August 23, 2007 The committee on Bonding, Capital Expenditures and State Assets to whom was referred the bill (Senate, No.2162) relative to providing for homeownership opportunities in weak markets, reported, recommending that the same ought to pass, with an amendment substituting a new draft (Senate, No. 2325). Mark C. Montigny, |
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
SECTION 1. Section 3 of chapter 23B of the General Laws, as appearing in the 2006 Official Edition, is hereby amended by inserting after subsection (v) the following new subsection:—
(w) stabilize and promote reinvestment by increasing homeownership in neighborhoods that the department has determined to be weak markets. The director may waive housing production program requirements found to be inconsistent with promoting homeownership in weak markets and take other steps necessary to promote homeownership in the weak market including, but not limited to, reducing the length of time for which housing must be affordable to not less than 10 years and permitting the funded property to be purchased by a household whose income at the time of purchase does not exceed 135 per cent of the area median income, adjusted for family size, or both; but the purchaser must own and occupy the property as the purchaser’s primary residence. The department shall develop criteria to determine whether a weak market exists, which may include, but need not be limited to, a high concentration of assisted rental housing, a low rate of homeownership, a median household income that is less than the area median household income, low average sales prices, high levels of unpaid property taxes, or vacant or abandoned buildings.
SECTION 2. Section 7 of chapter 53 of the Acts of 2005 is hereby amended by adding the following paragraph:-
Notwithstanding the restrictions described in this section, not more than $5,000,000 from the housing stabilization and investment program shall be expended to stabilize and promote reinvestment, through homeownership, in areas determined by the department to be weak markets as indicated by a high concentration of assisted rental housing or low rate of homeownership or low median family income or low average sales prices or high levels of unpaid property taxes or vacant or abandoned buildings, and after such finding, the director may waive requirements of this section found to be inconsistent with promoting homeownership in weak markets and take other steps necessary to promote homeownership in the weak market including, but not limited to, reducing the length of required affordability to not less than 10 years and permitting the funded property to be purchased by a household whose income at the time of purchase does not exceed 135 per cent of the area median income, adjusted for family size, or both; however, the purchaser must own and occupy the property as the purchaser’s primary residence.
