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| TID
First to Receive and Repay SIB Loans in the Nation |
The
issuance of $158.5 million in Butler County Transportation Improvement
District Highway Improvement Revenue Bonds on November 6, 1997,
allowed the TID to repay the three State Infrastructure Bank (SIB)
loans from the Ohio Department Of Transportation (ODOT). Authorized
by the United States Congress in 1995, the SIB loan program is a
national pilot project designed to enable local governments to expedite
transportation projects through low interest loans. The TID received
the first and the first three of four SIB loans made in the nation.
The first SIB loan was obtained on September 15, 1996, for $10 million;
the second SIB loan was obtained on January 15, 1997, for $10 million;
and the third SIB loan was obtained on May 29, 1997, for $15 million.
The TID is also the first entity in the nation to repay SIB loans.
ODOT was paid $36.5 million for the three SIB loans made to the
TID. The repayment consisted of the following: |
| |
SIB
Loan Principal |
$35,000,000.00 |
Interest |
$1,556,655.00 |
Service
Fees |
$5,448.00 |
Repayment |
$36,562,103.00 |
|
| |
"Ohio
is a national leader in pioneering innovative financing concepts
like the State Infrastructure Bank," said former ODOT Director
Jerry Wray. "The future of our transportation system depends
on our becoming more creative in our approach to funding the system."
These SIB loans were instrumental in allowing the TID to keep an
aggressive schedule for the acquisition of right-of-way and engineering
on the Michael A. Fox Highway. "If not for these SIB loans,
the TID would have incurred a substantial amount of increased costs
relating to the escalation of land values and increased inflationary
costs for construction and engineering," said Darrell Barger,
former TID Executive Director. "The SIB loans clearly demonstrate
the ongoing commitment of local, state and federal agencies to our
projects. Through these partnerships with ODOT and the Federal Highway
Administration, and with the SIB loans, the TID has become a model
for local administration of transportation projects," said
Barger. Ohio was selected by the U.S. Department of Transportation
to participate in this innovative financing program. Under the SIB
concept, a revolving loan fund is established and capitalized with
$30 million in state general revenue funds and $70 million in federal
transportation funds |
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| History
of the Michael A. Fox Highway |
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