• For informational/historical purposes only.

  • NEWS RELEASE

    Ohio Department of Transportation Internet News Release
    August 9, 2000

    ODOT Receives $10 Million for SIB Program

     

    Columbus B Ohio=s State Infrastructure Bank (SIB) has received a $10 million capitalization from Ohio=s General Revenue Fund, Ohio Department of Transportation Director Gordon Proctor announced today. Granted by the Ohio State Legislature, the money will be used to fund SIB loans, as part of a program to maximize the use of federal and state funding for infrastructure development.

    AThe SIB program allows ODOT to enhance the number of transportation projects completed in Ohio B projects which otherwise might not receive funding,@ said Proctor. ASIB financing aids the development of aviation, highway, rail, transit and local public road projects, furthering ODOT=s goal of providing a world-class transportation system."

    The SIB program was initiated in 1996, when up to 10 percent of the department=s 1996 and 1997 operating budget was set aside for the program, then matched with a $30 million capitalization from the state Legislature. The program, initially established as part of a national pilot project, uses the funds to issue bonds and make direct loans for infrastructure projects. Loan payments are made directly to ODOT, then re-loaned to fund additional facilities, creating a revolving loan program.

    ASince 1996, 31 loans have been issued, totaling $142 million,@ said ODOT SIB Administrator Erin Sexton. AWe are proud of the overall success of the program. We have provided funding for projects that may never have been considered for traditional grant financing, and advanced projects that would have taken years to fund. We have been fortunate to participate in projects that cover all modes of transportation, and have enhanced the state transportation system.@

    Loan information and applications are coordinated by the ODOT Office of Economic Development, which then recommends projects to the loan committee. Qualified borrowers include public entities such as political subdivisions, other state agencies, boards, commissions, regional transit boards, and port authorities. Private companies and non-profit organizations are eligible, but must have a local government sponsor to receive funding.

    Loan amounts are based upon the repayment ability of the borrower. The interest rate will be determined by loan amount, loan term, economic distress factors, and strength of security. Terms generally do not exceed 10 years. To receive an application for a SIB loan, contact Erin Sexton, SIB program administrator, Office of Economic Development, Ohio Department of Transportation,1980 West Broad St., Columbus, Ohio 43223; or download an application at www.dot.state.oh.us/sib1