Fact Sheet: LA-1
Leeville, LA
Approved FY 2005
Borrower
http://www.wilbursmith.com/la1project/
Louisiana Transportation Authority (LTA), a subsidiary of the Louisiana Department of Transportation and Development (LADOTD).
Description
The ultimate LA-1 Project will be a 16.3-mile, four-lane elevated toll highway between Golden Meadow and Port Fourchon. The project’s first phase, which has received TIFIA assistance, is an eight-mile, two-lane elevated highway between Leeville and Port Fourchon including a new high-level bridge at Leeville with a southbound toll facility. The existing LA-1 incurs subsidence, erosion, and frequent storm damage. In the event of hurricanes, this is the only highway evacuation route for Port Fourchon and Grande Isle, both of which suffered extensive damage from Katrina and Rita in 2005.
Project Status
Although the project has been delayed due to high bid prices resulting in part from last season’s hurricanes, bids have been received and contracts awarded the project’s three construction phases. The project (Phase 1) will be let in staged contracts. Phase 1B was awarded to Traylor/Massman joint venture for $141 M. 1B notice to proceed date: 3/1/2006. 1B completion date: 4/1/2010. The contract was 12% complete by the end of 2006. The LDOTD awarded Phase 1C contract (Leeville Bridge - Highrise) to the low bidder, Traylor/Massman joint venture for $20.2 million. 1C Notice to Proceed is 1/28/2007. LDOTD received bids for Phase 1A (from Leeville to Port Fourchon) on 12/13/2006. The contract was awarded to the low bidder, James Construction Group, on 1/8/2007 for $137M, 4.1% over the engineer's estimate. The third project has an approximate $90 M Shortfall. Possible funding sources could be FEMA hazardous mitigation funds and off shore oil leasing funds. LDOTD is actively pursuing multiple funding sources. The project is estimated to be complete by August 2009.
Funding Sources
Anticipated funding sources are as follows (dollars in millions):
- Senior bond proceeds: $95.0
- TIFIA loan: 66.0
- LADOTD funds: 58.4
- State and Federal funds: 18.2
- Other: 9.7
- Total: $247.3
TIFIA Credit Assistance
Direct loans: $66 million.
Date of credit agreement: May 2005.
All project debt will be repaid from toll revenues. The financial plan shows TIFIA principal and interest payments beginning in 2013 with final payment in 2040.
TIFIA Financial Performance
Along with the $95 million in senior bonds issued at the time of the closing of the TIFIA loan, the LTA issued $66 million of low interest Bond Anticipation Notes (BANs) that mature in 2009. When the BANs become due, the LTA has the option of retiring them with draws on the TIFIA loan, additional bonds, or any other funds available.