Sec. 8-37vv. Rental Housing Revolving Loan Fund. Regulations.
Sec. 8-37vv. Rental Housing Revolving Loan Fund. Regulations. (a) As used
in this section, (1) "eligible building" means a structure located in a distressed municipality, as defined in section 32-9p, that contains not more than twenty residential units,
and may contain an owner-occupied unit, and (2) "eligible costs" means costs incurred
to make renovations and repairs to bring an eligible building into compliance with the
State Building Code or state or municipal health or safety codes, or otherwise to make
an eligible building suitable for rental to tenants.
(b) There is established a revolving loan fund to be known as the "Rental Housing
Revolving Loan Fund". The fund may be funded from moneys allocated to the program
established by section 8-37pp or from any moneys available to the Commissioner of
Economic and Community Development or the fund from other sources. Investment
earnings credited to the fund shall become part of the assets of the fund. Any balance
remaining in the fund at the end of any fiscal year shall be carried forward in the fund
for the next fiscal year. Payments of principal or interest on a low interest loan made
pursuant to this section shall be paid to the State Treasurer for deposit in the Rental
Housing Revolving Loan Fund. The fund shall be used to make low interest loans pursuant to subsection (c) of this section and to pay reasonable and necessary expenses incurred in administering loans under this section. The Commissioner of Economic and
Community Development may enter into contracts with nonprofit corporations to provide for the administration of the Rental Housing Revolving Loan Fund by such nonprofit corporations, provided no low interest loan shall be made from the fund without
the authorization of the commissioner as provided in subsection (c) of this section.
(c) The state, acting by and in the discretion of the Commissioner of Economic and
Community Development, may enter into contracts to provide financial assistance in
the form of low interest loans to owners of eligible buildings for eligible costs. The
commissioner may require owners of eligible buildings who apply for a low interest
loan pursuant to this section to submit a copy of the report filed by the building inspector
listing code violations, and an estimate of the cost of repairs to correct such violations.
The commissioner may establish priorities for the low cost loans provided pursuant to
this program, including, but not limited to, types of repairs financed, the location of the
eligible building, ability of owners to repay such loans, and the extent to which any
repairs will extend the useful life of the eligible building.
(d) The commissioner may adopt regulations, in accordance with the provisions of
chapter 54, to specify application procedures and priorities for providing low cost loans
pursuant to this section.
(May 9 Sp. Sess. P.A. 02-5, S. 17.)
History: May 9 Sp. Sess. P.A. 02-5 effective July 1, 2002.