IN CASE YOU MISSED IT: Nevada maintains highest credit ratings in history during bond sale to fund the State Infrastructure Bank

CARSON CITY, NV - April 27, 2022

Today, Nevada State Treasurer Zach Conine announced the State of Nevada has maintained its highest credit ratings in history from Fitch Ratings, Moody’s Investor Services, and S&P Global Ratings, as the Treasurer’s Office successfully completed the sale of $75 million in general obligation bonds to fund the State Infrastructure Bank.

With this action, all three major rating agencies have reaffirmed Nevada’s “Stable Outlook,” which is the direct result of responsible fiscal management during the COVID-19 pandemic coupled with the State’s strong economic recovery.

Nevada’s ratings for its 2022 issuance of general obligation limited tax bonds are as follows:

  • Fitch Ratings: AA+, Outlook Stable
  • S&P Global Ratings: AA+, Outlook Stable
  • Moody’s Investor Services: AA1, Outlook Stable

The high credit ratings assigned by the major rating agencies allow the State of Nevada to finance priority infrastructure projects at low market rates in a rising interest rate and high inflation rate environment.

Today’s bond sale also marked the first time the State of Nevada has ever issued social bonds, as the Infrastructure Bank seeks to make historic investments in affordable housing and public charter schools using responsible labor and environmental practices.

After receiving these ratings affirmations, the Treasurer’s Office completed the sale of two series of general obligation bonds totaling $75 million. This is the largest taxable bond sale in State history.

The following is a description of the bonds that were part of today’s sale:

Series 2022A: $40 million Aggregate Par - Taxable State Infrastructure Bank Bonds:

  • $40 million to finance qualified infrastructure projects through the State Infrastructure Bank in the form of revolving low-interest loans.
  • Proceeds from this sale will be used to support a Federal Infrastructure Matching Account, helping the State leverage hundreds of millions of dollars from the Infrastructure Investment and Jobs Act.

Series 2022B: $35 million Aggregate Par – Taxable State Infrastructure Bank Social Bonds:

  • $20 million to support affordable housing projects through the State Infrastructure Bank. Proceeds will be used to leverage an estimated 10x total capital committed with these proceeds to aid in the construction and renovation of affordable multi-family housing projects in partnership with the AFL-CIO Housing Investment Trust.
  • $15 million to support capital financing for public charter schools through the State Infrastructure Bank. Proceeds will be used to support new and existing charter school facilities in low-income communities. 

The Nevada State Infrastructure Bank expects to begin accepting applications for qualified projects this summer.

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Contact

Erik Jimenez