Maine Revised Statutes, Title 7, § 974-A: State loans, 1987

1. State loans. State loans are subject to the following conditions. A. No state loan for any project under this article, the total cost of which exceeds $150,000, may exceed 45% of the project cost and no state loan may be provided for such a project unless the applicant demonstrates a commitment of private funds of at least 10% of the total cost of the project, except that, in order to encourage the undertaking of cooperative projects by 2 or more farmers, no state loan for such a project may exceed 50% of the total cost of the project and no state loan may be provided unless the cooperating farmers as a group demonstrate a commitment of private funds of at least 5% of the total cost of the project. [PL 2017, c. 6, §1 (AMD).] B. No state loan for any project under this article, the total cost of which is $150,000 or less, may exceed 55% of the total cost of the project. [PL 2017, c. 6, §1 (AMD).] C. State loans must be at the interest rate established pursuant to subsection 2‑A. [PL 2021, c. 31, §1 (AMD).] D. Other terms and conditions prescribed by rule by the board. [PL 2021, c. 560, §7 (AMD).] [PL 2021, c. 560, §7 (AMD).] 2. State loan interest rate. [PL 2021, c. 31, §2 (RP).] 2-A. State loan interest rate. The interest rate for state loans is the federal prime rate on the date of loan commitment but may not be greater than 5%. Loans current on the effective date of this subsection may be refinanced at the borrower's request to an interest rate of the federal prime rate but not greater than 5%. A fee for administrative costs, which must be at a rate set by rule by the board but may not exceed 1% of the loan, must be charged on a loan made for a project the total cost of which exceeds $50,000. This fee must be deposited in the fund. [PL 2021, c. 31, §3 (NEW).] 3. Approval of loans and grants. The commissioner has authority to approve all loans and grants from the fund. [PL 2013, c. 403, §8 (NEW).]