Sec. 32-62. Revenue Bond Mortgage Insurance Fund.
Sec. 32-62. Revenue Bond Mortgage Insurance Fund. There is created a Revenue Bond Mortgage Insurance Fund. The insurance fund shall be held by the authority,
a trustee or other fiduciary or custodian designated by the authority. There shall be
deposited in the insurance fund such revenues and assets as the authority shall determine
to be deposited therein in accordance with this chapter and chapter 579 and any applicable contract or agreement entered into by the authority under section 32-65. Amounts
in the insurance fund shall be used in accordance with this chapter to satisfy any valid
insurance claim payable therefrom and may be used for any other purpose determined by
the authority in accordance with insurance contracts or contracts with eligible financial
institutions entered into pursuant to this chapter and said subsections, including without
limitation protecting the interest of the authority or eligible financial institutions in
projects during periods of loan delinquency or upon loan default. If the authority determines from time to time that the addition of money to the fund is required to meet the
obligations of the fund or to bid for and purchase mortgaged property at foreclosure
sale or would otherwise serve to protect the interests of the state or the insurance fund,
the authority with the approval of the Secretary of the Office of Policy and Management
may borrow temporarily from the General Fund for such purpose within the limitations
of the bond authorization contained in section 32-68. Any amounts temporarily loaned
to the insurance fund by the state pursuant to this section shall reduce the obligation of
the state to provide moneys to the insurance fund pursuant to section 32-67 to the extent
of the amounts so loaned, but such obligation shall be reinstated to the extent of any
principal repayment made to the state. Such amounts may also be withdrawn by the
authority at any time for the payment or reimbursement of its reasonable costs of administering the insurance program established hereby. Any amounts in the insurance fund
not currently needed to meet the obligations of the fund and the expenses of the authority
may be invested in obligations designated by the authority, and all income from such
investments shall become part of the insurance fund.
(P.A. 81-388, S. 3, 12; P.A. 88-265, S. 16, 36.)
History: P.A. 88-265 changed industrial revenue bond mortgage insurance fund to revenue bond mortgage insurance
fund, added provisions re temporary state loans to the insurance fund and made other technical changes.