Credit Enhancement for Charter School Facilities
Program Funding
Annual program obligations reported to SAM.gov.
Program Objective
To provide grants to eligible entities to leverage funds through credit enhancement initiatives in order to assist charter schools in using private-sector capital to acquire, construct, renovate, or lease academic facilities.
Eligibility
Eligible Applicants
- State governments
- Local governments
- Private nonprofits
A public entity, such as a State or local government entity, a private nonprofit entity, or a consortium of such entities may apply.
Beneficiaries
- 5
- 52
- 66
- 67
- 7
- 8
Public charter schools as defined in ESEA Section 4310.
How to Apply
Application Procedure
Applications must be prepared and submitted in accordance with a notice published in the Federal Register. By the due date, eligible applicants must submit to the Department of Education a complete application that addresses the purposes of the program, the selection criteria, any priorities included in the application notice, and all required assurances and signatures.
Award Procedure
The Department of Education awards these grants on a competitive basis. The program office notifies successful applicants of awards and negotiates and awards grants. Contact the program office for more information.
The range of approval/disapproval time is approximately 60 to 120 days following the application deadline.
Program details & compliance
Use of Funds
Allowed Uses
Grant recipients must deposit the funds received under this program (other than funds used for administrative costs) in a reserve account established and maintained by the entity for this purpose. Amounts deposited in such an account must be used by the entity to help charter schools access private-sector capital for acquiring, renovating, or constructing facilities. Reserve accounts must be used for one or more of the following purposes: (1) Guaranteeing, insuring, and reinsuring bonds, notes, evidences of debt, loans, and interests therein; (2) Guaranteeing and insuring leases of personal and real property; (3) Facilitating financing by identifying potential lending sources and encouraging private lending and other similar activities that directly promote lending to, or are conducted for the benefit of, charter schools; and (4) Facilitating the issuance of bonds by charter schools or by public entities for the benefit of charter schools, which may be accomplished by providing technical, administrative, and other appropriate assistance, including the recruitment of bond counsel, underwriters, and potential investors and the consolidation of multiple charter school projects within a single bond issue.
Reporting & Compliance
Applicable 2 CFR 200 Subparts
- Subpart F — Audit Requirements