Financing
2. New York City General Obligation Bonds
4. The New York City Municipal Water Finance Authority
5. The New York City Transitional Finance Authority
6. Hudson Yards Infrastructure Corporation
The New York City Transitional Finance Authority
The TFA is a public authority of New York State created by the New York Transitional Finance Authority Act in 1997. The TFA was created to issue FTS bonds, secured primarily with the City’s personal income tax, to fund a portion of the capital program of the City. The TFA was originally authorized to issue up to $7.5 billion of FTS bonds and notes. Currently, TFA is permitted to have $13.5 billion of FTS debt outstanding and any amounts over and above that level are subject to the City’s remaining debt incurring power under the State constitutional debt limit.
Since July 1, 2022, the TFA has issued approximately $3.8 billion in FTS bonds for capital purposes and approximately $2.1 billion in refunding bonds. The dates and principal amounts are as follows:
NYC TFA Issuance
($ in millions)
| Series | (N)ew $/ (R)efunding | Issue Date | TAX Exempt Amount | Taxable Amount | Total Par Amount |
|---|---|---|---|---|---|
| 2023 A | N | 8/2/2022 | $1,250 | $0 | $1,250 |
| 2023 BC | R | 9/7/2022 | 867 | 68 | 935 |
| 2023 D | N | 11/3/2022 | 950 | 350 | 1,300 |
| 2023 E | R | 2/28/2023 | 1,078 | 118 | 1,196 |
| 2023 F | N | 3/23/2023 | 950 | 300 | 1,250 |
| Total | $5,095 | $836 | $5,931 |
The TFA refunding transactions completed to date in fiscal year 2023 generated approximately $280 million of debt service savings during the financial plan period.
The TFA plans to issue TFA FTS bonds for capital purposes of approximately $3.8 billion, $4.8 billion, $5.7 billion, $6.1 billion, and $6.5 billion in years 2023 through 2027, respectively. In April 2006, the State enacted legislation authorizing issuance by the TFA of an additional $9.4 billion of bonds (Building Aid Revenue Bonds, or BARBs) to be used to fund certain capital costs for the Department of Education. This legislation also provided for the assignment to TFA of State building aid that had previously been paid directly to the City. The financial plan does not currently reflect the issuance of BARBs for new money purposes.
Since July 1, 2022, TFA has issued $564 million in BARBs for refunding purposes which generated over $70 million of debt service savings during the financial plan period.