PROJ00532 - Laserfiche WebLink

Home Browse Search

.. .. ....1I.0..1I..U.LIS."..C co., D"''''"" RECORD OF PROCEEDINGS WATER-SEWER ROARD MEETING January R, 1987 Chairman Farr called the Water-Sewer Board meeting to order on Thursday, January 8, 1987 at 3:10 p.m. in the City Council Chambers, Civic Center Complex. l. ROLL CALL Pres~nt at the meeting w~re Board members: W. O. Farr. Richard Roettchp.f. Elrner Rothe, and Water Roard Attorney Rill Sohlender. Oavid Clarkson arrived at 3:16 p.m. Also present were Acting City Manager Sam Sasaki, Assistant City Attorney Jec1 Casw~ll, Finance Director Leonard Wiest. and Public Works Director Rarbara HlIner. From the Water and Sewer nepartment were nirectof Mark Rybl/s and Engineers John Gauthiere. Dan Hawkins, anrl Eric Wilkinson. Representing Boettcher and Company was Linda Clark. Representing Morrison- Knudsen Engineers was Rill Moler. 2. ELECTION OF CHAIRMAN FO~ 1987 A motion was made by Richard Roettcher and seconded hy Elmer Rothe to re-elect w. I). Farr to servp. as Chairman of the Water and Sewer Board for 1987. The motion WnS carried unanimously. 3. APPROVAL OF MINUTES A motion was made by Richard Boettcher and seconrled by Elmer Rothe to approve the minutps of the mep.t ing of December 4, 1986 as presented. The motion was carrip.d unanimouSly. 4. APPROVAL OF ANO/OR ADOITIONS TO AGENDA Mark Ryhus reque'ited the addition of Item 5-A, Report on Rond Refinancing. Thp. agp.nlla was approved as amended. 5. COtlsrOERATION OF SETTING THE CASH EOUIVALENT RATE IN LWl OF WAfER R IGHfS EXCHANGE A mot. ion was marlp. by Elmer Rothe anli seconded by Richard Boettcher to set the cash in lip.u of water rate at $1,000 per acre foot. The motion was carried unanimously. 5-A. REPORT ON ROND REFINANCING Linda Clark of Boettcher and Company said that interest rates have gone down in the past few months. and her firm and the City staff have looked at refunding pOSSibilities for the City's ol/tstanding bonds. It was rletermined that only the 1(H~4 and lq85 water bond issues were reasonahle refunding candiciates. Ms. Clark presented various mpthorl'i of structuring the refundings which included several options for making debt service payments. She si!id that. if thp.re is a need ff1r new money, it mi'lkes p.conomic sense to comhine the new bond isslJe with the refunding. Lp.onard Wiest s<lid the savings which would result from refinancing only the p.xisting rlebt would he sufficient to justify the refunding; however, if there is a possibility that new money will be neerled within the next ypar or so, the staff would prefer that the issues he comhinerl. This would allow the City to take advantage of the current low interest rates i'lnd woulrf result in a savings in the fixed costs of issuing the honds. It would also prevent an additional return to the bond market, which could have an advp.rse effect on the City's rating. Linda Clark also stated that her firm has looked at the outstanding Sewer bond i'isUP to determine if there WPfe refunding IJpportunities. She said the savings potential is not as great for thp s..~er bond as for the water bon(ls. but the deci'iion on whether or not to refund should be made by the Water Roard dnd City stdff.