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03-24-14 Regular Meeting of La Porte City Council
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03-24-14 Regular Meeting of La Porte City Council
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La Porte TX
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Agenda PACKETS
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3/24/2014
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REQUEST FOR CITY COUNCIL AGENDA ITEMREQUEST FOR CITY COUNCIL AGENDA ITEM <br />March 24, 2014March 24, 2014AppropriationAppropriation <br />Agenda Date Requested:Agenda Date Requested: <br />Source of Funds:Source of Funds: <br />M. Dolby M. Dolby <br />Requested By: <br />Account Number:Account Number: <br />Finance Finance <br />Department: <br />Amount Budgeted:Amount Budgeted: <br />Report:Resolution:Resolution:Ordinance:Ordinance: <br />Amount Requested:Amount Requested: <br />Other:N/A N/A <br />Budgeted Item:Budgeted Item:YESYESNONO <br />Attachments :Attachments : <br />1. Plan of Finance1. Plan of Finance <br />2. La Porte Refunding2. La Porte Refunding <br />3. La Porte Combined3. La Porte Combined <br />4. Bond Ordinance4. Bond Ordinance <br />5. City of La Porte Purchase Agreement5. City of La Porte Purchase Agreement <br />SUMMARY & RECOMMENDATIONSSUMMARY & RECOMMENDATIONS <br />At this time, staff would like to issue refunding bonds on several series that are callable in the near future. At this time, staff would like to issue refunding bonds on several series <br />that are callable in the near future. <br />Refunding the CityRefunding the Citys debt during the current market conditions will yield the city a significant amount of savings. s debt during the current market conditions will <br />yield the city a significant amount of savings. <br />The Citys financial advisors RBC Capital Markets performed an analysis of the outstanding debt to identify s financial advisors RBC Capital Markets performed an analysis of the outstanding <br />debt to identify <br />refinancing opportunities on several issues that are callable. . The estimated savings is $514,000 dollars.refinancing opportunities on several issues that are callable. . The estimated <br />savings is $514,000 dollars. <br /> <br />The bond market for refunding is time sensitive and interest rate sensitive; therefore, staff would like to utilize the The bond market for refunding is time sensitive and interest rate <br />sensitive; therefore, staff would like to utilize the <br />best method available for selling the debt. Staff recommends that the City use the negotiated sales method, which best method available for selling the debt. Staff recommends that <br />the City use the negotiated sales method, which <br />allows us to enter the market during favorable conditions. La Porte has utilized this method in the past and it has allows us to enter the market during favorable conditions. La Porte <br />has utilized this method in the past and it has allows us to enter the market during favorable conditions. La Porte has utilized this method in the past and it has allows us to enter <br />the market during favorable conditions. La Porte has utilized this method in the past and it has <br />provided our city with favorable outcomes. Staff is recommending using Costal Securities (our previous provided our city with favorable outcomes. Staff is recommending using Costal <br />Securities (our previous <br />underwriter) and Bank of Oklahoma Securities Corporation, with Costal being the lead underwriter.underwriter) and Bank of Oklahoma Securities Corporation, with Costal being the lead <br />underwriter. <br /> <br />The Citys Financial Advisors and Bond Attorneys are present this evening to answer any questions. s Financial Advisors and Bond Attorneys are present this evening to answer any questions. <br /> <br /> <br />Action Required of Council:Action Required of Council: <br />, Consider approval or other action of Bond ordinance,, Consider approval or other action of Bond ordinance, <br />2. Consider approval or other action authorizing the City Manager to execute the Bond Purchase Agreement,2. Consider approval or other action authorizing the City Manager to execute <br />the Bond Purchase Agreement, <br />3. Receive Plan of Finance3. Receive Plan of Finance <br /> <br />
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