Code of Maine Rules
94 - INDEPENDENT AGENCIES
457 - FINANCE AUTHORITY OF MAINE (FAME)
Chapter 326 - COMPLIANCE ASSISTANCE LOAN PROGRAM
Section 457-326-6 - Terms and Conditions; Fees and Other Charges

A. Periodic payments of principal and interest on loans shall be established in accordance with a borrower's individual needs.

B. Loans shall not exceed terms of 15 years.

C. Additional requirements and covenants of each loan may be established, provided that each borrower shall at a minimum be required to maintain and repair collateral, maintain adequate insurance covering public liability, hazard, and flood insurance if the borrower is located in a flood plain, and comply with all applicable federal, State and local laws, regulations, ordinances and orders. Each borrower shall also be required to maintain such environmental liability insurance as may be required by the Chief Executive Officer.

D. The borrower shall pay to the Authority a loan origination fee equal to 1.5% of the loan amount as follows: 1% due at closing and .5% payable monthly over the first year of the loan. Commencing on the first anniversary date of the loan and annually thereafter, the borrower shall also pay to the Authorityan annual loan administration fee in an amount equal to .75% of the outstanding principal balance of the loan remaining due, payable over the next 12 months of the loan. The borrower shall be responsible for the Authority's attorney's fees (whether of the Authority's legal division or outside counsel) and all out of pocket costs and expenses of underwriting, closing, administering and collecting the loan.

E. Closing costs, but not loan origination or administration fees, may be financed.

F. Any loan made pursuant to this program may be assumed by a purchaser of the premises from which the facility or tank is removed, provided that the loan may only be assumed by a for profit entity which would be eligible for a loan on the same terms and conditions as the original borrower. The eligibility of any such assuming entity shall be determined by the Chief Executive Officer.

G. Installation, renovation, and removal of any underground oil storage tank facility and equipment must be completedin accordance with 06-096 CMR Chapter 691 of the rules of the MDEP and applicable law, by or under the direction of a person certified by the Maine Board of Underground Storage Tank Installers. All disposal of tanks and facilities shall be in accordance with applicable laws. The Authority may require evidence of compliance with these conditions.