Md. Code Regs. 05.13.06.10

Current through Register Vol. 51, No. 24, December 2, 2024

Section 05.13.06.10 - Food Desert Project Applications and Processing

A. An application for financial assistance shall be submitted to the Department and shall be made upon standard forms prescribed by the Department.

B. Each application shall:

(1) Contain the applicant's organizational documents, including as applicable its articles of incorporation and bylaws, its articles of organization and operating agreement, its certificate of limited partnership and limited partnership agreement, or its partnership or joint venture agreement;

(2) Contain a description of the project;

(3) Contain proof of the dollar amount committed to the project from private and non-State public resources, and proof of any applications submitted to private and non-State public sources of financing for the project except that if the applicant is not applying to any private or non-State public resources, the Program may request additional information which would have been contained in those applications;

(4) Contain sufficient information to determine that the:

(a) Project is located in a food desert;

(b) Project is eligible in accordance with Regulation .07 of this chapter; and

(c) Terms and requirements of financial assistance as set forth in Regulation .08 of this chapter can be met; and

(5) Contain the following additional information:

(a) The number and types of jobs to be created or retained by the project;

(b) The amount, size, and types of commercial or industrial space to be created or retained;

(c) The cost of the project;

(d) A project budget identifying all sources and uses of project development funds;

(e) Except for projects seeking financial assistance for minor rehabilitation, a pro forma showing anticipated project revenue, expenses, and debt service and other indebtedness of the project;

(f) Identification of the revenues which can be used to repay the financial assistance provided by the Program; and

(g) Other and further information as the Program may request.

C. Application Evaluation.

(1) Each application submitted shall be reviewed by the Program to determine whether all of the information required under §B of this regulation is contained in the application.

(2) Upon submission of all required information, the Program shall undertake an analysis of each application and make a recommendation to the Secretary, as to whether, in accordance with this section, a project is eligible for financial assistance, the amount of financial assistance, and any special terms and conditions for a project.

(3) The Program may take the information set forth in an application and the following factors into consideration in recommending an award of financial assistance:

(a) The ratio, as permitted under Regulation .07E of this chapter, of Program and other State funds to both private and other non-State public funds;

(b) The relationship of a project to area revitalization plans, efforts, and strategies;

(c) The capability of an applicant to administer a project;

(d) The potential of the business to serve the needs of the food desert in which it is situated;

(e) A plan to seek out sources of Maryland-grown produce and Maryland-produced foods;

(f) A strategy to encourage hiring local residents; and

(g) Other factors which the Program determines are desirable in fostering commercial and economic revitalization within each local jurisdiction in which the project is located.

D. Approval of Applications.

(1) If the Program determines to recommend approval of a project for financial assistance, the Program shall present the project to the Secretary.

(2) The Secretary, in the sole discretion of the Secretary, may delegate to an authorized officer of the Department the authority to approve, disapprove, or approve with modifications financial assistance provided under the Program.

E. Rejection of Applications. If the Program determines not to recommend approval of a project for financial assistance, the Program shall issue a written notice of rejection with an evaluation and explanation for rejection.

F. Reconsideration.

(1) An applicant may request reconsideration of a rejection by submitting a written request, to the Secretary, which is received within 30 days following the date of the rejection notice. The request for reconsideration shall address each reason for the rejection and provide documentation supporting reasons for reconsideration of the issues. The Secretary shall respond in writing to the applicant's request for reconsideration within 30 days of receipt by the Secretary of the request for reconsideration.

(2) An initial decision or reconsideration of a decision is not a contested case within the meaning of the Administrative Procedure Act or COMAR 05.01.01.02.

(3) The Secretary, in the sole discretion of the Secretary, may delegate to an authorized officer of the Department the authority to approve, disapprove, or approve with modifications a request for reconsideration of a rejection under the Program.

G. Closing. The closing of an award of financial assistance shall be scheduled at a time acceptable to the Department and the Office of the Attorney General.

Md. Code Regs. 05.13.06.10

Regulation .10 adopted effective 42:9 Md. R. 646, eff.5/11/2015