Administrative Fees

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Administrative Fees

DEP and I-Bank charge administrative fees for Long-Term loans only. These include the following:

  • DEP Loan Origination Fee The DEP, through the I-Bank, charges borrowers 2% of the entire project amount (combined I-Bank and DEP loan) for a Loan Origination Fee, which is rolled into the long-term loan.
  1. Borrowers pay 1% (half) of the fee at the time of the closing of financing (either short-term or permanent). This amount is lent to the Borrower by the I-Bank and rolled into the long-term loan total amount. The remaining 1% is paid in-full as part of the first repayment of the long-term loan.
  2. This fee may be waived for those projects wherein the Water Bank may utilize independent engineering consultants for the review process. In those cases, a memorandum of agreement will be entered with the project sponsor to pay the outside engineering fees in lieu of all or part of the Department's Loan Origination Fee.
  • I-Bank Bond Origination Fee: The I-Bank charges borrowers a one-time fee of 0.1% of the principal loan amount to partially cover the costs associated with that particular series' bond issuance expenses. This charge only covers a small part of the cost of the Bond issuance. The I-Bank subsidizes participants by paying the remaining full costs of issuance.
  • I-Bank Loan Administration Fee: The I-Bank also charges borrowers an annual administrative fee of 0.3% of the bond principal loan amount to cover the annual operating expenses associated with the operations of the I-Bank and the ongoing costs associated with the loan servicer and trustees. The annual administrative fee is not included in the principal amount of an applicant's loan.
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Administrative Fees
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NEW JERSEY INFRASTRUCTURE BANK APPLICANT'S GUIDE