Collapse to view only § 3938. Annual report of corporation; audit of accounts

§ 3931. Congressional statement of purpose

The Congress finds that the volume of housing being produced for families and individuals of low or moderate income must be increased to meet the national goal of a decent home and a suitable living environment for every American family, and declares that it is the policy of the United States to encourage the widest possible participation by private enterprise in the provision of housing for low or moderate income families. The Congress has therefore determined that one or more private organizations should be created to encourage maximum participation by private investors in programs and projects to provide low and moderate income housing.

(Pub. L. 90–448, title IX, § 901, Aug. 1, 1968, 82 Stat. 547.)
§ 3932. Creation of corporations
(a) Authorization
(b) Creation of additional corporations
(c) Creation of corporations and organization of other partnerships, joint ventures, or associations by private persons
(Pub. L. 90–448, title IX, § 902, Aug. 1, 1968, 82 Stat. 547.)
§ 3933. Organization of corporation
(a) Appointment of incorporators; Chairman; initial board of directors
(b) Action by incorporators; filing articles of incorporation
(c) Initial offering of stock in corporation and of interests in partnership; terms of offering
(Pub. L. 90–448, title IX, § 903, Aug. 1, 1968, 82 Stat. 547.)
§ 3934. Board of Directors; membership; appointment; term

The corporation shall have a board of directors (hereinafter in this section referred to as the “board”), consisting of fifteen members. Three members of the board shall be appointed by the President of the United States, by and with the advice and consent of the Senate, effective on the date on which the other members are elected, and for terms of three years or until their successors have been appointed and have qualified, except that the first three members of the board so appointed shall continue in office for terms of one, two, and three years, respectively, and any member so appointed to fill a vacancy shall be appointed only for the unexpired term of the director whom he succeeds. Twelve members of the board shall be elected by the stockholders.

(Pub. L. 90–448, title IX, § 904, Aug. 1, 1968, 82 Stat. 547.)
§ 3935. Financing the corporation

The corporation shall have the power to create and issue the number of shares stated in its articles of incorporation. Such shares may be divided into one or more classes, any or all of which classes may consist of shares with par value or shares without par value, with such designations, preferences, voting powers, and special or relative rights and such limitations, restrictions, or qualifications thereof as shall be stated in the articles of incorporation. The articles of incorporation may limit or deny the voting power of the shares of any class.

(Pub. L. 90–448, title IX, § 905, Aug. 1, 1968, 82 Stat. 548.)
§ 3936. Purposes and powers of corporation
(a) Building, rehabilitation, acquisition, and financing of housing and related facilities for families and individuals of low or moderate income; acquisition and disposal of property; funds
In order to achieve the objectives and carry out the purposes of this chapter, the corporation is authorized to—
(1) plan, initiate, and carry out, pursuant to Federal programs or otherwise, the building, rehabilitation, acquisition, and financing of housing and related facilities primarily for the benefit of families and individuals of low or moderate income;
(2) buy, own, manage, lease, or otherwise acquire or dispose of property in connection with the developments, projects, or undertakings referred to in paragraph (1);
(3) provide such funds as may be necessary to accomplish the developments, projects, or undertakings referred to in paragraph (1); and
(4) for the purpose of generating income to support the building or rehabilitation of housing primarily for the benefit of families and individuals of low or moderate income (A) design, develop, manufacture and sell products and services for use in the construction, sale, or financing of housing, and (B) design and develop commercial, industrial, or retail facilities that are not directly related to housing, except that the development and preservation of housing for families and individuals of low or moderate income shall be the primary activity of the corporation.
(b) Authorization to enter into partnerships, limited partnerships, joint ventures, and other associations; manager or general partner of partnership, venture, or association; research and studies; technical assistance; loans or grants; hire or acceptance of services of consultants, experts, advisory boards and panels
Included in the activities authorized to the corporation for the accomplishment of the purposes indicated in subsection (a) of this section are, among others not specifically named—
(1) to enter into partnerships, limited partnerships, joint ventures, and other associations with individuals, corporations, and private and governmental agencies, organizations, and institutions;
(2) to act as manager or general partner of any such partnership, venture, or association;
(3) to conduct or contract for research and studies related to the development, demonstration, and evaluation of improved techniques and methods of constructing, rehabilitating, and maintaining housing;
(4) to provide technical assistance to nonprofit corporations, limited dividend corporations, and others with respect to the planning, refinancing, construction, rehabilitation, maintenance, and management of housing for low and moderate income families and individuals;
(5) to make loans or grants including grants of interests in housing and related facilities, to nonprofit corporations, limited dividend corporations, and others, in carrying out its activities under subsection (a) of this section; and
(6) to hire or accept the voluntary services of consultants, experts, advisory boards, and panels to aid the corporation in carrying out the purposes of this chapter.
(c) Exercise of powers conferred upon stock corporation by District of Columbia Business Corporation Act
(d) Labor standards
(e) Maximum combined outstanding equity commitment
(Pub. L. 90–448, title IX, § 906, Aug. 1, 1968, 82 Stat. 548; Pub. L. 98–181, title I [title IV, § 467], Nov. 30, 1983, 97 Stat. 1236; Pub. L. 98–479, title I, § 104(c)(1), (2), Oct. 17, 1984, 98 Stat. 2225.)
§ 3937. National housing partnership
(a) Formation of limited partnership; partnership agreement
(b) Applicability of other laws; legal status of limited partnership
(c) Authorization to enter into partnerships, limited partnerships, or joint ventures organized under State or local laws for purpose of engaging in low and moderate income housing developments, projects, or undertakings
(d) General partner; capital of partnership; contribution of partners
(e) Partnership agreement; participation in low and moderate income housing developments, projects, or undertakings; limitation on aggregate initial equity investment
(f) Partnership agreement; authorization for stockholders to become limited partners; inclusion of other limited partners; acquisition of assignor’s stock by assignee of limited partner; approval of substitution or addition of partnership member
(g) Liability of corporation as general partner; treatment of interest of limited partner in partnership
(h) Execution of certificate of partnership and amendments
(Pub. L. 90–448, title IX, § 907, Aug. 1, 1968, 82 Stat. 549.)
§ 3938. Annual report of corporation; audit of accounts
(a)
(1) The corporation shall submit an annual report to the President for transmittal to the Congress within six months after the end of its fiscal year. The report shall include a comprehensive and detailed report of the operations, activities, and financial condition of the corporation and the partnership under this chapter.
(2) The report shall contain a description of the activities undertaken under section 3936(a)(4) of this title, and shall specify, as a percentage of equity and in dollars, the extent of the corporation’s and the partnership’s investment in housing for the benefit of families and individuals of low or moderate income, the extent of the corporation’s and the partnership’s investment in other housing, and the extent of the corporation’s and the partnership’s activities which are undertaken under section 3936(a)(4) of this title.
(b) The accounts of the corporation and of the partnership shall be audited annually in accordance with generally accepted auditing standards by independent certified public accountants or independent licensed public accountants certified or licensed by a regulatory authority of a State or other political subdivision of the United States.
(Pub. L. 90–448, title IX, § 908, Aug. 1, 1968, 82 Stat. 550; Pub. L. 98–479, title I, § 104(c)(3), Oct. 17, 1984, 98 Stat. 2225.)
§ 3939. Applicability of antitrust laws

Nothing contained herein shall affect the applicability of the Federal antitrust laws to the activities of the corporation and the partnership created under this chapter and of the persons participating therein or in partnerships, limited partnerships, or joint ventures with either of them.

(Pub. L. 90–448, title IX, § 909, Aug. 1, 1968, 82 Stat. 550.)
§ 3940. Reservation of right to repeal, alter, or amend chapter

The right to repeal, alter, or amend this chapter at any time is expressly reserved.

(Pub. L. 90–448, title IX, § 910, Aug. 1, 1968, 82 Stat. 550.)
§ 3941. State or local taxation or regulation; access to judicial process

Nothing contained in this chapter shall preclude a State or other local jurisdiction from imposing, in accordance with the laws of such State or other local jurisdiction, any valid nondiscriminatory tax, obligation, or regulation on the partnership as a taxable and or legal entity, but no limited partner of the partnership not otherwise subject to taxation or regulation by or judicial process of a State or other local jurisdiction shall be subject to taxation or regulation by or subject to or denied access to judicial process of such State or other local jurisdiction, or be subject or denied access to any greater extent, because of activities of the corporation or partnership within such State or other local jurisdiction.

(Pub. L. 90–448, title IX, § 912, as added Pub. L. 91–351, title VIII, § 711, July 24, 1970, 84 Stat. 463.)