060-3 Wyo. Code R. § 3-4 - Loans

The Board may award a loan instead of a grant in certain situations.

(a) Loan Conditions. When the Board approves a loan, the following conditions shall be included in the award and met prior to the closing of the loan:

(i) Pledge of a dedicated source of repayment that is adequate to service the debt without creating a hardship to the community, as determined by the financial analysis performed by the Office;

(ii) The Attorney General shall review the application to certify the legality of the transaction and to determine if an election is required by law; and

(iii) If the loan is to purchase land/building or construct a building, a mortgage will be taken on the said asset. The Board will require a first position lien on the property.

(b) Loan Terms.

(i) Interest rate. The interest rate for each loan shall be set by the Board. The interest rate shall be set between zero percent (0%) and the average rate of return realized on all Permanent Mineral Trust Fund investments as determined by the State Treasurer for the five (5) calendar years immediately preceding the year in which the loan is made; no equity requirement.

(ii) Length. The term of each loan shall be set by the Board with due regard given to repayment ability and the security offered, but in no event shall the term exceed ten (10) years.

(iii) Repayment. Loans shall be amortized to ensure repayment of all principal and accrued interest is repaid during the approved term of the loan. Payments shall begin within one (1) year of substantial completion, initiation of operations or final draw of loan funds whichever occurs first.

Notes

060-3 Wyo. Code R. § 3-4

Amended, Eff. 3/3/2021.