General services we undertake to create effective DFOs include:

• Market and regulatory climate assessment
• Operational design of bond mechanism
• Development of finance mechanism
• On-going operation

 

DEVELOPMENT FINANCE ORGANIZATIONS

SDS,  in collaboration with our partners, Economic Innovation International Inc. and First Infrastructure, help states and regions create development finance organizations (DFOs) to enhance their economic and community development efforts. Our team structures and develops DFOs that incorporate: “best practices” of existing authorities, environmental sustainability and the ability to utilize a broad “toolbox” of external economic and community development tools. Working closely with clients, we structure programs tailored to meet each region's unique development and goals.

 

What are Development Finance Organizations (DFOs)?
DFOs are powerful, multi-purpose development banks that bring global long-term debt capital (via taxable and tax-exempt bonds) to high impact development projects/initiatives. When properly designed and operated, these institutions are not simply a pass-through for capital, but can help:

  • Build/rebuild neighborhoods, cities and regions
  • Redevelop abandoned military bases
  • Reposition large industrial sites
  • Conduct environmental cleanup
  • Create world class research centers
  • Build industrial and technology parks
  • Develop in-fill, affordable and mixed-income housing and mixed-use facilities (    often in partnership with other public and private development capital funds)
  • Incorporate environmental sustainability

 

 

 

 

 

 

The following are general services we undertake as steps in creating effective DFOs

 

SERVICES:

 

Market and Regulatory Climate Assessment:

  • Evaluate current bond practices, statutes and need for development financing
  • Assess demand for bond financing based on types of projects
  • Assess potential bond management capacity
  • Determine DFO feasibility

 

Operational Design of Bond Mechanism:

  • Determine legal, financial and regulatory structure
  • Develop public relations strategy to gain support from diverse stakeholders

 

Development of Finance Mechanism

  • Design DFO structure
  • Develop organization and staffing plan
  • Amend any legal statutes required to launch DFO

 

On-Going Operation:

  • Review transactions and provide transactional and process advice
  • Assist leadership with organizational issues
  • Provide organizational status reports to senior management and/or the Board
  • Provide grant writing and fundraising assistance for high impact projects requiring additional capital