Miami-Dade County commissioners last week approved a four-year, flexible draw-down bond program up to $675 million, in a private placement with RBC Municipal Products LLC.
The county chose the program because it could not obtain in $400 million in letters of credit to support a commercial paper program.
The flexible draw-down program is similar to CP in that the bonds pay variable-rate interest. It will allow the county to draw funds as needed up to $400 million. As that debt is taken out with long-term financing, the county will drawdown additional bonds up to a total of $675 million.
The financing program will support the county's Building Better Communities general obligation bonds, which were approved by voters in 2004.
In other action, commissioners approved a revolving line of credit up to $75 million with Wells Fargo Bank NA for cash flow at the Public Health Trust, which oversees county-owned Jackson Memorial Hospital.