Item Coversheet
 STAFF REPORT
For Meeting of August 24, 2020
MAYOR AND MEMBERS OF THE CITY COUNCIL
Agenda Item # 8.B.

TITLE:  Resolution # 2165 - Authorization to Execute and Deliver a Full Faith & Credit Financing Agreement 
Subject

Resolution #2165 - To authorize the execution and delivery of a full faith & credit financing agreement for the purpose of refinancing outstanding obligations of the city and designating authorized representatives, placement agent/underwriter and special counsel and related matters.

Summary and Background

In 2010 the City entered into two Clean Water State Revolving Fund Loan Agreements (#R43770 and #R43771) for $4,047,328 and $11,409,645 respectively. 

 

Both of these loans can be prepaid in whole or in part upon 24 hours written notice.

 

Refinancing these two loans will result in debt savings to the City.

 

This issuance would be added to the already approved bond issue for city hall.



Tie-In to Council Goals:

City Council Goal #2: Fiscal Prudence

Fiscal Information

This refinancing of the two loans should provide approximately $880,000 in Net Present Value savings over the life of these bonds and approximately $1.4 million in gross interest savings.

Alternatives and Recommendation
Alternatives

1. Approve the Authorizing Resolution #2165 as presented.

 

2. Do not approve the Authorizing Resolution #2165 as presented.



Recommendation

Staff recommends approval of the Authorizing Resolution #2165 as presented.

Requested Action/Motion

Request a Motion to approve Resolution #2165 as presented.

Submitted By:  Mark Krawczyk
ATTACHMENTS:
DescriptionType
Resolution #2165Cover Memo