HomeMy WebLinkAbout6.d. Public Works Building Addition Financing CITY OF ROSEMOUNT
EXECUTIVE SUMMARY FOR ACTION
CITY COUNCIL MEETING DATE: January 19, 1999
AGENDA ITEM: Public Works Building Addition Financing AGENDA SECTION:
Consent
PREPARED BY: Bud Osmundson ' AGENDA NO_��� � � �
City Engineer/Public Works Director �
ATTACHMENTS: Resolution, Loan Data and Cost/Funding APPROVED BY:
Summary
This item is on the agenda for Council consideration of the funding for the Public Works
Building Addition. Staff is proposing that instead of borrowing the money from a private
vendor, such as a bank or bonding company, that we borrow the money from the Sanitary
Sewer Core Fund. This funding mechanism has been discussed with Springsted, Inc. and
our bonding counsel, Briggs & Morgan. By borrowing from the enterprise fund the City
would save S 10,000 - S 15,000 in issuance costs. Briggs & Morgan authored the
attached resolution and advised the Finance Department on the interest rate.
Staff recommends that the action be taken as stated below.
RECOMMENDED ACTION: MOTION TO ADOPT A RESOLUTION AUTHORIZING THE
BORROWING OF MONEY FROM THE SEWER CORE FUND.
COUNCIL ACTION:
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CITY OF ROSEMOUNT
DAKOTA COUNTY, MINNESOTA
RESOLUTION 1999 -
RESOLUTION AUTHORIZING THE BORROWING OF
MONEY FROM THE SEWER CORE FUND
WHEREAS, the City Council of the City of Rosemount, Minnesota(the "City"), has
heretofore determined and declared that it is necessary and expedient to authorize the
borrowing of funds from the City's Sewer Core Fund in the amount of$548,337.30 to
finance the construction of an expansion to the City's public works facility.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Rosemount,
Minnesota, as follows:
The City hereby authorizes the borrowing from the Sewer Core Fund in the amount of
$548,337.30. The principal amount borrowed shall be repaid to the Sewer Core Fund
over a period of twenty years, together with interest to accrue from January 20, 1999,
on the unpaid principal amount borrowed at the rate of 5.0 percent per annum. The
estimated repayment of principal and interest to be repaid to the Sewer Core Fund is
set forth on Exhibit A attached hereto.
ADOPTED this 19th day of January, 1999.
Cathy Busho, Mayor
ATTEST:
Susan M. Walsh, City Clerk
Motion by: Seconded by:
Voted in favor:
Voted Against:
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City of Rosemount
2875 145th Street West
Rosemount,MN 55068
(651)423-4411 fax
LOAN DATA —
Lender Name Rosemount Sewer Core Fund(For P.W.Building Expansion) ,
Basic Loan Information
Amount $548,337.30 Annual Interest Rate 5.00%
Beginning of Loan 1/20/99 Length of Loan,Years 20
Payments Per Year 1 !
Payment Information
Totai Payments 20 Caiculated Payment $44,000.00
Entered Payment
Summary Information
Total Paid ($880,000.07) Interest Paid ($331,662.77)
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LOAN AMORTIZATION TABLE -
What is the Loan Amortization Table Sheet?
Date Lender Name
1/20/99 Ros�ount Sewer Core Fund(For P.W.Building Expan ion)
Annual
Pmnt Start of Interest Scheduled Scheduled Interest Principai Additional
# Period Rate Balance Actual Balance Payment Portion Portion Principai
I 1 12/99 5.00% 548,337.30 , 548,337.30 (44,000.00) (27,416.87) (16,583.14)
2 � 12/00 5.00% 531,754.16 531,754.16 (44,000.00) (26,587.71) (17,412.30)'
' 3 ; 12/01 5.00% 514,341.87 514,341.87 (44,000.00) (25,717.09) (18,282.91)
' 4 i 12/02 5.00% 496,058.96 496,058.96 (44,000.00) (24,802.95) (19,197.06)
' 5 12/03 5.00% 476,861.90 476,861.90 (44,000.00) (23,843.10) (20,156.91)� '
6 � 12/04 5.00% 456,704.99 456,704.99 (44,000.00) (22,835.25) (21,16475)
� 7 12/05 5.00% 435,540.24 435,540.24 (44,000.00) (21,777.01) (22,222.99)� '
, 8 12/06 5.00% 413,317.25 413,317.25 (44,000.00) (20,665.86) (23,334.14)
; 9 12/07 5.00% 389,983.10 389,983.10 (44,000.00) (19,499.16), (24,500.85)! '
10 12/08 5.00°/a 365,482.26 365,482.26 (44,000.00) (18,274.11)' (25,725.89);
� 11 12/09 5.00% 339,756.36 339,756.37 (44,000.00) (16,987.82)i (27,012.19) I
; 12 12/10 5.00% 312,744.18 312,744.18 � (44,000.00)� (15,637.21)', (28,362J9)
i 13 12/11 5.00% 284,381.38 284,381.39 (44,000.00) (14,219.07) (29,780.93)
14 12/12 5.00% 254,600.45 254,600.451 (44,000.00) (12,730.02) (31,269.98)
� 15 12/13 5.00% 223,330.47 223,330.47 (44,000.00) (11,166.52) (32,833.48)
� 16 12/14 5.00% 190,496.99 190,496.99 (44,000.00) (9,524.85)' (34,475.15) '
i 17 12/15 5.00°/a 156,021.84 156,021.84 (44,000.00)i (7,801.09) (36,198.91)j
! 18 12/16 5.00% 119,822.92 119,822.92 (44,000.00) (5,991.15) (38,008.86)
' 191 12/17 5.00% 81,814.071 81,814.07 (44,000.00) (4,090.70); (39,909.30)
I 20 12/18 5.00% 41,904.77 41,904.77 (44,000.00)� (2,095.24)� (41,904.77)
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