Or. Admin. Code § 123-300-0001

Current through Register Vol. 63, No. 12, December 1, 2024

Section 123-300-0001 - Purpose and Scope

(1) The purpose of this division of administrative rules is to carry out the provisions of the Act as they pertain to the administration of the Community Lenders' Loan Loss Account Program. These rules provide definitions, program procedures, lender eligibility requirements, account and contract requirements for Program lenders, and Borrower loan eligibility requirements for operation of the Program.

(2) The intent of the Community Lenders' Loan Loss Account Program is to make awards to eligible lenders, that are unable to access existing Department programs, to fund Loan Loss Reserve Accounts for the purpose of increasing their lending to business owners and entrepreneurs who lack access to capital to start or grow their businesses due to factors including, but not limited to:

(a) Limited net worth of the Borrower and its Principal(s) guaranteeing the loan;

(b) Lack of adequate business and/or personal assets available to pledge as collateral;

(c) Limited business and/or personal liquidity normally required to qualify for traditional commercial credit options;

(d) Limited time in business and/or credit history; and,

(e) Lack of financial training and capacity to prepare and compile business plans, financial statements, and projections necessary to support a business loan request.

Or. Admin. Code § 123-300-0001

OBDD 9-2023, adopt filed 06/13/2023, effective 6/13/2023

Statutory/Other Authority: ORS 285A.075 & ORS 285B.780 - ORS 285B.799

Statutes/Other Implemented: ORS 285B.780 - ORS 285B.799