94- 457 C.M.R. ch. 314, § 9

Current through 2024-51, December 18, 2024

Section 457-314-9 - Eligible Projects

A. In order for a project or borrower to be eligible for financial assistance under the program, the project or borrower must meet the criteria of subsections 2, 3, and 4, below, and must meet the criteria of either subsection 1 or subsection 5, below, as follows:

(1) The borrower has one-hundred (100) or fewer employees or annual sales of $10,000,000 or less and it consists of or involves at least one of the following:

(a) Manufacturing technologies, such as value added wood products, specialty fabricated metal and electronic products, precision manufacturing and use of composites or advanced materials;

(b) Technologies, such as advanced information systems, advanced telecommunications, energy and environmental products and services;

(c) Value-added natural resource enterprises and biological and natural resources technologies, such as aquaculture, marine technology, agriculture, forestry products and biotechnology;

(d) A business converting from defense dependencies;

(e) A business significantly engaged in export of goods or services to locations outside the State;

(f) A business that dedicates significant resources to research and development activities;

(g) Other businesses with fifteen (15) or fewer employees; and

(h) A quality child care project.

(i) A business significantly engaged in commercial and/or mixed-use real estate and/or community facilities real estate development; and

(j) A business significantly engaged in serving tourists, such as in the area of outdoor recreation, culture and heritage and hospitality.

(2) The borrower is unable to obtain funding needed for the project from other public and private sources including the personal resources of the owners of the business borrowing from the fund.

(3) The borrower has committed all reasonably available resources to the project, obtained financial commitment from other sources of financing and demonstrated a reasonable likelihood that the loan can be repaid.

(4) The loan is not used to make distributions to or for the benefit of an owner of the business borrowing from the fund or a related entity.

B. Among eligible borrowers seeking loans for projects other than quality child care projects, an applicant shall give priority to businesses and projects with the potential of meeting one or both of the following objectives:

(1) The financing will help the borrower pursue a business that adds significant value to raw materials or inventory;

(2) The financing is likely to result in a long-term net increase in permanent, quality jobs, which may include ownership or self-employment opportunities that meet a local or regional need or the retention of jobs in jeopardy of being lost.

C. For loans made by applicants or made directly by the Authority for quality child care projects, not more than $15,000 of program loan proceeds shall be used for lead abatement.

D. The Authority shall reserve an amount of no less than $300,000 from the fund for loans for quality child care projects, whether made by applicants or directly by the Authority.

94- 457 C.M.R. ch. 314, § 9