Oregon Administrative Rules
Chapter 813 - OREGON HOUSING AND COMMUNITY SERVICES DEPARTMENT
Division 37 - AFFORDABLE HOUSING LAND ACQUISITION REVOLVING LOAN PROGRAM (LAP)
Section 813-037-0040 - Program or Loan Default

(1) OHCS may deem an LAP loan to be in default when one or more of the following events occur:

(2) If a loan recipient fails to place appropriate affordable housing into service in conformance with subsection (1)(a) or when a loan or LAP default otherwise occurs, the loan recipient must pay OHCS an amount consistent with the principal of the original loan plus compounded interest calculated at the current market rate. Loan fees and other costs may also apply. Notwithstanding the foregoing, OHCS may, in its sole discretion, grant a partial or total exemption from the repayment requirements of this section if OHCS determines that a project is Substantially Completed or that the property has been substantially used as described in the original affordable housing development plan. When determining whether to grant a partial or total exemption under this section, OHCS may consider factors including, but not limited to, Extenuating Circumstances, community need and project specific circumstances.