24 Cfr 245-325

[Code of Federal Regulations]
[Title 24, Volume 2]
[Revised as of April 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 24CFR245.325]

[Page 382]

TITLE 24--HOUSING AND URBAN DEVELOPMENT

CHAPTER II--OFFICE OF ASSISTANT SECRETARY FOR HOUSING--FEDERAL HOUSING
COMMISSIONER, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

PART 245--TENANT PARTICIPATION IN MULTIFAMILY HOUSING PROJECTS--Table of Contents

Subpart D--Procedures for Requesting Approval of an Increase in Maximum
Permissible Rents

Sec. 245.325 Notification of action on request for increase.

(a) When processing a request for an increase in maximum permissible
rents, HUD shall take into consideration reasonably anticipated
increases in project operating costs that will occur (1) within 12
months of the date of submission of materials to HUD under
Sec. 245.315(a) (profit and loss approach) or (2) within 12 months of
the anticipated effective date of the proposed rent increase for
submissions under Sec. 245.315(b) (forward-budget approach).
(b) After HUD has considered the request for an increase in rents,
has found that it meets the requirements of Sec. 245.320, and has made
its determination to approve, adjust upward or downward, or disapprove
the request, it will furnish the mortgagor with a written statement of
the reasons for approval, adjustment upward or downward, or disapproval.
The mortgagor must make the reasons for approval, adjustment, or
disapproval known to the tenants, by service of notice on them as
provided in Sec. 245.15.