**EXHIBIT A**

**TO**

**Loan Guaranty Information Letter 26-02-11**

**1. [PROPERTY INSPECTIONS]{.underline}**

Inspections should be conducted whenever the servicer/holder becomes
aware that the physical condition of the security may be in jeopardy.
Unless a repayment agreement is in effect, a property inspection shall
also be made:

a.  Before the 60th day of delinquency or before initiating action to
    liquidate a loan, whichever is earlier; and

b.  At least once each month after liquidation proceedings have been
    started.

c.  Whenever a servicer/holder obtains information which indicates that
    a property securing the loan is abandoned, it shall make appropriate
    arrangements to protect the property from vandalism and the
    elements. Thereafter, the servicer/holder shall schedule inspections
    at least monthly to prevent unnecessary deterioration due to
    vandalism or neglect. With respect to any loan more than 30 days
    delinquent, a property abandonment must be reported to the Secretary
    and appropriate action initiated under 36.4317(a) within 15 days
    after the holder confirms the property is abandoned.

d.  Reimbursement fees are listed on Exhibit B.

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2.  **[LOCKSET INSTALLATION]{.underline}**

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a.  An acceptable lock shall be installed in the door nearest the
    street. Existing lock and lock hardware on the door shall be removed
    and the door frame repaired prior to installation. All other
    exterior doors shall be secured and existing locks used when in good
    working order.

b.  All windows shall be closed and locked. When a lender installs the
    lockset, the keys (2) furnished with the lock must be forwarded to
    VA with VA Form 26-8903, Notice of Election to Convey and/or Invoice
    for Transfer of Property. These keys must be attached to receive
    reimbursement via the Claim Under Guaranty.

c.  On all vacant properties, the servicer/holder must arrange access so
    that the appraiser can conduct the liquidation appraisal. [Failure
    to do so could result in VA being unable to issue bidding
    instructions for a pending sale]{.underline}.

**Loan Guaranty Information Letter 26-02-11**

**3. [WINTERIZATION]{.underline}**

a.  [Required services for **all properties**]{.underline}:

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1)  The water shall be shut off at the meter valve; the meter
    disconnected (not cut) and drained.

2)  Drain all water lines by opening all valves and faucets.

3)  Drain the hot water tank and open the safety relief valve from same.

4)  All commodes shall be flushed to drain all water from tank and bowl.
    Remaining water must be siphoned out.

5)  All drain traps must be siphoned of excess water.

6)  All water lines shall be blown clear of all water using a minimum 50
    lb. of air pressure.

7)  Permanent non-staining anti-freeze suitable for plastic piping shall
    be poured into each commode bowl and all drain traps.

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b.  [Required services for properties with **hot water or steam heating
    systems**]{.underline}:

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1)  Open all drain cocks on boiler.

2)  Open all valves and air bleeders on expansion tanks and radiators.

3)  All return lines shall be disconnected at the lowest point of the
    system and at boiler return entry, allowing all lines to drain.

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c.  [Required services for properties **with hot water radiant heating
    systems, water lines in concrete floor**]{.underline}:

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1)  Drain boiler completely.

2)  Disconnect distribution lines at boiler and blow all lines free of
    water using minimum of 50 lb. of air pressure.

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d.  [Required services for properties with **hot water baseboard heating
    systems**]{.underline}:

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1)  Drain boiler completely.

2)  Open all air bleeder valves.

3)  Disconnect distribution lines and blow all lines free of water using
    minimum of 50 lb. of air pressure.

4)  If heating system is multi-zoned, each zone or loop must have lines
    blown.

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e.  [A tag noting the date of winterization will be attached to the hot
    water tank, meter shut-off valve, all commodes and kitchen
    faucets]{.underline}.

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f.  **[Failure to properly winterize a property could result in
    substantial damage to the property, thereby increasing the risk of a
    No Bid/No Election case or claim adjustment]{.underline}**.

**Loan Guaranty Information Letter 26-02-11**

4.  **[LAWN CARE]{.underline}**

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a.  Initial Service:

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1)  Overgrown shrubs or tree branches that are hazardous or obstruct
    doorways, public walks and driveways shall be trimmed or removed.
    All observed trash and debris in the yard shall be removed as a part
    of the initial service.

2)  Lawns shall be cut to a height of two inches. The lawn shall be
    properly raked and the cuttings removed whenever the height of the
    grass exceeds six inches.

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b.  Scheduled cuttings other than the initial service:

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1)  Scheduled lawn care shall begin on April 1st and end on September
    30th. Cutting every fourteen (14) days is considered reasonable,
    except during very rainy periods when cutting every ten (10) days is
    considered reasonable.

2)  The entire lawn shall be cut to a height of two inches, unless area
    exceeds square feet (see Exhibit B for instructions). Grass and
    weeds shall be trimmed around the foundation of all structures,
    planting beds and fences.

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5.  **[CLEAN-UPS]{.underline}**

ADDITIONAL CLEANUP WILL BE DONE ONLY IF THERE ARE EXISTING VIOLATIONS
AGAINST THE PROPERTY. The cleanup must be substantiated by a copy of the
violations notice.

**6. [SUMP PUMPS]{.underline}**

a.  Replacement must be substantiated by photos and will be verified by
    reviewing the liquidation appraisal.

b.  The servicer/holder is authorized to maintain the electricity on
    those properties where there is a sump pump. Reimbursement for this
    payment will be made on the Claim Under Guaranty when a paid receipt
    is provided.

**Loan Guaranty Information Letter 26-02-11**

**7. [SCREENING AND BOARDING]{.underline}**

a.  Screening and/or boarding should be done only in those areas where
    previous experience has shown vandalism and/or theft to be a regular
    problem or where special conditions exist that make it necessary.

b.  If VA screening/boarding guidelines are in conflict with local codes
    or ordinances, the local code or ordinance guidelines will be
    controlling.

c.  Windows with broken glass will be covered with 4 mil. plastic
    sheeting.

d.  Fees for services are expressed in terms of united inches, that is,
    the sum of the height and width of the window. A 30 inch by five
    foot window would be equivalent to 90 united inches.

e.  Screening - all windows on the first floor and basement level shall
    be covered with 4 mil. plastic sheeting and ¼" square wire mesh
    affixed to the frame with 5/8" staples.

f.  Boarding - Nail boarding is not acceptable. Boarding shall include
    doors, windows and other areas of the structure open to vandals or
    to the elements. Openings shall be secured by exterior graded
    plywood no less than ½" thick, or other material of equal strength,
    cut to fix into the openings. Openings in excess of 48" wide must be
    framed with 2" x 4" lumber 24" on center. The plywood or equivalent
    material shall be fastened into the openings by screws or lag
    screws. On metal casement windows, the openings will be bolt
    boarded.

**8. [ROOF REPAIR]{.underline}**

Damaged areas of roof should be covered with tarp. Repairs should be
made only when cost to repair will not exceed cost to tarp.

**9. [SWIMMING POOLS]{.underline}**

Proper care must be exercised to prevent any accidents. Water should be
drained and all gates padlocked. If in poor condition, above ground
pools can be removed as junk. Servicer/holders are to ensure compliance
with all ordinances pertaining to swimming pools.

**ALLOWABLE PROPERTY COSTS**