15.2.3 Timing of MAP Lender Reviews

A. COB will conduct a full MAP Lender review and QC plan audit once every three years for all active MAP Lenders with three or more years of MAP experience, or more frequently for any MAP Lender which COB determines requires enhanced monitoring. Summary or limited reviews and updates may be performed on Lenders during intervening years. For any MAP Lender with less than three years of MAP experience, COB will conduct full or limited Lender reviews every year, although COB will not review a new MAP Lender until after its first Firm Commitment has been issued. Further details on the scope and content of a full or limited Lender review will be included in the COB Handbook.

B. COB may conduct periodic on-site reviews at the Lender’s office. It may also require the Lender to retain, at the Lender’s expense, a third-party firm to investigate and analyze any loans that have defaulted, are seriously troubled or that raise other serious concerns. COB reserves the right to review any loan transaction without limitation at any time, for any purpose and for any reason.

C. At the start of each Fiscal Year, COB should notify each MAP Lender that will be subject to a full or limited review during that year. The schedule will be based on the timing for reviews described in this section and on a determination by the Deputy Assistant Secretary (DAS) for Multifamily Housing of COB’s priorities, staffing and capacity for that Fiscal Year.