§ 42–2851.03. Notice required upon opting out; inspection of property; maintenance of contract.

(a) The owner of a federally-assisted housing accommodation who intends not to continue participation in the federal assistance program shall transmit to the Mayor, the Director of the Department of Housing and Community Development, the Director of the Department of Consumer and Regulatory Affairs, and the Executive Director of the District of Columbia Housing Authority any notice regarding the intent of the owner not to continue participation that the owner is required to provide to tenants of the housing accommodation or a federal agency under federal law or regulation.

(b)(1) One year before participation in the federal assistance program would expire absent the owner’s extension or renewal of participation in the program, the owner of a federally-assisted housing accommodation shall transmit to the Mayor, the Director of the Department of Housing and Community Development, the Director of the Department of Consumer and Regulatory Affairs, and the Executive Director of the District of Columbia Housing Authority a form, promulgated by the Mayor, that shall provide notice of the pending expiration date.

(2) If the owner intends not to continue participation in the federal assistance program, through any means, including termination of a subsidy contract, termination of rental restrictions, or prepayment of a mortgage on an assisted housing development, the notice shall be sent to each assisted tenant household, the Mayor, the Director of the Department of Housing and Community Development, the Director of the Department of Consumer and Regulatory Affairs, and the Executive Director of the District of Columbia Housing Authority, and shall include the following information:

(A) A statement identifying the program under which assistance is provided and stating that the owner intends to terminate the subsidy contract or rental restrictions upon its expiration date, or the expiration date of any contract extension;

(B) In the event of prepayment, a statement identifying the program under which the mortgage is insured and stating that the owner intends to:

(i) Pay in full or refinance the federally insured or federally held mortgage indebtedness prior to its original maturity date; or

(ii) Voluntarily cancel the mortgage insurance;

(D) A statement of the possibility that the housing may remain in the federal program after the proposed date of the termination of the subsidy contract or prepayment if the owner elects to do so under the terms of the federal government’s offer;

(E) A statement that technical assistance may be available through the Department of Housing and Community Development and the address and phone number for that agency; and

(F) A statement containing information about available resources as the Mayor may by regulation require.

(c) An owner of a federally-assisted housing accommodation who does not continue, or intends not to continue, participation in the federal assistance program for the housing accommodation shall be deemed to have consented to reasonable inspection by the Mayor of the housing accommodation and any owner or housing accommodation report on file with United States Department of Housing and Urban Development.

(d) To the extent allowed by federal law, the owner of a federally-assisted housing accommodation that receives assistance pursuant to a HAP contract shall maintain a HAP contract in good standing during the notice period required by this section and during any period during which the Mayor may exercise a right to first refusal.

(e) The one-year notice provision of this section shall not be required with respect to any property which ceased to be a federally assisted housing accommodation prior to April 19, 2002.

(Apr. 19, 2002, D.C. Law 14-114, § 203, 49 DCR 1468; Nov. 13, 2003, D.C. Law 15-39, § 212(b), 50 DCR 5668; Mar. 13, 2004, D.C. Law 15-105, § 76, 51 DCR 881.)

Effect of Amendments

D.C. Law 15-39 added subsec. (e).

D.C. Law 15-105, in subsec. (d), validated a previously made technical correction.

Emergency Legislation

For temporary (90 day) amendment of section, see § 2(b) of the Housing Notice Emergency Amendment Act of 2003 (D.C. Act 15-22, February 24, 2003, 50 DCR 2135).

For temporary (90 day) amendment of section, see § 2(b) of Housing Notice Emergency Amendment Act of 2002 (D.C. Act 14-343, April 24, 2002, 49 DCR 4294).

Temporary Legislation

For temporary (225 day) amendment of section, see § 2(b) of Housing Notice Temporary Amendment Act of 2002 (D.C. Law 14-181, July 23, 2002, law notification 49 DCR 8275).

For temporary (225 day) amendment of section, see § 2(b) of Housing Notice Temporary Amendment Act of 2003 (D.C. Law 15-7, June 5, 2003, law notification 50 DCR 4871).