Laserfiche WebLink
<br /> <br />CITY OF ELK RIVER, MINNESOTA <br />PRE-SALE REPORT <br />NOVEMBER 6, 2006 <br /> <br />Proposed Issues: $3,220,000 General Obligation Capital Improvement Plan Bonds Series <br />2006C <br /> <br />Purpose: The bond issue will fund a portion of a new library facility for the <br />community with proceeds of approximately $3.147 million. Additional <br />funding of over $1 million will pay for the remaining cost of the facility, to <br />be constructed in 2007. <br /> <br />Description: The City presented a modification to its capital improvement plan for the <br />library project and conducted a public hearing in August, 2006, after <br />published notice. No petition was received within 30 days of the hearing <br />which requested the Council put the bond issue to a vote of the public. <br />Therefore, these are general obligation bonds issued pursuant to Minnesota <br />Statues, Chapter 475.521. <br /> <br />Term/Call Feature: Principal on the 2006C Bonds will be due on February 1 in the years 2008 <br />through 2027. Principal 2006C Bonds maturing February 1, 2017, and <br />thereafter will be subject to prepayment at the discretion of the City on <br />February 1,2016. <br /> <br />Funding Sources: The Bonds are general obligations of the City and as such are secured by a <br />pledge of the City's full faith, credit, and taxing powers. The City will <br />pledge property taxes to the 2006C Bonds but can and expects to use other <br />available revenues to write down the property tax levy on an annual basis. <br /> <br />Discussion Issues: These bonds will be bank qualified since the City will be issuing less than <br />$10 million in bonds this year. <br /> <br />The 2006C Bonds will be within the City's total debt limit for tax-supported <br />debt of 2% of market value. The City currently has available debt limit of <br /> <br />. <br /> <br />Prepared by Ehlers & Associates, Inc. <br />