COMMONWEALTH OF THE NORTHERN MARIANA ISLANDS

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COMMONWEALTH OF THE NORTHERN MARIANA ISLANDS Ralph DLG. Torres Governor Victor B. Hocog Lieutenant Governor The Honorable Arnold I. Palacios Senate President, The Senate Twentieth Northern Marianas Commonwealth Legislature 2 9 SEP 2017 The Honorable Rafael S. Demapan Speaker, House of Representatives Twentieth Northern Marianas Commonwealth Legislature Dear Mr. President and Mr. Speaker: This is to inform you that I have signed into law Senate Bill No. 20-7, SO I entitled, "To amend 2 CMC 4435 (t) and to repeal 2 CMC 4435(h); and for other purposes," which was passed by the Senate and the House of Representatives of the Twentieth Northern Marianas Commonwealth Legislature. This bill becomes Public Law No. 20-18. Copies bearing my signature are forwarded for your reference. cc: Lt. Governor; Press Secretary; Northern Marianas Housing Corporation; Public Auditor; Special Assistant for Administration; Special Assistant for Programs and Legislative Review Caller Box 10007 Telephone: (670) 237-2200 Facsimile: (670) 664-2211/2311

THE SENATE Twentieth Northern Marianas Commonwealth Legislature P. O. Box 500129 September 08, 2017 The Honorable Ralph DLG. Torres Governor Commonwealth of the Nortbern Mariana Islands Capital Hill Dear Governor Torres: I have the honor of transmitting herewith for your action Senate Bill No. 20-07, SD I, entitled: "To amend 2 CMC 4435 (t) and to repeal 2 CMC 4435(h); and for other purposes," which was passed by the Senate and the House of Representatives of the Twentieth Nortbern Marianas Commonwealth Legislature. Sincerely, Q: ;d' Senate Clerk l Attachments

TH SENATR 'MlmETH NORTHERN MARIANAS COMMONW AI.TH L.6ISLATURR SENATE BUJ. NO. 20-07, SDI AN ACT To amend 2 CMC 4435(f) and to repeal 2 CMC 4435(h); and for other purposes. OITered by Senator(s): Arnold I. Palacios SENATII AC110N Date: January 20, 2017 Referred to: Committee on Resources, Economic Development and Programs Standing Committee Report No.: 20-07 adopted on May 10,2017 First and Final Reading: May 10, 2017 HOIlSE AC110N Referred to: None Standing Committee Report No.: None First and Final Reading: September 05, 2017 DOLORES S. ERMU SENATE tlerk

THE SENATE TWENTIETH NORTHERN MARIANAS COMMONWEALTH LEGISLATURE FIRST REGULAR SESSION, 2017 S. B. NO. 20-07, SDl AN ACT To amend 2 CMC 4435(f) and to repeal 2 CMC 4435(h); and for other purposes. BE IT ENACTED BY THE TWENTIETH NORTHERN MARIANAS COMMONWEALTH LEGISLATURE: Section 1. Findinl!s and Purpose. The Legislature finds that Public Law 6-34 2 authorized the Northern Marianas Housing Corporation (NMHC), subject to certain terms 3 and conditions, to lease for commercial development certain lands situated in the North 4 Garapan Subdivision Annex No. 2. Public Law 6-34 further required the following: (I) 5 that all 45 existing housing units currently controlled by NMHC at the subject property be 6 replaced by decent, safe, sanitary housing at another, suitable location; (2) that all requisite 7 infrastructure facilities be installed and operational for said replacement housing; and (3) 8 that all current tenants of Annex No. 2 Section 8 housing, who so desire, be relocated to 9 the replacement housing before commencement of demolition of the existing housing or 10 construction of the proposed development. I I The Legislature finds that although NMHC opted out of the U.S. Department of 12 Housing and Urban Development's (RUD) Section 8 Housing Assistance Payments 13 Contracts rental housing program in 1997 and 1999 for the Annex subdivision, none of the 14 tenants of the Annex No. 2 housing have been displaced. In fact, the tenants were 15 accommodated either under the HUD Section 8 Housing Choice Voucher Program, 16 through which they were provided housing assistance vouchers to rent privately-owned 17 dwellings or the HOME Program for first-time homeowners.

SENATE BILL NO. 20-07, SDI Therefore, the purpose of this legislation is to expand the use of the lease 2 agreement payments to include supplementing and leveraging NMHC and HUD's housing 3 assistance and loan programs as well as other federal and local housing and community 4 programs offered or administered by NMHC; and to eliminate the lease agreement 5 requirement to replace the Annex housing units because there are sufficient housing 6 assistance units or vouchers to accommodate those qualified for such programs. 7 Section 2. Amendment. 2 CMC 4435(f) is hereby amended to read as follows: 8 "(f) Taat \3aymeats te MIHA uaaer tae lease agfeehlellt sllall Be segregatea 9 trem all atller iaeame ar reseijlts af MIHA, sllall ae shlljeet ta EIl'lfiHal ahait By tile 10 Cammellwealtll PUBlie AHaiter, ana sllall ae Hsea selely fer tile falley/iag 11 \3Hf!3ases: That payments to NMHC under the lease agreement shall be set aside 12 and earmarked to supplement and leverage HUD's housing assistance and loan 13 programs, community planning and development programs; the United States 14 Department of Agriculture Rural Development CUSDA-RD) housing loan and 15 community planning and development programs, and other similar programs 16 available under the U.S. federal government; the NMHC direct family home loan 17 program; and also shall be used for the following purposes: 18 (I) To meet the obligations ofmiha NMHC;-ftS outstanding at the 19 time of execution of the lease; 20 (2) Te assist ill \3reviaillg illtrastruethre far ej(istillg ana fhthfe 21 Mariallas PHBlie Lalla Cef!3eratiell Yillage Ilemesteaa aeyele\3h1ellts, te tile 22 elheat taat FlL,\, FmBA, aba etller lew iaterest er gharanteea mertgage 23 \3ragrams tllhs aeeame availaale te law ana maaerate iaeel'be \3erseas 24 ahilaillg aemes ill tile Ilemesteaas; aaa 25 (3) Fer iayestmellt ill ealigatiells ef tfte URi tea States ge'efllmellt 26 tile ebflliags tram wllisll sllall Be Hsea By MIHA la jlfeyiae aesert, safe ara 27 sanitary llehsillg far \3ersells fer law aaa Aeaefate iaeeme; 28 (2) To provide working capital for NMHC direct family home loan 29 program; Page 2

SENATE BILL NO. 20-07, SDI I (3) To assist ill providing infrastructure for existing and future 2 village homestead developments for the islands of Saipan and the Northern 3 Islands, Rota, and Tinian to the extent that FHA, USDA RD, and other low 4 interest or guaranteed mortgage programs thus become available to very- 5 low, low and moderate income families building homes in the homesteads; 6 and 7 (4) To defray the costs of administering and managing NMHC's 8 housing assistance, housing loan and loan guarantee programs, community 9 development programs, and other programs that NMHC may administer in 10 the future." 11 Section 3. Repealer. 2 CMC 4435(h) is hereby repealed in its entirety: 12 "Eh) That all ellistiflg hsifsiflg elfffeatly esfltfsllea hy MIHA at tile slllljeet 13 flrsflerty he refllaeea hy aeeeflt, safe, saflitary, hsiisiflg at aflstller sllitahle lseatisfl, 14 tllat all reqllisite iflhastflletme faeilities he iflstallea afla sfleratisbal fer saia 15 refllaeemeflt llslfsing, afla tllat all elfffeflt teflants sf tlle Garaflafl Seetisfl 8 llsifsiflg, 16 wlls ss aesire, he relseatea ts tlle refllaeemeflt llsiisiflg, hefere tile esmmefleemeflt 17 sf aemslitisfl sf tlle eltistiflg llsifsiflg Sf esflstruetisfl sf tlle flfsflssea 18 aevelsflmeflt." 19 Section 4. Severability. If any provision of this Act or the application of any such 20 provision to any person or circumstance should be held invalid by a court of competent 21 jurisdiction, the remainder of this Act or the application of its provisions to persons or 22 circumstances other than those to which it is held invalid shall not be affected thereby. 23 24 Section 5. Savings Clause. This Act and any repealer contained herein shall not be construed as affecting any existing right acquired under contract or acquired under 25 statutes repealed or under any rule, regulation or order adopted under the statutes. 26 Repealers contained in this Act shall not affect any proceeding instituted under or pursuant 27 to prior law. The enactment of this Act shall not have the effect of terminating, or in any 28 way modifying, any liability civil or criminal, which shall already be in existence at the 29 date this Act becomes effective. Page 3

Public Law No. 20-\8 SENATE BLLL NO. 20-07, SDl Section 6. Effective Date. This Act shall take effect upon its approval by the 2 Governor or upon its becoming law without such approval., CERTIFIED BY: ----'<--- ARNOLD I. PALACIOS PRESIDENT OF THE SENATE SENA =- --' 2017 """"\'iftrf'(!'f'!ii(o r Commonwealth of the Northern Mariana Islands S Page 4