The applicant shall submit a statement of the total project costs including the engineer's most current estimate of construction costs itemized as to major facilities, land and right-of-way costs, and engineering fees, as well as estimates of all legal fees, fees of financial advisors and/or consultants, contingencies, and interest during construction.

1. (1) The following information is to be furnished when the applicant proposes to enter into a contractual loan agreement or to sell bonds to finance the project, whether the purchasers are to be the board or others than the board:

   1. (A) a citation of statutory authority for issuance;
   2. (B) type of bonds (i.e., general obligation, revenue, or combination). If revenues are to be pledged, state the source and nature of such revenue;
   3. (C) amount of the issue;
   4. (D) full name of issue(s);
   5. (E) approximate date of issue(s);
   6. (F) proposed maturities; and
   7. (G) details of option for prior payments.
2. (2) The applicant shall submit the amount and source of any funds to be expended on the project.

3. (3) If the applicant is authorized by law to levy and collect ad valorem taxes, give the following information.

   1. (A) If such right and power have been exercised, give the following information for each of the five preceding years:

      1. (i) the assessed valuation of taxable property;
      2. (ii) the ratio of assessed valuation to actual market value in a specified year;
      3. (iii) the maximum tax rate permitted by law per $100 of assessed valuation;
      4. (iv) the aggregate rate of all taxes levied and aggregate amount in dollars of taxes collected;
      5. (v) the total amount in dollars of taxes collected; and
      6. (vi) the distribution of tax rate as between interest and sinking fund and other purposes.

   2. (B) If the applicant is newly created, or if it has never exercised its taxing power, give the following information:

      1. (i) the assessed valuation of taxable property if valuations have been established, and if not, the estimated total amount of the assessed valuation taxable property. Indicate whether the figure represents actual valuation or an estimate; and
      2. (ii) the maximum tax rate permitted by law per $100 of assessed valuation.
4. (4) The applicant shall give details of any limitation governing amount of bonded or general obligation debt which the applicant may incur.

5. (5) If the applicant has bonds outstanding which are payable wholly or in part from ad valorem taxes, the following information shall be submitted:

   1. (A) a complete description of each such issue of bonds, including title, date, interest rate, maturities, amount outstanding, and prepayment options;
   2. (B) a consolidated schedule of future requirements of principal and interest extended so as to reflect total annual requirements; and
   3. (C) a direct and overlapping debt statement.

6. (6) If the financing of the project will involve entering into a contractual loan agreement or sale of bonds or other securities payable wholly or in part from ad valorem taxes, the following information shall be submitted:

   1. (A) a schedule of proposed future maturities of principal and interest of proposed bonds plus total maturities of any outstanding bonds from subparagraph (5)(B) of this section; and
   2. (B) the rate of interest assumed in computing future interest maturities on proposed bonds.

7. (7) If the project for which the SRF loan is desired is for the purpose of extending, enlarging, or improving an existing system or facility, the following shall be submitted for each of the five preceding years to the extent available:

   1. (A) a comparative operating statement;
   2. (B) a schedule of water and sewer rates or service charges; and
   3. (C) the number of customers or patrons of the system.
8. (8) The applicant shall provide a schedule of proposed rates required for financing the project under consideration.

9. (9) If the applicant has bonds outstanding which are payable either wholly or in part from net revenues of a system or facility in connection with which the current project is planned, the following information shall be submitted:

   1. (A) a complete description of each such issues of bonds, including title, date, interest rate, maturities, amount outstanding, and prepayment options; and
   2. (B) a consolidated schedule of future requirements of principal and interest extended so as to reflect total annual requirements.

10. (10) If the financing of the project will require entering into a loan agreement or require the sale of bonds or other securities payable either wholly or in part from net revenues of one or more facilities or systems, the following information shall be submitted:

    1. (A) a schedule of proposed future bonds plus total maturities of any outstanding bonds referred to in paragraph (9)(B) of this section; and
    2. (B) the rate of interest assumed in computing future interest requirements on proposed bonds.
11. (11) The applicant shall provide a statement as to whether or not there has been a default in the payment of items of matured principal or interest and if so, give details.
12. (12) The applicant shall provide an annual audit of financial report prepared by an independent auditor as of the close of the preceding fiscal year, however, no audit is required if the applicant has no operation history.
13. (13) Where the project envisions either contractual loan agreement or the sale of revenue bonds, a schedule of the project engineer's estimate of future income and expense, showing the estimated amount of net revenue to accrue in each year during the life of any bonds to be issued.

Source Note:The provisions of this §375.33 adopted to be effective February 25, 1988, 13 TexReg 791; amended to be effective April 21, 1989, 14 TexReg 1749.