IBank outlines infrastructure loan programs, $1M minimum and 30-year terms available

Betty Bien and Steven Wright of the California Infrastructure and Economic Development Bank (IBank) described financing options for infrastructure projects and explained eligibility, underwriting and common use cases.

"I Bank was created in 1994 to provide low cost financing option to eligible borrowers for a wide range of infrastructure projects," Bien said. She described core programs and said IBank is housed in the Governor's Office of Business and Economic Development.

Steven Wright said underwriting emphasizes cash flow, project use and repayment sources and noted that IBank loans are typically tax-exempt and may be structured to separate taxable components. "Our minimum loan amount is $1,000,000, and we can go all the way up to $65,000,000. We also can go up to 30 years as long as the useful life of the project does so as well," Wright said.

What they covered: IBank can finance project costs associated with construction, acquisition, improvement and restoration, but not direct housing construction; it can finance infrastructure around housing such as sewers and streets. Eligible applicants include subdivisions of the state and local governments, including cities, counties and special districts. IBank accepts applications year-round on a first-come, first-served basis and offers technical assistance during the process.

Examples and contacts: Presenters cited past projects including landfill processing at City of San Diego, a 20-acre recharge facility for Alta Irrigation District, and a two-story fire station for Tiburon Fire District. The bank's infrastructureloans@ibank.ca.gov address was provided for follow-up.