67-39.0025. Guarantee Program

Action by the Board, acting in its capacity as executive body of the Guarantor, shall be necessary for the Guarantee Program to implement any of the following:

(1) Approve Qualified Lending Institutions;

(2) Authorize the execution of a Guarantee or Guarantees on terms which minimize the financial risk to the Guarantee Program while assuring that the project is financially feasible;

(3) Approve the issuance of commitments to guarantee any Qualified Obligation or aggregate of Qualified Obligations;

(4) Authorize entering into contracts, agreements or treaties of insurance regarding Qualified Obligations or aggregate of Qualified Obligations;

(5) Allocate funds to satisfy the Guarantor’s contractual obligations pursuant to the Program Documents under any Guarantee;

(6) Establish time limits in which a Qualified Obligation must be made or purchased in order to be eligible for a Guarantee;

(7) Establish the premium charges for its Guarantees in amounts determined to be no less than that suggested by the applicable Feasibility Study;

(8) Establish and levy such other charges and fees, including, fees for extension of time in which to close a Qualified Obligation unless the Board determines otherwise in writing in connection with applications for guarantee, guarantee commitments, contracts of guarantee and as are necessary to recover authorized reimbursable expenses under the Act;

(9) Modify, with respect to:

(a) Rate of interest associated with any Qualified Obligation for which a Guarantee has been issued;

(b) Time of payment of any installment of principal or interest, security or any other term, of any Qualified Obligation for which a Guarantee has been issued;

(c) The security for any Qualified Obligation, contract or agreement of any kind for which the Guarantee Program has issued a Guarantee or to which the Guarantee Program is party;

(d) Time limits established pursuant to subsection 67-39.025(6) F.A.C., or

(e) Other modifications requested or approved by the Obligor or Qualified Lending Institution or other party to the transaction.

(10) Foreclose on any Qualified Obligation in financial or technical default or commence any action to protect or enforce any rights conferred upon the Corporation and the Guarantee Program pursuant to any Guarantee of such Qualified Obligation or authorized by any documents provided as collateral for any Guarantee, or otherwise to acquire or take possession of any property pledged as collateral for any Qualified Obligation;

(11) Hold, manage, administer, lease, or sell any property conveyed to or acquired by the Guarantor;

(12) Authorize the payment, pursuit to final collection, compromise, settlement, collection, waiver or release any right, title, claim, lien or demand, however acquired, including any equity or right of redemption;

(13) Authorize the sale, at public or private sale, any mortgage, mortgage participation or other obligation held by the Guarantor or the Guarantee Program;

(14) Authorize the procurement of insurance against any loss in connection with property pledged as collateral for any Guarantee or property of the Guarantor and held for the benefit of the Guarantee Program;

(15) Enter into contracts related to the management of Guarantee Program resources, including any risk-sharing arrangements;

(16) Authorize staff to:

(a) Set the date and conditions on which offering materials to be utilized by a Qualified Lending Institution that reference the Guarantee Program and the proposed Guarantee may be released; and,

(b) Prohibit distribution of any offering materials in connection with a HUD risk-sharing transaction until the Guarantor has received the HUD firm approval letter, unless otherwise approved by the Board in writing;

(17) Authorize the establishment of such other contractual provisions as are necessary or incidental to the foregoing; and,

(18) Authorize the prioritization of issuance of Guarantees with respect to Qualified Obligations issued under the HUD Risk-Sharing Program over other Guarantees.

Rulemaking Authority 420.507(25), 420.5092(4) FS. Law Implemented 420.5092 FS. History–New 1-8-02.