Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Municipal Finance topic
No spam. Unsubscribe anytime.
Minnetonka awards $10 million utility revenue bond; Piper Sandler wins competitive bid
Summary
The council unanimously approved awarding $10 million in General Obligation Utility Revenue Bonds (Series 2025B) after competitive bids; Piper Sandler submitted the winning bid with a true interest cost of about 3.53%, producing approximately $10.8 million in net proceeds due to a premium.
The Minnetonka City Council on Nov. 24 adopted a resolution awarding the sale of $10,000,000 in general obligation utility revenue bonds (Series 2025B) to Piper Sandler after a competitive sale administered by the city’s municipal advisor.
Finance staff said the bond proceeds will reimburse and finance utility projects included in the 2024–2025 capital improvement program and indicated the city will repay principal and interest over 20 years through water sales and user fees. Municipal advisor Bruce Kimmel of Eller’s reported nine competitive bids, with Piper Sandler offering the winning bid and a true interest cost of about 3.53%. The sale produced a premium that increases net proceeds to roughly $10.8 million, providing added funds for the projects referenced in the CIP and potentially reducing near-term bond needs.
Staff and the municipal advisor credited the council’s conservative fiscal management and Minnetonka’s strong Moody’s AAA (Aaa) rating for favorable market interest. The council moved and voted to adopt the resolution awarding the bonds, directing execution and delivery, and providing for payment. The resolution was adopted by roll call.
