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8.1. SR 06-16-1997
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8.1. SR 06-16-1997
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C~ty of <br /> <br />MEMORANDUM <br /> <br />TO: <br /> <br />FROM: <br /> <br />MayOr & City Council <br /> <br />Lori Johnson, Asst. City Administrator/ <br />Finance Director <br /> <br />DATE: <br /> <br />June 16, 1997 <br /> <br />SUBJECT: Early Redemption of 1988A General <br /> Obligation Improvement Bonds <br /> <br />This item was originally scheduled for the June 23 meeting, but because that <br />meeting may be canceled, action is requested on June 16 in order to meet the <br />notification requirements for the early redemption of the bond issue. <br /> <br />A resolution is attached calling for the early redemption of the 1988A G. O. <br />Improvement Bonds. These bonds were issued to fund the Main Street and <br />Jackson Avenue and Royal Oaks Ridge Addition improvements. Special <br />assessments were levied for the payment of the bonds. Due to special <br />assessment prepayments, there is an opportunity to prepay the bonds. The <br />prepayment will result in an interest savings of $6,197.50. Additionally, the <br />current cash balance in the debt service fund is approximately $198,000, and <br />the principal and interest outstanding amounts to $93,082.50. At a later <br />date the Council will be asked to approve a motion for the transfer of the <br />remaining funds. <br /> <br />Action Requested <br /> <br />The Council is asked to approve the attached resolution, A Resolution Calling <br />for the Early Redemption of $1,180,000 General Obligation Improvement <br />Bonds Series 1988A Dated May 1, 1988. <br /> <br />13065 Orono Parkway · P.O. Box 490 · Elk River, MN 55330 ° TDD & Phone: (612) 441-7420 · Fax: (612) 441-7425 <br /> <br /> <br />
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