HARRY HUGHES, Governor

677

time of application to the Authority" is deleted.
It creates a procedural burden that may be unduly
restrictive and, since the commitment is a
prerequisite to approval in any event, is
substantively unnecessary.

As to the scope of this subsection, see revisor's
note to subsection (a) of this section.

(G) FIRST LIEN MORTGAGE; EXCEPTION.

(1)   EXCEPT AS OTHERWISE PROVIDED IN THIS
SUBSECTION, THE MORTGAGE SHALL BE A FIRST LIEN MORTGAGE.

(2)   IF THE INDUSTRIAL PROJECT IS A PROJECT
DESCRIBED IN § 13-101 (G)(1)(IV), (V), OR (VI) OF THIS
SUBTITLE:

(I)   IN ADDITION TO MEETING ANY OTHER
ELIGIBILITY REQUIREMENTS AND UNDERWRITING CONSIDERATIONS,
THE MORTGAGE LIEN SHALL EXTEND TO FIXED ASSETS THAT THE
AUTHORITY FINDS WILL AFFORD ADEQUATE SECURITY FOR ITS
INSURING RISK; AND

(II)   THE MORTGAGE MAY BE A SECOND LIEN
MORTGAGE.

REVISOR'S NOTE: This subsection is new language derived
without substantive change from the first
sentence of Art. 41, § 266-O(6) and from Art. 41,
§ 266T(c).

As to the scope of this subsection, see revisor's
note to subsection (a) of this section.

13-133. LIMIT ON AGGREGATE OF OUTSTANDING INSURANCE.

THE AUTHORITY MAY NOT INSURE THE MORTGAGE PAYMENTS OF
ANY PROPOSED MORTGAGE LOAN IF THE TOTAL AMOUNT OF THE
INSURED PORTIONS OF THE PRINCIPAL OBLIGATIONS OF ALL

MORTGAGES OUTSTANDING AT ANY ONE TIME WOULD EXCEED AN AMOUNT
EQUAL TO FIVE TIMES THE BALANCE IN THE FUND.

REVISOR'S NOTE: This subsection presently appears as
the last clause of Art. 41, § 266T (a).

The only changes are in style.

The term "Fund" is defined in § 13-101(e) of this
subtitle.

13-134. LIMITS ON PRINCIPAL OBLIGATION AND INSURABLE

PORTION.

(A) MAXIMUM PRINCIPAL OBLIGATION.

TO BE ELIGIBLE FOR INSURANCE UNDER THIS SUBTITLE, THE