(a) The bank may provide loans and other financial assistance to a government unit to pay for all or part of the eligible cost of a qualified project. The term of the loan or other financial assistance must not exceed the useful life of the project. The bank may require the government unit to enter into a financing agreement in connection with its loan obligation or other financial assistance. The board shall determine the form and content of loan applications, financing agreements, and loan obligations including the term and rate or rates of interest on a financing agreement. The terms and conditions of a loan or other financial assistance from the federal highway account shall comply with applicable federal requirements.

(b) The board shall determine which projects are eligible projects and then select from among the eligible projects those qualified to receive from the bank a loan or other financial assistance. Preference shall be given to eligible projects that have the most local financial support. The board shall establish by rule or regulation a minimum amount of local financial support which will be required in order to qualify for loans or grants from the bank. Any such minimum requirement shall be established as a percentage of the total project costs and shall apply to all eligible projects. In selecting qualified projects, the board shall consider the projected feasibility of the project and the amount and degree of risk to be assumed by the bank. The board also may consider, but shall not be limited to, the following criteria in making its determination that an eligible project is a qualified project:

(1) The local support of the project, expressed by resolutions by the governing bodies in the areas in which the project will be located, and the financial or in-kind contributions to the project.

(2) Maximum economic benefit, enhancement of mobility, enhancement of public safety, acceleration of project completion, and enhancement of transportation services.

(3) The ability of the applicant to repay a loan according to the terms and conditions established pursuant to this chapter, consideration of which may include, at the option of the bank board, the existence of current investment grade rating on existing debt of the applicant secured by the same revenues to be pledged to secure repayment under the loan repayment agreement.

(4) The financial or in-kind contributions to the project.

(5) Greater weighting in recommending priorities for eligible projects to areas of the state experiencing high unemployment.

(6) Whether the governing bodies of the county or the incorporated municipality in which the project is to be located provides to the bank a resolution which makes a finding that the project is essential to economic development in the political subdivisions, or the bank receives a certificate from the Alabama Department of Commerce that the project is essential to economic development in the state, or both, at the option of the board.