WITH PABS PRESERVED, ALL ABOARD FLORIDA WON'T RUSH NEXT FINANCING

Publish Date: 
Tuesday, December 19, 2017 - 1:30pm

THE FLORIDA DEVELOPMENT FINANCE CORP CANCELED AN EMERGENCY MEETING MONDAY THAT HAD BEEN CALLED TO APPROVE $1.15 BILLION OF PRIVATE ACTIVITY BONDS FOR THE ALL ABOARD FLORIDA HIGH-SPEED PASSENGER TRAIN PROJECT.

"The meeting has been canceled in light of the tax reform package that was approved," FDFC Executive Director Bill Spivey said, referring to the congressional agreement on tax legislation announced Friday preserving the use of PABs.

The owners of AAF had planned to issue $1.15 billion of federal private activity bonds by Dec. 31 because the House version of the tax bill would have restricted or terminated the use of PABs after Jan. 1, Spivey said last week.

"This was nothing more than a fabricated emergency, once again demonstrating AAF's desperate reliance on taxpayer subsidies to fund its ill-conceived project," Citizen Against Rail Expansion in Florida's attorney Steve Ryan said in response to the Monday meeting cancellation.

The private owners of AAF and its Brightline-branded train service remain on a dual track for federal assistance to help finance the project.

Read more here.

Original article and photo by Shelly Sigo of The Bond Buyer.