California Code of Regulations
Title 4 - Business Regulations
Division 11 - California Pollution Control Financing Authority
Article 7 - Capital Access Program for Small Businesses
Section 8078.29 - Definitions

(a) "Annual Fee" means the fee charged by the Authority for annual renewals of Collateral Support for lines of credit up to a total of 60 months.

(b) "Bridge Loan" means a loan needed prior to obtaining permanent financing or support, including Small Business Administration, 504 bridge loans, where the Participating Financial Institution is at increased risk pending future take-out financing or guarantee.

(c) "Collateral Support" or "Collateral Support Contribution" means an amount of cash deposit offered and underwritten by the Authority covering a collateral shortfall of a Qualifying Loan of an otherwise credit-worthy Borrower.

(d) "Collateral Support Program Approval" means the Authority's approval of Collateral Support for a Qualified Loan.

(e) "Collateral Support Program Request" means the request that a Participating Financial Institution must submit to the Authority to apply for Collateral Support.

(f) "Closing Fee" means the fee charged to the Borrower to participate in the Collateral Support Program when the Qualified Loan closes, based on the original amount and term of support, and type of Qualified Loan.

(g) "Default Notification" means the written notice that a Participating Financial Institution must submit to the Authority upon the default of an enrolled loan.

(h) "Final Approval" means the discretionary approval of the Collateral Support offered and underwritten by the Authority after the submission of final loan documents and payment of the Closing Fee by the Participating Financial Institution.

(i) "Final Enrollment" means loan enrollment in the Program after the submission of final loan documents and payment of the Closing Fee by the Participating Financial Institution after receiving the Initial Approval.

(j) "Initial Approval" means the discretionary, preliminary approval by the Authority of a Collateral Support Program Request submitted to the Authority, including any conditions, contingencies or additional parameters specified by the Authority necessary for Final Approval of the Collateral Support offered and underwritten by the Authority.

(k) "Program" means the Collateral Support Program.

(l) "Qualified Business" means the same as specified in Section 8070, except that, together with affiliates, the Qualified Business may have 750 or fewer employees.

(m) "Qualified Loan" means the same as specified in Section 8070, and any Small Business Loan, except that:

(n) "Principal Loan Amount" means the Qualified Loan disbursed to an eligible Borrower with a minimum amount of $25,000 and a maximum amount of $20,000,000.

(o) "Risk Assessment" means the valuation made by the Participating Financial Institution consistent with its usual credit policy, which must include: the value of the collateral based on the industry standard of measurement, such as through an appraisal; the Participating Financial institution's valuation of the collateral; the Borrower's risk rating; summary of the relationship and history of the business; the Borrower's cash flow; and financial analysis of the Borrower.

(p) "Small Business Loans" means a Qualified Loan.

(q) "Severely Affected Community (SAC) Contribution" means the additional support for which the Borrower may qualify when the Qualified Business is located in a Severely Affected Community.

(r) "Socially and Economically Disadvantaged Individuals (SEDI) Contribution" means the additional support for which the Borrower may qualify when:

(s) "Term of Support" means the amount of time a loan is enrolled in the Collateral Support Program, up to a maximum of 60 months from the date of the first disbursement of the loan.