Section 1700-06-01-.02 - DEFINITIONSThe following definitions shall apply to these rules:
(1) "Act" means Chapter 830 of the Tennessee Public Acts of 2004.(2) "Applicant" means a Qualifying Business that has filed an Application for Program Assistance.(3) "Application" means the form required of an Applicant for Program Assistance, which requests a Loan, and/or Program Services.(4) "Department" means the Tennessee Treasury Department.(5) "Gross Receipts" means the annual total revenue exclusive of deductions.(6) "Ineligible Business" means a church, non-profit organization, insurance company, real estate contractor, real estate developer, night club and any similar entertainment-oriented business, a business that does not create or provide jobs, and a business not incorporated or located in Tennessee.(7) "Loan" means a loan for a specific Project for which the Applicant has requested Program Assistance. The following shall be considered acceptable purposes for which a Loan may be made under the Loan Program: acquisition of machinery and equipment; working capital; supplies and materials; inventory; and other business-related activity as approved by the Program Administrator. A line of credit shall be considered a Loan under the Program. Lending for the acquisition of real estate shall be excluded from the Program.(8) "Minority-Owned Business" means a business that is solely owned, or at least fifty-one percent (51%) of the assets or outstanding stock of which is owned, by an individual who personally manages and controls the daily operations of such business, and who is impeded from normal entry into the economic mainstream because of race, religion, sex, or national origin. Any business certified as a minority-owned business from the Governor's Office of Diversity Business Enterprise or the United States Small Business Administration shall be considered a minority-owned business for purposes of the Program. Certification from other recognized entities such as Minority Purchasing Councils and Airport Authorities may be acceptable at the discretion of the Program Administrator.(9) "Program" means the Small and Minority-Owned Business Assistance Program created by the Act. The Program includes the following components: Loans, and Program Services.(10) "Program Administrator" means the organization selected pursuant to Rule 1700-6-1-.04 below to administer the Program.(11) "Program Assistance" means Loans, and Program Services as described in these Rules.(12) "Program Fund" means the Small and Minority-Owned Business Assistance Program Fund created by the Act.(13) "Program Services" mean services that include, but are not limited to, technical assistance , education and consulting services provided under the Program to Qualifying Businesses that may or may not be making Application for a Loan. The Program Administrator shall be responsible for providing Program Services to Qualifying Businesses except that Program Services under the Loan Program shall be provided pursuant to Rule 1700-6-1-.13 below.(14) "Project" means the business activity as proposed by the Applicant in the Application and the approved purpose of the Loan. Loans will only be made on behalf of Applicants for Loans that initially finance a Project. The refinancing of any existing debt shall not be considered eligible for a Loan.(15) "Qualifying Business" means a sole proprietorship, a partnership, a limited liability partnership, a limited liability corporation, or any other incorporated entity which satisfies the following definitions under these Rules: is not an Ineligible Business; is either a Small Business or a Minority-Owned Business; is eligible to do business in Tennessee; and is located in and maintains operations in Tennessee at the time Program Services are requested and for the term that Program Services are provided. A material change in any of the foregoing qualifications may be cause for denial or revocation of any Program Assistance.(16) "Qualified Organization" means an organization whose central purpose is economic development. Such organizations specifically include, but are not limited to, organizations qualified as Community Development Entities by the United States Treasury Department and organizations licensed and regulated by the Federal Small Business Administration as a 301(d) Small Business Investment Company, also known as a Specialized Small Business Investment Company.(17) "Reasonable Access" means, unless otherwise indicated, a Minority-Owned Business meeting the criteria of a Qualifying Business shall be considered not to have reasonable access to capital markets and traditional commercial lending facilities.(18) "Small Business" means a Qualifying Business with annual gross receipts of less than four million dollars ($4,000,000).(19) "Treasurer" means the Tennessee State Treasurer.Tenn. Comp. R. & Regs. 1700-06-01-.02
Original rule filed June 30, 2006; effective October 27, 2006.Authority: T.C.A. §§ 65-5-113, and 65-5-112.