become members. Members must loan funds to
the Corporation upon demand up to limits that
are set by law and based on financial capacity.
All such calls for funds are to be prorated among
the members in the proportion that the maximum
loan limit of each bears to the aggregate loan
limits of all members. Individuals and domestic
corporations may become stockholders, but finan-
cial institutions may be stockholders only if they
are also members. The authorized capital stock
consists of two million shares of common stock
with a par value of one dollar each.

The fifteen member Board of Directors, repre-
senting the five economic regions, exercises the
corporate powers of the Development Credit Cor-
poration. There are five economic regions: the
Central Region (Baltimore, Can-oil, Harford, and
Howard counties); the Eastern Shore Region
(Caroline, Cecil, Dorchester, Kent, Queen Anne's,
Somerset, Talbot, Wicomico, and Worcester
counties); the Southern Region (Anne Arundel,
Calvert, Charles, Prince George's, and St. Mary's
counties); the Western Region (Allegany, Freder-
ick, Garrett, Montgomery, and Washington
counties); and the Baltimore City Region. Initial-
ly, the Governor, the President of the Senate, and
the Speaker of the House of Delegates each made
five appointments to the Board, one from each re-
gion. The President of the Senate designated the
chairperson of this temporary board, and the
chairperson called the first annual meeting. At
this meeting held on February 16, 1961, and at
each annual meeting thereafter, members of the
Corporation from at least three of the five eco-
nomic regions elect two directors from each re-
gion for one-year terms. These directors must be
U.S. citizens and residents of the economic region
from which they are appointed or must maintain
a regular place of business there. The
stockholders of the Corporation elect the remain-
ing five directors, who must be U.S. citizens and
residents of the State for one-year terms. The
Board elects its own chairperson. The Corpora-
tion may borrow or lend money and buy, hold,
or sell real or personal property, including indus-
trial plants and other business establishments.

The Corporation has established Loan Com-
mittees of five members for each economic region.
After a loan application has been received by the
Chief Executive Officer of the Corporation, the
loans are then discussed with the Regional Loan
Committees who review the applications and join
with the Chief Executive Officer in making
recommendations to the Board of Directors or
Executive Committee. Final decision lies with ei-
ther of these bodies (Code 1957, Art. 23, sees.
412-429).

COMMUNITY DEVELOPMENT AD-
MINISTRATION

Thomas M. Cook, Director

2525 Riva Road
Annapolis 21401 Telephone: 269-3161

The Community Development Administration,
created by Chapter 527, Acts of 1970, is one of
the line agencies in the Department of Economic
and Community Development.

Within the Community Development Adminis-
tration, the Development Finance Program is re-
sponsible for providing below market-rate interest
construction loans and/or permanent financing to
private, non-profit, and public sponsors to stimu-
late the production of rental housing to meet the
needs of the citizens of Maryland, particularly
families of limited income and the elderly. The
Program is coordinated with the federal govern-
ment in order to obtain subsidies required to
make Development Finance Program housing fea-
sible.

Projects financed by the Department of Eco-
nomic and Community Development must be
consistent with local priorities and must comple-
ment and supplement local community develop-
ment programs and initiatives. Projects must
meet eligibility criteria and financing require-
ments, and income limits are established as the
guideline for persons served.

Additionally, the Community Development
Administration administers the Maryland Home
Financing Program, which was enacted by the
General Assembly in the 1972 legislative session
to provide direct mortgage loans at a preferred
rate of interest for moderate and limited income
citizens of the State who are unable to obtain
mortgage financing from conventional financial
institutions at affordable terms and interest
rates. The applicants must meet all eligibility cri-
teria standards and certain established income
limits.

CDA also operates the Maryland Housing Re-
habilitation Program, which was enacted by the
General Assembly in 1975. Through this program
CDA participates with local subdivisions in pro-
viding direct loans to families of limited income.
The homes must generally be located in "target
areas." Owners of historic or architecturally sig-
nificant property can borrow funds under this
program regardless of their income (Code 1957,
Art. 41, sees. 257L, 266DD-1 to 266DD-7 and
266FF-1 to 266FF-4).