PUBLIC NOTICE


NOTICE IS HEREBY GIVEN THAT
the members of the Arizona Industrial Development Authority (Authority) have been invited to the Arizona is Home Press Conference.

Thursday, April 11, 2024
10:00 – 11:00 a.m.

1028 E Pierce St
Phoenix, Arizona 85006

While a quorum of the Authority may be in attendance at this event, the members of the Authority will not engage in any deliberations, decisions, or other legal action of the public body.

Arizona IDA

The Arizona IDA and the Bond Application process

The Arizona IDA was created pursuant to A.R.S. §35-701 – 733 (the “IDA statute”). 

    • The Arizona IDA itself has no taxing power and does not have the power to pledge the general credit or taxing powers of the State of Arizona.
    • The Arizona IDA does not pledge general credit for the repayment on any Arizona IDA conduit revenue bonds. Repayment on the Arizona IDA issued bonds comes solely from the collateral and pledged revenue of each bond issuance.
    • The Arizona IDA is a “conduit issuer” and is empowered to issue its bonds to provide funds for the financing or refinancing of the costs of the acquisition, construction, improvement, equipping or operating of a “project,” as defined in the IDA statute.
    • Except for certain housing bond issues, pursuant to the IDA statute, the Arizona IDA can issue its bonds for any eligible project within or without the State of Arizona. 

ARIZONA IDA CONDUIT BOND FINANCING FEE SCHEDULE (as of 06/20/2024)

Payment by an Applicant of any Fee to the Arizona IDA (AzIDA) will be deemed to be an agreement to, and acknowledgment of, a portion of such Fee being allocated to, and treated as direct revenue of, certain professionals unrelated to the Arizona IDA (AzIDA), which may include attorneys, accountants, and consultants.

“Application Fee.” The non-refundable fee for filing an Application is $3,000, which must be paid at the time the Application is filed.

“Annual Administrative Fee.” Unless otherwise agreed to in writing by the Arizona IDA’s Program Manager, the Arizona IDA’s (AzIDA) shall be paid an annual administrative fee in an amount equal to:

    • Non-Profit and Governmental Applicants: 7.75 basis points (.0775%) of the outstanding aggregate principal amount of Bonds as of each January 1, with a minimum of $3,000, without demand.
    • For Profit Applicants: 9.75 basis points (.0975%) of the outstanding aggregate principal amount of Bonds as of January 1, with a minimum of $3,000, without demand.
    • Applicants For Projects Entirely Outside State of Arizona: in addition to the Annual Administrative Fee described above, 2.00 basis points (.02%) of the outstanding aggregate principal amount of Bonds as of January 1, with a minimum of $1,000, without demand.

Any Annual Administrative Fee is to be collected in advance by the Trustee and then paid to the Arizona IDA (AzIDA) by the Trustee on each January 1 (and shall be considered late as of January 15). The initial Annual Administrative Fee (for the year in which the Bonds are issued) is payable on the closing date of the Bonds in a prorated amount. The Arizona IDA’s (AzIDA) wire instructions for payment of the Annual Administrative Fee will be provided to the Applicant prior to the closing date. In lieu of paying an Annual Administrative Fee and Closing Fee, the Applicant may propose a one-time combined Administrative Fee and Closing Fee, due at closing, in an amount acceptable to the Arizona IDA (AzIDA).

“Closing Fee.” On the date of issuance of the Bonds a fee of 2 basis points (.02%) of the aggregate principal amount of Bonds issued, with a minimum of $1,000, shall be paid to the Arizona IDA (AzIDA).

“Host TEFRA Hearing Fee.” The $10,000 fee paid to the Arizona IDA (AzIDA) when, in the Arizona IDA’s sole discretion, an Arizona IDA (AzIDA) representative conducts a public Tax Equity and Fiscal Responsibility Act (TEFRA) hearing pursuant to Section 147(f) of the Internal Revenue Code of 1986, as amended (the “Code”), related to tax-exempt debt obligations to be issued by an issuer other than the Arizona IDA (AzIDA). The payor will also be required to pay the fees and expenses of Arizona IDA’s (AzIDA) legal counsel in connection with same.

 

DOWNLOAD FEE SCHEDULE V06292024 (PDF) – CLICK HERE
  1. Applicant submits the completed online application.
  2. The application is reviewed by Arizona IDA.  When necessary additional information maybe be requested.
  3. The non-refundable application fee is due within 24 hours of the application submission.
  4. Applicant works with Bond Counsel and Underwriter (or Purchaser) to establish parameters for Bonds and structure terms.
  5. Application is considered for initial approval by the Arizona IDA Board of Directors at a regularly scheduled Board meeting, together with a preliminary (or inducement) resolution.
      • Representatives of the Applicant should attend any Arizona IDA Board Meetings at which the Application is to be considered.   A brief oral presentation of the proposed Project, related financing or questions may be required of the Board of Directors.
  6. If necessary,
      • request for volume cap allocation is submitted to the Arizona Finance Authority.
      • if required by Internal Revenue Code, A TEFRA Hearing is held.
      • an application is made to the Arizona Department of Housing for LIHTIC.
  7. Bond documents are prepared and forwarded to Arizona IDA counsel for review.  Submission must occur at a minimum of twelve (12) days prior to the scheduled Board Meeting in which the application is to be heard.  Final Bond resolution authorizing the issuance of bonds and stating terms are drawn up by Arizona IDA counsel and included on the agenda of the next regularly scheduled Board Meeting.
  8. Application is considered for final approval by the Arizona IDA Board of Directors at a regularly scheduled Board meeting.
      • Upon approval, the Board of Directors authorizes the issuance of the bonds by the Arizona Industrial Development Authority.
      • Representatives of the Applicant should attend any Arizona IDA Board Meetings at which the Application is to be considered.   A brief oral presentation of the proposed Project, related financing or questions may be required of the Board of Directors.
  9. Bonds are sold by the Underwriter (or purchased by the Purchaser).
  10. Transaction closes, bonds are issued, and all fees are paid.

CONTINUE BELOW TO START THE APPLICATION PROCESS.

Arizona IDA

The Application For Bond Financing

Please complete the application process below*. once submitted, a member of the arizona ida will contact you to discuss the bond financing application.

CLICK HERE TO DOWNLOAD A SAMPLE APPLICATION FOR BOND FINANCING (PDF).

*Due to the content of this application, it is best viewed and completed on a desktop or laptop computer.

en_USEN