Sec. 05.18.01.07. Grant Terms and Conditions

A. Grant Agreement. Each grantee shall be required to execute a grant agreement with the Department which shall contain such terms as the Department determines to be necessary to ensure compliance with this chapter, any special conditions imposed by grant approval, and any other terms and conditions specified by the Department.

B. Grant Amount. The grant amount awarded for a project may not exceed, for each housing unit, 20 percent of the average purchase price, over the last 3 fiscal years for which data are available, of a residence financed by a residential mortgage loan purchased by the Administration under the Maryland Mortgage Program in the geographic region where the grant is to be awarded. The Department may provide in its policies for a lower maximum grant amount per project or per housing unit which will be awarded in any given fiscal year under the Program.

C. Grant Term and Project Completion. The grantee shall complete the project within 2 years from the effective date of the grant agreement unless the Department, in its discretion, permits an extension of the grant term in the event of delays in project implementation beyond the reasonable control of the grantee. The grant shall be disbursed over the term as provided in the grant agreement.

D. Repayment. The Department may require that a grant made under the Program be repaid, in whole or in part, upon the occurrence of:

(1) Default under the terms of a grant agreement;

(2) Failure of the recipient to complete the project within the time period specified in this regulation; or

(3) Other conditions specified by the Department.