C. In the case of security for equity investments, the authority may pledge or deposit money from the fund established under section 1026-G 1023-F as security for up to 30% of a direct equity investment in an eligible borrower on terms and conditions established by the authority by rulemaking pursuant to the Maine Administrative Procedure Act, Title 5, chapter 375, subchapter II 2.

Sec. 37. 10 MRSA §1026-K, as enacted by PL 1993, c. 319, §2, is repealed.

Sec. 38. 10 MRSA §1026-O, as enacted by PL 1997, c. 217, §1, is repealed.

Sec. 39. 10 MRSA §1026-P, as enacted by PL 1997, c. 500, §6, is repealed.

Sec. 40. 10 MRSA §1026-R, as reallocated by RR 1999, c. 1, §14, is repealed.

Sec. 41. 10 MRSA §1026-S, as enacted by PL 1999, c. 713, §4, is repealed.

Sec. 42. 10 MRSA §1029, as amended by PL 1987, c. 846, §10, is further amended to read:

§1029. Insurance of subchapter 3 loans

1. Eligible for insurance. All payments required under a mortgage, a loan agreement or related documents for a project financed by revenue obligation securities issued pursuant to subchapter III 3, including revenue obligation securities which may that provide full or partial financing for more than one project, shall be are eligible for insurance to the extent permitted under this subchapter.

2. Insurance payment. In any case where when the authority becomes obligated by contract or other agreement to make an insurance payment with respect to any insured mortgage or other agreement issued with respect to insured subchapter III 3 loans, the authority shall:

A. Make the payment at the time and in the manner provided by the applicable contract or agreement, charging the payment to the Mortgage Insurance Fund, Loan Insurance Reserve Fund or, in the case of payments required under agreements issued pursuant to section 1026-F for aboveground