42 U.S.C. § 12748: HOME Investment Trust Funds

Summary

The Secretary must create a HOME Investment Trust Fund for each participating jurisdiction. The fund can only be used to invest in affordable housing inside the jurisdiction or in joint projects with a neighboring jurisdiction that serve people from both places. The fund must have a line of credit that includes funds given or moved to the jurisdiction under section 12747 and any payments or repayments under section 12749. A jurisdiction can draw money up to its remaining line of credit only after it certifies the money will be used under its approved housing plan and follow the subchapter’s rules. The Secretary must immediately disburse the money in the form the jurisdiction chooses. The jurisdiction must invest the drawn funds, plus any interest earned, in the intended affordable housing within 15 days. The Secretary may not charge interest or fees on fund amounts and must keep the jurisdiction informed about the fund’s status, including amounts at different commitment stages. The line of credit is reduced by funds drawn, funds expiring under subsection (g), and any penalties under section 12754.

Title 42, §12748

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(a)Establishment

The Secretary shall establish for each participating jurisdiction a HOME Investment Trust Fund, which shall be an account (or accounts as provided in section 12749(c) of this title) for use solely to invest in affordable housing within the participating jurisdiction’s boundaries or within the boundaries of contiguous jurisdictions in joint projects which serve residents from both jurisdictions in accordance with the provisions of this part.

(b)Line of credit

The Secretary shall establish a line of credit in the HOME Investment Trust Fund of each participating jurisdiction, which line of credit shall include—

(1)funds allocated or reallocated to the participating jurisdiction under section 12747 of this title, and

(2)any payment or repayment made pursuant to section 12749 of this title.

(c)Reductions

A participating jurisdiction’s line of credit shall be reduced by—

(1)funds drawn from the HOME Investment Trust Fund by the participating jurisdiction,

(2)funds expiring under subsection (g), and

(3)any penalties assessed by the Secretary under section 12754 of this title.

(d)Certification

A participating jurisdiction may draw funds from its HOME Investment Trust Fund, but not to exceed the remaining line of credit, only after providing certification that the funds shall be used pursuant to the participating jurisdiction’s approved housing strategy and in compliance with all requirements of this subchapter. When such certification is received, the Secretary shall immediately disburse such funds in accordance with the form of the assistance determined by the participating jurisdiction.

(e)Investment within 15 days

The participating jurisdiction shall, not later than 15 days after funds are drawn from the jurisdiction’s HOME Investment Trust Fund, invest such funds, together with any interest earned thereon, in the affordable housing for which the funds were withdrawn.

(f)No interest or fees

The Secretary shall not charge any interest or levy any other fee with regard to funds in a HOME Investment Trust Fund.

(g)Administrative provision

The Secretary shall keep each participating jurisdiction informed of the status of its HOME Investment Trust Fund, including the status of amounts under various stages of commitment.

Notes & Related Subsidiaries

Editorial Notes

Amendments

2026—Subsecs. (g), (h). Pub. L. 119–101 redesignated subsec. (h) as (g) and struck out former subsec. (g). Prior to amendment, text of subsec. (g) read as follows: “If any funds becoming available to a participating jurisdiction under this subchapter are not placed under binding commitment to affordable housing within 24 months after the last day of the month in which such funds are deposited in the jurisdiction’s HOME Investment Trust Fund, the jurisdiction’s right to draw such funds from the HOME Investment Trust Fund shall expire. The Secretary shall reduce the line of credit in the participating jurisdiction’s HOME Investment Trust Fund by the expiring amount and shall reallocate the funds by formula in accordance with section 12747(d) of this title.” 1992—Subsec. (a). Pub. L. 102–550, § 221, inserted “or within the boundaries of contiguous jurisdictions in joint projects which serve residents from both jurisdictions” after “boundaries”. Subsec. (g). Pub. L. 102–550, § 203(c), substituted “If” for “Except as provided in section 12747(b)(1)(A)(ii) of this title, if”.

Statutory Notes and Related Subsidiaries

Effective Date

of 1992 AmendmentAmendment by Pub. L. 102–550 applicable to unexpended funds allocated under subchapter II of this chapter in fiscal year 1992, except as otherwise specifically provided, see section 223 of Pub. L. 102–550, set out as a note under section 12704 of this title.

§12748 Home Investment Trust Funds