Last week, all the Prop 1A securitization bonds were successfully sold at a yield of 4 percent with the total size of the bond issue at $1,895,000,000, involving 1,257 local agency participants.

CSDA worked very hard with California Communities and other local government associations to make this available to districts and is pleased so many special districts were able to take advantage of this opportunity.

The Prop 1A securitization program will now move toward transaction closing on November 19, 2009, at which time bond proceeds will be collected from the bond purchasers and deposited into escrow with the program’s trustee, Wells Fargo Bank.

All agencies will receive 100 percent of their Prop 1A receivables with 50 percent of the securitized amounts being distributed by Wells Fargo to participating agencies on January 15, 2010, and the remaining 50 percent on May 3, 2010.

Wells Fargo will be in touch with participating agencies soon to confirm their payment information. At this time, amounts securitized and payable to each agency may be viewed on the List of Participants (download PDF).