More funding for transportation projects across Idaho
It’s full speed ahead for Idaho, with efforts to improve infrastructure across the state. The state once again tapped Idaho Housing and Finance’s bond expertise in 2023 to raise additional capital that will help quickly fund more transportation projects. Traditionally, that process can take years to complete.
In April of 2023, Idaho Housing issued the second round of TECM bonds, worth $349.7 million. It is part of the Transportation Expansion and Congestion Mitigation fund, a historic transportation revenue package signed into law in 2021 by Idaho Gov. Brad Little. TECM gives Idaho Housing and Finance the ability to issue up to $1.6 billion bonds for transportation improvements in the coming years. So far, we’ve issued $534.3 million through two separate bond sales.
“Idaho Housing and Finance is a great partner,” said Dave Tolman, longtime controller and new chief administrative officer at ITD. “Their work allows us to get these critical projects done faster, easing gridlock and making it easier and safer for drivers to get around the state.”
TECM bonds will help fund improvements on at least 10 key traffic corridors in the state. The Highway 16 extension along the Ada and Canyon County line, which is expected to begin construction in summer 2022, is one such project. The project will extend the highway from Chinden Road to Interstate 84 east of Nampa, providing a much-needed north-south route through the central Treasure Valley.
“Our work with the Idaho Transportation Department is a benefit to every Idahoan,” said John Chung, chief financial officer at Idaho Housing. “We’re helping deliver the funds needed to build and improve our roads, while using our experience in the bond market and the bond’s excellent credit structure that is based on the state’s sales tax collections to save taxpayers money in the long haul.”
The TECM initiative is the second partnership between Idaho Housing and the Idaho Transportation Department since 2006, when IHFA issued several rounds of GARVEE bonds totaling almost $1.4 billion, including refunding. GARVEE financing expanded or improved approximately 300 miles of roadway and replaced or improved approximately 30 bridges, according to ITD.