J. MILLARD TAWES, Governor                     1037

(6) NOT HAVE A MATURITY LATER THAN THE INITIAL
TERM OF THE LEASE OF THE PROPERTY ON WHICH THE
MORTGAGE IS GRANTED; PROVIDED, HOWEVER, THAT
THIS SHALL IN NO WAY PRECLUDE THE PREPAYMENT OF
ANY MORTGAGE SO INSURED.

266U. Mortgage insurance premiums.

The Authority may fix mortgage insurance premiums for the in-
surance of mortgage payments under the provisions of this sub-title,
such premiums to be computed as a percentage 0/ the principal
obligation of the mortgage outstanding at the beginning of each
mortgage year. Such insurance premiums shall not be more than
three (3) per cent per year of said outstanding principal obligation
and shall be calculated on the basis of all pertinent and available
data. Such premiums shall be payable by the mortgagors or the
mortgagees in such manner as shall be prescribed by the Authority.
The amount of premium need not be uniform among the various
loans insured.

266V. Authority's expenses.

The Authority in its discretion may expend out of the fund such
moneys as may be necessary for any expenses of the Authority, in-
cluding administrative, legal, actuarial, and other services. SUBJECT
TO ANNUAL APPROVAL OF THE BUDGET BY THE GENERAL
ASSEMBLY.

266W. Authority for county-municipality participation.

A municipality or county, without in any event pledging its full
faith and credit in support of a mortgage, may borrow money and
execute a mortgage as security for the purpose of defraying the cost
of acquiring any industrial project either by purchase or construction,
after an ordinance or resolution has been adopted by the legislative
body of the municipality or county specifying the proposed under-
taking, the amount of money to be borrowed and the maximum rate
of interest to be paid. The ordinance or resolution shall further pro-
vide that the industrial project is to be acquired pursuant to the
provisions of this sub-heading, and shall also provide that the in-
dustrial project is to be acquired for a bona fide tenant, as evidenced
by a letter of intent or similar agreement between the prospective
tenant and the municipality or county borrowing the money. A
municipality or county may participate fully in the provisions of
this sub-heading, for the general purposes thereof. Nothing herein
shall be construed to authorize any municipality or county to acquire
any industrial project by eminent domain.

266X. Mortgages eligible for investment.

Notwithstanding any provisions of any rule at common law or any
general or special law, mortgages insured by the Authority under
this sub-title and participations therein are hereby made legal invest-
ments for all insurance companies, trust companies, banks, investment
companies, savings banks, building and loan associations, credit
unions, savings and loan associations, executors, administrators,
guardians, conservators, trustees and other fiduciaries, pension,
profit-sharing, and retirement funds.