(a) The Office may not designate a nominated qualified business as a readjustment project unless it determines that:      
        (1) the business meets the requirements set forth in the Act, §2310.301, and this chapter;       
        (2) the qualified business is located in or has made substantial commitment to locate in a readjustment zone;       
        (3) the project demonstrates viability as determined by the Office;       
        (4) the applicant's governing body or bodies have demonstrated that a high level of cooperation between public, private, and neighborhood entities exists in the zone; and       
        (5) the designation of the qualified business as a readjustment project will contribute significantly to the achievement of the plans of the applicant for development and revitalization of the zone.       
      (b) The Office will use the scoring mechanism set forth in the Act, §2310.306, making readjustment project designation decisions.     
      (c) The Office may approve the assumption of a readjustment project that leases or transfers ownership to another entity that will continue operations in the readjustment zone in the same way that was originally committed to in the initial readjustment project application or which otherwise demonstrates to the satisfaction of the Office that the designation assumption is warranted to avoid disruption of operations and loss of jobs.     
     Source Note:        The provisions of this §175.7 adopted to be effective September 15, 1997, 22 TexReg 8961; amended to be effective August 5, 2012, 37 TexReg 5729