12 U.S.C. § 1748b — Insurance of mortgages

Page 827 TITLE 12—BANKS AND BANKING § 1748b other similar property of similar value, less such amount as the Secretary of Defense or his designee de- termines to be equal to (1) any payments made by the Federal Government to the local taxing or other public agencies involved with respect to such property, plus (2) such amount as may be appropriate for any expendi- tures made by the Federal Government or the lessee for the provision or maintenance of streets, sidewalks, curbs, gutters, sewers, lighting, snow removal or any other services or facilities which are customarily pro- vided by the State, county, city, or other local taxing authority with respect to such other similar property: And provided further, That the provisions of this section shall not apply to properties leased pursuant to the provisions of section 805 of the National Housing Act [12 U.S.C. 1748d] as amended on or after August 11, 1955, which properties shall be exempt from State or local taxes or assessments.’’ TRANSFER OF FUNCTIONS For transfer of authorities, functions, personnel, and assets of the Coast Guard, including the authorities and functions of the Secretary of Transportation relat- ing thereto, to the Department of Homeland Security, and for treatment of related references, see sections 468(b), 551(d), 552(d), and 557 of Title 6, Domestic Secu- rity, and the Department of Homeland Security Reor- ganization Plan of November 25, 2002, as modified, set out as a note under section 542 of Title 6. COAST GUARD Subchapter as applicable to Coast Guard, see section 1594e of Title 42, The Public Health and Welfare. § 1748a. Repealed. Pub. L. 89–117, title XI, § 1108(aa), Aug. 10, 1965, 79 Stat. 507 Section, act June 27, 1934, ch. 847, title VIII, § 802, as added Aug. 8, 1949, ch. 403, § 1, 63 Stat. 571; amended Aug. 11, 1955, ch. 783, title IV, § 401, 69 Stat. 646, created the Armed Services Housing Insurance Fund. For establishment of the General Insurance Fund, see section 1735c of this title. § 1748b. Insurance of mortgages (a) Aggregate amount of insurance; termination date In order to assist in relieving the acute short- age and urgent need for family housing which now exists at or in areas adjacent to military in- stallations because of uncertainty as to the per- manency of such installations and to increase the supply of necessary family housing accom- modations for personnel at such installations, the Secretary is authorized, upon application of the mortgagee, to insure mortgages (including advances on such mortgages during construc- tion) which are eligible for insurance as herein- after provided, and, upon such terms as the Sec- retary may prescribe, to make commitments for so insuring such mortgages prior to the date of their execution or disbursement thereon: Pro- vided, That the aggregate amount of principal obligations of all mortgages insured under this subchapter (except mortgages insured pursuant to the provisions of this subchapter in effect prior to August 11, 1955) shall not exceed $2,300,000,000: And provided further, That the limi- tation in section 1715h of this title shall not apply to this subchapter: And provided further, That no more mortgages shall be insured under this section after October 1, 1962, except pursu- ant to a commitment to insure before such date, and not more than twenty-eight thousand fam- ily housing units shall be contracted for after June 30, 1959, pursuant to any mortgage insured under this section after such date. (b) Eligibility for insurance To be eligible for insurance under this sub- chapter a mortgage shall meet the following conditions: (1) The mortgaged property shall be held by a mortgagor approved by the Secretary. The Secretary may, in his discretion, require such mortgagor to be regulated or restricted as to capital structure, and methods of operation. The Secretary may make such contracts with, and acquire for not to exceed $100 stock or in- terest in, any such mortgagor, as the Sec- retary may deem necessary to render effective such restriction or regulation. Such stock or interest shall be paid for out of the General In- surance Fund, and shall be redeemed by the mortgagor at par upon the termination of all obligations of the Secretary under the insur- ance. (2) The mortgaged property shall be designed for use for residential purposes by personnel of the armed services and situated at or near a military installation, and the Secretary of De- fense or his designee shall have certified that there is no intention, so far as can reasonably be foreseen, to substantially curtail the per- sonnel assigned or to be assigned to such in- stallation, and (i) shall have determined that for reasons of safety, security, or other essen- tial military requirements, it is necessary that the personnel involved reside in public quarters: Provided, however, That for the pur- poses of this subsection housing covered by a mortgage insured, or for which a commitment to insure has been issued, under this section prior to August 11, 1955, may be considered the same as available quarters, and (ii) with the approval of the Secretary, shall have deter- mined that adequate housing is not available for such personnel at reasonable rentals with- in reasonable commuting distance of the in- stallation and that the mortgaged property will not, so far as can reasonably be foreseen, substantially curtail occupancy in existing housing covered by mortgages insured under this chapter. The housing accommodations shall comply with such standards and condi- tions as the Secretary may prescribe to estab- lish the acceptability of such property for mortgage insurance, except that the certifi- cation of the Secretary of Defense or his des- ignee shall (for purposes of mortgage insur- ance under this subchapter) be conclusive evi- dence to the Secretary of the existence of the need for such housing. However, if the Sec- retary does not concur in the housing needs as certified by the Secretary of Defense, the Sec- retary may require the Secretary of Defense to guarantee the General Insurance Fund against loss with respect to the mortgage cov- ering such housing. There are authorized to be appropriated such sums as may be necessary to provide for payment to meet losses arising from such guaranty. (3) The mortgage shall involve a principal obligation in an amount— (A) not to exceed the amount which the Secretary estimates will be the replacement Page 828 TITLE 12—BANKS AND BANKING § 1748b cost of the property or project when the pro- posed improvements are completed (the cost of the property or project as such term is used in this paragraph may include the cost of the land, the physical improvements, and utilities within the boundaries of the prop- erty or project); (B) not to exceed an average of $16,500 per family unit for such part of such property or project (including ranges, refrigerators, shades, screens, and fixtures) as may be at- tributable to dwelling use: Provided, That the replacement cost of the property or project as determined by the Secretary, in- cluding the estimated value of any usable utilities within the boundaries of the prop- erty or project where owned by the United States and not provided for out of the pro- ceeds of the mortgage, shall not exceed an average of $16,500 per family unit: Provided further, That should the financing of housing to be constructed pursuant to a single invi- tation for bids be accomplished by two or more mortgages, the principal obligation of any single mortgage may exceed an average of $16,500 per family unit if the sum of the principal obligations of all mortgages for such housing does not exceed an average of $16,500 per family unit: And provided further, That subject to the limitations of this para- graph no family unit included in any mort- gaged property shall be contracted for after June 8, 1960 if the cost of such unit exceeds $19,800; and (C) not to exceed the bid of the eligible bidder with respect to the property or proj- ect under section 1594 of title 42. The mortgage shall provide for complete amor- tization by periodic payments within such terms as the Secretary shall prescribe, but not to ex- ceed thirty years from the beginning of amorti- zation of the mortgage, and shall bear interest (exclusive of premium charges for insurance) as not to exceed 41⁄2 per centum per annum of the amount of the principal obligation outstanding at any time. The Secretary may consent to the release of a part or parts of the mortgaged prop- erty from the lien of the mortgage upon such terms and conditions as he may prescribe and the mortgage may provide for such release. The property or project may include such non- dwelling facilities as the Secretary deems ade- quate to serve the occupants. (c) Premium charges The Secretary is authorized to fix a premium charge for the insurance of mortgages under this subchapter but in the case of any mortgage such charge shall not be less than an amount equiva- lent to one-half of 1 per centum per annum nor more than an amount equivalent to 11⁄2 per cen- tum per annum of the amount of the principal obligation of the mortgage outstanding at any time, without taking into account delinquent payments or prepayments. Such premium charges shall be payable by the mortgagee, ei- ther in cash, or in debentures issued by the Sec- retary under this subchapter at par plus accrued interest, in such manner as may be prescribed by the Secretary: Provided, That the Secretary may require the payment of one or more such premium charges at the time the mortgage is in- sured, at such discount rate as he may prescribe not in excess of the interest rate specified in the mortgage. If the Secretary finds, upon the pres- entation of a mortgage for insurance and the tender of the initial premium charge and such other charges as the Secretary may require, that the mortgage complies with the provisions of this subchapter, such mortgage may be ac- cepted for insurance by endorsement or other- wise as the Secretary may prescribe. In the event that the principal obligation of any mort- gage accepted for insurance under this sub- chapter is paid in full prior to the maturity date, the Secretary is authorized to refund to the mortgagee for the account of the mortgagor all, or such portion as he shall determine to be equitable, of the current unearned premium charges theretofore paid. The Secretary may re- duce the payment of premiums provided for herein. The Secretary is further authorized to reduce the amount of the premium charge below one-half of 1 per centum per annum with respect to any mortgage on property acquired by the Secretary of Defense or his designee if the mort- gage is insured pursuant to the provisions of this subchapter as in effect prior to August 11, 1955. (d) Default by mortgagor; rights of mortgagee The failure of the mortgagor to make any pay- ment due under or provided to be paid by the terms of a mortgage insured under this sub- chapter shall be considered a default under such mortgage, and, if such default continues for a period of thirty days, the mortgagee shall be en- titled to receive the benefits of the insurance as hereinafter provided, upon assignment, transfer, and delivery to the Secretary, within a period and in accordance with rules and regulations to be prescribed by the Secretary of (1) all rights and interest arising under the mortgage so in default; (2) all claims of the mortgagee against the mortgagor or others, arising out of the mortgage transactions; (3) all policies of title or other insurance or surety bonds or other guaran- ties and any and all claims thereunder; (4) any balance of the mortgage loan not advanced to the mortgagor; (5) any cash or property held by the mortgagee, or to which it is entitled, as de- posits made for the account of the mortgagor and which have not been applied in reduction of the principal of the mortgage indebtedness; and (6) all records, documents, books, papers, and ac- counts relating to the mortgage transaction. Upon such assignment, transfer, and delivery, the obligation of the mortgagee to pay the pre- mium charges for mortgage insurance shall cease, and the Secretary shall, subject to the cash adjustment provided for in subsection (e) of this section, issue to the mortgagee debentures having a total face value equal to the value of the mortgage, and a certificate of claim as here- inafter provided. For the purposes of this sub- section, the value of the mortgage shall be de- termined in accordance with rules and regula- tions prescribed by the Secretary, by adding to the amount of the original principal obligation of the mortgage which was unpaid on the date of default, the amount the mortgagee may have paid for (A) taxes, special assessments, and Page 829 TITLE 12—BANKS AND BANKING § 1748b water rates, which are liens prior to the mort- gage; (B) insurance on the property; and (C) rea- sonable expenses for the completion and preser- vation of the property and any mortgage insur- ance premiums paid after default; less the sum of (i) any amount received on account of the mortgage after such date; and (ii) any net in- come received by the mortgagee from the prop- erty after such date. (e) Debentures; issuance; form and denomination Debentures issued under this subchapter shall be in such form and denominations in multiples of $50, shall be subject to such terms and condi- tions, and shall include such provisions for re- demption, if any, as may be prescribed by the Secretary, with the approval of the Secretary of the Treasury, and may be in coupon or reg- istered form. Any difference between the value of the mortgage determined as herein provided and the aggregate face value of the debentures issued, not to exceed $50, shall be adjusted by the payment of cash by the Secretary to the mortgagee from the General Insurance Fund. (f) Debentures; execution; signature; negotia- bility; interest rate; tax exemption; guar- antee Debentures issued under this subchapter shall be executed in the name of the General Insur- ance Fund as obligor, shall be signed by the Sec- retary, by either his written or engraved signa- ture, and shall be negotiable. All such deben- tures shall be dated as of the date of default as determined in accordance with subsection (d) of this section, and shall bear interest from such date at a rate established by the Secretary pur- suant to section 1715o of this title, payable semi- annually on the 1st day of January and the 1st day of July of each year, and shall mature twen- ty years after the date thereof. Such debentures shall be exempt, both as to principal and inter- est, from all taxation (except surtaxes, estate, inheritance, and gift taxes) now or hereafter im- posed by any Territory, dependency, or posses- sion of the United States or by the District of Columbia, or by any State, county, munici- pality, or local taxing authority. They shall be paid out of the General Insurance Fund, which shall be primarily liable therefor, and they shall be fully and unconditionally guaranteed as to principal and interest by the United States, and such guaranty shall be expressed on the face of the debentures. In the event the General Insur- ance Fund fails to pay upon demand, when due, the principal of or interest on any debentures so guaranteed, the Secretary of the Treasury shall pay to the holders the amount thereof which is authorized to be appropriated, and thereupon to the extent of the amount so paid the Secretary of the Treasury shall succeed to all the rights of the holders of such debentures. (g) Claim certificates The certificate of claim issued by the Sec- retary to any mortgagee in connection with the insurance of mortgages under this subchapter shall be for an amount determined in accordance with subsections (e) and (f) of section 1739 of this title, except that any amount remaining after the payment of the full amount under the cer- tificate of claim shall be retained by the Sec- retary and credited to the General Insurance Fund. (h) Laws applicable The provisions of section 1713(k) and (l) of this title shall be applicable to mortgages insured under this subchapter and to property acquired by the Secretary hereunder, except that as ap- plied to such mortgages and property, the ref- erence in section 1713(k) of this title to sub- section (g) shall be construed to refer to sub- section (d) of this section. (i) Secretary’s additional powers to insure cer- tain mortgages The Secretary shall also have power to insure under this subchapter or subchapter II any mortgage executed in connection with the sale by him of any property acquired under this sub- chapter without regard to any limit as to eligi- bility, time or aggregate amount contained in this subchapter or subchapter II. (j) Conclusiveness and validity of insurance con- tract Any contract of insurance executed by the Secretary under this subchapter shall be conclu- sive evidence of the eligibility of the mortgage for insurance and the validity of any contract of insurance so executed shall be incontestable in the hands of an approved mortgagee from the date of the execution of such contract, except for fraud or misrepresentation on the part of such approved mortgagee. (k) Certification as to overtime wages paid to la- borers and mechanics The Secretary shall not insure any mortgage under this section unless the principal con- tractor or contractors engaged in the construc- tion of the project involved file a certificate or certificates (at such times, in the course of con- struction or otherwise, as the Secretary may prescribe) certifying that the laborers and me- chanics employed in the construction of such project have been paid not less than one and one-half times the regular rate of pay for em- ployment in excess of eight hours in any one day or in excess of forty hours in any one week. (June 27, 1934, ch. 847, title VIII, § 803, as added Aug. 8, 1949, ch. 403, § 1, 63 Stat. 571; amended Sept. 1, 1951, ch. 378, title VI, § 601(a)–(c), 65 Stat. 312; June 30, 1953, ch. 170, § 10, 67 Stat. 124; June 29, 1954, ch. 410, § 1(2), 68 Stat. 320; Aug. 2, 1954, ch. 649, title I, §§ 112(c), 128(a), 130, 68 Stat. 593, 609; June 30, 1955, ch. 251, § 1(2), 69 Stat. 225; Aug. 11, 1955, ch. 783, title IV, § 401, 69 Stat. 647; Aug. 7, 1956, ch. 1029, title V, §§ 502–506(a), 70 Stat. 1109, 1110; Pub. L. 85–104, title I, § 108(c), title V, §§ 501, 502, July 12, 1957, 71 Stat. 297, 303; Pub. L. 85–364, § 3(b), Apr. 1, 1958, 72 Stat. 73; Pub. L. 86–149, title IV, § 414(a), Aug. 10, 1959, 73 Stat. 322; Pub. L. 86–372, title VII, § 701, Sept. 23, 1959, 73 Stat. 682; Pub. L. 86–500, title V, § 507(a), (c), June 8, 1960, 74 Stat. 185, 186; Pub. L. 87–57, title VI, § 607(a), June 27, 1961, 75 Stat. 111; Pub. L. 87–70, title VI, § 604(d), June 30, 1961, 75 Stat. 177; Pub. L. 87–623, § 1, Aug. 31, 1962, 76 Stat. 418; Pub. L. 89–117, title XI, § 1108(u), Aug. 10, 1965, 79 Stat. 506; Pub. L. 90–19, § 1(a)(3), (p), May 25, 1967, 81 Stat. 17, 19; Pub. L. 96–470, title I, § 107(b), Oct. 19, 1980, 94 Stat. 2238.) Page 830 TITLE 12—BANKS AND BANKING § 1748b Editorial Notes REFERENCES IN TEXT The General Insurance Fund, referred to in text, was established by section 1735c of this title. AMENDMENTS 1980—Subsec. (b)(2). Pub. L. 96–470 struck out provi- sion requiring the Secretary to report to the Commit- tees on Banking and Currency of the Senate and the House of Representatives each instance in which he has required the Secretary of Defense to guarantee the General Insurance Fund and the reasons therefor. 1967—Pub. L. 90–19, § 1(a)(3), substituted ‘‘Secretary’’ for ‘‘Commissioner’’ wherever appearing in subsecs. (a), (b)(1), (2), (3)(A), (B), following (C), and (c) to (k). Subsec. (b)(2). Pub. L. 90–19, § 1(p)(1)–(4), substituted ‘‘Secretary of Defense’’ for ‘‘Secretary’’ in first, third, and fourth sentences. 1965—Subsecs. (b)(1), (b)(2), (e), (f), (g). Pub. L. 89–117, § 1108(u)(1), substituted ‘‘General Insurance Fund’’ for ‘‘Armed Services Housing Mortgage Insurance Fund’’ wherever appearing. Subsec. (h). Pub. L. 89–117, § 1108(u)(2), struck out pro- vision that, as applied to mortgages insured under this subchapter and to property acquired by the Commis- sioner hereunder, reference in subsecs. (k) and (l) of section 1713 of this title to the ‘‘Housing Fund’’ shall be construed to refer to the ‘‘Armed Services Housing Mortgage Insurance Fund’’. 1962—Subsec. (a). Pub. L. 87–623 substituted ‘‘mort- gages shall be insured under this section after October 1, 1962’’ for ‘‘mortgages shall be insured under this sub- chapter after October 1, 1962’’. 1961—Subsec. (a). Pub. L. 87–70 made amendment identical to that made by Pub. L. 87–57. Pub. L. 87–57 substituted ‘‘October 1, 1962’’ for ‘‘Octo- ber 1, 1961’’, and ‘‘twenty-eight thousand family units’’ for ‘‘twenty-five thousand family housing units’’. 1960—Subsec. (a). Pub. L. 86–500, § 507(a), substituted ‘‘twenty-five thousand family housing units’’ for ‘‘twenty thousand family housing units’’. Subsec. (b)(3). Pub. L. 86–500, § 507(c), inserted proviso prohibiting, subject to the limitations of par. (B), the contracting for any family unit included in any mort- gaged property after June 8, 1960, if the cost of the unit exceeds $19,800. 1959—Subsec. (a). Pub. L. 86–372, § 701(a), substituted ‘‘October 1, 1961’’ for ‘‘September 30, 1960’’. Pub. L. 86–149 inserted provisions in subsec. (a) to prohibit insurance of mortgages under this subchapter after Sept. 30, 1960, and to limit the number of housing units which may be contracted for after June 30, 1959 to not more than 20,000. Subsec. (b)(3). Pub. L. 86–372, § 701(b), (c), substituted ‘‘but not to exceed thirty years from the beginning of amortization of the mortgage’’ for ‘‘have a maturity of not to exceed twenty-five years’’, and inserted provi- sions authorizing the property or project to include such nondwelling facilities as the Commission deems adequate to serve the occupants. Subsec. (c). Pub. L. 86–372, § 701(d), authorized the Commissioner to reduce the amount of the premium charge below one-half of 1 per centum per annum with respect to any mortgage on property acquired by the Secretary of Defense or his designee if the mortgage is insured pursuant to the provisions of this subchapter as in effect prior to August 11, 1955. Subsec. (k). Pub. L. 86–372, § 701(e), added subsec. (k). 1958—Subsec. (b). Pub. L. 85–364 increased the max- imum amount of interest from 4 to 41⁄2 per centum per annum. 1957—Subsec. (a). Pub. L. 85–104, § 501, substituted ‘‘June 30, 1959’’ for ‘‘June 30, 1958’’. Subsec. (b)(3)(B). Pub. L. 85–104, § 502, inserted proviso that should financing of housing to be constructed pur- suant to a single invitation for bids be accomplished by two or more mortgages, any single mortgage may ex- ceed an average of $16,500 if sum of all mortgages for such housing does not exceed average of $16,500. Subsec. (f). Pub. L. 85–104, § 108(c), substituted, in sec- ond sentence, ‘‘established by the Commissioner pursu- ant to section 1715o of this title’’ for ‘‘determined by the Commissioner with the approval of the Secretary of the Treasury, at the time the mortgage was accepted for insurance, but not to exceed 3 per centum per annum’’. 1956—Subsec. (a). Act Aug. 7, 1956, §§ 502, 503, inserted ‘‘(except mortgages insured pursuant to the provisions of this subchapter in effect prior to August 11, 1955)’’ and substituted ‘‘$2,300,000’’ for ‘‘$1,363,500,000’’ in first proviso and ‘‘June 30, 1958’’ for ‘‘September 30, 1956’’ in third proviso. Subsec. (b)(2). Act Aug. 7, 1956, § 504, required ap- proval of Commissioner, with determination of Sec- retary, that new units will not substantially curtail oc- cupancy in existing houses covered by mortgages in- sured under this chapter, and provided that if Commis- sioner requires Secretary to guarantee the armed serv- ices housing mortgages insurance fund from loss, he shall report to the Committees on Banking and Cur- rency of the Senate and House of Representatives each instance in which he required such a guarantee. Subsec. (b)(3)(B). Act Aug. 7, 1956, § 505, substituted ‘‘$16,500’’ for ‘‘$13,500’’ in two places, and inserted ‘‘(in- cluding ranges, refrigerators, shades, screens, and fix- tures)’’. Subsec. (b)(3)(C). Act Aug. 7, 1956, § 506(a), substituted ‘‘eligible bidder with respect to’’ for ‘‘eligible builder of’’. 1955—Subsec. (a). Act Aug. 11, 1955, increased author- ization from $500,000,000 to $1,363,500,000, and extended from June 30, 1955, to September 30, 1956, period within which mortgages can be insured. Act June 30, 1955, extended termination date, with re- spect to authority to insure, from June 30, 1955, to July 31, 1955. Subsec. (b). Act Aug. 11, 1955, authorized issuance of insurance for units necessary for reasons of safety, se- curity, or other essential military requirements, or where adequate housing is not available at reasonable rentals within reasonable commuting distance, limited the amount of the mortgage to not more than the re- placement cost of the property or project, restricted the amount of the mortgage to not more than an aver- age of $13,500 for a family unit, and required the mort- gage to mature in not more than 25 years. Subsec. (c). Act Aug. 11, 1955, struck out authoriza- tion of Commissioner to require payment by mortgagee of an adjusted premium charge in event that principal obligation of mortgage is paid in full prior to maturity date. Subsec. (d). Act Aug. 11, 1955, struck out provisions which authorized mortgagee to proceed to foreclose mortgage in event of a default, and which granted mortgagee right to elect benefits of insurance when the United States acquires, or commences condemnation proceedings to acquire, all or a substantial part, of mortgaged property. Subsecs. (e) to (h). Act Aug. 11, 1955, substituted ‘‘Armed Services Housing Mortgage Insurance Fund’’ for ‘‘Military Housing Insurance Fund,’’ wherever ap- pearing. Subsec. (i). Act Aug. 11, 1955, struck out the power of the Commissioner to insure under subchapter VI of this chapter. Subsec. (j). Act Aug. 11, 1955, reenacted provisions without change. Subsec. (k). Act Aug. 11, 1955, struck out provisions which authorized utilization of the powers of the Fed- eral National Mortgage Association and of any other Federal corporation or other Federal agency to pur- chase, service, or sell any mortgages, or partial inter- est therein. 1954—Subsec. (a). Acts Aug. 2, 1954, § 128(a), and June 29, 1954, extended termination date, with respect to au- thority to insure, from July 31, 1954, to June 30, 1955, and from July 1, 1954, to July 31, 1954, respectively. Subsec. (b). Act Aug. 2, 1954, § 130, in par. immediately following subpar. (C) of par. (3) of the subsection, sub- Page 831 TITLE 12—BANKS AND BANKING § 1748g stituted the requirement that the mortgagor shall enter into the agreement required by section 1715r of this title for former provisions relating to certification of builders’ costs, the certifications now being pre- scribed into section 1715r. Subsec. (f). Act Aug. 2, 1954, § 112(c), in second sen- tence, substituted a twenty-year period for ten-year pe- riod, with respect to the maturity of debentures. 1953—Subsec. (a). Act June 30, 1953, § 10(a), in second proviso substituted ‘‘July 1, 1954’’ for ‘‘July 1, 1953’’. Subsec. (b). Act June 30, 1953, § 10(b), (c), inserted par. commencing ‘‘The mortgagor shall agree’’; and, in first sentence of par. commencing ‘‘The mortgage shall pro- vide’’, substituted ‘‘41⁄2 per centum’’ for ‘‘4 per cen- tum’’. 1951—Subsec. (a). Act Sept. 1, 1951, § 601(a), sub- stituted ‘‘July 1, 1953’’ for ‘‘July 1, 1951’’ in second pro- viso. Subsec. (b)(3)(C). Act Sept. 1, 1951, § 601(b), inserted proviso. Subsec. (d). Act Sept. 1, 1951, § 601(c), inserted ref- erence to the Atomic Energy Commission in last sen- tence. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1954 AMENDMENT Amendment by section 112(c) of act Aug. 2, 1954, as not applicable in any case where the mortgage involved was insured or the commitment for such insurance was issued prior to Aug. 2, 1954, see section 112(e) of that act, set out as a note under section 1710 of this title. EFFECTIVE DATE OF 1951 AMENDMENT Act Sept. 1, 1951, ch. 378, § 601(a), 65 Stat. 312, provided that the amendment made by that section is effective July 1, 1951. § 1748c. Repealed. Pub. L. 89–117, title XI, § 1108(aa), Aug. 10, 1965, 79 Stat. 507 Section, act June 27, 1934, ch. 847, title VIII, § 804, as added Aug. 8, 1949, ch. 403, § 1, 63 Stat. 575; amended Aug. 11, 1955, ch. 783, title IV, § 401, 69 Stat. 650, provided for disposition and use of excess moneys in Armed Services Housing Mortgage Insurance Fund, issue and cancellation of debentures, and receipt and payment of credits and charges. § 1748d. Lease of property; terms and conditions Whenever the Secretary of the Army, Navy, or Air Force determines that it is necessary to lease any land held by the United States on or near a military installation to effectuate the purposes of this subchapter, he may lease such land upon such terms and conditions as will, in his opinion, best serve the national interest. The authority conferred by this section shall be in addition to and not in derogation of any other power or authority of the Secretary of the Army, Navy, or Air Force. (June 27, 1934, ch. 847, title VIII, § 805, as added Aug. 8, 1949, ch. 403, § 1, 63 Stat. 576; amended Aug. 11, 1955, ch. 783, title IV, § 401, 69 Stat. 651.) Editorial Notes AMENDMENTS 1955—Act Aug. 11, 1955, struck out specific references to sections authorizing leases of property, and struck out the power to sell, transfer, and convey real prop- erty. § 1748e. Mortgages on property in Alaska The second sentence of section 1715d of this title, as amended, relating to housing in the State of Alaska, shall not apply to mortgages insured under this subchapter on property in said State. (June 27, 1934, ch. 847, title VIII, § 806, as added Aug. 8, 1949, ch. 403, § 1, 63 Stat. 576; amended Aug. 11, 1955, ch. 783, title IV, § 401, 69 Stat. 651; Pub. L. 86–70, § 10(d), June 25, 1959, 73 Stat. 143.) Editorial Notes REFERENCES IN TEXT Section 1715d of this title, referred to in text, was in the original ‘‘section 214 of the National Housing Act, as amended’’. Section 214 of that Act was classified originally to section 1715d of this title and to section 484d of Title 48, Territories and Insular Possessions. Section 484d of Title 48 has been omitted from the Code. AMENDMENTS 1959—Pub. L. 86–70 substituted ‘‘State’’ for ‘‘Terri- tory’’ in two places. 1955—Act Aug. 11, 1955, reenacted section without change. § 1748f. Rules and regulations The Secretary is authorized and directed to make such rules and regulations as may be nec- essary to carry out the provisions of this sub- chapter. (June 27, 1934, ch. 847, title VIII, § 807, as added Aug. 8, 1949, ch. 403, § 1, 63 Stat. 576; amended Aug. 11, 1955, ch. 783, title IV, § 401, 69 Stat. 651; Pub. L. 90–19, § 1(a)(3), (q), May 25, 1967, 81 Stat. 17, 19.) Editorial Notes AMENDMENTS 1967—Pub. L. 90–19 substituted ‘‘Secretary’’ for ‘‘Com- missioner’’ and struck out authorization for appoint- ment by the Commissioner of a Special Assistant for Armed Services Housing for Mortgage Insurance with an adequate staff to expedite operations and eliminate administrative obstacles to this subchapter, respec- tively. 1955—Act Aug. 11, 1955, amended section generally, striking out provisions which stated that nothing should be construed as exempting property from tax- ation, and inserting provisions authorizing the Com- missioner to make rules and regulations and to appoint a Special Assistant. § 1748g. Cost certification Except in the case of mortgages on multi- family rental housing projects insured under section 1748h–2 of this title, the cost certifi- cation required under section 1715r of this title shall not be required with respect to mortgages insured under the provisions of this subchapter. (June 27, 1934, ch. 847, title VIII, § 808, as added Aug. 8, 1949, ch. 403, § 1, 63 Stat. 576; amended Aug. 11, 1955, ch. 783, title IV, § 401, 69 Stat. 651; Pub. L. 86–372, title VII, § 704(b), Sept. 23, 1959, 73 Stat. 686.) Editorial Notes AMENDMENTS 1959—Pub. L. 86–372 substituted ‘‘Except in the case of mortgages on multifamily rental housing projects in- sured under section 1748h–2 of this title, the’’ for ‘‘The’’.