Enacts new GS 143B-472.127A, which provides as follows. Provides that this statute governs the use of revenue appropriated to the Rural Infrastructure Authority (Authority) to provide a source of State Funds to provide site assistance for site development projects and revenue received from the Authority from the repayment of loans that are made with the use of these funds. Establishes the Site Development Revolving Assistance Fund (Fund) to receive State funds for site development. Requires the funds to be used to provide site assistance to local governments. Sets out 10 factors the Authority must consider when evaluating applications for site assistance, including whether site assistance is needed in order for the local government unit to complete the site development project, the anticipated economic impact of full utilization of the site, the types of industries for which the project is suitable for use, and the degree to which the site assistance funds will be recouped upon the sale of the project to a business. Subjects awards to a fee of 2% of the amount of the site assistance provided. Requires an annual report on the accounts in the Fund, with copies submitted to the specified NCGA committee and division; specifies information to be included in the report. Makes the Rural Economic Development Division (Division) responsible for administering the program, while funds are to be awarded by the Authority.
Allows local governments to use site assistance from the Fund for the following types of projects necessary to prepare or improve a site to make the site suitable for sale to a business looking to relocate or expand: (1) installation or purchase of equipment; (2) structural repairs, improvements, or renovations to existing buildings or construction of new buildings; (3) construction of or improvements to new or existing water, sewer, gas, or electric utility distribution lines or equipment for existing, new, or proposed buildings; or (4) any other purposes specifically provided by an act of the NCGA. Prohibits the amount of funds from exceeding the lesser of the construction costs of a project or the anticipated sale price of the improved asset. Specifies that site assistance is available only to the extent that other funding sources are not reasonably available to the local government.
Sets out requirements for applying for site assistance from the Fund. Sets out a ranking process that the Authority must use when reviewing applications. Provides that site assistance is considered awarded upon issuance of an offer to award the assistance. Requires approval from the Local Government Commission in order to award site assistance in the form of a loan. Sets out issues that are to be considered by the Local Government Commission when considering the loan and sets out loan terms, including placing a cap on the interest rate setting maximum maturity for a loan at 20 years or the project's expected life, whichever is shorter. Allows a local government to execute a debt instrument payable to the State to evidence an obligation to repay the principal of and interest on site assistance in the form of a loan.
Sets out circumstances under which a letter of intent to offer an award for site assistance for a project is withdrawn. Sets out requirements for disbursement of the funds. Allows the Division to inspect a project for which assistance is awarded and provides additional requirements for such inspections.
Allows the Authority to adopt rules to implement this statute.
Appropriates $100 million from the General Fund to the Fund.
Effective July 1, 2021.
Bill Summaries: S482 (2021)
Bill S 482 (2021-2022)Summary date: Apr 5 2021 - View summary
Bill S 482 (2021-2022)Summary date: Apr 1 2021 - View summary
To be summarized.