*Funding Made Possible Through The Tennessee Utility Assistance, LLC
Officials at the Tennessee Utility Assistance, LLC (TUA) recently announced that the Second South Cheatham Utility District of Cheatham County, Tenn., has closed on a $7.09 million loan through the TUA, LLC municipal finance program. The loan will be used to fund a new raw water intake on Turnbull Creek, allowing the District to diversify its water supply source. The District also refinanced select outstanding bonds for significant interest cost savings.
The loan issue received an “AA-” rating from Standard & Poor’s, the highest rating assigned to any local government or utility in Cheatham County. The rating is comparable to many larger cities, counties and utilities in the Nashville Metropolitan area. It is also a reflection of the District’s leadership ability to create and maintain strong financial and operating profiles including healthy debt service coverage and liquidity levels.
Additionally, Standard & Poor’s cited the District’s “financial profile, with its limited capital needs, making it likely that strong financial performance is sustainable,” as a major contributor to their opinion.
Bill Zimmerman is the District’s general manager and has given 28 years of service to the District in many capacities. Members of the Board of Commissioners include Jason West, H.O. Lampley and Chester Hannah.
The District serves more than 2,800 water customers in Cheatham County.
About TUA, LLC:
Tennessee Utility Assistance, LLC (TUA) is a registered municipal advisor that provides multiple services to Tennessee’s utilities. TUA, LLC helps utilities reduce costs and increase efficiencies for day-to-day operations through obtaining financing for capital improvements projects or consolidating existing debt. TUA, LLC also provides advisory services including water audits, water loss corrective action plans, cross connection programs and other management advisory services. In addition, TUA, LLC provides access to safety and compliance training. TUA, LLC provides action on behalf of Tennessee utilities. Contact John Hall for more information at (931) 607-1014.