International law firm Milbank, Tweed, Hadley & McCloy LLP, led by Project Finance partner Allan T. Marks and colleagues Jon Reiter, Adam Bloom and Thomas Quirxtner represented the bond purchasers in the financing of the water and wastewater facility in Rialto, California. The financing totaled approximately $177 million.
Under a 30-year concession agreement, Rialto Water Services, LLC will provide essential water and wastewater services for the City of Rialto and execute a series of capital improvement projects on the City’s water and wastewater facilities. Rialto Water Services has contracted with an affiliate of Veolia Water, a global leader for delegated management of water and wastewater services, to meet the design, engineering, construction, operations, and maintenance requirements of the concession agreement.
“The innovative transaction will result in better facilities, efficient risk transfer, and lower public debt, and is expected to greatly improve a critical service offered by the City to its residents,” said Mr. Marks. “We are pleased to have worked from inception to structure and negotiate the concession for the project sponsors and to have represented the institutional investors in delivering the financing to complete this important water project in California.”
The capital improvement plan, expected to be completed over a five-year period, is intended to modernize and improve the operational efficiencies of the facilities and minimize exposure to significant capital improvements during the term of the concession.
Additional Milbank attorneys involved in the transaction include partners Robert J. Moore, Elizabeth Besio Hardin,Wilbur F. Foster, Jr.; of counsel Leah S. Karlov; and associates Randy Clark and Haig Maghakian.
