Presenter/Contact
Presenter
Martie Simpson, Finance Director
Contact Info
(830) 221-4385 - msimpson@nbtexas.org
Subject Header
SUBJECT:
Title
Presentation, discussion, and approval of the City’s 2017 Plan of Finance pertaining to the contemplated issuance of obligations to be designated as “City of New Braunfels, Texas General Obligation Bonds, Series 2017”; authorizing City staff and the City’s financial advisors and bond counsel to proceed with the 2017 Plan of Finance.
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BACKGROUND / RATIONALE:
City staff has continued to consult with SAMCO Capital Markets, financial advisor to the City, regarding its planned bond issue to fund projects authorized by the voters on May 11, 2013. Staff is recommending that the City Council continue on its planned bond issue to fund $18,290,000 of voter authorized projects. Staff will request City Council authorize an ordinance establishing parameters for the sale and issuance of these obligations and delegating certain matters to authorized officials of the City. Following is the anticipated timeline for the sale:
Monday, February 13, 2017 The City Council authorizes Staff and Consultants to proceed with the issuance of the Obligations
SAMCO Capital Markets, Inc. (“SAMCO”) sends the City the Request for Information (“RFI”)
Monday, February 20, 2017 City returns RFI to SAMCO
Thursday, March 23, 2017 First draft of Notice of Sale (“NOS”) and the Preliminary Official Statement (“POS”) sent to Bond Counsel for review and comments
Thursday, March 30, 2017 Comments due on first draft of NOS and POS
Monday, April 3, 2017 Second draft of the NOS and POS sent to City, Bond Counsel, and Rating Agency
Friday, April 7, 2017 Comments due on second draft of NOS and POS
Week of April 17, 2017 Rating conference call
Monday, May 1, 2017 Post NOS and POS to Municipal Advisory Council (“MAC”)
Friday, May 5, 2017 Receive Rating
Monday, May 8, 2017 City Council authorizes an Ordinance establishing parameters for the sale and issuance of the Obligations and delegating certain matters to authorized officials of the City
Post POS to SAMCO website and email link to the distribution list
Week of, May 15, 2017 Receive bids at 11:00 A.M. Central Time Designated pricing officer authorize the issuance of the Obligations and executes the Bond Purchase Agreement
Thursday, June 15, 2017 Obligations closing; funds wired to the City’s depository bank
ADDRESSES A NEED/ISSUE IN A CITY PLAN OR COUNCIL PRIORITY:
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X |
Yes |
City Plan/Council Priority |
Strategic Priorities: 1- Use a variety of funding sources for operational and capital needs; 8- Maintain fiscal stability of City operations |
FISCAL IMPACT:
Future debt service payments will be paid from Ad Valorem tax collections.
Recommendation
COMMITTEE RECOMMENDATION:
N/A
STAFF RECOMMENDATION:
Staff seeks authorization from City Council to begin the bond issuance process for the City of New Braunfels, Texas General Obligation Bonds, Series 2017.