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Urbana Park District awards $1,002,665 one-year rollover bond to low bidder, adopts related abatement ordinance
Summary
The Urbana Park District board voted unanimously Dec. 9 to award a $1,002,665 general obligation limited-tax park bond (Series 2025) to the low bidder at a 3.07% net interest cost and adopted an abatement ordinance for Series 2019 ARS bonds to document reliance on existing revenues.
The Urbana Park District board voted unanimously Dec. 9 to award its Series 2025 general obligation limited-tax park bond to the low bidder and to adopt a companion abatement ordinance for earlier alternate revenue source (ARS) bonds.
Aaron Gold, an independent municipal advisor with Spirit Financial, presented results of a competitive sale, saying the district received four bids and that the low bid — a 3.07% net interest cost — came from Time Bank of Park Ridge, Illinois. "I therefore recommend that the district's general obligation limited tax park bond series 2025 be awarded to Time Bank, Park Ridge, Illinois, at a net interest cost of 3.07%," Gold told the board. He said the district increased the issue size by $8,895 to fully utilize levy capacity, producing a $1,002,665 issue with a planned closing on Dec. 18 and a final maturity of Dec. 15, 2026.
Board members moved and seconded the award and completed a roll-call vote; the chair announced the motion passed unanimously.
Separately, the board adopted Ordinance 2025-07 to abate the 2025 levy for principal and interest on the district's Series 2019 ARS bonds. Aaron Gold explained that ARS bonds are structured to be paid from existing district resources and that an annual abatement ordinance is the mechanism for directing the county clerk not to extend the backup property-tax levy when the district's revenues suffice. Board members moved, seconded, and approved the abatement by unanimous roll call.
What the actions mean: the awarded Series 2025 issue is a one-year rollover bond the district will close on in mid-December and that will mature in December 2026. The abatement ordinance is an annual compliance filing that preserves the board’s option to rely on existing revenues rather than a backup tax levy; the board noted the abatement must be filed in the county clerk’s office in the December/February window the ordinance authorizes.
Next steps: staff and the district’s municipal advisor will complete closing documents and related filings ahead of the anticipated Dec. 18 closing. No dollar figures for any future tax impact or levy change were presented beyond the bond statements in the packet.
