Lending Rate Memorandum - January 23, 2015
Listed below are the Current Average Lending Rates (ILR) used by the Texas Water Development Board, as of the above date and assuming a level debt service.
Actual rates will vary depending on length, time of closing and structure. Rates are for illustrative purposes only. Contact TWDB staff at (512) 463-6690 for lending rate scale or other inquiries.
The ILR listed below are subject to change and availability of funds. These rates are listed for comparative and marketing purposes only.
General Obligation Loan Programs
|Type of Bonds (1)||Maturities||Average Rate||Variance|
|Market Rate||TWDB Rate|
|Development Fund (Tax Exempt)||22||3.22%||3.18%||0.04%|
|Development Fund (Tax Exempt)||30||3.43%||N/A||N/A|
|Development Fund (Taxable)||25||4.65%||3.82%||0.83%|
|EDAP (Tax Exempt)||22||3.22%||2.88%||0.34%|
|Agricultural Loans (Taxable)||7||3.06%||0.18%||2.88%|
|Rural Water Assistance Fund (AMT)||40||N/A||3.92%||N/A|
|Rural Water Assistance Fund (Taxable)||40||N/A||3.05%||N/A|
State Revolving Funds
|Type of State Revolving Funds (1)||Maturities||Average Rate||Variance|
|Market Rate||TWDB Rate (2)|
|Clean Water SRF Non-Equivalency (AA)**||20||2.37%||1.17%||1.20%|
|Clean Water SRF Non-Equivalency (BAA)**||20||3.11%||1.91%||1.20%|
|Clean Water SRF Equivalency (AA)**||20||2.37%||0.82%||1.55%|
|Clean Water SRF Equivalency (BAA)**||20||3.11%||1.56%||1.55%|
|Drinking Water SRF (AA)***||20||2.37%||1.12%||1.25%|
|Drinking Water SRF (BAA)***||20||3.11%||1.86%||1.25%|
State Water Implemenation Fund for Texas (SWIFT)
To be determined
- Low-interest Loans
- Deferred Loans
- Board Participation
- Municipal bond insurance is currently unavailable for Board Programs.
- Borrower's rates for Clean Water and Drinking Water SRF loans will depend upon the security, to be pledged, and the entity's corresponding rating. Actual rates are based upon market rates minus a subsidy set 45 days before closing.
- Borrower's rates for SWIRFT loans will depend in part on the Board's cost of funds as the Board issues bonds.
- The Board may set an interest rate subsidy but at no time shall the subsidy exceeded 50% of the market rate.
As required by the Board's rules lending rates for Clean Water and Drinking Water SRF loans are set from the daily MMD Scale. The MMD Scale has been used to provide the illustrative rates.
* Includes administrative cost recovery fee of .77%
** Includes loan origination charge of 1.85%
*** Includes loan origination charge of 2.25%
Rates are for illustrative purposes only.