Okla. Admin. Code § 785:50-9-35

Current through Vol. 42, No. 7, December 16, 2024

Section 785:50-9-35 - Loan closing and Disbursement of SRF funds

(a)Documentation to be submitted prior to loan closing. Prior to loan closing the applicant will submit to the Board, the following:

(1) Information requested by the Board regarding loan closing documents.

(2) All necessary and incidental instruments and documents executed for loan closing by applicant, Board and all other necessary parties, including but not limited to all mortgages, notes, financing statements and pledges of project security and revenues where appropriate.

(b)Documentation to be submitted prior to disbursement of funds. The applicant will submit to the Board, the following documents unless waived by Board Staff:

(1) Bidding documents, including all addenda, approved in accordance with 785:50-9-32.

(2) A tabulation of all bids received and an explanation for any rejected bids or otherwise disqualified bidders.

(3) Other or additional engineering data and information, if deemed necessary by the Board staff.

(4) A certification that all required acquisitions, leases, easements, rights- of-way, relocations, (both voluntary and involuntary) have been obtained for the project to be built.

(5) Evidence that the applicant has obtained all required permits and financing to build the project.

(6) Copies of all legal, financial, engineering and inspection contracts that will be paid in whole or in part from the loan proceeds.

(7) Recipient sends ORF-271 disbursement request based on costs incurred to the Board, who shall review the requests and approve them as appropriate.

(8) Executed contract and agreements to be entered into by the applicant for building of the projects containing the appropriately executed bonds, insurance certificates, act of assurance, and other documents required by this chapter.

(c)General conditions for all loans. Under the Clean Water Act and 82 O.S., §1085.54, the Board is authorized to make available financial assistance from the Clean Water State Revolving Fund Loan Account under the following conditions:

(A) The financial assistance application, project and planning documents have been approved by the Board pursuant to Section 1085.58 of Title 82 or the Oklahoma Conservation Commission pursuant to Section 1085.65 of Title 82 of the Oklahoma Statutes.

(B) The loan is made at or below market interest rates, including interest-free loans, at terms consistent with the Clean Water Act.

(C) Principal and interest payments will begin not later than one year after completion of any project, which completion date shall be determined by the Board, and all loans will be fully amortized consistent with the Clean Water Act.

(D) The applicant demonstrates to the satisfaction of the Board the financial capability to assure sufficient revenues to pay debt service.

(E) The recipient of the loan establishes a dedicated source of revenue for payment of debt service for the loan.

(F) The recipient agrees to maintain financial records in accordance with governmental accounting standards, to conduct an annual audit of the financial records relating to the wastewater project and to submit the audit report to the Board on a scheduled annual basis, and

(G) The project is identified in the Board's current Intended Use Plan.

(H) The recipient of funds directly made available by the federal capitalization grant (equivalency projects) agrees to comply with the DBE participation requirements as well as other requirements of the federal capitalization grant as applicable and in compliance with requirements of the Clean Water Act, the EPA and the State.

(2) Financial assistance shall not be made from the Clean Water State Revolving Loan Account until the conditions in (1) of this subsection are met.

(d)Evidence of indebtedness. The financial assistance loans contemplated within this subchapter shall be provided by the Board for approved projects pursuant to such notes, bonds, revenue bonds or other appropriate form of evidence of indebtedness from the applicant as the Board may require.

(e)Criteria for determining interest rates. The interest rates on loans to be made from the Clean Water State Revolving Fund Loan Account shall be at or below market rates for similar indebtedness by eligible entities.

Okla. Admin. Code § 785:50-9-35

Added at 10 Ok Reg 3333, eff 7-1-93; Amended at 11 Ok Reg 3007, eff 6-13-94; Amended at 15 Ok Reg 2881, eff 7-1-98; Amended at 17 Ok Reg 2772, eff 7-1-00; Amended at 20 Ok Reg 2622, eff 7-11-03; Amended at 23 Ok Reg 3086, eff 7-27-06; Amended at 27 Ok Reg 1321, eff 5-27-10

Amended by Oklahoma Register, Volume 31, Issue 24, September 2, 2014, eff. 9/12/2014

Amended by Oklahoma Register, Volume 32, Issue 24, September 1, 2015, eff. 9/11/2015

Amended by Oklahoma Register, Volume 33, Issue 24, September 1, 2016, eff. 9/11/2016

Amended by Oklahoma Register, Volume 35, Issue 24, September 4, 2018, eff. 9/14/2018