830 R.I. Code R. 830-RICR-10-40-1.8

Current through December 3, 2024

Section 830-RICR-10-40-1.8 - Loan Approval Process

A. Loan approvals are subject to the following terms:

1. That the loan complies with all federal, state and Bank laws, rules and regulations;

2. That the loan and debt service requirements be approved by any applicable regulatory agency;

3. That a satisfactory loan agreement be signed by all parties to the transaction;

4. That the loan will be made subject to availability of funds.

B. The Bank will conduct a financial analysis for each loan application which may include, but not be limited to:

1. Sources of revenue and financial liquidity;

2. Historical and projected financial operating results;

3. Present and future debt service requirements;

4. Impact of dedicated user fees and/or general revenues;

5. Cost of the project and completion schedule;

6. Socioeconomic conditions and trends;

7. Management qualifications and experience;

8. Effects of legal structure and any regulator control; and

9. Any other information that the Bank may require.

C. If the Board approves the loan application, a commitment letter will be issued to the Borrower for their acceptance, outlining the terms and conditions of the loan.

D. The Bank shall review all loan applications, and may, in its discretion, establish an advisory group to assist in the review of loan applications.

830 R.I. Code R. 830-RICR-10-40-1.8

Adopted effective 7/11/2023