Reasonable Operating Expenses means expenses that arise from the operation, maintenance and routine repair of the Project, including all payments and deposits required under this Agreement and any of the Loan Documents, and that comply with the requirements of 24 C.F.R. 232.1007, or successor regulation.
Reasonable Operating Expenses means expenses that arise from the operation, maintenance and routine repair of the Project, including all payments and deposits required under this Security Instrument and any Loan Document, and comply with the requirements of 24 C.F.R. 232.1007, or successor regulation.
Reasonable Operating Expenses means the reasonable expenses and payments that arise from the purchase of goods or services which are exclusively used for the operation, maintenance, and routine repair of the Project (including all payments and deposits required under this Agreement, the Note, or the Security Instrument), or as otherwise permitted by Program Obligations.
Examples of Reasonable Operating Expenses in a sentence
Reasonable Operating Expenses do not include amounts paid for betterments as defined in the Project’s jurisdiction or improvements unless determined by HUD to be prudent and appropriate.
All expenditures in connection with the Healthcare Facility must be fully documented so as to provide reasonable assurance to all persons or entities that review such expenditures that such expenditures are Reasonable Operating Expenses.
Undocumented expenses shall not be considered Reasonable Operating Expenses.
More Definitions of Reasonable Operating Expenses
Reasonable Operating Expenses means expenses that arise from the operation, maintenance and routine repair of the Project, including all payments and deposits required under this Security Instrument and any Loan Document.
Reasonable Operating Expenses means expenses that arise from the operation, maintenance and routine repair of the Project and that primarily benefit the Project as opposed to the Borrower’s Principals or Affiliates, or as otherwise permitted by Program Obligations.
Reasonable Operating Expenses means expenses that arise from the operation, maintenance and routine repair of the Project and that primarily benefit the Project as opposed to Borrower or as permitted in Program Obligations.
Reasonable Operating Expenses means expenses that arise from the operation, maintenance
Reasonable Operating Expenses means expenses that arise from the operation, maintenance and routine repair of the Project, including all payments and deposits required under this Security Instrument and any Loan Document, and comply with the requirements of 24 C.F.R. 232.1007, or successor regulation. Previous versions obsolete Page 12 form HUD-94000-ORCF (06/2014)
Reasonable Operating Expenses means expenses that arise from the operation, maintenance and routine repair of the Project, including all payments and deposits required under this Agreement, any Loan Document, and that primarily benefit the Project as opposed to Borrower’s Principals or Affiliates, or as otherwise permitted by Program Obligations. Salaries or other compensation to Affiliates of the Borrower or entities with an Identity of Interest with the Borrower, except to the extent approved by HUD, including without limitation through Program Obligations, shall not be considered Reasonable Operating Expenses and shall be deemed Distributions.
Reasonable Operating Expenses means expenses that arise from the operation, maintenance and routine repair of the Project, including all payments and deposits required under this Agreement, any Loan Document, and that primarily benefit the Project as opposed to Borrower’s Principals or Affiliates, or as otherwise permitted by Program Obligations. Salaries or other compensation to Affiliates of the Borrower or entities with an Identity of Interest with the Borrower, except to the extent approved by HUD, including without limitation through Program Obligations, shall not be considered Reasonable Operating Expenses and shall be deemed Distributions. [Treating all payments to related parties or entities as “unreasonable” and furthermore, treating them as Distributions, is a non-starter. Many owner/operators have ancillary companies providing services to a Project, be it therapy companies, pharmacies, Quality Assurance, or whatever. Operators with these ancillary businesses will not agree to HUD’s “unreasonable no matter what” characterization, nor with any Distribution limitation imposed on those legitimate costs. Similarly, family owners/operators who pay themselves market-rate salaries should not be subjected to these limitations for the same reasons. HUD is over- reaching here. If there is a default under Borrower Regulatory Agreement that is not cured within an applicable cure period by a Borrower, limitations on payments to Affiliates, without HUD approval, may be imposed, but even then, market-rate payments, be it of salaries or for ancillary services must be permitted.] “Rent,” “Profits” and “Income” shall include: all rent due pursuant to any Master Lease or Operator Lease; any payments due pursuant to any Residential Agreement; any other lease payments, revenues, charges, fees and assistance payments arising from the operation of the Project, including but not limited to, if and for so long as applicable, commercial leases, workers’ compensation, social security, Medicare, Medicaid, and other third-party reimbursement payments, Accounts Receivable (as defined in the Borrower’s Security Instrument) and all payments and income arising from the operation of the Healthcare Facility and/or the provision of services to residents thereof.