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HomeMy WebLinkAbout08192003 BOND SALE PRESENTATIONCity of Virginia Beach Development Authority $165,000,000 Public Facility Revenue Bonds Series 2003A Description of Program Authorization: Capital Improvement Program and TIF Program Total Program: $327 Million in Financing Projects: Convention Center Town Center Garages Pavilion Theater 315 Street Garage MSM Parking Open Space Acquisition Various Equipment/Systems: Payroll System, Revenue Collection System, Communications Infrastructure Replacement including the Communications Center, Electronic Balloting, Fire Apparatus Equipment 1 Questions Why so many projects? - To provide efficiency with "one" financing. Why so large an issue? - To take advantage of the financial marketplace and low interest rates. - To provide flexibility for determination of taxability. Financing Structure - VBDA will issue bonds (conduit issuer) - Support Agreement by which the City supports all Authority financial obligations - "Master" Agreement of Trust - First Supplemental Agreement of Trust 2 New Revenue s • Restaurant tax -1%, Effective July 1, 2001 • Cigarette Tax - 5¢/Pack, Effective July 1, 2001 • Hotel Tax - 2.5%, Effective November 1, 2001 • Tax Increment Financing -Town Center • Special Service District Tax -Town Center • 31St Street Parking Garage Revenues Other Factors - Budgeted Debt Service in FY04 - Impact on FY05 Debt Service Budget - Net Debt per capita policy goal exceeded with this issue $1,500 vs. $1,770 - All other Debt Management Policy Goals within Limits: ^ Debt to estimate full market value ^ Debt per capita to per capita personal income ^ Debt service to general government expenditures 3 Schedule - Resolution to VBDA -August 19tH - Resolution to City Council -August 26tH - Bond Sale -September Stn -competitive -electronic THANK YOU. 4