3 AAC 101.130 - Guarantee fees

(a) For any financing under the SETS program and fund that is in the form of a guarantee, the applicant must pay the authority a guarantee fee in the amount the authority in its discretion determines to be appropriate. The authority will inform the applicant of the guarantee fee in the commitment letter issued for a guaranty.

(b) The authority may set the guarantee fee as a one-time fixed amount, a one-time percentage of the amount guaranteed, a recurring annual fixed amount, a recurring annual percentage of the amount guaranteed, or a combination of these kinds of amounts. In setting a guarantee fee, the authority will consider the following:

(1) the amount and duration of the guarantee and any other conditions of the guarantee;

(2) the nature and credit standing of the applicant;

(3) the nature and economic and financial viability of the qualified energy development;

(4) the security provided to the authority for the issuance of the guaranty;

(5) the risk to the authority in providing the guaranty;

(6) the financial benefit the applicant or the qualified energy development receives from the authority's guaranty; and

(7) any other commercially reasonable factors the authority determines to have a bearing on setting the guarantee fee.

Notes

3 AAC 101.130

Eff. 4/25/2013, Register 207

Even though 3 AAC 101.130 was adopted and effective 4/25/2013, it was not published until Register 207, October 2013.

Authority:AS 44.88.085

AS 44.88.670

AS 44.88.680