Section 100.291

Title VII CITIES, TOWNS AND VILLAGES

Chapter 100

Effective - 28 Aug 1985   

  100.291.  Guarantees issued by board, when — application, fee — information required. — 1.  The board may issue guarantees using moneys in the guarantee fund for bonds or notes issued by the board or by development agencies when the board makes the following findings:

  (1)  That the owners and lessees, if any, of the projects to be financed are found to be financially responsible, and that sufficient income may reasonably be expected to be derived from the projects to amortize the interest and principal amount of the bonds or notes;

  (2)  That the projects will benefit the economy of this state.

  2.  The board shall evaluate the financial condition and business history of project owners and lessees, and may require the attachment to each application for guarantee under sections 100.250 to 100.297 a financial report and evaluation by an independent certified public accounting firm, in addition to such examination and evaluation as the board may make, in determining whether the owner or lessee meets prescribed minimum standards and qualifications before entering into any guarantee under sections 100.250 to 100.297.

  3.  Every development agency requesting a bond or note guarantee under sections 100.250 to 100.297 shall submit to the board supporting documents, instruments, and other evidence showing the circumstances surrounding the issuance of the bonds or notes, and an initial guarantee fee and a premium payment as required by the board, to the guarantee fund.  Such fees and payments may be collected by the development agency from the owners or lessees of the projects involved.

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(L. 1985 H.B. 416)