2212

LAWS OF MARYLAND

Ch. 629

(6) ADOPT RULES AND REGULATIONS TO CARRY OUT THE
PROGRAM IN CONFORMANCE WITH STATUTORY REQUIREMENTS.

(B) NOTWITHSTANDING ANY PROVISION OF THIS SUBTITLE OR ANY
OTHER LAW OR REGULATION, THE DEPARTMENT MAY:

(1)  MAKE AND PARTICIPATE IN MAKING MORTGAGE LOANS TO
SPONSORS FOR ANY RENTAL HOUSING PRODUCTION PROJECT INCLUDING
LOANS FOR DEVELOPMENT COSTS RELATED TO THE CONSTRUCTION OR
REHABILITATION OF A PROJECT AND LOANS FOR THE ACQUISITION OF
COMPLETED PROJECTS;

(2)  OWN OR LEASE A RENTAL HOUSING PRODUCTION PROJECT
OR THE LAND THEREFOR DURING THE CONSTRUCTION OR REHABILITATION OF
A PROJECT AND SELL, ASSIGN, OR TRANSFER THE PROJECT WITHOUT
PUBLIC BIDDING OR PUBLIC SALE TO A SPONSOR UPON ITS COMPLETION
UPON SUCH TERMS AND CONDITIONS AS MAY BE DETERMINED TO MAKE
ECONOMICALLY FEASIBLE RENTAL HOUSING AVAILABLE FOR FAMILIES OF
LOWER INCOME;

(3)  ACQUIRE A RENTAL HOUSING PRODUCTION PROJECT OR
THE LAND THEREFOR UPON COMPLETION OF THE PROJECT AND THEREAFTER
TRANSFER THE PROJECT OR LAND TO AN ELIGIBLE SPONSOR;

(4) ENTER INTO AGREEMENTS TO PAY ANNUAL SUMS IN LIEU
OF ASSESSMENTS, CHARGES, OR PROPERTY TAXES TO ANY POLITICAL
SUBDIVISION;

(5) (4) LIMIT THE RETURN ON EQUITY ALLOWED TO
SPONSORS OR ENTER INTO EQUITY PARTICIPATION AGREEMENTS WITH
SPONSORS; OR

(6) (5) WITHIN THE LIMITS ESTABLISHED FOR FAMILIES OF
LOWER INCOME, ESTABLISH INCOME RANGES AND PERCENTAGES OF EACH
INCOME RANGE TO BE SERVED BY A RENTAL HOUSING PRODUCTION PROJECT.

266MM-5.

(A)  THE PROGRAM SHALL OPERATE AS A CONTINUING, NONLAPSING,
SPECIAL FUND, THAT CONSISTS OF MONEYS APPROPRIATED BY THE STATE
TO THE PROGRAM. THE FUND SHALL BE CALLED THE RENTAL HOUSING
PRODUCTION FUND.

(B)  THE DEPARTMENT SHALL USE THE FUND TO MAKE LOANS AND TO
PAY EXPENSES OF THE PROGRAM. UPON ISSUANCE OF A BINDING
COMMITMENT TO MAKE A LOAN, AN AMOUNT EQUAL TO THE COMMITMENT
SHALL BE TRANSFERRED FROM THE FUND TO THE DEPARTMENT.

(C)  THE STATE TREASURER SHALL HOLD AND THE STATE
COMPTROLLER SHALL ACCOUNT FOR THE FUND. THE FUND SHALL BE
INVESTED AND REINVESTED. ANY INVESTMENT EARNINGS SHALL BE PAID
INTO THE FUND. ANY REPAYMENT OF LOANS FROM THE FUND SHALL BE
PAID INTO THE FUND.

266MM-6.