There are certain financial obligations to the applicant, however, these costs can and should be included in the amount of financing requested.
The Bond Counsel acts as legal counsel to the Economic Development Corporation (EDC) in connection with the issuance of the bonds. Bond Counsel works with the applicant to ensure that the bonds to be issued will be tax exempt. The Bond Counsel also works with the applicant and lender to fashion the final legal documents related to the bond issue to the satisfaction of all parties. Lending institutions will not enter into a Revenue Bond Purchase without the transaction being represented by a nationally recognized Bond Counsel.
The application fee is necessary to help offset administrative expenses. And, the fee serves to ensure that the business applicant is serious about following through on the project. The fee for application and review shall be one-tenth of 1% of the estimated principal amount of the EDC bond payable in the sum of $500 at the time of filing the application (not refundable) and the balance upon adoption of the Inducement Resolution by the Board of Directors.