HomeMy WebLinkAboutA018 - Council Action form dated August 9, 2016 ITEM # 13a&b
DATE: 08-09-16
COUNCIL ACTION FORM
SUBJECT: RESOLUTION APPROVING OFFICIAL STATEMENT FOR GENERAL
OBLIGATION CORPORATE PURPOSE BONDS, SERIES 2016A, SETTING
DATE OF SALE FOR AUGUST 23, 2016, AND AUTHORIZING ELECTRONIC
BIDDING FOR THE SALE
BACKGROUND:
The 2016/17 Budget and Council-approved changes include General Obligation (G.O.) Bond-
funded capital improvement projects in the amount of $14,253,975. The City Council held public
hearings on the issuance of these bonds and refunding bonds on March 1, 2016. Council action
is now required to approve the official statement, set the date of sale for August 23, 2016, and
authorize electronic bidding.
The Official Statement, or "Preliminary Official Statement," is the offering document for
municipal securities, in preliminary form, which does not contain pricing information. The
Statement provides several financial disclosures and information about the City. This
"Preliminary Official Statement" is on file in the City Clerk's Office and can be viewed on the
City's website. Additionally, Council is asked to approve electronic bidding as the method to
provide a secure and highly competitive process for the sale of the bonds.
Projects to be funded b this bond issue include the following:
1 Y 9
East Industrial Utility Extension $ 3,300,000
Debt Abated by other Revenues $ 3,300,000
Flood Mitigation 500,000
Storm Water Erosion Control 250,000
Asphalt Street Improvements 1,250,000
Grand Avenue Extension 1,300,000
Concrete Pavement Improvements 1,050,000
Arterial Street Pavement Improvements 345,000
Downtown Street Pavement Improvements 375,000
CyRide Route Improvements 525,000
Bridge Rehabilitation Program 350,000
Subtotal Tax Supported Bonds $ 5,945,000
Refunding Bonds 3,335,000
Issuance Cost and Allowance for Premium 125,000
Grand Total—2016/17 G.O. Issue $ 12,705,000
ALTERNATIVES:
1. Adopt a resolution approving the Official Statement for General Obligation Corporate
Purpose Bonds, Series 2016A, setting the date of sale for August 23, 2016, and authorizing
electronic bidding for the sale.
2. Refer the Official Statement back to City staff for modifications.
MANAGER'S RECOMMENDED ACTION:
Issuance of these bonds is necessary in order to accomplish the City's approved capital
improvements for the current fiscal year.
Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative
No. 1 as stated above.
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