Voters of the City and County of San Francisco approved Proposition E which authorized the San Francisco Public Utilities Commission (SFPUC) to issue revenue bonds and other forms of indebtedness when authorized by ordinance for the purpose of reconstructing, replacing, expanding, repairing, or improving water or clean water facilities under its jurisdiction.

The legislation proposes the authorization of the issuance and sale of Wastewater Revenue Bonds and other forms of indebtedness such as State Revolving Fund Loans or Water Infrastructure Finance and Innovation Act loans, to finance various capital wastewater projects, not to exceed $1,047,288,286, with an interest rate not to exceed twelve percent per annum.

The issuance of these bonds and indebtedness will finance and refinance the costs associated with capital improvement projects for the wastewater enterprise, including design, acquisition, and construction costs.

To support the financing of Capital Improvement Projects benefitting the Wastewater Enterprise, in line with Proposition E, and to take advantage of advantageous terms from other financial instruments like SRF Loans or WIFIA Loans.

The issuance and sale of the Wastewater Revenue Bonds and other forms of indebtedness require approval by a two-thirds vote of the Board of Supervisors, as stipulated by Proposition E and detailed in the Commission Resolution.

The Commission is accountable for executing and delivering loan agreements, issuing commercial paper, revolving credit notes, bond anticipation notes, and incurring loans or other advantageous forms of indebtedness as stipulated by the authorized legislation, adhering to the maximum principal amount and interest rate limits set forth.