HomeMy WebLinkAboutA013 - Council Action Form dated August 14, 2018 ITEM # 23
DATE: 08-14-18
COUNCIL ACTION FORM
SUBJECT: RESOLUTION APPROVING OFFICIAL STATEMENT FOR GENERAL
OBLIGATION CORPORATE PURPOSE BONDS, SERIES 2018A, SETTING
DATE OF SALE FOR AUGUST 28, 2018, AND AUTHORIZING ELECTRONIC
BIDDING FOR THE SALE
BACKGROUND:
The FY 2018/19 Budget and Council-approved changes include General Obligation (G.O.)
Bond-funded capital improvement projects in the amount of $7,987,000. The City Council held a
public hearing on the issuance of these bonds on March 6, 2018. Council action is now required
to approve the official statement, set the date of sale for August 28, 2018, 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. The proposed
issuance is in compliance with the City Council approved debt policy.
Projects to be funded by this bond issue include the following:
Grand Avenue Extension $ 3,700,000
Collector Street Improvements 1,750,000
Asphalt Street Improvements 1,400,000
City-Wide Radio System 1,000,000
Fire Station #1 Concrete Replacement 137,000
Subtotal Tax Supported Bonds $ 7,987,000
Issuance Cost and Allowance for Premium 133,000
Grand Total —2018/19 G.O. Issue $8,120,000
ALTERNATIVES:
1. Adopt a resolution approving the Official Statement for General Obligation Corporate
Purpose Bonds, Series 2018A, setting the date of sale for August 28, 2018, and authorize
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.