Infrastructure Bank Finances Municipal Road & Bridge Projects
Local Taxpayers Save Over a Million Dollars in Interest Through Bank Financing
PROVIDENCE, RI – Rhode Island Infrastructure Bank announced $18.5 million in financing for road and bridge projects in Central Falls, Pawtucket, and Westerly. The municipalities will save $1.4 million in interest payments by financing their projects through the Bank. Additionally, the project financing will support approximately 200 well-paying jobs across Rhode Island in the building trades.
“The Infrastructure Bank is proud to partner with our local communities to make significant investments in their roads and bridges,” said Jeffrey Diehl, CEO and Executive Director of the Infrastructure Bank. “Our low-interest rate loans translate into over a million dollars in savings for Central Falls, Pawtucket, and Westerly.”
The Infrastructure Bank’s Municipal Road and Bridge program finances projects at below-market interest rates and has lent over $49 million for projects in the past 24 months. Since its inception, the Infrastructure Bank has provided almost $75 million in lending to 19 communities for local road and bridge improvements.
“Pawtucket utilized our financing in 2018, as well, to continue their record investment in resurfacing their roads. We are excited that Central Falls is taking advantage of the program for the first time to invest in its growing community,” said Diehl.
The Infrastructure Bank also issued the second public bond for the Municipal Road and Bridge program for $15.4 million with a debt rating of “AA” by Standard and Poor’s (S&P).
Central Falls received a $1.5 million loan to start the initial phase of the City’s Green and Complete Streets initiative. This is the first Green and Complete Streets ordinance in New England and will ensure that road projects minimize environmental impact while creating safer streets for the community. Central Falls will save $161,513 in debt service payments.
“This is a great opportunity for our city to borrow money at a subsidized rate to improve the infrastructure of our beloved square mile,” said Mayor James A. Diossa. “These funds will allow us to fix streets that require the most repair such as Cross Street. The City of Central Falls encourages local cities and towns to consider R.I. Infrastructure Bank’s program options for their infrastructure plans.”
Pawtucket received a $1.9 million loan to resurface their roadways, including major thoroughfares like Pawtucket Avenue, Main Street, Beverage Hill Road and Walcott Street. The City will save $224,188 in debt service payments by borrowing through the Infrastructure Bank.
“The Rhode Island Infrastructure Bank has been essential to saving Pawtucket taxpayer dollars,” said Mayor Donald R. Grebien. “This partnership between the State and local municipalities is exactly the type of success story that taxpayers need and deserve. We are proud to continue working with the Bank to upgrade Pawtucket infrastructure in a cost effective manner.”
Westerly received a $14.8 million loan to perform the reconditioning and resurfacing of approximately 21 miles of roads and the construction of the Boombridge Road Bridge. The first phase of the plan, financed through the Infrastructure Bank, is anticipated to span a three-year period to address road improvements and a partnership project with R.I. Department of Transportation and C.T. Department of Transportation to repair the Boombridge Road Bridge.
“Through the approval of our voters and financing through the Infrastructure Bank, the Boombridge Road Bridge, an important access between the two states, will finally be open after 10 years,” said Westerly Town Manager Mark Rooney. “This project and the resurfacing of our roads will ensure safer travel, reduced maintenance, more attractive neighborhoods, and extended asset life.”
About Rhode Island Infrastructure Bank
Rhode Island Infrastructure Bank is Rhode Island’s central hub for financing infrastructure improvements for municipalities, businesses, and homeowners. We leverage capital in a revolving fund to offer innovative financing for an array of infrastructure-based projects including water and wastewater, road and bridge, energy efficiency and renewable energy, and brownfield remediation. These quality of life projects improve the State’s infrastructure, create jobs, promote economic development and enhance the environment. For more information, please visit www.riib.org.