Rating Action: Moody's affirms VMIG 1 assigned to Maryland CDA's Residential Revenue Bonds, 2006 G, 2006 J and 2014 FGlobal Credit Research - 17 Dec 2021New York, December 17, 2021 -- Moody's Investors Service has affirmed the short term rating of VMIG 1 assigned to Maryland Community Development Administration's (the "Administration") Residential Revenue Bonds 2006 Series G, Residential Revenue Bonds 2006 Series J and Residential Revenue Bonds 2014 Series F (the "Bonds").RATINGS RATIONALEThe affirmation is based on the substitute standby bond purchase agreement ("SBPA") provided by Wells Fargo Bank, N.A. ("Wells Fargo Bank" or the "Bank"). The Bank is rated Aa1(cr)/P-1(cr) by Moody's. The substitution shall take effect on January 6, 2022. The Residential Revenue Bonds program is currently rated Aa1.The VMIG 1 rating reflects the SBPA provided by the Bank and expires upon the earliest to occur of (i) the mandatory tender date resulting from the expiration of the SBPA, (ii) conversion of the Bonds to a fixed rate mode or (iii) earlier termination of the SBPA.RATING OUTLOOKN/A.FACTORS THAT COULD LEAD TO AN UPGRADE OF THE RATINGS- N/AFACTORS THAT COULD LEAD TO A DOWNGRADE OF THE RATINGS- Downgrade of the short term rating of the Bank and/or of the bond program's ratingLEGAL SECURITYThe Bonds will continue to bear interest at the weekly rate mode and interest shall be paid on the first day of each March and September. The Administration may elect to change the interest rate mode to a different period. Upon any such mode change, the Bonds are subject to mandatory tender. In addition, bondholders have rights of optional tender for the Bonds while they remain in the weekly rate mode or are converted to another covered variable rate mode.The SBPA provides for purchase by the Bank of Bonds that are tendered by bondholders and cannot be remarketed. Under certain circumstances the Bank can terminate the SBPA or suspend its obligations without notice and will therefore not be obligated to provide funds. These circumstances include any of the following: (1) any principal of or interest on any Bond (including bonds purchased by the Bank) is not paid when due; (2) certain acts of bankruptcy or insolvency by or involving the Administration; (3) provisions relating to the payment of principal or interest under the SBPA, Bond Resolutions, the Bonds are declared invalid by a court or other competent authority, or the Administration challenges or seeks adjudication that the SBPA, the Bond Resolutions, the Bonds are not valid; (4) the rating on the Bonds falls below Baa3; or (5) Failure to pay final non-appealable legal judgment for $5 million within 60 days without staying enforcement of the judgment.Other events of termination become effective only after the Bank provides sufficient notice to allow for a mandatory tender of Bonds before the termination date of the SBPA.PROFILEThe Residential Revenue Bonds program was created by CDA to finance single family housing loans for persons or families of limited incomes in the state of Maryland.METHODOLOGYThe principal methodology used in these ratings was Variable Rate Instruments Supported by Conditional Liquidity Facilities published in March 2017 and available at https://www.moodys.com/researchdocumentcontentpage.aspx?docid=PBC_1057134. Alternatively, please see the Rating Methodologies page on www.moodys.com for a copy of this methodology.REGULATORY DISCLOSURESFor further specification of Moody's key rating assumptions and sensitivity analysis, see the sections Methodology Assumptions and Sensitivity to Assumptions in the disclosure form. Moody's Rating Symbols and Definitions can be found at: https://www.moodys.com/researchdocumentcontentpage.aspx?docid=PBC_79004.For ratings issued on a program, series, category/class of debt or security this announcement provides certain regulatory disclosures in relation to each rating of a subsequently issued bond or note of the same series, category/class of debt, security or pursuant to a program for which the ratings are derived exclusively from existing ratings in accordance with Moody's rating practices. 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