(2) The department shall provide economic development assistance under this section as either a loan or a grant. If the department provides the economic development assistance as a loan, the department shall make the loan subject to partial or full forgiveness if the borrower meets detailed performance measures. Subject to subsection (5) of this section, the department may provide both loans and grants to a person to meet business development project needs for the western juniper harvesting or related manufacturing business of the person.
(3) An application for economic development assistance under this section must:
(a) Be submitted as a loan application in a form acceptable to the department; and
(b) Contain a business development project plan.
(4)(a) The department may issue a loan under this section only if the business development project plan contained in the loan application demonstrates to the satisfaction of the department that:
(A) The project is feasible and reasonable from a practical and economic standpoint;
(B) The project is unlikely to be developed without economic development assistance from the department; and
(C) The western juniper harvesting or related manufacturing business will have a reasonable prospect of meeting performance measures required by the department.
(b) A loan made under this section may be interest-bearing or interest-free and may be secured by any assets or revenues agreed to by the department and the borrower.
(c) The department may establish detailed performance measures that, if met by the borrower, may result in all or part of the loan being forgiven. The performance measures may include, but need not be limited to, employment figures, payroll amounts, sales, limitations on expenses and the amounts of western juniper harvested or otherwise removed from lands in this state due to the business. A loan made under this section must require the borrower to repay the loan if the western juniper harvesting or related manufacturing business fails to meet required performance measures.
(5) The department may issue a grant under this section only if a loan application is submitted under subsection (3) of this section and the department determines that the repayment of a loan for a needed business development project would create an undue hardship that would impair the viability of the western juniper harvesting or related manufacturing business. The department may use a grant issued in accordance with this subsection to supplement or replace economic development assistance that the department provides as a loan under this section.
(6) Loans and grants authorized under this section shall be made from the Western Juniper Industry Fund established under ORS 571.625. Any principal and interest paid to the department by a borrower on a loan made under this section shall be deposited in the fund. [2015 c.636 §2]
Note: See note under 571.600.