In addition to the definitions set forth in Texas Agriculture Code, §58.002, as amended, and §28.2 of this chapter (relating to Definitions), the following words and terms, when used in this subchapter, shall have the following meanings, unless the context clearly indicates otherwise.

1. (1) Applicant--Any entity meeting the eligibility requirements in §28.75(a) of this subchapter (relating to Applicant and Minimum Project Eligibility Requirements), submitting an application with the Authority for financial assistance under this subchapter.
2. (2) Commitment--Any form of financial assistance provided to an applicant as approved by the Board, including, but not limited to, a guaranty, a direct loan, a participation commitment, an anticipation note, or a conduit issuance for an eligible entity as defined by this subchapter.
3. (3) Eligible application--A completed application, including all application fees, documents, and information required by the Authority and submitted by the lender or applicant for a project, that is consistent with the purpose of agricultural and rural agriculture-related economic development and meets the terms and benchmarks defined by the Authority's Credit Policy and Procedures. The Department, the Authority, or the Administrator will review the application and issue an approval or denial.
4. (4) For-profit entity--An organization that is registered in the State and has a principal place of business in the State, which operates with the intention of making a profit or whose efforts are made to obtain a profit.
5. (5) Interest rate--The interest rate approved by the Authority for an approved commitment.
6. (6) Lender--A lending institution, including a bank, trust company, banking association, savings bank, mortgage company, investment banker, credit union, Community Development Financial Institution, or any affiliate of those entities, and any other financial institution that customarily provides financing for agricultural businesses or rural economic development loans, or any affiliate of such institution that has sought and received approval to participate in the Program.

7. (7) Non-profit entity--A local, community or regional organization that was formed and conducts its affairs to benefit the public or to assist other individuals, groups or causes, and can demonstrate its non-profit status by providing one of the following:

   1. (A) A copy of the Internal Revenue Service ruling, indicating tax-exempt status;
   2. (B) A copy of the Texas secretary of state charter indicating non-profit status; or
   3. (C) Documentation of its status as an educational institution recognized by the State.
8. (8) Political subdivision--A county, municipality, special district, school district, junior college district, housing authority, or other political subdivision of this state as defined by Chapter 172 of the Local Government Code, or a nonprofit corporation acting for or on behalf of any such entity.
9. (9) Program--Rural Agriculture Economic Development Finance Program.
10. (10) Project--An enterprise or project, which would further agricultural business or rural agriculture-related economic development.
11. (11) Recipient--an entity approved by the Authority or its designee to receive a commitment outlined in this subchapter.
12. (12) Rural agriculture-related economic development--The development and diversification of the economy of a rural area of the state, the elimination of unemployment or underemployment of a rural area in the state, the stimulation of agricultural innovation, the fostering of the growth of enterprises based on agriculture, or the development or expansion of transportation or commerce of a rural area in the state.

Source Note:The provisions of this §28.72 adopted to be effective May 18, 2022, 47 TexReg 2856; amended to be effective March 18, 2026, 51 TexReg 1617.