Application & Review Process
Getting Started: The first step is to read the Financing Guidelines. If the facility to be financed is out of state, see section H in the Financing Guidelines. When filling out the Application*, the borrower must provide general information about the organization, its management, legal status, audit firm, and financial information. The borrower must also provide a description of the project, project costs, future financing plans, and any current bond rating on existing debt. A $4,000 application fee is due when the application is filed. This fee will be credited toward the Initial Fee, the remainder of which is due at closing.
Financial Review: CECFA's financial adviser reviews the credit
worthiness of the institution and the feasibility of financing, and will
determine if the proposed financing meets the board approved financing
guidelines. The proposed financing is then subject to the approval of
the Board of Directors.
Initial Board Review: CECFA staff prepares a Project Summary that includes general information about the borrower and informs CECFA's Board of Directors of the nature of the proposed financing. The summary is distributed to the Board prior to the Board meeting at which an Inducement Resolution relating to the financing is presented. The Inducement Resolution declares the preliminary intent of the CECFA Board to issue bonds to finance the project, subject to finalization of all legal documents. With the adoption of the Inducement Resolution, a Preliminary Agreement is entered into between CECFA and the borrower. The Preliminary Agreement describes the responsibilities and initial and annual fees of CECFA.
Final Review & Approval: The project and proposed financing structure is reviewed by a working group comprised of staff, bond counsel, general counsel, financial adviser, borrower's staff and counsel, underwriter and counsel, credit enhancer (if any) and trustee. Once the financing structure and legal documents have been finalized, the Bond Resolution is prepared and submitted to the CECFA Board.
Financing Process: The Bond Resolution authorizes the execution of a loan agreement, any mortgage, trust indenture, purchase contract and, if applicable, assignment of a mortgage and mortgage note to the bond trustee. It also authorizes the execution and delivery by CECFA of any other financing documents necessary in connection with the transaction.
- Application Deadlines
- Financing Guidelines NEW
- Schedule of Fees
- Preliminary Agreement (pdf)
- Application*
*Type in your information and then save the document to your computer. You may then print it out and send it in to CECFA.
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