Laserfiche WebLink
CC Work Session 2. 1. <br />Meeting Date: 06/22/2021 <br />Information <br />Title: <br />Review Bonding Opportunities for Water Treatment Plant <br />Purpose/Background: <br />With the possible construction of a water treatment plant and the current market conditions in regard to historically <br />low interest rates, staff thought it would be beneficial to present what different bonding scenarios could look like if <br />the city were to bond a portion of the water treatment plant. <br />It is currently stated that the plant will be funded in its entirety, $32.4M by the sewer and water funds. <br />The City's Finance Consultant, Stacie Kvilvang, from Ehlers, will be presenting what bonding could possibly <br />represent in terms of principal amounts, interest rates, and terms. A summary of these options is below. The options <br />were based on a May 2022 issuance and as such .75 basis points was added to allow for any current increases in <br />interest rates. <br />[9_ption� IF Amount -I Term Eue Int Cost -1 Total Interest <br />$5,125,000 <br />10 <br />$10,000,000! <br />$16,255,000 <br />$5,125,000 <br />$10,000,000 <br />Timeframe: <br />20 minutes <br />10 <br />10 <br />15 <br />15 <br />1.89% <br />1.891 <br />2.00O/ <br />2.13%f <br />$551,827 <br />2.13% <br />$1,077,454 <br />$1,902,418 <br />$926,248 <br />$1,806,353 <br />$16,255,000 15 2.270/0i <br />Funding Source: <br />Responsible Party(ies): <br />Finance Director & Finance Consultant, Stacie Kvilvang <br />$3,200,923 <br />Outcome: <br />Informational only: Review Bonding Opportunities for Water Treatment Plant <br />Bonding options <br />Attachments <br />Form Review <br />Inbox Reviewed By Date <br />Kurt Ulrich Kurt Ulrich 06/17/2021 11:48 AM <br />Form Started By: Diana Lund Started On: 06/14/2021 09:44 AM <br />Final Approval Date: 06/17/2021 <br />