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



(1)  The submission of requests or the invitation of
proposals 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 and
the purchasing of eligible loans, eligible improvement loans, or eligible
project loans to be made by mortgage lenders by auction, invitation of tenders,
or negotiation; and



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



(b)  The corporation shall establish standards
and requirements for:



(1)  The allocation of loans to mortgage lenders;



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



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



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



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