Laserfiche WebLink
REQUEST FOR <br />COUNCIL ACTION <br />CITY COUNCIL MEETING DATE: <br />SEPTEMBER 3, 2019 <br />TITLE: <br />APPROVE AGREEMENTS WITH URBAN <br />FUTURES INC. (NOT -TO -EXCEED <br />$72,500) AND BEST BEST & KRIEGER, <br />LLP (NOT -TO -EXCEED $117,600) FOR <br />PROFESSIONAL SERVICES RELATED <br />TO THE REFUNDING OF THE GAS TAX <br />REVENUE CERTIFICATES OF <br />PARTICIPATION, SERIES 2007 <br />(STRATEGIC PLAN NO. 4, 2D) <br />CITY 9ANAGER <br />RECOMMENDED ACTION <br />CLERK OF COUNCIL USE ONLY: <br />APPROVED <br />❑ As Recommended <br />❑ As Amended <br />❑ Ordinance on 1n Reading <br />❑ Ordinance on 2nd Reading <br />❑ Implementing Resolution <br />❑ Set Public Hearing For <br />CONTINUED TO <br />FILE NUMBER <br />Authorize the City Manager to execute an agreement with Urban Futures Inc. for <br />financial advisor services related to the refunding of the Certificates of Participation <br />beginning September 3, 2019 through June 30, 2020, for a not -to -exceed amount of <br />$72,500, with a provision for a one-year extension exercisable by the City Manager and <br />the City Attorney and subject to non -substantive changes approved by the City Manager <br />and the City Attorney. <br />2. Authorize the City Manager to execute an agreement with Best Best & Krieger, LLP for <br />bond counsel and disclosure counsel services related to the refunding of the Certificates <br />of Participation beginning September 3, 2019 through June 30, 2020, for a not -to - <br />exceed amount of $117,500, with a provision for a one-year extension exercisable by <br />the City Manager and City Attorney and subject to non -substantive changes approved <br />by the City Manager and the City Attorney or his/her designee <br />DISCUSSION <br />In 2007, the City issued debt of $68,010,000 in the form of Certificates of Participation (COPS) <br />to rebuild the neighborhood street system; including grinding and overlay, reconstruction, and <br />critical repair for sidewalks, curbs and gutters. The debt service is funded with the City's <br />Highway Users' Tax (Gas Tax) apportionment from the state. <br />The outstanding principal balance is $55,940,000, and the debt pays interest at rates varying <br />from 4% to 5%. The final debt payment is scheduled for January 1, 2040. The City's annual <br />25B-1 <br />