Lakewood approves short-term notes to fund $32.7 million in capital projects after finance briefing

Lakewood City Council on Feb. 18 approved ordinances authorizing short-term borrowing and related budget transfers and leases to fund this year's capital program, after a presentation from the finance director and the city's outside financing team.

The council voted to authorize up to $32,695,000 in debt anticipation notes for projects listed in the capital budget and to approve transfers and equipment leases tied to the adopted budget. The package includes funding for sewer and water improvements, city facilities, parks and sidewalks and transportation resurfacing; the council adopted the ordinances by voice vote at the Feb. 18 meeting.

The legislation and staff presentation emphasized that the borrowing is being issued as short-term bond anticipation notes this year and that staff will consider rolling the notes into longer-term bonds when market conditions are favorable. "Bond anticipation notes is what we what they are. It's a 1 year borrowing. These will be due within 1 year of when we issue them, and we can roll them over," said Catherine (bond counsel) during the finance committee briefing. Jeff Rink, Managing Director at KeyBank Capital Markets, told the committee: "I think you're all aware... the city is rated double A2 by Moody's." That credit rating, the advisers said, helps Lakewood secure lower borrowing costs.

The package the council…