The Massachusetts Development Finance Agency last week announced its senior manager pool for future bond transactions related to the its new $250 million I-Cubed program.
JPMorgan, Merrill Lynch & Co., and RBC Capital Markets will serve as book-runners on upcoming I-Cubed financings for MassDevelopment. The agency received 17 underwriting proposals in response to its March solicitation.
The I-Cubed program allows the authority to issue bonds backed by the state’s general obligation pledge on behalf of municipalities for infrastructure costs related to economic development. Qualified projects include relocation or major expansions for companies that would generate new revenue for the state.
The Executive Office for Administration and Finance will approve developments that generate net new-tax revenue of 1.5 times the debt service on the bond issue, according to MassDevelopment.
Lawmakers approved I-Cubed financing in 2006, and the administration revised the program in late September as it needed additional review. The agency has yet to issue I-Cubed bonds. Projects are limited to $10 million to $50 million of borrowing and the entire program has $250 million of total bonding capacity.