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27Oct
Bonds’ Quick Sale Secures Agency Future
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Tampa Bay Water recently issued new, fixed-interest-rate revenue bonds to fund a portion of the utility’s capital improvement program projects. On Oct. 12, the utility priced the $122.1 million Series 2022 bonds, and received orders for more than 7.5 times the amount of bonds to be issued.

“We’re thrilled that these bonds sold so quickly, showing that investors have great confidence in our organization,” said Chuck Carden, Tampa Bay Water’s general manager. “With the issuance of these bonds, our agency life is extended through 2052.”

That’s because the agency’s Amended and Restated Interlocal Agreement, approved in 1998 by the governments that formed Tampa Bay Water, expires either on the 40th anniversary of its commencement date (2038) or on the date on which the utility has no outstanding financial obligations. By securing funding for future water supply projects, the utility also secured its future through 2052.

The Series 2022 bonds closed Oct. 27 and were issued for 30 years, structured over current bonds to minimize impact to the uniform rate with a final debt payment of Oct. 1, 2052, and will allow Tampa Bay Water to free up approximately $22 million from its debt service reserve fund for capital projects.