North Carolina Administrative Code › Title 04 - COMMERCE › Chapter 01 - DEPARTMENTAL RULES › Subchapter K - ECONOMIC DEVELOPMENT ACTIVITY OF THE COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM › Section .0300 - FINDINGS REQUIRED FOR APPROVAL › Section 01K .0302 - CRITERIA FOR MAKING NECESSARY FINDINGS

Current through Register Vol. 39, No. 2, July 15, 2024
The Department shall determine criteria for making the
					 approval findings, as follows:
(1) The
				  Department shall determine that the project business is capable of completing
				  its proposed project activities in a successful manner. Capable means that
				  there is a business history, a financial condition, or other outstanding
				  business qualifications which support the conclusion that the project business
				  is capable of operating in a successful manner;
(2) The Department shall determine that the
				  project is identifiable and free-standing, with its own measurable and
				  significantly beneficial impact. Identifiable and free-standing means a project
				  which can literally be separated out and specifically identified and determined
				  as the project being discussed, and as such shall have its own measurable and
				  significantly beneficial result at the project location;
(3) The Department shall determine that the
				  project shall be completed. The provision of legally binding commitments from
				  the grantee and the beneficiary employer or employers shall be sufficient
				  evidence that the project is to be completed;
(4) The Department shall determine that there
				  is a substantial benefit to persons of low and moderate income. Substantial
				  benefit to persons of low and moderate income may be evidenced by employer
				  commitments to assure that 60% of jobs created or saved shall be held by
				  persons of prior low and moderate family income status;
(5) The Department shall determine that there
				  is a favorable ratio or relationship between the jobs created and the number of
				  CDBG dollars invested in the project. Favorable shall mean that a project will
				  create or retain jobs at a rate equal to a ratio of CDBG dollars required for
				  the type of project company involved, and the local government has committed to
				  meet the local to CDBG match requirement as required by current program rules
				  and for the project type proposed.
(6) The Department shall determine that there
				  is a favorable relationship between the total dollars invested in the project,
				  the amount of CDBG money invested, and the anticipated taxes or other revenues
				  to either or both the municipality and county having taxing authority and
				  jurisdiction.
(7) The Department
				  shall determine for jobs to be created (or retained), the NC Enterprise Tier or
				  Development Zone designation level of the project site shall be considered for
				  each application, along with the latest unemployment figures and impact on the
				  actual number of unemployed persons. To the extent feasible, priority
				  consideration shall be given for CDBG assistance for projects in the most
				  distressed areas of the state.
(8)
				  The Department shall determine that required compliance with federal and state
				  rules and legal requirements are documented by the grantee. The extent of
				  documentation required shall be that as considered as reasonable by the
				  Director of the Commerce Finance Center.
(9) The Department shall determine that if
				  the project involves retail, service or other local market business, the
				  application shall include surveys or other market studies as evidence that
				  similar businesses in the 15-25 mile labor work force area support the project
				  and that the project shall not jeopardize the jobs in their businesses;
				  and
(10) The Department shall
				  determine that the application presents evidence for a finding that the local
				  government applicant, or the project business in the case of a loan project,
				  has a reasonable and appropriate gap or need for the CDBG assistance
				  requested.
Authority
					 G.S.
					 143B-431;
					 24 C.F.R.
					 570.489;
					 42 U.S.C.A. 5301;
Temporary Adoption Effective July 20, 1992 for a period of 180 days or until
					 the permanent rule becomes effective, whichever is sooner;
Eff.
					 December 29, 1992;
Amended Eff. August 1, 2000;
Pursuant to
					 G.S.
					 150B-21.3A, rule is necessary without
					 substantive public interest Eff. September 6,
					 2016.