Title 193 W. Va. C.S.R.

W. Va. Code R. § 193-1-1 General

1.1. Scope. -- This rule applies to the procedures and standards applicable to the West Virginia Technology-Related Assistance Revolving Loan Fund For Individuals With Disabilities, a statewide program for making loans from a revolving fund to qualified borrowers to improve the independence of or to otherwise assist West Virginia residents with disabilities in becoming more productive members of the community. The West Virginia Technology - Related Assistance Revolving Loan Fund For Individuals With Disabilities board may make loan funds available to qualified borrowers for approved purposes in accordance with this rule.

1.2. Authority. -- W. Va. Code '29-24-5(a)(3).

1.3. Filing Date. -- May 24, 1999.

1.4. Effective Date. -- May 24, 1999.

W. Va. Code R. § 193-1-2 Description of Program

2.1. The Legislature of West Virginia has created and established the West Virginia Technology-Related Assistance Revolving Loan Fund For Individuals With Disabilities from which the board shall make available loans ranging from a minimum of $500.00 to a maximum of $5,000.00 for the purchase of technology-related devices or directly related services that will assist the borrowers with disabilities to overcome barriers of daily living.

W. Va. Code R. § 193-1-3 Terms of Program Loans

3.1. Collateral. The Board may require any collateral that is available, including, in appropriate cases, a security agreement in personal property, or personal guarantees. Except as specifically approved by the Board, collateral shall be located within the State of West Virginia.

3.2. No Refinancing. The Board may not enter into a loan agreement with an eligible borrower to refinance any existing indebtedness.

W. Va. Code R. § 193-1-4 Eligibility

4.1. The borrower shall use the loan proceeds for the purchase of technology-related devices or services which will:

4.1.a. Assist him or her to be independent through the purchase; and

4.1.b. Assist him or her to become a more independent member of the community and improve his or her quality of life within the community.

4.2. An applicant who has previously been rejected for a loan under the Technology-Related Assistance Revolving Loan Fund For Individuals With Disabilities may not reapply unless the new application represents a significant change from the rejected application. The Board shall determine whether or not to accept a new application.

4.3. The Board shall not issue loans committing more than 20% of all available loan funds to nonprofit entities in a single year.

W. Va. Code R. § 193-1-5 Application Procedure and Contents

5.1. An individual may obtain an application form from the Board and shall submit the completed application to the Board. The Board shall assist or otherwise provide for assistance to any applicant who requires assistance in completing the loan application documents. The application shall include the following information:

5.1.a. Certification from the applicant that the applicant meets all eligibility requirements;

5.1.b. Satisfactory evidence of the applicant=s net income and net worth;

5.1.c. A statement including the cost, description and intended use of the technology-related device or service that the applicant proposes to purchase;

5.1.d. A statement of contributing sources of financing for the device or service if required by the Board; and

5.1.e. Proof of disability of the applicant or the intended user if required by the Board. The proof may include a statement from a physician indicating how the applicant=s disability affects one or more major life activities. The Board may also require an assistive technology evaluation prior to consideration of the loan application.

5.1.f. The Board shall refer all applications received, together with any supporting documentation, to its Application Committee. The Application Committee shall consist of four members of the Board who are appointed by the chairperson. At least one of the members of the Application Committee shall be an individual with a disability or have a family member who has a disability. The Application Committee shall consider the following in recommending approval or rejection of an application for a loan:

5.1.f.1. Whether an applicant is eligible for a loan;

5.1.f.2. Whether the loan proceeds will be put to an eligible use;

5.1.f.3. Whether the proposed loan is an efficient use of loan funds;

5.1.f.4. Whether any other financing sources may be used to supplement the loan;

5.1.f.5. Whether there are sufficient assets to provide adequate collateral for the loan;

5.1.f.6. Whether the application is complete and the applicant has supplied all information necessary for financial review and analysis of the application;

5.1.f.7. The applicant=s ability to repay the loan; and

5.1.f.8. The adequacy of security provided for the loan.

5.1.g. In considering the factors set forth in Subdivision 5.1.f. of this section, the Board shall determine the appropriate weight to give to each factor in each case.

5.1.h. The Board=s Application Committee shall determine whether and when an application is complete and its decision is final. When the Application Committee determines that a loan application is complete and ready for review, it shall then request a credit report from the appropriate credit bureau. The Application Committee shall not consider the absence of a credit history a negative factor in it=s evaluation of an application nor is the absence grounds, in and of itself, for the Board to deny an application for a loan.

W. Va. Code R. § 193-1-6 Action by the Application Committee

6.1. After the application is complete and the applicant has had an opportunity to support the application with any further information requested by the Application Committee or which the applicant determines will further support the loan request, the Application Committee shall prepare an analysis of each application. The analysis shall be presented to the Board within fifteen business days of the Board=s receipt of the applicant=s credit check. The analysis shall contain the following:

6.1.a. A loan summary;

6.1.b. A statement of the strengths and weaknesses of the proposed loan; and

6.1.c. Any other information the Board may require.

6.2. Based on the analysis, the Application Committee shall recommend approval or denial of the loan application, then forward that recommendation as follows:

6.2.a. If the Application Committee recommends approval of the loan, the Application Committee shall forward to the Board the complete loan application. The Application Committee shall include a certification that it has reviewed the loan and considered each of the criteria in this rule, and shall include the basis for its recommendation;

6.2.b. If the Application Committee recommends denial of the loan, it shall forward the complete loan application and statement of its basis for the recommendation directly to the Board for a final determination;

W. Va. Code R. § 193-1-7 Board Action

7.1. A quorum of at least four active Board members is necessary for Board action. No Board member may participate in a vote on an application where that member has a direct or indirect pecuniary interest in the outcome of the vote. The Application Committee is responsible for insuring that the action of the Board is carried out.

7.2. No loan commitment is effective until the applicant and any co-applicants or guarantors have signed it and agreed to its terms.

7.3. The Board shall notify the applicant within three business days of its decision regarding the application and provide a statement of the basis of its findings by either:

7.3.a. Issuing a loan commitment, including terms and conditions of the loan; or

7.3.b. Issuing a letter of rejection, which shall include an explanation for the rejection and a notification of the right to appeal as provided in this rule.

W. Va. Code R. § 193-1-8 Default

8.1. A loan is in default when any payment is 30 days past due or upon the occurrence of any event of default as defined in the loan documents. When a loan is in default, the Board shall notify the borrower that the borrower has 30 days in which to cure the default. If the borrower fails to cure the default within 30 days, the Board shall take all appropriate action provided under law and the loan documents. In determining the appropriate action, the Board shall consider:

8.1.a. The impact of enforcement and collection on the borrower; and

8.1.b. The likelihood that the loan will be repaid if a waiver or extension is granted.

8.2. If the Board determines that the loan should be enforced and collected, it shall give final notice of the default or defaults and acceleration of the loan and an additional grace period of 30 days in which to pay the amount outstanding, and the Board shall give the borrower notification that if he or she fails to make payment in full, the Board will proceed to enforce its rights under the loan documents. In the event that a borrower defaults on a loan, the Board may repossess the assistive device financed. The Board may utilize or otherwise dispose of any repossessed assistive devices.

8.3. The Board may apply payments or other monies received on loans which are in default first to expenses of collection and preservation of collateral, second to accrued interest, and third to outstanding principal.

W. Va. Code R. § 193-1-9 Requests for Reconsideration

9.1. In the event that the application is rejected by the Board, the applicant may make a request for reconsideration of the application to the Board. An applicant shall direct requests to the chairperson of the Board, or his or her designee, stating why the decision should be modified or reversed. An applicant shall submit a request for reconsideration within 20 calendar days of the date of the rejection letter. A reconsideration shall be heard at a meeting of the Board. The Board shall base its reconsideration on the record before the Board on the date of rejection. The decision of the Board is final.

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