The Alabama Public Housing Authorities Financing Corporation received national attention recently as The Bond Buyer's "Southeast Region Deal of the Year." The Bond Buyer is a daily newspaper that covers the municipal financing industry.

The APHAFC, an association of 37 public housing authorities, worked with local HUD offices to pledge portions of their HUD Capital Fund allocations into a bond pool that secured $125 million in funding to meet the capital improvement needs of the participating members.

The pooled structure allows each PHA to enjoy the benefits of the bond financing while splitting up-front and ongoing financing costs amongst themselves. The result is a highly efficient and cost effective mechanism to access capital markets and address serious and long delayed capital needs.

An article in the May 2003 issue of Affordable Housing Finance noted the HUD officials "worked closely with the many interested housing authorities of all sizes in defining the projects that could be funded through the issuance of these bonds."

The Bond Buyer's "Deal of the Year" will be selected from the regional winners and announced later this month at an awards ceremony in New York City.