Policy for Monitoring Credit Quality of Borrowers

Purpose

The Board of Directors (the "Board") of the New Hampshire Municipal Bond Bank (the "Bank") has adopted this policy for monitoring the credit quality of governmental units to remain current on the financial condition of the major governmental units in the New Hampshire Municipal Bond Bank’s portfolio, to advise the Bond Bank Board of the credit quality of the major governmental units and monitor the status of IRS compliance by governmental units.

Goal

To maintain the portfolio’s credit strength and insure timely debt service payments.

Objectives

 

  • Maintain a summary of the credit quality of the portfolio
  • Provide summary of credit quality of governmental units to the Board annually
  • Maintain tax-exempt status of bond issues
  • Maintain monitoring procedures
  • Identify any potential credit issues and provide guidance

 

 

 

 

 

 

 

Adopted: 6/11/15