HomeMy WebLinkAbout1992-48 Advance Refunding PlanRESOLUTION NO. ~a2-~'~
A RESOLUTION APPROVING OF AN ADVANCE
REFUNDING PLAN AND AUTHORIZING ITS SUBMITI'AL
TO THE STATE TREASURER FOR REVIEW AND
APPROVAL; AND DESIGNATING BOND COUNSEL.
The City of Ashland, Oregon (the "City") issued its Advance Refunding General
Obligation Water Bonds, Series 1985 dated September 1, 1985 in the aggregate principal
amount of $1,690,000 (the Series 1985 Bonds") and its General Obligation Hydroelectric
Bonds, Series 1983 dated March I, 1983 in the aggregate principal amount of $700,000
(the "Series 1983 Bonds"). The Series 1985 Bonds and the Series 1983 Bonds are
collectively referred to herein as the "Bonds". The aggregate principal amount of
$1,310,000 of the Series 1985 Bonds remains outstanding and the aggregate principal
amount of $560,000 of the Series 1983 Bonds remains outstanding.
Oregon Revised Statutes 288.605 to 288.695, inclusive, authorizes the issuance of
advance refunding bonds without an election in order to (a) pay or discharge all or any
part of any outstanding obligations, including interest thereon, in arrears or about to
become due and for which sufficient funds are not available; or (b) effect a favorable
restructuring of the permanent debt structure of the issuer; or (c) effect a savings
discounted to present value. The City anticipates a savings discounted to present value
in excess of 3% would occur upon the advance refunding of the Bonds.
An advance refunding plan for the Bonds has been prepared by Moore Breithaupt
& Associates, Inc., financial advisor to the City, and is attached hereto as E~ibit "A".
NOW, THEREFORE, BE IT RESOLVED BY THE CITY OF ASHLAND,
OREGON AS FOLLOWS:
Section 1. The City does hereby approve of the advance refunding plan attached
hereto as Exhibit "A". In the event savings discounted to present value is insufficient
under Oregon statutes and administrative rules to advance refund both the :Series 1985
Bonds and the Series 1983 Bonds, the City hereby approves of the advance refunding of
the Series 1985 Bonds and the Series 1983 Bonds separately in accordance with Oregon
law. The City authorizes the submittal of the advance refunding plan to thee State
Treasurer for review and approval pursuant to Oregon Revised Statute 288..620.
Section 2. The State Treasurer is hereby requested to approve of the advance
refunding plan in order that the City may effect a savings discounted to present value.
RESOLUTION - Page 1 (pp) ips\bnd~ashlandYes.192
Section 4. The law firm of Rankin Mersereau & Shannon, Portland, Oregon, is
designated as Bond Counsel for the proposed advance refunding of the Bonds.
Passed by the City Council of the City of Ashland this 15th day of September,
1992.
NAYS
ABSTAIN
Signed and approved by the Mayor this
Mayor
day of September, 1992.
ATTEST:
Recorder
RESOLUTION - Page 2 (pp)jps~ond~ashlandYes.192
City of Ashland, Oregon
G.O. Refunding Bonds, Series 1992
Full Net Advance Refunding of
G.O. Bonds, Series 1983 & 1985
Even Annual Savings Structure
Issuer Funds Required: $61,71 2.28
tDate of Bonds:
Delivery Date:
RefUnded Call Date:
1st Callable Date:
10/01/92
10/15/92
Various
Various
Comparison· Refunded Refunding
· ,,
Principal: 1,870,000 2,070,000
Bond Years: 12,039.16 12,527.50
Avg. Maturity: 6.438 6.052
NIC: 9.062% 5.401%
Iptesent Value savings: ~32,171:83I
[:AS °/°. 6f Refundihg par: i. 6!390/0[
Prepared: 09/02/92
By SPRINGSTED Incorporated
City of Ashland, Oregon
G.O. Refunding Bonds, Series 1992
Full Net Advance Refunding of
G.O. Hydroelectric Bonds, Series 1983
Even Annual Savings Structure
Issuer Funds Required: $38,917.58
Date of Bonds:
IDelivery Date:
I1 st Callable Date:
10/01/92
10/15/92
03/01/94
03/01/95
· .
~Comparison' Refunded Refunding
Principal:' ' 560,000 585,000
Bond Years: 3,943.33 3,836.25
Avg. Maturity: 7.042 6.558
NIC: 9.319% 5.467%
Iiprese~t ValUe savingsi 67;975:48
IAs % ~f ~Re~Unding P~!
Prepared: 09/11/92
By SPRINGSTED Incorporated
City of Ashland, Oregon
G.O. Refunding Bonds, Series 1992
Table of Contents
Prepared: 09/02/92
By SPRINGSTED Incorporated
Schedule
A
D
E
F
G
Description
Existing Debt Service
Refunded Debt Service and any Call Premium
Non-Refunded Debt Service
Refunding Debt Service
Annual Savings Analysis
Escrow Structure
Sources and Uses of Funds
H Refunding Expenses
City of Ashland, Oregon
G.O. Hydroelectric Bonds,
Existing Debt Service
Date Principal
Series 1983
Schedule A
Prepared:
By SPRINGSTED
Rate Interest Semi-Annual
09/02/92
Incorporated
Annual
03/01/93
09/01/93
03/01/94
09/01/94
03/01/95
09/01/95
03/01/96
09/01/96
03/01/97
09/01/97
03/01/98
09/01/98
03/01/99
09/01/99
03/01/2000
09/01/2000
03/01/2001
09/01/2001
03/01/2002
09/01/2002
03/01/2003
09/01/2003
03/01/2004
30,000.00 9.000% 25,837.50 55,837.50
24,487.50 24,487.50
30,000.00 8.700% 24,487.50 54,487.5(]
23,182.50 23,182.5(]
30,000.00 8.850% 23,182.50 53,182.50
21,855.00 21,855.00
30,000.00 9.000% 21,855.00 51,855.00
20,505.00 20,505.010
40,000.00 9.100% 20,505.00 60,505.0.0
18,685.00 18,685.00
40,000.00 9.200% 18,685.00 58,685.00
16,845.00 16,845.00
50,000.00 9.250% 16,845.00 66,845.00
14,532.50 14,532.50
50,000.00 9.300% 14,532.50 64,532.50
12,207.50 12,207.50
50,000.00 9.350% 12,207.50 62,207.50
9,870.00 9,870.00
60,000.00 9.400% 9,870.00 69,870.00
7,050.00 7,050.00
70,000.00 9.400% 7,050.00 77,050.00
3,760.00 3,760.00
80,000.00 9.400% 3,760.00 83,760.00
55,837.50
78,975.00
76,365.00
73,710.00
81,010.00
77,370.00
83,690.00
79,065.00
74,415.00
79,740.00
84,100.00
87,520.00
Totals
Bond Years:
Avg. Mat..:
NIC ....... :
560,000.00
3,943.33
7.042
9.319%
371,797.50
Ail lower calculations
are made from the date
of the refunding bonds
931,797.50
931,797.50
City of Ashland, Oregon
G.O. Hydroelectric Bonds, Series 1983
Refunded Debt Service and any Call Premium
Schedule B
Date
Principal Premium
Interest
Prepared: 09/02/92
By SPRINGSTED Incorporated
Semi-Annual
Annual
03/01/93
09/01/93
03/01/94
30,000.00
530,000.00
25,837.50
24,487.50
24,487.50
55,837.50
24,487.50
554,487.50
55,837.50
578,975.00
Totals 560,000.00
Call Date ............. :
First Date Called ..... :
Call Premium .......... :
03/01/94
03/01/95
74,812.50 634,812.50 634,812.50
This portion will be paid by the escrow.
City of Ashland, Oregon
G.O. Hydroelectric Bonds,
Non-Refunded Debt Service
Date Principal
Series
1983
Schedule C
Rate
Prepared: 09/02/92
By SPRINGSTED Incorporated
Interest Semi-Annual Annual
Totals
Call Date ............. :
First Date Called ..... :
Call Premium ·
This portion will be paid by the issuer.
City of Ashland, Oregon
G.O. Refunding Bonds, Series 1992
Refunding Debt Service
Date Principal Rate
Schedule D
Interest
Prepared: 09/02/92
By SPRINGSTED Incorporated
Semi-Annual
Annual
03/01/93
09/01/93
03/01/94
09/01/94
03/01/95
09/01/95
03/01/96
09/01/96
03/01/97
09/01/97
03/01/98
09/01/98
03/01/99
09/01/99
03/01/2000
09/01/2000
03/01/2001
09/01/2001
03/01/2002
09/01/2002
03/01/2003
09/01/2003
12,156.25
40,000.00 3.100% 14,587.50
13,967.50
40,000.00 4.000% 13,967.50
13,167.50
40,000.00 4.250% 13,167.50
12,317.50
50,000.00 4.600% 12,317.50
11,167.50
45,000.00 4.900% 11,167.50
10,065.00
55,000.00 5.100% 10,065.00
8,662.50
55,000.00 5.200% 8,662.50
7,232.50
55,000.00 5.400% 7,232.50
5,747.50
60,000.00 5.500% 5,747.50
4,097.50
70,000.00 5.600% 4,097.50
2,137.50
75,000.00 5.700% 2,137.50
12,156.25 12,156.25
54,587.50
13,967.50 68,555.00
53,967.50
13,167.50 67,135.00
53,167.50
12,317.50 65,485.00
62,317.50
11,167.50 73,485.00
56,167.50
10,065.00 66,232.50
65,065.00
8,662.50 73,727.50
63,662.50
7,232.50 70,895.00
62,232.50
5,747.50 67,980.00
65,747.50
4,097.50 69,845.00
74,097.50
2,137.50 76,235.00
77,137.50
77,137.50
Totals
Bond Years:
Avg. Mat..:
NIC ....... :
585,000.00
3,836.25
6.558
5.467%
203,868.75
788,868.75
Bond Date.:
Delivery..:
Bond Yield:
788,868.75
10/01/92
10/15/92
5.28864%
City of Ashland, Oregon
G.O. Refunding Bonds, Series
Annual Savings Analysis
1992
Schedule E
Refunding Non-Refunded
Date Debt Service Debt Service
(1) (2) (3)
Total New
Debt Service
(4)
12,156.25
68,555.00
67,135.00
65,485.00
73,485.00
66,232.50
73,727.50
70,895.00
67,980.00
69,845.00
76,235.00
77,137.50
03/01/93 12,156.25
09/01/93
03/01/94 68,555.00
09/01/94
03/01/95 67,135.00
09/01/95
03/01/96 65,485.00
09/01/96
03/01/97 73,485.00
09/01/97
03/01/98 66,232.50
09/01/98
03/01/99 73,727.50
09/01/99
03/01/2000 70,895.00
09/01/2000
03/01/2001 67,980.00
09/01/2001
03/01/2002 69,845.00
09/01/2002
03/01/2003 76,235.00
09/01/2003
03/01/2004 77,137.50
Prepared: 09/02/92
By SPRINGSTE:D Incorporated
Existing
Debt Service
(5)
55,837.50
78,975.00
76,365.00
73,710.00
81,010.00
77,370.00
83,690.00
79,065.00
74,415.00
79,740.00
84,100.00
87,520.110
Savings
or (Loss)
(6)
43,681.25
10,420.00
9,230.00
8,225.00
7,525.00
11,137.50
9,962.50
8,170.00
6,435.00
9,895.00
7,865.00
10,382.50
Totals 788,868.75
Present Value Rate...:
Present Value Savings:
As % of P.V. Ref. Int:
5.28864%
67,975.48
22.88%
788,868.75 931,797.50
Funds from Issuer .... :
Funds to Sinking Fund:
Total Net Savings .... :
142,928.75
(38,917.58)
1,134.56
105,145.73
City of Ashland, Oregon
G.O. Refunding Bonds, Series
Escrow Structure
Payment SLG SLG
Date Principal Rate
Beg. Bal.:
03/01/93 47,900 3.250%
09/01/93 14,400 3.400%
03/01/94 544,700 3. 560%
1992
Schedule F
SLG
Interest
7,923.02
10,126.24
9,695.66
Prepared: 09/02/92
By SPRINGSTED Incorporated
SLG
Receipts
55,823.02
24,526.24
554,395.66
Escrow Cash
Payment Balance
(Schedule B)
55,837.50
24,4137.50
554,4137.50
67.58
53.10
91.84
Totals 607,000
27,744.92 634,744.92 634,812.50
Yield on SLG's ...... : 3.5533%
Yield Limit on SLG's: 5.2886%
City of Ashland, Oregon
G.O. Refunding Bonds, Series
Sources and Uses of Funds
1992
Schedule G
Prepared: 09/02/92
By SPRINGSTED Incorporated
Sources of Funds:
Par Value of Refunding Bonds .................................... ::
Less Discount / Plus Premium ....................................
Accrued Interest ................................................
Earnings on Proceeds ............................................ ::
Funds From Issuer ...............................................
Total Sources of Funds
585,000.00
(5,850.00)
1,134.56
38,917.58
619,202.14
Uses of Funds:
Par Value of SLG's ..............................................
Open Market Security ............................................
Beginning Balance in Escrow .....................................
Accrued Interest to Sinking Fund ................................ ::
Unused Discount to Sinking Fund .................................
Refunding Expenses ..............................................
Excess Proceeds .................................................
607,000.00
67.58
1,134.56
11,000.00
Total Uses of Funds 619,202.14
City of Ashland, Oregon
G.O. Advance Refunding Bonds, Series 1992
Detail of Estimated Issuance Costs
Bond Counsel $11,000
Financial Advisor 9,000
Moody's Rating 5,000
State Treasurer Fee 3,000
Escrow Agent Fee 2,000
Paying Agent/Registrar 500
CPA Verification 2,000
Official Statements 1,500
(Print/Distribute)
Misc. 3 ~000
Total $37,000
For purposes of refunding analysis, issuance costs have
been split between the two parts of the advance refunding as
follows:
1983 Issue $11,000 (29.7%)
1985 Issue 26,000 (70.3 %)
$37,000
City of Ashland, Oregon
G.O. Refunding Bonds, Series 1992
Full Net Advance Refunding of
G.O. Water Refunding Bonds, Series 1985
Even Annual Savings Structure
Issuer Funds Required: $22,794.70
IDate of Bonds:
Delivery Date:
Refunded Call Date:
1st Callable Date:
10/01/92
10/15/92
09/01/95
09/01/96
Comparison: Refunded Refunding
Principal: 1,31 0,000 1,485,000
Bond Years: 8,095.83 8,691.25
Avg. Maturity: 6.180 5.853
NIC: 8.937% 5.372%
ipresent yalue savings: ~;196:35I
i~s o/o of Refunding pa~: 4'320/oI
Prepared: 09/02/92
By SPRINGSTED Incorporated
City of Ashland, Oregon
G.O. Refunding Bonds, Series 1992
Table of Contents
Prepared: 09/02/92
By SPRINGSTED Incorporated
Schedule
A
E
Description
Existing Debt Service
Refunded Debt Service and any Call Premium
Non-Refunded Debt Service
Refunding Debt Service
Annual Savings Analysis
Escrow Structure
Sources and Uses of Funds
Refunding Expenses
City of Ashland, Oregon
G.O. Water Refunding Bonds,
Existing Debt Service
Date Principal
Series 1985
Schedule A
Prepared: 09/02/92
By SPRINGSTED Incorporated
Rate Interest Semi-Annual
Annual
03/01/93
09/01/93
03/01/94
09/01/94
03/01/95
09/01/95
03/01/96
09/01/96
03/01/97
09/01/97
03/01/98
09/01/98
03/01/99
09/01/99
03/01/2000
09/01/2000
03/01/2001
09/01/2001
03/01/2002
09/01/2002
03/01/2003
85,000.00
90,000.00
100,000.00
110,000.00
120,000.00
130,000.00
145,000.00
160,000.00
175,000.00
195,000.00
57,568.75
8.100% 57,568.75
54,126.25
8.200% 54,126.25
50,436.25
8.400% 50,436.25
46,236.25
8.600% 46,236.25
41,506.25
8.750% 41,506.25
36,256.25
8.800% 36,256.25
30,536.25
8.900% 30,536.25
24,083.75
9.000% 24,083.75
16,883.75
9.100% 16,883.75
8,921.25
9.150% 8,921.25
57,568.75 57,568.75
142,568.75
54,126.25 196,695.00
144,126.25
50,436.25 194,562.50
150,436.25
46,236.25 196,672.50
156,236.25
41,506.25 197,742.50
161,506.25
36,256.25 197,762.50
166,256.25
30,536.25 196,792.50
175,536.25
24,083.75 199,620.00
184,083.75
16,883.75 200,967.50
191,883.75
8,921.25 200,805.00
203,921.25
203,921.25
Totals
Bond Years:
Avg. Mat..:
NIC ....... :
1,310,000.00
8,095.83
6.180
8.937%
733,110.00
Ail lower calculations
are made from the date
of the refunding bonds
2,043,110.00
2,043,110.00
City of Ashland, Oregon
G.O. Water Refunding Bonds, Series 1985
Refunded Debt Service and any Call Premium
Schedule B
Date
Principal Premium
Interest
Prepared: 09/02/92
By SPRINGSTED Incorporated
Semi-Annual.
Annual
03/01/93
09/01/93
03/01/94
09/01/94
03/01/95
09/01/95
03/01/96
85,000.00
90,000.00
1,135,000.00
57,568.75
57,568.75
54,126.25
54,126.25
50,436.25
50,436.25
57,568 . 75
142 , 568 . 75
54 , 126.25
144,126.25
50,436 . 25
1,185,436.25
57,568.75
196,695.00
194,562.50
1,185,436.25
Totals
1,310,000.00
Call Date ............. :
First Date Called ..... :
Call Premium .......... :
09/01/95
09/01/96
324,262.50 1,634,262.50 1,634,262.50
This portion will be paid by the escrow.
City of Ashland, Oregon
G.O. Water Refunding Bonds,
Non-Refunded Debt Service
Date Principal
Series 1985
Schedule C
Rate
Prepared: 09/02/92
By SPRINGSTED Incorporated
Interest Semi-Annua]L Annual
Totals
Call Date ............. :
First Date Called ..... :
Call Premium .......... :
This portion will be paid by the issuer.
City of Ashland, Oregon
G.O. Refunding Bonds, Series 1992
Annual Savings Analysis
Schedule E
Refunding Non-Refunded
Date Debt Service Debt Service
(1) (2) (3)
Total New
Debt Service
(4)
30,114.58
190,415.00
186,155.00
190,992.50
190,125.00
188,590.00
186,462.50
193,605.00
194,855.00
190,452.50
195,320.00
03/01/93 30,114.58
09/01/93
03/01/94 190,415.00
09/01/94
03/01/95 186,155.00
09/01/95~
03/01/96 190,992.50
09/01/96
03/01/97 190,125.00
09/01/97
03/01/98 188,590.00
09/01/98
03/01/99 186,462.50
09/01/99
03/01/2000 193,605.00
09/01/2000
03/01/2001 194,855.00
09/01/2001
03/01/2002 190,452.50
09/01/2002
195,320.00
Prepared: 09/02/92
By SPRINGSTED Incorporated
ExiSting
Debt Service
(5)
57,568.75
196,695.00
194,562.50
196,672.50
197,742.50
197,762.50
196,792.50
199,620.00
200,967.50
200,805.00
203,921.25
Savings
or (Loss)
(6)
27,454 · 17
6,280.00
8,407.50
5,680.00
7,617.50
9,172.50
10,330.00
6,015.00
6,112.50
10,352.50
8,601.25
Totals 1,937,087.08
Present Value Rate...:
Present Value Savings:
As % of P.V. Ref. Int:
5.17831%
64,196.35
10.61%
1,937,087.08 2,043,110.00
Funds from Issuer .... :
Funds to Sinking Fund:
Total Net Savings .... :
106,022.92
(22,794.70)
2,810.71
86,038.93
City of Ashland, Oregon
G.O. Refunding Bonds, Series
Refunding Debt Service
Date Principal
1992
Rate
Schedule D
Interest
Prepared: 09/02/92
By SPRINGSTED Incorporated
Semi-Annual
Annual
03/01/93
09/01/93
03/01/94
09/01/94
03/01/95
09/01/95
03/01/96
09/01/96
03/01/97
09/01/97
03/01/98
09/01/98
03/01/99
09/01/99
03/01/2000
09/01/2000
03/01/2001
09/01/2001
03/01/2002
09/01/2002
120,000.00
120,000.00
130,000.00
135,000.00
140,000.00
145,000.00
160,000.00
170,000.00
175,000.00
190,000.00
3.100%
4.000%
4.250%
4.600%
4.900%
5.100%
5.200%
5.40O%
5.500%
5.600%
30,114.58
36,137.50
34,277.50
34,277.50
31,877.50
31,877.50
29,115.00
29,115.00
26,010.00
26,010.00
22,580.00
22,580.00
18,882.50
18,882.50
14,722.50
14,722.50
10,132.50
10,132.50
5,320.00
5,320.00
30,114.58 30,114.58
156,137.50
34,277.50 190,415.00
154,277.50
31,877.50 186,155.00
161,877.50
29,115.00 190,992.50
164,115.00
26,010.00 190,125.00
166,010.00
22,580.00 188,590.00
167,580.00
18,882.50 186,462.50
178,882.50
14,722.50 193,605.00
184,722.50
10,132.50 194,855.00
185,132.50
5,320.00 190,452.50
195,320.00
195,320.00
Totals
Bond Years:
Avg. Mat..:
NIC ....... :
1,485,000.00
8,691.25
5.853
5.372%
452,087.08
1,937,087.08
Bond Date.:
Delivery..:
Bond Yield:
1,937,087.08
10/01/92
10/15/92
5.17831%
City of Ashland, Oregon
G.O. Refunding Bonds, Series
Sources and Uses of Funds
1992
Schedule G
Prepared: 09/02/92
By SPRINGSTED Incorporated
Sources of Funds:
Par Value of Refunding Bonds .................................. ·
· · ·
Less Discount / Plus Premium .................................... :
Accrued Interest ................................................ :
Earnings on Proceeds ............................................ :
Funds From Issuer ............................................... :
Total Sources of Funds
1,485,000.00
(14,850.00)
2,810.71
22,794.70
1,495,755.41
Uses of Funds:
Par Value of SLG's ..............................................
Open Market Security ............................................
Beginning Balance in Escrow .....................................
Accrued Interest to Sinking Fund ................................
Unused Discount to Sinking Fund .................................
Refunding Expenses .............................................. :
Excess Proceeds ................................................. :
1,466,900.00
44.70
2,810.71
26,000.00
Total Uses of Funds 1,495,755.41