2011-379 Housing - Single Family Rehabilitation Program Funding Agreement

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(b) The Member must repay the Agency for any costs deemed ineligible by the Agency in its discretion. The Member must also repay the Agency for any expended funds for units that do not meet the ownership and property requirements as stated in PG 4.1.3 &4.1.4 (24CFR92.254(b), "Qualification as affordable housing:homeownership". Any funds repaid to the Agency shall be subject to imputed interest. Section 4: Disbursement of Funding (a) The Member cannot request disbursement of SFR funds until funds are needed for actual payment of eligible costs as defined in the SFR1 I Program Guidelines (PG 2.2.4). The amount of the request must be limited to the actual amount needed. Any interest earned on SFR funds held by the Member must be spent prior to using any other SFR funds. (b) SFR funds will be disbursed to the Member through electronic payments from the Agency and in accordance with PG 3.2. (c) The Member is eligible to request Program funds from the Agency only after the Agency has received this executed Agreement and a completed Signatory Form and Certification card ("Signatory card"). Section 5: Deposit of Funds (a) The Member shall establish a master account in an FDIC-insured banking institution to hold all Program funds. All interest earned on SFR funds shall be utilized in accordance with this agreement (b) All Program funds must be expended for eligible costs within twelve days of receipt. Any interest earned within the twelve-day period shall be retained as Program funds. Any interest earned on Program funds not expended for eligible costs within twelve days must be returned to the Agency. (c) The Agency reserves the right to require that all deposits made in the master account be available for withdrawal by the Member and the Agency. If the Agency chooses to exercise this option,an agreement for custodial accounts will be provided by the Agency. Page 4 of 12