Ala. Admin. Code r. 335-15-7-.16

Current through Register Vol. 43, No. 1, October 31, 2024

Section 335-15-7-.16 - Project Changes And Loan Modifications

(1) A loan modification encompasses any written alteration of the Fund loan terms or conditions, budget or project method or other administrative, technical or financial agreements.

(2) There shall be no Fund loan modification increasing the funding amount beyond adjustments to cover the low bid cleanup costs. Adjustments due to the low bid cleanup costs will be made only after a subsequent passage of a legislative appropriations act or if funds exist which are unobligated or not already targeted for other projects on the priority list.

(3) The recipient shall promptly notify the Department in writing (certified mail, return receipt requested) of events or proposed changes which may require a loan modification, including but not limited to:

(a) Rebudgeting;

(b) Changes in approved plans for the project;

(c) Changes which may affect the approved scope or objectives of the project;

(d) Significant, changed conditions at the project site;

(e) Acceleration or deceleration in the time for performance of the project or any major phase thereof; and

(f) Changes which may increase or substantially decrease the total cost of a project.

(4) If the Authority decides a formal Fund loan amendment is necessary, the recipient shall be notified and a formal Fund loan amendment shall be processed in accordance with Rule 335-15-7-.17. If the Authority decides a formal Fund loan amendment is not necessary, the Department shall follow the procedures of Rule 335-15-7-.18 or .19, as applicable.

Authors: Aubrey H. White, Lawrence A. Norris

Ala. Admin. Code r. 335-15-7-.16

New Rule: Filed October 21, 2004; effective November 25, 2004.

Statutory Authority:Code of Ala. 1975, §§ 22-30F-2, 22-30F-4.