CC PACKET 03092004 - Laserfiche WebLink

Home Browse Search

19 CITY OF ST. ANTHONY VILLAGE, MINNESOTA PRE-SALE REPORT MARCH 9, 2004 Proposed Issue: • $1,790,000 General Obligation Improvement Bonds Series 2004A • $2,075,000 General Obligation Improvement Temporary Bonds Series 2004B Purpose: The Bonds will serve two separate purposes including: 1. The Improvement Bonds will finance the 2004 street reconstruction program. 2. The Improvement Temporary Bonds will finance the cost of Improvements to 39`h Ave. Term/Call Feature: The Improvement Bonds are being issued for a 15-year period. Bonds maturing in 2013 and thereafter will be callable in,2012 at the option of the City. The Temporary Bonds will be issued for three years and will be callable in 2005 or thereafter at the option of the City. Funding Sources: The Improvement Bonds will be paid from assessments and the debt service portion of the City's tax levy. The estimated impact of this levy will be about $45 for a home with a value of$200,000. The Temporary Bonds will be used to finance the 39`h Ave. improvements until the project is completed and the payment structure for developer payment is in place. This project will be paid from several sources including: • Federal grant - $750,000 • Anchor tenant assessment - $1,205,000 • For sale housing assessments - $325,000 • Other benefiting properties -$175,000 The 39th Ave project will be paid entirely from these assessments and no portion will be added to the City's tax levy so there will be no impact on taxpayers. Discussion Issues: The development agreement for Silver Lake development includes a commitment for the'City to construct improvements to 39`h Ave. The agreement also commits the developer to pay assessments for this development. The temporary bonds permit the city to finance the improvements during construction to permit the redevelopment project to proceed. After the various development elements are completed a payment or payment schedule will be provided. The City will then be able to call a portion of these bonds and to refinance the balance to match the projected developer payment schedule.