BEFORE THE DEPARTMENT OF COMMERCE

OF THE STATE OF MONTANA

 

In the matter of the amendment of ARM 8.99.511 pertaining to the Microbusiness Finance Program

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NOTICE OF PROPOSED AMENDMENT   NO PUBLIC HEARING CONTEMPLATED

 

TO: All Concerned Persons

 

          1. On December 27, 2013, the Department of Commerce proposes to amend the above-stated rule.

 

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 December 20, 2013, to advise us of the nature of the accommodation that you need. Please contact Carolyn Jones, Section Manager, Business Resources Division, Department of Commerce, 301 South Park Avenue, P.O. Box 200505, Helena, Montana 59620-0505; telephone (406) 841-2594; fax (406) 841-2731; TDD (406) 841-2702; or e-mail [email protected].

 

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

 

8.99.511 MICROBUSINESS LOANS - ELIGIBILITY FOR AND TERMS AND CONDITIONS 

(1) through (3) remain the same.

(4) The interest rate charged to microbusiness borrowers by MBDCs shall be, at a minimum, the highest rate charged by the department to the MBDC for development loans and, at a maximum, the rate of interest that does not exceed the greater of 15 percent or an amount that is 6 percentage points per year above the prime rate published by the federal reserve system in its statistical release H.15 Selected Interest Rates for bank prime loans dated three business days prior to the execution of the agreement. MBDCs will report quarterly, in writing to the department, the interest rate(s) charged to borrowers.

(5) through (7) remain the same.

 

AUTH: 17-6-406, MCA

IMP: 17-4-406, 17-6-407, MCA 

 

REASON: The proposed amendment of ARM 8.99.511 is to reinstate statutory required guidelines regarding the maximum and minimum interest rates that may be charged by certified microbusiness development corporations on microbusiness loans.

           

4. Concerned persons may submit their data, views, or arguments in writing to: Carolyn Jones, Business Resources Division, Department of Commerce, 301 South Park Avenue, P.O. Box 200505, Helena, Montana 59620-0505; telephone (406) 841-2594; fax (406) 841-2731; or e-mail [email protected], and must be received no later than 5:00 p.m., December 26, 2013.

 

5. If persons who are directly affected by the proposed action wish to express their data, views, or arguments orally or in writing at a public hearing, they must make written request for a hearing and submit this request along with any written comments to Carolyn Jones at the above address no later than 5:00 p.m., December 26, 2013.

 

6. If the agency receives requests for a public hearing on the proposed action from either 10 percent or 25, whichever is less, of the persons directly affected by the proposed action; from the appropriate administrative rule review committee of the Legislature; from a governmental subdivision or agency; or from an association having not less than 25 members who will be directly affected, a hearing will be held at a later date. Notice of the hearing will be published in the Montana Administrative Register. 

 

7. 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 contact person in 4 above or may be made by completing a request form at any rules hearing held by the department.

8. 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 this 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.

 

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

 

10. With regard to the requirements of 2-4-111, MCA, the department has determined that the amendment of the above-referenced rule will not significantly and directly impact small businesses.

 

/s/ G. Martin Tuttle                                        /s/ Meg O'Leary                                

G. Martin Tuttle                                             Meg O'Leary

Rule Reviewer                                              Director

                                                                       Department of Commerce

           

Certified to the Secretary of State November 18, 2013.