V.I. Code tit. 21, § 103 (2019)
2019 US Virgin Islands Code|Title 21 - Homesteads and Home Loans|Chapter 2 - Home Owners Construction and Mortgage Assistance|§ 103. Powers of Housing Finance Authority

 There is hereby created a body corporate and politic constituting a public corporation and autonomous governmental instrumentality of the Government of the Virgin Islands by the name of the Virgin Islands Housing Finance Authority, hereinafter “Authority”. The Authority consists of the Director of the Office of Management and Budget, the Zoning Administrator under Title 29, Section 235, and three individuals who are not employed by the Government of the Virgin Islands, whom the Governor shall appoint with the advice and consent of the Legislature. An individual appointed by the Governor shall serve a two-year term until the appointment and confirmation of a successor, and may be reappointed. Of the three appointed members, one must be a resident of the island of St. Croix, one must be a resident of the island of St. Thomas, and one must be a resident of the island of St. John. From among its members, the Authority shall elect a chairperson and such other officers as the members consider necessary. Nongovernment members shall receive $75 a day for each day or fraction thereof spent in the business of the Authority. All members must be reimbursed for necessary travel expenses. The Authority has the following specific powers in implementing the provisions of this chapter: (a) to hire such persons or contract with such institutions as the Authority deems necessary to administer the decisions of the Authority made pursuant to this chapter; (b) to make monies available to established lending institutions for mortgage loans, construction loans, qualified home improvement loans, and qualified rehabilitation loans to qualified buyers or qualified borrowers, on such terms and conditions as shall be determined by the Authority, consistent with the purpose of this chapter, as the Authority shall deem necessary in connection with providing such financing; (c) to make monies available to qualified buyers or qualified borrowers for the purchase, rehabilitation or home improvement of low and moderate income housing, to make monies available to established lending institutions for mortgage loans to qualified buyers to acquire and contract and enter into advance commitments to acquire, by assignment or otherwise, mortgages or participations at such purchase prices and upon such other terms and conditions as are consistent with the purposes of this chapter, to make and execute contracts for the origination, purchase and servicing of new or existing mortgage loans or to require the application of monies received from the sale of existing mortgage loans for the making of mortgage loans for residential purposes and to pay the reasonable value of services rendered under those contracts; (d) to make loans to lending institutions under terms and conditions which, in addition to other provisions as determined by the declaration, shall require the lending institutions to use substantially all of the net proceeds thereof, directly or indirectly, for the making of mortgages in an aggregate principal amount substantially equal to the amount of such net proceeds, to purchase securities from lending institutions and require that the proceeds derived by the lending institutions from the sale of such securities finance mortgage loans, to require that loans to or securities purchased from lending institutions be fully secured and collateralized, to require with respect to lending institutions that any required collateral be deposited with a bank or trust company approved for the deposit of Government funds, or to otherwise provide for satisfactory security or collateral for loans to lending institutions; (e) to borrow money and to issue negotiable bonds and notes and to fund or refund the same, to defray, in whole or n part, the costs of purchasing or funding the making of loans and home mortgages including, but not limited to, the costs of studies and surveys, insurance premiums, printing, legal, accounting and financial advisory fees incurred in connection with the issuance and sale of such bonds and notes, including reserve funds and accounts, and trustee, custodian and rating agency fees, interest on the bonds and notes for a period not exceeding two (2) years from their date; and to designate appropriate names for such bonds and notes, and to provide for the rights of the holders thereof; (f) to sell or otherwise dispose of any loan or mortgages, in whole or in part, or to loan sufficient funds to defray, in whole or in part, the costs of purchasing mortgages or participations therein, so that the revenues to be derived with respect to the mortgages, together with any insurance proceeds, reserve funds and accounts and earnings thereon, shall be designated to produce revenues and receipts at least sufficient to provide for the prompt payment at maturity of principal, interest and redemption premiums, if any, upon all bonds and notes issued to finance such costs; (g) to pledge pledged assets, notes or other property and any revenues and receipts to be received therefrom to the punctual payment of bonds and notes as issued hereunder and the interest and redemption premiums, if any, thereon; (h) to make rules and regulations consistent with the provisions of this chapter as are necessary or desirable to effectuate the purposes of this chapter, including but not limited to: (i) the time within which lending institutions must make commitments and disbursements for loans; (ii) the location and other characteristics of homes to be financed by loans; (iii) the terms and conditions of loans to be acquired; (iv) the amounts and types of insurance coverage required on homes, home mortgages, loans and bonds or notes; (v) the representations and warranties of lending institutions confirming compliance with such standards and requirements; (vi) restrictions as to interest rates and other terms of loans or the return realized therefrom by lending institutions; (vii) the type and amount of collateral security to be provided to assure repayment of any loans from the government and to assure repayment of bonds and notes; (viii) any other matters related to the purchase of loans or the making of loans to lending institutions; and (ix) the terms and conditions of loans and all matters relating thereto; (i) to establish and revise from time to time and charge and collect fees and charges in connection with making, purchasing and servicing any of its loans, mortgage loans, notes, commitments and other evidence of indebtedness; (j) to employ financial advisors, engineers, attorneys, real estate counselors, appraisers and such other consultants and employees as may be required in the judgment of the Authority and to fix and pay their reasonable compensation and expenses from monies available to the Authority therefor; (k) to make, enter into and enforce all contracts, including contracts for the servicing of loans necessary, convenient or desirable for the performance of the powers under this chapter, including contracts with any person, firm, corporation, association, agency, governmental agency or other entity, and all Virgin Islands governmental agencies are hereby authorized to enter into contracts, and otherwise cooperate with the Authority to facilitate the purposes of this chapter; (l) to do all things necessary to establish and implement a mortgage credit certificate program under the United States Internal Revenue Code of 1954, as amended; (m) to do all things necessary to carry out its purposes and exercise the powers granted in this chapter; (n) to bid for the purchase of property upon which the government or another party for its benefits, hold a mortgage at any foreclosure or other sale, or acquire and take possession of any such property, subject to any contract with the holders of any of its obligations; (o) to procure insurance against any loss in connection with the property and other assets of the government, in such amounts and from such insurers as it deems desirable; (p) to insure mortgage payments of any mortgage upon such terms and conditions as the Authority may prescribe; (q) to establish such funds and accounts as may be necessary for furtherance of the purposes of this chapter, and to retain certified public accountants to audit the books maintained by the Authority with respect to this chapter and prepare financial statements on a regular and timely basis; (r) to invest any funds derived or to be applied in connection with the purposes set forth in this chapter not needed for immediate use or disbursement, including funds held in reserve, in obligations issued or guaranteed by the United States of America and in other obligations which are legal investments for savings banks in the territory and in time deposits or certificates of deposit, repurchase agreements or other similar banking arrangements secured in such manner as the Authority determines; (s) to sue and be sued with respect to any action taken pursuant to powers and authority granted by this chapter; (t) to impose and collect commitment fees from contractors for the reservation and allocation of bond proceeds for the permanent mortgage loan, loan or construction loan financing of qualified low and moderate income housing to be provided by the Authority under such terms and conditions as it may prescribe; (u) to authorize loans from the Contractors Commitment Fee Fund established by Title 33, section 3063, Virgin Islands Code, to contractors for the purpose of paying commitment fees for the reservation of an allocation of bond proceeds to be issued by the Authority, under such terms and conditions as the Authority may prescribe, with loan payments to be deposited into said Fund; Provided, however, That no such loan shall be made: (i) in an amount in excess of fifty percent (50%) of any required commitment fee; (ii) in an amount which, when added to the amounts of all other such loans outstanding to a particular contractor (including affiliates and related persons to such contractors), exceeds 20% of the total amount of all such loans outstanding to all contractors plus the balance in the Contractors Commitment Fee Fund; (iii) to any contractor not licensed to do business in the Virgin Islands; (iv) to any contractor who, on the effective date of this subsection, has entered into a contract or other agreement with the Government of the Virgin Islands, or any board, commission, agency or autonomous or semi-autonomous authority thereof, to provide, construct, build, or install, residential single- or multi-family dwellings for sale or resale to the public, or any qualifying members thereof; or (v) unless the qualified contractor guarantees in writing that he shall give preference in hiring to Virgin Islands resident workers who are qualified and available and have been residents of the Virgin Islands for two or more years and shall register any and all job vacancies with the Employment Service within the Virgin Islands Department of Labor; Provided, however, That should the qualified contractor demonstrate to the satisfaction of the Authority that all reasonable efforts have been made to offer positions to all qualified and available resident workers meeting said requirement and the qualified contractor requires additional manpower, then the requirements of this subsection are waived. (v) to acquire, convey, transfer, pledge, lease, hold and dispose of real and personal property for the purposes set forth in this chapter including, without limitations: (i) acquire or contract to acquire real or personal property, or any interest therein, on a temporary or permanent basis in the name of the Government by gift, purchase, transfer, foreclosure, lease or otherwise, including rights or easements in property; (ii) hold, sell, assign, lease, encumber, mortgage or otherwise dispose of any real or personal property or any interest therein; (iii) hold, sell, assign or otherwise dispose of any home mortgage interest owned by the Government or under its control, custody or in its possession; (iv) release or relinquish any right, title, claim, lien, interest, easement or demand, however acquired, including any equity or right of redemption in property foreclosed by it; (v) make any such disposition by public or private sale, with or without public bidding; (vi) operate, manage, lease, dispose of and otherwise deal with such property in such manner as may be necessary to protect the interest of the Government and the holders of its obligations; and (vii) mortgage real property to secure a loan made to a developer for the purpose of constructing housing on such real property. (w) to issue payroll checks to its employees and to make any and all deductions related to payroll as is required for the proper administration of its personnel functions; (x) administer the Community Development Block Grant Program authorized by the Department of Housing and Urban Development.