BOARD AGENDA MEMORANDUM
SUBJECT:
Title
Adopt Resolution of the Board of Directors of the Santa Clara Valley Water District Authorizing the Issuance of Not-To-Exceed $40 Million of Water System Refunding Revenue Bonds, Approving the Execution and Delivery of Certain Documents, and Authorizing Certain Acts In Connection Therewith. (PREVIOUSLY LISTED AS ITEM 8.1)
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RECOMMENDATION:
Recommendation
A. Adopt a Resolution AUTHORIZING THE ISSUANCE OF NOT TO EXCEED $40 MILLION OF WATER SYSTEM REFUNDING REVENUE BONDS, TAXABLE SERIES 2019C, APPROVING THE EXECUTION AND DELIVERY OF CERTAIN DOCUMENTS AND AUTHORIZING CERTAIN ACTS IN CONNECTION THEREWITH; and
B. Authorize and direct the Chief Executive Officer, Chief Financial Officer, Treasury/Debt Officer, District Counsel, and the Clerk of the Board of Directors and such other officers and staff of the District, acting singly, to do any and all things, and to execute and deliver any and all documents, which such officers may deem necessary or advisable in order to consummate the sale and delivery of the Refunding Revenue Bonds.
Body
SUMMARY:
Approval of staff recommendations will allow the District to issue a principal amount of up to $40 million of Water System Refunding Revenue Bonds, Taxable Series 2019C (the "Bonds") to: (i) refund all of the currently outstanding Water Utility System Revenue Certificates of Participation, Taxable Series 2007B (the "COPs"); and (ii) pay issuance costs of the Bonds.
Refinancing Rationale
The COPs were issued on October 1, 2007, in the amount of $53,730,000 to finance the capital cost of water utility system improvements, purchase a debt service reserve surety bond, and pay costs of issuance and underwriting costs. The COPs have a current outstanding balance of $37,980,000 with a final payment of June 1, 2036, and are callable on any interest payment date. The COPs are variable interest rate debt that pay interest quarterly to investors based on the published 3-month Londo...
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