GO Bond Program Update 01-17-18 Final2018 G.O. Bond Transforming Tomorrow Program Update
January 17, 2018
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G.O. Bonds
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General Obligation bonds are a form of debt financing
Last G.O. Bond program approved in 1999
Payable from property taxes
Backed by a pledge of the City’s “full faith and credit”
Used to finance capital projects that do not produce revenues
Approved by voter referendum
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1999 G.O. Bond Program
$92 million bond program
Approved by voters on November 2, 1999
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68.5%
approval
56.9%
approval
54.2%
approval
$9.7 million
$24.8 million
$57.9 million
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1999 G.O. Bond Program
Annual debt service is $5.9 million
Supported by property taxes
In FY 2018, equivalent to 0.1664 mills
Bonds mature in 2033 (outstanding principal is $44.2M)
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1999 G.O. Bond Program
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Of 62 total projects, all are completed or in progress,
except for 5 projects
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1999 G.O. Bond Program
5 remaining projects
Approximately $30 million of unfunded above ground funding needs
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2018 G.O. Bond Program
19 years since last G.O. Bond
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Above ground costs related to Stormwater and Water/Sewer capital projects
Critical infrastructure needs in the community
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2018 G.O. Bond Program
Voter referendum necessary
Primary Election: August 28, 2018
Deadline June 8th; cost $30,000
General Election: November 6, 2018
Deadline August 7th; cost $30,000
Special Election
Cost
$300,000
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Debt Capacity
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Debt Capacity
Size of Program
Over $700 M in potential projects identified to date
Ex) $30 M needed to complete the 5 remaining projects from 1999 Bond Program
Can issue G.O. debt up to 15% of assessed property value ($6.4B)
Currently at 1.1% of debt limit ($51.4M)
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2018 G.O. Bond Program
To cover annual debt service, offsetting millage rate increase would be necessary
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2018 G.O. Bond Program
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Millage rate approval can take place after G.O. Bonds are approved by the voters
Bonds can be issued before millage rate approval
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Why Public Engagement?
Lack of familiarity with a G.O. Bond program
Communicate complexity
Reflect community priorities
Build voter awareness
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How Should We Engage?
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Phase I
Education and Understanding
Phase II
Prioritization
Phase III
Evaluation and Review
Phase IV
Public Education
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Public Engagement Tools
Televised Town Hall Meetings
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Public Engagement Tools
Meeting in a Box
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Public Engagement Tools
Pop-up engagement
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Games
Public Engagement Tools
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Public Engagement Goals
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Reach broad spectrum of the community through multiple channels
Transparency and consistency of information
Build shared community commitment
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Timeline
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Formalize
Process
January
Education & Understanding
Feb/March
April/May
May/June
June/July
Aug/Sep/Oct
Prioritization
Evaluation & Review
Commission Review & Decision
Public
Education
Vote
Nov
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