Apple Valley sells bonds after AAA ratings; council adopts resolution for Series 2025A

The Apple Valley City Council on July 24 adopted a resolution providing for issuance and sale of general obligation bonds Series 2025A to fund park referendum projects and capital facilities. Finance staff said roughly $29 million of the bonds will fund park referendum projects and roughly $3 million will fund facilities capital improvements, including the police operations garage and planning for a central maintenance facility. "The city sought a rating from Moody's and S and P Global on the city's outstanding bonds as well as the 2025 a series. Both rating agencies affirmed the city's triple a rating," Tammy Umdahl of Northland Securities told the council while presenting sale results. Umdahl said 12 bids were received and the low bid came from FHN Financial Capital Markets. She reported the bonds carry a final maturity date of Dec. 15, 2045, and that the underwriter premium of about $1,400,000 will be deposited into the construction fund. Umdahl reported the final par amount before the council as $32,000,004.50; at the council meeting staff presented an updated resolution reflecting the sale results and asked the council to adopt the resolution providing for issuance and sale of $32,450,000 of general obligation bonds Series 2025A. Council Member Bergman moved to adopt the resolution; Council Member Melander seconded, and the motion carried by voice vote. Council members thanked staff and advisors, noting the ratings affirmations and the strength of reserves and management cited in the rating reports.