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<br />The City has considered the eight points as they relate to the Refunding of the Series
<br />2003 Bonds through the issuance of CIP Bonds. The findings are as follows:
<br />Conditions of City Infrastructure and Need for the Project
<br />The Building currently exists, but the City has determined that it is financially prudent
<br />to acquire that facility from the HRA. Other than such acquisition, the City does not
<br />anticipate further repair or replacement of the Building in the 2011 through 2015 period.
<br />Demand for Project
<br />As noted above, the Building currently exists. Acquisition of the existing leased facility
<br />is prudent in order reduce City borrowing costs.
<br />Estimated Cost of the Project
<br />By issuing CIP Bonds that will refund the Series 2003 Bonds, the City expects to have a
<br />net present value savings of approximately $118,655 if they are issued as an advance
<br />refunding (in advance of the 2-1-13 call date). If they are issued as a current refunding
<br />(fall of 2012), then the City could expect to have a net present value savings of
<br />approximately $151,000. Either way, by issuing these as CIP Bonds, the need for a debt
<br />service reserve fund (DSR)will be eliminated. The original DSR was funded internally
<br />by the Water Filtration Fund and not through bond proceeds, thereby unrestricting these
<br />funds for other City needs.
<br />Availability of Public Resource
<br />The CIP Bonds for acquisition of the Building would be paid with ad valorem taxes, as
<br />are the lease payments that currently secure the Series 2003 Bonds. However, the CIP
<br />Bonds will be additionally secured by the City's full faith and credit, which is expected
<br />to produce lower interest rates on the CIP Bonds compared to the Series 2003 Bonds.
<br />Level of Overlapping Debt
<br />Issuance of the CIP Bonds is not expected to affect the City's overall debt in any
<br />significant way, other than through lowering debt service costs.
<br />City of St. Anthony 2011-2015 Capital Improvement Plan Page 5
<br />Taxing District
<br />Hennepin County
<br />Not
<br />$
<br />rTaxable
<br />Tax Capacity
<br />1,476,968,856 i
<br />% in City
<br />0.4031%
<br />Total GO Debt
<br />$ 674,430,000
<br />Proportionate
<br />Share
<br />$ 2,718,646
<br />Pamsey County
<br />$
<br />513,488,368 1
<br />0.45610/o
<br />$ 192,770,000
<br />1 $
<br />879,171
<br />ISD No. 282
<br />$
<br />9,825,497
<br />84,4291%
<br />$ 24,680,000
<br />$
<br />20,837,108
<br />Metropolitan Council
<br />$
<br />3,312,665,183
<br />0.2372%
<br />$ 213,645,000
<br />$
<br />506,766
<br />ThreeRiversPark District
<br />$
<br />1,082,056,515
<br />0.5502%
<br />$ 71,045,000
<br />1 $
<br />390,904
<br />City's Share Total of Overlapping
<br />Debt $
<br />25,332,E
<br />Issuance of the CIP Bonds is not expected to affect the City's overall debt in any
<br />significant way, other than through lowering debt service costs.
<br />City of St. Anthony 2011-2015 Capital Improvement Plan Page 5
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