The TIFIA Lender may at any time assume the duties of any Servicer under this Agreement and the TIFIA Bond. The Concessionaire agrees to pay all out-of-pocket expenses incurred by the TIFIA Lender in connection with the TIFIA Lender’s exercise of its rights under this Section 20 at any time when an Event of Default shall have occurred and be continuing. Neither the Borrower/Issuer nor the Concessionaire shall, without the prior written consent of the TIFIA Lender, either extinguish the Liens on the Collateral, except as provided under the Indenture and other Security Documents, or amend, modify or supplement the Senior Loan Agreement or any Related Document in a manner that could adversely affect the TIFIA Lender in connection with the TIFIA Loan. Except as otherwise agreed by the TIFIA Lender in writing, the Concessionaire will provide to the TIFIA Lender copies of any proposed amendments to the Senior Loan Agreement or any Related Document at least 30 days prior to the effective date thereof. Within 30 calendar days after the Borrower/Issuer or the Concessionaire, as applicable, learns of the occurrence of an event specified in Section 16, the Borrower/Issuer’s Authorized Representative or the Concessionaire’s Authorized Representative, as applicable, shall provide a statement setting forth the actions the applicable party proposes to take with respect thereto. Except for Permitted Debt, neither the Concessionaire nor the Borrower/Issuer shall, without the prior written consent of the TIFIA Lender, issue or incur indebtedness of any kind.
Fitch notes that declines and recoveries in volumes have had limited impact on the port’s rating, largely due to the revenue stabilizing nature of the port’s long-term leases with its largest tenants. These long-term lease contracts collectively contain minimum payment provisions that accounted for 84% of operating revenues in fiscal 2019, and are more than sufficient to cover both the port’s outstanding senior debt obligations and the future subordinate TIFIA loan, if drawn (covering all obligations at 2.2x on a net basis in 2019, and continuing to cover at 2.4x or higher through 2024).
Failure to maintain coverage above 2.0x or liquidity above 600 DCOH in keeping with the port’s debt ordinance will jeopardize the current rating. Despite volume declines, fiscal 2019 saw the port’s total operating revenues increase nearly 3.0% over the year prior, building on the 5.4% increase seen in fiscal 2018. Revenues have been bolstered by the effects of scheduled tariff increases and the effects of catch-ups on updated five-year agreements with some tenants.
Neither the Concessionaire’s rights or obligations hereunder nor any interest therein may be assigned or delegated by the Concessionaire without the prior written consent of the TIFIA Lender. The TIFIA Lender shall have the right in its sole discretion to monitor development, including but not limited to environmental compliance, design, right-of-way acquisition, and construction of the Project. VDOT shall be responsible for administering construction oversight of the Project in accordance with the ARCA and, once executed, any Development Contract.
The Concessionaire shall provide to the TIFIA Lender, within thirty days after the Effective Date and annually thereafter not later than sixty days after the beginning of each Concessionaire Fiscal Year, a Financial Plan. The Financial Plan shall be prepared in accordance with recognized financial reporting standards, such as those in the “Guide for Prospective Financial Information” of the American Institute of Certified Public Accountants, and shall be in form and substance satisfactory to the TIFIA Lender. The Concessionaire shall establish fiscal controls and accounting procedures sufficient to assure proper accounting for all Project-related transactions , so that audits may be performed to ensure compliance with and enforcement of this Agreement. The Concessionaire shall use accounting, audit and fiscal procedures conforming to GAAP, including, with respect to the TIFIA Loan, accounting of principal and interest payments, disbursements, prepayments and calculation of interest and principal amounts outstanding.
Capital Beltway Funding Corporation Of Virginia Subordinate Lien Tifia Toll Revenue Bond
However, the ongoing coronavirus pandemic has disrupted the global economy and represents a significant challenge across the port sector and to the global supply chain it supports. In order to reflect the substantial reductions in maritime cargo throughput being observed globally, Fitch has revised its cases to reflect the coronavirus impacts. The applicable requirements of 49 C.F.R. Part 26 relating to the Disadvantaged Business Enterprise program. There does not currently exist an Event of Default under the TIFIA Loan Agreement or the Senior Loan Agreement or any event which with the giving of notice or the passage of time or both would constitute such an Event of Default. The TIFIA Lender will notify the Concessionaire of any disbursement request so rejected, and the reasons therefor.
The $843 million state‐owned and privately operated roadway – originally estimated to cost $658 million – was constructed with substantial private financing and a $140 million TIFIA loan – the first TIFIA loan used to finance a toll road. A dedicated revenue stream must exist to repay the loan (e.g. tolls, local property tax). The dispute regarding delays around the South Boulder Creek area has been reviewed and ruled on by the Dispute Review Board . The DRB process is a non-binding and required part of the dispute resolution process outlined in the Concession Agreement.
- The Hedge Documents shall provide that all payments due thereunder to the Concessionaire shall be made directly to the Trustee for deposit in the Revenue Fund and shall be disbursed in accordance with the Indenture.
- Any disbursement request so rejected must be resubmitted in proper form in order to be considered for approval.
- Developer Selection and Negotiation – EPS provided development advisory services on the selection of a private developer to complete the renovation of the historic terminal and to operate the building on a longer-term lease.
- For the second time, Sequoia Living has been honored by the Pacific Coast Builders Conference with a Gold Nugget Design award for Viamonte at Walnut Creek.
- “Base Case Financial Model” means the economic and financial model prepared on behalf of the Concessionaire for the purpose of the ARCA, and approved by an independent model auditor, forecasting the revenues and expenses relating to the Project, as updated as of December 20, 2007 and furnished to the TIFIA Lender as of the Effective Date.
- In sum, we have an existing program in USDOT that, at a relatively small cost, can quickly generate billions of dollars of low-interest loans for infrastructure across our nation.
House Transportation & Infrastructure Committee Releases Surface Transportation Reauthorization Bill
Upon any determination of the Outstanding TIFIA Loan Balance, the TIFIA Lender may, but shall not be obligated to, make applicable revisions to the Loan Amortization Schedule pursuant to Section 9 and in such event shall provide the Concessionaire, the Borrower/Issuer and the Trustee with a copy of such Loan Amortization Schedule as revised, but no failure to provide or delay in providing the Concessionaire with such copy shall affect any of the obligations of the Concessionaire under this Agreement or the other TIFIA Loan Documents. Notwithstanding the foregoing provisions of this Section, the TIFIA Lender confirms that the Concessionaire may deliver the first requisition to the TIFIA Lender on a date not less than 15 calendar days prior to the Effective Date and the TIFIA Lender confirms it shall, subject to satisfaction of the conditions in Section 13, disburse the funds requested on the Effective Date. corporation, limited liability company, partnership association or other business entity of which more than 50% of the securities or other ownership interests having ordinary voting power is, or with forex respect to which rights to control management are, at the time as of which any determination is being made, owned, controlled or held by the parent or one or more Subsidiaries of the parent or by the parent and one or more Subsidiaries of the parent. any pledge agreements executed and delivered after the Effective Date by any additional or substituted partner in the Concessionaire in substantially the form of the Member Pledge Agreements pursuant to which such Person shall grant to the Trustee for the benefit of the TIFIA Lender a security interest in the membership interests held at any time by such Person. collateralized investment agreement or other contractual agreements with corporations, financial institutions or national associations within the United States, provided that the senior long-term debt of such corporations, institutions or associations is rated AAA by a National Recognized Rating Agency. “Financial Plan” means the updated financial plan to be delivered within 30 days after the Effective Date in accordance with Section 21 and any updates thereto required pursuant to Section 21.
$1,000,000 or any integral multiple thereof), at any time or from time to time, without penalty or premium, by paying to the TIFIA Lender such principal amount of the TIFIA Loan to be prepaid, together with the unpaid interest accrued on the amount of principal so prepaid to the date of such prepayment. Each prepayment of the TIFIA Loan shall be made on such date and in such principal amount as shall be specified by the Concessionaire in a written notice delivered to the TIFIA Lender, as the TIFIA Bondholder, and the Borrower/Issuer. In the case of any partial prepayment, such written notice shall be delivered to the TIFIA Lender and the Borrower/Issuer not less than 15 days or more than 30 days prior to the date set for prepayment. As a condition to each drawing of the TIFIA Loan, the Concessionaire shall provide the TIFIA Lender with evidence satisfactory to the TIFIA Lender that prior thereto or simultaneously therewith a disbursement of Senior Loan proceeds, Equity Contributions and VDOT contributions has occurred to the extent required by Schedule II hereof, as the same may be amended from time to time with the approval of the TIFIA Lender.
The Concessionaire agrees to cooperate in good faith with the TIFIA Lender in the conduct of such monitoring by promptly providing the TIFIA Lender with such reports, documentation or other information as shall be requested by the TIFIA Lender, or its agents, including any Independent Engineer reports, documentation or information. For the period through Substantial Completion, the Concessionaire shall provide the TIFIA Lender with written notification, before instituting any increase or decrease of the overall Project Costs in an amount equal to or greater than $2,500,000, setting forth the nature of the proposed increase or decrease and estimating the impact of such increase or decrease on the capital costs, operating costs, and the Financial Plan. The Concessionaire’s notice shall demonstrate that the proposed increase or decrease is consistent with the provisions of this Agreement, is necessary or beneficial to the Project and does not materially impair the TIFIA Lender’s security. or any indenture, mortgage, deed of trust, loan agreement, lease, contract or other agreement or instrument to which the Borrower/Issuer is a party or by which it or its properties are otherwise subject or bound, forex or result in the creation or imposition of any prohibited lien, charge or encumbrance of any nature whatsoever upon any of the property or assets of the Borrower/Issuer. The Borrower/Issuer is in material compliance with all Laws applicable to the Borrower/Issuer or its activities in connection with this Agreement and all other TIFIA Documents. The Concessionaire shall also have delivered such other agreements, documents, instruments, opinions and other items required by the TIFIA Lender, all in form and substance satisfactory to the TIFIA Lender, including, but not limited to, evidence that all other Project funding requirements required to be made as of the date hereof have been met (including evidence of other funding sources or funding commitments. The principal amount of the TIFIA Loan disbursed by the TIFIA Lender shall not exceed $588,922,875; provided, however, in no event shall the maximum principal of the TIFIA Loan disbursed by the TIFIA Lender, together with the amount of any other credit assistance provided under the Act, exceed the lesser of 33% of Eligible Project Costs or, if the TIFIA Loan does not receive an Investment Grade Rating, the amount of the Initial Senior Loan.
Major projects covered by the plan include the new Port Headquarters ; the Gerald Desmond Bridge replacement ; the Middle Harbor redevelopment program ; and ongoing rail improvements . No adjustments to the CIP are currently anticipated tifia markets analysis due to the coronavirus, though management notes plans are flexible and project scope and timing can be adjusted if needed. The Infrastructure score may migrate upwards as these large components of the CIP are completed.
Such sale or reoffering shall be on such terms as the TIFIA Lender shall deem advisable. However, in making such sale or reoffering the TIFIA Lender shall not change the terms and conditions of the TIFIA Loan without the prior written consent of the Concessionaire, which consent shall not be unreasonably withheld. The TIFIA Lender shall provide at least 60 days prior to any sale or reoffering of the TIFIA Bond, written notice to the Concessionaire to the effect that the TIFIA Lender is considering the sale or reoffering of the TIFIA Bond and at least 30 days prior to any sale or reoffering of the TIFIA Bond, written notice to the Concessionaire confirming TIFIA Lender’s intention to consummate such a sale or reoffering; provided, however, that no such notice shall be required during the continuation of any Event of Default. The provision of any notice pursuant to this Section shall not obligate the TIFIA Lender to sell nor provide the Concessionaire with any rights or remedies in the event the TIFIA Lender, for any reason, does not sell the TIFIA Bond. The TIFIA Lender and the Concessionaire agree that for so long as any Senior Loans remain outstanding, the provisions contained in Section 8 hereof with respect to the TIFIA Lender’s right to a first priority security interest in the Collateral upon the occurrence and continuance of certain Events of Default shall be of no force or effect following the sale of the TIFIA Bond.
Fitch’s rating case forecast suggests that the project’s total DSCR will average 1.88x and stay above 1.3x over the life of the debt assuming utilization of reserve funds and will average 1.74x and reach a minimum of 1.07x without such utilization. The rating case assumes similar ramp-up revenue growth as the base case and normalized 4% growth thereafter. Under the rating case scenario, the average LLCR for senior and TIFIA debt service is a solid 1.87x, while the PLCR is much higher at 7.39x, reflecting the project’s long tail. The DSCR averages 1.88x with a minimum of 1.3x over the life of the debt, which is consistent with other managed lanes projects in the ‘BBB’ rating category. Foreign exchange reserves Fitch’s also considered several additional coronavirus downside cases, including a sensitivity case with rating case declines in 2020 followed by continued historically low revenue performance in 2021, achieving roughly 85% of 2019 revenues followed by resumption of prior rating case revenue growth. A severe sensitivity scenario was also analyzed, which assumes MAGs are not honored, allowing for a 25% drop in revenues in 2020, followed by a slow recovery to 2019 revenue levels in 2024 reflecting an ongoing recession as a result of the coronavirus. In these scenarios, DSCRs for all obligations remain above 2.7x, and leverage remains manageable at 3.1x or better by 2024.
The design build joint venture , made up of Granite Construction Co. and Ames Construction Co., both experienced contractors that also built Phase 1 of the project, is continuing to correct final punch-list activities, and full completion is expected by Dec. 31, 2016. At the same time, SB Friedman also conducted a loan feasibility study to assist the CTA in preparing an application for a Transportation Infrastructure Finance and Innovation Act loan from USDOT for approximately $622 million. We prepared a revenue projection model and conducted various sensitivity analyses to help understand the likelihood of the Transit TIF district being able to support the TIFIA loan amount.
The Concessionaire shall maintain operation of the Project and shall operate the Project in a reasonable and prudent manner and shall maintain the Project in good repair, working order and condition and in accordance with the ARCA. The Concessionaire shall diligently prosecute the work relating to the Project and achieve Substantial Completion in accordance with the Financial Plan, unless the Concessionaire demonstrates to the TIFIA Lender’s satisfaction that it is proceeding with the construction of the Project with due diligence toward Substantial Completion by no later than 180 days after the then effective Substantial Completion Date. Failure of the Concessionaire to comply with the requirements of this covenant shall constitute a “Development Default”. The Concessionaire shall furnish to the TIFIA Lender a copy of any offering document and cash flow projections prepared in connection with the incurrence of any Permitted Debt, prior to the incurrence of any such Permitted Debt, as well as copies of any continuing disclosure documents, in each case prepared or filed in connection with the applicable rules of the Securities and Exchange Commission, in each case promptly following the preparation or filing thereof. The Concessionaire shall have provided to the TIFIA Lender’s satisfaction, not later than 14 days prior to the Effective Date, evidence of the assignment by a Nationally Recognized Rating Agency of an Investment Grade Rating to the Initial Senior Loan and an assessment by such Nationally Recognized Rating Agency of the default risk on the requested TIFIA Loan. Neither the Trustee nor the TIFIA Lender shall name or join VDOT, the CTB or the State or any officer thereof in any legal proceeding seeking collection of the debt or other obligations of the Concessionaire secured hereunder or the foreclosure or other enforcement of the Security Documents except to the extent joining the VDOT is required as a necessary party in order to give the court jurisdiction over the dispute. of principal shall be applied to future installments due on such TIFIA Bond in the chronological order of maturity or as otherwise directed by the Concessionaire, and the TIFIA Lender shall, and is hereby authorized by the Borrower/Issuer and the Concessionaire to, make the appropriate notations thereof on Appendix One to such TIFIA Bond and to revise the Loan Amortization Schedule in accordance herewith, which revisions shall be provided to the Trustee.
Tifia Table Of Contents
The construction is substantially complete and toll collection has commenced on all segments of the road. The expected 2016 gross revenues for the project are slightly above original forecast, and O&M expenses are in line. The project maintains a ramp-up reserve fund to alleviate short-term traffic issues, if such arise. It is too early in the ramp-up stage to draw any conclusions about traffic and revenue trends, as it will be important to monitor the transition to HOV3+ standard for the MLs in January 2017, and to evaluate how the transition impacts the project.