41B.044 ETHANOL DEVELOPMENT PROGRAM.
Subdivision 1. Ethanol production facility loan program.
The authority may establish,
adopt rules for, and implement an ethanol production facility loan program to provide capital for
ethanol production facilities. The program may provide for secured or unsecured loans, loan
participations and loan guarantees with respect to real or personal property comprising all or part
of an ethanol production facility, and the payment of costs incurred by the authority to establish
and administer the program.
Subd. 2. Ethanol development fund.
There is established in the state treasury an ethanol
development fund. All repayments of financial assistance granted under subdivision 1, including
principal and interest, must be deposited into the general fund.
Subd. 3. Revenue bonds.
The authority may issue revenue bonds to finance the ethanol
production facility loan program in accordance with sections
. Bonds may be refunded by the issuance of refunding bonds in the manner authorized
by chapter 475.
Subd. 4. Program requirements.
The requirements in this subdivision apply to the ethanol
production facility loan program.
(a) Individuals, corporations, cooperatives, partnerships, and joint ventures may participate
in the program and are not required to meet the eligibility requirements of section
(b) Program participants may be required to pay reasonable nonrefundable application fees
and origination fees established by the authority by rule under section
. Application and
origination fees received by the authority must be deposited in the ethanol development fund.
(c) Total assistance provided to an ethanol production facility from appropriated funds must
not exceed $500,000 or a lesser amount as provided by rules relating to the program.
(d) The interest payable on loans and loan participations made by the authority must, if
funded by revenue bond proceeds, be at a rate not less than the rate on the revenue bonds, and
may be established at a higher rate necessary to pay costs associated with the issuance of the
revenue bonds and a proportionate share of the cost of administering the program. The interest
payable on loans and loan participations funded from sources other than revenue bond proceeds
must be at a rate determined by the authority.
History: 1993 c 342 s 11; 1994 c 642 s 3; 1999 c 231 s 82