686

LAWS OF MARYLAND

Ch. 33

Commission also notes that the amendment of
present Art. 41, § 266WA seems to preclude an
industrial project applicant acting as a
mortgagor if a public body does not participate.
The Authority indicates that this result was not
intended. Instead, the intended result was to
afford a tax exemption to the applicant if the
public body participated but the applicant was
mortgagor.

The only other changes are in style.

13-152. DEFAULT BY MORTGAGOR.

(A)   IN GENERAL.

(1)   IF A MORTGAGE INSURED BY THE AUTHORITY IS IN
DEFAULT AS TO ANY MORTGAGE PAYMENT, THE AUTHORITY, AFTER IT
IS NOTIFIED OF THE DEFAULT:

(I)   SHALL PAY ALL SUMS ATTRIBUTABLE TO THE
INSURED PORTION OF THE MORTGAGE, EXCLUSIVE OF ANY
ACCELERATION PROVISION, AS THE SUMS FALL DUE, BUT NO MORE,
TO THE EXTENT THAT THE MORTGAGE INSURANCE AGREEMENT
PROVIDES; AND

(II)   MAY PAY FOR NOT MORE THAN 1 YEAR, ALL
SUMS REQUIRED IN THAT PERIOD BY THE MORTGAGE, REGARDLESS OF
THE AMOUNT INSURED, IF THE AUTHORITY FINDS THAT PAYMENT IS
NECESSARY TO DELAY FORECLOSURE OF AN INDUSTRIAL PROJECT AND
THAT THE DELAY PROMOTES THE PURPOSES OF THIS SUBTITLE.

(2)   A PAYMENT BY THE AUTHORITY UNDER THIS
SUBSECTION DOES NOT RELIEVE A TENANT OF AN INDUSTRIAL
PROJECT FROM ANY OBLIGATION.

(B)   RENTAL FOR OTHER USES.

(1)   IF A MORTGAGE INSURED BY THE AUTHORITY IS IN
DEFAULT AS TO ANY MORTGAGE PAYMENT AND THERE IS A VACANCY IN
THE INDUSTRIAL PROJECT, THE AUTHORITY MAY PERMIT THE
MORTGAGOR TO LEASE OR RENT THE PROPERTY TO A TENANT FOR A
USE OTHER THAN AS AN INDUSTRIAL PROJECT.

(2)   THIS LEASE OR RENTAL OF THE PROPERTY SHALL
BE TEMPORARY AND SUBJECT TO THE CONDITIONS THAT THE
AUTHORITY REQUIRES.

REVISOR'S NOTE: This section presently appears as Art.
41, § 266R.

In subsection (a) (1) of this section, the phrase
"{i}f a mortgage ... is in default as to any
mortgage payment" — which conforms to the
similar language of subsection (b)(1) of this
section — is substituted for the less precise
phrase "{i}f a mortgagor defaults in payment of