Nevada Administrative Code
Chapter 408 - Highways, Roads and Transportation Facilities
INSTALLATION AND RELOCATION OF FACILITIES AND ENCROACHMENTS
Section 408.Sec. 16 - NEW

Universal Citation: NV Admin Code 408.Sec. 16

Current through September 16, 2024

1. The Board of Directors will establish a methodology for determining the interest rate on a loan or other financial assistance provided by the Bank. The interest rate on a loan or other financial assistance provided by the Bank must be based on the interest rate benchmark established pursuant to subsection 2 and interest rate adjustments determined pursuant to subsection 3.

2. The rate-setting methodology must establish an interest rate benchmark based on the Municipal Market Data Index published by Refinitiv and other nationally recognized benchmarks.

3. The Board of Directors will determine interest rate adjustments based on the following factors, as applicable, depending on the source of revenue to repay a loan or other financial assistance provided by the Bank:

(a) The structure and organization of the applicant;

(b) The local fiscal capacity, as measured by the median household income, debt per user or household and applicable taxes, charges and fees as a percentage of the median household income;

(c) The security for repayment and repayment pledge, as measured by the credit rating and credit review of the applicant and lien position of the Bank's financing as senior, parity or subordinated;

(d) The term of the financing offered by the Bank;

(e) Other terms and conditions of the Bank's financing, including, without limitation, the frequency of repayment, repayment provisions and, as applicable, reserves and coverage;

(f) The review and analysis conducted by the staff of the Bank; and

(g) The interest rate setting methodology approved by the Board of Directors, including, without limitation, the interest rate benchmark determination.

4. Except for a financing agreement for a loan or other financial assistance through the Affordable Housing Revolving Account created by section 18 of this regulation, the Board of Directors will design any financing agreement such that repayment on any loan or other financial assistance will begin within 1 year after the origination of the loan. A qualified borrower may make interest payments from capitalized interest included in the amount of the loan or other financial assistance or from other sources identified by the qualified borrower in the financing agreement.

5. The financing agreement must establish the amortization structure for the loan or other financial assistance. The loan or other financial assistance must be amortized on a level repayment basis unless the Board of Directors determines that a different amortization structure is appropriate, including, without limitation, if the Board of Directors determines that a different amortization structure is necessary for a loan or other financial assistance made from the Affordable Housing Revolving Account created by section 18 to comply with any underwriting requirements of the Federal National Mortgage Association, the Federal Home Loan Mortgage Corporation or the Federal Housing Administration which are applicable to the qualified project.

6. A qualified borrower may make prepayments on a loan or other financial assistance from the Bank with the prior written consent of the Bank and subject to such prepayment premiums and other restrictions as provided in the financing agreement.

Added to NAC by Dep't of Transportation by R017-22A, eff. 4/19/2022

NRS 408.55071 and 408.55074, as amended by section 17 of Senate Bill No. 430, chapter 553, Statutes of Nevada 2021, at page 3814

Disclaimer: These regulations may not be the most recent version. Nevada may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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