106 STAT. 3768 PUBLIC LAW 102-550 —OCT. 28, 1992 or experience with the program established under this title or under the Emergency Low Income Housing Preservation Act of 1987. "(3) CRITERIA. — The criteria developed under this subsection shall— "(A) not assign any preference or priority to applications from eligible intermediaries based on their previous participation in administering or receiving Federal grants or loans (but may exclude applicants who have failed to perform under prior contracts of a similar nature); "(B) require an applicant to prepare a proposal that demonstrates adequate staffing, qualifications, prior experience, and a plan for participation; and "(C) permit an applicant to serve as the administrator of assistance made available under section 253(d) or (e), based on the applicant's suitability and interest. "(4) GEOGRAPHIC COVERAGE.—The Secretary may select more than 1 State or regional intermediary for a single State or region. The number of intermediaries chosen for each State or region may be based on the number of eligible low-income housing projects in the State or region, provided there is no duplication of geographic coverage by intermediaries in the administration of the direct assistance grant program. "(5) NATIONAL NONPROFIT INTERMEDIARIES.— National nonprofit intermediaries shall be selected to administer the assistance made available under section 253 only with respect to States or regions for which no other eligible intermediary, acceptable to the Secretary, has submitted a proposal to participate. "(6) PREFERENCE.—With respect to assistance made available under section 254, preference shall be given to eligible regional. State, and local intermediaries, over national nonprofit organizations. "(c) CONFLICTS OF INTEREST.—E l i g ible intermediaries selected xmder subsection (b) to disburse assistance under section 253 shall certify that they will serve only as delegated program administrators, charged with the responsibility for reviewing and approving grant applications on behalf of the Secretary. Selected intermediaries shall— "(1) establish appropriate procedures for grant administration and fiscal management, pursuant to standards established by the Secretary; and "(2) receive a reasonable administrative fee, except that they may not provide other services to grant recipients with respect to projects that are the subject of the grant application and may not receive payment, directly or indirectly, from the proceeds of grants they have approved. "(d) DEFINITION OF ELIGIBLE INTERMEDIARIES.—For purposes of this section, the term 'eligible intermediary' means a State, regional, or national organization (including a quasi-public organization) or a State or local housing agency that— "(1) has as a central purpose the preservation of existing affordable housing and the prevention of displacement; "(2) does not receive direct Federal appropriations for operating support; "(3) in the case of a national nonprofit organization, has been in existence for at least 5 years prior to the date of
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