Debt Information

The Water Authority issues both long-term and short-term debt. Debt payments are made solely from the agency’s net revenues. This debt, commonly referred to as “revenue bonds,” is typically issued to finance public works projects, such as water facilities. “Net revenues” consist of revenues generated by public works projects after paying for ongoing operations and maintenance costs of the projects. Revenues generated by the Water Authority are from the rates and charges paid by member agencies for constructing and operating the facilities that provide wholesale water supplies to the region.

Long-Term Debt

As of February 28, 2022, the Water Authority has approximately $1.9 billion of long-term debt outstanding.

Senior lien long-term debt is in the form of fixed-rate revenue bonds, with final maturities at the time of issuance in the 20- to 40-year range. The Subordinate Lien Water Revenue Refunding Bonds Series 2021S-1, are seven-year bonds maturing in 2028 and are included below as an outstanding long-term liability. Most of these bonds (except for the Series 2010B Water Revenue Bonds and the Series 2020A Water Revenue Refunding Bonds) are tax-exempt.

The Series 2010B Water Revenue Bonds were issued as taxable bonds pursuant to the “Build America Bonds” stimulus program created under the federal “American Recovery and Reinvestment Act of 2009.”

The Water Furnishing Revenue Bonds Series 2019 are subordinate to the pledge of Net Water Revenues for payment of Water Revenue Bonds and Certificates of Participation, Contracts, Reimbursement Obligations, and Subordinate Obligations.

Long-Term Active Debt Instruments – Official Statements	Principal Amount Outstanding as of February 28, 2022
Taxable Offerings	$
Water Revenue Bonds 2010B Build America Bonds (BABS), due May 1, 2049	526,135,000
Water Revenue Refunding Bonds, Series 2020A (Green Bonds), due May 1, 2034	283,470,000
Tax-Exempt Offerings
Water Revenue Bonds, Series 2022A, due May 1, 2052	170,000,000
Water Revenue Refunding Bonds, Series 2021B (Green Bonds), due May 1, 2038	271,455,000
Water Revenue Refunding Bonds, Series 2021A (Green Bonds), due May 1, 2031	117,690,000
Subordinate Lien Water Revenue Refunding Bonds, Series 2021S-1, due May 1, 2028	146,490,000
Water Furnishing Revenue Refunding Bonds, Series 2019 (Pipeline Bonds), due November 21, 2045	182,580,000
Water Revenue Refunding Bonds, Series 2016B, due May 1, 2038	17,865,000
Water Revenue Refunding bonds, Series 2015A, due May 1, 2029	154,645,000
Water Revenue Refunding Bonds, Series 2013A, due May 1, 2034	17,120,000
Water Revenue Bonds 2005A COPs, due May 1, 2022	7,075,000
Water Revenue Bonds 1998A COPs, due May 1, 2028	11,685,000
TOTAL	$1,905,365,000

Short-Term Debt

The Water Authority established its TECP Program in 1995. Commercial paper is a form of variable-rate debt and is issued with maturities of 1 to 270 days. When the commercial paper matures, it is rolled over to new investors by the Water Authority’s commercial paper dealers. The Water Authority has authorized the issuance of up to $245,000,000 of TECP, with $245,000,000 presently issued and outstanding. The TECP has been issued in two series – Series 9 ($135,000,000), and Series 10 ($110,000,000). Series 9 was issued on May 11, 2016 and is set to expire in June 2022. Series 10 was issued on June 19, 2019 and will expire in June 2024. Each of these series is supported with a bank “revolving credit and term loan agreement.” As of June 30, 2021, no advances have been made under any of the revolving credit and term loan agreements.

Short-Term Active Debt Instruments	Size (in Millions)	Liquidity Provider	Issuing & Paying Agent	Dealers/Remarketing Agents
Series 9	$135	Bank of America, N.A.	U.S. Bank	Citigroup J.P. Morgan Chase LOOP Capital Merrill Lynch Pierce RBC Capital Markets
Series 10	$110	Bank of the West	U.S. Bank	J.P. Morgan Chase Morgan Stanley Merrill Lynch Pierce Goldman Sachs
TOTAL	$245

The Water Authority issues debt to partially fund its Capital Improvement Program pursuant to the Long-Range Financing Plan. Debt proceeds may be used to pay for the design, acquisition, and construction of capital projects. From time to time, the Water Authority also issues debt to refinance outstanding debt obligations, typically to lower debt service payments.

2021 Long-Range Financing Plan

2021 Long-Range Financing Plan

Registered Municipal Advisor Rules

Montague DeRose Certificate

Acacia Certificate

Clean Energy Capital Certificate

Water Authority IRMA Notice

Debt Ratings

CUSIP Information

Each debt issue of the Water Authority has a CUSIP number that allows the public to identify them using a six-digit CUSIP-prefix number. Each maturity of the issue then has its own identifying nine-digit CUSIP number, which is the six-digit CUSIP prefix for that issue plus three more digits.

CUSIP-prefix numbers for each debt issue

Series 1998, 2005, and 2008 Water Revenue Certificates of Participation issues – 797415
Series 2010 Water Revenue Bonds issue – 79741T
Series 2011A & B, 2013A, 2015A, and 2016A & B Water Revenue Refunding Bonds issues, and the Series 2016S-1 Subordinate Lien Water Revenue Refunding Bonds – 797412
Series 2012 and 2019 Water Furnishing Revenue Bonds (Pipeline and Plant) – 13054W