1. (a)

   1. (1) Prior to making a qualified low-income community investment, or reinvestment whenever initial job creation and retention projections were not met, a QCDE shall submit to the Arkansas Economic Development Commission for review an information summary sheet and a revenue impact assessment prepared by a nationally recognized third-party independent economic forecasting firm utilizing the Regional Economics Models, Inc., or MIG, Inc., model that demonstrates that the qualified low-income community investment or reinvestment will have a revenue positive impact on the state over ten (10) years against the aggregate tax credit utilization over the same ten-year period.
   2. (2) The aggregate tax credit is equal to the amount of the qualified low-income community investment multiplied by fifty-eight percent (58%).
   3. (3) Only jobs created and/or retained that meet the definitions of “new full-time permanent employee” for new jobs and “retained job or position” for retained jobs by eligible businesses shall be considered in the assessment.

2. (b) The information summary sheet will provide a summary of the revenue impact assessment and include the following data:

   1. (1) Name of project;
   2. (2) Name of nationally recognized, third-party independent economic forecasting firm preparing the revenue impact assessment;
   3. (3) Number of retained jobs and new jobs (reported separately) to be created as a result of the project;
   4. (4) Average hourly wage of retained and new jobs to be created as a result of the project;
   5. (5) NAICS classification code of the business receiving the investment;

   6. (6) Amount of investment in:

      1. (A) Construction;
      2. (B) Equipment;
      3. (C) Existing buildings;
      4. (D) Land; and
      5. (E) Working capital; and
   7. (7) Estimated ten-year revenue positive impact to the state as a result of the project.

3. (c)

   1. (1) The commission shall review each revenue impact assessment by analyzing the methodology and assumptions modeled for each project in accordance with standard commission fiscal review practices to confirm that the revenue impact assessment demonstrates that the qualified low-income community investment will have a revenue positive impact on the state over ten (10) years against the aggregate tax credit utilization over the same ten-year period.
   2. (2) Investment resulting from the qualified low-income community investment and jobs created and/or retained that meet the definitions of “new full-time permanent employee” for new jobs and “retained job or position” for retained jobs by eligible businesses will be considered in the commission’s analyses.
4. (d) If the commission determines, after review, that the revenue impact assessment does not reflect a revenue positive impact, the commission will notify the QCDE and suspend the time frame for such review until sufficient information is provided to generate a revenue positive impact.

5. (e)

   1. (1) The commission will complete its review and notify the QCDE of the results of the commission’s analyses of revenue impact assessments within ten (10) business days from the receipt of a revenue impact assessment.
   2. (2) The commission may waive the requirement for a revenue positive impact if it determines that the proposed qualified low-income community investment or reinvestment will further economic development.
6. (f) A proposed qualified low-income community investment shall be deemed revenue positive if the commission does not notify a QCDE of its review with ten (10) business days of receipt of a revenue impact assessment.

Codification Notes: "QCDE" means qualified community development entity.