MEMORANDUM
TO:
MDTA Board
FROM:
Allen Garman, Deputy Director Finance Kevin Cullity, Director of Treasury and Debt Yaw Berkoh, Debt Administrator MDTA Board Resolution 25-01, Municipal Financing
SUBJECT:
DATE:
April 10, 2025
PURPOSE OF MEMORANDUM Explain the purpose of MDTA Board Resolution 25-01 for Municipal Financing and request recommendation of the Finance Committee to present the authorizing resolution to the full board for approval. The resolution authorizes the issuance of toll revenue bonds to finance a portion of capital projects
in fiscal 2026. SUMMARY
The Municipal Financing Resolution authorizes the issuance of $600 million of bonds to finance capital projects for an approximately one-year period through fiscal 2026. The financing is expected before December 31, 2025, and will be sized to account for the capital program, net operating revenues, bond premium, debt service reserve funding, and costs of issuance. The $600 million limit contained in the resolution is based on the most recent official forecast approved by the MDTA Board in November 2024. More precise financing needs will be known in coming months based on realized fiscal 2025 capital spending and updated information incorporated in the CTP for fiscal 2026. It is expected that an amended resolution will be required to update the financing limit, but the first resolution is currently needed as delegated authority to engage bond counsel in the development of the Official Statement and generally begin the financing process that comfortably requires 90-days to complete.
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