Tampa Bay Water issues revenue bonds to fund its Capital Improvement Program and maintain the regional drinking water system.
In July, Tampa Bay Water’s board of directors approved issuing new fixed-interest-rate revenue bonds to fund the utility’s capital projects and new fixed-interest-rate refunding bonds to refund existing debt. On Aug. 4, the utility priced the $295.8 million Series 2026A bonds and the $64.8 million Series 2026B bonds and received orders for nearly 6.5 times the amount of bonds to be issued.
“The fact that so many investors are interested in our bonds underscores their confidence in our organization,” said Chuck Carden, Tampa Bay Water’s general manager. “We’re delighted the bonds sold so quickly.”
The Series 2026A/B bonds will close Aug. 27. The Series 2026A bonds were issued for 29 years, structured over current bonds to minimize impact to the uniform rate with a final debt payment of Oct. 1, 2055. The Series 2026B bonds were issued for 11 years, aligning with the maturities they are refunding and will result in a $7.1 million (9.8%) of net present value savings for Tampa Bay Water.
