Administration - Alison Bong, Deputy Finance Director
Title
Resolution Providing for the Competitive Negotiated Sale of $14,100,000 General Obligation Improvement and Utility Revenue Bonds, Series 2022A
Executive Summary
Staff is seeking Council approval for the sale of improvement bonds on November 7 to finance 2022 pavement management projects and a sewer lift station.
Background
The attached resolution calls for the sale of $14,100,000 in General Obligation Bonds and sets the sale date of these bonds for November 7, 2022. The bonds would be issued per MN Statutes, Chapters 429, 444, and 475. Proceeds from the bonds will be used for to fund 2022 pavement management program (PMP) project costs related to public improvements that are funded in part by assessments against property owners as well as a utility lift station project. Those projects are:
• Improvement Project 22-04, Reconstruction of the following streets:
o 123rd Avenue from Buchanan Street to Ulysses Street
o 124th Court from West cul-de-sac to Buchanan Street
o 124th Court from West cul-de-sac to Pierce Street
o 124th Lane from Pierce Street to Buchanan Street
o Pierce Street from 123rd Avenue to 124th Lane
o Pierce Court from Pierce Street to east cul-de-sac
o Buchanan Street from Paul Parkway to 124th Lane
o 126th Avenue from Polk Street to Taylor Street
o 126th Lane from Taylor Street to Buchanan Street
o 127th Avenue from Taylor Street to Buchanan Street
o 127th Lane from Taylor Street to Central Avenue
o Polk Street from 125th Avenue to 126th Avenue
o Taylor Street from 126th Avenue to 129th Avenue
o Buchanan Street from 126th Avenue to 127th Lane
o 129th Avenue from 180. West of Isanti Street to Radisson Road
• Improvement Project 22-05, 89th Avenue and Davenport Area Street Reconstructions
• Lift Station 1 Modifications
• Improvement Project 22-06, Hidden Oaks Street Reconstructions
Baker Tilly, MA, Blaine’s Municipal Advisor, has provided a Pre-Sale Summary outlining the sale date, amount, and structure of the proposed bond.
Strategic Plan Relationship
The issuance of debt to finance street improvements aligns with the City’s adopted strategic priorities of a well-maintained infrastructure and financial stability.
Board/Commission Review
This action serves to notify the public of the City’s intent to issue bonds to finance certain improvements. On November 7, 2022, Council will consider the sale and award of the bonds.
Financial Impact
Full financial impact will be known at the time Council approves the sale of the bonds, scheduled to take place November 7, 2022. Current estimates show the debt payments to be scheduled for this bond issue will be well within the estimates in the city’s 20-year debt schedule.
Public Outreach/Input
10/03/22 Council Meeting - Set sale of $14,100,000 General Obligation and Utility Bonds, Series 2022A
11/07/22 Council Meeting - Consider resolution awarding sale of General Obligation and Utility Bonds, Series 2022A
Staff Recommendation
Adopt the following resolution
Attachment List
Pre-Sale Summary for the issuance of the bonds as prepared by the City’s Municipal Advisor, Baker, Tilly, MA.
Resolution with Terms of Proposal Exhibit A
Body
BE IT RESOLVED by the City Council of the City of Blaine, Minnesota, as follows:
1. Finding; Amount and Purpose. It is hereby found, determined and declared that the City of Blaine, Minnesota (the “City”), should issue its $14,100,000 General Obligation Improvement and Utility Revenue Bonds, Series 2022A, to finance various street improvement and related utility projects within the City.
2. Meeting. This City Council shall meet on the date and at the time and place specified in the form of Terms of Proposal attached hereto as Exhibit A for the purpose of awarding the sale of the Bonds.
3. Competitive Negotiated Sale. The City has retained Baker Tilly Municipal Advisors, LLC (“Baker Tilly MA”) as an independent financial advisor, and the City Council hereby determines to sell the Bonds by private negotiation, by way of a competitive sale in response to Terms of Proposal for the Bonds which are not published in any newspaper or journal.
4. Terms of Proposal. The terms and conditions of the Bonds and the sale thereof are fully set forth in the “Terms of Proposal” attached hereto as Exhibit A and hereby made a part hereof.
5. Official Statement. The City Finance Director and other officers or employees of the City are hereby authorized to participate with Baker Tilly MA in the preparation of an official statement for the Bonds.
PASSED by the City Council of the City of Blaine this 3rd day of October 2022.