In a recent city council meeting, Finance Director Greg Stika reported on the successful sale of $22.75 million in general obligation bonds, which took place earlier that day. The bond issuance is earmarked for two major projects: $15 million for the first phase of the community center expansion and $7.75 million for the 2024 road reconstruction project. The funding for these projects is supported by local option sales tax and special assessments.

Stika highlighted the city's strong financial standing, noting that Standard and Poor's reaffirmed Maple Grove's AAA credit rating, a designation the city has maintained for over 20 years. This rating reflects the city's effective financial management and planning, which has garnered pride among current and past council members and staff.

The bond sale attracted significant interest, with 11 bids submitted, a notably high number. Mesirow Financial from Chicago emerged as the lowest bidder, offering a true interest cost of 3.3%, which is 0.4% lower than the previous year's issuance. The sale also included a $3 million premium, which can be allocated towards the projects as determined by the council, without impacting the existing $90 million cap on local option sales tax funding.

Stika explained that the premium could be utilized for additional project costs if the council chooses, or it could allow for a reduction in future bond issuance amounts. This flexibility provides the council with options to enhance the community center expansion or road reconstruction initiatives, depending on their priorities moving forward.