Illinois Administrative Code › Title 14 - COMMERCE › Part 570 - ILLINOIS SMALL BUSINESS DEVELOPMENT PROGRAM › Section 570.30 - Application Evaluation

Current through Register Vol. 48, No. 28, July 12, 2024
a) Direct
			 Funding
1) Criteria for evaluating loan
			 applications.
The Department shall screen all applications to determine that
				all requirements of the application package have been addressed. Complete
				applications will be reviewed and evaluated by Department staff. Applicants
				will be notified of deficiencies in applications and given an opportunity to
				correct such deficiencies through submission of additional documentation (see
				Section
				570.25(a)(1)
				). This review and evaluation process will be completed within 45 days of the
				Department's receipt of a complete application. Department staff will conduct a
				technical and financial evaluation of each application.
A) Technical Evaluation Component - Each
			 application will be reviewed to assure compliance with technical program
			 requirements as specified in Sections 9-2, 9-4, 9-4.2, and 9-6 of the Small
			 Business Development Act [30 ILCS 750/9-2, 9 -4, 9-4.2, and 9-6]. The technical
			 evaluation will address the following criteria:
i) Evidence of Need for Program Funding - The
			 company must demonstrate the need for program funds in accordance with
			 requirements of Section 9-4(c) of the Act, including evidence that the
			 project's financing cannot be obtained without Department participation at an
			 interest rate and term that makes the project viable; and the leverage of other
			 funds in accordance with Sections 9-4(a) and (b) and 9-6(a) and (b) of the
			 Act.
ii) Project Implementation
			 Readiness - The company must demonstrate project readiness, including
			 identifying loans and investments from all lenders and investors on letterhead,
			 signed and dated; time schedule for project initiation; and written cost
			 estimates from contractors, suppliers, and/or architects that support project
			 costs.
iii) Employment Impact -
* The application shall provide evidence of: employment
				impact/opportunity (e.g., job creation/retention), including written assurance
				from the company which identifies a description of the type and the number of
				any jobs to be created/retained; and any evidence that such jobs will generate
				additional wealth for the community (e.g., final goods or services produced are
				sold in markets outside Illinois or final goods or services produced and sold
				locally substitute for those imported from outside the state). Special
				consideration will be given to a Minority, Women and Disability Business
				Project or to a project which demonstrates additional need (e.g.: Distressed
				community or county with an unemployment rate which is 25% higher than the
				State average, or a per capita income that is less than the State average, or
				area with limited economic development as evidenced by absence of development
				activities within the last two years or as evidenced by new job growth rate
				less than the State or national average, or
* Funding would support business which has provided assurance
				that the project will generate business growth and make an employment
				impact/opportunity in the community as a result of spinoff businesses, and thus
				evidence that the additional jobs will be created or retained, or
* Funding is needed to avert loss of a major employment source
				(more than 100 jobs or 2% of the local base) in the community, or
* Jobs to be created or retained offer wages substantially
				higher than the prevailing wage in the industry as determined by the Illinois
				Department of Labor pursuant to the Prevailing Wage Act [820 ILCS 130 ], or an
				annual wage higher than the State's median income as computed by the
				Department's Division of Research and Analysis, 620 E. Adams Street,
				Springfield, Illinois 62701, (217) 785-6117).
iv) Evidence of how the Company will
			 modernize or improve their competitiveness. The Company must demonstrate how
			 they will accomplish the following:
* improve productivity;
* reverse an actual or expected decline in production;
				or
* improve the Company's competitive advantage.