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File #: 21-0333    Version: 1
Type: Gen. Bus. - Staff Report Status: Agenda Ready
In control: City Council Regular Meeting
On agenda: 11/16/2021 Final action:
Title: Consideration of a Resolution Approving the Issuance of Refunding Certificates of Participation Not-to-Exceed $8.0 Million to Refinance Outstanding Metlox and Water/Wastewater Certificates of Participation and Related Documents (Finance Director Charelian). ADOPT RESOLUTION NO. 21-0104
Attachments: 1. Resolution No. 21-0104, 2. CIC Resolution No. CIC-11, 3. Trust Agreement, 4. Site and Facilities Lease, 5. Lease Agreement, 6. Escrow Agreement, 7. Certificates Purchase Contract, 8. Official Statement, 9. Assignment Agreement, 10. Continuing Disclosure Certificate, 11. Good Faith Estimates
TO:
Honorable Mayor and Members of the City Council

THROUGH:
Bruce Moe, City Manager

FROM:
Steve Charelian, Finance Director
Julie Bondarchuk, Financial Controller
Libby Bretthauer, Financial Services Manager

SUBJECT:Title
Consideration of a Resolution Approving the Issuance of Refunding Certificates of Participation Not-to-Exceed $8.0 Million to Refinance Outstanding Metlox and Water/Wastewater Certificates of Participation and Related Documents (Finance Director Charelian).
ADOPT RESOLUTION NO. 21-0104
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Recommended Action
RECOMMENDATION:
Staff recommends that the City Council adopt Resolution No. 21-0104 approving the issuance of Refunding Certificates of Participation to Refinance Outstanding Certificates of Participation and approving the execution and delivery of related documents. Resolution No. 21-0104 approves a Site and Facilities Lease, a Lease Agreement, a Trust Agreement, a Certificate Purchase Contract, an Escrow Agreement, an Official Statement, a Continuing Disclosure Certificate; and authorizes the taking of certain actions in connection with the issuance of Refunding Certificates of Participation in an amount not to exceed $8 million.
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FISCAL IMPLICATIONS:
The City's Certificates of Participation (Metlox and Water/Wastewater Refunding) Series 2012 (2012 COPs) are currently outstanding in the principal amount of $7,695,000, of which $6,985,000 is callable starting January 1, 2022. The 2012 COPs are eligible for a tax-exempt refunding 90 days before the call date at the earliest and in the current market, may be refinanced for debt service savings.

A preliminary refunding analysis indicates total budget savings of approximately $680,000 or average annual savings of $68,000. The net present value savings is approximately $639,000 or 8.3% of the refunded 2012 COPs.

BACKGROUND:
On October 18, 2021, the Finance Subcommittee was presented with this refunding opportunity...

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