12-5222.   Powers of cities and counties.In addition to powers which a city or county may have, cities and countiesshall have all powers necessary to accomplish the purposesof this act including, but not limited to, the following:

      (a)   To acquire, and to contract and enter into advance commitments toacquire, home mortgage loans owned by lending institutions at such pricesand upon such other terms and conditions determined by such cityor county or such other person as it may designate as its agent;

      (b)   to make and execute contracts with lending institutions for the originationand servicing of home mortgage loans on behalf of a city or county and topay the reasonable value of services rendered in accordance with such contracts;

      (c)   to make loans to lenders to enable such lenders to make home mortgageloans in accordance with this act;

      (d)   to establish, by rules or regulations, by ordinances relating to anyissuance of bonds or in any financing documents relating to such issuance,such standards and requirements applicable to the purchase of home mortgageloans or the origination of home mortgage loans or loans to lenders as suchcity or county deems necessary or desirable to effectuate the public purposesof this act;

      (e)   to issue its bonds to defray, in whole or in part (1) the costs ofacquiring or originating home mortgage loans or making loans to lendersin order to enable them to make home mortgage loans for homes to be occupiedby mortgagors; (2) the costs of studies and surveys, insurance premiums,underwriting fees, legal, accounting and marketing services incurred inconnection with the issuance and sale of such bonds, including amounts requiredto establish reasonably necessary bond and interest reserve accounts, andtrustee, custodian and rating agency fees; and (3) such other costs as arereasonably related to the foregoing;

      (f)   to authorize the sale or other disposition of any home mortgage loan,in whole or in part, upon such terms, at such prices and times, and fromtime to time, as may be necessary to assure that the revenues and receiptsto be derived with respect to the home mortgage loans, together with anyinsurance proceeds, funds held in reserve accounts and earnings thereon,shall produce and provide revenues and receipts at least sufficient to providefor the prompt payment of the principal of, redemption premiums, if any,and interest at maturity of all bonds issued pursuant to this act;

      (g)   to pledge any revenues and receipts to be received from or in connectionwith any home mortgage loans to the punctual payment of bonds authorizedunder this act, and theinterest and redemption premiums, if any, thereon;

      (h)   to mortgage, pledge or grant security interests in any home mortgageloans, notes or other property in favor of the holder or holders of bondsissued therefor;

      (i)   to issue its bondsfor the purpose of refunding one or more times, in whole or in part, bonds theretoforeissued by such municipality pursuant tothe constitution or laws of the state of Kansas to finance the originationor acquisition of mortgage loans for one to four family residences;

      (j)   to appoint or designate a bank or trust company either within or withoutthe state to serve as trusteeor custodian for the benefit of the bondholders and to delegate andassign thereto, insofar as it may lawfully do so, its rights, duties andresponsibilities with respect to carrying out and enforcing the terms andprovisions of its residential housing finance plan;

      (k)   to provide for and authorize the use and disposition of any fundsremaining in the possession of the city or county, or trustee or custodiandesignatedby such city or county, following payment and retirement of any bonds issuedpursuant to this act; and

      (l)   to make and execute contracts and other instruments necessary orconvenientto the exercise of any of the powers granted herein.

      History:   L. 1982, ch. 60, § 4; L. 1983, ch. 71, § 3;L. 1986, ch. 86, § 1;L. 1991, ch. 62, § 1; April 25.