Consent 1.K.
Regular City Council Meeting
- Meeting Date:
- 05/24/2010
- TITLE
- Fixing the form and detail of the DNRC for 2010 Water Rehab projects
- PRESENTED BY:
- Patrick M. Weber
- Department:
- City Hall Administration
Presentation:
PROBLEM/ISSUE STATEMENT
On January 11, 2010, the council authorized a loan application for the issuance of Department of Natural Resources and Conservation revenue bonds to pay for the 2010 annual water rehab projects. This resolution authorized the issuance and fixes the terms and conditions of the bond.
ALTERNATIVES ANALYZED
The Council may:
- Approve the resolution fixing the form and detail of the DNRC loan and bonds; or
- Not approve the resolution fixing the form and detail of the DNRC loan and bonds.
FINANCIAL IMPACT
The $3,300,000 water revenue bond will be payable over the term of 20 years at an interest rate of 3.75%. The estimated annual debt payment will be $236,000.
RECOMMENDATION
It is recommended that the City Council approve the attached resolution.