[§211D-3]  Capital access program.  (a) 
The department shall establish a capital access program to assist a
participating financial institution in making loans to businesses and nonprofit
organizations that face barriers in accessing capital.



(b)  The department shall use money in the fund
to make a deposit in a participating financial institution's reserve account in
an amount specified by this chapter to be a source of money the institution may
receive as reimbursement for losses attributable to loans in the program.



(c)  The department shall determine the
eligibility of a financial institution to participate in the program and may
set a limit on the number of eligible financial institutions that may
participate in the program.



(d)  To participate in the program, an eligible
financial institution shall enter into a participation agreement with the
department that sets out the terms and conditions under which the department
will make contributions to the institution's reserve account and specifies the
criteria for a loan to qualify as a capital access loan.



(e)  To qualify as a capital access loan, a
loan shall:



(1)  Be made to a small or medium-sized business or to
a nonprofit organization;



(2)  Be used by the business or nonprofit organization
for any project, activity, or enterprise in Hawaii that fosters economic
development; and



(3)  Meet any other criteria provided by this chapter.
[L 2000, c 290, pt of §2]