§ 5-1.2-10-23 — Leveraged loan program; authorization

Indiana § 5-1.2-10-23

• Jurisdiction: Indiana
• Title 5: STATE AND LOCAL ADMINISTRATION
• Art. 1.2: INDIANA FINANCE AUTHORITY
• Ch. 10: Wastewater and Drinking Water Revolving Loan

Text

(a) As an alternative to making loans or
providing other financial assistance to participants, the authority may
use the money in either fund to provide a leveraged loan program and
other financial assistance programs allowed by the federal Clean Water
Act or the federal Safe Drinking Water Act to or for the benefit of
participants, including using money in the wastewater SRF fund or
drinking water SRF fund to enhance the obligations of participants
issued for the purposes of this chapter by:
(1) granting money to:
(A) be deposited in:
(i) a capital fund or reserve fund established under IC 5-1.2-4
or another statute or a trust agreement or indenture as
contemplated by this chapter; or
(ii) an account established within a fund described in item (i);
or
(B) provide interest subsidies;
(2) paying bond insurance premiums, reserve insurance
premiums, or credit enhancement, liquidity support, remarketing,
or conversion fees, or other similar fees or costs for obligations of
a participant or for bonds issued by the authority, if credit market
access is improved or interest rates are reduced; or
(3) guaranteeing all or a part of obligations issued by participants
or bonds issued by the authority.
(b) A guarantee of obligations or bonds under subsection (a)(3)
must be limited to money in the wastewater SRF fund or drinking water
SRF fund and the supplemental fund. A guarantee under subsection
(a)(3) does not create a liability or indebtedness of the state.

Legislative History

As added by P.L.189-2018, SEC.25.