Lending To Local Government Units

Most banks don't specialize in lending to municipalities and other governmental units. When the opportunity presents itself, those banks struggle to perform proper credit analysis to determine creditworthiness. Learn the major credit factors to examine to predict the repayment capability of a municipality or other governmental unit.

Some credit opportunities in this area can lead to lucrative fee-based business, such as cash management and investment management. Also, financial institutions with a relationship with local municipalities can create significant goodwill in the community, which can translate into more business.

Learn the major differences between credit analysis on local governments and commercial real estate / commercial & industrial type borrowers. Learn appropriate information to request and how to use financial data and other information to effectively underwrite this type of borrower. Also, learn how to identify opportunities to market the proper type of credit facilities to local governments.

Covered Topics:

  • Different types of local government structures in the U.S. in order to determine potential credit-worthy government structures
  • How to complete a review and financial analysis of a municipality's financial statement
  • Common credit requirements of municipalities
  • The best credit structure based upon credit needs of municipalities
  • Locating and using publicly available information to assist in analysis of municipal borrowers

Who Should Attend?

Lending and credit personnel such as Senior Loan Officers, Senior Credit Officers, Commercial Loan Officers, Branch Managers, Credit Analysts, Loan Review Officers, Internal Auditors, and Consumer Lenders.

"The presentation was illuminating. It stimulated thoughts about how to respond to municipality inquiries, and offered a few tools for the tool bag." -David W., Northrim Bank

"Very 'to the point!!" -Kenda H., Bank of the Cascades