1284

LAWS OF MARYLAND

[Ch. 257

EXCEPTIONS TO ANY CODE OR STANDARD, WITH THE APPROVAL OF
THE LOCAL ENFORCEMENT AUTHORITY WHEN NECESSARY TO
PRESERVE THE HISTORIC OR ARCHITECTURAL VALUE OF ANY
BUILDING UNDERGOING REHABILITATION PURSUANT TO THIS
SECTION.

(6)    "BUILDING" MEANS ANY STRUCTURE WHICH,
AFTER REHABILITATION, PROVIDES ONE TO FOUR DWELLING
UNITS, OR WHICH SERVES THE NONRESIDENTIAL COMMERCIAL,
BUSINESS, OR SOCIAL NEEDS OF THE COMMUNITY WHERE IT IS
LOCATED, SO AS TO [[COMPLIMENT]] COMPLEMENT OR ENHANCE
THE ECONOMIC FEASIBILITY OF HOUSING REHABILITATION IN
THAT COMMUNITY.

(7)    "SPONSOR" MEANS AN OWNER WHO RECEIVES A
LOAN TO REHABILITATE A BUILDING FOR RESIDENTIAL RENTAL
PURPOSES, FOR NONRESIDENTIAL PURPOSES, OR FOR BOTH. A
SPONSOR SHALL AGREE THAT ALL DWELLING UNITS REHABILITATED
WITH THE PROCEEDS OF THE LOAN SHALL BE OCCUPIED BY
FAMILIES OF LIMITED INCOME FOR AT LEAST FIVE YEARS AFTER
THE REHABILITATION OF THOSE UNITS IS COMPLETED. THE
SECRETARY SHALL ESTABLISH NEED CRITERIA FOR THE SPONSOR
AND THE SPONSOR MOST HAVE BEEN DENIED A LOAN FROM AT
LEAST TWO PRIVATE LENDING INSTITUTIONS BEFORE HE CAN
QUALIFY

(8)    "FUND" MEANS THE NET PROCEEDS OF STATE
BONDS DESIGNATED FOR THE PURPOSE OF THIS ACT.

(9)    "POLITICAL SUBDIVISION" MEANS ANY
MUNICIPAL CORPORATION IN MARYLAND SUBJECT TO THE
PROVISIONS OF ARTICLE 11E OF THE CONSTITUTION, THE MAYOR
AND CITY COUNCIL OF BALTIMORE, AND ANY OF THE
TWENTY-THREE COUNTIES IN MARYLAND.

(C) THE MARYLAND HOUSING REHABILITATION PROGRAM IS
CREATED.

(1)    THE DEPARTMENT SHALL OPERATE THE
PROGRAM, AND MAKE REHABILITATION LOANS FROM THE FUND
UNDER THE PROVISIONS OF THIS SECTION.

(2)    THE DEPARTMENT SHALL ALLOCATE AND
ANNUALLY REALLOCATE THE FUND, AMONG THE COUNTIES, TO
ENSURE THAT ALL AREAS OF MARYLAND ARE SERVED, TAKING INTO
ACCOUNT (I) THE NUMBER OF FAMILIES OF LIMITED INCOMES IN
THE COUNTY, (II) THE NEED FOR REHABILITATION OF BUILDINGS
IN THE COUNTY, (III) THE EXTENT OF THE CAPABILITY OF THE
COUNTY TO ADMINISTER A REHABILITATION PROGRAM, AND (IV)
ANY OTHER CRITERIA THE DEPARTMENT DEEMS RELEVANT TO
ENSURE FAIR AND EQUITABLE DISTRIBUTION OF FUNDS AMONG THE
COUNTIES. IN MAKING ITS ALLOCATIONS, THE DEPARTMENT MAY
INITIALLY ALLOCATE ON A COUNTY-WIDE BASIS, AND THEN MAKE
SUBALLOCATIONS AMONG PARTICIPATING POLITICAL SUBDIVISIONS