MISSISSIPPI LEGISLATURE
2005 Regular Session
To: Ways and Means
By: Representative Watson
AN ACT TO AMEND SECTION 57-1-16, MISSISSIPPI CODE OF 1972, WHICH CREATES THE ACE FUND AND AUTHORIZES THE MISSISSIPPI DEVELOPMENT AUTHORITY TO ESTABLISH AN ASSISTANCE PROGRAM THROUGH WHICH TO ADMINISTER THE FUND; TO AMEND SECTION 57-61-9, MISSISSIPPI CODE OF 1972, WHICH PROVIDES GUIDELINES AND REQUIREMENTS FOR ASSISTANCE PROVIDED BY THE MISSISSIPPI DEVELOPMENT AUTHORITY UNDER THE MISSISSIPPI BUSINESS INVESTMENT ACT; TO AMEND SECTION 57-75-11, MISSISSIPPI CODE OF 1972, WHICH PROVIDES FOR THE POWERS AND DUTIES OF THE MISSISSIPPI MAJOR ECONOMIC IMPACT AUTHORITY UNDER THE MISSISSIPPI MAJOR ECONOMIC IMPACT ACT; TO AMEND SECTION 57-85-5, MISSISSIPPI CODE OF 1972, WHICH CREATES THE MISSISSIPPI RURAL IMPACT FUND AND AUTHORIZES THE MISSISSIPPI DEVELOPMENT AUTHORITY TO ESTABLISH AN ASSISTANCE PROGRAM THROUGH WHICH TO ADMINISTER THE FUND; TO AMEND SECTIONS 65-4-7 AND 65-4-9, MISSISSIPPI CODE OF 1972, WHICH PROVIDES REQUIREMENTS REGARDING APPLICATIONS FOR ASSISTANCE UNDER THE ECONOMIC DEVELOPMENT HIGHWAY ACT; TO PROVIDE THAT APPLICATIONS FOR ASSISTANCE UNDER PROGRAMS PROVIDED FOR UNDER SUCH SECTIONS MUST CONTAIN CERTAIN INFORMATION; TO PROVIDE THAT THE MISSISSIPPI DEVELOPMENT AUTHORITY MUST REQUIRE CERTAIN COMMITMENTS FROM APPLICANTS UNDER SUCH PROGRAMS WHICH PROVIDE FOR THE REPAYMENT OF ASSISTANCE IF SUCH COMMITMENTS ARE NOT SATISFIED; TO AMEND SECTION 69-2-13, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT APPLICATIONS FOR ASSISTANCE UNDER THE PROGRAM ADMINISTERED BY THE MISSISSIPPI DEVELOPMENT AUTHORITY THROUGH THE EMERGING CROPS FUND FOR THE PURPOSE OF FINANCING MINORITY ECONOMIC DEVELOPMENT MUST CONTAIN CERTAIN INFORMATION; TO PROVIDE THAT THE MISSISSIPPI DEVELOPMENT AUTHORITY MUST REQUIRE CERTAIN COMMITMENTS FROM APPLICANTS UNDER SUCH PROGRAM WHICH PROVIDE FOR THE REPAYMENT OF ASSISTANCE IF SUCH COMMITMENTS ARE NOT SATISFIED; TO AMEND SECTION 57-30-5, MISSISSIPPI CODE OF 1972, WHICH AUTHORIZES THE MISSISSIPPI DEVELOPMENT AUTHORITY TO ESTABLISH AN INCENTIVE PROGRAM THROUGH WHICH TO ADMINISTER THE SALES TAX INCENTIVE FUND; TO PROVIDE THAT APPLICATIONS FOR ASSISTANCE UNDER THE PROGRAM MUST CONTAIN CERTAIN INFORMATION; TO PROVIDE THAT THE MISSISSIPPI DEVELOPMENT AUTHORITY MUST REQUIRE CERTAIN COMMITMENTS FROM APPLICANTS UNDER THE PROGRAM WHICH PROVIDE FOR THE REPAYMENT OF INCENTIVE PAYMENTS PROVIDED UNDER THE PROGRAM IF SUCH COMMITMENTS ARE NOT SATISFIED; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. Section 57-1-16, Mississippi Code of 1972, is amended as follows:
57-1-16. (1) As used in this section:
(a) "Extraordinary economic development opportunity" means a new or expanded business or industry which maintains a strong financial condition and minimal credit risk and creates substantial employment, particularly in areas of high unemployment.
(b) "Local economic development entities" means public or private nonprofit local economic development entities including, but not limited to, chambers of commerce, local authorities, commissions or other entities created by local and private legislation or districts created pursuant to Section 19-5-99.
(c) "MDA" means the Mississippi Development Authority.
(2) There is hereby created in the State Treasury a special fund to be designated as the ACE Fund, which shall consist of money from any public or private source designated for deposit into such fund. Unexpended amounts remaining in the fund at the end of a fiscal year shall not lapse into the State General Fund, and any interest earned on amounts in the fund shall be deposited to the credit of the fund. The purpose of the fund shall be to assist in maximizing extraordinary economic development opportunities related to any new or expanded business or industry. Such funds may be used to make grants to local economic development entities to assist any new or expanding business or industry that meets the criteria provided in this section when such assistance aids the consummation of a project within the State of Mississippi.
(3) The MDA shall establish a grant program to make grants from the ACE Fund created under this section. Local economic development entities may apply to the MDA for a grant under this section in the manner provided for in subsection (4) of this section.
(4) (a) Any business or industry desiring assistance from a local economic development entity under this section shall submit an application to the local economic development entity which shall include, at a minimum:
(i) Evidence that the business or industry meets the definition of an extraordinary economic development opportunity;
(ii) A demonstration that the business or industry is at an economic disadvantage by locating the new or expanded project in the county;
(iii) A description, including the cost, of the requested assistance;
(iv) A two-year business plan (which shall include proforma balance sheets, income statements and monthly cash flow statements);
(v) Financial statements or tax returns for the three (3) years immediately prior to the application (if the business or industry is a new company or enterprise, personal financial statements or tax returns will be required);
(vi) Credit reports on all persons with a twenty percent (20%) or greater interest in the business or industry; and
(vii) Any other information required by the MDA.
(b) The MDA shall require that binding commitments be entered into requiring that:
(i) The minimum requirements of this section and such other requirements as the MDA considers proper shall be met; and
(ii) If such requirements are not met, all or a portion of the funds provided under this section as determined by the MDA shall be repaid.
(c) Upon receipt of the application from a business or industry, the local economic development entity may apply to the MDA for assistance under this section. Such application must contain evidence that the business or industry meets the definition of an extraordinary economic development opportunity, a demonstration that the business or industry is at an economic disadvantage by locating the new or expanded project in the county, a description, including the cost, of the requested assistance, other information required in the business or industry's application under paragraph (a) of this subsection and a statement of what efforts have been made or are being made by the business or industry for securing or qualifying for other local, state, federal or private funds for the project.
(d) The MDA shall have sole discretion in the awarding of ACE funds, provided that the business or industry and the local economic development entity have met the statutory requirements of this section.
(5) The MDA shall promulgate rules and regulations, in accordance with the Mississippi Administrative Procedures Law, for the implementation of this section. However, before the implementation of any such rules and regulations, they shall be submitted to a committee consisting of five (5) members of the Senate Finance Committee and five (5) members of the House of Representatives Ways and Means Committee, appointed by the respective committee chairmen.
SECTION 2. Section 57-61-9, Mississippi Code of 1972, is amended as follows:
57-61-9. (1) Any private company desiring assistance from a municipality shall submit to the municipality a letter of intent to locate, expand or build a facility entirely or partially within the municipality or on land the municipality is authorized to own or otherwise acquire. The letter of intent shall include:
(a) Except for strategic investments, a commitment that the proposed project will create and maintain a minimum of ten (10) net new full-time equivalent jobs, will create and maintain at least a five percent (5%) increase in full-time equivalent jobs in the case of expansion of an enterprise already located at the site or at least a twenty-five percent (25%) increase in full-time equivalent jobs pursuant to subsection (9) of Section 57-61-15 and will create and maintain at least one (1) net new full-time equivalent job for every Fifteen Thousand Dollars ($15,000.00) either loaned or granted for the project. The commitment required by this paragraph (a) shall include any jobs created prior to the effective date of this chapter resulting from contracts entered into contingent upon assistance being made available under this chapter. All jobs required to be maintained by this paragraph (a) shall be maintained until such time as any loan made under this chapter for the benefit of a private company is repaid.
(b) A statement that the specific improvements are necessary for the efficient and cost-effective operation of the private company, together with supporting financial and engineering documentation.
(c) Any commitment to pay rental on, or to make loan repayments related to, the improvements to be made with funds loaned to a municipality under this chapter.
(d) If required by the Mississippi Development Authority, a notarized statement of willingness to grant a lien on the facility for which the improvement is being provided, in an amount and a manner to be determined by the Mississippi Development Authority, which lien may be foreclosed in the event that the private company fails to operate in the facility according to the terms of the agreement and/or to collateralize the loan made for the benefit of the private company for which the improvement is being provided in an amount and manner to be determined by the Mississippi Development Authority. In the event the contractual agreement is to be entered into with a department or subsidiary of the United States government, the Mississippi Development Authority shall determine that the governmental unit will operate the proposed project for a sufficient number of years to retire the loan based on increased revenue estimates by the University Research Center and any agreement entered into shall reflect that the interest paid on any loan for such purpose shall be included in Mississippi's contributory value in the project. In the event the private company requesting the assistance is a subsidiary of another corporation, if required by the Mississippi Development Authority, any contractual agreement entered into shall also require the parent company to unconditionally warrant the performance of the subsidiary in carrying out the terms of the agreement or it shall require the subsidiary and/or the parent company to pledge assets in an amount and a manner to be determined by the Mississippi Development Authority and/or to collateralize the loan in an amount and a manner to be determined by the Mississippi Development Authority to ensure the performance of the terms of the contract.
(2) Upon receipt of the letter of intent from a private company, the municipality may apply to the Mississippi Development Authority for a loan or grant. The application from the municipality shall include, but not be limited to:
(a) A statement of the purpose of the proposed loan or grant, including a list of eligible items and the cost of each.
(b) A statement showing the sources of funding for the entire project, including the private company's or governmental unit's investment in the project and any public and other private sources of funding.
(c) A certified copy of the signed letter of intent from a private company or governmental unit, as specified in this section.
(d) Evidence that there will be a private match of at least Three Dollars ($3.00) for every One Dollar ($1.00) of state assistance, except:
(i) In the case of portsthe private match will be at least Two Dollars ($2.00) for every One Dollar ($1.00) of state assistance; and
(ii) In the case where the Mississippi Development Authority determines that a private company is a high technology enterprise the private match will be at least Two Dollars ($2.00) for every One Dollar ($1.00) of state assistance.
The Mississippi Development Authority shall establish criteria for determining whether a private company is a high technology enterprise.
(e) Demonstration that the private company is financially sound and is likely to fulfill the commitments made in its letter of intent.
(f) A proposed timetable for the provision of the improvements.
(g) Evidence that the project will be expeditiously carried out and completed as planned.
(h) A demonstration that insufficient local capital improvement funds at reasonable rates and terms are available within the necessary time to provide the needed improvement on public property. This includes local funds available through issuance of bonds or other means, state funds available through existing programs, and available federal program funds such as community development block grant funds, urban development action grant funds, and economic development administration funds.
(i) A demonstration that insufficient private funds are available at reasonable rates and terms within the necessary time to fund improvement on property owned by the private company.
(3) The Mississippi Development Authority shall consider grant and loan applications based on the following criteria:
(a) The number of net new full-time equivalent jobs that will be provided and the amount of additional state and local tax revenue estimated by the University Research Center to be directly generated by the private company's new investment, and additionally, as to loan applications by state agencies, the extent to which shipping through the port will be increased by the proposed port development projects, the degree to which jobs will be increased in the port area and the impact on port revenues.
(b) The ability to repay the principal and interest, in the case of a loan, based on increased revenue estimates and any revenue-producing provision of a contractual agreement.
(c) The increase in the employment base of the state.
The Mississippi Development Authority and the University Research Center may use the resources and capabilities of the planning and development districts in carrying out the provisions of this chapter.
(4) No loan shall be made in excess of the amounts which can be repaid with the increased revenues estimated by the University Research Center, provided that this subsection (4) shall not apply to loans in connection with a United States Navy home port.
(5) (a) Notwithstanding anything contained in this chapter, an agency of the State of Mississippi operating a state-owned port, and hereinabove identified as a "municipality" and "governmental unit" for purposes of this chapter, may make application for a loan or grant under the terms and provisions of this chapter. In addition, a public agency operating a port bordering on the Gulf of Mexico, which shall be considered to be a "municipality" or a "governmental unit" for the purposes of this chapter, may make application for a loan or grant under the terms and provisions of this chapter from funds other than those funds authorized for a state-owned port under paragraph (e)(iii) of Section 57-61-11. The application shall be initiated by submission of a letter of intent to engage in a project or projects for the purpose of effecting enlargement and improvement in all facilities used and useful in attracting international and foreign commerce through the port. Projects eligible for inclusion in the letter of intent may include, but not be restricted to:
(i) Dredging and deepening the access channel and harbor basin of the port;
(ii) Effecting the enlargement of the land area of the port by reclamation;
(iii) Construction and installation of piling, bulkheads, docks, wharves, warehouses and appurtenances; and
(iv) Acquisition of facilities and equipment for handling bulk and containerized cargo.
(b) With respect to a state-owned port bordering on the Gulf of Mexico, the letter of intent shall include the following information and any other information required by the Mississippi Development Authority:
(i) Present and future annual tonnages expected as a result of the improvements.
(ii) Reasons why present facilities are inadequate to enable the port to compete, including limitations imposed by insufficient depth of channel and basin.
(iii) Increased channel and basin depths necessary to accommodate modern shipping.
(iv) Comparison of the percentage of the world's cargo shipping that can now be accommodated with what could be accommodated with project improvements.
(v) Economic contribution to the region and state resulting from increased shipping activity.
(vi) Statement of degree to which port revenues are expected to be increased as a result of projects.
(vii) Financial data of port activities, including cost of project, degree of federal funding available and required local participation.
On or before January 1, 1989, a state-owned port described in this paragraph (b) shall submit to the Senate Finance Committee and the House Ways and Means Committee of the Mississippi Legislature a comprehensive, written report updating for each committee the information listed in items (i) through (vii) of this paragraph (b) with particular emphasis on the economic contribution to the region and state by shipping activity at the port; on financial data with respect to the degree of federal funding available and local participation in funding port activities; and on progress made in dredging and completing other improvements necessary to accommodate modern shipping.
(c) The Mississippi Development Authority shall consider grant and loan applications based on the following:
(i) The extent to which shipping through the port will be increased by the proposed projects.
(ii) The degree to which jobs will be increased in the port area.
(iii) Impact on port revenues.
(iv) The ability of the port to repay interest and principal in the case of a loan.
(6) A municipality may apply to the Mississippi Development Authority for a grant under the terms and provisions of this chapter, and the Mississippi Development Authority may award grants to a municipality subject to limitations contained in this chapter. The application shall be initiated by submission of a letter of intent to engage in a project or projects for the purpose of providing improvements necessary to accommodate a United States Navy home port.
(7) The Legislature hereby finds and determines that financing facilities necessary to accommodate a Navy home port serves a valid public purpose in that a Navy home port will significantly contribute to the employment base of the state which is in great need of assistance; provided, that in the event such facilities are no longer required for use by the Navy as a home port, such facilities shall revert as provided in Section 59-9-21.
(8) Notwithstanding any provision or requirement of this chapter to the contrary, a municipality may make application for a loan under this chapter, in an amount not to exceed Five Million Dollars ($5,000,000.00), for the purpose of acquiring and developing land to be used as a technology/industrial park for which there is a binding commitment by one or more private companies to create and maintain not less than an aggregate of three hundred (300) jobs meeting minimum criteria established by the Mississippi Development Authority. Such a commitment by a private company shall not disqualify the private company from obtaining assistance under this section. The match requirements of this section shall not apply to any loan made pursuant to this subsection (8).
(9) Notwithstanding any provision or requirement of this chapter to the contrary, a municipality operating a county-owned port or municipally owned port may make application for a loan under this chapter, in an amount not to exceed Three Million Dollars ($3,000,000.00), for the purpose of acquiring land, buildings and other improvements and for repairing, renovating, maintaining and improving such a port.
(10) (a) A municipality is authorized to negotiate a contract for the acquisition, construction and erection of a project or any portion of a project hereunder where a municipality finds that, because of the particular nature of a project or any portion thereof, it would be in the best public interest of the municipality to negotiate.
(b) Contracts by a private company for the acquisition, construction or erection of a project which receives assistance under this chapter shall be effected in the manner prescribed by law for public contracts, unless the Mississippi Development Authority makes a written finding that, because of special circumstances with respect to the projects or any portion thereof, it would better serve the public interest or more effectively achieve the purposes of this chapter to enter into such contracts based on negotiation.
(11) A municipality is authorized upon such terms and conditions as the municipality may deem advisable, provided such terms and conditions shall not be in conflict with the provisions of this chapter, to (a) acquire, whether by construction, purchase, gift or lease, all of or any portion of a project hereunder; (b) to lease or sell to others all of or any portion of a project hereunder; and (c) to lend to the private company the proceeds of the loan from the board to such municipality.
(12) All agreements between a municipality and a private company related directly or indirectly to a project or a portion of a project to be funded in whole or in part under this chapter are subject to approval by the Mississippi Development Authority.
(13) (a) In addition to any other requirements or conditions under this section or elsewhere in this chapter, the Mississippi Development Authority shall require that any application for assistance regarding a private company include, at a minimum:
(i) A two-year business plan (which shall include proforma balance sheets, income statements and monthly cash flow statements);
(ii) Financial statements or tax returns for the three (3) years immediately prior to the application (if the private company is a new company or enterprise, personal financial statements or tax returns will be required);
(iii) Credit reports on all persons with a twenty percent (20%) or greater interest in the private company;
(iv) Data supporting the expertise of the private company's principals;
(v) A cost benefit analysis of the project performed by a state institution of higher learning or other entity selected by the Mississippi Development Authority; and
(vi) Any other information required by the Mississippi Development Authority.
(b) The Mississippi Development Authority shall require that binding commitments be entered into requiring that:
(i) The applicable minimum requirements of this chapter and such other requirements as the Mississippi Development Authority considers proper shall be met; and
(ii) If such requirements are not met, all or a portion of the funds provided under this chapter as determined by the Mississippi Development Authority shall be repaid.
SECTION 3. Section 57-75-11, Mississippi Code of 1972, is amended as follows:
57-75-11. The authority, in addition to any and all powers now or hereafter granted to it, is empowered and shall exercise discretion and the use of these powers depending on the circumstances of the project or projects:
(a) To maintain an office at a place or places within the state.
(b) To employ or contract with architects, engineers, attorneys, accountants, construction and financial experts and such other advisors, consultants and agents as may be necessary in its judgment and to fix and pay their compensation.
(c) To make such applications and enter into such contracts for financial assistance as may be appropriate under applicable federal or state law.
(d) To apply for, accept and utilize grants, gifts and other funds or aid from any source for any purpose contemplated by the act, and to comply, subject to the provisions of this act, with the terms and conditions thereof.
(e) (i) To acquire by purchase, lease, gift, or in other manner, including quick-take eminent domain, or obtain options to acquire, and to own, maintain, use, operate and convey any and all property of any kind, real, personal, or mixed, or any interest or estate therein, within the project area, necessary for the project or any facility related to the project. The provisions of this paragraph that allow the acquisition of property by quick-take eminent domain shall be repealed by operation of law on July 1, 1994; and
(ii) Notwithstanding any other provision of this paragraph (e), from and after November 6, 2000, to exercise the right of immediate possession pursuant to the provisions of Sections 11-27-81 through 11-27-89 for the purpose of acquiring land, property and/or rights-of-way in the county in which a project as defined in Section 57-75-5(f)(iv)1 is located, that are necessary for such project or any facility related to the project.
(f) To acquire by purchase or lease any public lands and public property, including sixteenth section lands and lieu lands, within the project area, which are necessary for the project. Sixteenth section lands or lieu lands acquired under this act shall be deemed to be acquired for the purposes of industrial development thereon and such acquisition will serve a higher public interest in accordance with the purposes of this act.
(g) If the authority identifies any land owned by the state as being necessary, for the location or use of the project, or any facility related to the project, to recommend to the Legislature the conveyance of such land or any interest therein, as the Legislature deems appropriate.
(h) To make or cause to be made such examinations and surveys as may be necessary to the planning, design, construction and operation of the project.
(i) From and after the date of notification to the authority by the enterprise that the state has been finally selected as the site of the project, to acquire by condemnation and to own, maintain, use, operate and convey or otherwise dispose of any and all property of any kind, real, personal or mixed, or any interest or estate therein, within the project area, necessary for the project or any facility related to the project, with the concurrence of the affected public agency, and the exercise of the powers granted by this act, according to the procedures provided by Chapter 27, Title 11, Mississippi Code of 1972, except as modified by this act.
(i) Except as otherwise provided in subparagraph (iii) of this paragraph (i), in acquiring lands by condemnation, the authority shall not acquire minerals or royalties in minerals unless a competent registered professional engineer shall have certified that the acquisition of such minerals and royalties in minerals is necessary for purposes of the project; provided that limestone, clay, chalk, sand and gravel shall not be considered as minerals for the purposes of subparagraphs (i) and (ii) of this paragraph (i);
(ii) Unless minerals or royalties in minerals have been acquired by condemnation or otherwise, no person or persons owning the drilling rights or the right to share in production of minerals shall be prevented from exploring, developing, or producing oil or gas with necessary rights-of-way for ingress and egress, pipelines and other means of transporting interests on any land or interest therein of the authority held or used for the purposes of this act; but any such activities shall be under such reasonable regulation by the authority as will adequately protect the project contemplated by this act as provided in paragraph (r) of this section; and
(iii) In acquiring lands by condemnation, including the exercise of immediate possession, for a project, as defined in Section 57-75-5(f)(iv)1, the authority may acquire minerals or royalties in minerals.
(j) To negotiate the necessary relocation or rerouting of roads and highways, railroad, telephone and telegraph lines and properties, electric power lines, pipelines and related facilities, or to require the anchoring or other protection of any of these, provided due compensation is paid to the owners thereof or agreement is had with such owners regarding the payment of the cost of such relocation, and to acquire by condemnation or otherwise easements or rights-of-way for such relocation or rerouting and to convey the same to the owners of the facilities being relocated or rerouted in connection with the purposes of this act.
(k) To negotiate the necessary relocation of graves and cemeteries and to pay all reasonable costs thereof.
(l) To perform or have performed any and all acts and make all payments necessary to comply with all applicable federal laws, rules or regulations including, but not limited to, the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 USCS 4601, 4602, 4621 to 4638, and 4651 to 4655) and relocation rules and regulations promulgated by any agency or department of the federal government.
(m) To construct, extend, improve, maintain, and reconstruct, to cause to be constructed, extended, improved, maintained, and reconstructed, and to use and operate any and all components of the project or any facility related to the project, with the concurrence of the affected public agency, within the project area, necessary to the project and to the exercise of such powers, rights, and privileges granted the authority.
(n) To incur or defray any designated portion of the cost of any component of the project or any facility related to the project acquired or constructed by any public agency.
(o) (i) To lease, sell or convey any or all property acquired by the authority under the provisions of this act to the enterprise, its successors or assigns, and in connection therewith to pay the costs of title search, perfection of title, title insurance and recording fees as may be required. The authority may provide in the instrument conveying such property a provision that such property shall revert to the authority if, as and when the property is declared by the enterprise to be no longer needed.
(ii) To lease, sell, transfer or convey on any terms agreed upon by the authority any or all real and personal property, improvements, leases, funds and contractual obligations of a project as defined in Section 57-75-5(f)(vi) and conveyed to the State of Mississippi by a Quitclaim Deed from the United States of America dated February 23, 1996, filed of record at pages 511 to 524, Deed Book Number B179, Chancery Clerk's Office, Tishomingo County, Mississippi, to any governmental authority located within the geographic boundaries of the county wherein such project exists upon agreement of such governmental authority to undertake and assume from the State of Mississippi all obligations and responsibilities in connection with ownership and operation of the project. Property leased, sold, transferred or otherwise conveyed by the authority under this paragraph (o) shall be used only for economic development purposes.
(p) To enter into contracts with any person or public agency, including, but not limited to, contracts authorized by Section 57-75-17, in furtherance of any of the purposes authorized by this act upon such consideration as the authority and such person or public agency may agree. Any such contract may extend over any period of time, notwithstanding any rule of law to the contrary, may be upon such terms as the parties thereto shall agree, and may provide that it shall continue in effect until bonds specified therein, refunding bonds issued in lieu of such bonds, and all other obligations specified therein are paid or terminated. Any such contract shall be binding upon the parties thereto according to its terms. Such contracts may include an agreement to reimburse the enterprise, its successors and assigns for any assistance provided by the enterprise in the acquisition of real property for the project or any facility related to the project.
(q) To establish and maintain reasonable rates and charges for the use of any facility within the project area owned or operated by the authority, and from time to time, to adjust such rates and to impose penalties for failure to pay such rates and charges when due.
(r) To adopt and enforce with the concurrence of the affected public agency all necessary and reasonable rules and regulations to carry out and effectuate the implementation of the project and any land use plan or zoning classification adopted for the project area, including, but not limited to, rules, regulations, and restrictions concerning mining, construction, excavation or any other activity the occurrence of which may endanger the structure or operation of the project. Such rules may be enforced within the project area and without the project area as necessary to protect the structure and operation of the project. The authority is authorized to plan or replan, zone or rezone, and make exceptions to any regulations, whether local or state, with the concurrence of the affected public agency which are inconsistent with the design, planning, construction or operation of the project and facilities related to the project.
(s) To plan, design, coordinate and implement measures and programs to mitigate impacts on the natural environment caused by the project or any facility related to the project.
(t) To develop plans for technology transfer activities to ensure private sector conduits for exchange of information, technology and expertise related to the project to generate opportunities for commercial development within the state.
(u) To consult with the State Department of Education and other public agencies for the purpose of improving public schools and curricula within the project area.
(v) To consult with the State Board of Health and other public agencies for the purpose of improving medical centers, hospitals and public health centers in order to provide appropriate health care facilities within the project area.
(w) To consult with the Office of Minority Business Enterprise Development and other public agencies for the purpose of developing plans for technical assistance and loan programs to maximize the economic impact related to the project for minority business enterprises within the State of Mississippi.
(x) To deposit into the "Yellow Creek Project Area Fund" created pursuant to Section 57-75-31:
(i) Any funds or aid received as authorized in this section for the project described in Section 57-75-5(f)(vi), and
(ii) Any funds received from the sale or lease of property from the project described in Section 57-75-5(f)(vi) pursuant to the powers exercised under this section.
(y) To manage and develop the project described in Section 57-75-5(f)(vi).
(z) To promulgate rules and regulations necessary to effectuate the purposes of this act.
(aa) To negotiate a fee-in-lieu with the owners of the project.
(bb) To enter into contractual agreements to warrant any site work for a project defined in Section 57-75-5(f)(iv)1; provided, however, that the aggregate amount of such warranties shall not exceed Fifteen Million Dollars ($15,000,000.00).
(cc) To provide grant funds to an enterprise operating a project defined in Section 57-75-5(f)(iv)1 in an amount not to exceed Thirty-nine Million Dollars ($39,000,000.00).
(dd) (i) To own surface water transmission lines constructed with the proceeds of bonds issued pursuant to this act and in connection therewith to purchase and provide water to any project defined in Section 57-75-5(f)(iv) and to certificated water providers; and
(ii) To lease such surface water transmission lines to a public agency or public utility to provide water to such project and to certificated water providers.
(ee) To provide grant funds to an enterprise operating a project defined in Section 57-75-5(f)(v) or, in connection with a facility related to such a project, for job training, recruiting and infrastructure.
(ff) To enter into negotiations with persons proposing projects defined in Section 57-75-5(f)(xi) and execute acquisition options and conduct planning, design and environmental impact studies with regard to such project.
(gg) To establish such guidelines, rules and regulations as the authority may deem necessary and appropriate from time to time in its sole discretion, to promote the purposes of this act.
(hh) In connection with projects defined in Section 57-75-5(f)(ii):
(i) To provide grant funds or loans to a public agency or an enterprise owning, leasing or operating a project defined in Section 57-75-5(f)(ii) in amounts not to exceed the amount authorized in Section 57-75-15(3)(b);
(ii) To supervise the use of all such grant funds or loans; and
(iii) To requisition money in the Mississippi Major Economic Impact Authority Revolving Loan Fund in connection with such loans.
(ii) In connection with projects defined under Section 57-75-5(f)(xiv):
(i) To provide grant funds or loans to an enterprise owning, leasing or operating a project defined in Section 57-75-5(f)(xiv); however, the amount of any such loan under this paragraph (ii) shall not exceed Eight Million Dollars ($8,000,000.00) and the amount of any such grant under this paragraph (ii) shall not exceed Two Million Dollars ($2,000,000.00);
(ii) To supervise the use of all such grant funds or loans; and
(iii) Notwithstanding any provision of this act to the contrary, such loans shall be for a term not to exceed twenty (20) years as may be determined by the authority, shall bear interest at such rates as may be determined by the authority, shall, in the sole discretion of the authority, be secured in an amount and a manner as may be determined by the authority.
(jj) (i) In addition to any other requirements or conditions under this chapter, the authority shall require that any application for assistance regarding a project under this chapter include, at a minimum:
1. A two-year business plan (which shall include proforma balance sheets, income statements and monthly cash flow statements);
2. Financial statements or tax returns for the three (3) years immediately prior to the application (if the project is a new company or enterprise, personal financial statements or tax returns will be required);
3. Credit reports on all persons with a twenty percent (20%) or greater interest in the project;
4. Data supporting the expertise of the project's principals;
5. A cost benefit analysis of the project performed by a state institution of higher learning or other entity selected by the authority; and
6. Any other information required by the authority.
(ii) The authority shall require that binding commitments be entered into requiring that:
1. The applicable minimum requirements of this chapter and such other requirements as the authority considers proper shall be met; and
2. If such requirements are not met, all or a portion of the funds provided under this chapter as determined by the authority shall be repaid.
SECTION 4. Section 57-85-5, Mississippi Code of 1972, is amended as follows:
57-85-5. (1) For the purposes of this section, the following words and phrases shall have the meanings ascribed in this section unless the context clearly indicates otherwise:
(a) "MDA" means the Mississippi Development Authority.
(b) "Project" means construction, rehabilitation or repair of buildings; sewer systems and transportation directly affecting the site of the proposed rural business; sewer facilities, acquisition of real property, development of real property, improvements to real property, and any other project approved by the Mississippi Development Authority.
(c) "Rural business" means a new or existing business located or to be located in a rural community or a business or industry located or to be located within five (5) miles of a rural community. "Rural business" does not include gaming businesses or utility businesses.
(d) "Rural community" means a county in the State of Mississippi that meets the population criteria for the term "limited population county" as provided in Section 57-1-18. "Rural community" also means a municipality in the State of Mississippi that meets the population criteria for the term "small municipality" as provided in Section 57-1-18.
(2) (a) There is created in the State Treasury a special fund to be designated as the "Mississippi Rural Impact Fund," which shall consist of funds appropriated or otherwise made available by the Legislature in any manner and funds from any other source designated for deposit into such fund. Unexpended amounts remaining in the fund at the end of a fiscal year shall not lapse into the State General Fund, and any investment earnings or interest earned on amounts in the fund shall be deposited to the credit of the fund. Monies in the fund shall be used to make grants and loans to rural communities and loan guaranties on behalf of rural businesses to assist in completing projects under this section.
(b) Monies in the fund which are derived from proceeds of bonds issued after the effective date of this act, may be used to reimburse reasonable actual and necessary costs incurred by the MDA in providing assistance related to a project for which funding is provided under this section from the use of proceeds of such bonds. An accounting of actual costs incurred for which reimbursement is sought shall be maintained for each project by the MDA. Reimbursement of reasonable actual and necessary costs for a project shall not exceed three percent (3%) of the proceeds of bonds issued for such project. Monies authorized for a particular project may not be used to reimburse administrative costs for unrelated projects. Reimbursements under this paragraph (b) shall satisfy any applicable federal tax law requirements.
(c) The MDA may use monies in the fund to pay for the services of architects, engineers, attorneys and such other advisors, consultants and agents that the MDA determines are necessary to review loan and grant applications and to implement and administer the program established under this section.
(3) The MDA shall establish a program to make grants and loans to rural communities and loan guaranties on behalf of rural businesses from the Mississippi Rural Impact Fund. A rural community may apply to the MDA for a grant or loan under this section in the manner provided for in this section. A rural business may apply to the MDA for a loan guaranty under this section in the manner provided in this section.
(4) (a) A rural community desiring assistance under this section must submit an application to the MDA. The application must include, at a minimum:
(i) A description of the project for which assistance is requested;
(ii) The cost of the project for which assistance is requested;
(iii) A two-year business plan for the project (which shall include proforma balance sheets, income statements and monthly cash flow statements);
(iv) Financial statements or tax returns for the three (3) years immediately prior to the application (if the project is a new company or enterprise, personal financial statements or tax returns will be required);
(v) Credit reports on all persons with a twenty percent (20%) or greater interest in the project; and
(vi) Any other information required by the MDA.
A rural business desiring assistance under this section must submit an application to the MDA. The application must include, at a minimum:
(i) A description of the purpose for which assistance is requested;
(ii) A two-year business plan for the project (which shall include at least proforma balance sheets, income statements and monthly cash flow statements);
(iii) Financial statements or tax returns for the three (3) years immediately prior to the application (if the project is a new company or enterprise, personal financial statements or tax returns will be required);
(iv) Credit reports on all persons with a twenty percent (20%) or greater interest in the project; and
(v) Any other information required by the MDA. The MDA may waive any requirements of the program established under this section in order to expedite funding for unique projects.
(b) The MDA shall require that binding commitments be entered into requiring that:
(i) The minimum requirements of this section and such other requirements as the MDA considers proper shall be met; and
(ii) If such requirements are not met, all or a portion of the funds provided under this section as determined by the MDA shall be repaid.
(5) The MDA shall have all powers necessary to implement and administer the program established under this section, and the MDA shall promulgate rules and regulations, in accordance with the Mississippi Administrative Procedures Law, necessary for the implementation of this section.
SECTION 5. Section 65-4-7, Mississippi Code of 1972, is amended as follows:
65-4-7. Any political subdivision desiring the assistance of the state in order to construct or improve any highways or highway segments, the primary purpose of such construction or improvement being to encourage a private company to engage in a high economic benefit project within the geographic boundaries of the political subdivision, may apply to the board for such approval and assistance. The application from the political subdivision shall include, but not be limited to:
(a) A description of the highways or highway segments requested to be constructed or improved;
(b) A certified resolution from the governing authorities of the political subdivision detailing the source and amount of funds which the political subdivision has committed or is willing to commit for construction or improvement of such highways or highway segments;
(c) A certified copy of a signed letter of intent from the private company to the political subdivision describing in detail the high economic benefit project in which it is committed to engage upon construction or improvement of the highways or highway segments within the political subdivision and the proposed timetable for completion of such project;
(d) Demonstration that the private company is financially sound and is likely to fulfill the commitments made in its letter of intent; * * *
(e) An estimate by the private company of the number, size and weight of motor vehicles and the frequency of travel of such vehicles upon the highways or highway segments requested to be constructed or improved after completion of the project by the private company;
(f) A two-year business plan for the private company (which shall include proforma balance sheets, income statements and monthly cash flow statements);
(g) Financial statements or tax returns for the three (3) years immediately prior to the application (if the private company is a new company or enterprise, personal financial statements or tax returns will be required); and
(h) Credit reports on all persons with a twenty percent (20%) or greater interest in the private company.
SECTION 6. Section 65-4-9, Mississippi Code of 1972, is amended as follows:
65-4-9. Upon receipt of an application by a political subdivision as provided under Section 65-4-7, Mississippi Code of 1972, the board shall review the application and may approve the application if it determines:
(a) The highways or highway segments for which the political subdivision is requesting assistance in constructing or improving are necessary and essential to ensure adequate and appropriate access to the proposed project for the purpose of encouraging its location within the geographical boundaries of the political subdivision;
(b) The project proposed by the private company meets the definition of a "high economic benefit project" as such term is defined in Section 65-4-5, Mississippi Code of 1972;
(c) The private company has demonstrated financial soundness and appears to have such assets and credit worthiness as to permit it to secure necessary funds to complete the project according to its commitments; * * *
(d) The costs for the construction or improvement of such highways or highway segments to be funded hereunder will not exceed the funds available in the Economic Development Highway Fund created by Section 65-4-15, Mississippi Code of 1972; and
(e) The private company enters in binding commitments with the board requiring that:
(i) The applicable minimum requirements of this chapter and such other requirements as the board considers proper shall be met; and
(ii) If such requirements are not met, all or a portion of the funds provided under this chapter as determined by the board shall be repaid.
SECTION 7. Section 69-2-13, Mississippi Code of 1972, is amended as follows:
69-2-13. (1) There is hereby established in the State Treasury a fund to be known as the "Emerging Crops Fund," which shall be used to pay the interest on loans made to farmers for nonland capital costs of establishing production of emerging crops on land in Mississippi, and to make loans and grants which are authorized under this section to be made from the fund. The fund shall be administered by the Mississippi Development Authority. A board comprised of the directors of the authority, the Mississippi Cooperative Extension Service, the Mississippi Small Farm Development Center and the Mississippi Agricultural and Forestry Experiment Station, or their designees, shall develop definitions, guidelines and procedures for the implementation of this chapter. Funds for the Emerging Crops Fund shall be provided from the issuance of bonds or notes under Sections 69-2-19 through 69-2-37 and from repayment of interest loans made from the fund.
(2) (a) The Mississippi Development Authority shall develop a program which gives fair consideration to making loans for the processing and manufacturing of goods and services by agribusiness, greenhouse production horticulture, and small business concerns. It is the policy of the State of Mississippi that the Mississippi Development Authority shall give due recognition to and shall aid, counsel, assist and protect, insofar as is possible, the interests of agribusiness, greenhouse production horticulture, and small business concerns. To ensure that the purposes of this subsection are carried out, the Mississippi Development Authority shall loan not more than One Million Dollars ($1,000,000.00) to finance any single agribusiness, greenhouse production horticulture, or small business concern. Loans made pursuant to this subsection shall be made in accordance with the criteria established in Section 57-71-11.
(b) The Mississippi Development Authority may, out of the total amount of bonds authorized to be issued under this chapter, make available funds to any planning and development district in accordance with the criteria established in Section 57-71-11. Planning and development districts which receive monies pursuant to this provision shall use such monies to make loans to private companies for purposes consistent with this subsection.
(c) The Mississippi Development Authority is hereby authorized to engage legal services, financial advisors, appraisers and consultants if needed to review and close loans made hereunder and to establish and assess reasonable fees,
including, but not limited to, liquidation expenses.
(3) (a) The Mississippi Development Authority shall, in addition to the other programs described in this section, provide for a program of loans to be made to agribusiness or greenhouse production horticulture enterprises for the purpose of encouraging thereby the extension of conventional financing and the issuance of letters of credit to such agribusiness or greenhouse production horticulture enterprises by private institutions. Monies to make such loans by the Mississippi Development Authority shall be drawn from the Emerging Crops Fund. The amount of a loan to any single agribusiness or greenhouse production horticulture enterprise under this paragraph (a) shall not exceed twenty percent (20%) of the total cost of the project for which financing is sought or Two Hundred Thousand Dollars ($200,000.00), whichever is less. No interest shall be charged on such loans, and only the amount actually loaned shall be required to be repaid. Repayments shall be deposited into the Emerging Crops Fund.
(b) The Mississippi Development Authority shall, in addition to the other programs described in this section, provide for a program of loans or loan guaranties, or both, to be made to or on behalf of any agribusiness enterprise engaged in beef processing for the purpose of encouraging thereby the extension of conventional financing and the issuance of letters of credit to such agribusiness enterprises by private institutions. Monies to make such loans or loan guaranties, or both, by the Mississippi Development Authority shall be drawn from the Emerging Crops Fund and shall not exceed Thirty-five Million Dollars ($35,000,000.00) in the aggregate. The amount of a loan to any single agribusiness enterprise or loan guaranty on behalf of such agribusiness enterprise, or both, under this paragraph (b) shall not exceed the total cost of the project for which financing is sought or Thirty-five Million Dollars ($35,000,000.00), whichever is less. The interest charged on a loan made under this paragraph (b) shall be at a rate determined by the Mississippi Development Authority. All repayments of any loan made under this paragraph (b) shall be deposited into the Emerging Crops Fund. Assistance received by an agribusiness enterprise under this paragraph (b) shall not disqualify the agribusiness enterprise from obtaining any other assistance under this chapter.
(4) (a) Through June 30, 2006, the Mississippi Development Authority may loan or grant to qualified planning and development districts, and to small business investment corporations, bank-based community development corporations, the Recruitment and Training Program, Inc., the City of Jackson Business Development Loan Fund, the Lorman Southwest Mississippi Development Corporation, the West Jackson Community Development Corporation, the East Mississippi Development Corporation, and other entities meeting the criteria established by the Mississippi Development Authority (all referred to hereinafter as "qualified entities"), funds for the purpose of establishing loan revolving funds to assist in providing financing for minority economic development. The monies loaned or granted by the Mississippi Development Authority shall be drawn from the Emerging Crops Fund and shall not exceed Twenty-six Million Dollars ($26,000,000.00) in the aggregate. Planning and development districts or qualified entities which receive monies pursuant to this provision shall use such monies to make loans to minority business enterprises consistent with criteria established by the Mississippi Development Authority. Such criteria shall include, at a minimum, the following:
(i) The business enterprise must be a private, for-profit enterprise.
(ii) If the business enterprise is a proprietorship, the borrower must be a resident citizen of the State of Mississippi; if the business enterprise is a corporation or partnership, at least fifty percent (50%) of the owners must be resident citizens of the State of Mississippi.
(iii) The borrower must have at least five percent (5%) equity interest in the business enterprise.
(iv) The borrower must demonstrate ability to repay the loan.
(v) The borrower must not be in default of any previous loan from the state or federal government.
(vi) The business enterprise and/or borrower must provide a two-year business plan (which shall include proforma balance sheets, income statements and monthly cash flow statements).
(vii) The business enterprise and/or borrower must provide financial statements or tax returns for the three (3) years immediately prior to the proposed loan (in the case of a new company or enterprise, personal financial statements or tax returns will be required).
(viii) Credit reports on all persons with a twenty percent (20%) or greater interest in the business enterprise and/or borrower.
(ix) Loan proceeds may be used for financing all project costs associated with development or expansion of a new small business, including fixed assets, working capital, start-up costs, rental payments, interest expense during construction and professional fees related to the project.
(x) Loan proceeds shall not be used to pay off existing debt for loan consolidation purposes; to finance the acquisition, construction, improvement or operation of real property which is to be held primarily for sale or investment; to provide for, or free funds, for speculation in any kind of property; or as a loan to owners, partners or stockholders of the applicant which do not change ownership interest by the applicant. However, this does not apply to ordinary compensation for services rendered in the course of business.
(xi) The maximum amount that may be loaned to any one (1) borrower shall be Two Hundred Fifty Thousand Dollars ($250,000.00).
(xii) The Mississippi Development Authority shall review each loan before it is made, and no loan shall be made to any borrower until the loan has been reviewed and approved by the Mississippi Development Authority.
(b) For the purpose of this subsection, the term "minority business enterprise" means a socially and economically disadvantaged small business concern, organized for profit, performing a commercially useful function which is owned and controlled by one or more minorities or minority business enterprises certified by the Mississippi Development Authority, at least fifty percent (50%) of whom are resident citizens of the State of Mississippi. For purposes of this subsection, the term "socially and economically disadvantaged small business concern" shall have the meaning ascribed to such term under the Small Business Act (15 USCS, Section 637(a)), or women, and the term "owned and controlled" means a business in which one or more minorities or minority business enterprises certified by the Mississippi Development Authority own sixty percent (60%) or, in the case of a corporation, sixty percent (60%) of the voting stock, and control sixty percent (60%) of the management and daily business operations of the business.
From and after July 1, 2006, monies not loaned or granted by the Mississippi Development Authority to planning and development districts or qualified entities under this subsection, and monies not loaned by planning and development districts or qualified entities, shall be deposited to the credit of the sinking fund created and maintained in the State Treasury for the retirement of bonds issued under Section 69-2-19.
(c) Notwithstanding any other provision of this subsection to the contrary, if federal funds are not available for commitments made by a planning and development district to provide assistance under any federal loan program administered by the planning and development district in coordination with the Appalachian Regional Commission or Economic Development Administration, or both, a planning and development district may use funds in its loan revolving fund, which have not been committed otherwise to provide assistance, for the purpose of providing temporary funding for such commitments. If a planning and development district uses uncommitted funds in its loan revolving fund to provide such temporary funding, the district shall use funds repaid to the district under the temporarily funded federal loan program to replenish the funds used to provide the temporary funding. Funds used by a planning and development district to provide temporary funding under this paragraph (c) must be repaid to the district's loan revolving fund no later than twelve (12) months after the date the district provides the temporary funding. A planning and development district may not use uncommitted funds in its loan revolving fund to provide temporary funding under this paragraph (c) on more than two (2) occasions during a calendar year. A planning and development district may provide temporary funding for multiple commitments on each such occasion. The maximum aggregate amount of uncommitted funds in a loan revolving fund that may be used for such purposes during a calendar year shall not exceed seventy percent (70%) of the uncommitted funds in the loan revolving fund on the date the district first provides temporary funding during the calendar year.
(d) If the Mississippi Development Authority determines that a planning and development district or qualified entity has provided loans to minority businesses in a manner inconsistent with the provisions of this subsection, then the amount of such loans so provided shall be withheld by the Mississippi Development Authority from any additional grant funds to which the planning and development district or qualified entity becomes entitled under this subsection. If the Mississippi Development Authority determines, after notifying such planning and development district or qualified entity twice in writing and providing such planning and development district or qualified entity a reasonable opportunity to comply, that a planning and development district or qualified entity has consistently failed to comply with this subsection, the Mississippi Development Authority may declare such planning and development district or qualified entity in default under this subsection and, upon receipt of notice thereof from the Mississippi Development Authority, such planning and development district or qualified entity shall immediately cease providing loans under this subsection, shall refund to the Mississippi Development Authority for distribution to other planning and development districts or qualified entities all funds held in its revolving loan fund and, if required by the Mississippi Development Authority, shall convey to the Mississippi Development Authority, all administrative and management control of loans provided by it under this subsection.
(e) If the Mississippi Development Authority determines, after notifying a planning and development district or qualified entity twice in writing and providing copies of such notification to each member of the Legislature in whose district or in a part of whose district such planning and development district or qualified entity is located and providing such planning and development district or qualified entity a reasonable opportunity to take corrective action, that a planning and development district or qualified entity administering a revolving loan fund under the provisions of this subsection is not actively engaged in lending as defined by the rules and regulations of the Mississippi Development Authority, the Mississippi Development Authority may declare such planning and development district or qualified entity in default under this subsection and, upon receipt of notice thereof from the Mississippi Development Authority, such planning and development district or qualified entity shall immediately cease providing loans under this subsection, shall refund to the Mississippi Development Authority for distribution to other planning and development districts or qualified entities all funds held in its revolving loan fund and, if required by the Mississippi Development Authority, shall convey to the Mississippi Development Authority all administrative and management control of loans provided by it under this subsection.
(5) The Mississippi Development Authority shall develop a program which will assist minority business enterprises by guaranteeing bid, performance and payment bonds which such minority businesses are required to obtain in order to contract with federal agencies, state agencies or political subdivisions of the state. Monies for such program shall be drawn from the monies allocated under subsection (4) of this section to assist the financing of minority economic development and shall not exceed Three Million Dollars ($3,000,000.00) in the aggregate. The Mississippi Development Authority may promulgate rules and regulations for the operation of the program established pursuant to this subsection. For the purpose of this subsection (5) the term "minority business enterprise" has the meaning assigned such term in subsection (4) of this section.
(6) The Mississippi Development Authority may loan or grant to public entities and to nonprofit corporations funds to defray the expense of financing (or to match any funds available from other public or private sources for the expense of financing) projects in this state which are devoted to the study, teaching and/or promotion of regional crafts and which are deemed by the authority to be significant tourist attractions. The monies loaned or granted shall be drawn from the Emerging Crops Fund and shall not exceed Two Hundred Fifty Thousand Dollars ($250,000.00) in the aggregate.
(7) Through June 30, 2006, the Mississippi Development Authority shall make available to the Mississippi Department of Agriculture and Commerce funds for the purpose of establishing loan revolving funds and other methods of financing for agribusiness programs administered under the Mississippi Agribusiness Council Act of 1993. The monies made available by the Mississippi Development Authority shall be drawn from the Emerging Crops Fund and shall not exceed One Million Two Hundred Thousand Dollars ($1,200,000.00) in the aggregate. The Mississippi Department of Agriculture and Commerce shall establish control and auditing procedures for use of these funds. These funds will be used primarily for quick payment to farmers for vegetable and fruit crops processed and sold through vegetable processing plants associated with the Department of Agriculture and Commerce and the Mississippi State Extension Service.
(8) From and after July 1, 1996, the Mississippi Development Authority shall make available to the Mississippi Small Farm Development Center One Million Dollars ($1,000,000.00) to be used by the center to assist small entrepreneurs as provided in Section 37-101-25, Mississippi Code of 1972. The monies made available by the Mississippi Development Authority shall be drawn from the Emerging Crops Fund.
(9) The Mississippi Development Authority shall make available to the Agribusiness and Natural Resource Development Center through Alcorn State University an amount not to exceed Two Hundred Fifty Thousand Dollars ($250,000.00) in fiscal year 2001 and Two Hundred Fifty Thousand Dollars ($250,000.00) in fiscal year 2002 from the cash balance of the Emerging Crops Fund to support the development of a cooperative program for agribusiness development, marketing and natural resources development. This subsection (9) shall stand repealed on June 30, 2006.
(10) The Mississippi Development Authority shall make available to the Small Farm Development Center at Alcorn State University funds in an aggregate amount not to exceed Three Hundred Thousand Dollars ($300,000.00), to be drawn from the cash balance of the Emerging Crops Fund. The Small Farm Development Center at Alcorn State University shall use such funds to make loans to producers of sweet potatoes and cooperatives anywhere in the State of Mississippi owned by sweet potato producers to assist in the planting of sweet potatoes and the purchase of sweet potato production and harvesting equipment. A report of the loans made under this subsection shall be furnished by January 15 of each year to the Chairman of the Senate Agriculture Committee and the Chairman of the House Agriculture Committee.
(11) The Mississippi Development Authority shall make available to the Mississippi Department of Agriculture and Commerce "Make Mine Mississippi" program an amount not to exceed One Hundred Fifty Thousand Dollars ($150,000.00) to be drawn from the cash balance of the Emerging Crops Fund.
(12) The Mississippi Development Authority shall make available to the Mississippi Department of Agriculture and Commerce an amount not to exceed One Hundred Fifty Thousand Dollars ($150,000.00) to be drawn from the cash balance of the Emerging Crops Fund to be used for the rehabilitation and maintenance of the Mississippi Farmers Central Market in Jackson, Mississippi.
(13) The Mississippi Development Authority shall make available to the Mississippi Department of Agriculture and Commerce an amount not to exceed Twenty-five Thousand Dollars ($25,000.00) to be drawn from the cash balance of the Emerging Crops Fund to be used for advertising purposes related to the Mississippi Farmers Central Market in Jackson, Mississippi.
(14) (a) The Mississippi Development Authority shall, in addition to the other programs described in this section, provide for a program of loan guaranties to be made on behalf of any nonprofit entity qualified under Section 501(c)(3) of the Internal Revenue Code and certified by the United States Department of the Treasury as a community development financial institution for the purpose of encouraging the extension of financing to such an entity which financing the entity will use to make funds available to other entities for the purpose of making loans available in low-income communities in Mississippi. Monies to make such loan guaranties by the Mississippi Development Authority shall be drawn from the Emerging Crops Fund and shall not exceed Two Million Dollars ($2,000,000.00) in the aggregate. The amount of a loan guaranty on behalf of such an entity under this subsection (14) shall not exceed Two Million Dollars ($2,000,000.00). Assistance received by an entity under this subsection (14) shall not disqualify the entity from obtaining any other assistance under this chapter.
(b) An entity desiring assistance under this subsection (14) must submit an application to the Mississippi Development Authority. The application must include any information required by the Mississippi Development Authority.
(c) The Mississippi Development Authority shall have all powers necessary to implement and administer the program established under this subsection (14), and the Mississippi Development Authority shall promulgate rules and regulations, in accordance with the Mississippi Administrative Procedures Law, necessary for the implementation of this subsection (14).
SECTION 8. Section 57-30-5, Mississippi Code of 1972, is amended as follows:
57-30-5. (1) The MDA shall develop, implement and administer the incentive program authorized in this chapter and shall promulgate rules and regulations necessary for the development, implementation and administration of such program.
(2) A person, corporation or other entity desiring to participate in the incentive payment program authorized in this chapter must submit an application to the MDA. Such application must contain (a) plans for the proposed project; (b) a detailed description of the proposed project; (c) the method of financing the proposed project and the terms of such financing; (d) a two-year business plan for the project (which shall include at a minimum proforma balance sheets, income statements and monthly cash flow statements); (e) financial statements or tax returns for the three (3) years immediately prior to the application (if the project is a new company or enterprise, personal financial statements or tax returns will be required); (f) credit reports on all persons with a twenty percent (20%) or greater interest in the project; and (g) any other information required by the MDA. In addition, the MDA shall require that binding commitments be entered into requiring that: (a) the applicable minimum requirements of this chapter and such other requirements as the MDA considers proper shall be met; and (b) if such requirements are not met, all or a portion of the funds provided under this chapter as determined by the MDA shall be repaid. The Executive Director of the MDA shall review the application and determine whether it qualifies as a project. If the executive director determines the proposed project qualifies as a project, he shall issue a certificate to the person, corporation or other entity designating such person, corporation or other entity as an approved participant and authorizing the approved participant to participate in the incentive payment program provided for in this chapter; however, no certificates shall be issued after July 1, 2004, for projects that pertain to facilities whose primary purpose is the retail sale of tangible personal property.
(3) This section shall stand repealed from and after July 1, 2005.
SECTION 9. This act shall take effect and be in force from and after July 1, 2005.