Baton Rouge, La. - Extensive negotiations between DOTD on behalf of the Louisiana Transportation Authority (LTA) with the United States Department of Transportation (USDOT) continue in a positive direction related to the refinancing the La. 1 improvement project loan.
The USDOT Transportation Infrastructure Finance and Innovation Act (TIFIA) Program Office has invited LTA to submit an application for credit assistance with the loan that funded the La. 1 improvement project in Lafourche Parish. If approved, the refinancing would save Louisiana over $100 million over the life of the debt.
“Although this invitation is not a guarantee that we will get the loan, our chances are greatly improved,” said DOTD Undersecretary Michael Bridges. If approved, the refinancing could be completed by mid-November 2013.
DOTD, on behalf of the LTA, submitted a letter of interest for credit assistance through the USDOT TIFIA program last October. Extensive negotiations between DOTD and the TIFIA program office took place through the fall and spring and as a result, the USDOT TIFIA Program Office has formally invited the LTA to submit an application for credit assistance.
Without the refinancing, the LTA would be required to increase the tolls another 88% above the 20% increase that took place on January 1st of this year. The toll consultant report indicated that for every $1 million in additional toll revenue raised by increasing the tolls, the sales tax and personal income tax of Grand Isle and Port Fourchon would drop by $450,000.
The LTA approved the submission of the TIFIA application today at their meeting. The application will be submitted on July 22.
The Louisiana Department of Transportation and Development (DOTD) is committed to delivering transportation and public works systems that enhance the quality of life. In addition to more than 16,600 miles of roadway, including over 930 miles of interstate and 13,000 bridges, DOTD supports the development of the state’s aviation, marine and rail infrastructures. Through this work, we are able to facilitate economic development, create job opportunities, improve vital evacuation routes, and make critical freight corridors safer and more efficient.
For more information, please visit www.dotd.la.gov, email email@example.com, or call DOTD’s Customer Service Center at (225) 379-1232 or 1-877-4LADOTD (1-877-452-3683). Business hours are 7:30 a.m. - 5 p.m., Monday through Friday.
Motorists can access up-to-date travel information by dialing 511 or by visiting www.511la.org. Out-of-state travelers can call 1-888-ROAD-511 (1-888-762-3511).