Current through Register Vol. 54, No. 49, December 7, 2024
(a) The Department will provide loans to eligible businesses for eligible projects in accordance with the terms and conditions of the act and this chapter.(b) Interest rates will be set by the Secretary and will become effective when the Secretary prescribes. In setting interest rates, the Secretary will consider the current and longer term unemployment levels of the region of this Commonwealth within which the project is located, as well as market interest rates, Program funding, and the need to keep the Commonwealth and its businesses competitive. Interest rates established will be published annually as a notice in the Pennsylvania Bulletin.(c) The maximum loan term will be for the lesser of 10 years or the useful life of the machinery or equipment acquired. In individual cases, the Secretary may provide for a lesser term for reasons based on principles of economic development financing.(d) The maximum loan amount is $500,000 or 50% of the eligible cost of the project, whichever is less.(e) A project shall create or retain one full-time equivalent job for each $25,000 of loan proceeds received within 3 years after disbursement of loan proceeds. A full-time equivalent job is 1,950 hours of employment per year.