Title 15 . Revenue

Chapter 151 . (Repealed)

Section 535. Fee schedule and commitment periods

15 AAC 151.535. Fee schedule and commitment periods

(a) The Corporation will enter into a commitment agreement to make, participate in the making, purchase, or participate in purchasing a loan under 15 AAC 151.500. The maximum commitment period that the Corporation will permit is a commitment agreement under this section as follows:

(1) for a term loan, 24 months; and

(2) for a construction, rehabilitation, or improvement loan, 12 months.

(b) Subject to refunding and crediting as provided in 15 AAC 151.535(c) , and unless the Corporation determines, in its sole discretion, that another amount is appropriate, the Corporation will charge the following fees in connection with making, participating in the making, purchasing, or participating in the purchase of a loan under 15 AAC 151.500:

(1) loan commitment fee - if the Corporation expects to issue bonds before funding a loan, a commitment fee equal to 1.5% of the approved loan amount is required at the time of commitment acceptance by the borrower;

(2) loan fee - if the Corporation does not expect to issue bonds before funding the loan, the following loan fees are required at the time of loan closing by the borrower:

(A) for a term loan to a non-profit corporation, an agency of the state, a municipality, a regional housing authority, or a corporation organized under 43 U.S.C. 1601 - 1629e, as amended, or any wholly-owned subsidiary of such corporation:

the first $1,000,000 .50% the next $ 4,000,000 .375% the next $10,000,000 .25% the next $15,000,000 .125% (B) for a term loan to an individual, partnership, joint-venture, or for-profit corporation: the first $1,000,000 1.0% the next $ 4,000,000 .75% the next $10,000,000 .50% the next $15,000,000 .25%

(C) for a construction, rehabilitation, or improvement loan to a non-profit corporation, an agency of the state, a municipality, a regional housing authority, or a corporation organized under 43 U.S.C. 1061 - 1629e, as amended, or any wholly-owned subsidiary of such corporation: .75 percent of the loan amount; and

(D) for a construction, rehabilitation, or improvement loan to an individual, partnership, joint-venture, or for-profit corporation, 1.5 percent of the loan amount.

(3) secondary mortgage purchase fee - if the Corporation expects to sell the mortgage to a secondary investor such as FNMA or FHLMC, the applicant must pay all costs associated with the sale to the secondary investor;

(4) extension of commitment - subject to the provisions of 15 AAC 151.535(c) , the Corporation will, in its discretion, permit an extension of the firm commitment for up to 180 days for good cause upon receipt of a fee equal to:

(A) one-half of one percent of the loan amount for:

(i) a non-profit corporation;

(ii) an agency of the state;

(iii) a municipality;

(iv) a regional housing authority; or

(v) a corporation organized under 43 U.S.C. 1601 - 1629e, as amended, or any wholly-owned subsidiary of such corporation and (B) one percent of the loan amount for any other borrower under 15 AAC 151.500.

(c) Subject to the requirements of this subsection, the Corporation will refund a portion of the loan commitment fee described in 15 AAC 151.535(b) (1) or, at the option of the borrower, credit it towards closing costs, if applicable. The portion of the loan commitment fee that the Corporation will refund or credit pursuant to the preceding sentence is the amount calculated by the Corporation that, when deducted from the loan commitment fee that was initially collected from the borrower, will leave the amount that would have been charged to the borrower under 15 AAC 151.535(b) (2). A refund or crediting under this subsection is available only if the loan closes to the satisfaction of the Corporation and within the firm commitment period and under the terms specified in the Corporation's commitment relating to the loan.

History: Eff. 5/7/93, Register 130; am 8/3/94, Register 132

Authority: AS 18.56.088

AS 18.56.090

AS 18.56.099