Section 125.132. Processing and evaluation of applications.

(1) An application   for  a  development  fund   loan  or  a determination that a proposed housing project is a feasible housing project, or both, shall be processed by the authority staff on the basis of processing and underwrit-ing procedures and guidelines developed by the authority staff under direction of the executive director on behalf of the authority.

(2)     An applicant may be required to  furnish  to  the  authority  staff supplement- ary information and to amend the application to cause the proposed hous-ing project to be consistent with the authority's processing and under-writing pro-cedures and guidelines.

(3)      Upon completion of the processing, all applications for a determination that a proposed housing project  is  feasible  and  all  applications   for development fund loans in the principal amount of $250,000 or more shall be presented to the authority for approval, along with the authority staff analysis of the application and the executive director's recommendation  with respect to the application.

(4)         If   the  principal   amount  of  the     development    fund     loan     is    less     than

$250,000.00, the executive director shall review the authority staff analysis and,  if  the executive director determines that all of the following requirements are met:

(a)     The applicant is an applicant authorized by the act to receive  a development fund loan.

(b)       The applicant shall use the loan funds in planning for or implementing any activi-ties permitted in the act.

(c)     The applicant is reasonably expected  to  be  able  to  successfully imple-ment the proposal.

(d)     The authority reasonably anticipates that the applicant will receive an authority- aided or a federally-aided mortgage loan, to be obtained to provide financing for the proposed housing project.

(e)     The development fund loan can reasonably be anticipated to be repaid from the proceeds of the authority-aided or a federally-aided mortgage loan. Then the executive director may issue, on behalf of the  authority,   a commitment for a development fund loan to the applicant. The development fund loan commitment shall contain terms, conditions,  and  requirements  as deemed neces-sary by the executive director.

History: 1979 AC; 1998-2000 AACS.