General Resolution Program

General Resolution Program 

Created in 1973 by the Maine State Legislature, the General Bond Resolution Program and the Maine Municipal Bond Bank have a fifty year history of providing Maine’s communities access to low-cost funds through the sale of its highly rated tax-exempt bonds. Capital financing through the General Bond Resolution Program allows borrowers to take advantage of the Bond Bank’s high investment grade rating, low-interest rates, and reduced issuance and post-issuance costs. 

Eligible Borrowers 

Towns, cities, counties, school systems, water & sewer districts, and other governmental entities. 

Eligible Projects 

Examples of eligible projects include but are not limited to: 

• School construction or renovation 
• Road improvements 
• Upgrades to sewerage treatment plants or water systems 
• Landfill closures 
• Purchase of public safety vehicles 
• Other municipal construction or renovation projects and capital acquisitions

Application Deadline 

Applications are accepted continuously during the year. 

Issue Schedule 

Typically two issues per year – spring and fall. 

Interest Rates 

Subject to current market conditions. 

Minimum/Maximum Loan Amount 

None 

Issuance Costs & Fees 

Underwriter’s discount (included in the interest rate) 

Local Bond Counsel Fee 

Insurance premium (included in the interest rate) – only included if the purchase of insurance presents a “net savings” All other costs are paid for by the Bond Bank. Term Between 5 and 30 years. In all cases, the maximum loan term may not exceed the useful life of the financed asset. 

Repayment Schedule 

No Prepayment permitted. Receipt of Funds Funds are wired to an account specified by the borrower by the end of the day of closing.