Workout agreements.

CFR · 2024-01-01 · US · Title 7

(a) (2) A borrower may develop and submit to the Agency for approval a workout agreement that proposes actions to (3) A borrower developed workout agreement may propose, but is not limited to, the following actions: (i) A combination of one or more of the special servicing actions outlined in §§ 3560.454 and 3560.455; (ii) A change in operations and management at a housing project; or (iii) A commitment of additional financial resources to the housing project with the amount and source of the additional resources to be committed to the housing project specifically identified. (b) (2) Borrower developed workout agreements may not be implemented until the borrower receives written approval from the Agency. (3) The Agency will only approve a workout agreement if the Agency determines that the actions proposed are likely to prevent or correct compliance violations or cure a default and approval is in the best interest of the Federal Government and tenants. (4) The Agency will only approve a workout agreement if the proposed actions are consistent with the borrower's management plan. If proposed actions are not consistent with the borrower's management plan, applicable revisions to the borrower's management plan must be made before approval of the workout agreement is given. (c) (2) At a minimum, workout agreements must include the following. (i) The name and address of the housing project, project number, borrower's tax identification number, and other information necessary to id

official document · source cfr-2024 · id 7:§ 3560.453