Bond sale raises $18 million for stormwater drainage system

Government Thursday, August 5, 2021

A $15.5 million sale of municipal bonds to fund more than a dozen drainage projects in Miami Lakes were popular among buyers and raised $18,725,000.

The July 22 sale of the bonds that were rated A+ by Fitch and A1 by Moody’s sold at a premium and after paying fees, the town said it netted $18,264,000.

“The market was willing to pay more for them,” Town Manager Edward Pidermann said.

Bonds are debt and the town will only have to pay back the borrowed amount of $15.5 million.

It will use the stormwater utility fee that is levied upon property owners -- $10.50 per month per household or commercial equivalents – to do so.

The additional $2,764,000 in bond sale proceeds will be applied toward 16 stormwater improvement sites in town, Pidermann said.

The money raised to fund stormwater infrastructure improvements will only address a portion of the town’s needs, Pidermann said.

“We have $54 million in stormwater projects,” Pidermann said.

Miami Lakes Mayor Manny Cid said in a press release that the funds will help the town work on its “most critical drainage projects” and will help alleviate flooding, improve drainage and protect and enhance water quality.

--Linda Trischitta