Florida’s Division of Bond Finance Tuesday received authorization to sell $727.1 million of bonds.
The division now will begin to prepare for the sale of up to $540 million of public education capital outlay refunding bonds, $155.1 million of new-money PECO bonds, and $32 million of parking facility revenue bonds for Florida International University.
In a report to the board overseeing the state’s debt issuance, division director Ben Watkins said that three recent competitively sold refunding deals generated $32.8 million in savings.
Watkins’ division sold $146.8 million of PECO refunding bonds Aug. 6 to Morgan Stanley at a true interest cost of 3.16%, which resulted in present-value savings of approximately $15.4 million, or 9.53%, of the principal amount refunded.
On Aug. 20, the division sold $52.9 million of education capital outlay bonds to Citi at a TIC of 3.29%. The transaction provided $13.5 million of new money and $39.4 million to refund previous debt. The refunding resulted in present-value savings of $3.2 million, or 7.50%, of the principal amount refunded.
Another $165.76 million of PECO refunding bonds were sold on Aug. 26 to JPMorgan at a TIC of 3.47%, which resulted in present-value savings of approximately $14.2 million, or 7.75%, of the principal amount refunded.