Current through Reg. 49, No. 38; September 20, 2024
Required information. Applications must set forth the
information necessary for the Office to determinate program eligibility.
Applications shall include the following information:
(1) EDC information, including:
(A) applicant's legal name;
(B) corporate charter number;
(C) date of incorporation;
(D) federal employer identification
number;
(E) physical and mailing
addresses;
(F) telephone and fax
numbers;
(G) contact name and
title; and
(H) whether the EDC was
created under Chapter 504 or Chapter 505 of the Act;
(2) information on the election for economic
development sales and use tax, including:
(A)
election date;
(B) date tax
effective;
(C) expiration date (if
any);
(D) rate of tax
adopted;
(E) date tax proceeds
first received from comptroller; and
(F) limitations/restrictions on use of tax
receipt proceeds;
(3)
information on any election for an additional sales and use tax under Chapter
321, Texas Tax Code, including:
(A) election
date;
(B) date tax
effective;
(C) rate of tax
adopted;
(D) date tax proceeds
first received from the comptroller;
(E) date tax was repealed or modified after
passage; and
(F) if applicable,
describe any changes to the tax;
(4) names and titles of EDC officers and
board of directors;
(5) names,
addresses, and telephone and fax numbers of mayor, city manager and city
attorney;
(6) executed
acknowledgment that all underwriting responsibilities for loans to a user are
those of the EDC and city, and that the Office has no responsibility for loan
repayment by the user;
(7)
completion of the debt service coverage ratio worksheet in accordance with the
instructions provided by the Office, including:
(A) the city's general obligation bond
rating;
(B) the rating
agency;
(C) the target funding date
for the program loan;
(D) the
program loan amount;
(E) the terms
of program loan;
(F) the EDC's
annual debt service amount; and
(G)
the EDC's parity debt service amount;
(8) a listing of all parity and non-parity
debt obligations, including:
(A) creditor's
name, address, and telephone and fax numbers;
(B) loan origination date;
(C) original loan amount;
(D) current loan balance;
(E) monthly loan payment;
(F) maturity date; and
(G) collateral description and
value;
(9) user
information, including:
(A) business name,
address, and telephone and fax numbers;
(B) contact name and title;
(C) type of legal entity;
(D) minority or woman-owned ownership
percentage;
(E) business
description including:
(i) the standard
industrial classification code number;
(ii) industry category;
(iii) current number of employees;
(iv) total annual sales;
(v) number of years in business;
(vi) date started doing business;
and
(vii) brief description of
business;
(10) a summary of the project, including:
(A) project address and the county in which
located;
(B) the number of full
time equivalent jobs created and/or retained as a result of project;
(C) a concise description of the type of
project, including:
(i) primary purpose of
project;
(ii) ownership of project
such as EDC, city, or user;
(iii)
components of project such as land, buildings, infrastructure, equipment,
facilities, and improvements;
(iv)
whether project is located in one of the following designated areas:
(I) federally designated empowerment zone and
enterprise community designated under the Internal Revenue Code of 1986,
§1391;
(II) federally assisted
new community;
(v)
applications for Chapter 505 projects must include documentation that the
project has been published for at least 60 days as required by the Act,
§505.160 and that no petition from 10% or more of the registered voters of
the city requesting an election has been received by the city; and
(vi) applications for Chapter 505 projects
must also include documentation that at least one public hearing was held on
the proposed project as required by the Act, §505.159;
(11) a cost breakdown
of the project specifying sources of funds (such as program loan, equity and
other) and uses of funds (such as land, infrastructure, building, machinery,
equipment, professional fees, debt, working capital and other);
(12) a certification that the representations
made by the EDC are true and that no relevant facts have been intentionally
omitted;
(13) EDC's articles of
incorporation and bylaws;
(14)
Chapter 504 or Chapter 505 sales and use tax ballot proposition (actual
wording);
(15) city's economic
development plan (infrastructure projects only);
(16) documents in support of federal
designation of empowerment zones or enterprise communities;
(17) documents in support of grants received
under the Housing and Community Development Act of 1974, §107(a)(1), as
amended, for federally assisted new communities;
(18) documents in support of enterprise zone
designation under the Texas Enterprise Zone Act; and
(19) such other information as may be
required by the Office in order to make a prudent loan decision on the project
application and to insure that the project and cost are eligible under the
Act.
