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Last modified
8/16/2009 2:54:35 PM
Creation date
10/4/2006 6:44:54 AM
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Board Meetings
Board Meeting Date
5/23/2005
Description
CF Section - Policy Review Policy #11 - Allowable Loan Amounts as a Percent of the Total Project Cost
Board Meetings - Doc Type
Memo
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<br />., <br /> <br />- 2- <br /> <br />attractive marketing position when discussing our loan program with potential borrowers who have . <br />more than one available project financing alternative. <br /> <br />With regard to the NRCS partially funding projects that the CWCB is also financing, the <br />policy revision allows the Board to make loans up to 100% of the project cost that will be reduced <br />(typically by 50% to 75%) once the NRCS disburses their grant funds to the borrower at the <br />completion of the project. Borrowers typically plan these projects to be funded completely by the <br />NRCS and the CWCB with !1Q.local matching funds. The policy revision allows staffto pay 100% <br />of the project costs and then have the borrower "buy down" the loan in the amount of the NRCS <br />grant upon project completion. This allows the borrower to complete the project as planned with no <br />local expenditures throughout project construction. <br /> <br />Recommendation <br /> <br />Staff recommends the Board approve a revision to Financial Policy #11 as shown in the <br />attached policy statement, changing the loan amount the Board may lend to 90% for all borrower <br />categories and allowing a loan authorization of 100% of a project's cost for borrowers with Natural <br />Resources Conservation Service matching grant funds. <br /> <br />. <br /> <br />. <br /> <br />Flood Protection. Water Project Planning and Financing. Stream and Lake Protection <br />Water Supply Protection. Conservation Planning <br />
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