Fourth Amendment to HPA — Indiana 

TAMPA/200827.1

FOURTH AMENDMENT TO 

COMMITMENT TO PURCHASE FINANCIAL INSTRUMENT 

and 

HFA PARTICIPATION AGREEMENT 

This Fourth Amendment to Commitment to Purchase Financial Instrument and HFA 

Participation Agreement (the “Fourth Amendment”) is entered into as of the date set forth on 

Schedule A attached hereto as the Fourth Amendment Date (the “Amendment Date”), by and 

among the United States Department of the Treasury (“Treasury”), the undersigned party 

designated as HFA whose description is set forth in Schedule A attached hereto (for 

convenience, a “state housing finance agency” or “HFA”) and the undersigned institution 

designated by HFA to participate in the program described below (“Eligible Entity”). 

Recitals 

WHEREAS, Treasury, HFA and Eligible Entity entered into that certain Commitment to 

Purchase Financial Instrument and HFA Participation Agreement (the “Original HPA”) dated as 

of the Closing Date, as previously amended by that certain First Amendment to Commitment to 

Purchase Financial Instrument and HFA Participation Agreement (the “First Amendment”), as 

further amended by that certain Second Amendment to Commitment to Purchase Financial 

Instrument and HFA Participation Agreement (the “Second Amendment”), and as further 

amended by that certain Third Amendment to Commitment to Purchase Financial Instrument and 

HFA Participation Agreement (the “Third Amendment”; and together with the Original HPA as 

amended thereby and by the First Amendment and Second Amendment, the “Current HPA”), 

dated as of their respective dates all as set forth on Schedule A attached hereto, in connection 

with Treasury’s federal housing program entitled the Housing Finance Agency Innovation Fund 

for the Hardest Hit Housing Markets (the “HHF Program”), which was established pursuant to 

the Emergency Economic Stabilization Act of 2008 (P.L. 110-343), as amended, as the same 

may be amended from time to time (“EESA”); 

WHEREAS, HFA and Eligible Entity submitted a request to Treasury to make certain revisions 

to their Service Schedules and Permitted Expenses and Treasury has agreed to the same; 

WHEREAS, HFA, Eligible Entity and Treasury wish to enter into this Fourth Amendment to 

document all approved modifications to the Service Schedules and Permitted Expenses; 

Accordingly, in consideration of the representations, warranties, and mutual agreements set forth 

herein and for other good and valuable consideration, the receipt and sufficiency of which are 

hereby acknowledged, Treasury, HFA and Eligible Entity agree as follows. 

Agreement 

1. Amendments

A. Definitions. All references in the Current HPA to the “Agreement” shall mean the 

Current HPA, as further amended by this Fourth Amendment; and all references in the 
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TAMPA/200827.1 

Current HPA to Schedules A or B shall mean the Schedules A or B attached to this Fourth 

Amendment. All references herein to the “HPA” shall mean the Current HPA, as further 

amended by this Fourth Amendment. 

B. Schedule A. Schedule A attached to the Current HPA is hereby deleted in its entirety 

and replaced with Schedule A attached to this Fourth Amendment. 

C. Schedule B. Schedule B attached to the Current HPA is hereby deleted in its entirety 

and replaced with Schedule B attached to this Fourth Amendment. 

2. Representations, Warranties and Covenants

A. HFA and Eligible Entity. HFA and Eligible Entity, each for itself, make the 

following representations, warranties and covenants to Treasury and the truth and accuracy 

of such representations and warranties and compliance with and performance of such 

covenants are continuing obligations of HFA and Eligible Entity, each as to itself. In the 

event that any of the representations or warranties made herein cease to be true and correct or 

HFA or Eligible Entity breaches any of its covenants made herein, HFA or Eligible Entity, as 

the case may be, agrees to notify Treasury immediately and the same shall constitute an 

Event of Default under the HPA. 

(1) HFA and Eligible Entity each hereby certifies, represents and warrants as of the 

date hereof that each of the representations and warranties of HFA or Eligible Entity, as 

applicable, contained in the HPA are true, correct, accurate and complete in all material 

respects as of the date hereof. All covenants of HFA or Eligible Entity, as applicable, 

contained in the HPA shall remain in full force and effect and neither HFA, nor Eligible 

Entity is in breach of any such covenant. 

(2) Eligible Entity has the full corporate power and authority to enter into, execute, 

and deliver this Fourth Amendment and any other closing documentation delivered to 

Treasury in connection with this Fourth Amendment, and to perform its obligations 

hereunder and thereunder. 

(3) HFA has the full legal power and authority to enter into, execute, and deliver this 

Fourth Amendment and any other closing documentation delivered to Treasury in 

connection with this Fourth Amendment, and to perform its obligations hereunder and 

thereunder. 

3. Miscellaneous

A. The recitals set forth at the beginning of this Fourth Amendment are true and accurate 

and are incorporated herein by this reference. 

B. Capitalized terms used but not defined herein shall have the meanings ascribed to 

them in the HPA. 

C. Any provision of the HPA that is determined to be prohibited or unenforceable in any 

jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or 
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TAMPA/200827.1 

unenforceability without invalidating the remaining provisions of the HPA, and no such 

prohibition or unenforceability in any jurisdiction shall invalidate such provision in any other 

jurisdiction. 

D. This Fourth Amendment may be executed in two or more counterparts (and by 

different parties on separate counterparts), each of which shall be deemed an original, but all 

of which together shall constitute one and the same instrument. Facsimile or electronic 

copies of this Fourth Amendment shall be treated as originals for all purposes. 

[SIGNATURE PAGE FOLLOWS; REMAINDER OF PAGE 

INTENTIONALLY LEFT BLANK] 
[Signature Page to Fourth Amendment to HPA — Indiana] 

In Witness Whereof, HFA, Eligible Entity and Treasury by their duly authorized officials 

hereby execute and deliver this Fourth Amendment to Commitment to Purchase Financial 

Instrument and HFA Participation Agreement as of the Amendment Date. 

HFA: TREASURY: 

INDIANA HOUSING AND COMMUNITY 

DEVELOPMENT AUTHORITY 

UNITED STATES DEPARTMENT OF THE 

TREASURY 

By: /s/ Sherry Seiwert By: 

Name: Sherry Seiwert Name: Timothy G. Massad 

Title: Executive Director Title: Assistant Secretary for 

 Financial Stability 

 

ELIGIBLE ENTITY:

INDIANA HOUSING AND COMMUNITY 

DEVELOPMENT AUTHORITY 

By: /s/ Sherry Seiwert 

Name: Sherry Seiwert 

Title: Executive Director 

 

TAMPA/200827.1 

EXHIBITS AND SCHEDULES

Schedule A Basic Information 

Schedule B Service Schedules 
TAMPA/200827.1 

SCHEDULE A

BASIC INFORMATION

Eligible Entity Information: 

Name of the Eligible Entity: Indiana Housing and Community 

 Development Authority1

Corporate or other organizational form: body corporate and politic, established and 

 existing under Indiana Code 5-20-1 et. seq.

Jurisdiction of organization: Indiana

Notice Information: 30 S. Meridian Street, Ste. 1000 

 Indianapolis, Indiana 46204 

 Attention: Hardest Hit Fund 

 (317) 232-7777 

 sreeve@ihcda.in.gov 

 

HFA Information: 

Name of HFA: Indiana Housing and Community 

 Development Authority 1

Organizational form: body corporate and politic, established and 

 existing under Indiana Code 5-20-1 et. seq. 

Date of Application: September 1, 2010 

Date of Action Plan: September 1, 2010 

 

1 References in the Agreement to the term “HFA” shall mean the Indiana Housing and Community Development 

Authority (“IHCDA”) in its capacity as HFA as such term is used in the Agreement; and references in the 

Agreement to the term “Eligible Entity” shall mean IHCDA, in its capacity as Eligible Entity as such term is used in 

the Agreement. 

Notwithstanding anything to the contrary in the Agreement, (A) for purposes of Section 4(G) thereof, (i) annual 

audited financial statements shall be due no later than one hundred eighty (180) days after the end of IHCDA’s fiscal 

year, and (ii) quarterly financial statements shall be due no later than forty-five (45) days after the end of each 

quarter commencing with the first full quarter ending after the Effective Date; provided that for any quarter IHCDA 

does not prepare unaudited financial statements for its internal use, or to be sent to a third party, such quarterly 

unaudited financial statement shall not be required and instead IHCDA shall provide to Treasury, no later than fortyfive (45) days after the end of each quarter commencing with the first full quarter ending after the Effective Date, 

summary expenses by category [e.g., in-take partners, IHCDA specific expenses (e.g. salaries)], and last business 

day of the quarter’s Depository Account bank statement, which information will allow Treasury to review and 

confirm the funds used for the Services and Permitted Expenses; (B) for purposes of Section 7 thereof, the powers 

and authority of IHCDA shall be governed by and construed in accordance with the laws of the State of Indiana; and 

(C) for the purposes of Sections 2(C)(1) and 6(A)(2) thereof, references to the term “instrumentality” shall mean 

“body corporate and politic”. 
TAMPA/200827.1 

Notice Information: Same as notice information for Eligible 

 Entity. 

Program Participation Cap: $221,694,139.00 

Portion of Program Participation Cap 

Representing Original HHF Funds: N/A 

Portion of Program Participation Cap 

Representing Unemployment HHF Funds: $82,762,859.00 

Permitted Expenses: $39,041,587.00

Closing Date: September 23, 2010 

First Amendment Date: September 29, 2010 

Second Amendment Date: March 9, 2011 

Third Amendment Date: September 28, 2011 

Fourth Amendment Date: January 25, 2012 

Eligible Entity Depository Account Information: See account information set forth in the 

Depository Account Control Agreement 

between Treasury and Eligible Entity 

regarding the HHF Program. 
TAMPA/200827.1 

SCHEDULE B

SERVICE SCHEDULES

The Service Schedules attached as Schedule B to the Current HPA are hereby deleted in their entirety and 

replaced with the attached Service Schedules (numbered sequentially as Service Schedule B-1, Service 

Schedule B-2, et. seq.), which collectively comprise Schedule B to the HPA. 
TAMPA/200827.1 

SERVICE SCHEDULE B-1

Indiana 

Hardest Hit Fund Unemployment Bridge Program 

Summary Guidelines 

1. Program 

Overview

Under Indiana’s Hardest Hit Fund Unemployment Bridge Program 

(“UBP”) the Indiana Housing and Community Development Authority 

(“IHCDA”) will offer qualifying individuals who are unemployed through 

no fault or neglect of their own a monthly benefit to cover a portion of 

their first mortgage and related expenses while the individual seeks new 

employment. When necessary, IHCDA will also provide a limited amount 

of funding at the outset of assistance to bring a mortgage current so that 

IHCDA may provide future monthly payments. IHCDA will also provide 

assistance to homeowners who accumulated a delinquency during a recent 

period of unemployment and have become re-employed but cannot bring 

their mortgages current with their current income (“Re-employed 

Borrowers”). IHCDA will make the Re-employed Borrower current, with 

total assistance not to exceed the Maximum Household Assistance, defined 

below. Re-employed Borrowers will qualify for this assistance if they: (a) 

qualify in all other respects for assistance; (b) have demonstrated that they 

can afford mortgage payments with their post-unemployment income; and 

(c) do not have the means for, or otherwise qualify for another program 

providing mortgage reinstatement but for HHF assistance. Assistance is 

subject to approval of the homeowner’s HHF Action Plan, which is a plan 

relating solely to TARP funded modification programs that will be 

developed by a housing counseling agency and approved by IHCDA. 

2. Program Goals The goal of the UBP is to cover a portion of PITI for eligible unemployed 

homeowners, allowing them to: 

1) Secure re-employment in their occupation; or 

2) Access training made available through the Indiana Department of 

Workforce Development that will help them secure employment in a 

new occupation. 

3. Target 

Population / 

Areas 

IHCDA’s target population is low- to moderate-income homeowners in 

any county in Indiana. Homeowners in the 46 counties classified as 

“hardest hit” will be eligible for a larger amount of assistance ($18,000) 

than homeowners residing in other counties ($12,000). 

4. Program 

Allocation 

(Excluding 

Administrative 

Expenses) 

$182,652,552.00 

5. Borrower 

Eligibility 

Criteria 

1) Owning only one home; 

2) Submission of hardship affidavit documenting inability to pay 

mortgage; 

3) Priority of service will be extended to veterans and military personnel 

(active or reserve); 
TAMPA/200827.1 

4) With respect to currently unemployed borrowers: 

a) Unemployed and eligible for unemployment insurance; 

b) Engaged in approved training, education or structured volunteer 

work (as defined by IHCDA); 

c) Current household income below 140% AMI adjusted for borrower 

household size; 

d) Agreement to pay a minimum of 15% of household income at time 

of enrollment toward PITI based on documentation of 

unemployment benefits; 

e) Receiving unemployment insurance benefits from the Indiana 

Department of Workforce Development (“DWD”) at the time of 

application; 

f) At IHCDA’s sole discretion, borrowers may be removed from the 

program for failing to make their required payments; 

5) With respect to Re-employed Borrowers: 

a) Annual household income at or below $150,000. 

6. Property / 

Loan 

Eligibility 

Criteria 

1) Owner-occupied primary residence located in Indiana. 

2) The unpaid principal balance of the borrower’s first lien mortgage 

cannot exceed the conforming loan limit established by the Federal 

Housing Finance Agency, as modified from time to time. 

7. Program 

Exclusions 

1) Property is vacant, abandoned or condemned. 

2) Borrower has not exhausted or been ruled ineligible for other programs 

(federal or direct lender). 

3) Borrower has liquid assets sufficient to make 6 months’ worth of 

payments, excluding retirement accounts. 

4) Borrower is ineligible for unemployment benefits (for example, due to 

exhaustion of benefits, nature of job loss or no W-2 reportable wages). 

8. Structure of 

Assistance

All assistance is structured as a forgivable, non-recourse, non-amortizing 

loan, secured by a junior lien on the property. The loan has a term of 10 

years and is forgiven at a rate of 20% per year in years 6 through 10 of the 

loan term. If the borrower sells the property before the forgiveness period 

expires, all net sale proceeds up to the full principal balance outstanding 

will be due and payable to IHCDA. All funds returned to the UBP may be 

recycled until December 31, 2017; thereafter, they will be returned to 

Treasury. 

9. Per Household 

Assistance 

Total assistance per household (“Maximum Household Assistance”) is not 

to exceed $18,000 in hardest hit counties or $12,000 in balance of state. 

10. Duration of 

Assistance 

Up to the borrowers’ applicable amount of Maximum Household 

Assistance or three months after re-employment, whichever comes first. It 

is estimated that the average duration of assistance will be sixteen (16) 

months. In the case of Re-employed Borrowers, assistance ends once the 

borrower is made current. 

11. Estimated 

Number of 

Participating 

Households 

An estimated 13,392 households will receive assistance, at an average 

assistance level of about $925 per month for an average of approximately 

sixteen (16) months of assistance, inclusive of payments to clear 

delinquencies and assistance after re-employment. 
TAMPA/200827.1 

12. Program 

Inception / 

Duration 

IHCDA launched the program on May 5, 2011. IHCDA anticipates that 

the program will last for approximately two (2) years after the date of 

launch. 

13. Program 

Interaction 

with Other 

Programs (e.g. 

other HFA 

programs) 

IHCDA manages the Homeless Prevention and Rapid Re-Housing 

Program (HPRP) funding for the balance of state Continuum of Care. 

IHCDA assessment tool for HPRP will incorporate screening for HHF 

eligibility for homeowners at risk of homelessness through foreclosure. 

HPRP administrators will be trained on eligibility requirements and 

screening for HHF. IHCDA also manages the Indiana Foreclosure 

Prevention Network (IFPN), which is a coalition of community service and 

housing-related organizations, government agencies, lenders, realtors, and 

trade associations that are actively addressing Indiana’s foreclosure crisis 

through a variety of methods. IHCDA anticipates contracting with some 

of the organizations which are providing IFPN counseling services to 

provide eligibility screening, intake and preliminary underwriting for HHF. 

Finally, IHCDA will work with DWD to coordinate efforts; for example, 

the availability of HHF for qualified unemployed persons may be noted in 

Unemployment Insurance benefit determination letters from DWD. 

14. Program 

Interactions 

with HAMP 

Borrowers will be pre-screened for HAMP, HAFA and HAMP-UP and 

programs offered by lenders. HHF funds can be utilized before or after 

assistance from HAMP-UP.

15. Program 

Leverage 

No leveraging from banks and servicers is required. IHCDA enters into 

participation agreements with servicers interested in participating in the 

UBP that sets forth IHCDA’s expectations for servicers, including 

acceptance of payment from IHCDA and application of payment to PITI 

only.

16. Qualify as an 

Unemployment 

Program 

; Yes  No