Section 44.88.610. Rural development loans.

   (a) The authority may use money from the rural development initiative fund to make loans of up to $150,000 to a person, or loans of up to $300,000 to two or more persons, to be used for working capital, equipment, construction, or other commercial purposes by a business located in a community with a population of 5,000 or less that is not connected by road or rail to Anchorage or Fairbanks, or with a population of 2,000 or less that is connected by road or rail to Anchorage or Fairbanks. For purposes of this subsection,
        (1) "community" means a city as defined in AS 29.71.800 or a place in the unorganized borough that is not incorporated as a city and in which 25 or more individuals reside as a social unit; and
        (2) "connected by road" does not include a connection by the Alaska marine highway system.
   (b) The authority shall require collateral for each loan made under this section and shall require that a reasonable amount of money from other nonstate sources be committed for use on any project or enterprise for which money from a loan will be used. The authority by regulation may establish other conditions for loans. The authority shall by regulation establish rates of interest that are not less than four percent a year and terms of repayment for loans made under this section.

Notes

Implemented As

3 AAC 99.825
3 AAC 99.830
3 AAC 99.835
3 AAC 99.840
3 AAC 99.845
3 AAC 99.850
3 AAC 99.855
3 AAC 99.860
3 AAC 99.865
3 AAC 99.870
3 AAC 99.875
3 AAC 99.880
3 AAC 99.885
3 AAC 99.890
3 AAC 99.895
3 AAC 99.899

References

3 AAC 99.885
3 AAC 99.890

History

(Sec. 11 ch 117 SLA 2000; am Sec. 4 ch 121 SLA 2002; am Sec. 13 ch 12 SLA 2008; am Sec. 5 ch 69 SLA 2010)