234.624 Transfer of interest.
234.625 Program operation.
234.65 Economic development.
234.66 Beginning farmer program.
SUBCHAPTER II
LOAN GUARANTEE PROGRAMS
234.67 Recycling loan guarantees.
234.83 Small business development loan guarantee program.
234.84 Job training loan guarantee program.
234.86 Drinking water loan guarantee program.
234.90 Agricultural production loan guarantees.
234.905 Agricultural production drought assistance loan guarantees.
234.907 Agricultural development loan guarantee program.
234.91 Farm assets reinvestment management loan guarantee program.
234.92 Financial assistance; fees.
234.93 Wisconsin development reserve fund.
234.932 Wisconsin job training reserve fund.
234.933 Wisconsin drinking water reserve fund.
SUBCHAPTER III
COMMUNITY DEVELOPMENT FINANCE COMPANY
234.95 Community development finance company.
234.96 Community development project participation.
234.97 Sale or purchase of stock or interest.
234.98 Transferred assets.
GENERAL PROVISIONS; HOUSING AND ECONOMIC DEVELOPMENT PROGRAMS
234.01
234.01
Definitions. In this chapter:
234.01(1)
(1) "Authority" means the Wisconsin Housing and Economic Development Authority.
234.01(2)
(2) "Authority cost" means any costs incurred by the authority in carrying out and administering any of its powers, duties and functions including, but not limited to, costs of financing by the authority, service charges, insurance premiums and administrative and operating costs of the authority.
234.01(3)
(3) "Business incubator" means a facility designed to encourage the growth of new businesses, if at least 2 of the following apply:
234.01(3)(a)
(a) Space in the facility is rented at a rate lower than the market rate in the community.
234.01(3)(b)
(b) Shared business services are provided in the facility.
234.01(3)(c)
(c) Management and technical assistance are available at the facility.
234.01(3)(d)
(d) Businesses using the facility may obtain financial capital through a direct relationship with at least one financial institution.
234.01(3m)
(3m) "Collateral" means a 3rd-party note, mortgage, guaranty, insurance policy, bond, letter of credit, security agreement or other instrument securing the repayment of an economic development loan or a mortgage loan.
234.01(4)
(4) "Development costs" mean the costs which have been approved by the authority as appropriate expenditures including but not limited to:
234.01(4)(a)
(a) Payments for options to purchase properties on the proposed housing project site, deposits on contracts of purchase, or with the prior approval of the authority, payments for the purchase of such properties;
234.01(4)(b)
(b) Legal, organizational and marketing expenses, including payment of attorneys' fees, project manager and clerical staff salaries, office rent and other incidental expenses;
234.01(4)(c)
(c) Payment of fees and preliminary feasibility studies and advances for planning, engineering and architectural work;
234.01(4)(d)
(d) Expenses for surveys as to need and market analyses;
234.01(4)(e)
(e) Necessary application and other fees to federal and other government agencies; and
234.01(4)(f)
(f) Such other expenses incurred by the eligible sponsor as the authority deems appropriate to effectuate the purposes of this chapter.
234.01(4m)
(4m) "Economic development loan" means an advance of moneys, supported by a written promise of repayment, to finance an economic development project.
234.01(4n)
(4n) "Economic development project" means any of the following:
234.01(4n)(a)
(a) Land, plant or equipment for any of the following:
234.01(4n)(a)1.
1. Facilities for manufacturing activities specified under division D, standard industrial classification manual, federal office of management and budget, as published by the federal government printing office.
234.01(4n)(a)3.
3. Facilities for the storage or distribution of products of manufacturing activities under
subd. 1., materials, components or equipment.
234.01(4n)(a)3m.
3m. Facilities for the retail sale of goods or services to consumers if any of the following applies:
234.01(4n)(a)3m.a.
a. The facility is in a tax incremental district or is the subject of an urban development action grant and will result in a net economic benefit to the state.
234.01(4n)(a)3m.b.
b. The facility is located in and constitutes not more than 10% of a business incubator.
234.01(4n)(a)3m.d.
d. The facility is more than 50% owned or controlled by women or minorities.
234.01(4n)(a)4.
4. Facilities for research and development activities relating to production of tangible products.
234.01(4n)(a)5.
5. Recreational and tourism facilities serving to attract visitors to this state.
234.01(4n)(a)6.
6. Facilities for the production, packaging, processing or distribution of raw agricultural commodities.
234.01(4n)(a)7.
7. Facilities for engaging in the business of operating a railroad.
234.01(4n)(b)
(b) Activities of a long-term nature, such as research and development, performed by any of the following:
234.01(4n)(b)2.
2. Firms engaged in research and development of manufactured products.
234.01(4n)(c)
(c) Equipment, materials or labor used to make an energy-conserving improvement to a commercial or industrial facility.
234.01(5)
(5) "Eligible sponsor" means any housing corporation, limited-profit entity or nonprofit corporation or any other entity meeting criteria established by the authority and which is organized to provide housing for persons and families of low and moderate income.
234.01(5k)
(5k) "Financial institution" means a bank, savings bank, savings and loan association, credit union, insurance company, finance company, mortgage banker registered under
s. 224.72, community development corporation, small business investment corporation, pension fund or other lender which provides commercial loans in this state.
234.01(6)
(6) "Housing corporation" means a corporation organized under
s. 182.004 and whose articles of incorporation, in addition to other requirements of law, provide that:
234.01(6)(a)
(a) If the corporation receives any loan or advance from the authority under this chapter, it may enter into an agreement with the authority providing for regulation with respect to rents, profits, dividends and disposition of property or franchises; and
234.01(6)(b)
(b) If the corporation receives a loan or advance under this chapter, the chairperson of the authority, acting with the prior approval of the majority of the members of the authority, may, if he or she determines that any such loan or advance is in jeopardy of not being repaid, that the proposed development for which such loan or advance was made is in jeopardy of not being constructed or that the corporation is not carrying out the intent and purposes of this chapter, appoint to the board of directors of such corporation a number of new directors, which number shall be sufficient to constitute a majority of such board, notwithstanding any other provision of such articles of incorporation or of any other provision of law.
234.01(7)
(7) "Housing project" means a specific work or improvement within this state undertaken primarily to provide dwelling accommodations, including land development and the acquisition, construction or rehabilitation of buildings and improvements thereto, for residential housing, and such other nonhousing facilities as may be determined by the authority to be either necessary for the economic viability thereof, required by law or by a master plan, or incidental or appurtenant thereto.
234.01(7m)
(7m) "Housing rehabilitation loan" means a low interest housing rehabilitation loan as defined in
s. 234.49 (1) (f).
234.01(8)
(8) "Limited-profit entity" means any person or trust which, in its articles of incorporation or comparable documents of organization, or by written agreement with the authority, provides that:
234.01(8)(a)
(a) As a condition of acceptance of a loan or advance under this chapter, the limited-profit entity shall enter into an agreement with the authority providing for limitations of rents, profits, dividends and disposition of property or franchises; and
234.01(8)(b)
(b) If the limited-profit entity receives a loan or advance under this chapter, the chairperson of the authority, acting with the prior approval of the majority of members of the authority, may, if he or she determines that any such loan or advance is in jeopardy of not being repaid, that the proposed development for which such loan or advance was made is in jeopardy of not being constructed or that the limited-profit entity is otherwise not carrying out the intent and purposes of this chapter, appoint to the board of directors or other comparable controlling body of such limited-profit entity a number of new directors or persons, which number shall be sufficient to constitute a voting majority of such board or controlling body, notwithstanding any other provisions of the limited-profit entity's articles of incorporation or other documents of organization, or of any other provisions of law.
234.01(9)(a)
(a) A nonprofit corporation incorporated under
ch. 181 whose articles of incorporation, in addition to other requirements of law, provide that:
234.01(9)(a)1.
1. The corporation has as its major purpose the providing of housing facilities for persons and families of low and moderate income;
234.01(9)(a)2.
2. All income and earnings of the corporation shall be used exclusively for corporation purposes and no part of the net income or net earnings of the corporation shall inure to the benefit or profit of any private person;
234.01(9)(a)3.
3. The corporation is in no manner controlled or under the direction or acting in the substantial interest of private persons seeking to derive profit or gain therefrom or seeking to eliminate or minimize losses in any dealing or transactions therewith;
234.01(9)(a)4.
4. If the corporation receives any loan or advance from the authority, it shall enter into an agreement with the authority, providing for limitations on rents, profits, dividends and disposition of property or franchises; and
234.01(9)(a)5.
5. That if the corporation receives a loan or advance under this chapter, the chairperson of the authority, acting with the prior approval of the majority of the members of the authority, may, on determination that any such loan or advance is in jeopardy of not being repaid, that the proposed development for which such loan or advance was made is in jeopardy of not being constructed, that some part of the net income or net earnings of the corporation is inuring to the benefit of any private person, that the corporation is in some manner controlled or under the direction of or acting in the substantial interest of any private person seeking to derive benefit or gain therefrom or seeking to eliminate or minimize losses in any dealings or transactions therewith or that the corporation is not carrying out the intent and purposes of this chapter, appoint to the board of directors of such corporation a number of new directors, which number shall be sufficient to constitute a majority of such board, notwithstanding any other provisions of such articles of incorporation or of any other provisions of law.
234.01(10)
(10) "Persons and families of low and moderate income" means persons and families who cannot afford to pay the amounts at which private enterprise, without federally-aided mortgages or loans from the authority, can provide a substantial supply of decent, safe and sanitary housing and who fall within income limitations set by the authority in its rules. In determining such income limitations the authority shall consider the amounts of the total income of such persons available for housing needs, the size of the family, the cost and condition of available housing facilities, standards established for various federal programs and any other factors determined by the authority to be appropriate in arriving at such limitations. Among low- or moderate-income persons and families, preference shall be given to those displaced by governmental action.
