School District
• Judgment
• New and used vehicles
• New and used equipment
• Real property purchase & improvements
• Energy retrofit projects
• Interim financing and cash-flow loans
• Judgment
|
Repayment Option |
Borrowing Statutes |
Loan Term* |
Vote Required? |
Collateral |
|
General Fund |
10 year |
No |
N/A |
|
|
General Obligation** |
15 year |
No |
Full faith, credit & taxing power pledge |
*Eligible governments must adhere to State law when financing capital projects and cannot finance projects for a longer term than allowed. Board staff will consider the maximum loan term authorized in statute, as well as the repayment ability of the eligible borrower, when reviewing loan requests. In addition, loan terms cannot exceed the useful life of the project being financed.
**Bond Counsel required.
• New and used vehicles
Repayment Option |
Borrowing Statutes |
Loan Term* |
Vote Required? |
Collateral |
|
General Fund |
10 year |
No |
First lien on vehicle |
|
|
General Obligation** |
15 year |
Yes |
Full faith, credit & taxing power pledge |
*Eligible governments must adhere to State law when financing capital projects and cannot finance projects for a longer term than allowed. Board staff will consider the maximum loan term authorized in statute, as well as the repayment ability of the eligible borrower, when reviewing loan requests. In addition, loan terms cannot exceed the useful life of the project being financed.
**Bond Counsel required.
• New and used equipment
Repayment Option |
Borrowing Statutes |
Loan Term* |
Vote Required? |
Collateral |
|
General Fund |
10 year |
No |
Applicable equipment |
|
|
General Obligation** |
15 year |
Yes |
Full faith, credit & taxing power pledge |
*Eligible governments must adhere to State law when financing capital projects and cannot finance projects for a longer term than allowed. Board staff will consider the maximum loan term authorized in statute, as well as the repayment ability of the eligible borrower, when reviewing loan requests. In addition, loan terms cannot exceed the useful life of the project being financed.
**Bond Counsel required.
• Real property purchase and improvements
|
Repayment Option |
Borrowing Statutes |
Loan Term* |
Vote Required? |
Collateral |
|
General Fund |
10 year |
No |
Applicable equipment |
|
|
General Fund |
10 year |
Yes |
Applicable equipment |
|
|
Building Reserve Levy |
5 year |
Yes |
Levy Pledge |
|
|
General Obligation** |
15 year |
Yes |
Full faith, credit & taxing power pledge |
*Eligible governments must adhere to State law when financing capital projects and cannot finance projects for a longer term than allowed. Board staff will consider the maximum loan term authorized in statute, as well as the repayment ability of the eligible borrower, when reviewing loan requests. In addition, loan terms cannot exceed the useful life of the project being financed.
**Bond Counsel required.
• Energy retrofit projects
|
Repayment Option |
Borrowing Statutes |
Loan Term* |
Vote Required? |
Collateral |
|
General Fund |
10 year |
No |
Applicable equipment |
|
|
Energy Cost Savings** |
10 year |
No |
Applicable equipment |
|
|
General Obligation*** |
15 year |
Yes |
Full faith, credit & taxing power pledge |
*Eligible governments must adhere to State law when financing capital projects and cannot finance projects for a longer term than allowed. Board staff will consider the maximum loan term authorized in statute, as well as the repayment ability of the eligible borrower, when reviewing loan requests. In addition, loan terms cannot exceed the useful life of the project being financed.
**Certified report from a registered professional engineer licensed to practice in the State of Montana showing energy cost savings are sufficient to cover the debt service over a 10 year term.
***Bond Counsel required.
• Interim financing for construction or cash-flow loans
|
Repayment Option |
Borrowing Statutes |
Loan Term |
Bond Counsel Required? |
Collateral |
|
Revenue Anticipation |
Up to 1 year* |
No |
Tax/Revenue Pledge |
|
|
Bond Anticipation |
Up to 3 years |
Yes |
Written commitment** |
|
|
Grant Anticipation |
Up to 3 years |
No |
Written commitment** |
* Revenue anticipation notes (RAN) must be repaid within the fiscal year they are borrowed.
**7-7-109(2)(b) Before the notes are issued, the political subdivision must receive a written commitment for the purchase of the bonds or for the grant or loan in an amount that in the aggregate is not less than the principal amount of the notes and shall by resolution agree to fulfill any conditions of the commitment.