ACTION REQUESTED:
Title
A Communication from the City Manager and Finance Director/Comptroller with a Request to ADOPT an ORDINANCE Providing for the ISSUANCE of GENERAL OBLIGATION BONDS, SERIES 2016C in and Aggregate Amount not to Exceed $3,250,000, of the City of Peoria, Peoria County, Illinois to Provide for Certain Improvements within said City, and Providing for the Levy of a Direct Annual Tax Sufficient to Pay the Principal of and Interest on Said Bonds, and Authorizing the Sale of Said Bonds to the Purchaser Thereof.
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BACKGROUND: On May 24, 2016, the City Council approved the amendment to the 2016/2017 Biennial Budget for the issuance of General Obligation Bonds in the amount of $2,150,000 for the construction of a Combined Sewer Overflow Pilot project on Adams Street between Pecan Street and Persimmon Street. In addition, on July 26 the Council approved the Sheridan Road Improvement project from Eleanor Place to McClure Avenue which included $850,000 in bond proceeds to provide for green infrastructure improvements.
The attached ordinance provides for the issuance of General Obligation Bonds in the amount $3,250,000. The future debt service payments for this bond will be from sewer revenues. It is anticipated that the bonds will be sold and closed in September.
FINANCIAL IMPACT: General Obligation Bonds will be sold in the amount not to exceed of $3,250,000. Bonds will be paid back in future years with dedicated revenues from the Sewer Fund.
NEIGHBORHOOD CONCERNS: None related to the bond issuance. A Public Meeting was held on Monday, May 23, 2016 to introduce the CSO Pilot Project. Two Public Meetings were held regarding the Sheridan Road project, which determined the Sheridan Road project would follow the Complete and Green Infrastructure policies.
IMPACT IF APPROVED: Bonds will be sold and funds will be available to complete the Combined Sewer Outflow (CSO) Pilot project and the sewer repairs required for the Sheridan Road project.
IMPACT IF DENIED: Bonds will not be issued and the CSO Pilot project and Sheridan Road project will not have funding to complete the relative projects.
ALTERNATIVES: Budgeted projects may be deferred and funds dedicated to these projects could be re-programmed to the above projects.
EEO CERTIFICATION NUMBER: N/A
WHICH OF THE GOALS IDENTIFIED IN THE COUNCIL’S 2014 - 2029 STRATEGIC PLAN DOES THIS RECOMMENDATION ADVANCE?
1. Financially Sound City Government, Effective City Organization
2. Attractive Neighborhoods with Character: Safe and Livable
WHICH CRITICAL SUCCESS FACTOR(S) FROM THE COMPREHENSIVE PLAN DOES THIS RECOMMENDATION IMPLEMENT?
1. Invest in our infrastructure and transportation.
2. Reinvest in neighborhoods.
3. Have an efficient government.
DEPARTMENT: Finance