Compilation of Rules and Regulations of the State of Georgia › Department 110 - RULES OF GEORGIA DEPARTMENT OF COMMUNITY AFFAIRS › Chapter 110-19 - DOWNTOWN DEVELOPMENT REVOLVING LOAN FUND (DD RLF) › Subject 110-19-1 - DOWNTOWN DEVELOPMENT REVOLVING LOAN FUND (DD RLF) › Rule 110-19-1-.07 - Statement of Conditions

Current through Rules and Regulations filed through June 27, 2024
In addition to the specific certifications made by the
				  applicant in accepting the commitment letter and in executing the loan
				  agreement and/or intergovernmental contract, the recipient further certifies or
				  acknowledges that:
(1) No applicable
				state laws, rules, regulations, or applicable local ordinances shall be
				violated in carrying out the project and expending DD RLF loan
				proceeds.
(2) The recipient, any
				development authorities or sub-recipients are authorized under the laws of the
				state to carry out the project and activities that are the subject of this
				financing and the proposed expenditure of funds are in accordance with all
				applicable legal requirements.
(3)
				No real or apparent conflict of interest shall be engaged in by any official,
				employee or agent of the recipient and sub-recipient(s) and any member of their
				immediate family, their partners and any organization which employs, or is
				about to employ any of the above. This prohibition prohibits both the
				solicitation and acceptance of gratuities, favors or anything of monetary value
				from contractors, potential contractors, or parties to sub-agreements.
In addition, none of the persons listed above who exercise or
				  have exercised any functions or responsibilities with respect to the activities
				  supported by the DD RLF or are in a position to participate in a decision
				  making process or gain inside information may have a financial interest or
				  benefit from the DD RLF supported activities, either for themselves or for
				  those with whom they have family or business ties, during their tenure or for
				  one year thereafter.
It is the responsibility of the recipient to disclose to the
				  Department any relationship that might create a real or apparent conflict of
				  interest as soon as the recipient becomes aware of it and to request guidance
				  and mitigation procedures from the Department. If a conflict of interest
				  exists, the Department may make an exception to this requirement provided state
				  law has not been violated and provided that the recipient or sub-recipient
				  follows the Department's mitigation procedures. Some conflicts of interest may
				  not be able to be mitigated depending on project status, state law, and the
				  Department's judgment concerning the seriousness of the conflict. Because
				  conflicts can occur at any phase of a project, including the application phase,
				  recipients and sub-recipients are encouraged to discuss possible conflicts with
				  the Department as early as possible in the application process.
(4) The recipient's accounting
				records of the DD RLF loan funds shall be maintained in a manner consistent
				with generally accepted government accounting standards.
(5) The recipient's independent financial
				audit must be conducted in accordance with generally accepted government
				auditing standards and must include the DDRLF funds. A Source and Application
				of Funds Schedule and a Project Cost Schedule for all DD RLF funds must be
				included in the audit report.
(6)
				Because the State of Georgia's Environmental Policy Act (O.C.G.A
				12-16) is not generally applicable
				to land disturbing or to land acquisition activities of local governments and
				authorities unless state government assistance totals more than fifty (50%)
				percent of the total project cost or amounts to more than $250,000, the Act is
				not expected to apply to many DD RLF projects. However, it is the recipient's
				responsibility to determine the law's applicability to the specific project and
				to meet all of its requirements.
(7) Loan funds shall be disbursed by the
				Department in accordance with the provisions of the loan agreement and/or
				intergovernmental contract. Those provisions may vary depending on each
				project's particular circumstances. In general, the Department will seek to
				match disbursements with actual need for funds and to minimize the existence of
				idle DD RLF funds at the local level.
(8) The Department may make reviews and
				audits of the project including on-site reviews as may be necessary or
				appropriate to implement the program and insure the requirements contained in
				regulation, loan agreement and/or intergovernmental contract are met. In the
				case of noncompliance and at its sole discretion, the Department shall take
				such actions as it deems appropriate to prevent a continuance of the
				deficiency, mitigate any adverse effects or consequences and prevent a
				recurrence. The Department shall establish specific sanctions and remedies for
				borrower's and/or contractor's noncompliance on a case-by-case basis.
(9) The recipient may be required to submit
				annual progress reports to the Department in a format prescribed by the
				Department. Failure to submit timely and acceptable reports may result in a
				request for immediate repayment of all DD RLF funds from the recipient by the
				Department or in other sanctions. The format and information required in any
				annual progress reports will be specified in the Department's award
				documents.
(10) Loan payments shall
				be due to the Department in accordance with the terms and provisions of the
				loan agreement and/or intergovernmental contract and must be sent to:
DD RLF Loan Servicing
Georgia Department of Community Affairs
Post Office Box 15481
Atlanta, Georgia 30333
O.C.G.A. §
											50-8-8.