B-128522, JAN. 25, 1957

B-128522, JAN. 25, 1957

TO HONORABLE LEWIS L. STRAUSS, CHAIRMAN, UNITED STATES ATOMIC ENERGY COMMISSION:

REFERENCE IS MADE TO THE GENERAL MANAGER'S LETTER OF JANUARY 23, 1957, CONCERNING THE APPLICATION OF BUDGET CIRCULAR NO. A-45 TO RENTALS AT RICHLAND, WASHINGTON. IN OUR LETTER TO YOU OF DECEMBER 10, 1956, WE ADVISED THAT A REAPPRAISAL OF RENTALS AT RICHLAND JUSTIFIABLY MIGHT BE POSTPONED UNTIL FEBRUARY 1, 1957, IN VIEW OF THE PROBABILITY THAT THE ADMINISTRATOR, HOUSING AND HOME FINANCE AGENCY, WOULD BY THEN HAVE MADE A DETERMINATION AS TO THE FEASIBILITY OF UNDERTAKING A PROGRAM FOR THE SALE OF THE GOVERNMENT-OWNED HOUSING AT THAT COMMUNITY.

THE GENERAL MANAGER'S LETTER STATES THAT THE ADMINISTRATOR, HHFA, DID NOT RECEIVE THE ANALYSIS OF THE FHA APPRAISAL AT RICHLAND WHICH HE HAD CONTRACTED FOR IN TIME TO PERMIT HIM TO MAKE A DETERMINATION AS TO FEASIBILITY BY FEBRUARY 1, 1957, BUT THAT HE EXPECTS TO BE ABLE TO MAKE SUCH A DETERMINATION SHORTLY THEREAFTER. FOR THESE REASONS, THE GENERAL MANAGER'S LETTER REQUESTS OUR VIEWS AS TO THE PROPRIETY OF FURTHER POSTPONING A REAPPRAISAL OF RICHLAND RENTALS UNTIL MARCH 15, 1957.

UNDER THE CIRCUMSTANCES, WE BELIEVE YOU WOULD BE JUSTIFIED IN POSTPONING A REAPPRAISAL OF RICHLAND RENTALS UNTIL MARCH 15, 1957. HOWEVER, AS WE STATED IN OUR LETTER OF DECEMBER 10, 1956, IN A SITUATION WHERE THE DISPOSITION OF GOVERNMENT-OWNED HOUSING IS NOT LIKELY TO BEGIN WITHIN A REASONABLY SHORT TIME AFTER THE TIME WHEN A RENT REAPPRAISAL OTHERWISE WOULD BE REQUIRED UNDER BUDGET CIRCULAR NO. A-45, WE SEE NO REASON WHY THE PROVISIONS OF THE CIRCULAR SHOULD NOT BE CONSIDERED APPLICABLE. THEREFORE, IN THE EVENT THAT NO DETERMINATION AS TO FEASIBILITY HAS BEEN MADE BY THE ADMINISTRATOR, HHFA, BY MARCH 15, 1957, WE BELIEVE THE QUESTION OF EXEMPTION OF THE RICHLAND HOUSING FROM BUDGET CIRCULAR NO. A- 45 IS A MATTER WHICH MUST BE DECIDED BY THE BUREAU OF THE BUDGET.