[Code of Federal Regulations]
[Title 44, Volume 1]
[Revised as of October 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 44CFR206.118]

[Page 441]
 
              TITLE 44--EMERGENCY MANAGEMENT AND ASSISTANCE
 
 CHAPTER I--FEDERAL EMERGENCY MANAGEMENT AGENCY, DEPARTMENT OF HOMELAND 
                                SECURITY
 
PART 206_FEDERAL DISASTER ASSISTANCE FOR DISASTERS DECLARED ON OR AFTER 
 
       Subpart D_Federal Assistance to Individuals and Households
 
Sec.  206.118  Disposal of housing units.

    (a) FEMA may sell housing units purchased under Sec.  
206.117(b)(1)(ii), Temporary housing, direct assistance, as follows:
    (1) Sale to an applicant.
    (i) Sale to the individual or household occupying the unit, if the 
occupant lacks permanent housing, has a site that complies with local 
codes and ordinances and part 9 of this Title.
    (ii) Adjustment to the sales price. FEMA may approve adjustments to 
the sales price when selling a housing unit to the occupant of a unit if 
the purchaser is unable to pay the fair market value of the home or unit 
and when doing so is in the best interest of the applicant and FEMA.
    (iii) FEMA may sell a housing unit to the occupant only on the 
condition that the purchaser agrees to obtain and maintain hazard 
insurance, as well as flood insurance on the unit if it is or will be in 
a designated Special Flood Hazard Area.
    (2) Other methods of disposal:
    (i) FEMA may sell, transfer, donate, or otherwise make a unit 
available directly to a State or other governmental entity, or to a 
voluntary organization, for the sole purpose of providing temporary 
housing to disaster victims in major disasters and emergencies. As a 
condition of the sale, transfer, or donation, or other method of 
provision, the State, governmental entity, or voluntary organization 
must agree to:
    (A) Comply with the nondiscrimination provisions of the Stafford 
Act, 42 U.S.C. 5151; and
    (B) Obtain and maintain hazard insurance on the unit, as well as 
flood insurance if the housing unit is or will be in a designated 
Special Flood Hazard Area.
    (ii) FEMA may also sell housing units at a fair market value to any 
other person.
    (b) A unit will be sold ``as is, where is'', except for repairs FEMA 
deems necessary to protect health or safety, which are to be completed 
before the sale. There will be no implied warranties. In addition, FEMA 
will inform the purchaser that he/she may have to bring the unit up to 
codes and standards that are applicable at the proposed site.

[67 FR 61452, Sept. 30, 2002; 67 FR 62896, Oct. 9, 2002]