Focus Area: Economy
Staff Contact: Jamie Robichaud, Mary Jaeger, Kate Messer
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title:
title
Consideration of Resolution No. 26-1066 authorizing the public sale of Water and Sewer System Improvement Bonds, Series 2026.
Body
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recommended motion:
To approve as part of the consent agenda.
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Summary:
The City’s bond counsel, Gilmore & Bell, has prepared Resolution No. 26-1066 authorizing the sale of Water and Sewer System Revenue Bonds, Series 2026, in the approximate principal amount of $50,000,000. The proposed Revenue Bond issuance will provide funding for the following projects:
• Indian Creek Trunk Main Improvements
• West Cedar Creek Interceptor Phase I
• Cedar Creek WWTP Expansion Phase II (BNR)
• Super Critical Water Oxidation Pilot
• Cedar Creek Solids Handling Expansion
• Lone Elm Park Sanitary Sewer Rehab
• Waterline Rehabilitation
• Wellfield Drainage Ditch
• WPT2:Membrane Module Replacement
Project expenditures funded by this bond issue total $127,390,233. The remaining amount of issuance covers debt service requirements related to debt service reserve fund and costs of issuance. Revenue Bonds are secured by future user fee revenues, rather than the City’s ability to levy taxes. Series 2026 has a 20-year term.
The City is tentatively scheduled to accept bids on September 1st, 2025. The Mayor is authorized to award the sale of the Series 2026 Bonds to the submitter of the best proposal or reject all proposals per Resolution No. 26-1066, provided that the principal amount does not exceed $53,000,000, and the true interest cost of the Series 2026 Bonds does not exceed 6.00%.
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Financial Information:
The amount of Water and Sewer Revenue Bonds, Series 2026, is approximately $50,000,000
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Attachment(s):
A. Draft Sale Resolutions
B. Draft Summary Term Sheet