123-019-0030 Application Procedure (1) Each Applicant shall certify to the Certified Entity and the Department that it is an eligible Applicant for the Fund under OAR 123-019-0020(1) and shall specify which of the criteria outlined in 123-019-0020(1) it meets. (2) The Certified Entity may enroll the Applicant in an appropriate Small Business Management Program. Each Applicant shall: (a) Have completed a Small Business Management Program; (b) Be enrolled in a Small Business Management Program prior to Department action on such Applicant's loan request; (c) Satisfactorily document to the Certified Entity and Department, a business plan that adequately demonstrates the ability of the Applicant to repay the proposed loan; or, (d) If the business has been in operations for 24 months or more, the Department may accept Applicant-prepared projections with supporting assumptions, and an executive summary of the business operations and plan in lieu of satisfying the requirements of OAR 123-019-0030(2)(a)-(c). The Department may, at its sole discretion, require the review and assistance of a Certified Entity if the documentation provided is not considered adequate. (3) Each Applicant shall certify to the Department that the applicant is enrolled in or has completed a Small Business Management Program as applicable or has prepared a business plan that has been reviewed by the Certified Entity unless the Applicant qualifies under OAR 123-019-0030(2)(d). (4) Prior to applying for a loan from the Fund, each Applicant will provide to the Department a business plan or executive summary as applicable under OAR 123-019-0030(2). (5) Unless otherwise waived in writing by the Finance Manager, the business plan must be reviewed by the counseling staff of the Certified Entity where the Applicant is enrolled in a Small Business Management Program or where the Applicant is receiving assistance with the preparation of the business plan. Review of the business plan by the Certified Entity does not imply any judgment by the Certified Entity as to the accuracy or validity of the plan. (6) Upon completion and review of the business plan as provided in sections (4) and (5) of this rule, the business plan, together with a credit application on the form provided by the Department, along with all supporting financial documents, shall be forwarded to the Department for consideration. The credit application shall contain a detailed list of the proposed uses of the proceeds of the loan being sought from the Fund. (7) The Department may require such additional information from an Applicant as the Department in its sole discretion determines is necessary for a thorough review and analysis of the application. (8) Upon completion of its review, Department staff shall forward the application to the Finance Manager, with a recommendation for action. The Finance Manager may: (a) Approve the application; or (b) Deny the application; or (c) Return the application to the Applicant and Certified Entity for further information or refinement. (9) If a loan request is approved, the Department shall prepare such documents as are necessary to close the loan transaction. Such documents shall reflect all terms and conditions upon which the Finance Manager may have conditioned their approval of the loan. (10) An Applicant may apply for, and the Finance Manager may approve, subsequent loans from the Fund. No Applicant may receive more than an aggregate lifetime amount of $1,000,000 in loan proceeds from the Fund. Applicants for subsequent loans must meet the eligibility requirements outlined in 123-019-0020. (a) For any loans that exceed $300,000, the Department shall extend a Local Lender with an opportunity to participate in funding a qualified project to assist the Local Lender to deploy their capital to qualified Applicants. (b) If the Local Lender agrees to participate, the Department will take the lead role in underwriting and structuring the transaction. (c) A Local Lender is not obligated to participate but is being invited into the project to maintain a productive, collaborative relationships between the Department and the Local Lender. Such participation will foster new relationships with local businesses and the Local Lender will serve as a point of contact for future technical and lending assistance needs after the loan is approved and funded. (d) In the event that multiple lenders are operating in the area or region of the Applicant, the Department is only obligated to extend the partnership opportunity to one lender. (11) The Department may notify the Certified Entity if any Applicant with which the Certified Entity has worked becomes delinquent in its payment or otherwise acts in such a manner as to jeopardize the repayment of the loan. [Publications: Publications referenced are available from the agency.] Statutory/Other Authority: ORS 285A.075, OL 2020 2nd SS Ch 10 Sec 26-27 & ORS 285B.758 Statutes/Other Implemented: Ch. 688, OL 1991, Ch. 765, OL 1993, OL 2020 2nd SS Ch 10 Sec 26-27, ORS 285B.740, ORS 285B.743, ORS 285B.746, ORS 285B.749 & ORS 285B.758 History: OBDD 4-2025, amend filed 05/19/2025, effective 05/19/2025 OBDD 1-2023, amend filed 01/18/2023, effective 01/18/2023 OBDD 4-2022, temporary amend filed 03/09/2022, effective 03/09/2022 through 09/02/2022 OBDD 7-2021, amend filed 07/02/2021, effective 07/02/2021 OBDD 2-2021, temporary amend filed 01/19/2021, effective 01/19/2021 through 07/09/2021 OBDD 12-2014, f. 6-30-14, cert. ef. 7-1-14 OBDD 35-2010, f. 10-14-10, cert. ef. 10-15-10 OBDD 34-2010, f. & cert. ef. 10-1-10 OBDD 10-2010(Temp), f. & cert. ef. 4-12-10 thru 10-9-10 EDD 10-1998, f. & cert. ef. 5-22-98 Reverted to EDD 8-1995, f. & cert. ef. 10-26-95 EDD 11-1997(Temp), f. & cert. ef. 10-7-97 EDD 8-1995, f. & cert. ef. 10-26-95 EDD 3-1994, f. 2-4-94, cert. ef. 2-7-94 EDD 7-1993(Temp), f. & cert. ef. 9-17-93 EDD 12-1992, f. & cert. ef. 8-26-92 EDD 16-1991(Temp), f. & cert. ef. 11-8-91