07-08-1987 Additions - Laserfiche WebLink

Home Browse Search

Mr. Joseph G. Chlebeck June 24, 1987 Page 2 The scope of our proposed Debt Service Study for your City will be two -fold. First, we will prepare and compile cash flow projections for each of the City's definitive bond funds (at December 31, 1986) to the maturity of each bond issue. The financial data to be projected is generally as follows: RECEIPTS /REVENUE: • Special Assessments including interest • General property taxes including State aids related thereto • Interest on investments • Other items as appropriate DISBURSEMENTS /EXPENDITURES: • Bond principal and interest • Other items as appropriate We anticipate multiple cash flow projections for each of the City's Debt Service Accounts. The use of multiple projections will allow us to analyze the results based upon several "what if" sets of criteria (i.e., variable collection rates for receipts /revenue combined with variable interest rates for investment earnings). Each of these cash flow projections will be reviewed for accuracy and reconciled to the City's financial accounting records and 1986 Annual Financial Report prior to being analyzed further. Second, we will perform an analytical review of the various cash flow projec- tions and interpret the results for each bond issue. Additionally, we will sum- marize the results and provide the City with an overview of the cash flow projections and our analytical review and interpretations. As part of our review, we will detail options available to the City, as well as recommended courses of action when and where applicable. In order to facilitate an efficient report, the following should be provided by City staff: • Preparation of various data input forms as follows: - Fund Master File Maintenance - Assessment Schedules - Regular - Assessment Schedules - Other - Debt Payment Schedules - Tax Levy Schedules - Beginning Fund Cash Assets • Compilation of information concerning other potential receipts such as connection charges, transfers, etc. • Various assumptions regarding collection rates (assessment, property tax, other receipts, etc.) • A range of assumed investment interest rates to be earned on available cash balances. We will be available for review and consultations during the period in which the above information is compiled. We will also provide for an exit conference with City Staff to review drafts of the various cash flow projections and our analy- tical review and interpretation prior to final delivery of such reports. PAGE -10