Mintz Advises MEFA on $475M+ of Revenue Bonds for Education Loans
Key Facts
- Massachusetts Educational Financing Authority (MEFA) is a quasi governmental agency that provides low-cost education loans to assist students and their families with the costs of higher education
- Through the issuance of four tranches of revenue bonds in June 2024, MEFA was able to fund (or refund) approximately $475 million in education loans
- Mintz serves as bond counsel, finance counsel, and program counsel to MEFA, having served in these roles since MEFA’s inception
The Situation
Our long-term client, Massachusetts Educational Financing Authority (MEFA), is an independent, self-funded authority established by The Commonwealth of Massachusetts to facilitate college attendance. MEFA offers education loans to eligible students attending approximately 1,300 participating nonprofit colleges and universities nationwide, including approximately 88 institutions in Massachusetts.
The Approach
Mintz provides legal services to MEFA year-round, but our work in connection with the issuance of approximately $475 million of revenue bonds commenced in February 2024. Our legal work related to that issuance included:
- Drafting of a new general resolution and two series of resolutions providing for the issuance of both taxable and tax-exempt bonds
- Close communication with underwriters and rating agencies related to structuring the bond deal
- Interfacing with public agencies, including the governor’s office, to secure necessary approvals
- Negotiation of guaranteed investment contracts
- Related finance, tax, securities, and secured lending advice
The Outcome
Serving as bond counsel, finance counsel, and program counsel, Mintz closed a publicly offered $475,530,000 bond financing, including one tranche of index-eligible taxable bonds and three tranches of tax-exempt bonds. Using these funds, MEFA will provide critical student loan funding that enables students to attend approximately 1,300 participating nonprofit colleges and universities, including 88 institutions in Massachusetts.
