1. www.investmentmt.com

2. INTERCAP Authorized by statute in 1987 Nearly 511 different borrowers including:  Water, Sewer and Solid Waste Districts  Rural and Special Improvement Districts  CountiesCities/Towns  State AgenciesOther governmental entities In 2015, closed on 76 new loans and disbursed over $33.8 million Nearly $82.5 million currently outstanding www.investmentmt.com

3. INTERCAP Low-interest Loan Program www.investmentmt.com  Rates change every February 16  Average rate over the last 15 years: 2.85% Loan Term  Fifteen years OR  Useful life of project, whichever is less Variable Interest Rate ..

4. We finance  Preliminary engineering and grant writing work  Interim financing for construction  Water, wastewater and solid waste projects INTERCAP We also finance  New and used vehicles  New and used equipment  Energy retrofit projects  Real property purchases and improvements www.investmentmt.com

5. INTERCAP Financing Preliminary Engineering Reports Match for planning grants Need to demonstrate ability to pay Loan terms  3-year term  Interest only payments due Feb and Aug  Principal due at end of year three  At the end of year three, can amortize the loan for an additional three years. www.investmentmt.com

6. Financing Water, Wastewater, Solid Waste Projects Match for grants Need to demonstrate ability to pay Loan terms  Up to 15-year term  Payments due February and August  1.25 DCR  10% reserve requirement  If existing debt, bond counsel required INTERCAP www.investmentmt.com

7. INTERCAP Funds always available No deadlines No match – 100% financing No upfront fees No prepayment penalty www.investmentmt.com

8. INTERCAP Straightforward Application  Are you authorized to borrow?  Is the project eligible for INTERCAP financing?  Can you repay the loan? Review on first come-first served basis Typically takes 6 – 8 weeks to review  $1 million and under – staff approves  $1 – $5 million – Board Loan Committee approves  Over $5 million – Full Board approves www.investmentmt.com

9. INTERCAP Can you repay?  Conduct credit analysis  Use conservative, overall program average of 4.18%  Look at financials from last two years  Explain large changes in revenue or expenses One-time revenue – grant or transfer? One-time expenses – repair or capital project? Change in rates? Change in mill value or number or mills? Change in personnel www.investmentmt.com Are you authorized? Is the project eligible?

10. INTERCAP www.investmentmt.com www.investmentmt.com

11. INTERCAP www.investmentmt.com www.investmentmt.com

12. Montana Board of Investments Bond Program Office Louise WelshJulie Flynn Sr. Bond Program OfficerBond Program Officer LWelsh@mt.gov JFlynn2@mt.gov (406) 444-0891(406) 444-0257 Fax: (406) 449-6579 Web site: www.investmentmt.com LWelsh@mt.gov