2018-130 Council Resolution - Laserfiche WebLink

Home Search

CITY COUNCIL AGENDA ITEM 2A STAFF ORIGINATOR: Sarah Cotton, Finance Director MEETING DATE: October 8, 2018 TOPIC: Consider Resolution No. 18-130, Providing for the Issuance and Sale of General Obligation Bonds, Series 2018A, in the Proposed Aggregate Principal Amount of $7,169,000 VOTE REQUIRED: 3/5 BACKGROUND At the September, 10, 2018, City Council Meeting, the City Council accepted bids and awarded a construction contract for the 2018 LaMotte Area Street and Utility Improvement project. The project includes street reconstruction, drainage and sanitary sewer improvements. To finance the street reconstruction and drainage improvements, the City will issue General Obligation Street Reconstruction Bonds. The bonds will be repaid over a 15-year period through a general debt service tax levy. At the July 23, 2018, City Council Meeting, the City Council approved the plans and specifications and authorized the advertisement of bids related to the 2018 West Shadow Lake Drive Area Street and Utility Improvement Project. The project includes street reconstruction, drainage improvements, and sanitary sewer and watermain extension. The Street Reconstruction portion of the bonds will be repaid over a 15-year period through a general debt service tax levy. The utility portion of the bonds will be repaid over a 15-year period through special assessments in the principal amount of $943,343 and by utilizing revenues from the City's Area and Unit Trunk fund. The City Council will consider accepting bids and awarding a construction contract for the 2018 West Shadow Lake Drive Area Street and Utility Improvement Project at the October 8, 2018, City Council Meeting. Finally, at the September 24, 2018, City Council Meeting, the City Council accepted bids and awarded a construction contract related to Trunk Watermain improvements along Lake Drive. The project provides improved water quality supply and adequate pressure for fire demand. The project includes installation of trunk watermain from Marshan Lane to Park Court and from an existing line from Well No. 6 to Well No. 3. To finance the construction of the watermain improvements, the City will issue General Obligation Utility Revenue Bonds. The bonds will be repaid over a 10-year period utilizing revenues from the City's Area and Unit Trunk fund. The City's fiscal advisor, Springsted, Inc., has made its recommendations for the issuance of General Obligation bonds to finance these improvements. Terri Heaton of Springsted, Inc. will be present to answer any questions that the City Council may have relative to the recommended financing.