Item 7FCity of Southlake, Texas
MEMORANDUM
TO: Shana Yelverton, City Manager
FROM: Sharen Elam, Director of Finance Ext. 1713
SUBJECT: Resolution No. 05 -017, Consider all matters incident and related to the issuance
and sale of "Southlake Parks Development Corporation Sales Tax Revenue
Refunding Bonds, Taxable Series 2005," including the adoption of a resolution
relating thereto
Action Requested: Approval of Resolution No. 05 -017 authorizes the issuance and sale of
Southlake Parks Development Corporation Sales Tax Revenue Refunding
Bonds, Taxable Series 2005.
Background
Information: City staff and our financial advisor have continued to monitor the market to
ensure that we capitalize on any refunding opportunities. Based on the current
market, it would be advantageous for the city to refund the bonds noted. The
refunding will result in saving approximately $27,406 in debt service payments
and further provide present value savings of approximately $25,110. The
savings is not as significant as the other SPDC refunding but it was necessary
to include this bond issue to complete the total refunding package. The SPDC
certificates are issued and approved by adoption of resolution. Approval of
Resolution No. 05 -017 will set in motion the legal requirements to obtain the
proceeds to refund the bonds. After approval, the legal documents must be
reviewed by the Texas Attorney General's Office. SPDC Board will hold a
meeting prior to March 15, 2005 City Council meeting for their approval of the
bond refunding. SPDC would redeem the outstanding bonds in mid to late
April.
Financial
Considerations: The bonds will be repaid through the half cent sales tax.
Citizen Input/
Board Review: The Public Hearing is scheduled for March 15, 2005.
Legal Review: The law firm Fulbright and Jaworski serves as the City's bond counsel, and as
such has prepared the Resolution.
Alternatives: None
Supporting
Documents: Resolution will be forwarded under separate cover via e -mail later in the week.
Staff
Recommendation: Approval of Resolution No. 05 -017.