HARRY HUGHES, Governor

775

(c) The Authority may approve for insurance a project
described in items (viii), (ix), or (x) of § 266-O(3) only
if, in addition to all other eligibility criteria and
underwriting considerations, the lien of the mortgage
extends to fixed assets which the authority determines
afford adequate security for its insuring risk.
Notwithstanding any other provision of this subtitle, the
mortgage lien may be a second lien.

266U.

(a)  The Authority may fix mortgage insurance premiums
for the insurance of mortgage payments under the provisions
of this subtitle, such premiums to be computed as a
percentage of the principal obligation of the mortgage or,
in the discretion of the Authority, of only the insured
portion of the mortgage, outstanding at the beginning of
each mortgage year. Such insurance premiums shall not be
more than three percent 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.

(b)  The Authority shall waive mortgage insurance
premiums for the insurance of mortgage payments with respect
to an industrial project where the Authority finds that such
an industrial project is located within a county or the City
of Baltimore for which the average percentage rate of
unemployment as determined by the Maryland Department of
Employment Security is at least one percent (1%) greater
than the average percentage unemployment rate for the United
States as determined by the United States Department of
Labor with respect to a preceding twelve-month period, which
period ends no more than twelve months prior to the date
that the Authority makes the determination as set forth
above.

266V.

The Authority in its discretion may expend, subject to
the approval of the Secretary of Economic and Community
Development, out of the fund such moneys as may be necessary
for any expenses of the Authority, including administrative,
legal, actuarial, and other services subject to annual
approval of the budget by the General Assembly.

266VA.

The provisions of this subtitle do not relieve the
mortgagor of the obligation to make payments in lieu of
taxes for services provided by any county or municipality.

266W.