Section Adm 35.03 - Conditions of financial assistance(3)(a) The department may not enter into a financial assistance agreement unless the recipient demonstrates to the satisfaction of the department that the recipient has the financial capacity to assure sufficient dedicated sources of revenue to operate and maintain the system as long as an obligation is outstanding for the project and to pay the debt service, including funding and maintaining any debt service reserve, on its obligation.(b) The department shall require an opinion of counsel or bond counsel, acceptable to the department, to the effect that the obligation of the recipient is valid and enforceable.(c) The department may require the opinion of counsel or bond counsel under par. (b) to include a statement that interest on the obligation is excluded from gross income for federal income tax purposes.(4)(a) The department may not enter into a financial assistance agreement unless the recipient establishes one or more dedicated sources of revenue that the department deems sufficient for repayment of the obligation.(b) The dedicated source of revenue pledged to repayment of the obligation shall include one or more of the following: 1. For a general obligation, an irrevocable pledge of ad valorem taxes.2. For a revenue obligation, a pledge of net revenues available to the utility, including user fees, a pledge of special assessments, municipal payments, other income, or a combination thereof.3. For a metropolitan sewerage district organized under ss. 200.21 to 200.65, Stats., a general obligation pledge of ad valorem taxes.4. Any other dedicated source of revenue that the department deems satisfactory.Wis. Admin. Code Department of Administration § Adm 35.03
Cr. Register, September, 1991, No. 429, eff. 10-1-91; correction in (4) (b) 3. made under s. 13.93(2m) (b) 7, Stats., Register February 2002 No. 554.Amended by, CR 22-079: am. (title), r. (1), (2), am. (3) (a), (b), cr. (3) (c), am. (4) (a), (b) (intro.), cr. (4) (b) 4. Register July 2023 No. 811, eff. 8/1/2023