Connecting rural and tribal communities to affordable financing for critical infrastructure projects.
GADA assists Arizona communities with the development of public infrastructure projects that enhance community and economic development.
Application Round Closed
The current round of financial assistance closed on October 1, 2024. Applications will be reviewed and discussed at upcoming GADA Board Meetings and funding announcements are expected in the first quarter of 2025.
The Next Round is Coming in Early 2025!
When applications are open to be considered for funding, submit this completed application form and all required information, explanations, and documentation to [email protected].
Why use GADA
Lower Interest Rates
Borrowers use GADA’s strong bond rating for lower borrowing costs.
Reduced Fees
GADA would also subsidize up to 50 percent of the cost of issuance (closing costs).
Technical Assistance
GADA would fund up to $250k in technical support, which could then be rolled into the costs of the project financed by the GADA bond.
GADA supported 84 projects statewide from 1997 - 2014
Past projects included firehouses, libraries, recreation centers and transportation improvements.
GADA previously issued over $574 million in bonds, leveraging up and cycling out its original $20M allocation. Due to bond agreements restricting its current assets, GADA has not issued bonds since 2014.
Bonds are repaid through dedicated project revenues or local future tax revenues. GADA historically also provided valuable technical assistance to communities, helping finalize details of projects or even in early exploration of future projects.
Example of past projects financed by GADA:
- $19.9 million Cottonwood, included the library and recreation center
- $3.6 million Williams, justice center and much needed water projects
- $58 million Lake Havasu Program year four of the wastewater expansion project
- $9 million City of Safford, street projects
- $14 million Town of Buckeye, municipal complex
- $11 million Town of Queen Creek, library
- $16 million Town of Sahuarita, municipal complex
What to expect
GADA plans to open two rounds of funding beginning in summer 2024 through 2025. GADA is working to evaluate bonding capacity in the current market and given current assets.
Public Meetings
GADA Board of Director holds public meetings the third Thursday of each month. Please visit the Arizona Finance Authority Public Meeting page to find dates and agendas.
Frequently Asked Questions
What is eligible under GADA financing?
- Any publicly-owned and maintained infrastructure. This includes water projects, roads, community centers, fire stations, etc.
- At this time, housing and schools are not included in eligibility
Who is eligible for GADA financing?
- Political subdivision, special district, or Indian tribe. This includes fire and water districts, cities and towns.
How much can I borrow?
- The bonding capacity for GADA is $120M to $140M; however, Category I borrowers can borrow near unlimited funds. Category I means a rating indication assigned by Moody’s that applies to applicants that have credit ratings determined to fall into the category of A3 or higher.
What will I need to show in the application?
- The application can be accessed at gada.az.gov.
- The applicant will need to show the project is ready for construction and that the applicant has sufficient funds to make the necessary payments.
Do I need to have the governing body resolution submitted with my application?
- No. While required for a complete application, the resolution can be obtained following the due date.
Can we refinance?
- GADA funding is eligible for refinancing, though not immediately. Refinancing options will be available in the final bond documents.
- Loans can always be paid off early if all principal and interest payments are made as repayment.Penalties may apply.
How are applications scored?
- Scoring is laid out in the GADA rules for financial assistance. You can download the rules here: [attach PDF]
What happens after my application is approved?
- Loans approved from the financial assistance round will be bundled and a bond will be issued from GADA
- Successful applicants will receive money after the bond is issued as described in the bond documents.
Are there any costs associated with getting a GADA loan?
- There is a cost to issuing bonds due to the fees associated with counsel and underwriting.
- Costs will be partially subsidized by GADA, up to 50%, and any remaining costs will be distributed among the successful applicants.
When will we receive our funds?
- Funds will be distributed following the approval of applicants and the bond issuance in early 2025.
How can you find out more about GADA and how to apply?
For more information, please contact Mary Foote, Director | 602-739-7506 | [email protected]