The Finance, Audit and Administration Committee on Nov. 6 approved NTTA staff’s 2025 bond defeasance plan to use unrestricted cash to retire selected outstanding bonds and reduce long‑term debt service.

Ms. McGuire presented the plan, telling the committee staff proposes to defease $100,000,000 on Dec. 1 using cash from the construction/CIF funds. Staff estimated the transaction would reduce future debt service by approximately $143,000,000 and produce present‑value savings of about $9,500,000. The plan targets portions of the 2017 A and B series maturing between Jan. 1, 2027 and 2048; staff and its financial advisers selected candidates that maximize savings and that are callable or otherwise appropriate for cash defeasance.

The nut graf: Staff said any defeasance requires Board approval and compliance with NTTA’s trust agreement; because these particular bonds are not refundable until 2031, staff said the only practical method is defeasance with cash on hand.

Committee members asked how series were selected. Ms. McGuire said staff and its financial advisers prioritized callable issues and the longest maturities to maximize savings; the chosen series required cash because they are not refundable until 2031.

Director Knight moved to approve the defeasance plan; Director Baker seconded. The committee voted unanimously to carry the motion.