PORTFOLIO MANAGEMENT

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Once LPO closes a loan or loan guarantee, projects are monitored and evaluated throughout project development, construction, commissioning, and operation until the loan has been repaid in full. LPO’s team of financial, technical, environmental, and legal professionals is dedicated to advancing an all-of-the-above energy strategy that avoids, reduces, or sequesters greenhouse gases.

PORTFOLIO MANAGEMENT DIVISION (PMD)

After financial close or first funding, responsibility for managing a project transfers from the LPO Origination Division to the Portfolio Management Division (PMD). PMD provides ongoing monitoring and oversight to ensure that the construction and completion phase of a project is executed in accordance with the terms and conditions of the loan documents.

PMD is also responsible for maintaining compliance with the loan documents terms and conditions after project completion. Some of PMD’s responsibilities include, but are not limited to, monitoring borrower activities to ensure compliance with the loan documents; monitoring and analyzing project costs, schedule, and performance quality; and review borrowers requests for amendments, consents or waivers to the loan documents.

TECHNICAL & PROJECT MANAGEMENT DIVISION (TPMD)

Technical monitoring activities performed by LPO’s Technical and Project Management Division (TPMD) during construction and after project completion are focused on monitoring that the project is completed on budget, on schedule, and at a performance level that produces revenue sufficient to repay the loan.

An assigned project engineer provides technical monitoring support for specific projects. The federal  project engineer retains the services of an independent engineer (IE) to perform detailed project monitoring activities, including validation of project status, evaluation of project risk, review and certification of milestone completion, evaluation of payment requests, and evaluation of change requests. The federal  project engineer serves in a technical oversight capacity, directing and reviewing the activities of the IE, summarizing and interpreting borrower and IE technical input for submission to PMD, and recommending responses to borrower requests.