Virginia Administrative Code › Title 13 - HOUSING › Agency 10 - VIRGINIA HOUSING DEVELOPMENT AUTHORITY › Chapter 20 - RULES AND REGULATIONS FOR MULTI-FAMILY HOUSING DEVELOPMENTS › Section 13VAC10-20-100 - Operation, management and marketing

Current through Register Vol. 40, No. 24, July 15, 2024
The development shall be subject to a regulatory agreement
				  entered into at initial closing between the authority and the mortgagor. Such
				  regulatory agreement shall govern the rents, operating budget, occupancy,
				  marketing, management, maintenance, operation, use and disposition of the
				  development and the activities and operation of the mortgagor, as well as the
				  amount of assets or income of the development which may be distributed to the
				  mortgagor. The mortgagor shall execute such other documents with regard to the
				  regulation of the development and the mortgagor as the executive director may
				  determine to be necessary or appropriate to protect the interests of the
				  authority and to permit fulfillment of the authority's duties and
				  responsibilities under the Act and this chapter.
Except as otherwise agreed by the authority pursuant to
				  13VAC10-20-130 hereof, only rents
				  established or approved on behalf of the authority pursuant to the regulatory
				  agreement may be charged for dwelling units in the development. Notwithstanding
				  the foregoing, in the case of any developments financed subsequent to January
				  1, 1986, the authority may agree with the mortgagor that the rents may be
				  established and changed by the mortgagor without the prior approval of the
				  authority, subject to such restrictions in the regulatory agreement as the
				  authority shall deem necessary to assure that the rents shall be affordable to
				  persons and families intended to be served by the development and subject to
				  compliance by the mortgagor with the provisions in
				  13VAC10-20-20.
The mortgagor shall lease the units in the development only
				  to persons and families who are eligible for occupancy thereof as described in
				  13VAC10-20-20. The mortgagor shall
				  comply with the provisions of the authority's rules and regulations regarding:
(i) the examination and determination
				of the income and eligibility of applicants for initial occupancy of the
				development; and
(ii) the periodic
				reexamination and redetermination of the income and eligibility of residents of
				the development.
In selecting eligible residents, the mortgagor shall comply
				  with the tenant selection plan approved by the authority pursuant to
				  13VAC10-20-50.
The management of the development shall also be subject to a
				  management agreement entered into at initial closing between the mortgagor and
				  its management agent, or where the mortgagor and the management agent are the
				  same entity, between the authority and the mortgagor. Such management agreement
				  shall govern the policies, practices and procedures relating to the management,
				  marketing and operation of the development. The mortgagor and its management
				  agent (if any) shall manage the development in accordance with the Act, this
				  chapter, the regulatory agreement, the management agreement, and the management
				  plan approved by the authority.
The authority shall have the power to supervise the
				  mortgagor and the development in accordance with § 36-55.34:1 of the Code
				  of Virginia and the terms of the initial closing documents or other agreements
				  relating to the mortgage loans. The authority shall have the right to inspect
				  the development, conduct audits of all books and records of the development and
				  to require such reports as the authority deems reasonable to assure compliance
				  with this section.
Statutory Authority
§ 36-55.30:3 of the Code of Virginia.