USDA HB-1-3555, Chapter 14 (Funding), § 14.3

USDA HB-1-3555, Chapter 14 (Funding), § 14.3

Effective 2023-10-12 · USDA chapter revision · Procedure Notice 594

PRIORITIZATION OF FUNDING [7 CFR 3555.107] When funding is not sufficient to fund all applications, a priority system is used to ensure that applicants who meet the priorities established for the program are selected for processing first. The priority system is used to determine the order in which applications will be processed. If funds are limited, the Agency will prioritize requests to first-time homebuyers or veterans. In the case of applications with equivalent priority status that are received on the same day, preference in funding will be given to those qualifying for veteran’s preference. The following outlines the criteria to meet the prioritization: 1. Households that Qualify for First-Time Homebuyers Preferences [7 CFR 3555.10] A household qualifies for a first-time homebuyer preference if any applicant meets any one of the following criteria: • An individual who has had no ownership interest in a principal residence during the three-year period ending on the date of loan closing. • An individual who is a displaced homemaker and who, except for owning a home with a spouse, has had no ownership interest in a principal residence during the three-year period ending on the date of loan closing. A displaced homemaker who is unemployed or underemployed, and having trouble obtaining or upgrading employment. Or an individual who in recent years has worked primarily without earnings to care for the home and family and has not worked full-time, full-year in the labor force. • An individual who is a single parent and who, except for owning a home with a spouse, has had no ownership interest in a principal residence during the threeyear period ending on the date of loan closing. Single parents include any individual who is unmarried or legally separated from a spouse and has custody or joint custody of one or more minor children, or is pregnant. 2. Households that Qualify for Veterans Preferences [7 CFR 3555.10] A household qualifies for a veteran's preference if any applicant has served on active duty and has been discharged or released from the active forces on conditions other than dishonorable from the United States Army, Navy, Air Force, Marine Corps, or Coast Guard. The preference applies to the serviceperson, or the family of a deceased serviceperson who died in service before termination of such war or such period or era. The applicable time frames are: Paragraph 14.3 Prioritization of Funding • During the period of April 6, 1917 through March 31, 1921; • During the period of December 7, 1941 through December 31, 1946; • During the period of June 27, 1950 through January 31, 1955; • For a period of more than 180 days, any part of which occurred after January 31, 1955, but on or before May 7, 1975; • During the period beginning August 2, 1990 through January 2, 1992; or • Any other prescribed by Presidential Proclamation or law.

Source: USDA HB-1-3555, Chapter 14 (Funding), § 14.3 · source URL · snapshot a9d5b866236f91d4