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Mr. Joseph Chlebeck
<br />January 4, 1984
<br />Page 2
<br />The above allocation is based upon the original data used for the 1983 Bonds as
<br />adjusted for the second 1983 interest payment; the January 1, 1983 cash balance
<br />in the 1981 Bonds Debt Service Account; and, other current information. These
<br />bond proceeds plus $145,000 cash transfer from the 1981 Construction Account
<br />will be sufficient to finance the retirement of the 1981 Temporary Bonds and the
<br />construction of Projects 1981 -1, 4, 8 & 9 based upon cost estimates of the City
<br />Engineer.
<br />The 1981 Temporary Bonds will be called on April 1, 1984. A projection of the
<br />cash transactions from January 1, 1983 to March 30, 1984 is as follows:
<br />Revised
<br />Bond Issue Projected
<br />Budget Actual
<br />CASH RESOURCES:
<br />• Cash Balance - 1/1/83 $ 11,094 $ 11,094
<br />• Bond Proceeds - 1983 Bonds 986,967 986,967
<br />• Construction Surplus 145,000 145,000
<br />• Interest Earnings:
<br />Jan. - Sept., 1983 35,333 38,218
<br />4th Qtr, 1983 -0- 23,850
<br />1st Qtr, 1984 -0- 24,772
<br />• Other - Juran & Moody, Inc. -0- 4,378
<br />Variance
<br />$ 2,885
<br />23,850
<br />24,772
<br />4,378
<br />Totals 1,178,394 1,234,279 55,885
<br />CASH OUTLAY:
<br />• Bond Principal 1,060,000 1,060,000
<br />• Bond Interest 106,000 159,000 53,000
<br />• Paying Agents Fees -0- 764 764
<br />• Insurance Costs 12,394 13,530 1,136
<br />VARIANCE
<br />Totals 1,178,394 1,233,294 54,900
<br />$ 985 $ 985
<br />As the above schedule indicates, this fund should have sufficient assets to meet
<br />the requirements of these bonds. City records for 1983 should be adjusted to
<br />reflect the above bond proceeds and cash transfer from the 1981 Construction
<br />Fund. Additionally, the 1983 interest earnings allocated to the 1981 Debt
<br />Service Fund (and the other affected funds) must be modified to reflect these
<br />revised transactions rather than the original transactions. My staff will make
<br />these adjustments at December 31, 1983 to assure that all of these adjustments
<br />are made at year end.
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