New York Codes, Rules and Regulations
Title 5 - DEPARTMENT OF ECONOMIC DEVELOPMENT
Chapter VIII - Office Of Waste Prevention Services
Part 71 - Agricultural Wastewater Energy Conservation Loan Program
Section 71.7 - Interest subsidies
Current through Register Vol. 46, No. 12, March 20, 2024
(a) Maximum amount of interest subsidy.
(b) Term. The term of an interest subsidy shall be determined by the department, in its sole discretion, but shall not exceed 10 years.
(c) Calculation of interest subsidy rate.
(d) Default on interest subsidized loan. Except as otherwise provided for in this subdivision, where a program recipient defaults on a loan, interest subsidies shall be terminated and any interest subsidy payments being held by the financing institution shall be returned to the department. The financing institution shall notify the department, in writing, of the default within 30 calendar days of its occurrence. The department, in its sole discretion, may authorize the financing institution to continue to receive interest subsidies on behalf of the program recipient for a period of time mutually agreed upon by the department and the financing institution, in order for the financing institution to work out a revised payment schedule with the program recipient. If continued interest subsidies are authorized by the department and loan payments are not resumed by the program recipient within 90 days of the initial default, then all subsidy payments will be terminated immediately. Where a new payment schedule is established between the financing institution and the program recipient, the total interest subsidy originally approved by the department will remain unchanged; provided, however, the department may establish a revised schedule of interest subsidy payments on behalf of the program recipient.
(e) Prepayment of loan. In the event of the prepayment of a loan, the financing institution shall promptly return to the department any unapplied portion of the interest subsidy being held by the financing institution.