No. 0430 authorizing execution of an "agreement for public body approval of Section 312 rehabilitation loans," and designating officials authorized to approve such loans on behalf of the public body

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y Sec. 6. RESTRICTION ON OFFICIALS AUTHORIZED TO APPROVE LOANS. The Public Body shall not initially or at any time during the term of this Agreement confer its authority to approve Section 312 loans under this Agreement upon any officer r employee who exercises any duties or responsibilities in the administration of the Public Body's Section 312 Loan Program, including, without limitation: a. Preparation of rehabilitation work writeups or cost estimates, or of construction contract documents; b. Obtaining information with respect to, completing with the borrower, or processing a Section 312 loan application or any of the related documents constituting the loan application file; c. Selection of or negotiation with contractors to perform the rehabilitation work; d. Authorization of disbursements from the rehabilitation escrow account, or signing or countersigning of checks drawn on the rehabilitation escrow account; e. Inspection of the rehabilitation work to ascertain whether the work is completed or for the purpose of authorizing any partial payment requested by a contractor; or f. Authorization of signing or signing of Form HUD -6245, Certificate of Final Inspection. Sec. 7, SUBMISSION OF DOCUMENTATION ® Promptly upon approval of a Section 312 loan by an appropriate official of the Public Body, the Public Body shall assemble and transmit to the Secretary the documentation required to be submitted with respect to a Section 312 loan approved by a Public Body, in accordance with such requirements and regulations of the Secretary as shall be in effect from time to time. The Public Body shall also promptly submit copies as required of any resolutions affecting the identity of Public Body officials authorized to approve Section 312 loans under the Agreement, any notices of the Public Body's determination to cancel this Agreement, and any other required documentation or reports, in accordance with such requirements and regulations. Sec. 8. SUPERVISION, ADMINISTRATION, AND INSPECTION The Public Body shall, at all proper times, provide or cause to be provided competent and adequate architectural, engineering, financial and other technical supervision and inspection of rehabilitation work financed by Section 312 loans approved under this Agreement. The Public Body shall keep full and accurate books and records with respect to Section 312 loans approved under this Agreement, and with respect to its administra- tion of the Section 312 loan program, and shall maintain them in accordance with such requirements and regulations of the Secretary as shall be in effect from time to time. The Public Body shall, at any time during normal business hours, and as often as the 1ecretary or the Government may deem necessary, permit the Secretary or any other representative of the Government, to inspect, make excerpts or transcripts of, copy, and audit such books and records. The Public Body will cooperate in any inspection of rehabilitation work financed by Section 312 loans approved under this Agreement, as deemed necessary by the Secretary or the Government. Sec. 9. COMPLIANCE WITH CIVIL RIGHTS ACT OF 1964 The Public Body will perform its activities under this Agreement in accordance with all requirements imposed by, or pursuant to regulations of the Secretary effectuating, Title VI of the -Civil Rights Act of 1964. Sec. 10. CANCELLATION OF APPROVED LOANS The Secretary reserves the right to cancel Section 312 loans approved by the Public Body, in accordance with the requirements and regulations of the Secretary in effect from time to time. Upon receipt of such notice of-cancellation, the Public Body shall promptly submit to the Secretary any documentation requested by him, and shall promptly refund the amount of the loan to the Secretary, on account of the Section 312 Loan Revolving Fund. Page 2