Guam § 4705 - Administration.

§ 4705. Administration.

(a) Certificate of First-time Homeownership. GHC shall

issue a Certificate of First-time Homeownership (Certificate) to

an applicant if the applicant meets all the eligibility requirements

set forth in this Article.

(1) This Certificate shall not be transferable, except

between joint holders of an original Certificate, and it shall

not be transferred to a new and separate home.

(2) In case of the death of the holder of an original

Certificate, the Certificate shall terminate, unless the home

covered by the Certificate becomes the home of the

decedent’s heirs, and they acquire the title to the property

within two (2) years of the death.

(b) Amount of Assistance. The amount of the First-time

Homeowner Assistance is up to Ten Thousand Dollars ($10,000)

of the eligible transaction.

(c) Payment of Assistance. First-time Homeowner

Assistance shall be paid by electronic funds transfer, by check,

or in any other way the GHC finds appropriate.

(1) First-time Homeowner Assistance shall be paid to

the financial institution authorized by the GHC and selected

by the applicant to which a mortgage loan or construction

loan, or both, has been approved for the applicant toward

his or her eligible transaction.

(2) The GHC shall develop and maintain, on a semi-

annual basis, a list of authorized financial institutions as

identified in this Section, and shall be made readily

accessible to the public.

(d) Payment in Anticipation of Compliance with

Occupancy Requirement.

(1) The GHC may authorize payment of First-time

Homeowner Assistance in anticipation of compliance with

the occupancy requirement. If the occupancy requirement is

not complied with, the applicant must, within fifteen (15)

days after the relevant date, give written notice of that fact

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to the GHC and repay the amount of assistance.

(2) The relevant date is the earlier of the following:

(A) the end of the period allowed for compliance

with the occupancy requirement; or

(B) the date on which it first becomes apparent

that the occupancy requirement will not be complied

with during the period allowed for compliance.

(3) Where the first-time homeowner fails to comply

with the occupancy conditions and does not repay the

amount of assistance, the GHC may approve, by resolution,

a Memorandum of Understanding between the GHC and the

Department of Revenue and Taxation to garnish the income

tax refunds of recipients of the First-time Homeownership

Assistance. The GHC shall adopt a policy to govern the

referral of such tax refund garnishment requests to the

Department of Revenue and Taxation.

(e) Development of Rules and Regulations. Within ninety

(90) days after enactment of this Act, the GHC shall adopt such

rules and regulations as may be necessary to implement the

provisions of this Act and Subsection (f) of § 4103.

(f) Repayment of Assistance.

(1) A first-time homeowner shall repay to the First-

time Homeowner Assistance Fund an amount equal to the

total assistance received by the homeowner with interest at

the rate of ten percent (10%) per annum if, within five (5)

years after receipt of the assistance, the home is:

(A) transferred or conveyed;

(B) sold; or

(C) occupied exclusively by any individual or

individuals other than the homeowner or the

homeowner’s children.

(2) The funds that were disbursed on behalf of such an

applicant that are repaid shall be deposited back into the

Housing Trust Fund.

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(3) The funds from the ten percent (10%) penalty shall

be deposited into the GHC’s bank account(s) for operational

uses.