City of Madison, Wisconsin | Legislative Information Center
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File #: 58215    Version: 1 Name: $13,140,000* Taxable Water Utility Revenue Refunding Bonds, Series 2019B
Type: Resolution Status: Passed
File created: 11/12/2019 In control: WATER UTILITY BOARD
On agenda: 11/19/2019 Final action: 12/3/2019
Enactment date: 12/3/2019 Enactment #: RES-19-00825
Title: Resolution Authorizing and Providing for the Sale and Issuance of $13,140,000* Taxable Water Utility Revenue Refunding Bonds, Series 2019B, and All Related Details
Sponsors: Michael J. Tierney, Marsha A. Rummel
Attachments: 1. 58215 Body.pdf, 2. Tic bid Madison 2019B.pdf, 3. Winning bid signed by the purchaser - 2019B.pdf, 4. Madison Water Utility 2019B Taxable Revenue Ref Bonds - Award Resolution.pdf

Fiscal Note

This resolution authorizes the issuance of $13.1 million in water utility taxable advance refunding revenue bonds to be repaid over a twelve year amortization period.  Proceeds will be used to advance refund 2011 series Water Utility revenue bonds at a lower interest rate. The net present value savings of the refunding is $663,100 (4.8% of refunded principal and interest); the cash flow savings (prior issue debt service vs. refunded debt service) is $1.1 million, or approximately $90,000 annually.  The true interest rate on the entire issuance is 2.35%. Annual interest rates range from 1.7% to 2.65%.  Net interest costs over the twelve year life of the bonds is $2.1 million.  Debt service on the bonds will be approximately $1.2 million annually, paid from water utility revenues.  The bonds received an Aa2 rating with a Stable outlook from Moody's Investors Service.

 

Title

Resolution Authorizing and Providing for the Sale and Issuance of $13,140,000* Taxable Water Utility Revenue Refunding Bonds, Series 2019B, and All Related Details

Body

See attached document.