From
Brady Olsen, Treasury and Debt Manager
Title
Ordinance authorizing the issuance of “CITY OF GRAND PRAIRIE, TEXAS, GENERAL OBLIGATION REFUNDING BONDS, SERIES 2019,” specifying the terms and features of said bonds; levying a continuing direct annual ad valorem tax for the payment of said bonds; and resolving other matters incident and related to the issuance, sale, payment and delivery of said bonds, including the approval and execution of a Paying Agent/Registrar Agreement, Purchase Agreement and an Escrow Agreement, and the approval and distribution of an Official Statement pertaining thereto; and providing an effective date
Presenter
Brady Olsen, Treasury and Debt Manager
Recommended Action
Approve
Analysis
On June 18th, Council was presented with an overall debt financing plan for the coming year. As a part of this plan, the City has the opportunity to refund outstanding debt at a lower interest. We will be refunding approximately $21 million in certain 2011 series of debt without extending the maturity. We anticipate a savings of just under 8% and approximately $1.5 million. The refunding meets the city policy of either 5% or $200,000. Due to recent changes in federal bond regulations, this will be a forward refunding with payment expected to be made in November.
Financial Consideration
The debt obligations are being funded in a negotiated sale, due to the complex nature of the multiple issuances. Funding for the debt payment is included in the GO Debt Service Fund. The City's Bond Counsel, Norton Rose Fulbright, will bring the final bond ordinance to the City Council meeting the day of the sale, August 6th, 2019.
Body
AN ORDINANCE OF THE CITY OF GRAND PRAIRIE, TEXAS,