SECTION 28.73. Texas Rural Community Loan

(a) Purpose. The purpose of the Texas Rural Community Loan is to provide financial assistance to political subdivisions and economic development corporations and allow the loans to be secured with sales tax, utility fees, ad valorem taxes, or other revenues or collateral to fund eligible projects.

(b) Eligible Entities. Rural municipalities, counties, special purpose districts, economic development corporations, and political subdivisions supporting agricultural businesses or furthering rural economic development may apply for loan funds under this section.

(c) Use of Funds. Loans may be used for eligible real estate purchases, building construction, site improvements, equipment, water and wastewater systems, municipal infrastructure projects, and any other eligible use that can be identified to further in the economic development of the rural area and/or support agricultural businesses.

(d) Loan Terms. The loan terms will be determined by the board and as defined by this subchapter.

(e) Collateral. The collateral and security requirements will be determined by the board and as defined by this subchapter.

Source Note: The provisions of this §28.73 adopted to be effective May 18, 2022, 47 TexReg 2856