Miami council authorizes up to $14.2 million note to fund fiber, AMI meters and water-plant work

The Miami City Council approved a resolution authorizing the Miami Special Utility Authority to issue utility-system and sales-tax revenue notes in an aggregate principal amount not to exceed $14,200,000 to finance fiber network installation, advanced metering infrastructure (AMI) meters and water‑plant work, the council said at a special meeting.

The measure (referred to in the meeting as MSUA 2026-05) waives competitive bidding for the negotiated sale, authorizes execution of a sales-tax agreement between the City of Miami and the authority, approves an indenture securing the note, and ratifies an existing lease covering the city’s water, sewer, garbage and electric systems.

The financing’s purpose and the consultants who solicited bids were described to the council during the presentation. “This is actually the financing for fiber, our AMI meters, you know, and then, some water plant work,” a council member said, introducing representatives from BOK and other advisors. The same speaker noted the city received several quotes and that one underwriter offered a redeemable-anytime feature with no prepayment penalty.

A finance advisor explained how the issuance would be secured. “This transaction is gonna be equally secured,” the advisor said, noting an outstanding bond and a three-cent sales tax pledge would be part of the collateral structure.

Council members and staff discussed procedural and legal points about waiving competitive bidding for a negotiated sale. A staff member said that state procedures differ depending on the kind of obligation being sold and described the negotiated process as consistent with those formalities.

Council members asked for clarifications about lease dates and repayment assumptions. One council member asked whether an existing lease dated to 1981 — described in the meeting as a 50-year term with automatic renewal tied to outstanding debt — would affect the transaction; staff confirmed the lease ties existing system assets to the authority and explained updating that document could require bondholder consent. On repayment, staff said current electric revenues are expected to cover debt service and that fiber revenues are not yet being applied but could be considered later as the fiber system matures.

Crystal, a staff member who reviewed the materials, said she had become familiar with the financing options during the process. A council member thanked staff and the advisory team and moved to approve the resolution; another council member seconded the motion. The transcript records council members Parker, Jones and Barnes responding in the affirmative; the meeting transcript does not include a complete roll-call tally in the recorded excerpt.

After the vote the council recessed the special meeting in chambers and reconvened in the staff room for an executive session; the public record in the transcript does not state the executive session’s subject.

The approved resolution authorizes city and authority officials to execute the note, related indenture and sales-tax agreements and to engage professional services necessary for the transaction. The council did not record additional implementation steps or dates in the publicly recorded portion of the transcript.