CEFA Bond Financing Program
Description
Eligibility General Requirements -Be regionally accredited by the Western Association of Schools and Colleges; -Be a private, non-profit, post-secondary degree granting educational institution that does not factor race or ethnicity into their admissions process, and is located in California or that has educational facilities in California that are regionally accredited; -Offer a broad curriculum in secular subjects, and the information and coursework used to teach secular subjects must be neutral with respect to religion; -Have been operating for a minimum of three years prior to submitting an application for financing and provide three years of audited financial statements; -Have revenue or collateral sufficient to cover debt service on the proposed financing. Use of Funds Funds may be used for: -Construction -Remodeling and renovation -Land acquisition -Purchase of or lease of equipment -Refinancing or refunding of prior debt -Costs of bond issuances and reimbursement of prior expenses Loan Terms -Market determined fixed or variable rate interest rate, depending on maturity -No loan maximum -Maximum loan maturity typically 40 years -Loan security provisions and bond covenants that correspond with bond rating Fees -$1,000 non-refundable application fee -Initial fee of 0.15% of the par amount up to $10 million, plus 0.05% of the par amount in excess of $10 million (up to a maximum fee of $75,000) -Annual administrative fee of 0.015% of the par amount outstanding (up to a maximum of $12,000) Required Documentation -Three most recent fiscal years of audited financial statements
Eligibility
Nonprofit Be accredited by the Western Association of Schools and Colleges (WASC); be a private, non-profit, post-secondary degree-granting institution located in or with accredited facilities in California; offer a broad range of secular subjects; have been operating and can provide audited financial for three years; and have sufficient revenue or collateral to cover debt service. None.