Selection for Funding

Section 570 Section 570.40  Selection for Funding a)         Direct Funding 1)         For any Direct Loan application which meets the criteria of Section 570.30(a)(1), Department staff or designee will then conduct field visit evaluations to verify information in the application, leading to the final funding decision. The field visit will analyze the following: A)        an assessment of the project in terms of the employment impact/opportunity involved, in relation to the value of the funds requested and types of jobs preferred as described in Section 570.30(a)(1)(A)(iii); B)        an assessment of the project in terms of the modernization and improvement of competitiveness of the company, in relation to the value of the funds requested as described in Section 570.30(a)(1)(A)(iv); C)        a verification of submitted application information; and D)        past performance of the applicant under previous Departmental programs, if applicable (e.g., success in previous projects and the level of compliance with previous agreements). 2)         Applications that best meet the objectives of the programs and demonstrate the greatest potential for job creation/retention or those which modernize or improve the competitiveness of the firm will receive loan or grant funds, until all available funds are expended. 3)         For any Technical Assistance Grant application which meets the criteria of Section 570.30(a)(2), Department staff will verify information in the application, leading to the final funding decision.  The evaluation will analyze the following: A)        a verification of submitted application information; and B)        past performance of the applicant under previous Departmental programs, if applicable (e.g., success in previous projects and the level of compliance with previous agreements). 4)         A request for financial assistance to organize a Development Corporation will be evaluated in accordance with the requirement of Section 570.30(a)(3). The review of applications will begin after the application due date and take no more than 75 working days, with financial assistance awards being announced at the end of that period. b)         Indirect Funding 1)         For the Participation Loan Program Application, the financial intermediary staff will be responsible for the verification of the information in the application.  The Department staff will evaluate the information submitted by the financial intermediary in order to determine that all requirements of the application package have been addressed. 2)         For the Loan Loss Reserve Program Application, the financial intermediary staff will be responsible for the verification of the information in the application. 3)         For the Development Corporation Participation Program, the financial intermediary staff will be responsible for the verification of the information in the application.  The Department staff will evaluate the information submitted by the financial intermediary in order to determine that all requirements of the application package have been addressed. 4)         For the Rural Micro-businesses Participation Loan Program, in addition to the requirements of subsection (b)(1) or (3), the Department: A)        will determine the amount, term, interest rate, and allowable uses of each loan participation awarded; and B)        will allocate no less than 80% of the amount available for this program for loans to businesses that are located in counties with a population of 100,000 or less.