37950. The local agency may provide financing to any participating
party for the purpose of residential rehabilitation authorized
pursuant to a comprehensive residential rehabilitation financing
program. All agreements for such loans shall provide that the
architectural and engineering design of the residential
rehabilitation shall be subject to such standards as may be
established by the local agency and that the work of such residential
rehabilitation shall be subject to such supervision as the local
agency deems necessary.
37951. The local agency may enter into loan agreements with any
participating party relating to residential rehabilitation of any
kind or character. The terms and conditions of such loan agreements
may be as mutually agreed upon. Any such loan agreement may provide
the means or methods by which any mortgage taken by the local agency
shall be discharged, and it shall contain such other terms and
conditions as the local agency may require. The local agency is
authorized to fix, revise, charge, and collect interest and principal
and all other rates, fees, and charges with respect to financing of
residential rehabilitation. Such rates, fees, charges, and interest
shall be fixed and adjusted so that the aggregate of such rates,
fees, charges, and interest will provide funds sufficient with other
revenues and moneys which it is anticipated will be available
therefor, if any, to do all of the following:
(a) Pay the principal of and interest on outstanding bonds of the
local agency issued to finance such residential rehabilitation as the
same shall become due and payable.
(b) Create and maintain reserves required or provided for in any
resolution authorizing such bonds. A sufficient amount of the
revenues derived from residential rehabilitation may be set aside at
such regular intervals as may be provided by the resolution in a
sinking or other similar fund, which is hereby pledged to, and
charged with, the payment of the principal of and interest on such
bonds as the same shall become due, and the redemption price or the
purchase price of bonds retired by call or purchase as therein
provided. Such pledge shall be valid and binding from the time the
pledge is made. The rates, fees, interest, and other charges,
revenues, or moneys so pledged and thereafter received by the local
agency shall immediately be subject to the lien of such pledge
without any physical delivery thereof or further act, and the lien of
any such pledge shall be valid and binding as against all parties
having claims of any kind in tort, contract, or otherwise against the
local agency, irrespective of whether such parties have notice
thereof. Neither the resolution nor any loan agreement by which a
pledge is created need be filed or recorded except in the records of
the local agency. The use and disposition of moneys to the credit of
such sinking or other similar fund shall be subject to the provisions
of the resolution authorizing the issuance of such bonds. Except as
may otherwise be provided in such resolution, such sinking or other
similar fund may be a fund for all bonds of the local agency issued
to finance the rehabilitation, construction, or acquisition of the
residence of a particular participating party without distinction or
priority. The local agency, however, in any such resolution may
provide that such sinking or other similar fund shall be the fund for
a particular residential rehabilitation project or projects and for
the bonds issued to finance such residential rehabilitation project
or projects and may, additionally, authorize and provide for the
issuance of bonds having a lien with respect to the security
authorized by this section which is subordinate to the lien of other
bonds of the local agency, and, in such case, the local agency may
create separate sinking or other similar funds securing the bonds
having the subordinate lien.
(c) Pay operating and administrative costs of the local agency
incurred in the administration of the program authorized by this
part.
37952. All moneys received pursuant to the provisions of this part,
whether proceeds from the sale of bonds or revenues or proceeds of
mortgage insurance or guarantee claims, if any, shall be deemed to be
trust funds to be held and applied solely as provided in this part.
Any bank or trust company in which such moneys are deposited shall
act as trustee of such moneys and shall hold and apply the same for
the purposes specified in this part, subject to the terms of the
resolution authorizing the bonds.
37950. The local agency may provide financing to any participating
party for the purpose of residential rehabilitation authorized
pursuant to a comprehensive residential rehabilitation financing
program. All agreements for such loans shall provide that the
architectural and engineering design of the residential
rehabilitation shall be subject to such standards as may be
established by the local agency and that the work of such residential
rehabilitation shall be subject to such supervision as the local
agency deems necessary.
37951. The local agency may enter into loan agreements with any
participating party relating to residential rehabilitation of any
kind or character. The terms and conditions of such loan agreements
may be as mutually agreed upon. Any such loan agreement may provide
the means or methods by which any mortgage taken by the local agency
shall be discharged, and it shall contain such other terms and
conditions as the local agency may require. The local agency is
authorized to fix, revise, charge, and collect interest and principal
and all other rates, fees, and charges with respect to financing of
residential rehabilitation. Such rates, fees, charges, and interest
shall be fixed and adjusted so that the aggregate of such rates,
fees, charges, and interest will provide funds sufficient with other
revenues and moneys which it is anticipated will be available
therefor, if any, to do all of the following:
(a) Pay the principal of and interest on outstanding bonds of the
local agency issued to finance such residential rehabilitation as the
same shall become due and payable.
(b) Create and maintain reserves required or provided for in any
resolution authorizing such bonds. A sufficient amount of the
revenues derived from residential rehabilitation may be set aside at
such regular intervals as may be provided by the resolution in a
sinking or other similar fund, which is hereby pledged to, and
charged with, the payment of the principal of and interest on such
bonds as the same shall become due, and the redemption price or the
purchase price of bonds retired by call or purchase as therein
provided. Such pledge shall be valid and binding from the time the
pledge is made. The rates, fees, interest, and other charges,
revenues, or moneys so pledged and thereafter received by the local
agency shall immediately be subject to the lien of such pledge
without any physical delivery thereof or further act, and the lien of
any such pledge shall be valid and binding as against all parties
having claims of any kind in tort, contract, or otherwise against the
local agency, irrespective of whether such parties have notice
thereof. Neither the resolution nor any loan agreement by which a
pledge is created need be filed or recorded except in the records of
the local agency. The use and disposition of moneys to the credit of
such sinking or other similar fund shall be subject to the provisions
of the resolution authorizing the issuance of such bonds. Except as
may otherwise be provided in such resolution, such sinking or other
similar fund may be a fund for all bonds of the local agency issued
to finance the rehabilitation, construction, or acquisition of the
residence of a particular participating party without distinction or
priority. The local agency, however, in any such resolution may
provide that such sinking or other similar fund shall be the fund for
a particular residential rehabilitation project or projects and for
the bonds issued to finance such residential rehabilitation project
or projects and may, additionally, authorize and provide for the
issuance of bonds having a lien with respect to the security
authorized by this section which is subordinate to the lien of other
bonds of the local agency, and, in such case, the local agency may
create separate sinking or other similar funds securing the bonds
having the subordinate lien.
(c) Pay operating and administrative costs of the local agency
incurred in the administration of the program authorized by this
part.
37952. All moneys received pursuant to the provisions of this part,
whether proceeds from the sale of bonds or revenues or proceeds of
mortgage insurance or guarantee claims, if any, shall be deemed to be
trust funds to be held and applied solely as provided in this part.
Any bank or trust company in which such moneys are deposited shall
act as trustee of such moneys and shall hold and apply the same for
the purposes specified in this part, subject to the terms of the
resolution authorizing the bonds.
37950. The local agency may provide financing to any participating
party for the purpose of residential rehabilitation authorized
pursuant to a comprehensive residential rehabilitation financing
program. All agreements for such loans shall provide that the
architectural and engineering design of the residential
rehabilitation shall be subject to such standards as may be
established by the local agency and that the work of such residential
rehabilitation shall be subject to such supervision as the local
agency deems necessary.
37951. The local agency may enter into loan agreements with any
participating party relating to residential rehabilitation of any
kind or character. The terms and conditions of such loan agreements
may be as mutually agreed upon. Any such loan agreement may provide
the means or methods by which any mortgage taken by the local agency
shall be discharged, and it shall contain such other terms and
conditions as the local agency may require. The local agency is
authorized to fix, revise, charge, and collect interest and principal
and all other rates, fees, and charges with respect to financing of
residential rehabilitation. Such rates, fees, charges, and interest
shall be fixed and adjusted so that the aggregate of such rates,
fees, charges, and interest will provide funds sufficient with other
revenues and moneys which it is anticipated will be available
therefor, if any, to do all of the following:
(a) Pay the principal of and interest on outstanding bonds of the
local agency issued to finance such residential rehabilitation as the
same shall become due and payable.
(b) Create and maintain reserves required or provided for in any
resolution authorizing such bonds. A sufficient amount of the
revenues derived from residential rehabilitation may be set aside at
such regular intervals as may be provided by the resolution in a
sinking or other similar fund, which is hereby pledged to, and
charged with, the payment of the principal of and interest on such
bonds as the same shall become due, and the redemption price or the
purchase price of bonds retired by call or purchase as therein
provided. Such pledge shall be valid and binding from the time the
pledge is made. The rates, fees, interest, and other charges,
revenues, or moneys so pledged and thereafter received by the local
agency shall immediately be subject to the lien of such pledge
without any physical delivery thereof or further act, and the lien of
any such pledge shall be valid and binding as against all parties
having claims of any kind in tort, contract, or otherwise against the
local agency, irrespective of whether such parties have notice
thereof. Neither the resolution nor any loan agreement by which a
pledge is created need be filed or recorded except in the records of
the local agency. The use and disposition of moneys to the credit of
such sinking or other similar fund shall be subject to the provisions
of the resolution authorizing the issuance of such bonds. Except as
may otherwise be provided in such resolution, such sinking or other
similar fund may be a fund for all bonds of the local agency issued
to finance the rehabilitation, construction, or acquisition of the
residence of a particular participating party without distinction or
priority. The local agency, however, in any such resolution may
provide that such sinking or other similar fund shall be the fund for
a particular residential rehabilitation project or projects and for
the bonds issued to finance such residential rehabilitation project
or projects and may, additionally, authorize and provide for the
issuance of bonds having a lien with respect to the security
authorized by this section which is subordinate to the lien of other
bonds of the local agency, and, in such case, the local agency may
create separate sinking or other similar funds securing the bonds
having the subordinate lien.
(c) Pay operating and administrative costs of the local agency
incurred in the administration of the program authorized by this
part.
37952. All moneys received pursuant to the provisions of this part,
whether proceeds from the sale of bonds or revenues or proceeds of
mortgage insurance or guarantee claims, if any, shall be deemed to be
trust funds to be held and applied solely as provided in this part.
Any bank or trust company in which such moneys are deposited shall
act as trustee of such moneys and shall hold and apply the same for
the purposes specified in this part, subject to the terms of the
resolution authorizing the bonds.
