Broken Arrow Municipal Authority
Meeting of: 09/17/2024
Title:
title
Consideration, discussion and possible approval of and authorization to execute Resolution No. 1604, a resolution of the Broken Arrow Municipal Authority (the “Authority”) authorizing the issuance of its Promissory Note, Series 2024 (the “Note”) in the aggregate principal amount of $3,264,000.00; waiving competitive bidding and authorizing the Note to be sold on a negotiated basis; approving and authorizing execution of a Note Indenture authorizing the issuance and securing the payment of the Note; providing that the organizational document creating the Authority is subject to the provisions of the Indenture; approving and authorizing execution of an Agreement of Support; authorizing and directing the execution of the Note and other documents relating to the transaction; and containing other provisions relating thereto
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Background:
On September 3rd the Authority authorized the purchase of 12 Peterbilt Drive Chassis with Heil Python Automated Side Loaders from River Cit Hydraulics. Staff has reviewed the options for financing, and we will be going with F & M Bank in Guthrie Oklahoma for a total amount $3,264,000. Cost of the trucks is $5,191,350.60. We will be putting down $2 million and finance the balance. It will be a 5 year note with no prepayment penalty. If we exercise our buy back option with River City Hydraulic, we would be able to pay off the balance of the loan with the proceeds of the buy back.
Cost: $72,280
Funding Source: Loan Proceeds
Requested By: Cynthia S Arnold, Finance Director
Approved By: City Manager’s Office
Attachments: Resolution #1604
Government Capital Funding Summary
F & M Bank Funding Summary
Public Finance Law engagement letter
Recommendation:
recommend
Approve resolution No 1604 and authorize its execution
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