60-Day Notice of Proposed Information Collection: FHA Single Family Model Mortgage Documents, 84608-84610 [2016-28245]
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84608
Federal Register / Vol. 81, No. 226 / Wednesday, November 23, 2016 / Notices
DEPARTMENT OF HOMELAND
SECURITY
Federal Emergency Management
Agency
[Docket ID FEMA–2014–0022]
Technical Mapping Advisory Council
Federal Emergency
Management Agency, DHS.
ACTION: Committee management; Notice
of Federal Advisory Committee meeting.
AGENCY:
The Federal Emergency
Management Agency (FEMA) Technical
Mapping Advisory Council (TMAC) will
meet in person on December 13–14,
2016 in Arlington, Virginia. The
meeting will be open to the public.
DATES: The TMAC will meet on
Tuesday, December 13, 2016 from 8:00
a.m.–5:30 p.m. Eastern Standard Time
(EST), and Wednesday, December 14,
2016 from 8:00 a.m.–5:00 p.m. EST.
Please note that the meeting will close
early if the TMAC has completed its
business.
SUMMARY:
The meeting will be held at
3101 Wilson Boulevard, Arlington,
Virginia, 22201. Members of the public
who wish to attend the meeting must
register in advance by sending an email
to FEMA-TMAC@fema.dhs.gov
(Attention: Mark Crowell) by 11:00 p.m.
EST on Tuesday, December 6, 2016.
Members of the public must check in at
the front desk on the ground floor of
3101 Wilson Boulevard, Arlington,
Virginia, 22201 and photo identification
is required. For information on facilities
or services for individuals with
disabilities or to request special
assistance at the meeting, contact the
person listed in FOR FURTHER
INFORMATION CONTACT below as soon as
possible.
To facilitate public participation,
members of the public are invited to
provide written comments on the issues
to be considered by the TMAC, as listed
in the SUPPLEMENTARY INFORMATION
section below. Associated meeting
materials will be available at
www.fema.gov/TMAC for review by
Tuesday, December 6, 2016. Written
comments to be considered by the
committee at the time of the meeting
must be submitted and received by
Wednesday, December 7, 2016,
identified by Docket ID FEMA–2014–
0022, and submitted by one of the
following methods:
• Federal eRulemaking Portal: https://
www.regulations.gov. Follow the
instructions for submitting comments.
• Email: Address the email TO:
FEMA-RULES@fema.dhs.gov and CC:
mstockstill on DSK3G9T082PROD with NOTICES
ADDRESSES:
VerDate Sep<11>2014
19:35 Nov 22, 2016
Jkt 241001
FEMA-TMAC@fema.dhs.gov. Include
the docket number in the subject line of
the message. Include name and contact
detail in the body of the email.
• Mail: Regulatory Affairs Division,
Office of Chief Counsel, FEMA, 500 C
Street SW., Room 8NE, Washington, DC
20472–3100.
Instructions: All submissions received
must include the words ‘‘Federal
Emergency Management Agency’’ and
the docket number for this action.
Comments received will be posted
without alteration at https://
www.regulations.gov, including any
personal information provided. Docket:
For docket access to read background
documents or comments received by the
TMAC, go to https://www.regulations.gov
and search for the Docket ID FEMA–
2014–0022.
A public comment period will be held
on Tuesday, December 13, 2016, from
4:00 p.m. to 4:30 p.m. EST and again on
Wednesday, December 14, 2016, from
3:00 to 3:30 p.m. EST. Speakers are
requested to limit their comments to no
more than three minutes. The public
comment period will not exceed 30
minutes. Please note that the public
comment period may end before the
time indicated, following the last call
for comments. Contact the individual
listed below to register as a speaker by
close of business on Thursday,
December 8, 2016.
FOR FURTHER INFORMATION CONTACT:
Mark Crowell, Designated Federal
Officer for the TMAC, FEMA, 400 C
Street SW., Washington, DC 20024,
telephone (202) 646–3432, and email
mark.crowell@fema.dhs.gov. The TMAC
Web site is: https://www.fema.gov/
TMAC.
SUPPLEMENTARY INFORMATION: Notice of
this meeting is given under the Federal
Advisory Committee Act, 5 U.S.C.
Appendix.
As required by the Biggert-Waters
Flood Insurance Reform Act of 2012, the
TMAC makes recommendations to the
FEMA Administrator on: (1) How to
improve, in a cost-effective manner, the
(a) accuracy, general quality, ease of use,
and distribution and dissemination of
flood insurance rate maps and risk data;
and (b) performance metrics and
milestones required to effectively and
efficiently map flood risk areas in the
United States; (2) mapping standards
and guidelines for (a) flood insurance
rate maps, and (b) data accuracy, data
quality, data currency, and data
eligibility; (3) how to maintain, on an
ongoing basis, flood insurance rate maps
and flood risk identification; (4)
procedures for delegating mapping
activities to State and local mapping
PO 00000
Frm 00062
Fmt 4703
Sfmt 4703
partners; and (5)(a) methods for
improving interagency and
intergovernmental coordination on
flood mapping and flood risk
determination, and (b) a funding
strategy to leverage and coordinate
budgets and expenditures across Federal
agencies. Furthermore, the TMAC is
required to submit an annual report to
the FEMA Administrator that contains:
(1) A description of the activities of the
Council; (2) an evaluation of the status
and performance of flood insurance rate
maps and mapping activities to revise
and update Flood Insurance Rate Maps;
and (3) a summary of recommendations
made by the Council to the FEMA
Administrator.
Agenda: During the two-day meeting,
TMAC members will receive briefings
from subject matter experts, and will
present and deliberate on the draft
content and potential recommendations
to be incorporated in the TMAC 2016
Annual Report. In addition, the TMAC
members will identify and coordinate
on the TMAC’s next steps for Annual
Report production. A brief public
comment period will take place each
day during the meeting and will occur
prior to any vote. The full agenda and
related briefing materials will be posted
for review by December 7, 2016 at
https://www.fema.gov/TMAC.
Dated: November 9, 2016.
Roy E. Wright,
Deputy Associate Administrator for Insurance
and Mitigation, Federal Emergency
Management Agency.
[FR Doc. 2016–28139 Filed 11–22–16; 8:45 am]
BILLING CODE 9110–12–P
DEPARTMENT OF HOUSING AND
URBAN DEVELOPMENT
[Docket No. FR–5913–N–34]
60-Day Notice of Proposed Information
Collection: FHA Single Family Model
Mortgage Documents
Office of the Assistant
Secretary for Housing- Federal Housing
Commissioner, HUD.
ACTION: Notice.
AGENCY:
HUD is seeking approval from
the Office of Management and Budget
(OMB) for the information collection
described below. In accordance with the
Paperwork Reduction Act, HUD is
requesting comment from all interested
parties on the proposed collection of
information. The purpose of this notice
is to allow for 60 days of public
comment.
DATES: Comments Due Date: January 23,
2017.
SUMMARY:
E:\FR\FM\23NON1.SGM
23NON1
Federal Register / Vol. 81, No. 226 / Wednesday, November 23, 2016 / Notices
Interested persons are
invited to submit comments regarding
this proposal. Comments should refer to
the proposal by name and/or OMB
Control Number and should be sent to:
Colette Pollard, Reports Management
Officer, QDAM, Department of Housing
and Urban Development, 451 7th Street
SW., Room 4176, Washington, DC
20410–5000; telephone 202–402–3400
(this is not a toll-free number) or email
at Colette.Pollard@hud.gov for a copy of
the proposed forms or other available
information. Persons with hearing or
speech impairments may access this
number through TTY by calling the tollfree Federal Relay Service at (800) 877–
8339.
FOR FURTHER INFORMATION CONTACT:
Kevin Stevens, 451 7th Street SW.,
Washington, DC 20410; email Kevin L.
Stevens@hud.gov; or telephone 202–
402–2673. This is not a toll-free number.
Persons with hearing or speech
impairments may access this number
through TTY by calling the toll-free
Federal Relay Service at (800) 877–8339.
SUPPLEMENTARY INFORMATION: This
notice informs the public that HUD is
seeking approval from OMB for the
information collection described in
Section A.
ADDRESSES:
mstockstill on DSK3G9T082PROD with NOTICES
A. Overview of Information Collection
Title of Information Collection: FHA
Single Family Model Mortgage
Documents.
OMB Approval Number: 2502–New.
Type of Request: Approval of a new
collection of information.
Form Number: N/A.
Description of the need for the
information and proposed use:
This notice advises of FHA’s review
and proposed revisions to the Single
Family Model Forward Mortgage
document. The majority of the proposed
changes are conforming or technical in
nature (e.g., correction of internal
references and typographical errors).
Included in this category is the
proposed change to Section 19. As
provided in FHA’s Instructions for
Model Mortgages (located at https://
portal.hud.gov/hudportal/HUD?src=/
program_offices/housing/sfh/model_
documents) the FHA Model Forward
Mortgage document is based largely on
the Federal Home Loan Mortgage
Corporation and Federal National
Mortgage Association (the ‘‘Government
Sponsored Enterprises’’ or ‘‘GSEs’’)
security instrument covenants, with
certain FHA-specific revisions. When
incorporating the GSE covenants into
the Model Forward Mortgage document,
the second paragraph of Section 19 was
unintentionally omitted, but reference
VerDate Sep<11>2014
18:04 Nov 22, 2016
Jkt 241001
to that paragraph was retained in the
section heading, resulting in an
apparent internal discrepancy in the
Model Forward Mortgage. Because the
omission of this paragraph was not
identified as an FHA-Specific
Modification (as that term is used in the
Instructions for Model Mortgages),
mortgagees have been free to adopt the
analogous GSE covenant provision to
resolve this discrepancy. Therefore,
although the proposed change to
Section 19 appear substantive, it should
bring the Model Forward Mortgage into
closer conformity with current FHAinsured mortgages and industry
standard.
In addition to these technical changes,
FHA is proposing one set of substantive
changes to the Model Forward
Mortgage, reflected in the judicial and
non-judicial versions of Section 22
(hereinafter ‘‘Sections 22’’) and Section
20. Prior to the September, 2014
publication of the current Model
Forward Mortgage, the former Model
Forward Mortgage contained the
following provision: ‘‘[i]n many
circumstances regulations issued by the
Secretary will limit Lender rights, in the
case of payment defaults, to require
immediate payment in full and foreclose
if not paid. This Security Instrument
does not authorize acceleration or
foreclosure if not permitted by
regulations of the Secretary.’’
(hereinafter ‘‘Paragraph 9(d)’’). Because
Paragraph 9(d) is not serve to again
further this goal.
The Department is also proposing a
revision to Section 20, which generally
provides that the borrower is not a
third-party beneficiary to the contract of
mortgage insurance between the lender
and FHA. Legally, FHA borrowers have
never been deemed third-party
beneficiaries of the mortgage insurance
contract between FHA and the
mortgagee, and therefore, have had no
authority to enforce any provisions
thereof. However, as reflected in the
proposed changes to Sections 22, the
borrower and lender will enjoy
contractual rights and obligations under
the private mortgage contract that
happen to mirror elements of the
mortgage insurance contract because
they both separately rely on HUD’s
regulations. By asserting rights under
the private mortgage contract, even
those that incorporate elements of the
regulations forming the mortgage
insurance contract, borrowers would not
be enforcing the contract of mortgage
insurance and FHA regulations as such,
but rather enforcing the private
contractual terms incorporated into the
mortgage contract that mirror those
regulations.
PO 00000
Frm 00063
Fmt 4703
Sfmt 4703
84609
While aiming to clearly delineate the
lines between the private mortgage
contract and the contract of mortgage
insurance through the language
contained in Section 20, the Department
does not wish to cause any confusion
concerning the borrower’s ability to
enforce his or her rights that have been
granted through the incorporation of
certain regulatory provisions. Therefore,
for clarity, the Department is proposing
a revision to Section 20 that eliminates
any confusion regarding the borrower’s
ability to assert rights under the private
mortgage contract with the mortgagee as
provided in the proposed changes to
Section 22. The proposed revision to
Section 20 does not jeopardize the
settled fact that borrowers are not thirdparty beneficiaries of the mortgage
insurance contract and do not have the
authority to enforce any provisions
thereof. This is a consequence of wellestablished legal principals governing
contractual relationships and private,
which will remain unchanged not with
standing the proposed revision. HUD
expects, therefore, that the proposed
change renders Section 20 more
apparently consistent with the proposed
changes to Sections 22, but does not
intend to create third-party rights under
the mortgage insurance contract.
The following information regarding
respondents and number of responses is
based on information related to the
actual legal mortgage document, not the
model mortgage document.
Affected Respondents: Businesses or
other for-profit.
Estimated Number of Respondents:
2,535.
Estimated Number of Responses:
164,447.
Frequency of Response: On Occasion.
Average Hours per Response: .05.
Total Estimated Burdens: 822 hours.
B. Solicitation of Public Comment
This notice is soliciting comments
from members of the public and affected
parties concerning the collection of
information described in Section A on
the following:
(1) Whether the proposed collection
of information is necessary for the
proper performance of the functions of
the agency, including whether the
information will have practical utility;
(2) The accuracy of the agency’s
estimate of the burden of the proposed
collection of information; (3) Ways to
enhance the quality, utility, and clarity
of the information to be collected; and
(4) Ways to minimize the burden of the
collection of information on those who
are to respond; including through the
use of appropriate automated collection
techniques or other forms of information
E:\FR\FM\23NON1.SGM
23NON1
84610
Federal Register / Vol. 81, No. 226 / Wednesday, November 23, 2016 / Notices
technology, e.g., permitting electronic
submission of responses.
HUD encourages interested parties to
submit comment in response to these
questions.
Authority: Section 3507 of the Paperwork
Reduction Act of 1995, 44 U.S.C. Chapter 35.
Dated: November 17, 2016.
Janet M. Golrick,
Associate General Deputy Assistant Secretary
for Housing Associate Deputy Federal
Housing Commissioner.
[FR Doc. 2016–28245 Filed 11–22–16; 8:45 am]
BILLING CODE 4210–67–P
DEPARTMENT OF HOUSING AND
URBAN DEVELOPMENT
[Docket No. FR–5993–N–01]
Notice of HUD Vacant Loan Sales
(HVLS 2017–1)
Office of the Assistant
Secretary for Housing—Federal Housing
Commissioner, HUD.
ACTION: Notice of sales of reverse
mortgage loans.
AGENCY:
This notice announces HUD’s
intention to competitively offer multiple
residential reverse mortgage pools
consisting of approximately 1,700
reverse mortgage notes secured by
properties with an aggregate broker
price opinion of approximately $220
million. The sale will consist of due and
payable Secretary-held reverse mortgage
loans. The mortgage loans consist of
first liens secured by single family,
vacant residential properties, where all
borrowers are deceased and no borrower
is survived by a non-borrowing spouse.
This notice also generally describes
the bidding process for the sale and
certain persons who are ineligible to
bid. This is the first sale offering of its
type and the sale will be held on
November 30, 2016.
DATES: For this sale action, the Bidder’s
Information Package (BIP) is expected to
be made available to qualified bidders
on or about October 28, 2016. Bids for
the HVLS 2017–1 sale will be accepted
on the Bid Date of November 30, 2016
(Bid Date). HUD anticipates that
award(s) will be made on or about
December 1, 2016 (the Award Date).
ADDRESSES: To become a qualified
bidder and receive the BIP, prospective
bidders must complete, execute, and
submit a Confidentiality Agreement and
a Qualification Statement acceptable to
HUD. Both documents are available via
the HUD Web site at: https://
www.hud.gov/sfloansales or via: https://
www.verdiassetsales.com. Please mail
and fax executed documents to Verdi
mstockstill on DSK3G9T082PROD with NOTICES
SUMMARY:
VerDate Sep<11>2014
18:04 Nov 22, 2016
Jkt 241001
Consulting, Inc.: Verdi Consulting, Inc.,
8400 Westpark Drive, 4th Floor,
McLean, VA 22102, Attention: HUD
SFLS Loan Sale Coordinator, Fax: 1–
703–584–7790.
FOR FURTHER INFORMATION CONTACT: John
Lucey, Director, Asset Sales Office,
Room 3136, Department of Housing and
Urban Development, 451 Seventh Street
SW., Washington, DC 20410–8000;
telephone 202–708–2625, extension
3927. Hearing- or speech-impaired
individuals may call 202–708–4594
(TTY). These are not toll-free numbers.
SUPPLEMENTARY INFORMATION:
HUD announces its intention to sell in
HVLS 2017–1 due and payable
Secretary-held reverse mortgage loans.
The loans consist of first liens secured
by single family, vacant residential
properties, where all borrowers are
deceased and no borrower is survived
by a non-borrowing spouse.
A listing of the mortgage loans is
included in the due diligence materials
made available to qualified bidders. The
mortgage loans will be sold without
FHA insurance and with servicing
released. HUD will offer qualified
bidders an opportunity to bid
competitively on the mortgage loans.
The loans are expected to be offered in
five regional pools.
Mortgage Loan Sale Policy
The Bidding Process
In order to bid in HVLS 2017–1 as a
qualified bidder, a prospective bidder
must complete, execute and submit both
a Confidentiality Agreement and a
Qualification Statement acceptable to
HUD. In the Qualification Statement,
the prospective bidder must provide
certain representations and warranties
regarding the prospective bidder,
including but not limited to (i) the
prospective bidder’s board of directors,
(ii) the prospective bidder’s direct
parent, (iii) the prospective bidder’s
subsidiaries, (iv) any related entity with
which the prospective bidder shares a
common officer, director, subcontractor
or sub-contractor who has access to
Confidential Information as defined in
the Confidentiality Agreement or is
involved in the formation of a bid
transaction (collectively the ‘‘Related
Entities’’), and (v) the prospective
bidder’s repurchase lenders. The
prospective bidder is ineligible to bid on
any of the reverse mortgage loans
included in HVLS 2017–1 if the
prospective bidder, its Related Entities
or its repurchase lenders, is any of the
following, unless other exceptions apply
as provided for the in Qualification
Statement.
1. An individual or entity that is
currently debarred, suspended, or
excluded from doing business with
The BIP describes in detail the
procedure for bidding in HVLS 2017–1.
The BIP also includes a standardized
non-negotiable Conveyance, Assignment
and Assumption Agreement for HVLS
2017–1 (CAA). Qualified bidders will be
required to submit a deposit with their
bid. Deposits are calculated based upon
each qualified bidder’s aggregate bid
price.
HUD will evaluate the bids submitted
and determine the successful bid, in
terms of the best value to HUD, in its
sole and absolute discretion. If a
qualified bidder is successful, the
qualified bidder’s deposit will be nonrefundable and will be applied toward
the purchase price. Deposits will be
returned to unsuccessful bidders.
This notice provides some of the basic
terms of sale. The CAA, which is
included in the BIP, provides
comprehensive contractual terms and
conditions. To ensure a competitive
bidding process, the terms of the
bidding process and the CAA are not
subject to negotiation.
Due Diligence Review
The BIP describes how qualified
bidders may access the due diligence
materials remotely via a high-speed
Internet connection.
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Frm 00064
Fmt 4703
Sfmt 4703
HUD reserves the right to remove
mortgage loans from HVLS 2017–1 at
any time prior to the Award Date. HUD
also reserves the right to reject any and
all bids, in whole or in part, and include
any reverse mortgage loans in a later
sale. Deliveries of mortgage loans will
occur in conjunction with settlement
and servicing transfer, approximately 30
to 45 days after the Award Date.
The HVLS 2017–1 reverse mortgage
loans were insured by and were
assigned to HUD pursuant to section
255 of the National Housing Act, as
amended. The sale of the reverse
mortgage loans is pursuant to section
204(g) of the National Housing Act.
Mortgage Loan Sale Procedure
HUD selected an open competitive
whole-loan sale as the method to sell
the mortgage loans for this specific sale
transaction. For HVLS 2017–1, HUD has
determined that this method of sale
optimizes HUD’s return on the sale of
these loans, affords the greatest
opportunity for all qualified bidders to
bid on the mortgage loans, and provides
the quickest and most efficient vehicle
for HUD to dispose of the mortgage
loans.
Bidder Ineligibility
E:\FR\FM\23NON1.SGM
23NON1
Agencies
[Federal Register Volume 81, Number 226 (Wednesday, November 23, 2016)]
[Notices]
[Pages 84608-84610]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-28245]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
[Docket No. FR-5913-N-34]
60-Day Notice of Proposed Information Collection: FHA Single
Family Model Mortgage Documents
AGENCY: Office of the Assistant Secretary for Housing- Federal Housing
Commissioner, HUD.
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: HUD is seeking approval from the Office of Management and
Budget (OMB) for the information collection described below. In
accordance with the Paperwork Reduction Act, HUD is requesting comment
from all interested parties on the proposed collection of information.
The purpose of this notice is to allow for 60 days of public comment.
DATES: Comments Due Date: January 23, 2017.
[[Page 84609]]
ADDRESSES: Interested persons are invited to submit comments regarding
this proposal. Comments should refer to the proposal by name and/or OMB
Control Number and should be sent to: Colette Pollard, Reports
Management Officer, QDAM, Department of Housing and Urban Development,
451 7th Street SW., Room 4176, Washington, DC 20410-5000; telephone
202-402-3400 (this is not a toll-free number) or email at
Colette.Pollard@hud.gov for a copy of the proposed forms or other
available information. Persons with hearing or speech impairments may
access this number through TTY by calling the toll-free Federal Relay
Service at (800) 877-8339.
FOR FURTHER INFORMATION CONTACT: Kevin Stevens, 451 7th Street SW.,
Washington, DC 20410; email Kevin L. Stevens@hud.gov; or telephone 202-
402-2673. This is not a toll-free number. Persons with hearing or
speech impairments may access this number through TTY by calling the
toll-free Federal Relay Service at (800) 877-8339.
SUPPLEMENTARY INFORMATION: This notice informs the public that HUD is
seeking approval from OMB for the information collection described in
Section A.
A. Overview of Information Collection
Title of Information Collection: FHA Single Family Model Mortgage
Documents.
OMB Approval Number: 2502-New.
Type of Request: Approval of a new collection of information.
Form Number: N/A.
Description of the need for the information and proposed use:
This notice advises of FHA's review and proposed revisions to the
Single Family Model Forward Mortgage document. The majority of the
proposed changes are conforming or technical in nature (e.g.,
correction of internal references and typographical errors). Included
in this category is the proposed change to Section 19. As provided in
FHA's Instructions for Model Mortgages (located at https://portal.hud.gov/hudportal/HUD?src=/program_offices/housing/sfh/model_documents) the FHA Model Forward Mortgage document is based
largely on the Federal Home Loan Mortgage Corporation and Federal
National Mortgage Association (the ``Government Sponsored Enterprises''
or ``GSEs'') security instrument covenants, with certain FHA-specific
revisions. When incorporating the GSE covenants into the Model Forward
Mortgage document, the second paragraph of Section 19 was
unintentionally omitted, but reference to that paragraph was retained
in the section heading, resulting in an apparent internal discrepancy
in the Model Forward Mortgage. Because the omission of this paragraph
was not identified as an FHA-Specific Modification (as that term is
used in the Instructions for Model Mortgages), mortgagees have been
free to adopt the analogous GSE covenant provision to resolve this
discrepancy. Therefore, although the proposed change to Section 19
appear substantive, it should bring the Model Forward Mortgage into
closer conformity with current FHA-insured mortgages and industry
standard.
In addition to these technical changes, FHA is proposing one set of
substantive changes to the Model Forward Mortgage, reflected in the
judicial and non-judicial versions of Section 22 (hereinafter
``Sections 22'') and Section 20. Prior to the September, 2014
publication of the current Model Forward Mortgage, the former Model
Forward Mortgage contained the following provision: ``[i]n many
circumstances regulations issued by the Secretary will limit Lender
rights, in the case of payment defaults, to require immediate payment
in full and foreclose if not paid. This Security Instrument does not
authorize acceleration or foreclosure if not permitted by regulations
of the Secretary.'' (hereinafter ``Paragraph 9(d)''). Because Paragraph
9(d) is not serve to again further this goal.
The Department is also proposing a revision to Section 20, which
generally provides that the borrower is not a third-party beneficiary
to the contract of mortgage insurance between the lender and FHA.
Legally, FHA borrowers have never been deemed third-party beneficiaries
of the mortgage insurance contract between FHA and the mortgagee, and
therefore, have had no authority to enforce any provisions thereof.
However, as reflected in the proposed changes to Sections 22, the
borrower and lender will enjoy contractual rights and obligations under
the private mortgage contract that happen to mirror elements of the
mortgage insurance contract because they both separately rely on HUD's
regulations. By asserting rights under the private mortgage contract,
even those that incorporate elements of the regulations forming the
mortgage insurance contract, borrowers would not be enforcing the
contract of mortgage insurance and FHA regulations as such, but rather
enforcing the private contractual terms incorporated into the mortgage
contract that mirror those regulations.
While aiming to clearly delineate the lines between the private
mortgage contract and the contract of mortgage insurance through the
language contained in Section 20, the Department does not wish to cause
any confusion concerning the borrower's ability to enforce his or her
rights that have been granted through the incorporation of certain
regulatory provisions. Therefore, for clarity, the Department is
proposing a revision to Section 20 that eliminates any confusion
regarding the borrower's ability to assert rights under the private
mortgage contract with the mortgagee as provided in the proposed
changes to Section 22. The proposed revision to Section 20 does not
jeopardize the settled fact that borrowers are not third-party
beneficiaries of the mortgage insurance contract and do not have the
authority to enforce any provisions thereof. This is a consequence of
well-established legal principals governing contractual relationships
and private, which will remain unchanged not with standing the proposed
revision. HUD expects, therefore, that the proposed change renders
Section 20 more apparently consistent with the proposed changes to
Sections 22, but does not intend to create third-party rights under the
mortgage insurance contract.
The following information regarding respondents and number of
responses is based on information related to the actual legal mortgage
document, not the model mortgage document.
Affected Respondents: Businesses or other for-profit.
Estimated Number of Respondents: 2,535.
Estimated Number of Responses: 164,447.
Frequency of Response: On Occasion.
Average Hours per Response: .05.
Total Estimated Burdens: 822 hours.
B. Solicitation of Public Comment
This notice is soliciting comments from members of the public and
affected parties concerning the collection of information described in
Section A on the following:
(1) Whether the proposed collection of information is necessary for
the proper performance of the functions of the agency, including
whether the information will have practical utility; (2) The accuracy
of the agency's estimate of the burden of the proposed collection of
information; (3) Ways to enhance the quality, utility, and clarity of
the information to be collected; and (4) Ways to minimize the burden of
the collection of information on those who are to respond; including
through the use of appropriate automated collection techniques or other
forms of information
[[Page 84610]]
technology, e.g., permitting electronic submission of responses.
HUD encourages interested parties to submit comment in response to
these questions.
Authority: Section 3507 of the Paperwork Reduction Act of 1995,
44 U.S.C. Chapter 35.
Dated: November 17, 2016.
Janet M. Golrick,
Associate General Deputy Assistant Secretary for Housing Associate
Deputy Federal Housing Commissioner.
[FR Doc. 2016-28245 Filed 11-22-16; 8:45 am]
BILLING CODE 4210-67-P