2.5 ERMUSR 05-11-2021 - Laserfiche WebLink

Home Browse Search

5 EL185-68-707442.v4 of the Series 2021B Bonds, adjusted for such Fiscal Year as permitted by the Prior Resolution are as follows: Audited Fiscal Year Ended 2020 OPERATING REVENUES $37,922,507 OPERATING EXPENSES (33,959,004) NET OPERATING INCOME (LOSS) $3,963,503 ADD BACK DEPRECIATION $2,896,839 ADD OTHER INCOME $681,477 NET REVENUES $7,541,819 The Net Revenues of the Electric System for the Audited Fiscal Year immediately preceding the issuance of the Series 2021B Bonds, adjusted as set forth above, were at least 125% of the average annual principal and interest coming due during the remaining term of the Prior Bonds plus the Series 2021B Bonds computed to August 1, 2048 (the final maturity date of the Prior Bonds). The combined average annual principal and interest requirement for the Series 2021B Bonds and the Prior Bonds, is $1,779,015.78. Other than the Prior Bonds and the Series 2021B Bonds, the Commission has no other bonds, warrants, certificates or other obligations or evidences of indebtedness of money borrowed for or on account of the Electric System or indebtedness for which the Net Revenues of the Electric System have been appropriated or pledged. 2.04. Sufficiency of Gross Revenues and Net Revenues. The Commission reasonably anticipates that the Gross Revenues to be received during the period for which the Series 2021B Bonds will be outstanding will be more than sufficient to pay all costs of the operation and maintenance of the Electric System and to provide Net Revenues adequate to pay the principal of and interest on the Series 2021B Bonds and the Prior Bonds when due. 2.05. Authorization of Series 2021B Bonds. The Commission is authorized by law to borrow money necessary to finance the Project and to pay the related financing costs and fund the Reserve Account. It is necessary and expedient for the City forthwith to issue its Electric Revenue Bonds, Series 2021B, in the principal amount of $11,810,000. All costs of the Project in excess of the proceeds of the Series 2021B Bonds available for payment of such costs shall be paid from any other funds legally available to the Commission for such purpose. 2.06. Sale of Series 2021B Bonds. The Commission has retained Baker Tilly Municipal Advisors, LLC (“Baker Tilly”), as its independent municipal advisor for the sale of the Series 2021B Bonds and was therefore authorized to sell the Series 2021B Bonds by private negotiation in accordance with Minnesota Statutes, Section 475.60, Subdivision 2(9) and proposals to purchase the Series 2021B Bonds have been solicited by Baker Tilly. 2.07. Receipt and Acceptance of Proposals. Proposals have been received by the Finance Manager, or designee, at the offices of Baker Tilly on the date hereof pursuant to the 66