CVTA finance group outlines spring 2026 as earliest bond issuance; asks each locality for one priority project

During a meeting of the Central Virginia Transportation Authority technical advisory committee, staff and the finance directors' work group outlined a plan that would allow the authority to issue bonds as early as spring 2026 and asked each locality to submit one high-priority project for consideration.

The request matters because bond proceeds could be layered with CVTA regional funding decisions now moving through round 4; staff said market expectations and advice from bond counsel point to a 24-month spend window after issuance and a maximum regional leverage of about $300,000,000.

Chet (staff member) said the finance directors’ work group spent the meeting reintroducing new finance directors to the CBTA responsibilities and then, "with the advice of bond counsel, kind of what the sequencing should start to be as we move down the road towards project selection and putting together a package to put out to the market." He told committee members the earliest issuance would be spring 2026 and that bond counsel advises expecting a "24 month spend window from the date of issuance for a bond package." He added the region’s "maximum leverage ... at this point is around 300,000,000."

Chet asked each locality to submit one high-priority project and listed required high-level details: project name and description, a general vicinity map, phasing timeline and expected year of expenditure, and any other funding sources envisioned or already committed. "That'll put us on a good level to understand what the total impact is gonna be in terms of financial needs," he said.

Committee members asked how the bond schedule would interact with CVTA regional round 4. Darona (committee member) said she had similar concerns and asked whether the authority wanted localities to submit bond candidates before or after round 4 decisions. Chet replied that the bond decision would come after round 4 awards but that finance staff and elected officials should be aware when the same projects are seeking both regional pay-go funds and bond proceeds. "I want in full transparency ... finance directors are all aware of these are all the projects that are seeking priority funds in f y 25, f y 26," he said.

Joe (committee member) pressed on the meaning of the 24-month spend window: "If a project were awarded to a particular locality, does that mean that the amount of funds awarded must be spent within 24 months of award?" Chet said the market expects relatively quick use of proceeds and that the authority would