SBA Loan Closings (Session 10): Environmental Requirements for SBA 504 Loan Closings

• 1 When to use an environmental questionnaire, record search with risk assessment, transaction screen, Phase I, or Phase II
• 2 What the mandatory reliance letter must include and the E&O insurance proof requirements, including $1,000,000 prior-acts coverage
• 3 How to coordinate CDC and third-party lender environmental orders to avoid duplicate or unnecessary investigations
• 4 When SBA permits disbursement despite contamination and mitigation options like indemnification or escrow

Based on transcript analysis