Liens, Covenants & Leases

The documents shown below, or equivalent documents need to be completed by the Recipient, if applicable, and submitted to the EDA Project Engineer prior to initial disbursement. These items require legal review and approval by the EDA Legal Counsel and should be submitted as soon as possible after the grant has been approved.
Please consult with the EDA Project Engineer to submit draft documents.
The link for Liens, Covenants and Lease(s) specific to Lands held in Trust for the benefit of an Indian Tribe is found on this page.
- First Priority Lien
  - Agreement & Mortgage document granting EDA the first lien on the building/facility. The document is to be completed by Recipient’s attorney and recorded in the appropriate jurisdiction.
    - Agreement and Mortgage (PDF)
    - Form First Priority Lien Checklist (PDF)
- Covenant of Purpose, Use and Ownership
  - Covenant stating the Recipient will use the EDA funded project for its originally-intended purpose. The document is to be completed by the Recipient’s attorney and recorded in the appropriate jurisdiction.
  - A separate, signed statement from Recipient’s attorney confirming that state law prohibits the EDA from having a first priority lien is also required.
    - Covenant Form (PDF)
    - Covenant Checklist (PDF)
- Lease(s)
  - Any lease(s) involved with the EDA project needs to be submitted for approval by EDA Regional Counsel and must adequately protect the Federal interest.
    - Lease (Recipient’s format)
    - Tenant Lease Checklist (PDF)
- Liens, Covenants and Lease(s) for Lands held in Trust for the benefit of an Indian Tribe