SECTION 200.1. Texas Small Business Credit Initiative Capital Access Program Authority and Purpose

(a) Authority. Pursuant to the authority granted by the Texas Government Code, Chapter 481, Subchapter BB, concerning Access to Capital Programs, and Texas Government Code, Chapter 2001, Subchapter B, concerning Rulemaking, the Economic Development and Tourism Office in the Office of the Governor prescribes the following rules to provide definitions, procedures, and eligibility standards and criteria for the Texas Small Business Credit Initiative Capital Access Program.

(b) Purpose. The purpose of this Program is to provide increased access to financing for small and medium-sized businesses by providing portfolio insurance through the establishment of loss reserves to reduce risk assumed by lending institutions in lending funds to Qualified Borrowers. Special consideration is given to Very Small Businesses with fewer than 10 employees and businesses owned by Socially and Economically Disadvantaged Individuals.

Source Note: The provisions of this §200.1 adopted to be effective June 25, 2023, 48 TexReg 3217