2068 Machinery and equipment loan participation and interest rates

DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT

Machinery and Equipment Loan Participation and Interest Rates

[28 Pa.B. 6189]

   The Department of Community and Economic Development (Department) gives notice of the adoption of MELF participation and interest rates for loans approved by the Department. The rates are effective as of October 7, 1998, and will remain in effect until changed by a notice in the Pennsylvania Bulletin. The rates follow as Annex A.

   The Department retains the right to waive or modify the rates, to the extent that such are not mandated by law, on a case by case basis for good cause shown.

   Further information can be obtained from the Department of Community & Economic Development, Room 481, Forum Building, Harrisburg, PA 17120, [phone].

SAMUEL A. MCCULLOUGH,   
Secretary

Annex A

MELF

PARTICIPATION AND INTEREST RATES FOR COUNTIES AND MUNICIPALITIES* OVER 25,000 POPULATION

Effective October 7, 1998 through June 1999

	Maximum
	MELF	Interest
	Participation**	Rate***
		%
ADAMS	50%	6.75
ALLEGHENY	50%	6.75
McKeesport City	50%	3.75
Pittsburgh City	50%	5.25
ARMSTRONG	50%	3.75
BEAVER	50%	5.25
BEDFORD	50%	3.75
BERKS	50%	6.75
Reading City	50%	5.25
BLAIR	50%	5.25
Altoona City	50%	5.25
BRADFORD	50%	5.25
BUCKS	50%	6.75
Bensalem Twp.	50%	5.25
Bristol Twp.	50%	5.25
BUTLER	50%	5.25
CAMBRIA	50%	3.75
CAMERON	50%	3.75
CARBON	50%	3.75
CENTRE	50%	6.75
CHESTER	50%	6.75
CLARION	50%	5.25
CLEARFIELD	50%	3.75
CLINTON	50%	3.75
COLUMBIA	50%	3.75
CRAWFORD	50%	5.25
CUMBERLAND	50%	6.75
DAUPHIN	50%	6.75
Harrisburg	50%	5.25
DELAWARE	50%	6.75
Chester City	50%	3.75
ELK	50%	5.25
ERIE	50%	5.25
Erie City	50%	3.75
FAYETTE	50%	3.75
FOREST	50%	3.75
FRANKLIN	50%	5.25
FULTON	50%	3.75
GREENE	50%	3.75
HUNTINGDON	50%	3.75
INDIANA	50%	3.75
JEFFERSON	50%	3.75
JUNIATA	50%	3.75
LACKAWANNA	50%	3.75
LANCASTER	50%	6.75
Lancaster City	50%	5.25
LAWRENCE	50%	5.25
New Castle City	50%	3.75
LEBANON	50%	6.75
Lebanon City	50%	6.75
LEHIGH	50%	6.75
Allentown City	50%	5.25
Bethlehem City	50%	5.25
LUZERNE	50%	3.75
Wilkes-Barre City	50%	3.75
LYCOMING	50%	5.25
Williamsport City	50%	3.75
McKEAN	50%	5.25
MERCER	50%	5.25
MIFFLIN	50%	3.75
MONROE	50%	3.75
MONTGOMERY	50%	6.75
Norristown Boro	50%	5.25
Upper Dublin Twp.	50%	6.75
MONTOUR	50%	6.75
NORTHAMPTON	50%	5.25
NORTHUMBERLAND	50%	3.75
PERRY	50%	6.75
PHILADELPHIA	50%	3.75
PIKE	50%	5.25
POTTER	50%	3.75
SCHUYLKILL	50%	3.75
SNYDER	50%	5.25
SOMERSET	50%	3.75
SULLIVAN	50%	3.75
SUSQUEHANNA	50%	3.75
TIOGA	50%	3.75
UNION	50%	6.75
VENANGO	50%	3.75
WARREN	50%	5.25
WASHINGTON	50%	5.25
WAYNE	50%	3.75
WESTMORELAND	50%	5.25
WYOMING	50%	3.75
YORK	50%	6.75
York City	50%	3.75

*     Municipalities are listed only if MELF rate differs from County rate.

**   Maximum participation; MELF loans are $500,000 or 50% of eligible project costs, whichever is less.

***   Based on calendar year 1997 unemployment rate. Subject to change at discretion of DCED.

Special Note: Projects located in designated enterprise zones, planning stage enterprise zones, financially distressed municipalities under Act 47, Federal empowerment zones, Federal enterprise communities, Keystone Opportunity Zones and brownfields will receive loans at 3.75%. Companies designated as advanced tech firms will receive an interest rate of 4.25% or 3.75% depending on the location of the project (for example, if area rate is 5.25% or 6.75%, the interest rate will be 4.25%).

10% company equity injection required for all projects

Financially Distressed Municipalities Under Act 47*

Aliquippa City Beaver County	Franklin Borough Cambria County
Braddock Borough Allegheny County	Homestead Borough Allegheny County
Chester City Delaware County	Johnstown City Cambria County
Clairton City Allegheny County	Millbourne Borough Delaware County
Duquesne City Allegheny County	North Braddock Borough Allegheny County
East Pittsburgh Borough Allegheny County	Rankin Borough Allegheny County
Farrell City Mercer County	Scranton City Lackawanna County
	Wilkinsburg Borough Allegheny County

Federal Empowerment Zones*

Portions of Pittsburgh and Philadelphia

Federal Enterprise Communities*

Portions of Harrisburg, Dauphin County

Portions of Lock Haven, Clinton County

*Eligible for 3.75% Interest Rate

[Pa.B. Doc. No. 98-2068. Filed for public inspection December 18, 1998, 9:00 a.m.]