94- 457 C.M.R. ch. 203, § 6-A

Current through 2024-51, December 18, 2024

Section 457-203-6-A - Reservations for Small Issue Bonds

From that portion of the State ceiling reserved for small issue bonds, the Authority may issue specific reservations for projects in accordance with the following procedure:

A. If the Authority has not made the election under subsection H of this section 6-A with respect to all or part of any calendar year, all applications for projects which do not have a valid and effective reservation under this section at the time of such election will be ranked against each other according to the following criteria:

i. Number of full time direct jobs created in the State per dollar of small issue bond financing. For purposes of this section, full time jobs shall be jobs providing not less than 1,820 hours of paid employment per year, and shall not include temporary construction jobs. This criterion will be given double weight.

ii. Number of full time direct jobs retained and number of part time jobs created and retained per dollar of small issue bond financing. This criterion will be given single weight.

iii. Economic impact of the project as measured by:

(a) projected annual payroll of all direct jobs created or retained per dollar of small issue bond financing, and

(b) estimated annual dollar volume of sales from project to customers outside the State per dollar of small issue bond financing. This criterion will be given single weight.

iv. Impact on economy of distressed areas as measured by:

(a) employment percentage change in the labor market area of the project (as defined by the Maine Department of Labor) minus five year population percentage change in that labor market area over the five most recent years for which numbers are available, and

(b) labor market area unemployment rate less statewide average unemployment rate, using most recent annual figures. This criterion will be given single weight.

v. Other considerations justifying giving increased weight to a project based on public policy goals. This factor will be given half weight.

B. The Authority may require such information and certification from each applicant as it deems necessary or desirable in order to verify or determine the applicability of each of the criteria to each applicant.

C. Each project shall be given a numerical ranking on each criterion and an overall ranking equal to its average ranking on all criteria as weighted under subsection A.

D. Under subsection A, paragraph v, projects shall be ranked according to the number of the following considerations which are applicable to each project, as determined by the Authority:

i. The project will result in the rehabilitation of an existing building at least 50 years old, which is located in an existing commercial area of a municipality in which a substantial public benefit will result from rehabilitation, as certified by an authorized official representing the municipality;

ii. The project will provide or promote expanded markets for Maine natural resource products or increases the productivity of a textile, apparel or footwear manufacturer;

iii. The project involves the sale or distribution of goods and the project will obtain 50 percent or more of its new material, supplies and inventory from unaffiliated Maine suppliers; and

iv. The project will make a significant contribution to the protection of the environment of the State.

E. Projects will receive reservations of the State ceiling in rank order to the extent of the State ceiling then available for small issue bonds, as designated by the Authority. Reservations for particular projects shall lapse on the earlier of:

i. The date on which DEP denies an application for a license or permit required for the project;

ii. The date on which the Authority denies an application for a certificate of approval for a project;

iii. A date subsequent to the reservation established by the Authority or applicable Executive Order as the date on which reservations lapse; or

iv. December 24 of each calendar year.

F. [Deleted).

G. [Deleted].

H. At any time that the members of the Authority determine that the State ceiling available for small issue bonds is equal to or exceeds the reasonably foreseeable demand for such State ceiling for small issue bonds, the Authority may elect to issue reservations for projects for one or more periods not exceeding in total 35 days in any calendar year upon receipt of certification of bond counsel to the issuer of the scheduled bond closing date and that interest on the bonds will be exempt from Federal income taxation under applicable law provided an allocation of State ceiling is obtained, which reservation shall be available only to those projects which have an unexpired certificate of approval from the Authority and which have obtained all necessary DEP approvals or certification that none are required. Upon the election by the Authority to proceed under this subsection, this procedure shall be followed in lieu of the procedure set forth in subsection A through E of this section until the Authority terminates the election. Reservations issued under this subsection shall lapse on the earlier of:

i. A date subsequent to the reservation established by the Authority or applicable Executive Order as the date on which reservations lapse; or

ii. December 24 of each calendar year.

94- 457 C.M.R. ch. 203, § 6-A