Fact Sheet: I-595 Corridor Roadway
Broward County, FL
Approved FY 2008
Borrower
http://www.dot.state.fl.us/
I-595 Express, LLC, consortium whose main sponsor/equity partner is ACS Infrastructure Development
Description
The I-595 Corridor Roadway Improvements consist of reconstruction, operation and maintenance of the I 595 mainline, express lanes and all associated improvements to adjacent cross-roads, frontage roads, and ramps from the I-75/Sawgrass Expressway interchange to the I 595/I 95 interchange. The Project will build three reversible “high-occupancy toll” (HOT) lanes in I-595’s median; tolls will vary according to traffic volume. The 10.5-mile Project extends from the I 75/Sawgrass Expressway interchange west of SW 136th Avenue to the I 595/I 95 interchange. The Project passes through or lies immediately adjacent to six jurisdictions: City of Sunrise, Town of Davie, City of Plantation, City of Fort Lauderdale, Town of Dania, and unincorporated areas of Broward County. The Project is part of a public-private partnership between the Florida Department of Transportation (FDOT) and I-595 Express, LLC. ACS will finance, build, operate, and maintain the project for a 35-year term. FDOT will set and collect tolls and make payments to ACS annually based on its successful operation of the road.
Project Status
On March 2, 2009, the United States Department of Transportation (USDOT) closed on a $603 million TIFIA loan with I-595 Express, LLC. Financing was completed March 3, 2009 when ACS closed the interest rate swap on $780 million in loans from a 12-bank consortium for the $1.8 billion project. Construction is expected to begin summer 2009 with projected completion in spring 2014.
Funding Sources
Anticipated funding sources are as follows (dollars in millions):
- Tranche A Senior Bank Debt: $525.5
- Tranche B Senior Bank Debt: 255.6
- TIFIA Loan: 603.0
- Equity: 207.7
- Revenues: 10.0
- FDOT qualifying funds: 232.0
- Total: $1,833.6
Note: Total excludes TIFIA capitalized interest
TIFIA Credit Assistance
Direct loan: $603 million; Date of credit agreement: March 2, 2009
USDOT has a subordinate lien on availability payments made by FDOT to I-595 Express, LLC.
TIFIA Financial Performance
The Term Sheet obligating funds and the TIFIA Loan Agreement were executed on March 2, 2009. The first disbursement was made on March 20, 2009. The TIFIA interest rate on the loan is 3.64 percent. The first interest payment is scheduled for June 2014. Principal repayments are scheduled to begin in 2031. The final maturity of the TIFIA loan is June 2042. A six-month debt service reserve based on senior and TIFIA interest and principal will be available until the final maturity of the TIFIA loan. A $9 million contingency reserve will be available until six months after scheduled substantial completion to cover construction cost overruns and help maintain target minimum DSCR.