Laserfiche WebLink
HF100 NINTH ENGROSSMENT REVISOR BD 1-10100-9 <br />170.1 (d) The minimum state contribution to a loan is $2,500 and the maximum is either: <br />170.2 (1) $50,000; or <br />170.3 (2) $150,000, if state contributions are matched by an equal or greater amount of new <br />170.4 private investment. <br />170.5 (e) Loan applications given preliminary approval by the nonprofit corporation must be <br />170.6 forwarded to the commissioner for approval. The commissioner must give final approval <br />170.7 for each loan made by the nonprofit corporation under the program. <br />170.8 (f) A cannabis microbusiness that receives a loan may apply to renew the loan. Renewal <br />170.9 applications must be made on an annual basis and a cannabis microbusiness may receive <br />170.10 loans for up to six consecutive years. A nonprofit corporation may renew a loan to a cannabis <br />170.11 microbusiness that is no longer a new business provided the business would otherwise <br />170.12 qualify for an initial loan and is in good standing with the nonprofit corporation and the <br />170.13 commissioner. A nonprofit corporation may adjust the amount of a renewed loan, or not <br />170.14 renew a loan, if the nonprofit corporation determines that the cannabis microbusiness is <br />170.15 financially stable and is substantially likely to continue the project for which the loan renewal <br />170.16 is sought. <br />170.17 (g) If a borrower has met lender criteria, including being current with all payments for <br />170.18 a minimum of three years, the commissioner may approve either full or partial forgiveness <br />170.19 of interest or principal amounts. <br />170.20 Subd. 5. Revolving loan account administration. (a) The commissioner shall establish <br />170.21 a minimum interest rate for loans or guarantees to ensure that necessary loan administration <br />170.22 costs are covered. The interest rate charged by a nonprofit corporation for a loan under this <br />170.23 section must not exceed the Wall Street Journal prime rate. For a loan under this section, <br />170.24 the nonprofit corporation may charge a loan origination fee equal to or less than one percent <br />170.25 of the loan value. The nonprofit corporation may retain the amount of the origination fee. <br />170.26 (b) Loan rebavment of brincibal must be baid to the commissioner for debosit in the <br />170.27 revolving loan account. Loan interest payments must be deposited in a revolving loan <br />170.28 account created by the nonprofit corporation originating the loan being repaid for further <br />170.29 distribution or use, consistent with the criteria of this section. <br />170.30 (c) Administrative expenses of the nonprofit corporations with whom the commissioner <br />170.31 enters into agreements, including expenses incurred by a nonprofit corporation in providing <br />170.32 financial, technical, managerial, and marketing assistance to a business receiving a loan <br />Article 3 Section 1. 170 <br />