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The Vermont Statutes Online



Title

10

:
Conservation and Development






Chapter

012

:
VERMONT ECONOMIC DEVELOPMENT AUTHORITY






Subchapter

011
:
STATE INFRASTRUCTURE BANK PROGRAM










 

§

280u. Guarantees; other credit enhancement

(a) The board

may provide guarantees secured solely by, or purchase of insurance or other

enhancements through, amounts on deposit in the program, to qualified borrowers

in accordance with the provisions of this section.

(b) All of the

assets and obligations directly covered by guarantees or other forms of credit

enhancement shall be assets or obligations of governmental units or private

entities which are, without guarantee or enhancement, listed by a nationally

recognized statistical rating organization at a rating not below the third

highest rating of such organization.

(c) The assets

and obligations which may be directly covered by guarantees issued by the board

are:

(1) bonds,

debentures, notes, evidence of debt, loans and interest therein, of qualified

borrowers, the proceeds of which are to be used for a qualified project; and

(2) leases of

personal, real, or mixed property to be used for a qualified project.

(d) The program

may charge and collect premiums or other fees for the guarantees or other

credit enhancement provided pursuant to this subchapter, including fees for

services performed in connection with the approval and processing of the

guarantees or the credit enhancement provided pursuant to this subchapter.

(Added 1997, No. 43, § 1.)