(1) If the Oregon Infrastructure Finance Authority approves the project, the authority, on behalf of the state, and the applicant may enter into a loan contract that is secured by good and sufficient collateral.

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(2) A loan contract entered into pursuant to this section shall set forth, among other matters:

(a) A plan for repayment by the applicant to the Oregon Port Revolving Fund of moneys borrowed from the fund for the project and interest on the moneys at a rate of interest determined by the authority.

(b) Provisions satisfactory to the authority for field engineering and inspection, the authority to be the final judge of completion of the contract.

(c) That the liability of the state under the contract is contingent upon the availability of moneys in the Oregon Port Revolving Fund for use in the project.

(d) Any other provision the authority considers necessary to ensure expenditure of the funds for the purposes set forth in the approved application.

(3) The repayment plan required under subsection (2) of this section, among other matters:

(a)(A) Shall provide for commencement of repayment by the port district of moneys used for the project and interest on the moneys no later than one year after the date of the loan contract or at any other time as the authority may provide.

(B) Notwithstanding subparagraph (A) of this paragraph and upon approval by the authority, may provide, with respect to a flexible manufacturing space project, that no interest shall accrue until the building is at least 25 percent occupied or until three years after the date of the loan contract, whichever is earlier.

(b) May provide for reasonable extension of the time for making any repayment in emergency or hardship circumstances if approved by the authority.

(c) Shall provide for such evidence of debt assurance of, and security for, repayment by the applicant as the authority considers necessary.

(d) Shall specify a loan term that may not exceed the useful life of the contracted project or 30 years from the year of project completion, whichever is less.

(e) Shall include a payment schedule that:

(A) Provides for repayment of interest that accrues during any period of delay in repayment authorized under paragraph (a) of this subsection; and

(B) May require payments of varying amounts for collection of the accrued interest.

(f) Shall provide for partial or complete repayment, in excess of scheduled payments, of any outstanding principal loan amount without penalty.

(4) The Oregon Infrastructure Finance Authority may make limited moneys available from the Oregon Port Revolving Fund to eligible ports for grants to assist with capital improvement projects.

(5) The Oregon Business Development Department shall adopt by rule eligibility criteria and award limits for grants from the fund. [Formerly 285.885; 2001 c.883 § 13; 2003 c.773 § 13; 2005 c.835 § 20; 2009 c.830 § 41; 2023 c.41 § 3]