865 R.I. Code R. 865-RICR-10-00-1.12

Current through November 7, 2024

Section 865-RICR-10-00-1.12 - Financing Agreement

A. Upon approval of I-195 Fund Financing for an Applicant by the Commission, the Commission and the Applicant will enter into a Financing Agreement prior to the issuance of any I-195 Fund Financing to the Applicant.

B. In order to safeguard the expenditure of public funds and ensure that the disbursement of funds furthers the objectives of the Act, the Financing Agreement shall include, among others, the following terms:

1. the maximum amount of I-195 Fund Financing awarded;

2. a schedule for the disbursement of the I-195 Fund Financing;

3. a provision delineating the permissible uses of the I-195 Fund Financing provided;

4. reasonable evidence that the Applicant is in good standing with the Division of Taxation at the time of execution of the Financing Agreement, meaning that the:

a. the taxpayer is current on all outstanding filings and declared tax liabilities subject to audit;

b. the taxpayer and the Division of Taxation have a workout payment agreement or other settlement with respect to any known delinquent tax liability and the taxpayer is current on that workout payment agreement or settlement; or

c. the taxpayer has timely commenced or is engaged in an administrative or judicial proceeding concerning a tax liability the status of which would otherwise preclude the issuance of a letter of good standing from the Division of Taxation;

5. events of default and remedies including events, if any, that would trigger forfeiture, revocation and/or repayment of the I-195 Fund Financing provided;

6. indemnification, insurance and other customary protective requirements;

7. reporting requirements including, but not limited to, any requirements under the Act;

8. the imposition of such restrictions or covenants upon the Project as may be necessary to ensure continued compliance with the Act, the Rules, and any terms and conditions on the provision of I-195 Fund Financing that the Commission deems appropriate;

9. at the Commission's discretion, a provision requiring the Applicant to pay the Commission's reasonable attorneys' fees incurred in connection with the negotiation, execution and enforcement of the Financing Agreement; and

10. any other provisions the Commission deems appropriate.

865 R.I. Code R. 865-RICR-10-00-1.12