000,000 shall be made available 
to conduct a consumer mortgage public education cam-
paign: Provided further, That funding amounts provided 
under the previous proviso shall be available for campaign 
development, production, and outreach activities. 
For an additional amount, $50,000,000 shall be 
made available until expended to the Neighborhood Rein-
vestment Corporation for mortgage foreclosure mitigation 
activities, under the following terms and conditions: 
(1) The Neighborhood Reinvestment Corpora-
tion (‘‘NRC’’), shall make grants to counseling inter-
mediaries approved by the Department of Housing 
and Urban Development (HUD) (with match to be 
determined by the NRC based on affordability and 
the economic conditions of an area; a match also 
may be waived by the NRC based on the aforemen-
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1109 
tioned conditions) to provide mortgage foreclosure 
mitigation assistance primarily to States and areas 
with high rates of defaults and foreclosures pri-
marily in the subprime housing market to help elimi-
nate the default and foreclosure of mortgages of 
owner-occupied single-family homes that are at risk 
of such foreclosure. Other than areas with high rates 
of defaults and foreclosures, grants may also be pro-
vided to approved counseling intermediaries based on 
a geographic analysis of the Nation by the NRC 
which determines where there is a prevalence of 
subprime mortgages that are risky and likely to fail, 
including any trends for mortgages that are likely to 
default and face foreclosure. A State Housing Fi-
nance Agency may also be eligible where the State 
Housing Finance Agency meets all the requirements 
under this paragraph. A HUD-approved counseling 
intermediary shall meet certain mortgage foreclosure 
mitigation assistance counseling requirements, as de-
termined by the NRC, and shall be approved by 
HUD or the NRC as meeting these requirements. 
(2) Mortgage foreclosure mitigation assistance 
shall only be made available to homeowners of 
owner-occupied homes with mortgages in default or 
in danger of default. These mortgages shall likely be 
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subject to a foreclosure action and homeowners will 
be provided such assistance that shall consist of ac-
tivities that are likely to prevent foreclosures and re-
sult in the long-term affordability of the mortgage 
retained pursuant to such activity or another posi-
tive outcome for the homeowner. No funds made 
available under this paragraph may be provided di-
rectly to lenders or homeowners to discharge out-
standing mortgage balances or for any other direct 
debt reduction payments. 
(3) The use of Mortgage Foreclosure Mitigation 
Assistance by approved counseling intermediaries 
and State Housing Finance Agencies shall involve a 
reasonable analysis of the borrower’s financial situa-
tion, an evaluation of the current value of the prop-
erty that is subject to the mortgage, counseling re-
garding the assumption of the mortgage by another 
non-Federal party, counseling regarding the possible 
purchase of the mortgage by a non-Federal third 
party, counseling and advice of all likely restruc-
turing and refinancing strategies or the approval of 
a work-out strategy by all interested parties. 
(4) NRC may provide up to 15 percent of the 
total funds under this paragraph to its own charter 
members with expertise in foreclosure prevention 
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