| (a) Capital contribution. The Authority shall also
consider the applicant's equity contribution in the project and whether
the applicant has secured additional financial assistance.
(b) Reasonable risk. There must be reasonable assurance,
in the judgment of the Authority, that the commitment provided can
and will be repaid according to its terms. In making this judgment
the Authority may consider the following:
(1) Evidence of the manner, means, and security of
payment by the applicant;
(2) Projected cash flow of the applicant;
(3) Firm commitments from other independent and responsible
financial sources for all other funds in excess of the Authority's
commitment;
(4) Collateral and other sources of guarantees or insurance
securing the Authority's commitment;
(5) Credit history and financial condition of the applicant;
(6) Historical financial information of applicant;
(7) The applicant's management; and
(8) Eligibility of lender, if applicable. The lender
originating an application for the program must have a continuing
ability to evaluate, perform and service the loan; and make the necessary
reports as identified in the rules of the program. The lender must
agree to exercise due diligence in the servicing, maintenance, review
and evaluation of performance without regard to the existence of participation
by the Authority or any other limitation of risk. The Authority reserves
the right to refuse to enter into an agreement with lenders which,
in the judgment of the Authority, do not have the ability to appropriately
make and service the loan.
(c) Credit Policy. The Credit Policy and Procedures
established by the Authority represents the minimum requirements for
a commitment made by the Authority.
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