[§201H-97]  Housing loan programs;procedures and requirements.  (a)  The corporation shall establishprocedures for:

(1)  The submission of requests or the invitation ofproposals for loans to mortgage lenders;

(2)  The purchase of existing loans by auction,invitation of tenders, or negotiation;

(3)  The making of advance commitments to purchase andthe purchasing of eligible loans, eligible improvement loans, or eligibleproject loans to be made by mortgage lenders by auction, invitation of tenders,or negotiation; and

(4)  Loan applications made through mortgage lendersto eligible borrowers or qualified sponsors.

(b)  The corporation shall establish standardsand requirements for:

(1)  The allocation of loans to mortgage lenders;

(2)  The allocation of funds to purchase existingloans from mortgage lenders;

(3)  The making of advance commitments and allocationof funds to purchase eligible loans, eligible improvement loans, or eligibleproject loans from mortgage lenders; and

(4)  The participation by mortgage lenders asoriginators and processors of eligible loans, eligible improvement loans, oreligible project loans on behalf of the corporation.

(c)  The standards and requirements for theallocation of funds to mortgage lenders shall be adopted by the corporation andshall be designed to include the maximum number of qualified mortgage lendersas participants in the housing loan programs. [L 2006, c 180, pt of §4]