(a) The term fiscal expense is reserved for those costs or expenses incurred by a local agency in connection with a temporary loan note issue.

(b) The term cost of borrowing is reserved for those costs incurred by the Comptroller in connection with a housing bond issue (see § 1643-2.7[f]). The usual fiscal expenses include the fees of outside bond counsel engaged, with prior division approval, to meet the requirements of the lending institutions and the cost, if any, of advertising for bids on the issue. Fees of outside bond counsel require prior division approval. Fiscal expenses in connection with temporary loan notes issued prior to the date of substantial completion are charged to development cost, account 1410.14, Fiscal Expense. Fiscal expenses in connection with temporary loan notes issued subsequent to the date of substantial completion are charged to account 1410.14, Fiscal Expense, if the new issue is for a larger amount than the maturing issue, and to operating expense, account 4130, Legal, Fiscal, and Other Fees; if the new issue is for the same or a lesser amount than the maturing issue. No allocation of fiscal expenses should be made to the related programs.