Fiscal Year 2024 Current Activities and Operations

The operations of the New York City Municipal Water Finance Authority (“NYW”) consist of executing the requirements of the New York City Municipal Water Finance Authority Act, NYW’s bond resolutions and other governing documents. NYW finances the ongoing capital needs of the water and sewer system of the City of New York (the “System”) with proceeds from the issuance of bond anticipation notes (“BANs”) and long-term bonds. NYW uses these proceeds to reimburse the City of New York’s general fund for capital expenditures incurred on behalf of the System. NYW complies with federal tax law to preserve the tax exemption of its debt. NYW also maintains various contractual obligations necessary to achieve efficient and cost-effective financing and administers its outstanding debt and investments portfolios by monitoring and directing application of funds to meet debt service on its bonds and notes.

On October 5, 2023, NYW issued $692.7 million of tax-exempt fixed rate Second Resolution bonds, Fiscal 2024 Series AA. $504 million of proceeds from the sale funded capital projects of the System. The bonds refunded the following Second Resolution fixed rate bonds: $75 million of Fiscal 2020 Subseries BB-2, $70 million of Fiscal 2019 Subseries DD-2, and $32.9 million of Fiscal 2018 Subseries CC-2. In addition, the bonds also refunded the following First Resolution variable rate bonds: $50 million of Fiscal 2003 Subseries F-1B. The bonds have a final maturity of 2053.

On February 15, 2024, NYW issued $42.6 million of fixed rate Second Resolution bonds, Fiscal 2024 Series 1 to the New York State Environmental Facilities Corporation (“EFC”). Proceeds of the bonds were used to pay off $42.6 million of Fiscal 2022 Series 8-C Bond Anticipation Notes. The bonds have a final maturity of 2053.

On March 19, 2024, NYW issued $1.4 billion of tax-exempt fixed rate Second Resolution bonds, Fiscal 2024 Series BB. $225 million of proceeds from the sale funded capital projects of the System. The bonds also refunded the following Second Resolution fixed rate bonds: $231.99 million of Fiscal 2014 Subseries CC-1, $372.52 of Fiscal 2014 Series DD, $50 million of Fiscal 2015 Series AA, $300 million of Fiscal 2015 Series DD, and $382.36 million of Fiscal 2015 Series EE. The Bonds have a final maturity of 2054.

On April 2, 2024, NYW issued $717.3 million of fixed rate rate Second Resolution bonds, Fiscal 2024 Series 3 to EFC. Proceeds of the bonds were used to refund $149.4 million of Fiscal 2010 Series 4 and $186.62 million of Fiscal 2014 Series 4. In addition, proceeds of the bonds were used to refinance $274.2 million of Fiscal 2022 Series 8-C BAN and $183.46 million of Fiscal 2024 Series 2 BAN with $12 million of new money to be provided in future BAN draws. The bonds have a final maturity of 2053.

On April 23, 2024, NYW issued $788.56 million of tax-exempt fixed rate Second Resolution bonds, Fiscal 2024 Series CC. $426.3 million of proceeds from the sale funded capital projects of the System. The bonds refunded $401 million of Second Resolution variable rate Fiscal 2008 Series BB, and the following Second Resolution fixed rate bonds: $8.8 million of Fiscal 2013 Series DD and $43.25 million of Fiscal 2014 Series BB. The bonds have a final maturity of 2054. Concurrent with this transaction, the Authority used $19.3 million to terminate its existing $401 million in swaps associated with the 2008 Series BB bonds.

On June 13, 2024, NYW applied $203.2 million to defease $213.6 million in bonds from Fiscal 2017 Series 4, Fiscal 2017 Series 5, Fiscal 2018 Series 2, Fiscal 2019 Series 3, Fiscal 2020 Series 3, Fiscal 2020 Series 4, Fiscal 2020 Series 6, Fiscal 2020 Series 7, Fiscal 2021 Series 3, Fiscal 2022 Series 4, Fiscal 2022 Series 7, Fiscal 2023 Series 2, Fiscal 2023 Series 5, Fiscal 2023 Series 6, and Fiscal 2024 Series 1. The escrow for this in-substance defeasance will mature on June 15, 2028.

To provide new money funding, over the course of the fiscal year, NYW drew $331.4 million on BANs issued to EFC.