BRADENTON, Fla. - Florida's East Central Regional Water Reclamation Facility expects to enter the bond market for the first time as a new credit later this month.
West Palm Beach city commissioners approved a resolution Oct. 6 authorizing the city's representative on the ECR reclamation board to vote in favor of the bond resolution.
The ECR board meets Oct. 14 to approve bond documents. The board oversees the reclamation facility, which provides up to 70 million gallons of secondary wastewater treatment daily for residential, businesses and industry users in the cities of West Palm Beach, Lake Worth, and Riviera Beach, the town of Palm Beach, and Palm Beach County.
The ECR facility was created as a separate governmental entity through an interlocal agreement between the municipalities and the county.
The board plans to issue up to $113 million in revenue bonds to fund capital projects to upgrade its facilities for the treatment of biosolids, which are the nutrient-rich organic materials resulting from the treatment of sewage sludge.
The bonds will be secured by operating revenues of the East Coast Regional Wastewater Facility.
ECR managers and finance team members are meeting withal three rating agencies this week.
The preliminary official statement for the sale is expected to be posted Oct. 17 with pricing on Oct. 29, according to a rating agency presentation.
The upcoming sale would be the East Central Regional Water Reclamation Facility's first entrance into the bond market, according to Brian Shields, deputy director of the Palm Beach County Water Utilities Department, and a member of the ECR board.
The ECR is operated by West Palm Beach, and has issued direct placement bonds with banks in prior years.
RBC Capital Markets is the senior manager for the upcoming sale, which also includes Citi and Raymond James.
Public Financial Management is financial advisor. Greenberg Traurig LLP is bond and disclosure counsel.