§ 23-a. Mortgage modifications, evidence of pre-existing indebtedness.\n1. Notwithstanding the provision of any law, general or special, the\nsupervising agency shall have the power to:\n (i) assign or pledge or contract to assign or pledge any mortgage\nsecuring a loan, including any loan to finance the construction of a\nproject, and any note or bond evidencing indebtedness thereon, made by\nthe municipality in accordance with the provisions of this article, and\nany contract or arrangement, including any subsidy contract or\narrangement, relating to such mortgage, and the receipts to be derived\nfrom any of the foregoing, and may reacquire or accept and contract to\nreacquire or accept any such mortgage, note, bond, contract or\narrangement, including any mortgage, note, bond, contract or arrangement\nmade in substitution thereof, and the receipts to be derived therefrom,\nor\n (ii) consent to and contract for the modification of any of the terms\nof a mortgage, and note or bond secured thereby, made pursuant to\nsection twenty-three of this chapter for the purpose of obtaining\ninsurance of such mortgage loan by the federal government in order to\nrefinance all or any part of the indebtedness evidenced by such mortgage\nand note or bond, or\n (iii) satisfy such mortgage in order to enable the company to obtain\ninsurance by the federal government of a mortgage loan made for the\npurpose of refinancing all or any part of the indebtedness evidenced by\nsuch mortgage and note or bond.\n 2. In the event that the existing mortgage loan is satisfied pursuant\nto this section, the supervising agency may in consideration of the\nissuance of such satisfaction accept a new mortgage and note or bond\ninsured by the federal government in an amount equal to the maximum\nprincipal amount of a mortgage loan the federal government will insure\nor accept the proceeds available to the housing company as a result of\nthe refinancing.\n 3. In the event that there is residual indebtedness, the housing\ncompany shall make and the supervising agency shall accept such\ninstruments evidencing such indebtedness as may be required by the\nsupervising agency as are consistent with the provisions of subdivision\nfifteen of section twelve of this chapter, in such form and upon such\nterms as the supervising agency may approve. In the event that there are\nresidual receipts obligations, the housing company may make and the\nsupervising agency may accept instruments evidencing such obligations in\naccordance with the provisions of subdivision sixteen of section twelve\nof this chapter.\n 4. Notwithstanding any other provisions of this article or any\ngeneral, special or local law, where the supervising agency has made the\nfindings required in subdivision one of section twenty-six or section\ntwenty-six-a and where a project has been approved pursuant to\nsubdivision five of section twenty-six of this chapter, the supervising\nagency may make or contract to make a mortgage loan or exercise other\nrelated powers pursuant to this section or section twenty-three-b or\nsubdivision twenty-two-a of section six hundred fifty-four of this\nchapter without further findings by the supervising agency or further\napproval by the local legislative body.\n 4-a. Notwithstanding the provisions of this article or any general,\nspecial or local law to the contrary, where an existing mortgage loan is\nmodified or satisfied pursuant to this section and the supervising\nagency has approved a new or modified mortgage or mortgages, including a\nmortgage and note or bond insured by the federal government and a\nmortgage to secure residual indebtedness, the supervising agency may\nsell, assign, or otherwise dispose of, at public or private sale, on\nsuch terms and conditions as shall be deemed appropriate by the\nsupervising agency subject to the approval of the comptroller or chief\nfiscal officer of the municipality wherein such agency is located, such\nnew or modified
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