District of Columbia Administrative Code

2716 SETTLEMENTS 2716.1 Any settlement agreement reached as a result of mediation shall be a permanent resolution of the default of the residential mortgage. 2716.2 Any settlement agreement reached as a result of mediation shall be reduced to writing and executed by the mediation…

2717 MEDIATION REPORT 2717.1 Within ten (10) days after the completion of mediation, the Mediator shall file a Mediation Report with the Mediation Administrator and deliver a copy to the mediation parties. 2717.2 The Mediation Report required by this section shall contain all of …

2718 PRELIMINARY MEDIATION CERTIFICATE 2718.1 Once the mediation has concluded, upon determining that the lender acted in good faith the Mediation Administrator shall issue and send to all parties a Preliminary Mediation Certificate. 2718.2 The borrower(s) may appeal a Preliminar…

2719 FINAL MEDIATION CERTIFICATE 2719.1 The lender may request on Form FM-R1 a Final Mediation Certificate and must affirm that the borrower(s) has not filed a timely appeal. 2719.2 The lender may not request a Final Mediation Certificate until thirty (30) days after the Mediatio…

2720 APPEAL PROCESS; JUDICIAL REVIEW 2720.1 Within thirty (30) days of issuance of the Preliminary Mediation Certificate a borrower may file in the District of Columbia Superior Court an appeal of the Preliminary Mediation Certificate as provided for in D.C. Official Code § 42-81…

2721 APPLICATION FOR ORDER TO PERFORM DUE TO BREACH 2721.1 A borrower that alleges that a lender has breached a settlement agreement entered into pursuant to this chapter may request that the Mediation Administrator issue an Order to Perform by filing an Application for Order to …

2722 APPLICATION FOR FINAL MEDIATION CERTIFICATE DUE TO BREACH 2722.1 A lender that alleges that the borrower(s) has breached a settlement agreement executed between the lender and the borrower(s) may apply for a Final Mediation Certificate by filing an Application for Final Medi…

2723 NOTICE OF INTENTION TO FORECLOSE A RESIDENTIAL MORTGAGE FORM 2723.1 The authorized Notice of Intention to Foreclose a Residential Mortgage shall be used to comply with the requirements in Section 539(c) of the Act for a foreclosure sale pursuant to a residential mortgage. Is…

2724 MEDIATION ADMINISTRATOR 2724.1 The Commissioner shall designate an individual to serve as the Mediation Administrator. 2724.2 The Mediation Administrator may extend deadlines upon determining that there is good cause to do so. SOURCE: Emergency and Proposed Rulemaking publis…

2725 QUALIFICATION, APPOINTMENT, TRAINING, AND COMPENSATION OF MEDIATORS/ MEDIATION SERVICES 2725.1 The following persons shall be qualified to act as a Mediator under this chapter: An Administrative Law Judge or attorney employed by the Office of Administrative Hearings, authori…

2726 VIOLATIONS 2726.1 A lender that initiates a foreclosure through the power of sale provision of a residential mortgage in violation of the Act or this chapter shall be deemed to have failed to participate in the mediation in good faith. 2726.2 Any cost incurred by a lender in…

2727 FORECLOSURE OF A SECURITY INTEREST OTHER THAN A RESIDENTIAL MORTGAGE 2727.1 A lender or trustee that initiates a foreclosure pursuant to a security interest other than a residential mortgage shall file and record with the District of Columbia Office of the Recorder of Deeds …

2728 NOTICE OF INTENTION TO FORECLOSE A RESIDENTIAL MORTGAGE 2728.1 The holder of a note secured by a deed of trust, mortgage, or security instrument (hereinafter “holder”), or the agent of any such holder, shall at least thirty (30) days in advance of any sale of the real proper…

2729 TRUSTEE LIABILITY 2729.1 The liability under the Act for a trustee who is defined as a lender shall be limited to Section 539b of the Act (D.C. Official Code § 42-815.02(e)(2)(A)(iii)) for the trustee’s exercise of a power of sale or the issuance of a Notice of Intention to …

2799 DEFINITIONS 2799.1 When used in this chapter, the words and phrases shall have the meanings ascribed: Act – Saving D.C. Homes from Foreclosure Amendment Act of 2010, effective March 12, 2011 (D.C. Law 18-314; D.C. Official Code §§ 42-815, et seq. (2011 Supp.)). Borrower- a r…

2800 SCOPE 2800.1 Unless specified otherwise, these rules shall apply to clarify section 7(d)(2) and (d)(3) of the Capital Access Program Act of 2010 (Act), effective March 12, 2011 (D.C. Law 18-322; D.C. Official Code §§ 2-1210.01, et seq.)(Supp. 2011) Source: Notice of Emergenc…

2801 AVAILABILITY OF DISTRICT MATCHING FUNDS 2801.1 The requirement in section 7(d)(2) of the Act that the Mayor shall deposit in the reserve account for each capital access loan made by a financial institution an amount equal to one hundred fifty percent (150%) of the total amou…

2802 CERTIFYING THE AVAILABILITY OF LOCAL FUNDS FOR THE IMPLEMENTATION OF THE ACT 2802.1 Prior to the acceptance of loan applications for loans under the Act, participating financial institutions shall contact the Associate Commissioner for Banking to determine the availability o…

2900 SCOPE 2900.1 Unless specified otherwise, these regulations shall apply to the Collateral Support Program, the Loan Participation Program, and the Innovation Finance Program, which are implemented pursuant to Section 105(a)(2), (3) and (12) of the 21st Century Financial Moder…

2901 COLLATERAL SUPPORT PROGRAM 2901.1 The Collateral Support Program shall provide a cash collateral deposit to an Eligible Lender in order to enhance the collateral coverage of an Eligible Recipient that is otherwise qualified but unable to meet the Eligible Lender’s security r…

2902 ELIGIBLE LENDERS – COLLATERAL SUPPORT PROGRAM 2902.1 An Eligible Lender for the Collateral Support Program shall be: (a) A federally insured commercial lender; (b) A federally insured credit union; or (c) A Community Development Financial Institution. 2902.2 An Eligible Lend…

ELIGIBLE RECIPIENTS – COLLATERAL SUPPORT PROGRAM 2903.1 An Eligible Recipient under the Collateral Support Program shall: Be a non-public company that is registered in the District and is subject to be taxed under the laws of the District, and continues as such as long as the loa…

2904 LOAN REQUIREMENTS – COLLATERAL SUPPORT PROGRAM 2904.1 Loans or investments facilitated by the Collateral Support Program shall be used for a business purpose, including working capital, inventory, expansion, renovations, start-up costs, and refinancing. The entire proceeds o…

2905 CASH COLLATERAL ACCOUNTS 2905.1 All Collateral Support Program funds transferred to a cash collateral account shall be the property of, and solely controlled by, DISB. Interest or income earned on the funds shall be credited to the cash collateral account. 2905.2 DISB may wi…

2906 REPORTING REQUIREMENTS – COLLATERAL SUPPORT PROGRAM 2906.1 Each Eligible Lender and Eligible Recipient shall make the following reports: If an Enrolled Loan account becomes delinquent and falls sixty (60) days past due, the Eligible Lender shall notify DISB in writing within…

2910 LOAN PARTICIPATION PROGRAM 2910.1 The Loan Participation Program shall either: 1) purchase participation interests in loans, including principal and interest, made by an Eligible Lender, or 2) lend directly alongside private lenders to certain Eligible Recipients that exhibi…

2911 ELIGIBLE LENDERS – LOAN PARTICIPATION PROGRAM 2911.1 An Eligible Lender for the Loan Participation Program shall be: A federally insured commercial lender; A federally insured credit union; or A Community Development Financial Institution. 2911.2 An Eligible Lender shall enr…

2912 ELIGIBLE RECIPIENTS – LOAN PARTICIPATION PROGRAM 2912.1 An Eligible Recipient under the Loan Participation Program shall: Be a non-public company that is registered in the District and is subject to tax under the laws of the District and continues as such as long as the Loan…

2913 LOAN REQUIREMENTS – LOAN PARTICIPATION PROGRAM 2913.1 Loans facilitated by the Loan Participation Program shall be used for a business purpose, including working capital, inventory, expansion, renovations, start-up costs, and refinancing. The entire proceeds of the loan or i…

2914 PARTICIPATION REQUIREMENTS – LOAN PARTICIPATION PROGRAM 2914.1 To enroll a loan in the Loan Participation Program, the Eligible Lender shall elect on the prescribed District SSBCI Enrollment Form, or such other form required by DISB, the applicable Loan Participation Program…

2915 REPORTING REQUIREMENTS – LOAN PARTICIPATION PROGRAM 2915.1 Each Eligible Lender and Eligible Recipient shall make the following reports: If an Enrolled Loan account becomes delinquent and falls sixty (60) days past its due date, the Eligible Lender shall notify DISB in writi…

2920 INNOVATION FINANCE PROGRAM 2920.1 The Innovation Finance Program shall provide capital to Eligible Recipients either (1) through a co-investment with an Innovation Finance Company into an Eligible Recipient; or (2) by investing as a Limited Partner in an Innovation Finance C…

2921 INNOVATION FINANCE COMPANY - INNOVATION FINANCE PROGRAM 2921.1 An Innovation Finance Company shall demonstrate to the Commissioner that it has a track record of positive return on investment and be an entity in one of the following categories: Certified by the U.S. Departmen…

2922 ELIGIBLE RECIPIENTS AND INVESTMENT REQUIREMENTS – INNOVATION FINANCE PROGRAM 2922.1 To qualify for an Investment, an Eligible Recipient shall: (a) Be a non-public company that is registered in the District and is subject to tax under the laws of the District; (b) Have at clo…

2923 REPORTING REQUIREMENTS – INNOVATION FINANCE PROGRAM 2923.1 Each Eligible Recipient under the Innovation Finance Program shall annually submit the following information to DISB within sixty (60) days after the year-end and at any other time DISB reasonably requests: The Eligi…

2924 TERMINATION OF INVESTMENT – INNOVATION FINANCE PROGRAM 2924.1 DISB may terminate its obligation to enroll investments under the Innovation Finance Program by issuing a notice of termination to an Innovation Finance Company. The termination shall apply on the effective date s…

2999 DEFINITIONS Capital: A loan, line of credit, any credit facility, or investment made in exchange for an interest in the ownership of the entity receiving the investment. Certified Business Enterprise: A local business enterprise as defined in D.C. Official Code § 2-218.02 (1…

300 POWERS OF DEPOSIT-TAKING BUSINESSES 300.1 Basic charter powers shall be granted upon approval of the charter. Even if an institution chooses initially to exercise less than the full range of basic powers, no subsequent approval shall be necessary before engaging in the other …

301 BASIC POWERS BESTOWED BY BANK CHARTER 301.1 A District bank's charter shall authorize the District bank, without further approval, to exercise the following powers: (a) To adopt and use a corporate seal; (b) To have succession from the date of its organization until dissoluti…

302 ADDITIONAL BANKING POWERS REQUIRING SPECIFIC APPROVAL 302.1 [RESERVED] 302.2 A bank's community investment record and commitments shall be considered at the time the Commissioner considers an application for additional banking powers. SOURCE: Final Rulemaking published at 35 …

303 BASIC POWERS BESTOWED BY SAVINGS AND LOAN CHARTER 303.1 A District savings and loan association's charter shall authorize the District savings & loan association, without further approval, to exercise the following powers: (a) To accept deposits that the depositor has a legal…

304 LIMITATION ON POWERS OF DISTRICT BRANCHES AND AGENCIES OF FOREIGN BANKS 304.1 No foreign bank shall transact business in the District except at an agency or branch office authorized under these rules to transact such business. This limitation shall not be deemed to prohibit: …

3000 SCOPE AND APPLICABILITY 3000.1 This chapter shall apply to any person or entity that operates as a student loan servicer in the District of Columbia (“District”). SOURCE: Final Rulemaking published at 65 DCR 8395 (August 10, 2018). District of Columbia Municipal Regulations …

3001 EXEMPTIONS 3001.1 This chapter shall not apply to any bank, trust company, loan company, savings bank, savings and loan association, credit union, or financial institution that accepts deposits and is incorporated or chartered under the laws of the District, the United State…

3002 LICENSE APPLICATION CONTENT, FEES, AND QUALIFICATIONS 3002.1 A license application shall be filed on a form prescribed by the Commissioner, using the National Multistate Licensing System (“NMLS”). 3002.2 The application shall include at a minimum: (a) Statements under oath t…

3003 FINANCIAL STATEMENTS AND NET WORTH REQUIREMENT 3003.1 An applicant for a student loan servicer license shall submit its audited financial statements for the immediately preceding three (3) years, or for the period the applicant has been in business if less than three (3) yea…

3004 SURETY BOND REQUIREMENT 3004.1 An applicant for a student loan servicer license shall file a surety bond in a form prescribed by the Commissioner with each original application and any renewal application. 3004.2 The surety bond shall: (a) Run to the Commissioner for the ben…

3005 INCOMPLETE AND ABANDONED APPLICATIONS 3005.1 An application shall be deemed incomplete if it omits required information, documents, or material facts. 3005.2 If the Commissioner determines that an application is incomplete, the Commissioner shall notify the applicant of the …

3006 WITHDRAWAL OF AN INITIAL APPLICATION 3006.1 An applicant may request withdrawal of an application and any fees prior to a determination on the application, by filing the request through the NMLS. 3006.2 No withdrawal shall be effective until accepted by the Commissioner. SOU…

3007 ISSUANCE AND TRANSFERABILITY OF A LICENSE 3007.1 The Commissioner shall approve an initial license application that meets the requirements of this chapter not later than sixty (60) days from the date the Commissioner determines that the application is complete. 3007.2 A lice…