Title
Approving a resolution with the caption reading: RESOLUTION APPROVING PRELIMINARY OFFICIAL STATEMENT AND AUTHORIZING DISTRIBUTION OF SUCH PRELIMINARY OFFICIAL STATEMENT RELATING TO THE CITY'S COMBINATION TAX AND LIMITED REVENUE CERTIFICATES OF OBLIGATION, SERIES 2016A, SERIES 2016B, TAXABLE SERIES 2016C AND LIMITED TAX AND REFUNDING BONDS, SERIES 2016.
Summary
This resolution is the next step in the process of issuing debt. The City will be issuing certificates of obligation (CO) of up to $9.38 million for roadway, park and facility projects and acquisition of land and police software (see list attached), Series A; certificates of obligation of up to $6.3 million to reimburse the developer for TIRZ projects, Series B; and, a taxable certificate of obligation issuance of up to $1.6 million to reimburse City for TIRZ projects, Series C.
In addition, up to $31.875 million of general obligation (limited tax) bonds will be issued for street and park projects authorized by citizens in the 2014 and 2015 bond elections. The issuance related to the 2014 election includes $10.5 million for streets and $18.5 million for parks. The portion of the issuance related to the 2015 election includes $2.93 for street projects. After this issuance, $18.75 million of authorized but unissued debt will remain, approximately $7.5 million for streets 2014 election, $4.6 million for parks 2014 election, and $6.6 million for streets 2015 election. Further, current market conditions appear favorable to pay off certain previously issued bonds by refinancing the outstanding principal and obtaining a lower interest rate on the new debt. The decision whether or not to issue refunding bonds will be made at the time of the bond sale and will depend on the net present value calculated on market rates on that day. Currently, the Financial Advisor estimates that approximately $15.8 million of existing debt can be refinanced with limited tax refunding bonds. Information contained in...
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