Massachusetts Awarded The Bond Buyer's “DEAL OF THE YEAR” For Accelerated Bridge Program
Trade Publication Recognizes Innovative Financing for Accelerated Bridge Program
BOSTON - Friday, December 9, 2011- The Patrick-Murray Administration and Treasurer Steven Grossman announced today that the Commonwealth has won The Bond Buyer’s “Deal of the Year” award for its billion-dollar 2010 Massachusetts Department of Transportation’s (MassDOT) Accelerated Bridge Program bond package.
“The Patrick-Murray Administration’s investment in our transportation infrastructure through the Accelerated Bridge Program represents a very creative solution for addressing the state of the Commonwealth’s bridges while creating thousands of jobs,” said Secretary of Administration and Finance Jay Gonzalez. “It is exciting that The Bond Buyer has recognized the innovative work being done here in Massachusetts.”
“Taxpayers have a right to expect that we protect their money and maximize value wherever possible,” said Treasurer Grossman. “This independent recognition by The Bond Buyer demonstrates the creative thinking behind the Commonwealth’s approach to infrastructure financing and the ability of government to be fast, flexible and entrepreneurial.”
The transaction also won the regional “Deal of the Year” award from The Bond Buyer for the Northeast region.
The deal recognized by The Bond Buyer was composed of three separate transactions, including a bond refinancing that reduced the state’s borrowing costs by more than $11 million. Overall, the transactions generated over $676 million to finance MassDOT’s efforts to take an aggressive approach to refurbishing the Commonwealth’s bridges, some of which have been deemed structurally deficient. In addition, one of the transactions conducted as part of the deal received an AAA rating from Standard & Poor’s and Moody’s, the first such rating in the Commonwealth’s history. The transactions occurred in December of 2010.
According to The Bond Buyer the 2011 Deal of the Year Awards drew 80 nominations for transactions ranging from $5 million to several billion dollars. One finalist was selected from five separate regions of the country, with Massachusetts previously capturing the top billing for the Northeast. The entries were evaluated based on innovation, ability to effectively finance in challenging economic times, and the public purpose for which a transaction’s proceeds were used.
The Accelerated Bridge Program was created in 2008 by the Patrick-Murray Administration to significantly reduce the number of structurally deficient bridges in Massachusetts. Since the program’s inception, 63 bridge projects have been completed, reducing the number of structurally deficient bridges in the Commonwealth by 16 percent.
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