(a)

1. (1) In the event that an application is rejected by the President of the Arkansas Development Finance Authority or Vice President of Development Finance or their designees, the borrower shall have the right to appeal the decision to the Arkansas Development Finance Authority.
2. (2) Notice of the appeal, together with a statement of the reasons why the president’s or vice president’s or their designees’ decision should be reversed or modified, shall be given to the Small Business Loan Committee of the Board of Directors of the Arkansas Development Finance Authority in writing within twenty (20) calendar days after the date the president or vice president or their designees mailed notice of rejection to the financial institution.
3. (3) The committee shall inform the lender of any such appeals.

(b)

1. (1) The appeal shall be heard at the next meeting of the Board of Directors of the Arkansas Development Finance Authority at which there is room on the agenda, and the borrower must be present to support the appeal.
2. (2) The board ordinarily meets the third Thursday of each month.

(d) The decision of the president or vice president or their designees to reject an application shall be final unless the authority determines that the rejection was arbitrary, capricious, or an abuse of discretion, in which event the board may:

1. (1) Overturn or modify the decision of the president or vice president or their designees; and
2. (2) Direct the president or vice president or their designees to take further action with respect to the application.