H. R. 4818—511
of equitable title to this property as sufficient for the purposes
of the section 202 housing program.
SEC. 218. A public housing agency or such other entity that
administers Federal housing assistance in the States of Alaska,
Iowa, and Mississippi shall not be required to include a resident
of public housing or a recipient of assistance provided under section
8 of the United States Housing Act of 1937 on the board of directors
or a similar governing board of such agency or entity as required
under section (2)(b) of such Act. Each public housing agency or
other entity that administers Federal housing assistance under
section 8 in the States of Alaska, Iowa and Mississippi shall estab-
lish an advisory board of not less than 6 residents of public housing
or recipients of section 8 assistance to provide advice and comment
to the public housing agency or other administering entity on issues
related to public housing and section 8. Such advisory board shall
meet not less than quarterly.
SEC. 219. (a) Section 536(b)(1) of the National Housing Act
(12 U.S.C. 1735f–14(b)(1)) is amended by adding the following new
subparagraph at the end:
‘‘(J) Failure to perform a required physical inspection
of the mortgaged property.’’.
(b) Section 537(c)(1)(B)(ii) of such Act (12 U.S.C. 1735f–
15(c)(1)(B)(ii)) is amended by inserting after ‘‘rents,’’ the following:
‘‘other revenues, or contract rights,’’.
(c) Section 537(c)(1)(B)(x) of such Act (12 U.S.C. 1735f–
15(c)(1)(B)(x)) is amended to read as follows:
‘‘(x) Failure to furnish the Secretary, by the expira-
tion of the 90-day period beginning on the first day
after the completion of each fiscal year (unless the
Secretary has approved an extension of the 90-day
period in writing), with a complete annual financial
report, in accordance with requirements prescribed by
the Secretary, including requirements that the report
be—
‘‘(I) based upon an examination of the books
and records of the mortgagor;
‘‘(II) prepared and certified to by an inde-
pendent public accountant or a certified public
accountant (unless the Secretary has waived this
requirement in writing); and
‘‘(III) certified to by the mortgagor or an
authorized representative of the mortgagor.
‘‘The Secretary shall approve an extension where the mortgagor
demonstrates that failure to comply with this clause is due to
events beyond the control of the mortgagor.’’.
SEC. 220. Section 421 of the Housing and Community Develop-
ment Act of 1987 (12 U.S.C. 1715z–4a) is amended—
(1) in subsection (a)(1)(A), by inserting after ‘‘project’’ the
following: ‘‘, nursing home, intermediate care facility, board
and care home, assisted living facility, or hospital’’;
(2) in subsection (a)(1)(B), by inserting after ‘‘is’’ the fol-
lowing: ‘‘or, at the time of the violations, was’’;
(3) in the second sentence of subsection(a)(1), by striking
‘‘project’’ and inserting ‘‘property’’;
(4) in subsection (a)(2) by striking ‘‘which’’ and all that
follows through ‘‘any owner’’ and inserting the following: ‘‘that
H. R. 4818—512
owns or operates a property, as identified in the regulatory
agreement, including but not limited to—
‘‘(A) any stockholder holding 25 percent or more
interest of a corporation that owns that property;
‘‘(B) any beneficial owner of the property under any
business or trust;
‘‘(C) any officer, director, or partner of an entity owning
or controlling the property;
‘‘(D) any nursing home lessee or operator;
‘‘(E) any hospital lessee or operator;
‘‘(F) any other person or entity that controls the prop-
erty regardless of that person or entity’s official relationship
to the property; and
‘‘(G) any heir, assignee, successor in interest, or agent
of any person or entity described in the preceding subpara-
graphs’’;
(5) in subsection (c), by striking ‘‘project’’ the first two
places it appears and inserting ‘‘property’’; and
(6) in subsection (d), by striking ‘‘project’’ and inserting
‘‘a property’s’’.
SEC. 221. Section 204(h) of the National Housing Act (12 U.S.C.
1710(h)) is amended—
(1) in paragraph (2)—
(A) by striking ‘‘following assets of the Secretary’’ and
inserting ‘‘following categories of assets of the Secretary,
unless the Secretary determines at any time that the asset
property is economically or otherwise infeasible to rehabili-
tate or that the best use of the asset property is as open
space (including park land)’’;
(B) in subparagraph (B)(ii), by inserting after ‘‘Act’’
the following: ‘‘except for mortgages insured under or made
pursuant to sections 235, 247, or 255’’; and
(C) by striking subparagraph (C);
(2) in the second sentence of paragraph (3), by inserting
after ‘‘government’’ the following: ‘‘, States, and Indian tribes’’;
(3) in paragraph (4)—
(A) in subparagraph (A)(i), by inserting after ‘‘govern-
ment’’ the following: ‘‘, State, or Indian tribe’’;
(B) by revising subparagraph (B)(ii) to read as follows:
‘‘(ii) purchases all assets of the Secretary in the
category or categories of eligible assets set forth in
the sale agreement required under paragraph (7) that,
at any time during the period which shall be set forth
in the sale agreement—
‘‘(I) are or become eligible for purchase under
this subsection; and
‘‘(II) are located in the asset control area of
the purchaser; and’’; and
(C) in subparagraph (C), by striking ‘‘purchase of
eligible assets under’’ and inserting ‘‘purchase of the cat-
egory or categories of eligible assets set forth in the sale
agreement under’’;
(4) in paragraph (6)—
(A) by revising subparagraph (C) to read as follows:
‘‘(C) DISCOUNTS.—The Secretary, in the sole discretion
of the Secretary, shall establish the discount under this