R305-4-4. Preliminary Approval Application Procedure

  (1) All grant and loan applicants shall apply on forms provided by the Department as required by Subsection 19-1-404(1)(b)(vii)(A), and shall provide additional project information as requested by the Department.

  (2) All private sector businesses applying for a grant or loan shall also complete a financial application that includes the following information:

  (a) a current credit report from a reporting bureau authorized by the Department;

  (b) a completed balance sheet of the personal or real property that will be used to secure the loan;

  (c) copies of federal and state income tax returns for the last two years for the corporation and the applicant; and

  (d) additional information as requested by the Department.

  (3) All Applicants:

  (a) may be charged an application fee of $140 for vehicle loans, $280 for grants, and $350 for infrastructure loans as authorized in Subsection 19-1-403(3)(a);

  (b) shall sign a statement acknowledging that:

  (i) approved projects must meet all the eligibility requirements listed in R307-123; and

  (ii) applicants that are pre-approved are not guaranteed project reimbursement by the Department; and

  (c) shall agree in writing to the provisions in Subsections 19-1-404(1)(b)(vii)(B) through (E), and

  (d) shall, in the event that a vehicle converted or purchased using loan or grant proceeds becomes inoperable through mechanical failure or accident:

  (i) continue to repay the loan whether or not the vehicle is repairable; or

  (ii) appeal to the Department for a resolution as provided for in Subsection 19-1-404(1)(b)(vii)(C).

  (A) Applicants that wish to appeal to the Department shall:

  1. provide reasonable documentation that the vehicle converted or purchased is inoperable through mechanical failure or accident; and

  2. propose a course of action that may include adjusting the loan repayment schedule or terms of the loan or grant.

  (B) Any remedy pursued by the Department will be handled on a case-by-case basis and at the discretion of the Department.

  (4) Once the Department has deemed that the application is complete and the proposed project complies with this rule, the application shall be reviewed by a committee consisting of at least the following:

  (a) the DAQ Grant and Loan Program Coordinator or designee;

  (b) the DAQ Mobile Section Manager or designee;

  (c) two DAQ technical specialists chosen by the Department; and

  (d) other members as designated at the discretion of the Department.

  (5) The committee will evaluate each application according to the criteria provided in Sections R305-4-6 and 7.

  (6) When considering grant and loan applications, the Department may modify the dollar amount or project scope for which a grant or loan is awarded.

  (7) Submission of an application under this program and this rule constitutes the applicant's acceptance of the criteria and procedures of this rule.