Loan Terms and Conditions

Loan Terms and Conditions A. Loan Terms and Conditions 1) Interest rates for loans shall be below market rates at a negotiable duration, no greater than ten (10) years. 2) Loans and subgrants shall be issued in accordance with all CERCLA § 104k (as amended) terms and conditions and any other applicable State or Federal financial regulations as it pertains to loans and subgrants. 3) All BRLF loans shall be repaid in full in accordance with the loan terms and conditions. Events of, and remedies for, loan default will be as outlined in the BRLF loan conditions. 4) MDEQ’s initial BRLF grant award requires a cost share of 20% which may include but is not limited to “in kind” services. An applicant shall be required to provide the 20% cost share under their loan or subgrant agreement unless waived by MDEQ and EPA. Supplemental BRLF funding from EPA may not require a 20% cost share in the future, and if so, will not be required to be provided by the applicant. 5) Public entity applicants are eligible for a loan discount. The amount of loan discount is negotiable as subject to CERCLA § 104k (as amended) terms and conditions and will be determined on a project specific basis. 6) Where any of the terms and conditions herein conflict with the provisions of CERCLA § 104k (as amended), then the provisions in CERCLA § 104k (as amended) will control. B. Cancellation of Notice of Brownfield Agreement 1) Cancellation of Notice of Brownfield Agreement shall not be executed until a BRLF loan is repaid in full or a subgrant has completed the performance period of the subgrant agreement. 2) Upon completion of a Brownfield Agreement as approved by the MCEQ in accordance Rule 2.1.7(B), a No Further Action Letter and Completion Order may be issued prior to full repayment of a loan.