<?xml version='1.0' encoding='utf-8'?>
<regulation prefix="Regulation" num=".03" citation="COMAR 05.20.04.03" title_num="05" subtitle_num="20" chapter_num="04" heading="Eligible Applicants and Uses.">
  <paragraph num="A.">
    <text>A grantee shall meet the following minimum requirements:</text>
    <paragraph num="(1)">
      <text>Be a community development organization or a government agency;</text>
    </paragraph>
    <paragraph num="(2)">
      <text>Not have defaulted on any prior financial assistance from the Department;</text>
    </paragraph>
    <paragraph num="(3)">
      <text>Not be currently barred or suspended from any of the Department’s programs;</text>
    </paragraph>
    <paragraph num="(4)">
      <text>Have the legal capacity and all necessary legal authority to incur the obligations involved in the grant agreement;</text>
    </paragraph>
    <paragraph num="(5)">
      <text>If a community development organization, be in good standing and qualified to do business in Maryland; and</text>
    </paragraph>
    <paragraph num="(6)">
      <text>Provide evidence that the applicant has matching funds available for the project in the amounts required by Housing and Community Development Article, §4-510(g)(2), Annotated Code of Maryland, or in the competitive application round announcement.</text>
    </paragraph>
  </paragraph>
  <paragraph num="B.">
    <text>Grants may be used for any predevelopment costs and expenses related to the development or implementation of a project as approved by the Department.</text>
  </paragraph>
  <paragraph num="C.">
    <text>Appropriations to the Fund shall be allocated as follows:</text>
    <paragraph num="(1)">
      <text>85% for projects in those areas of the State located between Interstate Highway 495 and the District of Columbia; and</text>
    </paragraph>
    <paragraph num="(2)">
      <text>15% for projects throughout the State.</text>
    </paragraph>
  </paragraph>
</regulation>