In addition to the definitions set forth in Texas Agriculture Code, §58.002 and §28.2 of this chapter (relating to Definitions), the following words and terms, when used in this subchapter, shall have the following meanings, unless the context clearly indicates otherwise.
  (1) Applicant--Any entity recognized by state law to conduct business in the state of Texas including for-profit and non-profit entities, political subdivision, or economic development corporation submitting an application with the Authority for a financial assistance under this subchapter.
  (2) Commitment--Any form of financial assistance provided to an applicant as approved by the board, including, but not limited to, a guaranty, a direct loan, a participation commitment, an anticipation note, or a conduit issuance for a political subdivision or any other eligible entity as defined by this subchapter.
  (3) Economic Development Corporation (EDC)--An entity created pursuant to the Development Corporation Act of 1979, which gives cities the ability to raise funds and finance economic and community development efforts through the creation of economic development corporations (EDCs). Chapters 501, 504 and 505 of the Local Government Code define the scope of EDCs. A Type A EDC is governed by Chapter 504; and a Type B EDC is governed by Chapter 505.
  (4) Eligible application--A completed application, including all application fees, documents, and information required by the Authority and submitted by the lender or applicant for a project, that is consistent with the purpose of agricultural and rural economic development and meets the terms and benchmarks defined by the Authority's Credit Policy and Procedures. The Department, the Authority, or the Authority's representative will review the application and issue an approval or denial.
  (5) For-profit entity--An organization that is registered in the state of Texas and has a principal place of business in Texas, which operates with the intention of making a profit or whose efforts are made to obtain a profit.
  (6) Interest rate--The interest rate approved by the Authority for an approved commitment.
  (7) Lender--A lending institution, including a bank, trust company, banking association, savings bank, mortgage company, investment banker, credit union, Community Development Financial Institution, or any affiliate of those entities, and any other financial institution that customarily provides financing for agricultural businesses or rural economic development loans, or any affiliate of such institution.
  (8) Non-profit entity--A local, community or regional organization that was formed and conducts its affairs to benefit the public or to assist other individuals, groups or causes, and can demonstrate its non-profit status by providing one of the following:
    (A) A copy of the Internal Revenue Service ruling, indicating tax-exempt status;
    (B) A copy of the Texas secretary of state charter indicating non-profit status; or
    (C) Documentation of its status as an educational institution recognized by the State of Texas.
  (9) Political subdivision--A county, municipality, special district, school district, junior college district, housing authority, or other political subdivision of this state as defined by Chapter 172 of the Local Government Code.
  (10) Program--Rural Economic Development Finance Program.
  (11) Project--An enterprise or project, which would further agricultural business or the economic development of a rural area.
  (12) Recipient--an entity approved by the Authority or its designee to receive a commitment outlined in this subchapter.
  (13) Rural area--A rural area means an area which is predominately rural in character; an unincorporated area or a city with a population under 50,000; or a county with a population under 200,000.
  (14) Special purpose district--A political subdivision of Texas with geographic boundaries that define the subdivision's territorial jurisdiction, as described in Chapter 403, Texas Government Code.

Source Note: The provisions of this §28.72 adopted to be effective May 18, 2022, 47 TexReg 2856