Over $ 19 million in savings for local taxpayers for water quality improvement projects

Thu. Dec. 9 2021 15:20

Bond sale provides more than $ 144 million to refinance local borrowing costs and provide new low-interest financing

New York State Environmental Facilities Corporation President and CEO Maureen A. Coleman announced that EFC has successfully completed its State Revolving Funds Revenue Bonds, Series 2021 B (2010 Master Financing Program) (Green Bonds) which will help taxpayers in 54 communities save $ 19 million over the next 20 years. The proceeds from the sale of the bond will be used to refinance several drinking water and sanitation infrastructure projects, allowing municipalities and public authorities to benefit from lower interest rates, which will result in a reduction in debt service payments over the remaining term of their long-term funding. In addition, $ 125 million will be used to provide 32 local governments and public authorities with new, long-term, low-interest financing for the modernization of their drinking water and sanitation networks.

“This was EFC’s second successful bond sale in 2021, helping New York State maximize the amount of funding available to local governments for water quality infrastructure projects.” , Coleman said. “EFC is committed to actively managing its portfolio to maximize resources and help communities reduce costs associated with clean and potable water infrastructure projects. “

Local governments and public authorities participate in the financing of projects through EFC and receive low-interest financing for drinking water and sanitation infrastructure projects through the Revolving Fund of the State for Clean Water and the State Revolving Fund for Clean Water. The redemption of bond sales allows EFC’s municipal partners to realize additional savings by refinancing the original bonds that financed their projects at an even lower interest rate. EFC annually reviews its portfolio and takes advantage of its high credit rating and market demand for tax-exempt bonds to help its municipal beneficiaries recognize these savings.

Combined with EFC’s equity, $ 125 million will support new or recently completed infrastructure projects in 32 communities. Additionally, the bond sale will reimburse local borrowing costs on 54 water quality projects for communities across the state to help local taxpayers save $ 19 million through interest rates. Lower interest available for EFC.

The bonds were entered into through a syndicate led by Goldman, Sachs & Co. as senior manager and Siebert Williams Shank & Co. as co-manager. EFC’s financial advisers for the transaction were Hilltop Securities, TKG & Associates and Bright Bay Advisors. EFC’s legal counsel in connection with the transaction was Nixon Peabody LLP and D. Seaton and Associates, PA, PC

• Infrastructure projects already completed: $ 19 million in savings

• Clean water recipients: $ 9,437,911 in savings

Local recipients include:

Erie County

Lewiston Town

• Drinking water beneficiaries: $ 10,081,346 in savings

Local recipients include:

√ Buffalo municipal water financing agreement

• Water quality projects in 32 communities: $ 125 million for new projects

• Beneficiaries of the Clean Water project: $ 89,885,490 in funding

Local recipients include:

Depew Village

• Beneficiaries of the drinking water project: $ 35,899,647 in funding

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