Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Municipal Finance topic
No spam. Unsubscribe anytime.
Pittsburg awards sale of 2025-A general obligation bonds; adopts ordinance and bond resolution
Summary
The Pittsburg City Commission on Feb. 25 awarded the sale of its general obligation bond series 2025-A to Fifth Third Securities, adopted ordinance S11O5 authorizing the bonds, and approved resolution 1292 prescribing the terms of the sale and delivery.
The Pittsburg City Commission on Feb. 25 formally awarded the sale of its general obligation bonds, series 2025-A, to Fifth Third Securities and adopted the ordinance and bond resolution needed to issue the debt.
Garth Herman of Gilmore & Bell, the citys bond counsel, told commissioners that nine underwriters submitted bids on the bonds and that the winning bid from Fifth Third Securities of Cincinnati carried a true interest cost of 4.57 percent. He said the next closest bid was 4.61 percent and the highest was 4.77 percent, which he described as a tight market and a favorable result for the city.
The commission took three separate formal actions required by state law: awarding the sale and authorizing the mayor and clerk to sign the official bid form; adopting ordinance S11O5, which provides the legal authority to issue the bonds; and adopting resolution 1292, which contains the final repayment provisions and other details of the sale. All three motions carried on unanimous voice votes.
Herman said the bonds will be repaid over a 10-year period. Interest payments begin this year, while the first principal payment is scheduled for Sept. 1, 2026; the final principal payment will occur in February at the end of the repayment schedule. He also said the city is negotiating a contract with the company that the project is for to provide a revenue source intended to offset the citys bond debt service payments.
No dollar amount for the bond issuance was stated on the record during the presentation; the commission confined action to awarding the sale and adopting the required ordinance and resolution.
Garth Herman, Gilmore & Bell, is the citys bond counsel and the primary presenter on the record. Mayor Bishop and the commission voted to approve each action.
The city clerk will sign the official bid form and the city will complete the administrative steps required for closing under the ordinance and resolution adopted tonight.
