The city is planning to issue $20 million of revenue refunding bonds relating to the ball park.
Step one was to meet as the Downtown Development Corporation:
Five minutes later they planned to meet as city council:
Then they considered:
You and I would probably think that they did this to save us some money because of lower interest rates.
Unfortunately, according to the resolution the refinancing will end up costing us money. From the resolution:
…notwithstanding the fact that the aggregate amount of payments to be made under the Series 2016 Bonds will exceed the aggregate amount of payments that would have been made under the terms of the Series 2013 Tax Exempt Bonds which are being refunded; the maximum amount of such excess shall not exceed the amount specified in Section 5 hereof;
And then from section 5:
(c) the aggregate amount of payments to be made on the Series 2016 Bonds shall not
exceed the aggregate amount of payments that would have been made on the refunded Series 2013 Tax
Exempt Bonds had the refunding not occurred by more than $13,285,000, net of any issuer contribution;
You can read the resolution here. Don’t be surprised if the city takes this link down once people start looking at it.
The mayor, the city manager, and the city’s chief financial officer are each individually empowered to sell the bonds.
We deserve better