DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: City-Wide
SUBJECT:
Issuance, Sale, and Delivery of 2014 Refunding Bonds
SUMMARY:
This Ordinance by the City Council of the City of San Antonio, Texas authorizes the issuance of up to $65,500,000 "City of San Antonio, Texas General Improvement Refunding Bonds, Series 2014"; levies an annual ad valorem tax, within the limitations prescribed by law, for the payment of the bonds; prescribes the form, terms, and conditions of, and resolves other matters incident and related to, the issuance, sale, and delivery of the bonds, including the approval and distribution of an official statement pertaining thereto; authorizes the execution of an Escrow Agreement, a Paying Agent/Registrar Agreement, and a Purchase Contract; complies with the provisions of the Depository Trust Company's Letter of Representations; delegates the authority to certain City officials and staff to establish terms of sale of the bonds and to execute certain documents relating to the sale thereof; and provides for an effective date.
BACKGROUND INFORMATION:
The 2014 General Improvement Refunding Bonds (the "2014 Refunding Bonds") in the approximate amount of $53,690,000 are being issued to refund approximately $56,290,000 of various outstanding general obligation issuances of the City. This refunding transaction is projected to produce total savings of $7,168,632 with annual savings estimated at $550,000 in FY 2015 and an average of $661,000 per year from FY 2016 though FY 2025. Net present value savings on the transaction is estimated to be $6,540,258 or 11.62% of the refunded obligations.
This Ordinance authorizes the issuance of the 2014 Refunding Bonds in an amount not to exceed $65,500,000. The differential is attributable to the potential refunding of additional obligations for savings and will be dependent upon market conditions and determined at the time of the sale. Paramete...
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