PRESS RELEASE DETAIL

Office of the Mayor-President


For release: IMMEDIATELY

Release Date: 02/25/2015

Bond refinancing to generate an extra $40 million for Green Light Plan

A bond refinancing is expected to generate an additional $40 million for Mayor-President Melvin L. “Kip” Holden’s Green Light Plan to improve East Baton Rouge roadways.

Mayor Holden said the additional $40 million will be used to accelerate the following “pay as you go” projects:
• O’Neal Lane from George O’Neal to South Harrell’s Ferry Road.
• Glen Oaks Drive from Plank Road to McClelland Drive.
• Nicholson Drive, Segment 1 from Brightside to Gourrier Avenue.
• The Highland-Burbank Connector.
• Jones Creek Road from Jefferson Highway to Tiger Bend Road.

The additional funding will allow the City-Parish to accelerate both the right of way acquisition and the construction on the five major projects. The refinancing will accelerate the construction of the O’Neal Lane project by four years, and the Jones Creek Road project by two years, and the other three projects by five to six years. For more information about these and other Green Light Plan projects, go to http://greenlight.csrsonline.com/HOME.aspx

The extra $40 million for the projects will come from the refunding and reissuance of bonds associated with 2005 half-cent sales tax program.

To date, the Green Light Plan Program has appropriated $579.4 million, and has spent $508.2-million. An additional $285.7 million will be required to complete the priority road program, bringing the total estimated program cost to approximately $793.9 million.

The City-Parish has tried to take advantage of other funding opportunities to help match and extend the local funds and accelerate project construction.

“To date we have been able to take advantage of millions of dollars from both federal and state funding sources,” Interim Public Works Director Bryan Harmon said, noting that the local funds have had to be allocated at certain times to qualify for the state and federal matching funds.

Bond sales are typically restricted to 70-75 percent of the anticipated tax revenue.

“We had reached that threshold with the 2012 bond sale. However, with the recent significant drop in interest rates, a window of opportunity has been provided for additional construction funding,” Harmon said.




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