Section 0400-46-06-.04 - ELIGIBILITY(1) Loans shall be made only to local governments that:(a) Have the authority to operate a wastewater facility that is on the Priority Ranking List.(b) In the opinion of the Authority, demonstrate tangible financial capability to assure sufficient revenues to operate and maintain the wastewater facility for its useful life and to repay the loan;(c) Pledge security as required by the Authority for repayment of the loan;(d) Agree to adjust periodically fees and charges for services of the wastewater facility in order that loan payments and costs of the wastewater facility are timely paid;(e) Certify to comply with a plan of operation approved by the Department regarding the quality, compensation, and number of facility personnel for the life of the loan;(f) Agree to maintain financial records in accordance with governmental accounting standards and to conduct an annual audit of the facility's financial records; and(g) Provide such assurances as are reasonably requested by the Authority and the Department.(2) Projects funded in whole or part from the SRF must be consistent with plans developed under Section 205, 208, 303(e) or 319 of the Clean Water Act.(3) Loans may be made to provide local governments with funds to conduct facilities planning and design.Tenn. Comp. R. & Regs. 0400-46-06-.04
Original rule filed September 16, 2013; effective December 15, 2013. Rule originally numbered1200-22-06.Authority: T.C.A. §§ 68-221-1001 et seq. and 4-5-201 et seq.