Statutes, codes, and regulations
West Virginia Administrative Code
Agency 44 - Water Development AuthorityTitle 44 - LEGISLATIVE RULES WATER DEVELOPMENT AUTHORITY
Series 44-01 - Requirements governing disbursement Of loans And grants To governmental agencies For The design, acquisition Or construction Of water development projec
Section 44-1-10 - Financing water development projects by issuance of revenue bonds in conjunction with the small business administration guarantee of lease between Authority and small business concern

W. Va. Code R. § 44-1-10

Download
PDF
Current through Register Vol. XLI, No. 50, December 13, 2024
Section 44-1-10 - Financing water development projects by issuance of revenue bonds in conjunction with the small business administration guarantee of lease between Authority and small business concern
10.1. Purpose and objectives.

These rules are promulgated for the purpose of setting forth the procedures by which the Authority shall finance water development projects to be leased to eligible credit-worthy small business concerns in West Virginia by the Authority's issuing its water development revenue bonds which will be paid from lease payments made by such small business concerns. The financing afforded pursuant to this Section 10 is available only in conjunction with a one hundred percent (100%) guaranty by the small business administration of the periodic payments to be made by a small business concern under such lease.

10.2. Definitions applicable to this section.
10.2.1. The "Act" means W. Va. Code '22C-1.
10.2.2. The "Authority" means the West Virginia Water Development Authority.
10.2.3. "Applicant" means an entity which applies for financing pursuant to the provisions of this Section 10.
10.2.4. "Water Development Project" has the meaning ascribed to it in the Act.
10.2.5. "Bonds" mean the water development revenue bonds issued by the Authority to provide financing for water development projects under this Section 10.
10.2.6. "Lease" means an agreement entered into between the Authority and an applicant pertaining to a water development project and as more particularly described in Section 10.4 of these rules.
10.2.7. "SBA" means the Small Business Administration of the United States.
10.2.8. "SBA Regulations" mean regulations issued by the SBA from time to time respecting SBA pollution control financing guarantees including Part III of Title 13 of the Code of Federal Regulations.
10.3. Eligibility for financing.

An applicant which is a "Small Business Concern" within the meaning of the Small Business Investment Act of 1958, as amended, and the regulations promulgated thereunder, is eligible for the financing afforded pursuant to this Section 10 of these rules, provided such applicant:

a) Meets all the requirements for the one hundred percent (100%) SBA guarantee of lease payments provided for in the SBA regulations;
b) Holds valid, current permits issued by the National Pollution Discharge Elimination System (United States Environmental Protection Agency) and the Office of Water Resources of the Division of Environmental Protection at the time the application is made; and
c) Meets the credit standards of the Authority.
10.4. Financing to be subject to terms of lease.

Each applicant shall submit an application in the form prescribed by the Authority and, if such application is approved, execute and enter into a lease which shall satisfy the requirements of a "Qualified Contract" within the meaning of the SBA regulations. The financing afforded pursuant to this Section 10 of these rules, shall be subject to the terms and conditions of the lease: Provided further, That the lease shall contain such descriptions, terms and conditions relative to the water development project as may be required by the Authority; and, finally, the terms and conditions of the financing of the water development project must be approved by the Authority. The lease shall also conform to the requirements of the Act.

10.5. Agreement of Authority to finance water development projects to be conditional.

Notwithstanding any agreement contained in the lease or elsewhere to the contrary, the obligation of the Authority to finance any water development project pursuant to this Section 10 of these rules, is and shall be conditioned upon receipt by the Authority of (i) the commitment of SBA to guarantee one hundred percent (100%) of the periodic payments which the applicant is required to make under the lease, in accordance with the terms of the SBA regulations; and (ii) the proceeds of bonds in such amounts and on such terms and conditions as, in the sole judgment of the Authority, will enable it to finance such water development project.

W. Va. Code R. § 44-1-10