Current through Register Vol. 35, No. 11, June 11, 2024
Section 2.93.1.14 - ENTERPRISE ASSISTANCE CONTRACTA. The authority and opportunity enterprise partner awarded enterprise assistance will enter into a contract to establish the terms and conditions of enterprise assistance from the authority. The contract to provide enterprise assistance shall: (1) define the roles and responsibilities of the authority and the opportunity enterprise partner;(2) provide clawback or recapture provisions, if applicable, that protect the public investment in the event of a default on the contract;(3) provide a finance plan detailing the financial contributions and obligations of the authority and opportunity enterprise partner;(4) require an opportunity enterprise partner to provide guarantees, letters of credit or other acceptable forms of security, as determined by the authority;(5) specify how rents, if applicable, will be collected and accounted for;(6) specify how debts incurred on behalf of the opportunity enterprise partner will be repaid; and(7) provide that, in the event of a default, the authority may (a) elect to take possession of the property, including the succession of all right, title and interest in the enterprise development project; and (b) terminate the lease or cease any further funding and exercise any other rights and remedies that may be available.B. The interest rate on any enterprise assistance extended, if applicable, shall be determined by the authorityC. The contract will contain provisions which require enterprise assistance recipients to comply with all applicable federal, state and local laws and regulations.D. The authority will monitor terms of the contract and enforce or cause to be enforced all terms and conditions thereof, including prompt notice and collection. In the event of default under an enterprise assistance contract by an applicant, the authority may enforce its rights by suit or mandamus and may utilize all other available remedies under state and applicable federal law.E. All contracts for enterprise assistance shall be provided to the board by the authority no later than thirty days from the execution of that contract. The board shall review contracts from time to time and determine whether the use of enterprise assistance is a prudent expenditure of public funds and report to the legislature annually on that determination. The board shall also make recommendations to the authority of potential rulemaking, application or lending changes to ensure transparent and efficient processes for carrying out the provisions of the Act.Adopted by New Mexico Register, Volume XXXIV, Issue 08, April 25, 2023, eff. 4/25/2023