C.  Rental
Assistance Program



 



[§201H-121]  Purpose; findings and
determinations.  The legislature finds and declares that the health and
general welfare of the people of this State require that the people of this
State have safe and sanitary rental housing accommodations available at
affordable rents; that a grave shortage in the number of such accommodations
affordable by families and individuals of low- and moderate-income in the State
exists; and that it is essential that owners of rental housing accommodations
be provided with appropriate additional means to assist in reducing the cost of
rental housing accommodations to the people of this State.



The legislature further finds that the high
cost of infrastructure development and the obtaining of interim construction
financing are two of the greatest impediments to the production of affordable
rental housing in this State.  It is especially difficult for private nonprofit
and for-profit entities to participate in the development of affordable housing
due to the difficulty in amassing the capital necessary to plan and carry out a
project to completion.



It is the purpose of this subpart to:



(1)  Assist owners in maintaining rentals at levels
affordable to low- and moderate-income families and individuals by providing
owners with rental assistance payments which, together with rental payments
received from low- and moderate-income tenants, will provide owners with
limited but acceptable rates of return on their investments in rental housing
accommodations.  Assisting owners by entering into contracts with them to
provide for rental assistance payments is a valid public purpose and in the
public interest; and



(2)  Provide a funding source for interim construction
financing for the development of affordable rental housing by private nonprofit
and for-profit entities, as well as the corporation; provided that in allotting
this financing, the corporation shall give preference to qualified sponsors who
are private nonprofit and for-profit entities. [L 2006, c 180, pt of §4]