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HomeMy WebLinkAbout2024-603-10.07.2024Prepared by LeAnn M. Even, Deputy City Clerk, City of Waterloo, 715 Mulberry Street, Waterloo, IA 50703, (319) 291-4323. RESOLUTION NO. 2024-603 RESOLUTION APPROVING THE SUPPLEMENT TO FIBER PROJECT REIMBURSEMENT AGREEMENT WITH WATERLOO MUNICIPAL COMMUNICATIONS UTILITY (WATERLOO FIBER) OF WATERLOO, IOWA, ESTIMATED TO BE IN THE AMOUNT OF $18,000,000.00, IN CONJUNCTION WITH THE FIBER PROJECT, AND AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE SAID DOCUMENT. WHEREAS, the City of Waterloo recognizes the critical importance of enhancing communications infrastructure to support economic growth and improve public access to high- speed internet services; and WHEREAS, Waterloo Municipal Communications Utility (Waterloo Fiber) is engaged in conducting significant improvements to the city's fiber network, seeking to expand broadband capabilities and connectivity throughout the community; and WHEREAS, a Supplement to the original Fiber Project Reimbursement Agreement has been proposed, that memorializes the terms and conditions under which the Utility will reimburse the City for a proportionate share of the debt service on the Notes (as defined in the Agreement), based on the proportion of the proceeds of the Notes allocated to the FTTP portion of the Project (each as defined in the Agreement); and WHEREAS, the City and the Utility wish to further memorialize, in this Supplement, for illustrative purposes only, an estimated reimbursement payment schedule (the "Estimated Reimbursement Schedule" Attached "Exhibit A"). NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Waterloo as follows: 1. The Supplement to the Fiber Project Reimbursement Agreement with Waterloo Municipal Communications Utility (Waterloo Fiber), estimated to be in the amount of $18,000,000.00, is hereby approved, establishing continued collaboration for fiber optic network expansion. 2. The Mayor and City Clerk are authorized and directed to execute the supplement and any related legal and administrative documents necessary to effectuate its provisions and intent. 3. City departments are tasked with overseeing the project implementation, ensuring compliance with specified timelines, budgets, and quality standards, with periodic reports submitted to the City Council. 4. This resolution shall take effect upon its passage and approval. PASSED AND ADOPTED this 7th day of October 2024. Resolution 2024-603 Page 2 ATTEST: Kelley Felchle Kelley Felchle, City Clerk SEAL 0* WA r 62aertari 91 it Quentin Hart, Mayor EXHIBIT A Estimated Reimbursement Schedule (see attached"Debt Service Schedule") 02402473\24268-000 3 SPEER FINANCIAL, INC. i CITY OF WATERLOO,IOWA $18,000,000 GENERAL OBLIGATION CAPITAL LOAN NOTES, SERIES 2027 **PRELIMINARY-SUBJECT TO CHANGE**COMM UTILITY PORTION-FIBER PROJECT Debt Service Schedule Date Principal Coupon Interest Total P+I Fiscal Total 06/01/2027 - - - 12/01/2027 - - 360,000.00 360,000.00 - 06/01/2028 - - 360,000.00 360,000.00 720,000.00 12/01/2028 - - 360,000.00 360,000.00 - 06/01/2029 - - 360,000.00 360,000.00 720,000.00 12/01/2029 - - 360,000.00 360,000.00 - 06/01/2030 700,000.00 4.000% 360,000.00 1,060,000.00 1,420,000.00 12/01/2030 - - 346,000.00 346,000.00 - 06/01/2031 730,000.00 4.000% 346,000.00 1,076,000.00 1,422,000.00 12/01/2031 - - 331,400.00 331,400.00 - 06/01/2032 760,000.00 4.000% 331,400.00 1,091,400.00 1,422,800.00 12/01/2032 - - 316,200.00 316,200.00 _ 06/01/2033 790,000.00 4.000% 316,200.00 1,106,200.00 1,422,400.00 12/01/2033 - - 300,400.00 300,400.00 - 06/01/2034 820,000.00 4.000% 300,400.00 1,120,400.00 1,420,800.00 12/01/2034 - - 284,000.00 284,000.00 - 06/01/2035 855,000.00 4.000% 284,000.00 1,139,000.00 1,423,000.00 12/01/2035 - - 266,900.00 266,900.00 - 06/01/2036 885,000.00 4.000% 266,900.00 1,151,900.00 1,418,800.00 12/01/2036 - - 249,200.00 249,200.00 - 06/01/2037 925,000.00 4.000% 249,200.00 1,174,200.00 1,423,400.00 12/01/2037 - - 230,700.00 230,700.00 - 06/01/2038 960,000.00 4.000% 230,700.00 1,190,700.00 1,421,400.00 12/01/2038 - - 211,500.00 211,500.00 - 06/01/2039 1,000,000.00 4.000% 211,500.00 1,211,500.00 1,423,000.00 12/01/2039 - - 191,500.00 191,500.00 _ 06/01/2040 1,040,000.00 4.000% 191,500.00 1,231,500.00 1,423,000.00 12/01/2040 - - 170,700.00 170,700.00 - 06/01/2041 1,080,000.00 4.000% 170,700.00 1,250,700.00 1,421,400.00 12/01/2041 - - 149,100.00 149,100.00 - 06/01/2042 1,125,000.00 4.000% 149,100.00 1,274,100.00 1,423,200.00 12/01/2042 - - 126,600.00 126,600.00 - 06/01/2043 1,170,000.00 4.000% 126,600.00 1,296,600.00 1,423,200.00 12/01/2043 - - 103,200.00 103,200.00 - 06/01/2044 1,215,000.00 4.000% 103,200.00 1,318,200.00 1,421,400.00 12/01/2044 - - 78,900.00 78,900.00 - 06/01/2045 1,265,000.00 4.000% 78,900.00 1,343,900.00 1,422,800.00 12/01/2045 - - 53,600.00 53,600.00 - 06/01/2046 1,315,000.00 4.000% 53,600.00 1,368,600.00 1,422,200.00 12/01/2046 - - 27,300.00 27,300.00 - 06/01/2047 1,365,000.00 4.000% 27,300.00 1,392,300.00 1,419,600.00 Total $18,000,000.00 - $9,034,400.00 $27,034,400.00 - Yield Statistics Bond Year Dollars $225,860.00 Average Life 12.548 Years Average Coupon 4.0000000% Net Interest Cost(NIC) 4.0000000% True Interest Cost(TIC) 4.0000000% Bond Yield for Arbitrage Purposes 4.0000000% All Inclusive Cost(AIC) 4.0000000% IRS Form 8038 Net Interest Cost 4.0000000% Weighted Average Maturity 12.548 Years 2027 Waterloo GO Fiber$2 I Comm Utility I 9/18/2024 I 4:01 PM Speer Financial, Inc. Registered Municipal Advisors PRELIMINARY - SUBJECT TO CHANGE