Adding the Limited Buydown to WIFIA Loans

By John Ryan

The EPA’s WIFIA loan program offers several interest rate management features that are highly beneficial for large-scale infrastructure financings, including a U.S. Treasury-based fixed-rate lock for construction and permanent drawdowns, post-execution rate resets until draw, and no-penalty cancellation and prepayment.

All are enabled, directly or indirectly, by a statutory framework that WIFIA shares with its predecessor, the DOT’s TIFIA program, and a recent successor, the DOE’s CIFIA program.