The authority may not provide financing from proceeds of revenue obligation securities issued by the authority for any housing that is eligible for financing by the Maine State Housing Authority except with respect to property that the authority has acquired or may acquire on account or in anticipation of imminent or actual default under the mortgage insurance program.

Sec. 49. 10 MRSA §1044, sub-§9, as amended by PL 1985, c. 714, §31, is further amended to read:

9. Credit not pledged. Except as provided in this subsection, securities issued under this subchapter shall do not constitute any debt or liability of the State or of any municipality therein or any political subdivision thereof, or of the authority or a pledge of the faith and credit of the State or of any such municipality or political subdivision, but shall be are payable solely from the revenues of the project or projects for which they are issued or from other eligible collateral or the revenues or proceeds of other eligible collateral pledged to the payment of the revenue obligation securities and all such securities shall must contain on their face a statement to that effect. The issuance of securities under this subchapter shall does not directly or indirectly or contingently obligate the State or any municipality or political subdivision to levy or to pledge any form of taxation whatever therefor or to make any appropriation for their payment. Under subchapter II 2, the authority may insure mortgage loans made with the proceeds of revenue obligation securities. To these ends, the faith and credit of the State may be pledged, under and consistent with the terms and limitations of the Constitution of Maine, Article IX, Section 14- A or 14-D, and such further limitations, if any, as may be provided by statute.

Sec. 50. 10 MRSA §1044, sub-§11, as enacted by PL 1985, c. 344, §71, is repealed and the following enacted in its place:

11.__Environmental protection.__For all revenue obligation securities in excess of $1,000,000 and in other instances when the authority determines it is appropriate, the authority shall obtain a written assessment from the Department of Environmental Protection of the environmental conditions known by the department to exist at a project location so that the authority fully considers environmental risks when making its decisions.__ Environmental conditions posing risks that must be considered include, but are not limited to, licensing obligations, existing