4.2.3 Appeals

A. Lenders have the right to appeal HUD decisions regarding the issuance of an Invitation for Firm Application or Firm Commitment with which they do not agree. There is no appeal process for the concept meeting recommendation. Other parties (Borrowers, third parties) do not have a formal right to appeal. Appeals must be filed in writing and delivered electronically and by hard copy to the Regional Director. The appeal must explicitly address the basis for the appeal and disagreement and include supporting documentation and background information. It should also include a copy of relevant previous correspondence and reports.

B. The Regional Director will assign the appeal for review to staff not involved in the original decision. The Regional Director will issue a written response to the Lender within 30 days of receipt of the appeal, or such other period of time as practicable. If the original decision being appealed was a result of a Regional Center Loan Committee which the Regional Director participated in, the Regional Director will either hear the appeal or may request it be treated as a second level appeal and referred to HUD Headquarters.

C. If the Lender is not satisfied with the appeal decision, they have the right to a second level appeal, which should be addressed to the Director of Multifamily Production in HUD Headquarters. The Director will assign the appeal for review to technical support or other staff not involved in the original decision. The Director will issue a written response to the Lender within 30 days of receipt of the appeal, or such other period of time as practicable.