Welcome to the Conference

Introductory remarks will be provided by the Bond Buyer and conference chairs.

Transcription:
Transcripts are generated using a combination of speech recognition software and human transcribers, and may contain errors. Please check the corresponding audio for the authoritative record.

Michael Ballinger (00:08):
Good afternoon. It's my pleasure to welcome you to our 35th Annual California Public Finance Conference. We're delighted that you could join us here in San Diego for what will be two and a half days of key discussions on pivotal issues the industry faces in California and across the country. From the ever-shifting policies in Washington to the explosion of AI, to the growing cost to build and maintain our infrastructure, we will delve into it all. I'd like to take this opportunity to thank all of our sponsors and speakers for the conference, especially our conference co-chairs, Andy Nakahata from California iBank and Jade Turner-Bond from Orrick.

(00:44):
Together with our focus groups, the Bond Buyer's Lynn Funk, and Andy and Jade were instrumental in helping us put together a strong program agenda amid a constantly shifting macroeconomic and political environment. We're delighted to have such a strong roster of speakers who will provide key insights into the risks and opportunities the industry faces. I also want to thank Bond Buyer employees for all their outstanding work on this conference, including Dan Holki, Deanna Botello, Mason Siegel, and Pamela Marr for handling all the marketing and logistics for events. Please join me in a round of applause for the Bond Buyer editorial team also represented at this conference, led by Mike Scutari, editor-in-chief, and joined by Rick Saske, Jeff Lipton, Keeley Webster, and Jessica Lerner. It is my pleasure to introduce our conference co-chairs. Jade Turner-Bond is a partner at the Los Angeles office dedicated to projects that provide a positive impact, whether sponsored by public entities, nonprofits, or for-profit enterprises.

(01:47):
Her practice focuses on social and transportation infrastructure projects, and she serves as counsel to issuers, underwriters, and sponsors on a broad spectrum of public finance transactions. Jade is recognized nationally and globally by Chambers USA. She was also recently recognized by Bloomberg Law's "They've Got Next: 40 Under 40," as well as a Rising Star by the Bond Buyer, and is one of the Women of Influence by the Los Angeles Business Journal. Previously, Jade served as legal counsel to the California State Treasurer's Office. Andy Nakahata is executive director of the California iBank. Prior to being appointed by Governor Newsom in 2025, Andy spent more than 30 years working with state and local governments, public and private universities, public utilities, and other entities developing financing solutions to fund infrastructure projects through the tax-exempt and taxable debt markets. Prior to joining iBank, he worked as head of the Western region for TD Securities, UBS Financial Services, and National Public Finance. He also served as a public finance investment banker for Citigroup, JP Morgan, and Goldman Sachs. As a testament to his connection with the California public finance industry, Andy has served six times as the co-chairman of the Bond Buyer Public conference. Please join me in welcoming Jade and Andy.

Jade Turner-Bond (03:08):
Thanks so much, Michael, and thank you to the Bond Buyer for hosting this wonderful conference. Good afternoon, everyone. It is my privilege to welcome you to the California Bond Buyer Conference. My name is Jade Turner-Bond and I'm a partner at Orrick in the public finance and P3 sector. I'd like to extend a heartfelt thank you to the city of San Diego and the county of San Diego for hosting us. Your leadership and hospitality have made it possible for us to come together and have these important conversations. Before we begin, I want to take a moment just to recognize how much the waterfront area in San Diego has changed since the last time we had our conference here. On my morning walk, I was shocked to see all the transformation in the downtown area. It's a powerful example of what innovation and collaboration can achieve.

(03:59):
It's also a testament to the vision and hard work of so many in this community, and it sets the perfect stage for this gathering. We are at a time of transition and change, not just in public finance, but in the world around us. The challenges we face are complex. There's economic uncertainty, shifting political winds, technological disruption, and ever-growing demands for building and maintaining California's infrastructure. Yet it is precisely in these moments that we as an industry see opportunity and responsibility to meet the moment with innovation and resilience. I'm reminded when I started public finance right after the global financial crisis, the world around us was in flux and uncertainty was everywhere. I was working in the California State Treasurer's Office. They took a chance on me fresh out of law school, working alongside Blake, Julie, Jeannie, and countless others figuring out solutions. It was a time when collaboration and creative problem-solving weren't just ideals but necessities. This experience taught me that even in the most turbulent times, when we come together and bring our best ideas forward, we can find a way through and emerge stronger. The spirit of innovation and collaboration is reflected in our agenda. We will kick off with a discussion of the state of the industry, navigating the shifting landscape of municipal finance. We'll explore the future of transportation and hear from leaders tackling California's unique mobility challenges.

(05:40):
We will also learn more about how to close healthcare funding gaps and the rise of energy-as-a-service financial solutions, which are poised not only to help the healthcare sector, but also other asset classes. This kind of innovation is exactly what our industry needs to address both immediate challenges and long-term goals. But perhaps the most important conversation we'll have is about the future of public finance leadership. Our industry is experiencing a changing of the guard, as many seasoned leaders retire and the next talent enters the field. We are at a crossroads. How do we attract and nurture the next generation of public finance? How do we ensure that our sector remains vibrant, diverse, and prepared to meet the demands of a rapidly evolving financial landscape? Across these panels, you'll hear from experts who are not only describing the challenges but offering practical solutions. This is your opportunity to engage, ask questions, and share your own experiences. So my call to action for you is this: whether you're a veteran in the industry or new to public finance, remember that your perspective matters. The solutions we need will come from our collective wisdom, creativity, and willingness to embrace change. Let's meet this moment together with courage, curiosity, and a commitment to making California better. I now hand it over to Andy Nakahata.

Andy Nakahata (07:17):
Thank you, Jade. Lessons learned: one is always be aware of who you're following. That was an amazing and informative introduction. First of all, thank you to Mike and the Bond Buyer for planning the signature event of the public finance industry. However, before I start, most importantly, please join me in wishing Mike a happy birthday. I'm going to spare you singing him happy birthday, but I'm sure we'll all sing to him later over cocktails. On behalf of the state of California and the California Infrastructure and Economic Development Bank, known as iBank, I would like to welcome you to the California Bond Buyer Conference. It's my honor to be co-chairing the conference this year with Jade and Orrick. As Mike said, this is my sixth time co-chairing the conference, and I'm pleased to be back here in San Diego. At six, I'm still two behind the world champion LA Dodgers.

(08:23):
First of all, I'd like to recognize my team at iBank who's here. If you can all stand up for a moment—you're hiding in the back, but I see you. I'm going to spend a minute giving you a rundown on what iBank is. You can see from the slide to my left, and if what I say interests you, please feel free to ask myself or any of these individuals; we also have a booth next door in the hall. I know that all of you have heard of iBank, but how many of you actually know what iBank does? iBank is a state agency created by the legislature in 1994. We celebrated our 30th anniversary last year, and it is the state's only general-purpose financing agency. iBank has a very broad charge with the mission to provide financial assistance and support infrastructure and economic development in California.

(09:23):
You can't get much broader than that. For bond nerds, we serve as a conduit issuer through our bond unit and make loans to municipal entities through our Infrastructure State Revolving Fund, or as we refer to it, the ISRF program. In fact, we have issued over $56 billion in bonds and closed $1 billion in infrastructure loans over the life of these programs. However, as you can see on the slide here, we do more than just bonds. We also support small businesses through loans and invest in venture capital funds and directly in companies. What I've really enjoyed about iBank is the breadth and reach of our programs, ranging from small business loans to individual Californians starting local businesses to helping fund multi-billion dollar infrastructure projects. I would echo what John Sheldon said earlier: if you have an interest in public service, it's an exciting thing to do and presents great opportunities.

(10:24):
I'd be happy to talk to anyone interested in public service as I take the helm at iBank. Mike said I was appointed earlier this month by Governor Newsom. I'm working to increase the transparency and accessibility of our programs. For example, most recently I've been working closely with our ISRF team to demystify our credit evaluation and pricing processes. Through program transparency, I believe that we can increase the accessibility and use of our important programs. I'm looking forward to another exciting conference over the next two and a half days. Each day during the planning, the news just seemed to bring a new event and a new headline, and I note this as we enter day 34 of the federal shutdown. We worked to remain nimble through the planning process and believe that we have put together panels which will address current public finance issues and keep everyone involved through the next two and a half days.