HomeMy WebLinkAboutA022 - Council Action Form dated August 24, 2010DATE: 1. 1
SUBJECT: SALE
AND ISSUANCE CORPORATE
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GENERAL OBLIGATION BONDS PER THE CITY'S CAPITAL
IMPROVEMENT
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The 2010/11 budget included General Obligation Bond funded capital improvement
projects in the amount of $6,690,000, All projects were reviewed and issuance amounts
adjusted based on timing of projects and current price estimates.
Projects to be funded by this issue include the fallowing:
Fire Apparatus Replacement
$ 531,000
CyRide Route Pavement Improvements (Ontario Street)
900,000
Arterial Street Pavement Improvements (Duff Avenue & 6ch Street)
775,000
Collector Street Pavement Improvements (Storm Street)
850,000
Concrete Pavement Improvements (Oakland Street & Lincoln Swing)
1,000,000
Asphalt Pavement Improvements (various locations)
800,000
Downtown Street Pavement Improvements (Kellogg Avenue)
1,500,000
Bridge Rehabilitation Program (6zh Street/Squaw Creek)
165,000
City Hall Improvements
80,000
Subtotal
$ 6,601,000
Issuance Cost 89,000
Total Debt Issue $ 6,690,000__
On the morning of August 24, 2010, the City of Ames will accept bids for the bonds per
the terms of our offering statement. The bids will be evaluated by our financial advisor,
Public Financial Management, by bond counsel, and by City staff to recommend award
to the bidder with the lowest cost. A report of bids will be provided to Council at its
August 24 meeting. Council may then adapt a resolution accepting bids and authorizing
that the sale of bonds be awarded to the chosen bidder.
CouncilCity adopt a res• •n accepting bids and authorizing the sale and
issuance ofEssential Corporate•• Obligation Bonds in an am• I
not • exceed 'r• •*0 00N
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2. The Council can reject the bond sale resolution and delay the capital projects
MANAGER'S RECOMMENDED ACTION:
Issuance of these bonds is necessary in order to accomplish the City's approved capital
improvements during this fiscal year.
Therefore, it is the recommendation of the City Manager that the City Council accept
Alternative No. 1, thereby adopting a resolution accepting bids and authorizing the sale
and issuance of Essential Corporate Purpose General Obligation Bonds in an amount
not to exceed $6,690,000.
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