Mortgage and Loan Insurance Programs Under the National Housing Act-Debenture Interest Rates, 4359-4360 [2012-1818]

Download as PDF Federal Register / Vol. 77, No. 18 / Friday, January 27, 2012 / Notices DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT [Docket No. FR–5614–N–01] Mortgage and Loan Insurance Programs Under the National Housing Act—Debenture Interest Rates Office of the Assistant Secretary for Housing—Federal Housing Commissioner, HUD. ACTION: Notice. AGENCY: This notice announces changes in the interest rates to be paid on debentures issued with respect to a loan or mortgage insured by the Federal Housing Administration (FHA) under the provisions of the National Housing Act (the Act). The interest rate for debentures issued under section 221(g)(4) of the Act during the 6-month period beginning January 1, 2012, is 17⁄8 percent. The interest rate for debentures issued under any other provision of the Act is the rate in effect on the date that the commitment to insure the loan or mortgage was issued, or the date that the loan or mortgage was endorsed (or initially endorsed if there are two or more endorsements) for insurance, whichever rate is higher. The interest rate for debentures issued under these other provisions with respect to a loan or mortgage committed or endorsed during the 6-month period beginning January 1, 2012, is 27⁄8 percent. However, as a result of an amendment to section 224 of the Act, if an insurance claim relating to a mortgage insured under sections 203 or 234 of the Act and endorsed for insurance after January 23, 2004, is paid in cash, the debenture interest rate for purposes of calculating a claim shall be the monthly average yield, for the month in which the default on the mortgage occurred, on United States Treasury Securities adjusted to a constant maturity of 10 years. SUMMARY: tkelley on DSK3SPTVN1PROD with NOTICES FOR FURTHER INFORMATION CONTACT: Yong Sun, Department of Housing and Urban Development, 451 Seventh Street SW., Room 5148, Washington, DC 20410–8000; telephone (202) 402–4778 (this is not a toll-free number). Individuals with speech or hearing impairments may access this number through TTY by calling the toll-free Federal Relay Service at (800) 877–8339. SUPPLEMENTARY INFORMATION: Section 224 of the National Housing Act (12 U.S.C. 1715o) provides that debentures issued under the Act with respect to an insured loan or mortgage (except for debentures issued pursuant to section 221(g)(4) of the Act) will bear interest at the rate in effect on the date the VerDate Mar<15>2010 18:14 Jan 26, 2012 Jkt 226001 commitment to insure the loan or mortgage was issued, or the date the loan or mortgage was endorsed (or initially endorsed if there are two or more endorsements) for insurance, whichever rate is higher. This provision is implemented in HUD’s regulations at 24 CFR 203.405, 203.479, 207.259(e)(6), and 220.830. These regulatory provisions state that the applicable rates of interest will be published twice each year as a notice in the Federal Register. Section 224 further provides that the interest rate on these debentures will be set from time to time by the Secretary of HUD, with the approval of the Secretary of the Treasury, in an amount not in excess of the annual interest rate determined by the Secretary of the Treasury pursuant to a statutory formula based on the average yield of all outstanding marketable Treasury obligations of maturities of 15 or more years. The Secretary of the Treasury has determined, in accordance with the provisions of section 224, that (1) the statutory maximum interest rate for the period beginning January 1, 2012, is 27⁄8 percent; and (2) has approved the establishment of the debenture interest rate by the Secretary of HUD at 27⁄8 percent for the 6-month period beginning January 1, 2012. This interest rate will be the rate borne by debentures issued with respect to any insured loan or mortgage (except for debentures issued pursuant to section 221(g)(4)) with insurance commitment or endorsement date (as applicable) within the first 6 months of 2012. For convenience of reference, HUD is publishing the following chart of debenture interest rates applicable to mortgages committed or endorsed since January 1, 1980: Effective interest rate on or after prior to 91⁄2 ............... 97⁄8 ............... 113⁄4 ............. 127⁄8 ............. 123⁄4 ............. 101⁄4 ............. 103⁄8 ............. 111⁄2 ............. 133⁄8 ............. 115⁄8 ............. 111⁄8 ............. 101⁄4 ............. 81⁄4 ............... 8 ................... 9 ................... 91⁄8 ............... 93⁄8 ............... 91⁄4 ............... 9 ................... 81⁄8 ............... 9 ................... Jan. 1, 1980 July 1, 1980 Jan. 1, 1981 July 1, 1981 Jan. 1, 1982 Jan. 1, 1983 July 1, 1983 Jan. 1, 1984 July 1, 1984 Jan. 1, 1985 July 1, 1985 Jan. 1, 1986 July 1, 1986 Jan. 1, 1987 July 1, 1987 Jan. 1, 1988 July 1, 1988 Jan. 1, 1989 July 1, 1989 Jan. 1, 1990 July 1, 1990 July 1, 1980. Jan. 1, 1981. July 1, 1981. Jan. 1, 1982. Jan. 1, 1983. July 1, 1983. Jan. 1, 1984. July 1, 1984. Jan. 1, 1985. July 1, 1985. Jan. 1, 1986. July 1, 1986. Jan. 1. 1987. July 1, 1987. Jan. 1, 1988. July 1, 1988. Jan. 1, 1989. July 1, 1989. Jan. 1, 1990. July 1, 1990. Jan. 1, 1991. PO 00000 Frm 00085 Fmt 4703 Sfmt 4703 4359 Effective interest rate on or after prior to 83⁄4 ............... 81⁄2 ............... 8 ................... 8 ................... 73⁄4 ............... 7 ................... 65⁄8 ............... 73⁄4 ............... 83⁄8 ............... 71⁄4 ............... 61⁄2 ............... 71⁄4 ............... 63⁄4 ............... 71⁄8 ............... 63⁄8 ............... 61⁄8 ............... 51⁄2 ............... 61⁄8 ............... 61⁄2 ............... 61⁄2 ............... 6 ................... 57⁄8 ............... 51⁄4 ............... 53⁄4 ............... 5 ................... 41⁄2 ............... 51⁄8 ............... 51⁄2 ............... 47⁄8 ............... 41⁄2 ............... 47⁄8 ............... 53⁄8 ............... 43⁄4 ............... 5 ................... 41⁄2 ............... 45⁄8 ............... 41⁄8 ............... 41⁄8 ............... 41⁄4 ............... 41⁄8 ............... 37⁄8 ............... 41⁄8 ............... 27⁄8 ............... Jan. 1, 1991 July 1, 1991 Jan. 1, 1992 July 1, 1992 Jan. 1, 1993 July 1, 1993 Jan. 1, 1994 July 1, 1994 Jan. 1, 1995 July 1, 1995 Jan. 1, 1996 July 1, 1996 Jan. 1, 1997 July 1, 1997 Jan. 1, 1998 July 1, 1998 Jan. 1, 1999 July 1, 1999 Jan. 1, 2000 July 1, 2000 Jan. 1, 2001 July 1, 2001 Jan. 1, 2002 July 1, 2002 Jan. 1, 2003 July 1, 2003 Jan. 1, 2004 July 1, 2004 Jan. 1, 2005 July 1, 2005 Jan. 1, 2006 July 1, 2006 Jan. 1, 2007 July 1, 2007 Jan. 1, 2008 July 1, 2008 Jan. 1, 2009 July 1, 2009 Jan. 1, 2010 July 1, 2010 Jan. 1, 2011 July 1, 2011 Jan. 1, 2012 July 1, 1991. Jan. 1, 1992. July 1, 1992. Jan. 1, 1993. July 1, 1993. Jan. 1, 1994. July 1, 1994. Jan. 1, 1995. July 1, 1995. Jan. 1, 1996. July 1, 1996. Jan. 1, 1997. July 1, 1997. Jan. 1, 1998. July 1, 1998. Jan. 1, 1999. July 1, 1999. Jan. 1, 2000. July 1, 2000. Jan. 1, 2001. July 1, 2001. Jan. 1, 2002. July 1, 2002. Jan. 1, 2003. July 1, 2003. Jan. 1, 2004. July 1, 2004 Jan. 1, 2005. July 1, 2005. Jan. 1, 2006. July 1, 2006. Jan. 1, 2007. July 1, 2007. Jan. 1, 2008. July 1, 2008. Jan. 1, 2009. July 1, 2009. Jan. 1, 2010. July 1, 2010. Jan. 1, 2011. July 1, 2011. Jan. 1, 2012. July 1, 2012. Section 215 of Division G, Title II of Public Law 108–199, enacted January 23, 2004 (HUD’s 2004 Appropriations Act) amended section 224 of the Act, to change the debenture interest rate for purposes of calculating certain insurance claim payments made in cash. Therefore, for all claims paid in cash on mortgages insured under section 203 or 234 of the National Housing Act and endorsed for insurance after January 23, 2004, the debenture interest rate will be the monthly average yield, for the month in which the default on the mortgage occurred, on United States Treasury Securities adjusted to a constant maturity of 10 years, as found in Federal Reserve Statistical Release H– 15. The Federal Housing Administration has codified this provision in HUD regulations at 24 CFR 203.405(b) and 24 CFR 203.479(b). Section 221(g)(4) of the Act provides that debentures issued pursuant to that paragraph (with respect to the assignment of an insured mortgage to E:\FR\FM\27JAN1.SGM 27JAN1 4360 Federal Register / Vol. 77, No. 18 / Friday, January 27, 2012 / Notices the Secretary) will bear interest at the ‘‘going Federal rate’’ in effect at the time the debentures are issued. The term ‘‘going Federal rate’’ is defined to mean the interest rate that the Secretary of the Treasury determines, pursuant to a statutory formula based on the average yield on all outstanding marketable Treasury obligations of 8- to 12-year maturities, for the 6-month periods of January through June and July through December of each year. Section 221(g)(4) is implemented in the HUD regulations at 24 CFR 221.255 and 24 CFR 221.790. The Secretary of the Treasury has determined that the interest rate to be borne by debentures issued pursuant to section 221(g)(4) during the 6-month period beginning January 1, 2012, is 1 7⁄8 percent. The subject matter of this notice falls within the categorical exemption from HUD’s environmental clearance procedures set forth in 24 CFR 50.19(c)(6). For that reason, no environmental finding has been prepared for this notice. Authority: Sections 211, 221, 224, National Housing Act, 12 U.S.C. 1715b, 1715l, 1715o; Section 7(d), Department of HUD Act, 42 U.S.C. 3535(d). sale, including minimum bids, royalty rates, and rentals. DATES: Affected states may comment on the size, timing, and location of proposed Sale 216/222 within 60 days following their receipt of the proposed NOS. The final NOS will be published in the Federal Register at least 30 days prior to the date of bid opening. Bid opening is currently scheduled for June 20, 2012. SUPPLEMENTARY INFORMATION: The proposed NOS for Sale 216/222 and a ‘‘Proposed Notice of Sale Package’’ containing information essential to potential bidders may be obtained from the Public Information Unit, Gulf of Mexico Region, Bureau of Ocean Energy Management, 1201 Elmwood Park Boulevard, New Orleans, Louisiana 70123–2394. Telephone: (504) 736– 2519. Agency Contact: Steven Textoris, Acting Leasing Division Chief, Steven.Textoris@boem.gov. Dated: January 19, 2012. Tommy P. Beaudreau, Director, Bureau of Ocean Energy Management. [FR Doc. 2012–1819 Filed 1–26–12; 8:45 am] Dated: January 20, 2012. Carol J. Galante, Acting Assistant Secretary for Housing— Federal Housing Commissioner. BILLING CODE 4310–VH–P [FR Doc. 2012–1818 Filed 1–26–12; 8:45 am] Bureau of Land Management BILLING CODE 4210–67–P [LLNVW0300.L51100000. GN0000.LVEMF1000880 241A; 12–08807; MO# 4500030363; TAS: 14X5017] DEPARTMENT OF THE INTERIOR DEPARTMENT OF THE INTERIOR Bureau of Ocean Energy Management Notice of Availability of the Proposed Notice of Sale for Outer Continental Shelf (OCS) Oil and Gas Lease Sale 216/222 in the Central Planning Area (CPA) in the Gulf of Mexico BOEM announces the availability of the proposed Notice of Sale (NOS) for proposed Sale 216/222 in the CPA. This Notice is published pursuant to 30 CFR 556.29(c) as a matter of information to the public. With regard to oil and gas leasing on the OCS, the Secretary of the Interior, pursuant to section 19 of the OCS Lands Act, provides the affected states the opportunity to review the proposed NOS. The proposed NOS sets forth the proposed terms and conditions of the tkelley on DSK3SPTVN1PROD with NOTICES VerDate Mar<15>2010 18:14 Jan 26, 2012 Jkt 226001 Bureau of Land Management, Interior. ACTION: Notice of availability. AGENCY: In compliance with the National Environmental Policy Act of 1969, as amended, (NEPA) and the Federal Land Policy and Management Act of 1976, as amended, the Bureau of Land Management (BLM) Winnemucca District, Black Rock Field Office, Winnemucca, Nevada has prepared a Draft Environmental Impact Statement (EIS) for the Hycroft Mine Expansion and by this notice is announcing the opening of the comment period. DATES: To ensure comments will be considered, the BLM must receive written comments on the Hycroft Mine Expansion Draft EIS within 45 days following the date the Environmental Protection Agency publishes its Notice of Availability in the Federal Register. SUMMARY: Bureau of Ocean Energy Management, Interior. ACTION: Notice of Availability of the Proposed Notice of Sale for Proposed Sale 216/222. AGENCY: SUMMARY: Notice of Availability of the Draft Environmental Impact Statement for the Hycroft Mine Expansion, Humboldt and Pershing Counties, NV PO 00000 Frm 00086 Fmt 4703 Sfmt 4703 The BLM will announce future meetings or hearings and any other public involvement activities at least 15 days in advance through public notices, media releases, and/or mailings. ADDRESSES: You may submit comments related to the Hycroft Mine Expansion Draft EIS by any of the following methods: • Web site: www.blm.gov/nv/st/en/fo/ wfo/blm_information/nepa0.html. • Email: wfoweb_comments@blm.gov. • Fax: (775) 623–1503. • Mail: Bureau of Land Management, Winnemucca District Office, 5100 E. Winnemucca Boulevard, Winnemucca, Nevada 89445, Attn. Kathleen Rehberg. Copies of the Hycroft Mine Expansion Draft EIS are available in the Winnemucca District Office at the above address. FOR FURTHER INFORMATION CONTACT: Kathleen Rehberg, Project Lead, telephone (775) 623–1500; address 5100 E. Winnemucca Boulevard, Winnemucca, Nevada 89445; email: wfoweb@blm.gov. Persons who use a telecommunications device for the deaf (TDD) may call the Federal Information Relay Service (FIRS) at 1–(800) 877– 8339 to contact the above individual during normal business hours. The FIRS is available 24 hours a day, 7 days a week, to leave a message or question with the above individual. You will receive a reply during normal business hours. SUPPLEMENTARY INFORMATION: Hycroft Resources Development Inc., (HRDI) proposes to expand mining activities at the existing Hycroft Mine on BLMmanaged public land and on private land in Humboldt and Pershing counties, approximately 55 miles west of Winnemucca, Nevada, on the west flank of the Kamma Mountains. HRDI submitted an amended Plan of Operations to the BLM for approval, which proposes to expand the existing project boundary of 8,858 acres an additional 5,895 acres for a total project area of approximately 14,753 acres of public and private land. The Hycroft Mine currently employs approximately 205 workers. The proposed expansion would increase the mine life by approximately 12 years and increase employment to approximately 537 mine personnel. The Draft EIS analyzes the potential environmental impacts associated with the proposed expansion, which includes 2,173 acres of new surface disturbance. An updated inventory of wilderness characteristics was used for the analysis of potential impacts associated with this project. The existing open pit operation and associated disturbance would be E:\FR\FM\27JAN1.SGM 27JAN1

Agencies

[Federal Register Volume 77, Number 18 (Friday, January 27, 2012)]
[Notices]
[Pages 4359-4360]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-1818]



[[Page 4359]]

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 DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-5614-N-01]


Mortgage and Loan Insurance Programs Under the National Housing 
Act--Debenture Interest Rates

AGENCY: Office of the Assistant Secretary for Housing--Federal Housing 
Commissioner, HUD.

ACTION: Notice.

-----------------------------------------------------------------------

SUMMARY: This notice announces changes in the interest rates to be paid 
on debentures issued with respect to a loan or mortgage insured by the 
Federal Housing Administration (FHA) under the provisions of the 
National Housing Act (the Act). The interest rate for debentures issued 
under section 221(g)(4) of the Act during the 6-month period beginning 
January 1, 2012, is 1\7/8\ percent. The interest rate for debentures 
issued under any other provision of the Act is the rate in effect on 
the date that the commitment to insure the loan or mortgage was issued, 
or the date that the loan or mortgage was endorsed (or initially 
endorsed if there are two or more endorsements) for insurance, 
whichever rate is higher. The interest rate for debentures issued under 
these other provisions with respect to a loan or mortgage committed or 
endorsed during the 6-month period beginning January 1, 2012, is 2\7/8\ 
percent. However, as a result of an amendment to section 224 of the 
Act, if an insurance claim relating to a mortgage insured under 
sections 203 or 234 of the Act and endorsed for insurance after January 
23, 2004, is paid in cash, the debenture interest rate for purposes of 
calculating a claim shall be the monthly average yield, for the month 
in which the default on the mortgage occurred, on United States 
Treasury Securities adjusted to a constant maturity of 10 years.

FOR FURTHER INFORMATION CONTACT: Yong Sun, Department of Housing and 
Urban Development, 451 Seventh Street SW., Room 5148, Washington, DC 
20410-8000; telephone (202) 402-4778 (this is not a toll-free number). 
Individuals with speech or hearing impairments may access this number 
through TTY by calling the toll-free Federal Relay Service at (800) 
877-8339.

SUPPLEMENTARY INFORMATION: Section 224 of the National Housing Act (12 
U.S.C. 1715o) provides that debentures issued under the Act with 
respect to an insured loan or mortgage (except for debentures issued 
pursuant to section 221(g)(4) of the Act) will bear interest at the 
rate in effect on the date the commitment to insure the loan or 
mortgage was issued, or the date the loan or mortgage was endorsed (or 
initially endorsed if there are two or more endorsements) for 
insurance, whichever rate is higher. This provision is implemented in 
HUD's regulations at 24 CFR 203.405, 203.479, 207.259(e)(6), and 
220.830. These regulatory provisions state that the applicable rates of 
interest will be published twice each year as a notice in the Federal 
Register.
    Section 224 further provides that the interest rate on these 
debentures will be set from time to time by the Secretary of HUD, with 
the approval of the Secretary of the Treasury, in an amount not in 
excess of the annual interest rate determined by the Secretary of the 
Treasury pursuant to a statutory formula based on the average yield of 
all outstanding marketable Treasury obligations of maturities of 15 or 
more years.
    The Secretary of the Treasury has determined, in accordance with 
the provisions of section 224, that (1) the statutory maximum interest 
rate for the period beginning January 1, 2012, is 2\7/8\ percent; and 
(2) has approved the establishment of the debenture interest rate by 
the Secretary of HUD at 2\7/8\ percent for the 6-month period beginning 
January 1, 2012. This interest rate will be the rate borne by 
debentures issued with respect to any insured loan or mortgage (except 
for debentures issued pursuant to section 221(g)(4)) with insurance 
commitment or endorsement date (as applicable) within the first 6 
months of 2012.
    For convenience of reference, HUD is publishing the following chart 
of debenture interest rates applicable to mortgages committed or 
endorsed since January 1, 1980:

------------------------------------------------------------------------
    Effective interest rate          on or after           prior to
------------------------------------------------------------------------
9\1/2\.........................  Jan. 1, 1980.......  July 1, 1980.
9\7/8\.........................  July 1, 1980.......  Jan. 1, 1981.
11\3/4\........................  Jan. 1, 1981.......  July 1, 1981.
12\7/8\........................  July 1, 1981.......  Jan. 1, 1982.
12\3/4\........................  Jan. 1, 1982.......  Jan. 1, 1983.
10\1/4\........................  Jan. 1, 1983.......  July 1, 1983.
10\3/8\........................  July 1, 1983.......  Jan. 1, 1984.
11\1/2\........................  Jan. 1, 1984.......  July 1, 1984.
13\3/8\........................  July 1, 1984.......  Jan. 1, 1985.
11\5/8\........................  Jan. 1, 1985.......  July 1, 1985.
11\1/8\........................  July 1, 1985.......  Jan. 1, 1986.
10\1/4\........................  Jan. 1, 1986.......  July 1, 1986.
8\1/4\.........................  July 1, 1986.......  Jan. 1. 1987.
8..............................  Jan. 1, 1987.......  July 1, 1987.
9..............................  July 1, 1987.......  Jan. 1, 1988.
9\1/8\.........................  Jan. 1, 1988.......  July 1, 1988.
9\3/8\.........................  July 1, 1988.......  Jan. 1, 1989.
9\1/4\.........................  Jan. 1, 1989.......  July 1, 1989.
9..............................  July 1, 1989.......  Jan. 1, 1990.
8\1/8\.........................  Jan. 1, 1990.......  July 1, 1990.
9..............................  July 1, 1990.......  Jan. 1, 1991.
8\3/4\.........................  Jan. 1, 1991.......  July 1, 1991.
8\1/2\.........................  July 1, 1991.......  Jan. 1, 1992.
8..............................  Jan. 1, 1992.......  July 1, 1992.
8..............................  July 1, 1992.......  Jan. 1, 1993.
7\3/4\.........................  Jan. 1, 1993.......  July 1, 1993.
7..............................  July 1, 1993.......  Jan. 1, 1994.
6\5/8\.........................  Jan. 1, 1994.......  July 1, 1994.
7\3/4\.........................  July 1, 1994.......  Jan. 1, 1995.
8\3/8\.........................  Jan. 1, 1995.......  July 1, 1995.
7\1/4\.........................  July 1, 1995.......  Jan. 1, 1996.
6\1/2\.........................  Jan. 1, 1996.......  July 1, 1996.
7\1/4\.........................  July 1, 1996.......  Jan. 1, 1997.
6\3/4\.........................  Jan. 1, 1997.......  July 1, 1997.
7\1/8\.........................  July 1, 1997.......  Jan. 1, 1998.
6\3/8\.........................  Jan. 1, 1998.......  July 1, 1998.
6\1/8\.........................  July 1, 1998.......  Jan. 1, 1999.
5\1/2\.........................  Jan. 1, 1999.......  July 1, 1999.
6\1/8\.........................  July 1, 1999.......  Jan. 1, 2000.
6\1/2\.........................  Jan. 1, 2000.......  July 1, 2000.
6\1/2\.........................  July 1, 2000.......  Jan. 1, 2001.
6..............................  Jan. 1, 2001.......  July 1, 2001.
5\7/8\.........................  July 1, 2001.......  Jan. 1, 2002.
5\1/4\.........................  Jan. 1, 2002.......  July 1, 2002.
5\3/4\.........................  July 1, 2002.......  Jan. 1, 2003.
5..............................  Jan. 1, 2003.......  July 1, 2003.
4\1/2\.........................  July 1, 2003.......  Jan. 1, 2004.
5\1/8\.........................  Jan. 1, 2004.......  July 1, 2004
5\1/2\.........................  July 1, 2004.......  Jan. 1, 2005.
4\7/8\.........................  Jan. 1, 2005.......  July 1, 2005.
4\1/2\.........................  July 1, 2005.......  Jan. 1, 2006.
4\7/8\.........................  Jan. 1, 2006.......  July 1, 2006.
5\3/8\.........................  July 1, 2006.......  Jan. 1, 2007.
4\3/4\.........................  Jan. 1, 2007.......  July 1, 2007.
5..............................  July 1, 2007.......  Jan. 1, 2008.
4\1/2\.........................  Jan. 1, 2008.......  July 1, 2008.
4\5/8\.........................  July 1, 2008.......  Jan. 1, 2009.
4\1/8\.........................  Jan. 1, 2009.......  July 1, 2009.
4\1/8\.........................  July 1, 2009.......  Jan. 1, 2010.
4\1/4\.........................  Jan. 1, 2010.......  July 1, 2010.
4\1/8\.........................  July 1, 2010.......  Jan. 1, 2011.
3\7/8\.........................  Jan. 1, 2011.......  July 1, 2011.
4\1/8\.........................  July 1, 2011.......  Jan. 1, 2012.
2\7/8\.........................  Jan. 1, 2012.......  July 1, 2012.
------------------------------------------------------------------------

    Section 215 of Division G, Title II of Public Law 108-199, enacted 
January 23, 2004 (HUD's 2004 Appropriations Act) amended section 224 of 
the Act, to change the debenture interest rate for purposes of 
calculating certain insurance claim payments made in cash. Therefore, 
for all claims paid in cash on mortgages insured under section 203 or 
234 of the National Housing Act and endorsed for insurance after 
January 23, 2004, the debenture interest rate will be the monthly 
average yield, for the month in which the default on the mortgage 
occurred, on United States Treasury Securities adjusted to a constant 
maturity of 10 years, as found in Federal Reserve Statistical Release 
H-15. The Federal Housing Administration has codified this provision in 
HUD regulations at 24 CFR 203.405(b) and 24 CFR 203.479(b).
    Section 221(g)(4) of the Act provides that debentures issued 
pursuant to that paragraph (with respect to the assignment of an 
insured mortgage to

[[Page 4360]]

the Secretary) will bear interest at the ``going Federal rate'' in 
effect at the time the debentures are issued. The term ``going Federal 
rate'' is defined to mean the interest rate that the Secretary of the 
Treasury determines, pursuant to a statutory formula based on the 
average yield on all outstanding marketable Treasury obligations of 8- 
to 12-year maturities, for the 6-month periods of January through June 
and July through December of each year. Section 221(g)(4) is 
implemented in the HUD regulations at 24 CFR 221.255 and 24 CFR 
221.790.
    The Secretary of the Treasury has determined that the interest rate 
to be borne by debentures issued pursuant to section 221(g)(4) during 
the 6-month period beginning January 1, 2012, is 1 \7/8\ percent.
    The subject matter of this notice falls within the categorical 
exemption from HUD's environmental clearance procedures set forth in 24 
CFR 50.19(c)(6). For that reason, no environmental finding has been 
prepared for this notice.

    Authority: Sections 211, 221, 224, National Housing Act, 12 
U.S.C. 1715b, 1715l, 1715o; Section 7(d), Department of HUD Act, 42 
U.S.C. 3535(d).

    Dated: January 20, 2012.
Carol J. Galante,
Acting Assistant Secretary for Housing--Federal Housing Commissioner.
[FR Doc. 2012-1818 Filed 1-26-12; 8:45 am]
BILLING CODE 4210-67-P