Fiscal Note
This resolution authorizes the issuance of $21,095,000, in water utility revenue bonds to be repaid over a twenty-year amortization period. Proceeds will finance an advanced metering infrastructure project, a water main replacement program, new water main construction, a new booster pumping system and other capital projects. The true interest rate on the entire issuance is 2.41%. Annual interest rates range from 2% to 4%. Net interest costs over the twenty year life of the bonds is $7.7 million. The winning bid includes an issuance premium of $1,834,021, which can be applied toward project costs. Debt service on the bonds will be approximately $1.5 million annually, paid from water utility revenues. The bonds received a Aa1 rating with a negative outlook from Moody's.
Title
SUBSTITUTE. A Resolution Authorizing and Providing for the Sale and Issuance of $21,095,000 Water Utility Revenue Bonds, Series 2012
Body
See Attached