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Roswell advances PFA revenue bond plan to finance facility repairs including $7M roof
Summary
City financial staff asked the committee to advance a proposed City of Roswell Public Facility Authority (PFA) revenue bond offering of about $13.1 million to finance long‑lived capital needs — including an estimated $7 million roof replacement, public safety headquarters improvements, parking‑deck work and other projects — and council unanimously agreed to move the package forward.
City finance staff told the Roswell committee on Feb. 10 that the City of Roswell Public Facility Authority can issue bonds to finance long‑lived city assets and that staff plans to issue a private‑placement bank offering this spring.
"The City of Roswell Public Facility Authority ... is used to finance designated city facilities," Chief Financial Officer Bill Godshaw said, describing parks, public safety buildings, parking and utilities as eligible projects. Godshaw noted other municipalities in the region had used PFA structures recently and said the approach can carry lower issuance fees than general obligation bonds for certain capital amounts.
Godshaw described the financing mechanics under Georgia law: the PFA issues bonds; the authority and the city execute an intergovernmental lease/IGA that sets payment terms; and a statutory validation process under Georgia revenue bond law makes the offering legally robust for investors. He emphasized that, while the offering is called a "revenue bond" under Georgia law, it is not a third‑party revenue stream bond like some downtown development authority transactions.
Staff listed proposed projects targeted for the offering: an estimated $7 million roof replacement for an aging city building, additional work at a public safety headquarters (HVAC and controls), parking deck enhancements (including a fourth floor and monitoring technology), replacement of retrofit HVAC controls at city hall, refurbishment of two fire engines as backups, Crab Apple expansion for adaptive programming, E‑911 range revitalization for police training, transportation shop lift overhaul, and a roof at Barington Hall. Godshaw said the total project list for the offering is approximately $13.1 million (staff will include capitalized interest and fees in the final bond amount to allow for cost variation).
Godshaw outlined the timeline: issue bank RFPs immediately, receive bids in early March, convene a PFA special meeting and a council meeting on March 9 for approval, and target closing and funds availability in April. Council members asked whether the project list is final, about prepayment penalties and how debt will appear in cash‑basis budgets; staff said the list is current but subject to reprioritization if prices change, described a multi‑tier prepayment schedule used previously and confirmed the debt will be recorded on the city’s financial statements and cash accounting will reflect the transaction.
