|
DEBT SERVICE FUNDS
<br />Overview
<br />Debt Service funds are used to account for the accumulation of resources used for the payment of principal,
<br />interest, and fiscal charges for the various City debt issues.
<br />The City maintains an “AA+” rating from Standard & Poor’s for the City’s general obligation debt.
<br />Outstanding Debt:
<br />The City has two bond issues outstanding. These bonds are the 2014A Bonds and the 2015A Bonds. In addition,
<br />the City has three notes outstanding with Ramsey County, and one interfund loan in the Debt Service funds.
<br />2014A Bonds (Fund 310)
<br />The 2014A Bonds were issued for the construction of the Public Works Facility. The repayment of this
<br />bond is from the Water/Sewer Equipment Replacement Fund (604). A transfer from the Water/Sewer
<br />Equipment Replacement Fund to the 2014A Debt Service fund (310) is made each year for the debt
<br />service payment. The final maturity date on these bonds is in 2034. The repayment schedule is below:
<br />Year Principal Interest Total
<br />2020 $145,000 $80,675 $225,675
<br />2021 150,000 77,725 227,725
<br />2022 150,000 74,350 224,350
<br />2023 160,000 70,475 230,475
<br />2024 160,000 66,475 226,475
<br />2025-2029 880,000 261,738 1,141,738
<br />2030-2034 1,045,000 105,650 1,150,650
<br />Total $2,690,000 737,088 $3,427,088
<br />2015A Refunding Bonds (Fund 320)
<br />The 2015A Refunding Bonds were issued for projects in TIF District 5-1 (St. Jude). The repayment of
<br />these bonds is from tax increment revenues from TIF District 5-1(460), a Capital Projects Fund. A
<br />transfer from TIF District 5-1(460) to the 2015A Debt Service fund (320) is made each year for the debt
<br />service payment. Tax increment revenues are projected to produce 100% of the revenue to repay these
<br />bonds. The final maturity date on these bonds is in 2026. The repayment schedule is below:
<br />Principal Interest Total
<br />2020 $130,000 $18,653 $148,653
<br />2021 130,000 16,053 146,053
<br />2022 135,000 13,403 148,403
<br />2023 135,000 10,703 145,703
<br />2024 145,000 7,903 152,903
<br />2025-2026 290,000 6,562 296,562
<br />Total $965,000 $73,277 $1,038,277
<br />DRAFT DOCUMENT 59
|