Broken Arrow City Council
Meeting of: 10/16/2018
Title:
title
Consideration, discussion, and possible approval and authorization to execute Resolution No. 1150, a Resolution providing for the issuance of General Obligation Refunding Bonds in a principal amount not to exceed Eight Million dollars ($8,000,000) by the City of Broken Arrow, Oklahoma, for the purpose of refunding a portion of the city's outstanding general obligation bonded indebtedness; Establishing a not to exceed true interest cost and maturity date; Prescribing form of refunding bonds and providing for registration thereof; Providing a levy of an annual tax for payment of principal and interest on said refunding bonds; Approving an official statement for the refunding bonds; Waiving competitive bidding and designating an underwriter for the bonds and authorizing execution of a bond purchase contract, escrow fund agreement, continuing disclosure agreement and paying agent/registrar agreement; Approving legal services agreements and a financial services agreement with respect to the issuance of the bonds and providing other details of the issue
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Background:
The City has two General Obligation Bonds outstanding (Series 2008 General Obligation Bonds and the Series 2009B General Obligation Bonds) that are now subject to optional redemption or will be subject to redemption shortly which provides the City an opportunity to refinance or refund the bonds to reduce future interest costs. Two issues appear to be good candidates for a refunding in which the City would issue new General Obligation Refunding Bonds and pay off the 2008 and 2009B bonds, resulting in a reduction in the ad valorem taxes necessary to repay the bonds. Low interest rates available in today's bond market make the refunding an economical transaction, providing significant benefits to the City and its taxpayers. The two issues are as follows:
A. Series 2008 General Obligation Bonds
a. Date of Bonds: April 1, 2008
b. Origina...
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