Ch. 62

LAWS OF MARYLAND

The Department shall manage and supervise the Maryland
Housing Fund. [The] A fund shall be deposited with the State
Treasurer to be held in such banks as he deems proper and shall
be accounted for by the State Comptroller in a special account
known as the "Maryland Housing Fund". [The] THIS fund shall be
invested and reinvested in the same manner as other State funds.
[The] THESE funds shall be used to insure mortgages accepted by
the Department under the provisions of this subtitle, or to
insure bonds or notes issued to finance any project that is
eligible for insurance under the provisions of this subtitle.
[The] THIS fund shall be managed in a manner which maximizes
assistance to local jurisdictions in insuring mortgages under the
provisions of this section.

3-203.

The Department, IN ITS OWN NAME OR IN THE NAME OF THE
MARYLAND HOUSING FUND, may insure upon such terms as it may
prescribe any mortgage offered or any bonds or notes issued which
are eligible for insurance under the provisions of this subtitle.
For the purposes of this section, the term "mortgage" includes
loans to finance or refinance the purchase of stock or membership
or to rehabilitate units in a cooperative ownership housing
corporation, and the term "housing" includes any ancillary
commercial or other facilities that are related and incidental to
the housing and would support the housing. Fees shall be
established for this insurance in an amount calculated to cover
administrative costs for this program as well as payments made
where defaults on mortgages, bonds or notes cause insured losses
to the lenders, bondholders or noteholders. THE DEPARTMENT, IN
ITS OWN NAME OR IN THE NAME OF THE MARYLAND HOUSING FUND, MAY
ACQUIRE, HOLD, IMPROVE, SELL, ASSIGN, EXCHANGE, TRANSFER, CONVEY,
LEASE, MORTGAGE, OR OTHERWISE DISPOSE OF OR ENCUMBER REAL
PROPERTY OR any interest therein. For any property acquired by
the Department through foreclosure or pursuant to any other
payment in settlement for a claim for loss, the Department may
make a mortgage loan to assist in the disposition of the
property.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act is an
emergency measure, is necessary for the immediate preservation of
the public health and safety, has been passed by a yea and nay
vote supported by three-fifths of all the members elected to each
of the two Houses of the General Assembly, and shall take effect
from the date it is enacted.

Approved April 12, 1988.

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