BOARD AGENDA MEMORANDUM
Government Code ? 84308 Applies: Yes ? No ?
(If "YES" Complete Attachment A - Gov. Code ? 84308)
SUBJECT: Title
Receive an Update on the Issuance of Water System Refunding Bonds and Revenue Notes in an Aggregate Not-to-Exceed Amount of $600 Million and Adopt a Resolution Approving the Form of a Preliminary Official Statement in Connection with the Issuance of Water System Refunding Revenue Bonds and Revenue Notes and Certain Acts in Connection Therewith.
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RECOMMENDATION: Recommendation
A. Receive an update on the issuance of Water System Refunding Revenue Bonds and Revenue Notes in an aggregate not-to-exceed amount of $600 million; and
B. Adopt resolution APPROVING THE FORM OF A PRELIMINARY OFFICIAL STATEMENT IN CONNECTION WITH THE ISSUANCE OF WATER SYSTEM REFUNDING REVENUE BONDS AND REVENUE NOTES AND CERTAIN ACTS IN CONNECTION THEREWITH.
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SUMMARY:
Board approval of staff recommendations will allow the Santa Clara Valley Water District (Valley Water) to adopt a resolution (Attachment 1) approving the publishing of the Preliminary Official Statement (Attachment 2) bond disclosure document pursuant to the Securities Exchange Act Rule 15c2-12, and proceed with the issuance of Water Utility (WU) Enterprise debt in an aggregate not to exceed a principal amount of $600 million as authorized by the Board on May 12, 2026, for the following purposes:
1. Issue Refunding Revenue Bonds to refund all outstanding tax-exempt WU Series 2017A and 2019A debt for debt service savings;
2. Issue Refunding Revenue Bonds to refund outstanding Commercial Paper Notes and Revolving Line of Credit Certificates issued to finance projects for the WU Enterprise (the "outstanding short-term obligations");
3. Issue Revenue Notes to acquire and/or construct, or reimburse the cost of the acquisition or construction of, certain WU capital improvements and to capitalize interest on the Revenue Notes; and
4. Pay costs of issuance.
The Revenue Notes ...
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