Contracts for non-interest bearing advances to housing authorities; low rent housing projects; findings; reimbursement

Section 10A. The executive office may enter into a contract with a local housing authority for the purpose of assisting housing development by expending such monies as may be appropriated for the purpose of making non-interest bearing advances to housing authorities organized under the provisions of chapter one hundred and twenty-one B to enable them to construct, reconstruct, redevelop or replace low rent housing projects, as defined in said chapter one hundred and twenty-one B, provided the executive office shall, pursuant to regulations made by it, make the following findings: (1) there is a reasonable anticipation that financing arrangements satisfying the requirements of chapter one hundred and twenty-one B will be obtained for said project, and, (2) the project site is suitable, the need for housing of the type proposed in the area to be served is demonstrated, and the likelihood that the project will provide low-income housing is great. The proceeds of such advances may be used, without limitation, to defray the development costs of such project incurred prior to initial advance funds in accordance with the provisions of said chapter one hundred and twenty-one B. Such costs may include, but shall not be limited to (a) payments for options to purchase properties on the proposed housing project site, deposits on contracts of purchase, or with prior approval, payment for the purchase of such properties; (b) legal and organizational expenses including payment of attorney's fees, project manager and clerical staff salaries, office rent and other incidental studies; advances for planning, engineering and architectural work; and, (c) such other expenses incurred by the authority as the department may deem appropriate to effectuate the purposes of this section. The housing authority shall reimburse the commonwealth for all monies advanced under this section from the proceeds of any bonds or notes issued under sections thirty-four or forty-one of said chapter one hundred and twenty-one B of the General Laws. Any monies so reimbursed shall be credited to the General Fund.

Section 10A. The executive office may enter into a contract with a local housing authority for the purpose of assisting housing development by expending such monies as may be appropriated for the purpose of making non-interest bearing advances to housing authorities organized under the provisions of chapter one hundred and twenty-one B to enable them to construct, reconstruct, redevelop or replace low rent housing projects, as defined in said chapter one hundred and twenty-one B, provided the executive office shall, pursuant to regulations made by it, make the following findings: (1) there is a reasonable anticipation that financing arrangements satisfying the requirements of chapter one hundred and twenty-one B will be obtained for said project, and, (2) the project site is suitable, the need for housing of the type proposed in the area to be served is demonstrated, and the likelihood that the project will provide low-income housing is great. The proceeds of such advances may be used, without limitation, to defray the development costs of such project incurred prior to initial advance funds in accordance with the provisions of said chapter one hundred and twenty-one B. Such costs may include, but shall not be limited to (a) payments for options to purchase properties on the proposed housing project site, deposits on contracts of purchase, or with prior approval, payment for the purchase of such properties; (b) legal and organizational expenses including payment of attorney's fees, project manager and clerical staff salaries, office rent and other incidental studies; advances for planning, engineering and architectural work; and, (c) such other expenses incurred by the authority as the department may deem appropriate to effectuate the purposes of this section

ment for the purchase of such properties; (b) legal and organizational expenses including payment of attorney's fees, project manager and clerical staff salaries, office rent and other incidental studies; advances for planning, engineering and architectural work; and, (c) such other expenses incurred by the authority as the department may deem appropriate to effectuate the purposes of this section. The housing authority shall reimburse the commonwealth for all monies advanced under this section from the proceeds of any bonds or notes issued under sections thirty-four or forty-one of said chapter one hundred and twenty-one B of the General Laws.

Any monies so reimbursed shall be credited to the General Fund.