Public Notices
UPDATED NOTICE OF POTENTIAL FINANCING: SENIOR LIEN REVENUE BONDS (I-10 CALCASIEU RIVER BRIDGE PUBLIC-PRIVATE PARTNERSHIP PROJECT) SERIES 2024 (AMT)
June 26, 2024
UPDATED NOTICE OF POTENTIAL FINANCING
SENIOR LIEN REVENUE BONDS
(I-10 CALCASIEU RIVER BRIDGE PUBLIC-PRIVATE PARTNERSHIP PROJECT)
SERIES 2024 (AMT)
June 26, 2024
The Louisiana Public Facilities Authority (the “Authority” or the “Bond Issuer”), on behalf of Calcasieu Bridge Partners LLC (the “Developer”), is currently evaluating the issuance of approximately $1,340,000,000* Senior Lien Revenue Bonds (I-10 Calcasieu River Bridge Public-Private Partnership Project), Series 2024 (AMT) (the “Series 2024 Bonds”) to fund costs associated with the I-10 Calcasieu River Bridge Public-Private Partnership Project (the “Project”). The Project encompasses the design, construction, financing, operation and maintenance of the replacement I-10 Calcasieu River Bridge (the “New Bridge”) located in Lake Charles, Louisiana, including all associated features within the Project Limits such as new approaches and modifications to existing interchanges and roadways. The Project Limits are approximately 6 miles long from the I-10/1-210 interchange on the west side of the existing I-10 Calcasieu River Bridge (the “Existing Bridge”) to the east side of the Ryan Street exit ramp on the east side of the Existing Bridge. The Series 2024 Bonds are expected to be issued as federally and State of Louisiana tax-exempt and subject to the federal alternative minimum tax imposed on individuals. The transaction is currently expected to be priced during the week of August 5th, 2024* by J.P. Morgan Securities LLC and Wells Fargo Bank, National Association, as the underwriters of the Series 2024 Bonds.
The Authority has previously adopted preliminary resolutions approving the issuance of the Series 2024 Bonds in an amount not to exceed $2 billion for the Project. If and when issued, it is expected that proceeds from the sale of the Series 2024 Bonds will be made available to: (a) pay a portion of the costs of designing and constructing the Project including a portion of the interest during construction on the Series 2024 Bonds; and (b) to pay certain costs of issuing the Series 2024 Bonds. Project costs not funded with proceeds of the Series 2024 Bonds, including part of the interest to accrue on the Series 2024 Bonds during construction, are to be funded from (a) seven progress payments for the Developer’s performance of certain segments of the Project (the “Milestone Payments”) to be made by the Louisiana Department of Transportation and Development (“LA DOTD”) to the Developer as reimbursed construction costs incurred by the Developer; (b) toll revenues collected from the Project (“Toll Revenues”); (c) equity contributions from Calcasieu Bridge Partners Holdco LLC to the Developer; and (d) interest earnings on all amounts held in the accounts created in relation to the financing and operation of the Project. Payments due under the Series 2024 Bonds are principally expected to be paid from Toll Revenues received by the Developer. The Developer will pay the principal of, and interest on, the loan made to it by the Bond Issuer, so as to enable the Bond Issuer to pay the principal of, and interest on, the Series 2024 Bonds.
Nothing in this Notice obligates the Authority or the Developer to issue the Series 2024 Bonds.
The decision as to whether to issue the Series 2024 Bonds will be made by the Authority and the Developer at and subject to their discretion based on market conditions and other considerations, including certain approvals which may or may not occur. No assurance is given that any Series 2024 Bonds will be issued.
This Notice is being voluntarily provided for general information purposes only. The filing of this notice does not constitute or imply any representation that the foregoing event is material to investors, or that no other material circumstances or events have occurred or that no other material information exists that may have a bearing on the security for obligations issued by the Authority, or an investor’s decision to buy, sell, or hold any such obligations. Nothing contained herein should be construed as an offer to sell or a solicitation of an offer to purchase the Series 2024 Bonds that may be offered as described in this Notice. Any offer and sale of the Series 2024 Bonds will be made only by means of a preliminary official statement. Neither the Authority nor the Developer have any obligation to update the information provided in this notice regarding the Series 2024 Bonds.
The issuance of the Series 2024 Bonds, the expected date of pricing, the size and uses of proceeds, the security of the Series 2024 Bonds, and the structure of the proposed transaction are subject to market conditions and are preliminary and subject to change in all respects.
*Preliminary, subject to change.
LOUISIANA PUBLIC FACILITIES AUTHORITY