(1) The authority may not assist the capital needs of any profit or nonprofit enterprise or undertaking until the board or the executive director pursuant to rules and regulations adopted by the board first determines that:
Repealed.
The amount of a loan to provide capital to an enterprise does not exceed the amountby which the total capital needs of such enterprise during a specified period exceeds the sum of the revenues of the operation reasonably expected to be available to the enterprise during such period to meet capital needs and the amount of any reserves for anticipated operating deficits and available to the enterprise during such period; and
The financing agreement relating thereto provides for the payment to the authority ofsuch revenues as will be, together with any government subsidies relating to the enterprise and other moneys available or expected to be available, sufficient to pay the principal of and interest on all notes and bonds issued to finance the loan and to build up and maintain any reserves deemed advisable by the authority in connection therewith.
(2) Upon making the determinations specified in subsection (1) of this section, the authority, in addition to the other powers granted by this part 7, shall have the following powers:
To commit to enter and to enter into a financing agreement to purchase or participatein the purchase from a lender of loans to provide capital to business enterprises upon such terms and conditions as the authority may deem appropriate;
To commit to enter and to enter into a financing agreement to make a loan to a lenderupon the condition that the lender invest the proceeds of such loan in loans to provide capital to business enterprises upon such terms and conditions as the authority may deem appropriate;
In connection with the preservation of its rights with respect to any loan, to providecapital to a business enterprise, to provide for the acquisition, operation, management, or maintenance of a business enterprise, and to sell or otherwise dispose of any business enterprise.
Source: L. 82: Entire section added, p. 468, § 8, effective April 23. L. 87: IP(1), (1)(b), and (2)(a) to (2)(c) amended and (1)(a) repealed, pp. 1194, 1197, §§ 11, 21, effective May 20.