by Mindy Aguon
Guam - The Guam Economic Development Authority's board of directors will reconvene on Monday after having a few more days to review the sale of Government of Guam Hotel Occupancy Tax revenue bonds. A presentation was made on the bonds that are expected to receive a 'BBB+' investment grade rating and generate more than $80 million.
Ramirez and Associates' Julie Burger told the board that they are seeking the board's authorization for the issuance and sale of the bonds that could be closed in late-April. Burger explained there are two portions of the financing; the first to refund outstanding limited obligation bonds, which should result in a half-million dollars in savings.
"The other portion of the financing is new money and the new money portion is approximately $50-60 million and that portion is designed to fund tourist projects around the island," she said. "And that's the financing we're seeking approval for."
As we reported legislation was passed last year to use the bond proceeds to pay for tourism projects around the island including a Guam museum and cultural center and making improvements to various tourist attractions. The board will reconvene on Monday at 2pm to authorize the issuance and sale of the bonds.