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Montana Administrative Register Notice 8-99-81 No. 2   01/28/2010    
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BEFORE THE DEPARTMENT OF COMMERCE

OF THE STATE OF MONTANA

 

In the matter of the amendment of ARM 8.99.901, 8.99.902, 8.99.903, 8.99.904, 8.99.905, 8.99.907, 8.99.908, 8.99.910, 8.99.911, 8.99.912, 8.99.914, and 8.99.915 pertaining to the award of grants and loans under the Big Sky Economic Development Program

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NOTICE OF PUBLIC HEARING ON PROPOSED AMENDMENT

 

TO:  All Concerned Persons

 

            1.  On March 2, 2010, at 1:30 p.m., the Department of Commerce will hold a public hearing in Room 228 of the Park Avenue Building, 301 South Park Avenue, at Helena, Montana, to consider the proposed amendment of the above-stated rules.

 

2.  The Department of Commerce will make reasonable accommodations for persons with disabilities who wish to participate in this rulemaking process or need an alternative accessible format of this notice.  If you require an accommodation, contact Department of Commerce no later than 5:00 p.m., on February 22, 2010, to advise us of the nature of the accommodation that you need.  Please contact Angela Nelson, Business Resources Division, Department of Commerce, 301 South Park Avenue, P.O. Box 200505, Helena, Montana, 59620-0505; telephone (406) 841-2792; fax (406) 841-2731; TDD (406) 841-2702; or e-mail anelson@mt.gov.

 

3.  The rules as proposed to be amended provide as follows, new matter underlined, deleted matter interlined:

 

            8.99.901  DEFINITIONS  (1) remains the same.

(2)  "Award" means a grant or loan under this program to an eligible applicant.

(3) through (9) remain the same.

            (10)  "Eligible economic development organization" means an economic development organization that is located in a county that is not part of a certified regional development corporation region, and which meets the eligibility requirements established by the department and published by it in the Big Sky Economic Development Trust Fund Application Guidelines dated 2009 2010.

            (11) through (14) remain the same.

(15)  "Local government" means a tribal government, county, consolidated government, city, town, or district or local public entity with the authority to spend or receive public funds.

(16) through (18) remain the same.

 

AUTH:  90-1-201, MCA

IMP:  90-1-201, MCA

 

      8.99.902  SCOPE AND PURPOSE OF ADMINISTRATIVE RULES

(1)  These administrative rules apply to funds deposited in the account that are statutorily appropriated for distribution to local governments, tribal governments, certified regional development corporations, and eligible economic development organizations.

(2) remains the same.

 

AUTH:  90-1-204, MCA       

      IMP:  90-1-204, MCA

 

8.99.903  PURPOSE OF BIG SKY ECONOMIC DEVELOPMENT PROGRAM

(1) through (1)(c) remain the same.

(d)  create partnerships between the state, local governments, tribal governments, and local economic development organizations that are interested in pursuing similar economic development goals;

(e) through (2) remain the same.

 

AUTH:  90-1-202, MCA       

IMP:  90-1-202, MCA          

 

8.99.904  INCORPORATION BY REFERENCE OF RULES GOVERNING SUBMISSION AND REVIEW OF APPLICATIONS  (1)  The department adopts and incorporates by reference the Big Sky Economic Development Trust Fund Application Guidelines dated 2009 2010 as rules governing the submission and review of applications under the program.  A copy of the guidelines may be obtained from the Department of Commerce, P.O. Box 200505, Helena, MT 59620-0505.

(2) remains the same.

           

AUTH:  90-1-204, MCA       

IMP:  90-1-204, MCA

 

8.99.905  DISTRIBUTION OF FUNDS FROM THE BIG SKY ECONOMIC DEVELOPMENT ACCOUNT  (1)  Of the funds that are deposited in the account that are not used for administrative expenses:

(a)  75% must be allocated for distribution to local governments and tribal governments to be used for job creation projects; and

(b)  25% must be distributed to certified regional development corporations, tribal governments, and eligible economic development organizations for economic development planning activities.

 

AUTH:  90-1-205, MCA                   

IMP:  90-1-205, MCA                      

 

8.99.907  FORM OF FINANCIAL ASSISTANCE  (1)  Financial assistance provided to local governments and tribal governments from the account shall be in the form of negotiated grants and loans for economic development projects.

(2)  Financial assistance provided to certified regional development corporations, tribal governments, and other eligible economic development organizations from the account shall be in the form of negotiated grants for economic development planning activities.

 

AUTH:  90-1-203, MCA       

IMP:  90-1-203, MCA          

 

8.99.908  MAXIMUM AWARD AMOUNT  (1)  Maximum award amounts to local governments and tribal governments may not exceed $5,000 for each eligible job to be created by an eligible business, except that funding for a project in a high-poverty county may not exceed $7,500 for each eligible job.

(2)  In appropriate circumstances and with supporting documentation, the department may establish award amounts to local governments and tribal governments that are less than $5,000 or $7,500 in a high-poverty county for each new eligible job to be created by an eligible business.

(3) remains the same.

(4)  Maximum award amounts to certified regional development corporations, tribal governments, and other eligible economic development organizations shall be established and published by the department in the Big Sky Economic Development Trust Fund Application Guidelines dated 2009 2010.

 

AUTH:  90-1-204, MCA                   

IMP:  90-1-204, MCA                      

 

8.99.910  AWARD MATCH REQUIREMENT  (1)  Local governments and tribal governments shall provide and document equal matching funds for all awards allocated under the program, except that the department may allow a 50% to 100% match requirement for projects located in a high-poverty county.

(2)  The private investment of funds by the business associated with the project may be considered as the local or tribal government's matching funds by the department.

(3) remains the same.

 

AUTH:  90-1-204, MCA                   

IMP:  90-1-204, MCA                      

 

            8.99.911  ELIGIBLE USES OF AWARDS  (1)  Uses of awards to local governments and tribal governments for eligible businesses shall include, but are not limited to, grants or loans for:

(a) through (h) remain the same.

(2)  Uses of awards to certified regional development corporations, tribal governments, and other eligible economic development organizations shall include, but are not limited to, the following economic development planning activities:

(a) through (e) remain the same.

 

AUTH:  90-1-204, MCA                   

IMP:  90-1-204, MCA                      

 

8.99.912  ELIGIBLE BUSINESS  (1)  Basic sector businesses and other businesses identified by the department in the Big Sky Economic Development Trust Fund Application Guidelines dated 2009 2010 are eligible for financial assistance from funds that are awarded to local governments and tribal governments under this program.

 

AUTH:  90-1-204, MCA                   

IMP:  90-1-204, MCA                      

 

            8.99.914  AWARD DECISION CRITERIA  (1)  In exercising the discretion required to negotiate and allocate awards from the account to local governments and tribal governments, the criteria considered by the department may include:

(a) through (2) remain the same.

(3)  In exercising the discretion required to negotiate and allocate awards from the account to certified regional development corporations, tribal governments, and other eligible economic development organizations, the criteria considered by the department may include:

(a) through (d) remain the same.

 

AUTH:  90-1-204, MCA                   

IMP:  90-1-204, MCA                      

 

8.99.915  ABILITY TO REQUEST ADDITIONAL INFORMATION

(1)  The department may require additional information to be provided from the local government, tribal government, certified regional development corporations, or other eligible economic development organizations, or from a business associated with a project, beyond that which may be contained in the application forms or specified in these rules.

 

AUTH:  90-1-204, MCA                   

IMP:  90-1-204, MCA                      

 

REASON:  17-5-703 and 90-1-201, MCA, et seq. created the Big Sky Economic Development Fund and assigned the administration of the fund to the Department of Commerce.  The department is proposing these amendments to reflect the updated 2010 Guidelines and the legislative changes to the program contained in House Bill 158 passed by the 2009 Montana Legislature.  The Legislature mandated that the department adopt rules to implement the Big Sky Economic Development Program in 90-1-204, MCA.

 

            4.  Concerned persons may submit their data, views, or arguments either orally or in writing at the hearing.  Written data, views, or arguments may also be submitted to: Angela Nelson, Business Resources Division, Department of Commerce, 301 South Park Avenue, P.O. Box 200505, Helena, Montana 59620-0505; telephone (406) 841-2792; fax (406) 841-2731; or e-mail anelson@mt.gov, and must be received no later than 5:00 p.m., March 10, 2010.

 

5.  Ty Jones, Legal Counsel, Department of Commerce, has been designated to preside over and conduct this hearing.

 

6.  The department maintains a list of interested persons who wish to receive notices of rulemaking actions proposed by this agency. Persons who wish to have their name added to the list shall make a written request that includes the name, e-mail, and mailing address of the person to receive notices and specifies for which program the person wishes to receive notices.  Notices will be sent by e-mail unless a mailing preference is noted in the request.  Such written request may be mailed or delivered to the Department of Commerce, 301 South Park Avenue, P.O. Box 200501, Helena, Montana 59602-0501, by fax to (406) 841-2701, by e-mail to lgregg@mt.gov, or may be made by completing a request form at any rules hearing held by the department.

 

7.  An electronic copy of this Proposal Notice is available through the Secretary of State's web site at http://sos.mt.gov/ARM/Register.  The Secretary of State strives to make the electronic copy of the Notice conform to the official version of the Notice, as printed in the Montana Administrative Register, but advises all concerned persons that in the event of a discrepancy between the official printed text of the Notice and the electronic version of the Notice, only the official printed text will be considered.  In addition, although the Secretary of State works to keep its web site accessible at all times, concerned persons should be aware that the web site may be unavailable during some periods, due to system maintenance or technical problems.

 

8.  The bill sponsor contact requirements of 2-4-302, MCA, do not apply.

 

 

 

 

 

 

/s/  G. MARTIN TUTTLE                               /s/  ANTHONY J. PREITE                            

G. MARTIN TUTTLE                                     ANTHONY J. PREITE

Rule Reviewer                                               Director

                                                                        Department of Commerce

                       

Certified to the Secretary of State January 19, 2010.

 

 

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