Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Debt Management topic
No spam. Unsubscribe anytime.
Staff reports $47.5M WIFIA draw and recommends delaying subordinated sales‑tax bond due to rates
Summary
Authority staff reported a roughly $47.5 million WIFIA draw to date on a $569 million loan facility and recommended waiting 30–60 days before selling a temporary subordinated sales‑tax bond because of recent interest‑rate volatility; staff expects a parameters resolution in May or June.
Authority counsel and finance staff updated the committee on federal and local financing.
John Shockley said the Authority has made one WIFIA draw for approximately $47,500,000 against a $569,000,000 facility and that roughly $521.5 million remains available to draw. He noted the loan carries favorable financing at about 2.08% interest for a four‑year term and staff continue to work with federal partners regarding options to treatment of a potential small terminal tranche of debt through the Corps' field‑loan program.
On subordinated sales‑tax bonds, Shockley recommended delaying issuance of a temporary subordinated sales‑tax bond 30–60 days because of recent interest‑rate volatility and uncertainty in market conditions. He said staff anticipate bringing a parameters resolution in May or June to set maximum interest and terms that staff would be authorized to accept when selling the temporary bonds.
The committee took the update as informational; no formal vote was required on the financing updates. Staff will return with a bond resolution and parameters for committee action when market conditions are evaluated.
