The New York City Municipal Water Finance Authority sold $451 million of second-resolution, fixed-rate tax-exempt bonds in its first-ever competitive sale.

“The comptroller is always looking for ways to reduce the cost of financing the city’s capital program, including utilizing competitive bonds sales when advantageous,” said a spokesman for city Comptroller John Liu.

“By periodically opening up the process to this type of competition, the city attracts strong bids from a large number of firms.”

Citi was the winner among nine bids in Tuesday’s competitive sale, with a total interest cost of 4.516%. The issuance involved $250 million of new-money bonds and $201 million of refunding bonds.

Fitch Ratings and Standard & Poor’s rated the bonds AA-plus, while Moody’s Investors Service assigns an Aa2 to the credit.

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