                                 CODE OF VIRGINIA

PURPOSES OF FUND; LOANS TO SMALL BUSINESSES; ADMINISTRATIVE COSTS (§
10.1-1197.3)

A. Moneys in the Fund shall be used to make loans or to guarantee loans to small
businesses for the purchase and installation of environmental pollution control
and prevention equipment certified by the Department as meeting the following
requirements:

   1. The air pollution control equipment is needed by the small business to
   comply with the federal Clean Air Act (42 U.S.C. &#xA7; 7401 et seq.); or

   2. The pollution control equipment will allow the small business to implement
   voluntary pollution prevention measures.
   				Moneys in the Fund may also be used to make loans or to guarantee loans to
   small businesses for the installation of voluntary agricultural best
   management practices, as defined in &#xA7; 58.1-339.3.

B. The Department or its designated agent shall determine the terms and
conditions of any loan. All loans shall be evidenced by appropriate security as
determined by the Department or its designated agent. The Department, or its
agent, may require any documents, instruments, certificates, or other
information deemed necessary or convenient in connection with any loan from the
Fund.

C. A portion of the Fund balance may be used to cover the reasonable and
necessary costs of administering the Fund. Unless otherwise authorized by the
Governor or his designee, the costs of administering the Fund shall not exceed a
base year amount of $65,000 per year, using fiscal year 2000 as the base year,
adjusted annually by the Consumer Price Index.

D. The Fund shall not be used to make loans to small businesses for the purchase
and installation of equipment needed to comply with an enforcement action by the
Department, the State Air Pollution Control Board, the State Water Control
Board, or the Virginia Waste Management Board.

HISTORY: 1997, cc. 624, 850; 1999, c. 893; 2000, c. 131.