Section 15-120-6 - Grant eligibility requirements(a) To be eligible for a grant, the applicant shall be either: (1) A for-profit subsidiary of a nonprofit community-based organization incorporated under the laws of the State;(2) A nonprofit community-based organization determined to be exempt from federal income taxation by the Internal Revenue Service;(3) A cooperative association; or(4) An organization providing technical assistance to community based organizations.(b) In the case of a nonprofit organization, such organization shall have a governing board whose members have no material conflict of interest and serve without compensation, have bylaws or policies which describe the manner in which business is conducted and policies relating to nepotism and management of potential conflict of interest situations, and shall not employ or contract with two or more members of a family or kin of the first or second degree unless specifically permitted by the department.(c) The applicant shall establish, to the satisfaction of the department, that sufficient funds are available for the effective operation of the community-based economic development activity or community-based enterprise, or provision of technical assistance for the purpose for which the grant is awarded.[Eff MAY 15 2020] (Auth: HRS § 210D-8) (Imp: HRS § 210D-11)