1. 1. State loans State loans are subject to the following conditions.

   1. A. No state loan for any project under this article, the total cost of which exceeds $150,000, may exceed 45% of the project cost and no state loan may be provided for such a project unless the applicant demonstrates a commitment of private funds of at least 10% of the total cost of the project, except that, in order to encourage the undertaking of cooperative projects by 2 or more farmers, no state loan for such a project may exceed 50% of the total cost of the project and no state loan may be provided unless the cooperating farmers as a group demonstrate a commitment of private funds of at least 5% of the total cost of the project.

      [PL 2017, c. 6, §1 (AMD).]

   2. B. No state loan for any project under this article, the total cost of which is $150,000 or less, may exceed 55% of the total cost of the project.

      [PL 2017, c. 6, §1 (AMD).]

   3. C. State loans must be at the interest rate established pursuant to subsection 2‑A.

      [PL 2021, c. 31, §1 (AMD).]

   4. D. Other terms and conditions prescribed by rule by the board.

      [PL 2021, c. 560, §7 (AMD).]

   [PL 2021, c. 560, §7 (AMD).]

2. 2. State loan interest rate

   [PL 2021, c. 31, §2 (RP).]

3. 2-A. State loan interest rate The interest rate for state loans is the federal prime rate on the date of loan commitment but may not be greater than 5%. Loans current on the effective date of this subsection may be refinanced at the borrower's request to an interest rate of the federal prime rate but not greater than 5%. A fee for administrative costs, which must be at a rate set by rule by the board but may not exceed 1% of the loan, must be charged on a loan made for a project the total cost of which exceeds $50,000. This fee must be deposited in the fund.

   A fee for administrative costs, which must be at a rate set by rule by the board but may not exceed 1% of the loan, must be charged on a loan made for a project the total cost of which exceeds $50,000. This fee must be deposited in the fund.

   [PL 2021, c. 31, §3 (NEW).]

4. 3. Approval of loans and grants The commissioner has authority to approve all loans and grants from the fund.

   [PL 2013, c. 403, §8 (NEW).]

PL 1987, c. 319, §4 (NEW). PL 1987, c. 754, §2 (AMD). PL 1999, c. 127, §A14 (AMD). PL 2001, c. 125, §4 (AMD). PL 2005, c. 335, §4 (AMD). PL 2013, c. 403, §§6-8 (AMD). PL 2017, c. 6, §1 (AMD). PL 2021, c. 31, §§1-3 (AMD). PL 2021, c. 560, §7 (AMD).