Md. Code Regs. 05.05.02.01

Current through Register Vol. 51, No. 24, December 2, 2024

Section 05.05.02.01 - General

A. Authority. These regulations are adopted under the provisions of the Community Development Administration Act, Housing and Community Development Article, Title 4, Subtitle 2, Annotated Code of Maryland, as amended.

B. Purpose. These regulations are intended to promote the purposes of the Act, Housing and Community Development Article, Title 4, Subtitle 2, Annotated Code of Maryland, by implementing, interpreting, making specific, and otherwise carrying out the provisions of the Act within their scope. In particular, they are intended to provide basic information to sponsors of community development projects, public purpose projects, energy conservation projects, solar energy projects, and home improvement projects and will be supplemented by manuals and program directives from time to time.

C. Scope.

(1) This chapter applies to loans made or purchased by the Administration with the proceeds of revenue bonds and those funds derived from payments or prepayments on these loans, as authorized by Housing and Community Development Article, Annotated Code of Maryland, §§4-211(a)(10) and (b), 4-225-4-227, and 4-244-4-252. Loans made or purchased under this chapter shall be made or purchased to finance multi-family community development projects, public purpose projects, energy conservation projects, solar energy projects, and home improvement projects undertaken by private, public, or quasi-public sponsors, consistent with the intent of local governing bodies. This chapter also applies to loans financed by the Administration by purchase of a security guaranteed by the Government National Mortgage Association which security is backed by an insured loan financing a multi-family community development project or public purpose project.

(2) Ordinarily subject to these regulations are loans for home improvement projects, solar energy projects, or energy conservation projects when the project is being acquired and improved with revenue bond proceeds. The Administration will have a first lien security position in the project. Other home improvement, solar energy, and energy conservation loans for existing projects secured by subordinate liens will be financed ordinarily under COMAR 05.04.10.

Md. Code Regs. 05.05.02.01

Regulations .01, Community Development Financing Program, repealed and new Regulations .01, Multi-Family Housing Revenue Bond Financing Program, adopted effective October 30, 1989 (16:21 Md. R. 2260)