New Imputed Interest Rates for Capital Improvements Announced - 12/27/99

CURRENT YEAR ACTUAL AND IMPUTED INTEREST RATES ON CAPITAL IMPROVEMENTS
(MENU NO. 55)

November 27, 1999

The Rules and Regulations entitle owners to a reasonable rate of interest when funds are expended for capital improvements. For all petitions filed between March 1, 2000 through February 28, 2001the imputed interest rate for owners who expend their own funds and do not borrow the money is 5.4% (multiplier is .01432) for improvements amortized over a 7 year period. The rate is 5.3% (multiplier is .01075) for improvements amortized over 10 years. For all petitions filed between March 1, 1999 through February 29, 2000the imputed interest rate for owners who expend their own funds and do not borrow the money is 5.3% (multiplier is .01428) for improvements amortized over a 7 year period. The rate is 5.3% (multiplier is .01075) for improvements amortized over 10 years. If money was borrowed, the owner is entitled to the actual rate, up to a maximum of 10%. The imputed interest rate is used for money borrowed through the use of a credit card.

Please see Section 7.12 of the Rules for the listing of 7 and 10 year items. The new rates are announced each year around the end of December on this menu. You can obtain a copy of these rates by using our fax back service when you request a copy of this script. Just choose the fax back option which immediately follows this menu item.