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NINTH AMENDMENT TO

COMMITMENT TO PURCHASE FINANCIAL INSTRUMENT

and

HFA PARTICIPATION AGREEMENT

This Ninth Amendment to Commitment to Purchase Financial Instrument and HFA

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

Schedule A attached hereto as the Ninth 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 set forth on Schedule A attached hereto, as previously amended by those

certain Amendments to Commitment to Purchase Financial Instrument and HFA Participation

Agreement dated as of their respective dates as set forth on Schedule A attached hereto (each, 

an “Amendment” and together with the Original HPA as amended thereby, the “Current

HPA”), 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 (12 U.S.C. 

5201 et seq.), as amended, and as the same may be amended from time to time (“EESA”);

WHEREAS, on February 19, 2016 Treasury announced that it would (i) extend the HHF 

Program through 2020, and (ii) make $2 billion of additional assistance available under the HHF 

Program (the “Fifth Round Funding”) to help prevent foreclosure and stabilize housing markets

in certain states that had previously received HHF Program funding for such purposes; and

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

memorialize the extension of the HHF Program, increase the amount of HHF Program funds

available to Eligible Entity hereunder, and make certain other changes to the terms of the Current 

HPA and the Exhibits and Schedules attached thereto.

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. End of Term. The definition of End of Term in Section 2(A)(14) of the Current 

HPA is hereby deleted and replaced with the following: 
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“End of Term” shall mean the last day of the calendar month in which the Eligible Entity 

makes the last disbursement of HHF Program funds in furtherance of the Services, which

shall occur no later than December 31, 2021 (or such later date as Treasury may 

determine in its sole discretion with written notice to Eligible Entity and HFA). For the 

sake of clarity, Capital Draws shall not be permitted after the End of Term other than for 

payment of Permitted Expenses.

B. Bring Down Certificate. Section 2(A)(15) of the Current HPA is hereby amended 

by (i) striking “on each anniversary of the Effective Date during the Term (as defined 

below)” and replacing it with “on each anniversary of the Effective Date through

September 30, 2016, and from and after October 1, 2016, no later than one hundred 

twenty (120) days after the end of each of their respective fiscal years”, and (ii) by adding 

to the end “A final certification shall be delivered by each of HFA and Eligible Entity on 

the Final Repayment Date (as defined in the Financial Instrument).”

C. Program Participation Cap. Section 3(D) of the Current HPA is hereby deleted in 

its entirety and replaced with the following: 

D. The value of this Agreement is limited to the amount set forth in Schedule A as the 

Program Participation Cap, as may be adjusted from time to time as set forth on Schedule 

F attached hereto (the “Program Participation Cap”). Notwithstanding anything to the 

contrary contained herein, the aggregate Purchase Price payable to Eligible Entity under 

this Agreement with respect to all Services described on the Service Schedules may not 

exceed the amount of the Program Participation Cap.

D. Performance Reports. Section 4(A) is hereby amended by (i) striking the third 

sentence and replacing it with “HFA shall submit the Performance Report to Treasury or 

its designee no later than forty-five (45) days after the end of each calendar quarter and 

otherwise as requested by Treasury. After Treasury has communicated in writing that the 

Performance Report is in a form acceptable to Treasury, HFA shall promptly post the 

Performance Report to its website”; and (ii) adding to the end “A final Performance 

Report shall be delivered no later than forty-five (45) days after the end of the calendar 

quarter in which the End of Term occurs.”

E. Financial Reporting. Section 4(G) of the Current HPA is hereby deleted in its 

entirety and replaced with the following:

G. Each of HFA and Eligible Entity shall provide annual audited financial 

statements to Treasury no later than one hundred twenty (120) days after the end of 

its respective fiscal year, commencing with the first fiscal year ending after the 

Effective Date, and concluding with the fiscal year in which the End of Term occurs. 

Eligible Entity shall provide quarterly unaudited financial statements to Treasury no 

later than forty-five (45) days after the end of each quarter, commencing with the 

first full quarter ending after the Effective Date and concluding with the quarter in 

which the End of Term occurs.
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F. Term. Section 5(A) of the Current HPA is hereby deleted in its entirety and 

replaced with the following:

(A) The term of this Agreement (“Term”) shall begin on the Effective Date and 

extend to the End of Term, or earlier termination of this Agreement by Treasury 

pursuant to the provisions hereof, or earlier suspension or termination of the Services 

by Treasury. Subject to the foregoing, new Services may be undertaken (e.g., 

approval of assistance actions with respect to unique homeowners or properties, 

including, where applicable, final underwriting decisions and payment schedules), 

through and including December 31, 2020 (or such later date as may be determined 

by Treasury in its sole discretion upon prior written notice to Eligible Entity). It is 

understood and agreed that certain administrative, monitoring, reporting, compliance 

and oversight obligations and requirements set forth in this Agreement and the 

Financial Instrument survive the expiration or termination of this Agreement or the 

End of Term, and that funds are to be reserved as set forth in Schedule C to pay for 

the cost of the same, through and including the Final Repayment Date.

G. Modifications. 

(a) Section 9(A) of the Current HPA is hereby amended by inserting “and except as 

expressly set forth herein,” after “Subject to Section 9.B.,”

(b) Section 9(B) of the Current HPA is hereby amended by adding the following at the 

end: 

Notwithstanding anything to the contrary contained herein, Treasury may approve 

revisions proposed by Eligible Entity and HFA to any Schedule or Exhibit attached 

hereto, by written notice to Eligible Entity and HFA, pursuant to a procedure 

established by Treasury in its sole discretion and provided to Eligible Entity and 

HFA. The applicable Schedule or Exhibit shall be deemed modified for all 

purposes hereunder as of the date such written notice is received pursuant to 

Section 8 hereof.

(c) Section 9(C) of the Current HPA is hereby amended by deleting the last sentence 

in its entirety.

H. Exhibit A. Exhibit A attached to the Current HPA is hereby deleted in its entirety 

and replaced with Exhibit A attached to this Amendment.

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

entirety and replaced with Schedule A attached to this Amendment.

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

entirety and replaced with Schedule B attached to this Amendment.

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

entirety and replaced with Schedule C attached to this Amendment.
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L. Schedule F. A new Schedule F is added to the Current HPA in the form attached 

to this Amendment as Schedule F.

M. Definitions. All references in the Current HPA to the "Agreement" shall mean the 

Current HPA, as further amended by this Amendment; all references in the Current HPA 

to the “Financial Instrument” shall mean the Amended and Restated Financial Instrument 

in the form attached to this Amendment as Exhibit A; and all references in the Current 

HPA to Exhibit A or Schedules A, B, C or F shall mean the Exhibit A or Schedules A, B, 

C or F attached to this Amendment. All references herein to the "HPA" shall mean the 

Current HPA, as further amended by this Amendment.

2. Substitution of Financial Instrument. 

Eligible Entity shall deliver to Treasury on the date hereof an Amended and Restated 

Financial Instrument in the form attached to this Amendment as Exhibit A. By executing 

this Amendment, Treasury, HFA and Eligible Entity authorize The Bank of New York 

Mellon to cancel the Financial Instrument previously delivered under the Current HPA 

against delivery of such Amended and Restated Financial Instrument and direct The Bank 

of New York Mellon to return the cancelled Financial Instrument to (or at the direction 

of) the Eligible Entity.

3. 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 Amendment, the Amended and Restated Financial Instrument, 

and any other closing documentation delivered to Treasury in connection therewith, 

and to perform its obligations hereunder and thereunder.

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

this Amendment and any other closing documentation delivered to Treasury in 

connection therewith, and to perform its obligations hereunder and thereunder.
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4. Miscellaneous

A. The recitals set forth at the beginning of this 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 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 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 Amendment, the Amended and Restated Financial Instrument, and 

any other closing documentation delivered in connection therewith, shall be treated as originals

for all purposes.

[SIGNATURE PAGE FOLLOWS;REMAINDER OF PAGE 

INTENTIONALLY LEFT BLANK]
[Signature Page to Ninth Amendment to HPA – Georgia]

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

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

Instrument and HFA Participation Agreement as of the Amendment Date.

HFA: TREASURY:

GEORGIA HOUSING AND FINANCE 

AUTHORITY

UNITED STATES DEPARTMENT OF THE 

TREASURY

By: /s/ Carmen Chubb By:

Name: Carmen Chubb Name: Mark McArdle

Title: Deputy Executive Director Title: Deputy Assistant Secretary for 

Financial Stability

ELIGIBLE ENTITY:

GHFA AFFORDABLE HOUSING, INC.

By: /s/ Carmen Chubb

Name: Carmen Chubb

Title: Deputy Executive Director
EXHIBITS AND SCHEDULES

Exhibit A Form of Amended and Restated Financial Instrument

Schedule A Basic Information

Schedule B Service Schedules

Schedule C Permitted Expenses

Schedule F HHF Fifth Round Funding Reallocation Model
EXHIBIT A

FORM OF AMENDED AND RESTATED FINANCIAL INSTRUMENT

This Amended and Restated Financial Instrument is delivered by the undersigned party 

(“Eligible Entity”) as provided in Section 1 of the Commitment to Purchase Financial Instrument 

and HFA Participation Agreement (the “Commitment”), entered into as of the Effective Date, as 

modified by those certain Amendments to Commitment to Purchase Financial Instrument and 

HFA Participation Agreement dated as of the dates set forth on Schedule A to the Commitment

(together, the “Agreement”), by and among the United States Department of the Treasury 

(“Treasury”), the party designated as HFA in the Commitment (“HFA”) and Eligible Entity. 

This Amended and Restated Financial Instrument is effective as of May 3, 2016. All of the 

capitalized terms that are used but not defined herein shall have the meanings ascribed to them in 

the Agreement.

Recitals

WHEREAS, Eligible Entity executed and delivered that certain Financial Instrument dated as of 

the Effective Date to Treasury (“Original Financial Instrument”); and

WHEREAS, Treasury and Eligible Entity desire to amend certain terms of the Original Financial 

Instrument regarding repayment of the Purchase Price in connection with the extension of the 

HHF Program through 2020 and availability of additional assistance under the HHF Program

Fifth Round Funding; and

WHEREAS, Treasury and the Eligible Entity desire to restate and replace the Original Financial 

Instrument in its entirety.

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

hereby acknowledged, Eligible Entity agrees as follows:

1. Eligible Entity Obligation; Purchase Price Consideration.

(a) Eligible Entity shall perform all Services described in the Service Schedules in 

consideration for the Purchase Price described in subsection (b) below, in 

accordance with the terms and conditions of the Agreement, to the satisfaction of 

Treasury. The conditions precedent to the payment by Treasury of the Purchase 

Price with respect to the Services are set forth in Section 3(B) of the Agreement.

(b) This Amended and Restated Financial Instrument is being purchased by Treasury 

pursuant to Section 3 of the Agreement through the payment by Treasury of 

various payments referred to collectively in the Agreement as the “Purchase 

Price”. This Amended and Restated Financial Instrument is being purchased by 

Treasury in connection with Eligible Entity’s participation in the Housing Finance 

Agency Innovation Fund for the Hardest Hit Housing Markets program (the 

“HHF Program”) created under the Emergency Economic Stabilization Act of 
2008 (12 U.S.C. 5201 et seq.) as amended, as the same may be amended from 

time to time (“EESA”).

2. Repayment of Purchase Price. 

If a recipient of HHF Program funds repays any or all of the funds received from Eligible 

Entity in connection with the Services (“Repaid Funds”), and such repayment occurs on 

or before the Final Repayment Date (hereinafter defined), Eligible Entity shall deposit 

such Repaid Funds in the Depository Account and use such Repaid Funds to provide 

Services or to fund the Permitted Expenses to the extent the full amount as indicated on 

Schedule C to the Agreement has not been drawn from Treasury pursuant to Section 3(A) 

of the Agreement. Any Repaid Funds retained by Eligible Entity to fund Permitted 

Expenses shall correspondingly reduce the amount that Eligible Entity may draw from 

Treasury pursuant to Section 3(A) of the Agreement to fund Permitted Expenses.

For the sake of clarity, if a recipient of HHF Program funds repays any or all of the funds 

received from Eligible Entity in connection with the Services, and such repayment occurs 

after the Final Repayment Date, such repaid funds shall not be considered HHF Program 

funds. 

3. Final Repayment. In the event Eligible Entity is holding any HHF Program funds, 

including, but not limited to, amounts reserved for payment of Permitted Expenses and 

Repaid Funds, as of the date that is ninety (90) days after the End of Term (the “Final 

Repayment Date”), all such funds shall be returned to Treasury or its designee prior to

1:00pm Eastern Time on the Final Repayment Date. For the sake of clarity, no Capital 

Draws will be permitted after the Final Repayment Date.

4. Security Interest. As security for the performance of the Services and the other 

obligations of Eligible Entity under the Agreement, as such obligations are evidenced in 

this Amended and Restated Financial Instrument, Eligible Entity has granted to Treasury 

a first lien priority security interest in the Depository Account and in any moneys, or 

investments, if any, held therein.

5. Representations, Warranties and Covenants. Eligible Entity represents and warrants that 

the representations and warranties set forth in the Agreement, on the date hereof, are, and 

on the date of each Capital Draw hereunder, shall be, true, correct, accurate and complete 

in all material respects. The truth and accuracy of such representations and warranties 

are continuing obligations of Eligible Entity. Additionally, all covenants of Eligible 

Entity set forth in Section 2 of the Agreement are incorporated herein by reference and 

Eligible Entity, on the date hereof, is not, and on the date of each Capital Draw 

hereunder, shall not be in breach of any such covenants. In the event that any of the 

representations or warranties made herein or in the Agreement cease to be true and 

correct, or the Eligible Entity breaches any of the covenants made herein or in the 

Agreement, Eligible Entity agrees to notify Treasury immediately and the same shall 

constitute an Event of Default hereunder. 
6. Limitation of Liability 

IN NO EVENT SHALL TREASURY, OR ITS OFFICERS, EMPLOYEES, AGENTS 

OR AFFILIATES BE LIABLE TO ELIGIBLE ENTITY WITH RESPECT TO THE 

SERVICES OR THE AGREEMENT, OR FOR ANY ACT OR OMISSION 

OCCURRING IN CONNECTION WITH THE FOREGOING, FOR ANY DAMAGES 

OF ANY KIND, INCLUDING, BUT NOT LIMITED TO DIRECT DAMAGES, 

INDIRECT DAMAGES, LOST PROFITS, LOSS OF BUSINESS, OR OTHER 

INCIDENTAL, CONSEQUENTIAL, SPECIAL OR PUNITIVE DAMAGES OF ANY 

NATURE OR UNDER ANY LEGAL THEORY WHATSOEVER, EVEN IF ADVISED 

OF THE POSSIBILITY OF SUCH DAMAGES AND REGARDLESS OF WHETHER 

OR NOT THE DAMAGES WERE REASONABLY FORESEEABLE; PROVIDED, 

HOWEVER, THAT THIS PROVISION SHALL NOT LIMIT TREASURY’S 

OBLIGATION TO REMIT PURCHASE PRICE PAYMENTS TO ELIGIBLE ENTITY 

IN ACCORDANCE WITH THE AGREEMENT.

7. Indemnification 

Eligible Entity agrees as set forth on Schedule E to the Agreement, which Schedule E is 

hereby incorporated into this Amended and Restated Financial Instrument by reference.

IN WITNESS WHEREOF, Eligible Entity hereby executes this Amended and Restated Financial 

Instrument on the date set forth below.

[INSERT FULL LEGAL NAME OF ELIGIBLE ENTITY]

By:

Name: 

Title: 

Date: ____________ __, 2016
A-1

SCHEDULE A

BASIC INFORMATION

Eligible Entity Information:

Name of the Eligible Entity: GHFA Affordable Housing, Inc.

Corporate or other organizational form: Non-profit corporation

Jurisdiction of organization: State of Georgia

Notice Information:

HFA Information:

Name of HFA: Georgia Housing and Finance Authority

Organizational form: A body corporate and politic, instrumentality of 

the state and a public corporation performing an 

essential governmental function (and not a state 

agency)

Date of Application: September 1, 2010

Date of Action Plan: September 1, 2010

Notice Information:

Program Participation Cap: $370,136,394.00

Portion of Program Participation Cap 

Representing Original HHF Funds: N/A

Portion of Program Participation Cap 

Representing Unemployment HHF Funds: $126,650,987.00

Rounds 1-4 Funding Allocation: $339,255,819.00

Round 5 Funding Allocation: $30,880,575.00

Permitted Expenses: $47,852,116.00

Closing Date: September 23, 2010

First Amendment Date: September 29, 2010

Second Amendment Date: December 16, 2010

Third Amendment Date: June 28, 2011
A-2

Fourth Amendment Date: May 3, 2012

Fifth Amendment Date: December 12, 2013

Sixth Amendment Date: January 31, 2014

Seventh Amendment Date: October 10, 2014

Eighth Amendment Date: July 30, 2015

Ninth Amendment Date: May 3, 2016

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.
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.
B-1-1

SERVICE SCHEDULE B-1

Georgia Housing Finance Authority

Mortgage Payment Assistance (MPA)

Summary Guidelines

1. Program Overview The Georgia Housing Finance Authority (GHFA) Mortgage Payment 

Assistance (MPA) program will provide loans to unemployed and 

substantially underemployed homeowners to help them remain in their 

homes and prevent avoidable foreclosures despite loss of income due 

to involuntary job loss. Loan proceeds will be used to pay mortgage 

payments (PITIA) while the homeowner seeks employment or 

completes training for a new career. Full payments will be remitted to 

the homeowners’ servicer each month. Homeowners may pay an 

affordable portion of the mortgage payment directly to GHFA. The 

MPA program is limited to once per household.

2. Program Goals The goal is to provide assistance to 9,000 homeowners to prevent 

foreclosures. Mortgage Payment Assistance (MPA) will be provided as 

follows:

Mortgage Payment Assistance

Up to 24 monthly mortgage payments on first and closed-end second 

mortgages to assist unemployed or substantially underemployed 

homeowners while they seek employment or complete training for a 

new career.

Homeowners who are enrolled in an eligible educational institution 

and making satisfactory academic progress toward a degree prior to the 

end of such 24-month period may be eligible for an additional 

12 months of assistance (“Education Extension”). If homeowner 

ceases to participate in the education program after 24 months, benefits 

would end at that time.

Reinstatement Assistance

Up to 15 months of the 24 MPA payments plus eligible lender fees 

may be used for the reinstatement of delinquent first and closed-end 

second mortgages.

3. Target 

Population/Areas

Homeowners who are or were unemployed or substantially 

underemployed and suffered a substantial loss of income, causing the 

mortgage to become delinquent or be in imminent default. 

This Program will be available in all Georgia counties.

4. Program Allocation $216,845,126
B-1-2

(Excluding 

Administrative 

Expenses)

5. Borrower Eligibility 

Criteria

Homeowners who, through no fault of their own, are or were 

unemployed or substantially underemployed and are at risk of 

foreclosure, but with temporary assistance are likely to be successful in 

retaining their homes. Homeowners will be required to provide a 

financial hardship affidavit with appropriate documentation on the 

cause of their hardship. For most homeowners, this will be 

documentation from the Georgia Department of Labor confirming a 

job loss and receipt of unemployment benefits. 

Underwriting Criteria:

• Homeowner became unemployed through no fault of his/her 

own:

o To qualify as underemployed, a homeowner must show a 

minimum 25% reduction in household income. 

o To qualify as underemployed for self-employed, a 

homeowner must show that gross receipts for their 

business have been reduced by a minimum of 30%;

• Must not be more than 12 months past due at time of 

application;

• Satisfactory mortgage payment history prior to the job 

loss/income loss;

• Monthly mortgage payments (PITIA) are greater than 25% of 

household income after job/income loss;

• Hardship must have occurred in the last four calendar years; 

• Total Unpaid Principal Balance less than or equal to the current 

GSE conforming amount;

• Property must be owner occupied as homeowner’s principal 

residence;

• Homeowner must be a legal resident of the United States;

• Applicant must be the owner of subject property;

• To qualify for the Education Extension homeowner must be 

enrolled in an eligible educational institution and making 

satisfactory academic progress toward a degree prior to the end 

of their initial 24 months of assistance. Such homeowners must 

remain enrolled in order to continue to receive Education 

Extension assistance; and 

• Additional underwriting criteria apply per program guidelines.
B-1-3

6. Property / Loan 

Eligibility Criteria

Existing single-family homes or condominiums (attached or detached) 

including manufactured homes (permanently affixed to a foundation 

on real estate owned by the borrower and taxed as real property). 

Owner-occupied, primary residences located in Georgia, with total 

unpaid principal balance of all mortgages on subject property less than 

or equal to the current GSE conforming amount.

Mortgage must be held by a Lender or Servicer licensed in the state of 

Georgia or exempt from licensing due to federal regulatory oversight. 

7. Program Exclusions Mortgages with:

• Total Unpaid Principal Balances (all mortgages on property) 

greater than the current GSE conforming amount.

• Total monthly payments (PITIA) less than 25% of current 

income.

Manufactured homes that are not considered real property.

Open ended second mortgages.

Second homes and investment property; charged off mortgage liens; 

homes titled in trusts.

Homeowners who are non-legal U.S. residents or in active bankruptcy.

8. Structure of Assistance No (0%) interest, non-recourse, deferred-payment, forgivable, 

subordinate loan. Twenty percent (20%) of the loan balance will be 

forgiven each year on the anniversary of the final monthly assistance 

payment.

The loan will only be repaid if the borrower sells or refinances the 

property before the forgiveness period expires, and there are equity 

proceeds available to pay towards the portion of the loan that has not 

yet been forgiven. If the property is sold and does not generate 

proceeds sufficient to repay the entire note, the portion of the note 

remaining unpaid after the proceeds are applied will be forgiven. 

The loan will be in the form of a subordinate mortgage evidenced by a 

promissory note and secured by a deed on the property. Borrowers 

will be required to sign and acknowledge the program guidelines via 

written agreement.

Any funds returned according to established program guidelines will 

be recaptured and used to assist additional homeowners in accordance 

with the Agreement. 
B-1-4

9. Per Household 

Assistance

The maximum household assistance amount is up to 36 times the 

monthly PITIA for first and closed-end second mortgages, plus eligible 

lender fees (e.g. Corporate and Escrow Advances).

GHFA expects the average loan amount will be $24,100.

10. Duration of Assistance The Duration of Assistance for eligible borrowers under the program 

will be no more than 36 months including those borrowers who are 

currently receiving assistance. 

Borrowers may continue to receive assistance for up to 2 months after 

reemployment (not to exceed 36 months in total.)

11. Estimated Number of 

Participating 

Households

9,000 homeowners.

Estimated number served based on an average loan amount of $24,100.

12. Program Inception / 

Duration

Program rollout was April 1, 2011 and is expected to last through 

December 31, 2020 or until all funds are exhausted. 

13. Program Interactions 

with Other HFA 

Programs

None.

14. Program Interactions 

with HAMP

The MPA program will provide assistance to eligible unemployed or 

substantially underemployed homeowners first, and then the servicer 

would follow with any eligible programs offered by the investor, 

servicer, or GSE.

Borrowers can receive HAMP assistance prior to or after receiving 

Hardest Hit Fund assistance. For example, a borrower can receive UP 

assistance for 3-6 months and then receive MPA Assistance. GHFA 

will agree to subordinate all assistance loans for borrowers who 

refinance their mortgage(s) to receive more favorable loan terms.

To the maximum extent possible, GHFA will coordinate with eligible 

homeowners’ servicers to assist them in obtaining a loan modification 

from HAMP, if needed after program completion.

15. Program Leverage with 

Other Financial 

Resources

The program will strongly encourage servicers to waive late fees and 

any other non-3rd party expenses. 
B-2-1

SERVICE SCHEDULE B-2

Georgia Housing Finance Authority

Mortgage Reinstatement Assistance

Summary Guidelines

1. Program Overview The Georgia Housing Finance Authority (GHFA) Mortgage 

Reinstatement Assistance program will provide loans to homeowners 

who became delinquent on their mortgage due to an involuntary 

reduction of income or a catastrophic medical hardship. The loan 

proceeds will be used to reinstate the mortgage to help prevent 

foreclosure. 

Reinstatement assistance is limited to once per household. 

2. Program Goals The goal is to provide assistance to 2,800 homeowners to prevent 

foreclosures.

Reinstatement Assistance

Reinstatement Assistance will cover past due payments on first and 

closed-end second mortgage loans that occurred as a result of an 

eligible hardship.

Program will help homeowners who have income to resume mortgage 

payments but need help to bring their mortgage current.

3. Target 

Population/Areas

Homeowners who suffered an involuntary loss or reduction in income 

due to an eligible hardship and are able to resume mortgage payments.

This Program will be available in all Georgia counties.

4. Program Allocation 

(Excluding 

Administrative 

Expenses)

$35,000,000
B-2-2

5. Borrower Eligibility 

Criteria

Homeowners will be required to provide a financial hardship affidavit 

with appropriate documentation on the cause of their hardship per 

program guidelines. 

Underwriting Criteria:

• Hardship resulted due to an involuntary loss or reduction in 

income of 10% or greater;

• Hardship must have occurred in the last 4 calendar years ; 

• Total unpaid principal balance less than or equal to current 

GSE conforming amount; 

• Property must be owner occupied as homeowner’s principal 

residence; 

• Homeowner must be a legal resident of the United States;

• Applicant must be the owner of subject property;

• Homeowner is now able to meet mortgage payment 

requirements as outlined in program underwriting guidelines 

or per Lender/Servicer guidelines;

• Homeowner must be no more than 24 months delinquent at 

time of application; and

• Additional underwriting criteria apply per program guidelines.

6. Property / Loan 

Eligibility Criteria

Existing single-family homes or condominiums (attached or detached) 

including manufactured homes (permanently affixed to a foundation 

on real estate owned by the borrower and taxed as real property). 

Owner-occupied, primary residences located in Georgia, with total 

unpaid principal balance of all mortgages on subject property less than 

or equal to the current GSE conforming amount.

Mortgage must be held by a Lender or Servicer licensed in the state of 

Georgia or exempt from state licensing due to federal regulatory 

oversight.

7. Program Exclusions Mortgages with total unpaid principal balances (all mortgages on 

property) greater than the current GSE conforming amount.

Open-ended second mortgages.

Manufactured homes that are not considered real property.

Second homes and investment property; charged off mortgage liens; 

homes titled in trust.

Homeowners who are non-legal U.S. residents or are in active 

bankruptcy.
B-2-3

8. Structure of Assistance No (0%) interest, non-recourse, deferred-payment, forgivable, 

subordinate loan. Twenty percent (20%) of the loan balance will be 

forgiven each year on the anniversary of the final assistance 

payment.

The loan will only be repaid if the borrower sells or refinances the 

property before the forgiveness period expires, and there are equity 

proceeds available to pay towards the portion of the loan that has not 

yet been forgiven. If the property is sold and does not generate 

proceeds sufficient to repay the entire note, the portion of the note 

remaining unpaid after the proceeds are applied will be forgiven. 

The loan will be in the form of a subordinate mortgage evidenced by a 

promissory note and secured by a deed on the property. Borrowers 

will be required to sign and acknowledge the program guidelines via 

written agreement.

Any funds returned according to established program guidelines will 

be recaptured and used to assist additional homeowners in accordance 

with the Agreement.

9. Per Household 

Assistance

The maximum household reinstatement assistance is up to: 24 times 

the monthly PITIA for first and closed-end second mortgages, plus 

eligible lender fees (e.g. Corporate and Escrow Advances) plus up to 3 

months PITIA for program processing time.

GHFA expects the average loan amount will be $12,500.

10. Duration of Assistance Assistance ends after the payment to the lender/servicer.

11. Estimated Number of 

Participating 

Households

2,800 homeowners.

Estimated number served based on an average loan amount of $12,500.

12. Program Inception / 

Duration

Program rollout was February 1, 2014 and will last until December 31, 

2020 or until all funds are exhausted. 

13. Program Interactions 

with Other HFA 

Programs

None. 

14. Program Interactions 

with HAMP

Reinstatement will bring borrowers current on their mortgage. To the 

maximum extent possible, GHFA will coordinate with eligible 

homeowners’ servicers to assist them in obtaining a loan modification 

from HAMP, if needed.
B-2-4

15. Program Leverage with 

Other Financial 

Resources

The program will strongly encourage servicers to waive late fees and 

any other non-3rd party expenses.
B-3-1

SERVICE SCHEDULE B-3

Georgia Housing Finance Authority

Recast/Modification

Summary Guidelines

1. Program Overview The Recast/Modification program will provide funds for principal 

reduction to facilitate a recast or permanent modification of the 

mortgages to provide an affordable payment to a homeowner who 

has a permanent reduction of income. 

Funds provided under this program can be applied as a principal 

reduction and to reinstate payments if necessary in order to obtain an 

affordable payment.

This program will assist Georgia homeowners who are financially 

unable to make their payment based on a program eligible hardship. 

2. Program Goals The goal of this program is to facilitate long-term mortgage 

sustainability with a recast or modification. This program will 

provide mortgage payment relief and stable long term mortgage 

payments.

3. Target Population/Areas Homeowners suffering a program eligible financial hardship related 

to a permanent reduction of income.

This program will be available in all Georgia counties.

4. Program Allocation 

(Excluding 

Administrative 

Expenses)

$70,439,152

5. Borrower Eligibility 

Criteria

Homeowners must be those with a program eligible hardship due to 

an involuntary permanent reduction or loss of income. Homeowners 

will be required to provide a financial hardship affidavit with 

appropriate documentation on the cause of the hardship.

Underwriting Criteria:

• Total unpaid principal balance less than or equal to current 

GSE conforming loan amount; 

• Property must be owner occupied as homeowner’s principal 

residence;

• Homeowner must be a legal resident of the United States;

• Applicant must be the owner of subject property;
B-3-2

• Monthly mortgage payment after modification or recast 

(including reinstatement, if applicable) must not exceed the 

affordable level as outlined in program underwriting 

guidelines; or per lender/servicer guidelines;

• Modified monthly mortgage payment to gross monthly 

income ratio will not be reduced below 25%;

• At least one person in the household must have consistent

employment and/or income sources; and

• Additional underwriting criteria apply as provided in 

program guidelines.

6. Property / Loan 

Eligibility Criteria

Existing single-family homes or condominiums (attached or 

detached) including manufactured homes (permanently affixed to a 

foundation on real estate owned by the borrower and taxed as real 

property.) 

Owner-occupied, primary residences located in Georgia, with total 

unpaid principal balance of all mortgages on subject property less 

than or equal to the current GSE conforming loan amount.

Mortgage must be held by a Lender/Servicer licensed in the state of 

Georgia or exempt from state licensing due to federal regulatory 

oversight.

7. Program Exclusions Mortgages with:

• Total unpaid principal balances (all mortgages on property) 

greater than the current GSE conforming loan amount.

• Total monthly payments (PITIA) if 31% or less of income.

Homeowners who are non-legal U.S. residents or are in active 

bankruptcy.

8. Structure of Assistance 0% interest, non-recourse, deferred-payment, forgivable, subordinate 

5-year loan. Twenty percent (20%) of the loan balance will be 

forgiven each year on the anniversary of the final assistance 

payment to the borrower.

The loan will only be repaid if the borrower sells or refinances the 

property before the forgiveness period expires, and there are equity 

proceeds available to pay towards the portion of the loan that has not 

yet been forgiven. If the property is sold and does not generate 

proceeds sufficient to repay the entire note, the portion of the note 

remaining unpaid after the proceeds are applied will be forgiven. 

The loan will be in the form of a subordinate mortgage evidenced by 

a promissory note and secured by a deed on the property. Borrowers
B-3-3

will be required to sign and acknowledge the program guidelines via 

written agreement.

Any funds returned according to established program guidelines will 

be recaptured and used to assist additional homeowners in 

accordance with the Agreement.

9. Per Household 

Assistance

Eligible homeowners may receive up to $45,000.00.

In no case can the CLTV be reduced below 80%.

10. Duration of Assistance Assistance ends after a onetime payment to the servicer. 

11. Estimated Number of 

Participating Households

1,718 homeowners.

Estimated number served based on an average loan amount of 

$41,000.

12. Program Inception / 

Duration

Program rollout was February 1, 2014; the program will last until 

December 31, 2020 or until all funds are exhausted. 

13. Program Interactions 

with Other HFA 

Programs

None.

14. Program Interactions 

with HAMP

Applicants denied for other HHF programs or Making Home 

Affordable (MHA) programs may be eligible for assistance through 

this program.

15. Program Leverage with 

Other Financial 

Resources

The Program will disburse funds up to $45,000.00 if the lien holder 

agrees to a loan modification or recast that shows direct benefit to 

the borrower. Investor match is not required. 
C-1

SCHEDULE C

PERMITTED EXPENSES

Georgia

One-time / Start-Up Expenses:

Initial Personnel $0.00 

Building, Equipment, Technology $90,612.00 

Professional Services $0.00 

Supplies / Miscellaneous $10,000.00 

Marketing /Communications $0.00 

Travel $2,000.00 

Website development /Translation $260,000.00 

Contingency $0.00 

Subtotal $362,612.00 

Operating / Administrative 

Expenses:

Salaries $18,062,918.00 

Professional Services (Legal, 

Compliance, Audit, Monitoring)

$19,665,710.00 

Travel $113,348.00 

Buildings, Leases & Equipment $1,384,315.00 

Information Technology & 

Communications

$810,870.00 

Office Supplies/Postage and 

Delivery/Subscriptions

$965,657.00 

Risk Management/ Insurance $0.00 

Training $0.00 

Marketing/PR $2,206,000.00 

Miscellaneous $0.00 

Subtotal $43,208,818.00 

Transaction Related Expenses:

Recording Fees $635,043.00 

Wire Transfer Fees $219,422.00 

Counseling Expenses

File Intake 

Decision Costs $637,531.00 
C-2

Successful File $2,788,690.00 

Key Business Partners On-Going $0.00 

Subtotal $4,280,686.00 

Grand Total $47,852,116.00 

% of Total Award 12.93%

Award Amount $370,136,394.00 
F-1

SCHEDULE F

HHF FIFTH ROUND FUNDING REALLOCATION MODEL

This Schedule F describes a uniform model (the “Reallocation Model”) designed to maximize 

the utilization of the $2 billion made available under the HHF Program Fifth Round Funding. In 

general, the Reallocation Model reallocates unused Fifth Round funding to states participating in 

the HHF Program that meet certain defined criteria for utilization of HHF Program funds. The 

aggregate amount obligated under the Fifth Round Funding will not increase at any time.

I. Definitions

(a) “2016 Utilization Threshold” shall mean having Drawn at least 70% of the Rounds 1-4 

Funding Allocation.

(b) “2017 Utilization Threshold” shall mean having Drawn at least 95% of the Rounds 1-4 

Funding Allocation.

(c) “2018 Utilization Threshold” shall mean having Drawn at least 80% of the Program 

Participation Cap.

(d) “Annual Reallocation Amount” shall mean the aggregate amount, if any, by which the 

Program Participation Caps set forth in all HFA Participation Agreements are reduced 

pursuant to the Reallocation Model, as applied with respect to each Utilization Threshold.

(e) “Drawn” shall mean having made Capital Draws pursuant to Section 3(A) of the 

Agreement.

(f) “HFA Participation Agreements” shall mean, collectively, the Commitments to Purchase 

Financial Instrument and HFA Participation Agreements entered into by the States, as 

amended from time to time.

(g) “Population” shall mean the most recent Annual Estimate of the Resident Population for 

a State as determined by the United States Census Bureau from time to time.

(h) “Recipient State” shall mean each State that has achieved the Utilization Threshold for 

the applicable year, provided that such State is not then in default under its HFA 

Participation Agreement. Notwithstanding the foregoing, in the event a State declines an 

increase to its Program Participation Cap and Round 5 Funding Allocation for which it is 

eligible pursuant to this Schedule F, such State shall not be considered a Recipient State. 

(i) “Rounds 1-4 Funding Allocation” is the amount set forth on Schedule A as “Rounds 1-4 

Funding Allocation.”

(j) “Round 5 Funding Allocation” is the amount set forth on Schedule A as “Round 5 

Funding Allocation”, as adjusted from time to time in accordance with this Schedule F.
F-2

(k) “Share of Annual Reallocation Amount” shall mean a Recipient State’s share of the 

applicable Annual Reallocation Amount, as determined using the methodology described 

in Section IV below. If the Annual Reallocation Amount is zero, then the Share of 

Annual Reallocation Amount will be zero for the applicable year.

(l) “State” shall mean any or each of Alabama, Arizona, California, Florida, Georgia, 

Illinois, Indiana, Kentucky, Michigan, Mississippi, New Jersey, Nevada, North Carolina, 

Ohio, Oregon, Rhode Island, South Carolina, Tennessee, and Washington, D.C.

(m)“Utilization Threshold” means each of the 2016 Utilization Threshold, the 2017 

Utilization Threshold and the 2018 Utilization Threshold.

II. Reduction of Program Participation Cap and Round 5 Funding Allocation:

(a) If Eligible Entity does not achieve the 2016 Utilization Threshold on or before December 

31, 2016, each of the Program Participation Cap and Round 5 Funding Allocation shall 

be reduced by an amount equal to 50% of the Round 5 Funding Allocation as of such 

date.

(b) If Eligible Entity does not achieve the 2017 Utilization Threshold on or before December 

31, 2017, each of the Program Participation Cap and the Round 5 Funding Allocation 

shall be reduced by up to 100% of the Round 5 Funding Allocation as of such date.

(c) If Eligible Entity does not achieve the 2018 Utilization Threshold on or before December 

31, 2018, each of the Program Participation Cap and Round 5 Funding Allocation shall 

be reduced by an amount equal to that portion of the Round 5 Funding Allocation which 

has not yet been Drawn nor obligated with respect to a unique homeowner or property as 

of such date.

III. Increase of Program Participation Cap and Round 5 Funding Allocation:

(a) If Eligible Entity achieves the 2016 Utilization Threshold on or before December 31, 

2016, each of the Program Participation Cap and Round 5 Funding Allocation shall be 

increased by the State’s Share of the Annual Reallocation Amount with respect to such 

date.

(b) If Eligible Entity achieves the 2017 Utilization Threshold on or before December 31, 

2017, each of the Program Participation Cap and the Round 5 Funding Allocation shall 

be increased by the State’s Share of the Annual Reallocation Amount with respect to 

such date.

(c) If Eligible Entity achieves the 2018 Utilization Threshold on or before December 31, 

2018, each of the Program Participation Cap and Round 5 Funding Allocation shall be 

increased by the State’s Share of the Annual Reallocation Amount with respect to such 

date.

IV. Methodology for Determining Recipient State’s Share of Annual Reallocation Amount
F-3

If Eligible Entity has achieved the Utilization Threshold and the Annual Reallocation Amount 

is greater than zero for the applicable year, the Program Participation Cap and Round 5 

Funding Allocation will be increased by an amount calculated as follows: 

First, calculate the “Per Capita Amount” for each Recipient State. The Per Capita Amount

shall be calculated as the Annual Reallocation Amount divided by the sum of the Population 

of all Recipient States.

Second, calculate the “Utilization Percentage” for each Recipient State. 

The Utilization Percentage with respect to the 2016 Utilization Threshold and the 2017 

Utilization Threshold shall be calculated as the lesser of (I) the ratio of (x) aggregate Capital 

Draws made by the Recipient State under its HFA Participation Agreement as of December 

31, 2016 and December 31, 2017, respectively, to (y) the Recipient State’s Rounds 1-4 

Funding Allocation as of such dates, or (II) 100%. 

The Utilization Percentage with respect to the 2018 Utilization Threshold shall be calculated 

as the ratio of (x) aggregate Capital Draws made by the Recipient State under its HFA 

Participation Agreement as of December 31, 2018, to (y) such Recipient State’s Program 

Participation Cap as of such date.

Third, calculate a “Utilization Score” for each Recipient State by standardizing the Utilization 

Percentages using the z-score methodology, a standard statistical standardization procedure. 

The Utilization Score for each Recipient State is calculated as (I)(x) the Utilization Percentage 

for such Recipient State, less (y) the mean Utilization Percentage for all Recipient States 

(“Average”), divided by (II) the standard deviation of the Utilization Percentages for all 

Recipient States. If a Recipient State’s Utilization Percentage is greater than the Average, the 

Utilization Score will be positive. If a Recipient State’s Utilization Percentage is less than 

Average, the Utilization Score will be negative.

Fourth, calculate a “Need Factor” for each Recipient State. The Need Factor is a fixed dollar 

amount which will be multiplied by each Utilization Score to determine the dollar amount by 

which each Recipient State’s Per Capita Amount will be adjusted. The Need Factor is

calculated as the dollar amount that would result in the highest adjusted Per Capita Amount 

for a Recipient State being no more than three (3) times that of the lowest adjusted Per Capita 

Amount for a Recipient State (i.e., a Min/Max Factor of 3).

Fifth, calculate an “Adjusted Per Capita Amount” for each Recipient State by adding to or 

subtracting from the Recipient State’s Per Capita Amount the product of (x) the Need Factor 

and (y) the Recipient State’s Utilization Score. Recipient States with positive Utilization 

Scores will have dollars added to the Recipient State’s Per Capita Amount, and Recipient 

States with negative Utilization Scores will have dollars subtracted from the Recipient State’s 

Per Capita Amount.

Sixth, calculate the “Share of the Annual Reallocation Amount” for each Recipient State by 

first multiplying the Recipient State’s Adjusted Per Capita Amount by the Recipient State’s
F-4

Population to arrive at a “Preliminary Share”. The Preliminary Share for each Recipient 

State is then normalized to arrive at the Share of the Annual Reallocation Amount by 

multiplying (x) a ratio, the numerator of which is the Preliminary Share for such Recipient 

State and the denominator of which is the sum of the Preliminary Shares for all Recipient 

States, and (y) the Annual Reallocation Amount.

V. Notices; Modifications

(a) Treasury will notify Eligible Entity in writing of any adjustment to the Program 

Participation Cap and Round 5 Funding Allocation pursuant to this Schedule F. Related 

adjustments to program allocations and other amounts set forth in the Service Schedules, 

and Permitted Expenses set forth on Schedule C, shall be made as set forth in such 

written notice.

(b) For the avoidance of doubt, a written amendment to the Agreement shall not be required 

to effectuate an adjustment of the Program Participation Cap or Round 5 Funding 

Allocation pursuant to this Schedule F. The Program Participation Cap and Round 5 

Funding Allocation set forth on Schedule A to the Agreement shall be deemed to be 

modified upon receipt of the written notice sent pursuant to Section V(a) above. 

 

(c) Treasury reserves the right to unilaterally modify or supplement the terms and provisions 

of this Schedule F, at any time with prior written notice to the Eligible Entity.