(b) Managerial capability.

1. (1) Applicant's full, true, and correct legal name, office address, mailing address if different from office address, telephone number, and telecopy number, if available.

2. (2)

   1. (A) Authority of law under which applicant was created and established and the independent legal authority, including supporting documentary evidence as requested by the commission, under which application is made.
   2. (B)

(i) Applicant must identify and describe the nature of its legal identification as an eligible entity.

1. (ii) See 15 CAR § 25-702.
2. (3) Certified copy of the ordinance, resolution, or other specific authorizing instrument or action reflecting applicant's authority for making application to the commission.
3. (4) Name, address, telephone number, and telecopy number, if available, of project engineer.
4. (5) Name, address, telephone number, and telecopy number, if available, of project legal counsel and, if applicable, name, address, telephone number, and telecopy number, if available, of financial consultant or assessor.

5. (6) Anticipated project timetable, including anticipated dates for:

   1. (A) Completion of plans and specifications;
   2. (B) Arkansas Water Plan compliance review, if required;
   3. (C) Department of Health, Division of Environmental Quality, or other necessary approvals;
   4. (D) Expected award of bids; and
   5. (E) Project construction commencement and completion dates.
6. (7) Description of the nature and division of all applicants' equitable interests in the project if more than one (1) eligible entity will participate in the project.

7. (8)

   1. (A) A statement reflecting the relevant history or current status of applicant's efforts toward obtaining all necessary and incidental rights and privileges needed for project commencement, completion, and operation.

   2. (B) This requirement includes, but is not limited to:

      1. (i) All necessary legal rights, including water rights, licenses, easements, or permits, whether existing under federal, state, or local law or regulation;
      2. (ii) The relative status of secured or outstanding contracting arrangements; and
      3. (iii) The status of any incidental legal or governmental proceedings, including, but not limited to:

(b) (b) Any future authorizations or approvals required by electors, residents, members, and/or the governing body of the applicant.

1. (c) Technical capability.

2. (1) A brief but adequate description of the proposed project for which application is made, including but not limited to the following:

   1. (A) Project location; and
   2. (B) Nature of project.

3. (2)

   1. (A) Preliminary project plans and specifications as may be necessary to reflect general engineering feasibility of the project.
   2. (B) A finding of financial, technical, and managerial capacity to accomplish the project.

4. (3) Anticipated total project cost.

   1. (d) Financial capability.
5. (1) Total amount of funds requested for project loan from the commission, including a statement of the specific uses and purposes for which such funds are intended to be applied.

6. (2)

   1. (A) Comprehensive statement clearly demonstrating project need and the degree and extent of local support for the project.
   2. (B) Such statement must be in sufficient detail to support and justify the project and should describe all aspects of present local support and approval for the project.
   3. (C) Applicant may include letters or statements of support from any interested persons or agencies.

7. (3) Listing of all financing institutions, lenders, or other funding sources, if any, participating in financing the project or other projects related to the project, including, where applicable, the following information:

   1. (A) Statement by each such participating entity reflecting the relative interest, support, and commitment of the participating lender or other funding source in and to the project;
   2. (B) Statement reflecting total project cost allocation between lenders or other funding sources;
   3. (C) Statement and description of all project security or project revenues already pledged or to be pledged to other participating lenders or fund sources; and
   4. (D) Statement and description of other projects, if any, related to the project, and information satisfying the requirements of this section with respect to each such other related project, if any.

8. (4)

   1. (A) Nature and amount of security to be pledged to secure the applicant's repayment obligations to the commission for the loan requested.
   2. (B) If real or personal property, or any interest therein, other than or in addition to the project itself is to be pledged by applicant to secure the applicant's repayment obligations, applicant must submit a current statement of the nature and extent of all outstanding liabilities or indebtedness against such property, if any.
   3. (C) If applicant is not the owner of such real or personal property to be pledged, applicant must state and describe the nature and extent of applicant's legal or equitable interest in such property and provide a statement setting forth who or what entity owns such property, including details of all outstanding liabilities or indebtedness against such property.
9. (5) A firm estimate of annual (or other interval) revenues to be derived from the project or other sources of revenue available to be paid to the commission for project cost repayment, with supporting detail and assumptions expressed, and such additional financial information as may be necessary to evaluate general economic feasibility of the project, including the ability of the project to generate sufficient revenues to repay the commission the cost of providing loan for the project, together with such fees and charges as may be imposed by the commission.

10. (6) A statement of the:

    1. (A) Specific manner and means and projected timetable within which applicant proposes to finance the project, considering all sources of financing; and
    2. (B) Timetable to commence making repayments to the commission.

11. (7)

    1. (A) Information reflecting the availability to applicant of reserve or contingency funds that could and, if necessary, would be used to meet actual project costs that exceed applicant's original total estimated cost of the project.

    2. (B) Such information should include the:

       1. (i) Nature, source, amount, and liquidity of such reserve or contingency fund; and
       2. (ii) Applicant’s commitment and ability to utilize such funds when and if necessary for such purposes.

12. (8)

    1. (A) Certified copy of applicant's previous three (3) years of annual audited financial statements, if available, and a statement of applicant's financial condition, including a current statement of all outstanding indebtedness of applicant or related entities, including but not limited to all outstanding general obligation or revenue debt that might affect applicant's overall financial condition.
    2. (B) In connection with such statement of indebtedness, applicant must list the security given for all such indebtedness.
13. (9) All applicants should submit future capital improvement plans as they may relate to the proposed project or the applicant generally.