(a) The board may use the funds for financial assistance
to political subdivisions as follows:
(1) to make loans at or below market interest rates,
but not lower than 50 percent of the board's market rate;
(2) to make loans with terms not to exceed the lesser
of:
(A) the expected useful life of the project assets;
or
(B) 30 years;
(3) to defer loan repayments, including deferral of
principal and interest or accrued interest under criteria developed
by the board;
(4) to make loans with incremental repurchase terms
for an acquired facility, including terms for no initial repurchase
payment followed by progressively increasing incremental levels of
interest payment, repurchase of principal and interest, and ultimate
repurchase of the entire state interest in the facility using simple
interest calculations; or
(5) a combination of the financing outlined in paragraphs
(1) - (4) of this subsection.
(b) The board may make funding available under subsection
(a) of this section only for implementation of water plan projects.
|