825 R.I. Code R. 825-RICR-30-00-1.3

Current through October 25, 2024

Section 825-RICR-30-00-1.3 - DEFINITIONS

A. "Act" means the Housing and Mortgage Finance Corporation Act more particularly set forth in R.I. Gen. Laws Chapter 42-55, as amended.

B. "Affiliated Person of a Housing Sponsor" means:

1. if the Housing Sponsor is a Partnership, any individual or corporate general partner or any limited partner which has an ownership interest of 25% or greater;

2. if the Housing Sponsor is a joint venture, each joint venturer, the general partners thereof and each limited partner of each joint venturer which has an ownership interest of 25% or greater;

3. if the Housing Sponsor is a corporation, any officer, director or shareholder owning 10% or greater of the voting stock issued and outstanding; and

4. if the Housing Sponsor is a trust, any trustee thereof or a beneficiary with a 25% or greater interest therein.

5. An "Affiliated Person of a Housing Sponsor" shall also mean any shareholder of a corporate general partner or joint venturer of a Housing Sponsor owning 10% or greater of the voting stock issued and outstanding of such corporation.

C. "Appraised Value" means the appraised value of a Development as determined by an independent certified real estate appraiser approved by the Corporation.

D. "Assisted Living Facility" means a multiple unit residential rental development (including a designated wing or section of such development) located in the State of Rhode Island, to be acquired, constructed, developed and/or rehabilitated by a Housing Sponsor, offering room, board and Services for the frail elderly and other persons requiring assistance with activities of daily living, such as bathing, dressing, grooming, ambulating, eating, toileting or other similar tasks.

E. "Board of Commissioners" or "Board" means the Board of Commissioners of the Corporation.

F. "Corporation" means the Rhode Island Housing and Mortgage Finance Corporation, a public corporation organized and existing under the Act.

G. "Deferred Maintenance" means needed maintenance of an ordinary or routine nature that could be, but has not been performed, which has a serious adverse effect on the use, value and/or useful life of the Housing Development. Deferred Maintenance, shall not include the failure to modernize equipment or fixtures in the Housing Development, if such equipment or fixtures are adequate to perform their intended function, and consistently operate as originally designed and installed, but in the case of Assisted Living Facilities, Deferred Maintenance does pertain to furniture, fixtures and equipment.

H. "Development" or "Housing Development" means a multifamily residential housing complex consisting of Rental and Low Income Rental Units to be acquired, constructed, developed and/or rehabilitated by a Housing Sponsor. A Development may be a multifamily residential housing complex portions of which are located on non-contiguous parcels of land; provided, however, that all parcels shall be located in the State of Rhode Island and shall be within one (1) mile radius of each other and, provided, further, that for Developments financed with tax-exempt bonds, housing complexes on noncontiguous parcels must meet the applicable 20-50 Test or the 40-60 Test for each parcel. Notwithstanding the foregoing, a Development also may be a mobile or manufactured home park located in the State of Rhode Island which meets the applicable 20-50 Test or 40-60 Test or an Assisted Living Facility.

I. "Economic Occupancy" means the gross rental income which would be received if the Housing Development were fully occupied.

J. "Equity" means the Equity of the Housing Sponsor in the Housing Development calculated in accordance with the Act and this Part.

K. "Existing Waiting List" means a list of eligible low and moderate income individuals or families who have applied to become tenants of the Housing Development upon the occurrence of a vacancy, which list is updated at least bi monthly and contains names of potential tenants to fill vacancies of units equal to at least one and one half (1.5) times the annual turn-over for the two (2) preceding years for the Housing Development.

L. "Federally Insured or Assisted Housing" means any:

1. low income housing units insured or assisted under §§221(d)(3) and 236 of the National Housing Act (12 U.S.C. § 1701 et seq.);

2. low income housing units produced with assistance under Section 8 of the United States Housing Act of 1937 (42 U.S.C. § 1401 et seq.) and

3. rural low income housing financed under § 515 of the Housing Act of 1949 (12 U.S.C. § 1715z).

M. "Funding Period" means any period during which the Corporation has requested and is reviewing Proposals for financing under the Program.

N. "Housing Sponsor" means mutual housing associations, nonprofit housing development corporations, limited equity housing cooperatives (all as defined in the Housing Trust Fund Legislation and hereinafter referred to as "Mutual Housing Association," "Nonprofit Housing Development Corporations" and "Limited Equity Housing Cooperatives"), as well as corporations, individuals, joint ventures, partnerships, limited partnerships, trusts, firms, associations, or other legal entitles or any combination thereof, whether organized for profit or not, qualified to own, construct, acquire, develop, produce, preserve or rehabilitate a Development. With respect to applications for construction loans to be funded from the Corporation's reserves, a "Housing Sponsor" shall also include municipal or local governments located in the State of Rhode Island, the State of Rhode Island, and state, municipal, and local public housing development and redevelopment authorities, agencies and corporations lawfully created and located in the State of Rhode Island.

O. "Housing Trust Fund Legislation" means R.I. Gen. Laws Chapter 42-55.1, as the same may be amended from time to time.

P. "Low Income Persons or Families" means persons or families whose income does not exceed the applicable percentages of the Area Median Gross Income as defined in the Tax Act at 26 U.S.C. § 142(d) and, with respect to Assisted Living Facilities, also means persons or families whose income does not exceed the 100-110 Test. Statistical data relating to Area median Gross Income of Low Income Persons or Families shall be made available to Housing Sponsors by Program Bulletin from time to time.

Q. "Low Income Rental Unit" means a Rental Unit which is rented or intended to be rented to Low Income Person or Families.

R. "Major Repairs or Replacements" mean repairs or replacements to the Housing Development which the Corporation estimates in the aggregate to equal or exceed Three Thousand Dollars or such larger amount as may be determined from time to time by Program Bulletin.

S. "Mortgage Loan" means a loan made or authorized by the Corporation to be made to a Housing Sponsor for the purpose of providing construction or permanent financing, or both, for a Development, upon the terms and conditions required by this Part. To the extent that a Mortgage Loan in the form of construction loan financing is provided from the Corporation's own reserves, permanent financing may be provided by a third party or parties.

T. "Operating Expenses" means all expenses, costs and fees incurred in the operation and maintenance of a Housing Development.

U. "Program Bulletin" means a bulletin issued by the Corporation implementing a section or sections of this Part. A Request for Proposals under § 1.5(A) of this Part may also constitute a Program Bulletin. Copies of all Program Bulletins shall be maintained by the Corporation at its principal office, and shall be available for inspection and copying during the Corporation's Regular Business Hours.

V. "Proposal" means a written application for the acquisition, construction, development, production, rehabilitation or preservation of a Development seeking financing under the Program.

W. "Rental Unit" means, except as provided in § 1.4(D) of this Part, a unit containing complete living, dining, cooking, sanitation and sleeping facilities to be rented to persons or families. For purposes in this Part, a Rental Unit also includes a space for a manufactured or mobile home, with appropriate water, utility and sanitation connections, located in a qualified mobile or manufactured home park.

X. "Regular Business Hours" means between the hours of 9:00 a.m. - 5:00 p.m. on Mondays through Fridays, except holidays.

Y. "Rhode Island Housing Trust Fund" or "Housing Trust Fund" means that certain fund created pursuant to the Housing Trust Fund Legislation, monies from which shall be used by the Corporation specifically for the purposes set forth in R.I. Gen. Laws § 42-55.1-3, as the same may be amended from time to time.

Z. "Services" means, with respect to an Assisted Living Facility, those supportive services to be provided to the residents of such Development. Services required to be offered by an Assisted Living Facility shall be established by Program Bulletin and may include, among other, two meals per day; housekeeping, maintenance, and laundry services; medical monitoring; service coordination and case management; 24-hour emergency response; and assistance with personal care needs.

AA. "Targeted Loan Fund" means those certain designated funds heretofore authorized by the Board of Commissioners, loans from which shall be made to encourage the development, construction and/or rehabilitation of Low Income Rental Units. The Board of Commissioners may at any time and from time to time supplement the Targeted Loan Fund with additional funds or withdraw funds previously committed to the Targeted Loan Fund.

BB. "Targeted Loan Fund Loan" means a loan from the Corporation's Targeted Loan Fund. In no event, shall the principal amount of a Targeted Loan Fund Loan exceed such amount as the Corporation may establish from time to time.

CC. "Tax Act" means the Internal Revenue Code of 1986, as amended, and the rules and regulations promulgated thereunder.

DD. "Total Development Cost" means the total cost of a Development, as approved by the Corporation.

825 R.I. Code R. 825-RICR-30-00-1.3