Waivers for Projects Subject to the Provisions of the Retro-active Amortization Methodology

• The statute authorizes the Commissioner to grant waivers to school districts that are unable to refinance their debt due to State or Federal restrictions.

• For projects with debt outstanding as of July 1, 2002, a waiver may be granted if a school district can demonstrate extenuating circumstances.

• The extenuating circumstances that would qualify a debt issuance for a waiver are to be developed by the Department in conjunction with the Director of the Division of the Budget.

• Under the terms of the waiver, the Commissioner is authorized to adjust the term, the interest rate and the annual assumed payments of debt service.

• School districts contemplating a waiver should provide the Office of Facilities Planning with documentation of the extenuating circumstances by an appropriate engineer, architect or other professional, as appropriate.