Title
Interstate 405 Improvement Project Financing Update
Overview
Over the past year, the Orange County Transportation Authority has been working with its financing team to finalize a funding plan for the Interstate 405 Improvement Project. In January 2017, Notice to Proceed No. 1 was issued to OC 405 Partners to commence the design-build work for the project. Orange County Transportation Authority representatives have been negotiating a Transportation Infrastructure Finance and Innovation Act loan for the project with the Build America Bureau Credit Programs Office. This report provides an update on recent financing activities.
Recommendation(s)
A. Approve the use of a Letter of Credit/Line of Credit supported by Local Transportation Authority sales tax revenues in the principal amount of approximately $900 million plus interest for the funding of the Interstate 405 Improvement Project, if required.
B. Authorize the Chief Executive Officer to negotiate and execute Amendment No. 2 to Agreement No. C-5-3099 between the Orange County Transportation Authority and Nossaman LLP, in the amount of $80,000, for additional bond counsel services related to the establishment of a Letter of Credit/Line of Credit for the Interstate 405 Improvement Project.
C. Authorize the Chief Executive Officer to negotiate and execute Amendment No. 3 to Agreement No. C-1-3116 between the Orange County Transportation Authority and Sperry Capital, Inc., in the amount of $80,000, for additional financial advisory services related to the establishment of a Letter of Credit/Line of Credit for the Interstate 405 Improvement Project, and to extend the current agreement term through November 30, 2017, to allow time for the completion of the project-related financings.