Source: http://www.oregonlaws.org/ors/285B.059
Timestamp: 2014-08-23 05:32:51
Document Index: 448176768

Matched Legal Cases: ['§ 285', '§27', '§2', '§43', '§52', '§1', '§2']

ORS 285B.059 - Conditions for commission approval of project - 2011 Oregon Revised Statutes
2011 ORS § 285B.059¹
Conditions for commission approval of project
(1) The Oregon Business Development Commission may approve a business development project proposed in an application filed under ORS 285B.050 (Definitions for ORS 285B.050 to 285B.098) to 285B.098 (Status of loan to county or municipality) if, after investigation, the commission finds that:
(a) The proposed business development project is feasible and a reasonable risk from practical and economic standpoints, and that the loan has reasonable prospect of repayment.
(b) The applicant can provide good and sufficient collateral for the loan.
(c) Moneys in the Oregon Business Development Fund are or will be available for the proposed business development project.
(d) There is a need for the proposed business development project.
(e) The applicant has not received or entered into a contract or contracts exceeding $1 million with the commission, under authority of ORS 285B.050 (Definitions for ORS 285B.050 to 285B.098) to 285B.098 (Status of loan to county or municipality), for the previous 365 days.
(2)(a) Except as provided in paragraph (b) of this subsection, the total amount of moneys loaned from the fund for a business development project may not exceed 50 percent of the cost of the project.
(b) The total amount of moneys loaned from the fund for a business development project may exceed 50 percent of the cost of the project if two or more lenders have denied requests from the applicant to commit to participate in the financing of the project and the applicant has no other available financing.
(3)(a) Except as provided in paragraph (b) of this subsection, moneys may not be loaned from the fund for a business development project unless there exists a commitment from a commercial or private lender, or a local development group, to participate in the financing of the project.
(b) Moneys may be loaned from the fund for a business development project without a commitment from a commercial or private lender, or a local development group, to participate in the financing of the project if:
(A) The applicant is a county or municipality;
(B) There are payments other than the scheduled principal and interest payments; or
(C) Two or more lenders have denied requests from the applicant to commit to participate in the financing of the project and the applicant has no other available financing.
(4) To encourage private sector and local development group participation in the financing of business development projects, the commission may subordinate the security position of the fund to that of other lenders.
(5) In each fiscal year of a biennium, 15 percent of all moneys available for lending from the fund is reserved for loans to emerging small business enterprises as defined by the Oregon Business Development Department by rule, which are located in or draw their workforces from within distressed areas as determined by the Oregon Business Development Department in cooperation with the Employment Department of this state. If the Oregon Business Development Department was unable to obtain a sufficient number of approvable applications to meet the requirements of this subsection in the previous fiscal year, it may, in the current fiscal year and notwithstanding the limitations imposed by ORS 285B.050 (Definitions for ORS 285B.050 to 285B.098) (2)(g)(B), make loans, in an amount that does not exceed the 15 percent reserved for the prior fiscal year less the amount of loans made to emerging small business enterprises located in rural and distressed areas during the previous fiscal year, to service and retail businesses operated by small business enterprises that are located in or draw their workforces from within distressed areas as determined by the Oregon Business Development Department in cooperation with the Employment Department of this state. As used in this subsection, rural area and distressed area have the meaning given those terms in ORS 285A.010 (Definitions for ORS 284.101 to 284.146 and ORS chapters 285A, 285B and 285C). [Formerly 285.413 [bad link]; 1999 c.509 §27; 2003 c.167 §2; 2007 c.804 §43; 2009 c.830 §52; 2010 c.106 §§1,5; 2011 c.558 §2]