Sec. 5. (a) The authority shall adopt guidelines to establish criteria for the making of grants, loans, and other financial assistance from the water infrastructure assistance fund.

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Terms Used In Indiana Code 5-1.2-14-5

  • Interest rate: The amount paid by a borrower to a lender in exchange for the use of the lender's money for a certain period of time. Interest is paid on loans or on debt instruments, such as notes or bonds, either at regular intervals or as part of a lump sum payment when the issue matures. Source: OCC
     (b) The authority shall establish:

(1) the interest rate; or

(2) parameters for establishing the interest rate;

on each loan made from the water infrastructure assistance fund, including parameters for establishing the amount of interest subsidies.

     (c) The authority, in setting the interest rate or parameters for establishing the interest rate on each loan under subsection (b), may take into account the following:

(1) Credit risk.

(2) Environmental, water quality, and health protection.

(3) Affordability.

(4) Other fiscal factors the authority considers relevant, including the wastewater or drinking water program’s cost of funds and whether the financial assistance provided to a particular participant is taxable or tax exempt under federal law.

     (d) Based on the factors set forth in subsection (c)(1) through (c)(4), more than one (1) interest rate may be established and used:

(1) for loans or other financial assistance to different participants; or

(2) for different loans or other financial assistance to the same participant.

As added by P.L.189-2018, SEC.25. Amended by P.L.56-2019, SEC.4.

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