Council approves up to $2.85 million in utility revenue bonds for electrical upgrades

The City Council on final reading adopted Ordinance 24-86, authorizing the issuance of combined utility revenue bonds, series 2025, in an aggregate principal amount not to exceed $2,850,000 to pay for improvements to the city’s electrical system. The council moved to suspend the rules and proceed to a final reading before voting to adopt the ordinance.

The ordinance authorizes the officers of the city to prescribe bond terms, direct application of proceeds, pledge the revenue and earnings of the combined utilities for payment of principal and interest, and establishes the framework for the sale and delivery of the bonds. Council members said the bonds will fund “34.5 kV ring bus completion” work and other electrical-system improvements as described in the ordinance text read at the meeting.

Councilmember Ben moved and Nick seconded earlier during the ordinance discussion to advance reading; later the council voted to suspend rules and proceed directly to final reading. The ordinance passed on the floor after that procedural motion.

There was no extended public debate recorded on the measure at the meeting. The city did not provide a vote-by-name roll call in the transcript excerpt beyond multiple recorded “Yes” responses; the clerk recorded the motion and subsequent affirmative votes.

The ordinance prescribes that the city may pledge combined-utility revenues to secure the bonds and contemplates the issuance of additional parity bonds under terms set out in the ordinance. The ordinance text also includes standard provisions for form, terms, sale and delivery of the bonds and authorizes city officers to execute required contracts on behalf of the city.

City staff and council did not discuss a detailed repayment schedule, interest rate assumptions, or the bond purchaser at the meeting; those details were not specified in the record provided.