Water Agency Swap Confirmation Document

This document is a swap confirmation statement related to Sacramento County's Water Agency Revenue Bonds and swap advisory services procurement. The confirmation outlines the terms and conditions of an interest rate swap agreement associated with the County's 2007B Water Agency Revenue Bonds, which are indexed to the Secured Overnight Financing Rate (SOFR). The County seeks qualified swap advisory firms to provide comprehensive advisory services for its outstanding swap agreements covering both the 2008 Pension Obligation Bonds and the 2007B Water Agency Revenue Bonds. The scope of services includes ongoing advisory support for existing swap agreements, rate validation services, analysis of potential future variable rate and swap agreements, and potentially swap valuation services along with GASB 53 and GASB 72 compliance reporting in a second phase. The County intends to award a contract for a four-year initial term with an option to extend for an additional one year.

The County's existing financing team includes PFM Financial Advisors LLC as Municipal Advisor, Orrick as Bond Counsel, and Stradling Yocca Carlson & Rauth, P.C. as Disclosure Counsel. The swap confirmation document contains specific technical details regarding the swap agreement structure, payment terms, and conditions relative to the Water Agency Revenue Bonds. Pricing and other commercial terms for the advisory services contract are to be determined through the Request for Proposals process. The procurement represents the County's commitment to maintaining professional oversight of its complex debt instruments and ensuring compliance with applicable accounting standards.