Public Resources Advisory Group

Slides:



Advertisements
Similar presentations
Introduction to Tax-Exempt 501(c)(3) Bonds William P. Scott, Esq. Nixon Peabody LLP.
Advertisements

Local Agency Bonds. Issuing a Bond  The municipality decides they need an influx of cash and a bond issue is how they decide to get it.  Working with.
NHA | ADVISORS Strategy. Innovation. Solutions. Pajaro Valley Water Management Agency Financial Review and Initial Assessment October 22, 2014.
IMPORTANT DOCUMENTS AND MANAGING DEBT SERVICE Presented by: Timothy J. Reimers, Esq. QUATEMAN LLP February 3, 2011 Oakland, California CALIFORNIA DEBT.
Chapter 3: Budgetary Accounting for General and Special Revenue Funds
City of Orlando, Florida August 16, 2010 Sunshine State Governmental Financing Commission 1986 Notes Refinancing.
Essentials of Accounting for Governmental and Not-for-Profit Organizations Chapter 3 Budgetary Accounting for the General and Special Revenue Funds McGraw-Hill/Irwin.
© The McGraw-Hill Companies, Inc., 2008 McGraw-Hill/Irwin 10-1 LIABILITIES Chapter 10.
Understanding Arbitrage Rebate Presented By: James Ward.
CDIAC Municipal Debt Essentials Debt Administration CDIAC Municipal Debt Essentials Debt Administration Managing Debt Service Presented by Tim Tung February.
Essentials of Accounting for Governmental and Not-for-Profit Organizations Chapter 3: Budgetary Accounting for General and Special Revenue Funds.
Chapter 15 Debt and Equity Capital McGraw-Hill/IrwinCopyright © 2014 by The McGraw-Hill Companies, Inc. All rights reserved.
Hawkins Delafield & Wood LLP California Debt and Investment Advisory Commission Arbitrage Compliance for Bonds February 3, 2011.
California Debt and Investment Advisory Commission Living With an Issue: Ongoing Debt Administration Arto C. Becker, Partner May 14, 2009 San Diego, California.
Budget Focus To prepare a structurally balanced general operating budget with recurring revenues supporting recurring expenditures. To provide a budget,
Dr Phillips Center for the Performing Arts Project Update Board of County Commissioners Meeting May 11, 2010.
Jack H. Jenkins, CPA, P.C.. Organization of board and employees – Assigned responsibilities Procedures for accounting functions – Recording and reporting.
Debt Overview August 19, 2011 Finance Department: G. Michael Miller, CFO Ronnie Belton, CFO Designate Michael R. Givens, Treasurer.
Exhibit A to Staff Report Successor Agency to the Redevelopment Agency of the City of Fort Bragg Tax Allocation Refunding Bonds, Series 2015 Plan of Refunding.
1 City of Cocoa Michael Burton - President Andrew Burnham - Senior Vice President Ashley Venturoni – Project Consultant Presented by: FY 2013 Water, &
Florida Government Finance Officers Association Spring 2016 CGFO Exam Review Course - Debt Administration Webinar – Part II April 14, 2016.
CRA’s and Tax Increment Financing (TIF) Why Timing is so Critical?
1 June 14, 2016 Capital Financing Plan: Exploring Options.
Rochester Community Schools Budget Adoption.
PROPOSED CITY OF STOCKTON WATERFORD ESTATES EAST PHASE II ASSESSMENT DISTRICT PUBLIC HEARING Stockton City Council January 6, 2004.
YGRENEWORKS CLEAN ENERGY GREEN CORRIDOR
Source and Nature of Debt
CITY SERVICES INSTITUTE
Casitas Municipal Water District Community Facilities District No
Fund Accounting Overview
Local Agency Bonds.
Pension Obligation Restructuring
WATER REVENUE REFUNDING BONDS SERIES 2017A
MANAGING BUDGET FUNDS IN THE REPUIBLIC OF KAZAKHSTAN
Budget policy and Deficit discussion
City of Palm Coast, Florida
Reporting and Analyzing Nonowner Financing
PROPOSED MARCH LANE / HOLMAN ASSESSMENT DISTRICT
Board of County Commissioners
Texas Military Preparedness Commission
Presented by: Deborah Early Icenogle Seaver Pogue, P.C.
Texas Military Preparedness Commission
WGFOA Spring Conference Egg Harbor, WI April 20, 2017
School District Of Philadelphia
Local Agency Bonds - Municipalities
COP – Debt Payments and ST/LT Liabilities
Chapter 15 Debt and Equity Capital McGraw-Hill/Irwin
ELECTRIC REVENUE REFUNDING BONDS SERIES 2016A
Cash Management and Capital Planning
Texas Community College District Financing Options and Process
California Employers’ Retiree Benefit Trust
Successor Agency to the PCDC FY 2017 Recommended Budget
City of Palm Coast, Florida
Reporting and Interpreting Bonds
Work Session Follow UP Aug. 23, 2018.
State Board of Finance Bonding Overview
Bonds and Long-Term Notes
State Board of Finance Bonding Overview
State Board of Finance Bonding Overview
Assembly Audit Training
Rose Bowl Refunding Bonds Series 2018 A&B
City of Blue Earth, Minnesota
Funding options for the City’s Capital Needs
National Forum for Black Public Administrators
NFBPA: Strategies Issuers are using to Fund Large Capital Improvement Programs Linda S. Howard, CFO April 4, 2019.
Bond Basics Bradley D. Viegut, Director / Fax.
Agenda FYE June 30, 2020 Operating Budget
Agenda FYE June 30, 2020 Operating Budget
2009 Bond Refinancing- Approval of Issuance Resolution
Accounting for Construction Projects
Presentation transcript:

Public Resources Advisory Group City of Cocoa Beach Cocoa Beach Community Redevelopment Agency Florida Municipal Loan Council Series 2017B June 8, 2016

Resolution Summary CRA Resolution City Resolution Legal authority for CRA to enter into loan agreement CRA pledges TIF revenues Not to exceed amount $4,700,000 Mature no later than 10/1/2032 Approve form of Loan Agreement, Bond Purchase Contract, Continuing Disclosure Agreement, and Interlocal Agreement City Resolution Authorizes CRA to enter into loan and interlocal agreement City agrees to covenant and appropriate non-ad valorem revenues in the event pledged CRA TIF revenues are insufficient Approve form of Interlocal Agreement

Sources and Uses of Funds City of Cocoa Beach Bond Proceeds:   Par Amount $4,600,000.00 Net Premium/OID 63,655.95 4,663,655.95 $4,663,655.95 Uses: Project Fund Deposits: New Money $4,500,000.00 Delivery Date Expenses: Cost of Issuance 88,873.27 Underwriter's Discount 27,600.00 Bond Insurance (65 bps) 38,966.17 Surety Premium (2%) 8,216.51 160,144.18

Maximum Annual Debt Service Debt Service Schedule Maximum Annual Debt Service

Covenants CRA covenants to: City covenants to: Pledge TIF revenues for payment of debt service Only issue additional debt secured by TIF revenues if they exceed Maximum Annual Debt Service by 1.50x City covenants to: Appropriate legally available non-ad valorem revenues to pay debt service in the event CRA TIF revenues are insufficient Only issue additional debt secured by legally available non-ad valorem revenues if they exceed Maximum Annual Debt Service by 2.0x

Anti-Dilution Test Anti-Dilution Test Legally available Non-Ad Valorem Revenues must cover projected maximum annual debt service by at least 2.0x. Projected maximum annual debt service requirements will not exceed 20% of Governmental Fund Revenues, exclusive of ad valorem revenues restricted to payment of debt and any debt proceeds Maximum annual debt service means the lesser of the actual maximum annual debt service on all debt or 15% of the original par amount of the debt, secured by Borrower’s Non-Ad Valorem Revenues Anti-Dilution test must be met at loan closing and upon issuance of any other debt secured by Non-Ad Valorem Revenues

DRAFT Anti-Dilution Test Revenues FY2015 FY2016 Average Total Governmental Funds (A) 20,450,586 22,555,626 21,503,106 Less: Ad Valorem Revenues (7,102,087) (7,657,945) (7,380,016) Less: Restricted Funds (808,799) (633,475) (721,137) Available Non-Ad Valorem Revenues 12,539,700 14,264,206 13,401,953 Transfers from Enterprise Funds 810,270 1,643,333 1,226,802 Adjusted Non-Ad Valorem Revenues (B) 13,349,970 15,907,539 14,628,755 Expenditures Essential Expenditures General Government 4,032,592 3,975,646 4,004,119 Public Safety 9,252,083 8,593,542 8,922,813 Physical Environment 1,441,963 1,468,270 1,455,117 Total Essential Expenditures 14,726,638 14,037,458 14,382,048 Less: Ad-Valorem Revenues Available to pay Essential Expenditures Adjusted Essential Expenditures to Non Ad Valorem Revenues (C) 7,624,551 6,379,513 7,002,032 Net Non-Ad Valorem Revenues available for Debt Service (D) = B-C 5,725,419 9,528,026 7,626,723 Test 1 - Adjusted Net Non-Ad Valorem Revenues covers Proforma Non-Ad Valorem MADS by 2.0x Adjusted Net Non-Ad Valorem Revenues available for Debt Service (G) Proforma Maximum Annual Non-Ad Valorem Debt Service (H) (1) 681,874 Coverage (G / H) 11.18 Test 2 - Proforma MADS does not exceed 20% of Net Total Governmental Fund Revenues Net Total Governmental Fund Revenues (I) = A-F Proforma Maximum Annual Debt Service (J) Percentage (I / J) 3.17% DRAFT

Next Steps Finalize documentation Pricing and sale of bonds Closing

What is FMLC? Florida Municipal Loan Council Created by an interlocal agreement on December 1, 1998 Governed by a board of directors which consists of not less than one or more than seven elected public officials, each of which shall be appointed by the President of the Florida League of Cities, Inc. Issues bonds to provide loans to municipal borrowers Borrowers are only responsible for their individual payments

FMLC Advantages Provides Efficiencies Ongoing Services Reduce Costs of Issuance Reduce administrative burden Simplify process Negotiate better terms using economies of scale Ongoing Services Continuing Disclosure Requirements, including submission of annual reports to the MSRB Arbitrage rebate calculations/analysis Monthly Account Statements Investment Management Internal Reporting

FMLC Pool Exposure (by Borrower) Member Name Original Issue Outstanding Balance (9/30/16) Original Issue City of Belle Isle 2016 935,000 City of Valparaiso 2,405,000 City of Haines City 2005B 755,000 Gadsden County 2006A 1,080,000 2007A 5,195,000 Town of Bay Harbor Islands 3,085,000 City of Hallandale Beach 9,350,000 Town of Eatonville 850,000 City of Hialeah 2005A 5,895,000 Town of Lake Park 3,660,000 City of Indian Shores 1,195,000 Town of Melbourne Beach 1,190,000 City of North Miami 2,265,000 Town of Oakland 1,845,000 City of Parkland 2005D 1,125,000 Town of Southwest Ranches 2001A 3,345,000 City of Port Richey 3,055,000 Village of Palmetto Bay 290,000 City of St. Augustine Beach 2016ABCD 6,420,000 TOTAL Outstanding Balance (9/30/16): $53,940,000