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(a) Each day in which a borrower is assessed with interest on the principal loan amount of a predatory loan shall constitute a separate violation of this Chapter.
(b) Any person who violates this Chapter shall be subject to a fine of not less than one hundred dollars ($100) and not more than three hundred dollars ($300) per day of violation.
(2) Loss of City Contracts.
(a) No person or business entity shall be awarded a contract with the City or a City Agency if the person or business entity or any of its affiliates is a high cost lender or a predatory lender. Every contract with the City shall contain a provision requiring that the person or business entity with which the City is contracting must certify that neither the person or business entity nor any of its affiliates is a high cost lender or a predatory lender. Nothing in this Section shall affect the validity of any contract entered into in connection with any debt obligations issued by or on behalf of the City, regardless of whether the contract was awarded in compliance with this Section. Any other contract awarded in violation of this Section shall be voidable at the option of the City.
(b) Any contract, lease, grant condition or other agreement entered into by the City with any City-related Agency shall contain a provision requiring that the City-related Agency, in the procurement of goods and services purchased pursuant to agreement between the City and the City-related Agency, abide by the provisions of subsection (a) of this Section as though such procurement was directly subject to such provision. The City-related Agency shall require City approval for any waivers.
(c) The Procurement Commissioner may suspend the ineligibility of a person or business entity in order to allow execution of a contract with the person or entity upon written application by the head of the City agency or City-related Agency affected by the proposed contract, setting forth facts sufficient in the judgment of the purchasing agent to establish:
(.1) that the public health, safety or welfare of the City requires the goods or services of the person or business entity; and
(.2) that the City is unable to acquire the goods or services at comparable price and quality, and in sufficient quantity from other sources.
(3) Loss of Commercial Activity License. No person possessing a commercial activity license may, in connection with any home repair or improvement contract, act as agent for, or advertise, promote, recommend the services of, or make a direct or indirect referral to a high cost lender or a predatory lender or an affiliate of a high cost lender or a predatory lender, as defined in this Chapter. Any person who intends to operate or is operating in violation of this Section or Section 9-2403 shall be subject to the revocation of its commercial activity license pursuant to Section 19-2602 of The Philadelphia Code. 1138
(4) Forfeiture of Government Funded Housing Assistance. Any person or business entity which receives any grant funds from the City or a City Agency which are subject to regulation under Chapter 21-1100 of The Philadelphia Code to assist a borrower in securing a high cost or predatory loan shall forfeit all such funds to the City, provided that nothing herein shall restrict the ability of any agency receiving grant funds from the City from providing counseling services to borrowers of threshold and high cost loans. Any contract, lease, grant condition or other agreement entered into by the City with any City-related Agency shall contain a provision requiring that the City-related Agency, in the administration of governmental housing assistance funds abide by the provisions of this subsection as though its administration of such funds was directly subject to the provisions of this subsection.
Amended, Bill No. 110758 (approved December 21, 2011), effective May 1, 2012.