Md. Code Regs. 05.15.01.05

Current through Register Vol. 51, No. 26, December 27, 2024

Section 05.15.01.05 - Eligible Uses

A. Financial assistance may be used for:

(1) Loans for project development costs including, but not limited to:

(a) The acquisition of land, structures, equipment, or furnishings which are or will be a part of a project;

(b) Reasonable fees, as determined by the Program, for architectural, engineering, legal, or other special services;

(c) Preparation of title binders, surveys, plans, and specifications as approved by the program;

(d) Special studies such as:

(i) Market and feasibility studies,

(ii) Property appraisals,

(iii) Test borings, and

(iv) Other studies acceptable to the Department;

(e) Site preparation and extension of utilities on-site;

(f) Cost of labor and materials for new construction or rehabilitation or installation of improvements as set forth in approved plans and specifications for a project;

(g) Acquisition of machinery and equipment necessary to the operation of a commercial/industrial enterprise as set forth in approved plans and specifications;

(h) Indemnity and surety bonds;

(i) Premiums on hazard, liability, title, and mortgage insurance;

(j) Necessary fees, licenses, and permits related to construction, project review, and approval;

(k) Payment and performance bonds;

(l) Other direct project costs and fees acceptable to the Department;

(2) Assurances, guarantees, loan guarantees, or other credit enhancement;

(3) Buy-down of the rate of interest payable on a loan or a portion of a loan made by a third party;

(4) Prepayment of interest on a loan or portion of a loan.

B. The Fund may be used to pay the expenses of the Program.

Md. Code Regs. 05.15.01.05

Regulations .05 adopted as an emergency provision effective October 31, 1988 (15:24 Md. R. 2760); emergency status extended at 16:10 Md. R. 1101; adopted permanently effective August 7, 1989 (16:15 Md. R. 1650)