2.5.2 Construction Administrator Duties

A. The duties and responsibilities associated with the Construction Loan Administrator during the construction period (if applicable) are:

1. Determine the initial distribution of mortgage proceeds into various accounts and maintain a record of their control and disbursement.

2. Determine construction costs (as approved by the HUD inspector), Architect fees and carrying charges payable under requests for advances of mortgage proceeds or prepare written reasons for modifications, as necessary.

3. Recommend approval of construction change orders and recommend release of both on-site and offsite escrow funds or cite special requirements or conditions of approval, as necessary.

4. Protect HUD’s interests by assisting with and overseeing the resolution of construction disputes, delays, costs overruns and any related problems.