§ 1807.501 Commitments.

(a) The CMF Award must be Committed for Use by the Recipient to one or more Eligible Uses as provided in § 1807.301 within two years from the Effective Date of the CMF Award, as such date designated in the Recipient's Assistance Agreement. (b) The Recipient must achieve Project Commitment of the entire CMF Award within three years from the Effective Date of the CMF Award as designated in the Recipient's Assistance Agreement. (c) The Recipient must evidence a Project Commitment with a written, legally binding agreement to invest in a Project by providing the CMF Award proceeds to the qualifying Family, developer or project sponsor in which: (1) Construction on real estate can reasonably be expected to start within 12 months of the Project Commitment agreement date; or (2) Property title on real estate will be transferred within six months of the Project Commitment agreement date; or (3) Construction schedule on real estate ensures Project Completion within five years of a date specified in the Assistance Agreement; or (4) The Recipient has entered into a Secondary Market Mortgage Purchase agreement with a third-party lender to purchase the qualified mortgages and the subject mortgages would not otherwise have been originated by the third-party lender absent that agreement; or (5) A commitment for a qualified Homeownership Program has been made by the action of the Recipient's Board of Directors; or (6) The Recipient has entered into a Loan Guarantee agreement or has established a cash reserve, escrow, or accounting-based accrual reserve with a lender or investor for a Loan Loss Reserve.