Consent 1.I.
Regular City Council Meeting
- Meeting Date:
- 07/25/2011
- TITLE
- Resolution Authorizing the Issuance and Private Negotiated Sale for Refunding Special Improvement District 1360 Bonds
- PRESENTED BY:
- Patrick M Weber
- Department:
- City Hall Administration
Presentation:
Information
PROBLEM/ISSUE STATEMENT
The City has been working with Piper Jaffray on the refunding of bonds for Special Improvement District (SID) 1360 (Gabel Road). These bonds were issued in 2003 with a net effective interest rate of 5.63%.
Based on preliminary analysis, the City could achieve debt savings by refunding the SID 1360 bonds. These savings would be passed on to the property owners in the district.
The proposed resolution authorizes the Financial Services Manager to proceed with the refunding of the bonds in a negotiated sale.
Based on preliminary analysis, the City could achieve debt savings by refunding the SID 1360 bonds. These savings would be passed on to the property owners in the district.
The proposed resolution authorizes the Financial Services Manager to proceed with the refunding of the bonds in a negotiated sale.
ALTERNATIVES ANALYZED
The Council may:
- Approve the resolution; or
- Not approve resolution.
FINANCIAL IMPACT
The Refunding Bonds are being issued to reduce future interest costs. The estimated savings is $150,000.
RECOMMENDATION
Staff recommends that the City Council approve the attached resolution authorizing a negotiated bond sale for SID 1360 and set a public hearing date for August 8, 2011.