HB102 Alabama 2014 Session

Summary

Primary Sponsor

Mike Hill

Republican

Session

Regular Session 2014

Title

Housing Finance Authority, mortgage guarantee fund, use of funds for, alternative housing programs authorized under Home Buyers Initiative Act, guidelines, Sec. 24-1A-44 added; Sec. 24-1A-42 am'd.

Summary

The bill redirects the Alabama Mortgage Guarantee Fund to also fund alternative housing programs through the Alabama Housing Finance Authority.

What This Bill Does

Amends the Alabama Home Buyers Initiative to allow the mortgage guarantee fund to be used for alternative housing programs in addition to reimbursing foreclosure losses. Adds a new Section 24-1A-44 establishing how alternative housing programs are certified, funded, and managed, including separate accounts for each program and warrants payable only from the certified amounts. Defines terms (such as Alternative Housing Program and Certified Amount) and sets out the process for funding and modifying these programs. Keeps interest and investment income in the mortgage guarantee fund and outlines that the fund remains available until depleted.

Who It Affects

• Homebuyers and homeowners in Alabama who may gain access to alternative housing programs, mortgage insurance support, reserve funds, and homeowner education funded by the mortgage guarantee fund.
• The Alabama Housing Finance Authority (program administrator), the State Treasurer, the Comptroller, and lenders/investors who own qualified mortgage loans, who will certify, allocate, and receive funds for alternative housing programs.

Key Provisions

• The mortgage guarantee fund can be used for alternative housing programs in addition to its original purpose of reimbursing foreclosure losses.
• A new framework (Section 24-1A-44) allows certification of a 'certified amount' for each alternative housing program and creates separate fund accounts funded from the mortgage guarantee fund.
• Funding is done via warrants payable to designated payees, with each warrant limited to the certified amount and treated as a limited obligation of the state, not a general debt.
• The program administrator (AHFA) can modify certified amounts and programs, and the fund remains available until all certified funds are depleted.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Mortgages