Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Municipal Finance topic
No spam. Unsubscribe anytime.
Coppell authorizes CRDC bond-refunding parameters that allow up to $21.5M in new debt sale if market improves
Summary
The council approved a resolution adopting parameters to allow the Coppell Recreation Development Corporation to refund Series 2014 sales-tax bonds if market conditions meet savings thresholds; staff said the bonds are not yet "in the money" and parameters let the city act quickly if rates fall.
Council considered a resolution authorizing the Coppell Recreation Development Corporation to pursue parameter-based refunding of its sales-tax revenue bonds. Ms. Tian described the CRDC Board's action to authorize refunding using a parameter sale method and explained the recommended parameters: a maximum principal amount of $21,500,000, final maturity no later than Aug. 1, 2038, a true interest cost not to exceed 3.5%, and net present-value savings of at least 3% within 180 days of the board's approval.
Jason Hughes, the city's financial advisor, told the council the market was about "0.3 to point 4% away from where we would need to be," meaning the refunding does not yet produce the targeted savings; he said the parameter authority would allow the city to act quickly if rates move in the desired direction. The council approved the resolution after questions about timing and maturities and a motion to adopt the item; the motion carried on a roll call with no recorded opposition.
