requirements. (1) A qualifying political subdivision may receive an infrastructure loan under this part to finance a system improvement that will facilitate the construction of a housing development. (2) To receive an infrastructure loan, a qualifying political subdivision shall submit an application to the board that: (a) demonstrates: (i) the qualifying political subdivision has approved or will approve a housing development; (ii) the infrastructure loan will accelerate the completion of the housing development; (iii) the builder or developer of the housing development has agreed to, or will agree to, a specific timeline to complete the housing development if the board approves the infrastructure loan; (iv) the qualifying political subdivision will provide matching funds for the system improvement in an amount determined by the board; (v) the qualifying political subdivision has a primary revenue source for repaying the infrastructure loan; and (vi) if the qualifying political subdivision is a municipality or county, the qualifying political subdivision has adopted a moderate income housing plan that complies with Section 10-21-202 or 17-80-202; (b) identifies the qualifying political subdivision's current bonding capacity; and (c) includes any other information the board requires. (3) In considering an application for an infrastructure loan, the board shall: (a) give preference to a housing development that includes, as a substantial component, the construction of detached single-family owner-occupied starter homes; and (b) consider criteria including: (i) the number of housing units that may be built compared to the requested infrastructure loan amount; (ii) geographic diversity, including whether the applicant is urban or rural; (iii) the inclusion of affordable housing in the housing development; (iv) the inclusion of for-sale owner-occupied housing units in the housing development; (v) the likelihood that the housing development will be completed in accordance with the timeline described in Subsection (2)(a)(iii); (vi) the amount of matching funds the qualifying political subdivision will provide for the system improvement; (vii) other available sources of funding that may be used to construct the system improvement; and (viii) existing public facilities and services nearby the housing development. (4) The board shall ensure that each infrastructure loan: (a) is secured by any combination of revenue sources for the loan recipient, whether the revenue is actualized or anticipated, and which may include revenue the loan recipient receives from: (i) the imposition of property taxes; (ii) the collection of impact fees; (iii) the issuance of bonds; or (iv) any other revenue source the board determines to be sufficient for securing the infrastructure loan; (b) has a term that does not exceed 20 years, except as provided in Subsection (5)(b)(ii); (c) charges interest: (i) to a presumed repayment date established by the board, regardless of the actual repayment date; and (ii) at a rate that is within 1.5% of the federal funds rate target: (A) established by the Federal Open Market Committee; and (B) in effect on January 1 of the year in which the loan is made; and (d) specifies the terms and revenue sources for the loan recipient's repayment of the loan. (5) (a) The board may make one infrastructure loan to the Point of the Mountain State Land Authority created in Section 11-59-201. (b) The infrastructure loan described in Subsection (5)(a) may not exceed: (i) an amount of $18,000,000; and (ii) a term of three years. (6) In making infrastructure loans, the board may: (a) restructure all or part of a loan recipient's liability to repay an infrastructure loan for extenuating circumstances, subject to the requirements of Subsections (4) and (5); and (b) condition approval of an infrastructure loan on whatever assurances the board considers necessary to ensure that loan proceeds are used in accordance with this part.
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