$600M More - Miami Takes Advantage of AMT Relief


Miami-Dade County announced its intention to sell $600 million of airport revenue bonds next week, to assist in funding capital improvements at Miami International Airport.  The financing takes advantage of a provision in the American Recovery and Reinvestment Act (ARRA) which provides relief from the Alternative Minimum Tax (AMT) for new private activity bonds issued in 2009 and 2010.  ACI-NA's three-year education and lobbying effort ultimately resulted in this relief being included in the ARRA, as well a provision that allows current AMT bonds issued between December 31, 2003 and January 1, 2009 to be refinanced of into non-AMT debt.

 

Miami joins Philadelphia International Airport, the Metropolitan Washington Airports Authority and Metropolitan Nashville Airport Authority in taking advantage of this important tax relief.  Philadelphia recently sold airport refunding bonds valued at $45 million, refinancing variable rate bonds issued in 2005, while the Metropolitan Washington Airports Authority issued airport system revenue bonds, gaining $400 million to finance projects. The Metropolitan Nashville Airport Authority sold $36 million in bonds in March to finance completion of Phase 2 of the terminal renovation, saving about $3.2 million in debt service charges.