PHOENIX - The Wyoming Community Development Authority is gearing up to issue $114 million to refund outstanding bonds and to purchase home loans as part of a program to make home buying easier for some state residents.
The bonds are currently scheduled to price Aug. 3, said Nancy Jolley, controller in the authority's finance and administration department.
The deal is a negotiated transaction with Bank of America/Merrill Lynch and RBC Capital Markets as underwriters. Kutak Rock is the bond counsel.
The bonds are to be sold in three series, numbered four, five, and six. The Series 4 bonds will be $47.5 million and subject to the alternative minimum tax. The Series 5 will be $18.6 million of non-AMT bonds, and the Series 6 will be $48 million not subject to the AMT. Those bonds currently carry an Aa1 rating from Moody's Investors Service and an AA-minus from Standard & Poor's. The bonds are secured strictly by the revenues of the authority from its loans and investments, and are not obligations of the state.
Some of the bond proceeds will be used to refund prior series, Jolley confirmed, but others will go toward purchasing mortgage loans from lenders as part of the authority's Single Family Mortgage Program. The authority, created in 1975, uses this program to provide assistance to qualified mortgage borrowers. The authority is overseen by nine voting directors, including the governor and state treasurer.
The authority is planning to issue two additional series of bonds later this year, according to the preliminary official statement.
