Just as homeowners may refinance a mortgage to take advantage of lower interest rates to lower payments or make future costs more manageable, Tampa Bay Water uses revenue bonds similarly to fund major infrastructure investments and ease pressure of existing debt.
This month, Tampa Bay Water’s board of directors approved a bond resolution that allows the agency to issue up to $325 million in new, fixed-interest-rate revenue bonds to fund a portion of the utility’s capital improvement projects. These bonds will be issued for 30 years, structured over current bonds to minimize impact to the uniform rate and will partially fund approximately $292 million across 29 capital projects, including:
The board also authorized up to $100 million in new revenue bonds to refund all or a portion of the agency’s outstanding Series 2016A Bonds without extending the debt term beyond its current maturity of 2038. This will save the agency approximately $7.8 million in interest.
“These bonds will provide significant savings to Tampa Bay Water while helping fund new infrastructure and water treatment projects the agency is building to meet growing demand,” said Christina Sacket, Tampa Bay Water's chief financial officer.
