Utah Admin. Code 357-21-5

Current through Bulletin 2024-23, December 1, 2024

Section R357-21-5 - Applications

(1) To qualify applicants shall provide:

(a) at least five individual rural investments of $5,000,000 or less as part of the $50,000,000 total investments in nonpublic companies located in counties with fewer than 50,000 inhabitants; and

(b) the most recent Annual Determination letter from the office documenting the creation of at least 117 jobs from the 2017 Rural Jobs Act, if the applicant was approved during the November 1, 2017 application process.

(2) For any applications received on the same day:

(a) If there is additional investment authority to allocate after considering the applications received on the same day of submissions, then those applications will be considered on a first come first served basis until the total investment authority of $42,000,000 has been allocated, except as outlined in Subsection 63N-4-303(8); and

(b) If there is no additional investment authority to allocate after considering the applications received on the same day of applications, then the applicants who were not considered will be notified of eligibility approval and these applicants will stand in a first come first served basis for any recaptured allocation that may occur during the program, except as outlined in Subsections 63N-4-303(8) and 63N-4-305(4).

(3) Notice of Allocation Approval shall be delivered through electronic mail and be considered received at the time stamp within the electronic mail notice, not when it is read.

(4) If an approved applicant withdraws its request for investment authority after an allocation is made, the amount allocated to the withdrawing applicant will be redistributed to approved applicants that have not yet received the full amount of their requested investment authority on a pro rata basis. If all approved applicants have received the full amount of their requested investment authority, then other eligible applicants may be approved and receive allocations;

(a) approved applicants will be notified of an additional investment authority amount in writing. The applicant will have ten days to either accept the additional investment authority or decline the additional investment authority. Failure to accept in writing will be deemed a declination of additional investment authority;

(b) if the additional investment authority is declined, the amount will be redistributed to the remaining approved applicants that have not received the full amount of their requested investment authority and if none then to other approved applicants; and

(c) timing of issuance of additional investment authority: Any additional amounts received by approved applicants who have already received an allocation of investment authority shall have a new independent timeline from the original allocation amount unless the approved applicant requests to aggregate the timelines as set forth in Subsections R357-21-5(4)(c)(i), (ii), and (iii):

(i) an applicant receiving additional investment authority may request to have the additional amount aggregated with the initial allocation by making such a request on official letter head to the office and by agreeing to waive the independent timeline of the additional investment authority amount;

(ii) if aggregation of an original allocation amount with an additional investment authority allocation amount may occur without violating the Utah Rural Jobs Act or this rule, the office will approve the request to aggregate the allocations; and

(iii) if the allocations are aggregated, allocations shall be subject to the deadline for the original investment authority allocation.

(5) Once the maximum amount of funding has been allocated, applicants will be notified that there is no other allocation amount available for the fiscal year unless or until an applicant's certification lapses, an applicant withdraws its request, or if funding is recaptured.

(6) A partnership, limited liability company or S-corporation will be considered a claimant and may file the affidavit set forth in Subsection 63N-4-303(2), provided it includes a list of its partners, members, or shareholders and one of its partners, members, or shareholders has state tax liability. No penalty or fine will be assessed on a claimant that fails to make the investment set forth in an affidavit.

Utah Admin. Code R357-21-5

Adopted by Utah State Bulletin Number 2017-24, effective 11/28/2017

Amended by Utah State Bulletin Number 2022-22, effective 10/27/2022