Norfolk sells $27 million of water revenue bonds

Posted at 11:32 AM, Mar 26, 2018
and last updated 2018-03-26 15:14:37-04

NORFOLK, Va. – The City of Norfolk completed the sale of $26,7000,000 worth of Water Revenue Bonds.

The transaction for the Series 2018 Bonds went through on March 13 in a competitive sale.

According to city officials, Norfolk received 13 bids and awarded the bonds to Janney Montgomery Scott LLC, which achieved a True Interest Cost (TIC) of 3.81 percent.

Norfolk’s Water Revenue Bonds are of a AA+ and AA+ from Standard & Poor’s and Fitch Ratings, respectively, which is what the city believes made them of such high demand on the market.

“These strong ratings continue to assist the Water System (the “System”) in achieving low interest costs for capital projects,” said the city in a press release to News 3.

To minimize the cost of insurance, the city timed the sale of its Series 2018 Bonds to be not long after the sale of  Norfolk’s Water Revenue Refunding Bonds, Series 2017 Bonds, which occurred on December 13, 2017.