Title
Public Hearing for Refunding of Outstanding Arena Certificates of Participation
Action
Action:
Conduct a public hearing related to the refunding of Outstanding Arena Certificates of Participation series 2003F and 2013G in an amount of up to $100,000,000.
Body
Staff Resource(s):
Tracy Dodson, City Manager’s Office
Teresa Smith, Finance
Matthew Hastedt, Finance
Explanation
§ The city continually evaluates outstanding debt for refunding opportunities to achieve savings, reduce risk, and to modernize financing documents.
§ On July 10, 2023, City Council adopted a resolution setting a public hearing for August 28, 2023, for refunding of Outstanding Arena Certificates of Participation (COPs) series 2003F and 2013G up to $100,000,00.
§ In 2013, $128,000,000 COPs were issued at a variable rate, and the city entered into a pay-fixed rate agreement.
- Approximately $78,000,000 of the refunding proceeds will be used to refund outstanding 2013G debt for savings and to fund a termination fee. The 2013G COPs will only be refunded if it results in a more favorable position for the city at the time of financing.
- Approximately $22,000,000 of the refunding proceeds will be used to refund outstanding 2003F COPs. The 2003F COPs will only be refunded if it results in a more favorable position for the city at the time of financing.
§ Council will be asked to take further actions at a Business Meeting in September 2023, to adopt a resolution approving the issuance of up to $100,000,000 in Outstanding COPs to refund Arena debt.
§ Upon City Council approval, it is anticipated the Local Government Commission will approve this action at its September meeting.
Fiscal Note
Funding: Tourism Fund
Attachments