(a) Agreements. HRC shall prepare standard form Loan agreements and any related security instruments, which will be subject to negotiation as deemed appropriate by the HRC Director.
(b) Funding Disbursement. HRC shall be responsible for approving the disbursement of Loans and monitoring the performance of Borrowers under this Chapter 110 and enforcing the applicable agreements. HRC shall establish commercially reasonable protocols to oversee the use and expenditure of Loans.
(c) Loan Servicing. HRC shall collect revenues due and owing under Loans, maintain records of all such revenues, and maintain annual statements of such accounts. Loan repayments shall be deposited into the Forgivable Loan for First-Time Homebuyers Fund established in the Administrative Code Chapter 10, Article XIII, Section 10.100-13, in accordance with Program Regulations.
(d) Fees for Services. HRC may charge reasonable fees, including Loan origination and monitoring fees, and such other necessary fees to administer the Program. HRC shall include a statement of the fees in the Program Regulations.
(e) Refinance and Loan Workouts. The HRC Director is authorized to refinance, restructure, modify, or extend the term of any Loan and any related agreements, only to the extent consistent with Section 110.6.
(f) Monitoring and Enforcement.
(1) HRC may take such actions as may be reasonably necessary to enforce Loan requirements and collect on any security, including the foreclosure of any deeds of trust, possession of rents and other revenues, or the demand and collection under any guaranty or other security instrument.
(2) HRC may also take action to protect its security or its interest in a Property, including curing a default under a senior loan or acquiring Property at a tax sale, foreclosure, through a deed in lieu of foreclosure, or through a judicial process. The HRC Director may, following consultation with the MOHCD Director and the City Attorney, accept a deed or other security or interest in Property as part of any remedy related to a default under the Loan.
(Added by Ord. 56-24, File No. 230864, App. 3/22/2024, Eff. 4/22/2024, Oper. 5/22/2024)