Fund B - Infrastructure
These rates are effective July 1, 2018, and are subject to change.
First repayment due within one year of project completion. Thirty-year loans may be available for disadvantaged communities.
|Loan Type||MHI Threshold||Interest Rate
|Construction||> or = $44,811||3.00%
|Construction||$35,850 - $44,810||2.00%
|Construction||< or = $35,849||0.50%
|Planning and Design||NA||3.00%
Loan Service Fee:
A fee of 0.20% of the unpaid loan balance paid annually.
Loan Payment Frequency:
Semi-annually each June 1 and December 1.
5% of the gross KIA loan amount funded over 20 years and maintained by the borrower for the life of the loan.
Eligible projects are those permitted by KRS224A.011(16). The applicant must be a governmental agency and the project must be financially feasible as determined by KIA staff.
Priority of Loan Awards:
First-come, first-served, as long as funds are available.
Loan Application Process:
1. Prospective borrower submits Letter of Intent to KIA (form located under Financial Assistance Forms)
2. KIA determines funding availability and project eligibility
3. KIA distributes either a loan invitation or declination letter
4. Borrower submits loan application to KIA.
5. KIA performs credit analysis and presents before KIA board for approval.