S.D. Admin. R. 31:01:03:03

Current through Register Vol. 51, page 67, December 16, 2024

Section 31:01:03:03 - Conditions and limitations

Loans are made subject to the following conditions and limitations:

(1) Interest shall be charged at the rate of three percent per year on the unpaid balance and shall begin accruing on the date funds are disbursed to the borrower;

(2) The amount of the loan cannot exceed the estimated cost of the measures applied for as found in the technical analysis report;

(3) The repayment schedule shall be based on the estimated payback as shown in the technical analysis report with the first payment due within 12 months after the loan disbursement date. However, the first payment must be made not later than two years after the date of the loan and the last payment due not later than 10 years after the date the loan funds are disbursed;

(4) Payments shall not be made more often than monthly, nor less often than annually;

(5) The total amount of the loan may be repaid at any time without penalty;

(6) All work or construction done with the proceeds of a loan under this program must comply with all applicable building and housing codes and standards;

(7) Loan recipients must adhere to the requirements of Office of Management and Budget Circular A-102 (January 1981) or A-110 (July 30, 1976) as applicable. They must also meet the requirements of federal Department of Labor standards in 29 C.F.R. Part 3 (April 15, 1976) and 29 C.F.R. Part 5 as published in 48 Fed. Reg. 19,540-19,553 (April 29, 1983);

(8) Project implementation must begin within 90 days after written notice of loan approval. Projects on owner-occupied residential structures must be completed within 180 days after written notice of loan approval, and projects on all other types of structures must be complete within 365 days after written notice of loan approval;

(9) Loans may not be used to replace an existing permanent loan;

(10) Funds shall be disbursed to the borrower on a reimbursement basis after proof of payment is provided to the office or to both the borrower or borrowers and the contract supplier after project completion. The contract supplier's invoice showing the actual costs incurred must be submitted to the office together with verification of installation of the approved energy conservation measure;

(11) Advances of funds, not to exceed expenditures anticipated within 60 days following the date of submission of a voucher, may be approved in unusual circumstances;

(12) Loan payments, made payable to the Office of Economic Development, shall be sent or delivered to the office at its current address; and

(13) Collateral may be required to secure the loan.

S.D. Admin. R. 31:01:03:03

14 SDR 183, effective 7/13/1988; transferred from § 20:13:03:03, 15 SDR 209, effective 7/9/1989; 19 SDR 148, effective 4/4/1993; 20 SDR 222, effective 7/5/1994.

General Authority: SDCL 1-33B-15.

Law Implemented: SDCL 1-33B-15.

Electricians, art 20:44. State plumbing code, art 20:54. Fire safety, art 61:15. Building codes and standards, SDCL 11-10.