BRADENTON, Fla. — Alabama Gov. Robert Bentley Monday added 34 new road and bridge projects to the 105 projects he had already approved as part of the state's largest-ever transportation funding program.
The road and bridge projects are estimated to cost $78.3 million, and will be added to $138.5 million in projects that Bentley selected two months ago as part of the initiative known as the Alabama Transportation Rehabilitation and Improvement Program, or ATRIP.
ATRIP projects will be largely funded through the first tranche of an upcoming issue of grant anticipation revenue vehicle bonds. Bentley has said he expects the state to issue between $600 million and $650 million of Garvees over the next three years.
The state could bring the first of several Garvee tranches to market in August or September, according to a spokesman in the governor's office.
In the first financing to be sold as part of ATRIP, Garvees will fund $165.4 million, or 80% of the approved projects. Local jurisdictions will pay the 20% balance totaling $51.4 million, according to figures released by the state.
It is not clear if the amounts include financing costs.
"With these additional projects, we are moving closer to our goal of improving the safety of roads and bridges throughout Alabama," Bentley said. "Many of our bridges are in desperate need of repair or replacement."
The projects also will serve as economic development tools creating jobs and providing modern, safe road and bridges that will attract new business, he said.
Bentley also reiterated that it makes sense to use Garvees as the financing mechanism now in order to access future federal funds to pay for road and bridge projects while interest rates on municipal bonds remain at historic lows.
The double-A rated Alabama Federal Aid and Highway Finance Authority will sell the bonds.
The authority refunded $91.2 million of Garvees last year, retiring all of the state's outstanding Garvee debt.
Public Financial Management Inc. is the state's financial advisor.
