The Debt Management area coordinates university borrowing activities to help finance capital projects. The office analyzes and compares transactions to the current financial market, and makes recommendations to the structure of financing.
The Mission of the Debt Management area is to:
- Coordinate debt transactions with investment bankers, bond insurers, issuing agency (i.e. New York State Dormitory Authority), issuing agency’s bond counsel, and NYU’s external tax counsel.
- Analyze and compare the transaction to the current financial market, and make recommendations as to the:
- Structure of the financing — fixed or variable rate debt
- Period of principal amortization
- Review projects for lower interest rate tax exempt debt eligibility, and if not eligible, consider taxable debt alternatives.
- Prepare and submit continuing disclosure documents pertaining to University operations, as required by bond documents.
- Maintain summaries of the types of assets financed by bond proceeds to ensure compliance with the IRS "useful life vs. average bond life" regulations.
- Consider opportunities to refinance outstanding debt.