49-13-115 - Conditional approval. - Tennessee Statutes

49-13-115. Conditional approval.

If approval is a prerequisite for the sponsor to raise working capital, a chartering authority may grant conditional approval for a charter application. The chartering authority shall grant full approval subject to the sponsor providing information regarding financing commitments from equity investors or debt sources for cash or working capital sufficient to demonstrate that the charter school will have liquid assets sufficiently available to operate the school on an ongoing and sound financial basis. In lieu of cash or similar liquid assets, an applicant may provide a financial bond issued by a company authorized to issue surety bonds in this state. The office of the comptroller shall verify the adequacy of any financial bond provided as assets.

[Acts 2002, ch. 850, § 15.]