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Manatee County Government Administrative Center Commission Chambers, First Floor 9:00 a.m. - November 28, 2017
REVISED November 28, 2017 - Regular Meeting
Agenda Item #47


Subject
Crossover Refunding of the Public Utility Bonds, Series 2010AB

Briefings
None

Contact and/or Presenter Information

Jan Brewer, Director of Financial Management



Action Requested

Authorize County Administrator to begin negotiations with a potential financing team to accomplish a Crossover Refunding of the Public Utility Bonds, Series 2010AB, and to procure professional services needed to prepare the transaction for Board consideration.



Enabling/Regulating Authority

FS 125



Background Discussion

The County’s Series 2010A and B Public Utilities Revenue Improvement Bonds have an opportunity to seek refunding under a Crossover refunding.  The Crossover refunding places all proceeds in escrow until the call date on the existing bonds at which time defeasance of the original bonds would occur.  This time frame would be 2020.  Since the 2010A Series was issued as a Build America Bonds, (“BABS”) and Series 2010B was issued as Recovery Zone Economic Development Bonds (“RZEDBs”), the County receives federal subsidy for interest.  By using the Crossover refunding, the subsidy would be allowed to remain in place which would not occur under other refunding mechanisms.

It is recommended that Wendell Gartner, Public Resources Advisory Group, with support from County staff and legal counsel, be authorized to negotiate with the proposed financing team to accomplish the issuances or negotiate with banking institutions, whichever is evaluated to provide the best financing option.  It is also recommended that the Financial Advisor, with support from County staff, determine the proposed financing team during the preliminary debt issuance process.

As details are developed, the best financial option will be presented to the County Commission for approval.  The Financial Advisor, the Clerk of the Circuit Court, and County staff recommend the debt issuances be completed as soon as possible to take advantage of the current market.  All documents will be reviewed and approved by Bond Counsel and the County Attorney prior to issuance of debt.



County Attorney Review
Other (Requires explanation in field below)

Explanation of Other

The County’s bond counsel, Steve Sanford of Greenberg Traurig, P.A., and Assistant County Attorney William Clague have been consulted regarding this matter.



Reviewing Attorney
Clague

Instructions to Board Records

N/A



Cost and Funds Source Account Number and Name
N/A

Amount and Frequency of Recurring Costs
N/A