In making a dedication that a Condition other credit assistance application is suitable for Federal contributions to, or for the account of, the Condition plan, the Secretary shall take note of the next added concerns:
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(two) can demonstrate an inexpensive expectation that, when deemed with all other Point out packages from the Condition, this sort of Point out plans together have the opportunity to use quantities of new Federal contributions to, or to the account of, all such applications within the Point out to result in and bring about quantities of new smaller small business lending at least 10 moments The brand new Federal contribution sum;
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(II) the loan will not be used to finance this kind of enterprise pursuits since the Secretary, by regulation, may possibly proscribe as prohibited loan needs for enrollment in an authorized State cash entry method; and
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The allocation agreement in between the Secretary and also the taking part Condition shall supply that the Secretary shall recoup any allotted Federal cash transferred for the participating Point out if the final results on the an audit involve a discovering that there was an intentional or reckless misuse of transferred funds via the Condition.
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