Certificates of Participation Overview
The Office of the State Treasurer (OST) operates two Certificates of Participation (COP) programs: the LOCAL Program and State Lease/Purchase Program. COP’s provide Washington Local Governments and State agencies with an alternative way to finance essential real estate and equipment over a multi-year period. The program is structured to ensure agencies benefit from economies of scale and the State’s low tax-exempt financing rates.
- LOCAL Program Timeline
- State Lease/Purchase Program Timeline
- Recent State and LOCAL Lease/Purchase Program Interest Rates
Legal and administrative costs for each participating agency are minimized through the use of standardized documentation. Once financing documents have been completed and borrowing rates set by the market, each local government receives a detailed schedule of semi-annual payments due on its outstanding leases. Funds are either distributed directly to vendors or made available on a reimbursement basis upon receipt of detailed invoices and proof of payment.
To ensure compliance with tax and legal requirements, OST monitors the spend-down of proceeds and the use of the facilities that have been financed. OST also monitors refunding opportunities.
The LOCAL program provides Washington municipalities with a cost-effective way to finance equipment and/or real estate projects. Participants will benefit from the current program rating of Moody’s Aa2, low fees and expenses, technical assistance, and access to the public bond markets.
Please click on the following links for more information:
State Lease/Purchase Program
Please see the links below for a more detailed description of the program parameters, the financing process and required documentation.