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19 <br /> <br /> Revenue bond debt shall not exceed $1,000 per capita. <br /> <br /> Bond issues may require a special debt levy. The City hereby adopts a policy to <br />limit the amount of the city’s property tax levy dedicated to debt service (principal <br />and interest plus 5% for G.O. bonds ) to less than 5% of the total tax levy. Unlike <br />rating agencies, the City’s definition of tax levy does not include special <br />assessments, tax abatements, or tax increments. <br /> <br /> Pure revenue bond debt for the City shall be used primarily as lease revenue bonds, <br />supported by taxes. <br /> <br /> Conduit debt – See conduit debt policy. <br /> <br />Debt Issuance Practices <br /> <br />Whenever the City is contemplating a possible bond issue, the information will be developed <br />concerning the following categories commonly used by rating agencies assessing the City’s <br />creditworthiness. <br /> <br /> Debt Analysis <br />o Debt capacity analysis <br />o Purpose of which the debt is issued <br />o Debt structure <br />o Debt burden <br />o Debt history and trends <br />o Adequacy of debt and capital planning <br /> Financial Analysis <br />o Stability, diversity, and growth rates of tax or other revenue sources <br />o Trend in assessed valuation and collections <br />o Current budget trends <br />o History and long term trends of revenues and expenditures <br />o Fund balance status and trends in operating and debt funds <br />o Cash flow projections <br /> Economic Analysis <br />o Population and demographics <br />o Economic environment and trends <br /> <br /> Rating Agencies: The City will utilize Standard and Poor’s for all of its debt issuance of <br />more than $1M or longer than 3 years in term. <br /> <br /> Method of Sale: The City shall use competitive bidding for all of its debt unless the debt is <br />so specialized in its nature that it will not attract more than 2 bids. <br /> <br /> <br />