Mississippi Administrative Code

The Small Business and Existing Forestry Industry Loan Program (SBEFI), to be administered by the Mississippi Development Authority (MDA), is a loan program designed to encourage the extension of conventional financing and the issuance of letters of credit, by private institution…

Disbursements of SBEFI funds will be made to Financial Institutions on behalf of borrowers. Requests for payment must be submitted on the MDA Request for Payment Form (Exhibit B). Notes 6 Miss. Code. R. 1-7.10 Miss. Code Ann. § 57-111-1 (Supp. 2008)

All repayments of SBEFI funds to MDA shall match the repayments of the borrower to the Financial Institution and shall be submitted upon the terms stated in the Lender's Authorization forms. Notes 6 Miss. Code. R. 1-7.11 Miss. Code Ann. § 57-111-1 (Supp. 2008)

If a Financial Institution collects payments on more than one SBEFI Loan, MDA will allow a lump sum payment on all outstanding loans. An itemized list of the source of funds, including SBEFI Loan numbers, must accompany this payment. Financial Institutions must submit all collect…

SBEFI Loans are subject to an agreement, providing that any and all outstanding obligations may be accelerated and payments called for if, during the term of the loan, any change of ownership or control of the business concern occurs without the prior written consent of MDA, or i…

The Financial Institution shall notify MDA in writing of any prepayments of the Financial Institution's loan. If the Financial Institution's loan is to be paid in full, the MDA portion of the loan must be paid off first. MDA and the Financial Institution shall receive partial pay…

The Financial Institution's Loan and Note is prohibited from being sold assigned, conveyed, subparticipated, subdivided, encumbered or otherwise transferred. Notes 6 Miss. Code. R. 1-7.15 Miss. Code Ann. § 57-111-1 (Supp. 2008)

MDA will consider any loan that has become delinquent, in amount equal to the required payment, to be in default. Notes 6 Miss. Code. R. 1-7.16 Miss. Code Ann. § 57-111-1 (Supp. 2008)

Loans made under the MSFI loan program are subject to audit by the State Department of Audit. Notes 6 Miss. Code. R. 1-7.17 Miss. Code Ann. § 57-111-1 (Supp. 2008)

These guidelines may be amended by MDA at anytime. MDA, in its discretion, may temporarily waive any requirement of the guidelines to the extent that the result of such waiver is to promote the public purpose of the Act and is not prohibited by State Law. Notes 6 Miss. Code. R. 1…

Small Business/Existing Forestry Industry Loans may be made to the following participants: A. Small Businesses: commercial enterprises with less than: (i) 100 full time employees; (ii) Seven Million dollars in gross revenues; or (iii) Seven hundred fifty thousand dollars in profi…

An eligible Financial Institution is any commercial bank, savings bank, federal land bank, farm credit bank, agricultural credit association or other farm credit agency, which is domiciled or qualified to do business in the State. Notes 6 Miss. Code. R. 1-7.3 Miss. Code Ann. § 57…

An eligible Financial Institution must originate the SBEFI Loan application for an eligible business on the form attached hereto as Exhibit C; along with a cover letter (Exhibit D). The Financial Institution must provide MDA with a Servicing Agreement Letter (Exhibit A) to be acc…

SBEFI Loan proceeds for Small Businesses may be used for buildings, provide working capital, acquire machinery and equipment. SBEFI Loan proceeds for Existing Forestry Industry Enterprises may be used to provide working capital, acquire machinery and equipment, make upgrades and …

No loan proceeds shall be used to pay off any existing debt for loan consolidation purposes; to finance acquisition, construction, improvement, or operation of real property which is primarily for sale or investment; to provide or free funds for speculation in any kind of propert…

The amount of a loan to any single SBEFI shall not exceed fifty percent (50%) of the total cost of the project or $1,000,000, whichever is less. The minimum amount for an SBEFI loan will not be less than $250,000. Notes 6 Miss. Code. R. 1-7.7 Miss. Code Ann. § 57-111-1 (Supp. 200…

Interest shall be charge on the SBEFI loan at a rate equal to one percent (1%) above the current published prime rate at the time of SMFI loan approval by the MDA. Notes 6 Miss. Code. R. 1-7.8 Miss. Code Ann. § 57-111-1 (Supp. 2008)

The term of the SBEFI Loan shall match the term of the Financial Institution's loan, up to the maximum maturity of five (5) years. Notes 6 Miss. Code. R. 1-7.9 Miss. Code Ann. § 57-111-1 (Supp. 2008)

The Mississippi Freight Rail Service Projects Revolving Loan/Grant Program ("RAIL") administered by the Mississippi Development Authority ("MDA") is designed for making loans and grants to municipalities and/or counties (the "Applicant") to finance freight rail service projects i…

The maximum amount of RAIL grant funds that may be provided for any one project is $250,000. Notes 6 Miss. Code. R. 1-8.10 Miss. Code Ann. § 57-44-7 (Supp. 2008)

The State will release RAIL funds on a reimbursement basis for approved eligible costs of the project as incurred. The Applicant shall certify to MDA during construction that the expenses were incurred and were in accordance with the plans approved by MDA. Funds will be released …

Funds provided under RAIL are subject to audit by the State Department of Audit. Notes 6 Miss. Code. R. 1-8.12 Miss. Code Ann. § 57-44-7 (Supp. 2008)

The governing authority of a municipality or county must submit the application for assistance. The municipality or county may use the RAIL funds to provide loans to railroad corporations for freight rail service projects. Projects which are eligible for assistance must be for fr…

A. Construction costs (including reasonable and customary site work for buildings, right-of-ways, easements, etc.). B. Up to eight percent (8%) of the principal loan amount for design work, i.e., engineer or architect. Engineering and/or architectural costs above 8% will be paid …

A. The Applicant must be an incorporated municipality or a county. B. The Applicant may not purchase an existing building or facility for more than the appraised value. C. The Applicant may not acquire buildings or facilities from individuals, companies, or corporations with RAIL…

A. The Applicant's certified public accountant, auditor or fiscal officer must verify on official letterhead that the financials reflect the Applicant's ability to repay the loan. The verification must include the source of repayment, i.e., surcharge or other verifiable means of …

The cumulative maximum loan amount for any eligible local unit of government during a calendar year is $1,000,000. The terms of any loan must be reasonable, and shall not exceed 15 years. The loan amount allowed will be determined by the Applicant's ability to repay the loan with…

Local governments which fail to meet repayment obligations shall cause all or part of their sales tax allocation and/or homestead exemption reimbursement to be withheld and may be subject to other penalties. If the project has not begun within 90 days following loan approval, the…

Each month, invoices will be sent to communities with an active RAIL loan status. Payments are due on the first of each month. Failure to submit timely payments may result in the following procedures: A. If a community is 60 days delinquent, CSD may issue a letter stating the cat…

Projects that are eligible for assistance must be for freight rail service projects relating to the upgrading of railroad grade crossings. Only projects approved by the Mississippi Department of Transportation ("MDOT") shall be eligible for RAIL grants. The project approval proce…

The Advantage Mississippi Initiative was outlined and developed by Governor Ronnie Musgrove and enacted into law in August of 2000. The Advantage Mississippi Initiative is a blueprint to expand prosperity throughout our entire State. This Initiative includes not only new business…

The maximum amount of ACE funds, which may be provided for any one project, is $150,000. In most circumstances the Local Sponsor will be required to expend local funds before the State injects any proceeds into the project. Notes 6 Miss. Code. R. 1-9.10 Miss. Code Ann. § 57-1-16 …

A Grant Agreement will be executed between the Local Sponsor and MDA. The Grant Agreement cannot be executed until all required conditions in these guidelines have been met and all documentation received. Notes 6 Miss. Code. R. 1-9.11 Miss. Code Ann. § 57-1-16 (Rev. 2008)

MDA will release Ace funds on a reimbursement basis for approved eligible costs of the project as incurred. Funds will be released upon receipt of the Ace Form of Requisition and supporting documentation from the Local Sponsor. Funds may not be drawn down more frequently than mon…

Funds provided under Ace are subject to audit by the State Department of Audit. Notes 6 Miss. Code. R. 1-9.13 Miss. Code Ann. § 57-1-16 (Rev. 2008)

These guidelines may be amended by MDA at any time. MDA, in its discretion, may temporarily waive any requirement of the guidelines to the extent that the result of such waiver is to promote the public purpose of the Act and is not prohibited by State law. Notes 6 Miss. Code. R. …

Applications for assistance must be submitted by public or private nonprofit local economic development entities, including, but not limited to, chambers of commerce, local authorities, commissions or other entities created by local and private legislation or districts created pu…

Projects, which are eligible for assistance, must be related to the construction, renovation, or expansion of a new or expanded industry. Examples include construction of infrastructure, moving costs and other "transitional" costs. Notes 6 Miss. Code. R. 1-9.3 Miss. Code Ann. § 5…

Ace funds may not be used for working capital nor to provide funds related to a gaming enterprise. Notes 6 Miss. Code. R. 1-9.4 Miss. Code Ann. § 57-1-16 (Rev. 2008)

Eligible Projects should benefit the following types of industries: A. Manufacturing and processings B. Large distribution facility; C. Service support to agriculture, aquaculture, and mariculture; D. Service support to manufacturing and processings E. Telecommunications and data…

To be eligible for grants through the Ace Fund, a business or industry project must be classified as an "extraordinary economic development opportunity" and demonstrate that the business or industry is at an economic disadvantage by locating or expanding in the designated locatio…

An "extraordinary economic development opportunity" is defined as follows: New Jobs or Capital Investment Tier Three Counties 50 1,000,000 Tier One and Two Counties 100 2,000,000 Economic disadvantage may be determined by locating in a tier three county, or by proving that capita…

A local public or private fund, or in-kind match, is strongly encouraged. Notes 6 Miss. Code. R. 1-9.8 Miss. Code Ann. § 57-1-16 (Rev. 2008)

The application submitted by a Local Sponsor must include: A. The purpose of the proposed grant including a list of proposed expenditures and the cost of each. B. The estimated cost of the total project, a description of the Local Sponsor's investment in the project, and all publ…

A. The Mississippi Gulf Coast Restoration Fund (GCRF) Grant Program administered by the Mississippi Development Authority (MDA), is designed for making grants to finance projects to promote economic growth in the Gulf Coast region as defined by the federal RESTORE Act, or twenty-…

Grant Agreements executed by MDA shall have provisions for the repayment of funds by eligible applicants if the grant provided by MDA was based upon fraudulent information provided by the applicant or the applicant fails to meet performance metric requirements as described in the…

Applications for funding under Section 7 of the Act must be submitted to MDA via web portal prior to the application deadline each year. The web portal will be made available on MDA's website (www.mississippi.org) and will clearly state the application portal submission dates. Su…