Ch. 311

LAWS OF MARYLAND

assistance of the residential mortgage program contemplated by
this section cannot achieve the construction or rehabilitation of
adequate housing for persons and families of low or moderate
income. The alternative of forcing families to live in
substandard housing is undesirable since it tends to decrease the
interest of families in their communities, the maintenance of
their property, and the preservation of their neighborhoods. The
counties have a basic public interest in providing a supplemental
source of single-family residential mortgage funds at a cost
lower to the borrower than otherwise prevailing for' residential
mortgages for low and moderate income persons and families and a
basic interest in stimulating a steady flow of funds for
residential housing for low and moderate income persons and
families and for low and middle class residential housing in
order to assist in maintaining a well-balanced society,
maintaining existing housing, preserving established
neighborhoods, and maintaining a sound tax base.

[(2)] (C) A large number of county residents have
been and will be subject to hardship in finding decent, safe, and
sanitary housing unless new facilities are constructed and
existing housing, where appropriate, is rehabilitated. Unless
the supply of housing and the ability of low and moderate income
persons and families to obtain mortgage financing is increased
significantly and expeditiously, a large number of residents of
Allegany, Anne Arundel, Calvert, Frederick, Howard, Kent,
Washington, and Worcester counties may be compelled to live in
unsanitary, overcrowded, or unsafe conditions to the detriment of
the health, welfare, and well-being of these persons and of the
whole community of which they are a part. By increasing the
housing supply of the counties and the ability of low and
moderate income persons and families to obtain mortgage
financing, the clearance, replanning, development and
redevelopment of blighted areas will be aided, the critical
shortage of adequate housing will be ameliorated, and the ability
to preserve and utilize existing housing and neighborhoods will
be greatly enhanced.

[(3)] (D) A major cause of this housing crisis is the
lack of funds at borrowing costs which are at' a level whereby low
and moderate income persons and families can afford to own and
maintain decent, safe, and sanitary housing. An additional major
cause of a housing crisis is the lack of funds available to
finance housing by the private mortgage lending institutions of
the State. This lack of funds has frustrated the maintenance,
sale, and purchase of existing residences in Allegany, Anne
Arundel, Calvert, Frederick, Howard, Kent, Washington, and
Worcester counties.

[(4)] (E) The authority and powers conferred under
this section and the expenditure of public moneys necessary and
appropriate to carry out a residential mortgage program as
contemplated in this section, constitute the serving of a valid

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