§ 5-206. Loan -- Terms and conditions

   (a) In general. -- Except as otherwise provided in this subtitle, the Department may set the terms and conditions for loans and grants made under this subtitle.

(b) Authority of Department. -- The Department shall:

   (1) determine whether to approve loan requests from qualified applicants for loans under this subtitle;

   (2) set the terms and conditions for loans made under this subtitle; and

   (3) determine that the applicant was unable to obtain the financing necessary for the activities on affordable terms through the normal lending channels.

(c) Loan from federal source; maximum. -- The maximum amount of a loan made with money from the Economic Development Administration of the United States Department of Commerce may not exceed the limit it sets by regulation.

(d) Use of proceeds. -- The proceeds of a loan may be used for working capital, equipment, furnishings, fixtures, or the construction, rehabilitation, or purchase of real property for the activities that the Department approves.

(e) Repayment provisions. -- The Department may authorize a flexible repayment schedule for a loan under this subtitle.

HISTORY: An. Code 1957, art. 83A, § 6-504(e), 6-509(a), (c)(3), (e)-(g); 2008, ch. 306, § 2; 2010, ch. 14.