§ 44-C — Federally-aided mortgage loans

§ 44-c. Federally-aided mortgage loans. 1. In addition to the powers\nof the agency to make mortgage loans to companies organized pursuant to\narticle two of this chapter and notwithstanding any limitations\ncontained in such article or in this article in connection with mortgage\nloans made to such companies, the agency may make or finance the making\nof a federally-aided mortgage loan to the owner of a project upon such\nterms and conditions not inconsistent with the provisions of this\nsection as it shall require, the proceeds of which are substantially to\nbe used to finance the construction, reconstruction, rehabilitation or\nimprovement of a project intended to be occupied by three or more\nfamilies. A federally-aided mortgage loan made or financed by the agency\nshall not exceed an amount equal to the lesser of (i) the maximum\nmortgage loan authorized or approved by the federal government or (ii)\none hundred percent of the development cost of the project approved by\nthe agency.\n 2. No federally-aided mortgage loan shall be made or financed to a\ncompany organized pursuant to article two of this chapter unless the\ncommissioner has made the findings required by such article. No\nfederally-aided mortgage loan shall be made or financed to any other\nperson, firm, corporation, partnership or association unless (a) the\ncommissioner finds that (i) the project is consistent with the needs of\nthe state and the county, city, town or village in which it is located,\nor with a plan or undertaking for the clearance, replanning,\nreconstruction or rehabilitation of a substandard and insanitary area or\nareas, and (ii) the plans and specifications for the project conform to\nall applicable federal, state and local laws, ordinances, rules,\nregulations or requirements, (in making such finding the commissioner\nmay rely upon approvals, consents and certifications of governmental\nauthorities exercising jurisdiction over the project, including the\nfederal and state government, and any subdivision, agency, bureau, board\nor commission thereof), and (b) the agency finds that (i) the estimated\nrevenues of the project will be sufficient to cover all probable costs\nof operations and maintenance, all installments of principal and\ninterest on the indebtedness relating to the project, taxes, and such\nother expenses, including the maintenance of reserves, as may be\nprojected or required by the agency or the federal government, and (ii)\nthe project is to be substantially occupied by persons or families of\nlow-income. In determining whether a project will be substantially\noccupied by persons or families of low-income the agency may consider\nand rely upon the purpose of the federal program of mortgage insurance,\nco-insurance, or housing assistance payments in connection with which\nthe mortgage loan is made.\n 3. A company organized pursuant to article two of this chapter which\nsubsequent to the first day of June, nineteen hundred seventy-nine has\nobtained a commitment from the agency to make or finance the making of a\nfederally-aided mortgage loan and the project of such company shall not\nbe subject to any restrictions, limitation or procedure imposed by or\npursuant to such article relating to any matter which is the subject of\nany restriction, limitation or procedure imposed by or pursuant to any\napplicable law, regulation or requirement of the federal government or\nagreement entered into pursuant thereto.\n 4. As used in this section or in connection with a federally-aided\nmortgage loan the term project shall mean a specific work or\nimprovement, whether or not to effectuate all or any part of a plan, and\nshall include the lands, buildings and improvements acquired, owned,\nconstructed, managed or operated to provide dwelling accommodations and\nsuch incidental and appurtenant commercial, recreational and community\nfacilities as may be approved by the agency.\n