St. Francis council approves presale resolution for $2.92 million general obligation note

Casey Griffith, senior financial specialist with Eller's, presented the council with a presale report on Jan. 6 for a proposed $2,920,000 general obligation promissory note, Series 2026A, saying the borrowing would reimburse the city for 2025 street improvement projects and finance 2026 street, alley and sidewalk projects plus capital equipment.

"There's three purposes for this debt issuance," Griffith told the council, explaining the notes carry a 16-year term with principal payments beginning in 2027 and a call feature that would make the debt prepayable starting March 1, 2033. He said debt service on the notes will be paid from property taxes and that the city’s debt capacity would move to roughly 40% of the statutory limit under the proposed plan.

Griffith walked through the financing tables in the presale packet and cited an estimated net bond size of $2,920,000 after rounding. He described using capitalized interest to make an interest payment in 2026 (covered from note proceeds) so principal and interest payments would not be levied against property taxes until 2027. Griffith also reviewed the schedule for issuing the notes, including distribution of the official statement and the competitive sale process.

After the presentation, a council member moved to introduce and adopt the presale resolution; the motion was seconded and the chair called for the vote. The council recorded the ayes and the motion carried.

Votes at a glance (not all items shown at length): - Introduced and adopted: Resolution providing for the sale of approximately $2,920,000 general obligation promissory note, Series 2026A — motion carried. - Consent agenda and several license requests were approved (see council minutes).

What happens next: Eller's will distribute the official statement later this month, the city will receive bids at the council meeting when the sale is awarded, and closing is scheduled later in February of 2026.