MARVIN MANDEL, Governor

2649

THE FUNDS AVAILABLE FOR THESE PROGRAMS AMONG THE
SUBDIVISIONS, BASED UPON THEIR RELATIVE NEED, THE
AUTHORITY SHALL, TO THE EXTENT PRACTICABLE, ADJUST THE
ALLOCATIONS MADE AMONG THE MORTGAGE LENDERS[[,]] IN
ACCORDANCE WITH SUBSECTION (C), BY EARMARKING SUCH PART
OF THEM AS IS NECESSARY FOR THE PURPOSE[[,]] TO THE
MAKING OF HOME MORTGAGES ON HOMES LOCATED IN THEIR
PRINCIPAL TRADING AREA.

(F)   IF A MORTGAGE LENDER INDICATES A DESIRE NOT TO
PARTICIPATE IN THESE PROGRAMS, OR IN ANY PHASE OF THEM,
IT SHALL NOT BE INCLUDED AS A MORTGAGE LENDER FOR
PURPOSES OF THESE ALLOCATIONS. IF A MORTGAGE LENDER
FAILS TO UTILIZE ITS ADJUSTED ALLOCATION, OR ANY PART OF
IT, IN ACCORDANCE WITH THIS SUBTITLE AND THE RULES AND
REGULATIONS OF THE AUTHORITY, ITS ALLOCATION, OR PART OF
IT NOT UTILIZED, SHALL BE FORFEITED AND REDISTRIBUTED
AMONG THE REMAINING PARTICIPATING MORTGAGE LENDERS.

(G)   [[IT IS THE INTENTION OF THE GENERAL ASSEMBLY
THAT, TO THE EXTENT PRACTICABLE, THE AUTHORITY SHOULD USE
THE FUNDS AVAILABLE FOR THE LOAN TO LENDERS AND THE
MORTGAGE PURCHASE PROGRAMS TO PURCHASE PERCENTAGE
INTERESTS IN NEW HOME MORTGAGE LOANS ORIGINATED BY THE
MORTGAGE LENDERS, IN ORDER TO STIMULATE HOME MORTGAGE
LENDING ACTIVITY AND ENCOURAGE MORTGAGE LENDERS TO
UTILIZE THEIR OWN FUNDS FOR THAT PURPOSE. THE LOAN TO
LENDERS PROGRAM AND THE AUTHORITY TO PURCHASE EXISTING
HOME MORTGAGE LOANS, INTERESTS IN THEM, OR ENTIRE NEW
HOME MORTGAGE LOANS ARE INTENDED TO ALLOW FLEXIBILITY IN
THE ENTIRE PROGRAM. IN ORDER TO EFFECTUATE THIS
INTENTION, THE AUTHORITY MAY DESIGNATE, AS TO EACH
MORTGAGE LENDER'S ADJUSTED ALLOCATION, WHAT PAST OF IT
MAY BE USED FOR THE LOAN TO LENDERS PROGRAM AND WHAT PART
OF IT MAY BE USED FOR THE VARIOUS OPTIONS AVAILABLE UNDER
THE MORTGAGE PURCHASE PROGRAM.]]

[[(H)]] [[THE DECISIONS MADE BY THE AUTHORITY UNDER
THIS SECTION ARE FINAL AND BINDING; AND ABSENT PRIMA
FACIE EVIDENCE OF FRAUD OR ILLEGALITY, THEY ARE NOT
SUBJECT TO JUDICIAL REVIEW.]] THE ALLOCATIONS AND
DECISIONS MADE BY THE AUTHORITY UNDER THIS SECTION SHALL
NOT AFFECT THE VALIDITY OF ANY BONDS ISSUED BY THE
AUTHORITY.

463. USE OF PROCEEDS.

(A) THE AUTHORITY SHALL ADOPT RULES, REGULATIONS,
AND PROCEDURES TO ENSURE THAT THE PROCEEDS MADE AVAILABLE
TO MORTGAGE LENDERS [[UNDER THE LOAN TO LENDERS AND]] BY
THE MORTGAGE PURCHASE PROGRAMS ARE UTILIZED SOLELY FOR
THE PURPOSE OF MAKING MORTGAGE LOANS ON SINGLE FAMILY
RESIDENCES LOCATED IN MARYLAND, WHETHER OR NOT INSURED,
IN ACCORDANCE WITH THE ALLOCATIONS DETERMINED PURSUANT TO