Comptroller DiNapoli Announces Sale of General Obligation Bonds
Competitive Offering to Feature Tax-Exempt and Taxable Bonds
State Comptroller Thomas P. DiNapoli today announced the details of the competitive sale of approximately $830.8 million of tax-exempt and taxable General Obligation Bonds for new money and refunding purposes, scheduled to be sold on Tuesday, March 22, 2011.
The state will sell four series of General Obligation Bonds. The Series 2011A Tax-Exempt Bonds and the Series 2011B Taxable Bonds total approximately $478.9 million and the $21.8 million respectively.
The net proceeds of the Series 2011A Tax-Exempt Bonds will finance capital expenditures made or anticipated to be made, during the prior, current or subsequent state fiscal years for projects associated with purposes authorized by the Accelerated Capacity and Transportation Improvements of the Nineties, Clean Water/Clean Air, Environmental Quality 1972, Environmental Quality 1986, Pure Water, Rebuild New York Through Transportation Infrastructure Renewal, and Rebuild and Renew New York Transportation bond acts. The Series 2011A Tax-Exempt Bonds will mature over 30 years.
The net proceeds of the Series 2011B Taxable Bonds will finance capital expenditures made or anticipated to be made, during the prior, current or subsequent state fiscal years for the Clean Water/Clean Air, Environmental Quality 1972, and Rebuild and Renew New York Transportation bond acts. The Series 2011B Taxable Bonds will mature over 10 years.
The state will also sell, dependent upon market conditions, two series of General Obligation refunding bonds. The Series 2011C Tax-Exempt Refunding Bonds and the Series 2011D Taxable Refunding Bonds total approximately $232 million and $98.2 million respectively. The net proceeds of the Series 2011C Tax-Exempt Refunding Bonds and the Series 2011D Taxable Refunding Bonds will provide funds to refund certain outstanding general obligation bonds of the state to reduce the state’s debt service costs. The Series 2011C Bonds will mature over 10 years and the Series 2011D Bonds will mature over 12 years.
The bonds will be awarded pursuant to electronic competitive bidding to be held via BiDCOMP/Parity on behalf of the Comptroller of the State of New York on March 22, 2011 unless postponed, as set forth in the Notice of Sale published in The Bond Buyer on March 16, 2011. The Bonds will be dated the date of delivery, expected to be March 30, 2011.
A copy of the Preliminary Official Statement which contains additional information regarding this bond sale is available at http://i-dealprospectus.com/.
Note: The State’s new fiscal year begins on April 1, 2011. On March 16, 2011, 15 days prior to the start of the State’s fiscal year, the New York State Legislature passed the Debt Service Bill for state fiscal year 2011-12 (S2802/A. 4002) in order to ensure that the State will be able to meet its obligations with respect to existing State debt. This action continues a long standing practice of the Legislature approving debt service appropriations by the start of each new fiscal year.