Process for Approval of Economic Development Proposal

(1) Within 60 days of receipt of the Economic Development Proposal from the Developer and the Municipality in the form and with the information and documentation required by St. 2006, c. 293, §§ 5 through 12, as amended by St. 2008, c. 129, §§ 2 through 17 and St. 2012, c. 238, §§ 60 through 63, and by 801 CMR 51.00, the Secretary shall take action on the Proposal by approving it, disapproving it, requesting its amendment or requesting further information. (2) Prior to approvinganyEconomic Development Proposal, and, if the Economic Development Project is a Phased Project, prior to approving any phase of any Economic Development Project for which the Developer is seeking approval, the Secretary must have received or provided the following: (a) An updated Independent Consultant Analysis to take into account any difference between the Economic Development Proposal and the Preliminary Economic Development Proposal and any changes in facts or assumptions since the original Independent Consultant Analysis. The updated Independent Consultant Analysis should be conducted and paid for in the same manner and by the same parties as the original Independent Consultant Analysis. (b) An updated version of the Preliminary Certificate of the Commissioner to reflect any changes in the Economic Development Proposal filed by the Developer and the Municipality from the Preliminary Economic Development Proposal and the updated Independent Consultant Analysis and to reflect only the New Revenues and New State Tax Revenues projected to be generated from Project Components for which Commitments have been obtained. If the Economic Development Project is a Phased Project, the updated version of the Certificate shall address only the phase of the Economic Development Project for which the Developer is seeking approval. (c) An updated version of the Preliminary Certificate of the Agency to reflect any changes in the Economic Development Proposal filed by the Developer and the Municipality from the Preliminary Economic Development Proposal, the Independent Consultant Analysis and the updated version of the Preliminary Certificate of the Commissioner. If the Economic Development Project is a Phased Project, the updated version of the Certificate shall address only the phase of the Economic Development Project for which the Developer is seeking approval. (d) Certification of the Agencyconfirmingthat the Agency has reviewed the documentation provided by the Developer to demonstrate that the Developer has sufficient equity and financing commitments to fund Costs of the Economic Development Project and that, based on such review and on any additional investigation or review the Agency deemed necessary, the Agency has determined that the Developer has sufficient equity and financing commitments to fund all of the Costs of the Economic Development Project or, if the Economic Development Project is a Phased Project, all of the Costs of the phase of the Economic Development Project for which the Developer is seeking approval, except any of such Costs expected to be funded by the Agency from the proceeds of the Bonds under St. 2006, c. 293, §§ 5 through 12, as amended by St. 2008, c. 129, §§ 2 through 17 and St. 2012, c. 238, §§ 60 through 63. (e) Certification of the Commissioner confirming that the amount of projected annual New State Tax Revenues allocable to each of the Project Components of the Economic Development Project, or, if the Economic Development Project is a Phased Project, the phase of the Economic Development Project for which the Developer is seeking approval, following completion and occupancy thereof will be at least equal to the projected maximum annual Debt Service due on the related Bonds to be issued by the Agency following the completion and occupancy of the related Occupied Project Component as determined under 801 CMR 51.00 and identified in the certification of the Executive Director of the Agency referenced in 801 CMR 51.13(2)(c). (f) Certification of the Agency confirming that Agency has approved the Economic Development Proposal, or, if the Economic Development Project is a Phased Project, the Economic Development Proposal with respect to the phase of the Economic Development Project for which the Developer is seeking approval. (g) Certification of the Secretary that: 1. the Developer has funding or financial commitments satisfactory to the Secretary sufficient to fund the Costs of the Economic Development Project, or, if the Economic Development Project is a Phased Project, the phase of the Economic Development Project for which the Developer is seeking approval, exclusive of any Costs of the Public Infrastructure Improvements to be financed by Bonds to be issued by the Agency, and such commitments include the commitment of the Developer’s construction lender or lenders, on terms and conditions acceptable to the Secretary, to advance loan proceeds on the Developer’s behalf to pay for the costs of completing Public Infrastructure Improvements that are not being funded from proceeds of the Bonds, whether or not the construction lender’s loan with the Developer is in default, or such other security or assurance as the Secretary has determined to be acceptable; 2. the Developer’s plan to secure the obligations of its selected contractor or contractors to complete each of the Project Components and the Public Infrastructure Improvements with payment, performance and lien bonds which, in the case of the Public Infrastructure Improvements being funded in whole or in part from the proceeds of the Bonds, provide for the Developer and the Agency to be co-obligees under such bonds, and to secure its own obligation to complete the portion of the Public Infrastructure Improvements not funded by Bonds under this Act, or to provide other security satisfactory to the Secretary, is satisfactory to the Secretary, and the Secretary’s approval of the Economic Development Proposal, or of the portion thereof that relates to the phase of the Economic Development Project for which the Developer is seeking approval if it is a Phased Project, will be made conditional upon such security having been obtained prior to the issuance of the related Bonds; and 3. the Municipality has established a Municipal Liquidity Reserve for the benefit of the Commonwealth for each Assessment Parcel within the Economic Development Project, or, if the Economic Development Project is a Phased Project, for each Assessment Parcel that is a part of the phase of the Economic Development Project for which the Developer is seeking approval, and has funded or has provided for the funding of such Reserve in an amount equal to twice the total maximum annual Debt Service due on the Bonds allocable to said Assessment Parcel. 4. if the Developer seeks a waiver or partial waiver of the any requirements necessary for the Secretary's Approval of the Economic Development Proposal for the purpose of issuance of Bond Anticipation Notes, the Secretary has received evidence that the Developer has obtained a letter of credit or other security for the repayment of the Developer's obligations under an Infrastructure Development Assistance Agreement acceptable to the Secretary and that the Secretary waives any necessary requirements.