Section 10-B4506. CONDITIONS FOR PROJECT CLOSING AND IMPLEMENTATION

 

4506.1Prior to final approval of the acquisition of property and actual closing on the property which has received a conditional commitment, the applicant shall meet all conditions of the DHCD conditional commitment and other requirements of this chapter to the satisfaction of DHCD.

 

4506.2Each applicant shall agree, in writing, to permit all inspections of the property and property records as DHCD and other District agencies deem necessary to ensure the quality of rehabilitation or development work and compliance with District of Columbia laws and regulations during the construction period, the term of the lease, and after occupancy.

 

4506.3Each applicant shall agree to execute DHCD's standard LAHDO Assignment Agreement or Land Purchase Leaseback Agreement, Lease Agreement, and any other pertinent documents as determined by DHCD.

 

4506.4Each applicant shall demonstrate that the property meets the requirements of the zoning regulations of the District of Columbia for the use, location and occupancy level intended.

 

4506.5Each applicant shall agree to submit to DHCD annual audited property or project income and expense statements as well as annual corporate or business financial statements.

 

4506.6Each applicant shall agree to be bound by rent regulatory terms and conditions covering all reserved units, which shall include, but not be limited to, the following requirements:

 

(a)Provide that the tenant income and eligibility requirements, the rent or cooperative carrying costs and other requirements of §4503 shall be followed by the applicant;

 

(b)Establish the basis for the approval or disapproval of rent increases in the reserved units during the term of the LAHDO Lease Agreement:

 

(c)Provide that the applicant shall give priority in renting or selling units in the project to lower-income individuals or families on the waiting list(s) of the D.C. Department of Public and Assisted Housing (DPAH); and

 

(d)Provide that DHCD may establish any means of enforcement of the provisions of this section as it determines to be necessary and consistent with this chapter and other provisions of District of Columbia law.

 

4506.7Each applicant shall be required to submit a tenant selection plan satisfactory to DHCD. The tenant selection plan shall include, but not be limited to, the following:

 

(a)The applicant's method for complying with the priority occupancy requirements of §4506.6;

 

(b)A plan for affirmative marketing on a equal opportunity basis to obtain applications for vacancies in the initial occupancy of the housing which shall include notice to DHCD and the public of the availability of units at least ninety (90) days prior to the expected date of initial occupancy; and

 

(c)Procedures which ensure that when vacancies exceed the priority applications received pursuant to §4506.6(c), applications for reserved units shall be considered based on the date and time of application receipt, and that if more applications are received than available units, a waiting list shall be maintained, based on date and time of application for consideration when subsequent vacancies occur.

 

4506.8DHCD may accept variations in the tenant selection plan requirements if necessary to meet the requirements of other public programs which govern the project.

 

4506.9Final acceptance of each proposal may be subject to the applicant's ability to obtain a general contractor acceptable to DHCD.

 

4506.10Each applicant may be required to submit final construction or rehabilitation cost estimates acceptable to DHCD.

 

4506.11Each applicant shall meet all applicable District of Columbia minority contracting and equal opportunity hiring requirements.

 

4506.12Each applicant shall submit written commitments from recognized lender(s) providing sufficient funds, as determined by DHCD, to complete the development of the project, including both interim and permanent loans, prior to DHCD's closing on the acquisition of the property. The lender(s) shall also agree in writing that the assistance terms and lease terms are acceptable to the lender.

 

4506.13Prior to the acquisition and lease of the property, DHCD shall issue a final letter of approval or rejection of the project to the applicant.

 

4506.14If DHCD approves the project, DHCD shall conduct a public hearing, pursuant to D.C. Code §5-905 (1988 Repl. Vol.), to advise the public of the proposed terms and conditions under which DHCD shall acquire and dispose of the property including, but not limited to, the following:

 

(a)The purchase/leaseback transaction;

 

(b)The acquisition of site improvements;

 

(c)An interim loan to the applicant for the applicant's acquisition of any building(s) on the property, if applicable; and

 

(d)Any other public financing required to be committed for the project to ensure economic feasibility.

 

source

Final Rulemaking published at 36 DCR 8507, 8518 (December 22, 1989).