Roswell, GA
File #: 11-0754    Version: 1 Name: Defeasance of 2002 bonds
Type: General Item Status: Passed
File created: 12/2/2011 In control: Mayor and City Council
On agenda: 12/12/2011 Final action: 12/12/2011
Title: Approval of the defeasance of the Series 2002 Bonds and Budget Amendment 8000-12-12-11 and Authorization for the Mayor and/or City Administrator to sign the necessary documents. Presented by Julia Luke, Director of Finance
Attachments: 1. Rosolution - Defeasance 2002 bonds, 2. Bonds - Cash Defeasance - Savings Sheet, 3. 47 - Approve the Defeasance of the Series 2002 Bonds and BA 8000 12-12-11_121211

Title

Approval of the defeasance of the Series 2002 Bonds and Budget Amendment 8000-12-12-11 and Authorization for the Mayor and/or City Administrator to sign the necessary documents.

Presented by Julia Luke, Director of Finance

Body

Item Summary:

The Series 2002 Bonds have a first call date of February 1, 2012.  By depositing $6,665,750 from Debt Service Fund Balance in escrow to defease these bonds, the City will realize a net cashflow benefit of $501,862.50.  The Series 2002 Bonds were an advance refund of $9.56 million of the Series 2000 bond issue.  The Series 2000 Bonds were approved for a total of $34.04 million to be used for:  transportation and drainage improvements ($1.2 million); acquisition, construction, equipping of a combined fire station and police precinct building ($2.47 million); acquisition and development of park land ($30.37 million).

 

Committee or Staff Recommendation:

On November 15, 2011 the Administration and Finance and Recreation and Parks Committee recommended placing this Item on the Mayor and Council Agenda.

 

Financial Impact:

Upon Approval of Budget Amendment 8000-12-12-11 $6,575,000 will be available in Cost Center 8000, Account #581100 and $90,750 will be available in Cost Center 8000, Account #584000.  Upon approval, the Debt Service Fund will have a remaining Fund Balance of $1,519,250.

 

Presented by:

Julia Luke, Director of Finance