D.C. Mun. Regs. tit. 5, r. 5-C2506

Current through Register Vol. 71, No. 49, December 6, 2024

Rule 5-C2506 - QUALIFIED CREDIT ENHANCEMENT

2506.1

Qualified credit enhancements available to eligible recipients to enhance the availability of loans or other financing for charter school facilities may include, but are not limited to, the following:

(a) Guaranteeing, insuring or providing security (including by pledging collateral or taking title to real property) for loans;

(b) Providing down payment assistance, subsidizing installment payments or otherwise directly facilitating loans;

(c) Facilitating a secondary market for loans; and

(d) Helping to identify potential lending sources, encouraging private lending and other similar activities to promote lending to charter schools.

2506.2

Qualified credit enhancements available to eligible recipients to enhance the availability of bond financing for charter school facilities may include, but are not limited to, the following:

(a) Providing technical and other administrative assistance; and

(b) Providing financial or other assistance necessary to improve the rating or proposed repayment terms of a bond issue, to induce the participation of underwriters, or to otherwise enhance the commercial feasibility of a proposed transaction (including by providing for all or a portion of installment payments on the bond in the event of borrower default or, in the case of a bond issue with a floating rate, a marked increase in the applicable rate, the pledging of reserves or other collateral, or by taking property or other interests).

2506.3

Costs associated with making an application under the Program shall not be reimbursed with proceeds from the Fund unless determined by the Commissioner to be in the best interest of the District.

D.C. Mun. Regs. tit. 5, r. 5-C2506

Emergency Rulemaking published at 48 DCR 2951 (March 30, 2001) [EXPIRED]; as amended by Emergency Rulemaking published at 48 DCR 2951 (May 4, 2001) [EXPIRED]; as amended by Emergency Rulemaking published at 48 DCR 3899 (August 17, 2001) [EXPIRED]; as amended by Final Rulemaking published at 48 DCR 9630 (October 19, 2001)