447.702. Department loans to eligible projects, guidelines, conditions.

MISSOURI STATUTES AND CODES

447.702. Department loans to eligible projects, guidelines, conditions.

Department loans to eligible projects, guidelines, conditions.

447.702. 1. The director of economic development, with the approvalof the director of the department of natural resources, subject to theother provisions of sections 447.700 to 447.718, may lend moneys in theproperty reuse fund to persons for the purpose of paying allowable costs ofan eligible project if the director determines that:

(1) The project is an eligible project and is economically sound;except that, the costs of remediation may exceed the fair market value ofthe property prior to redevelopment;

(2) The borrower is unable to finance necessary allowable coststhrough ordinary financial channels, and that the loan is the least amountnecessary to cause the project to occur;

(3) The amount to be lent from the property reuse fund will notexceed one million dollars of the total allowable costs of the eligibleproject;

(4) When completed, the eligible project is projected to create notless than ten new jobs , or shall retain a business which supplies not lessthan twenty-five existing jobs, or a combination thereof, providing notless than an average of thirty-five hours of employment per week per job.Such projection shall be made by the department of economic development;

(5) The eligible project could not be achieved in the local area inwhich it is to be located if the portion of the project to be financed bythe loan instead were to be financed by a loan guarantee pursuant tosection 447.704; and

(6) The amount of the loan from the property reuse fund to be repaidwill be adequately secured by a mortgage, lien, assignment or pledge atsuch amount and level of priority as the director may require.

2. The determinations of the director of economic developmentpursuant to subsection 1 of this section shall be conclusive for purposesof the validity of a loan commitment evidenced by a loan agreement signedby the director.

3. Fees, charges, rates of interest, times of payment of interest andprincipal and other terms, conditions and provisions of, and security for,loans made from the property reuse fund pursuant to this section shall besuch as the director of economic development determines to be appropriateand in furtherance of the purpose for which the loans are made. The moneysused in making such loans shall be disbursed from the property reuse fundupon the written order of the director. The director shall give specialconsideration in setting the required job creation ratios and interestrates for loans that are for voluntary remediation actions.

4. The director of economic development may take all actionsnecessary or appropriate to collect or otherwise deal with any loan madeunder this section.

5. The director of economic development may fix service charges forthe* making of a loan. Such charges shall be payable at such times andplace and in such amounts and manner as may be prescribed by the director.