ACTION REQUESTED:
Title
Communication from the City Manager and Finance Director/Comptroller Requesting the Approval of an ORDINANCE Providing for the ISSUANCE of $10,000,000 (Amount Subject to Change) GENERAL OBLIGATION BONDS, SERIES 2014 A, of the City of Peoria, Peoria County, Illinois, for the Purpose of FINANCING CERTAIN CAPITAL PROJECTS in and for the City, and Providing for the LEVY and COLLECTION of a DIRECT ANNUAL TAX for the Payment of the Principal of and Interest on Said Bonds.
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BACKGROUND:
Included in the City's annual budget is the issuance of debt to complete capital projects. The bonds to be issued are for the continuation of the sewer rehabilitation project with the sanitary district in the amount of $6,000,000 and for capital projects for sidewalk improvements, streetscape and other infrastructure improvements in the amount of $4,000,000. Bond proceeds generally must be expended within two years of selling the bonds.
The bonds will be sold on Tuesday, March 11, 2014. Our financial advisor, Kevin McCanna, from Speer Financial, Inc, will be here to report the results of the competitive sale. The bonds will be sold as bank qualified bonds thereby, saving the City in interest cost.
A replacement ordinance will be provided at March 11, 2014 Council meeting reflecting the final sale.
FINANCIAL IMPACT: Increase in annual future debt service payments
NEIGHBORHOOD CONCERNS: None expressed
IMPACT IF APPROVED: Implementation of a cost-effective method of financing public infrastructure improvements.
IMPACT IF DENIED: Failure to utilize an affordable and cost-effective method of financing public infrastructure improvements. Projects would be delayed as funding would not be available.
ALTERNATIVES: N/A
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 Organiz...
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