HARRY HUGHES, Governor

2193

amount of private financing which the project can support without
impairing the feasibility of the project and, if residential, of
providing affordable housing to limited-income tenants.

(c) The Maryland Housing Rehabilitation Program is created.
Except as otherwise specifically provided, the provisions of this
subsection shall not apply to [migratory housing facilities]
SPECIAL loans.

(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 at least
annually reallocate the PORTION OF THE fund NOT APPROPRIATED FOR
THE MAKING OF SPECIAL LOANS, 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
countywide basis, and then make suballocations among
participating political subdivisions within the counties. In
making its allocations, the Department may allocate up to 25
percent of the total moneys available in the fund to a reserve.
The Department may, from time to time, reallocate the moneys held
in reserve.

(3)  Each political subdivision certified by the
Department as capable of administering a rehabilitation program
may originate and administer loans made by the Department from
the allocation or suballocation to the political subdivision, in
accordance with regulations promulgated by the Department. The
Department shall, by regulation, establish criteria for
determining capability which shall include the size, training and
experience of the professional staff responsible for the
administration of a program and the capabilities of the staff for
determining local rehabilitation needs, for establishing
rehabilitation programs, for evaluating applications for
rehabilitation loans, and for monitoring the loans and the
rehabilitation work done under these loans. If the Department
determines that a political subdivision is not capable or does
not desire to administer a rehabilitation program, the Department
may originate and administer loans from the allocation or
suballocation to that political subdivision.

(4)  The Department may assist in training employees
of political subdivisions to help achieve and increase their
capability to administer rehabilitation programs in accordance
with the criteria determined by the Department. The Department
may provide technical assistance and advice to the political