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HomeMy WebLinkAboutRDA #5 8-03-87 RES 87-8 REDEVELOPMENT AGENCY DATE- aur.¥ 24, 1987 ~STON, EXECUTIVE DIRECTOR, TUSTIN COMMUNITY ADOPTION OF SUBJECT: RESOLUTION RDA 87-8 AUTHORIZING INVOICE REFUNDING BONDS, SERIES 1987. RECOMMENDATION: Adopt Resolution RDA No. 87-8, of the Tustin Community Redevelopment Agency authorizing the issuance of $8,060,000 principal amount of Tustin Community Redevelopment Agency Town Center Area Redevelopment Project Tax Allocation Refunding Bonds, Series 1987. DISCUSSION: As reported at the Agency's last meeting, the Agency's underwriter, E.F. Hutton and Company, Inc., has successfully marketed the 1987 Refunding Bonds at a net interest cost of 7.09%, a 268 basis point savings on the original 1982 issue. Lora Stovall, partner in Bartle Wells Associates, has represented the City as financial consultant. Lora would like to make a brief presentation to the Agency that will cover our expectations and the results of our refinancing. Bond counsel has prepared an excellent flow of funds quide that I have attached for 'your review. RAN:ls MUDGE ROSE GUTHRIE ~?.~.XANDER & FERDON MEHORANDUM FOR Ronald A. Nault July 22, 1987 Finance Director City of Tustin FROM David S. Tan Tustin Community Redevelopment Agency Tax Allocation Refunding Bonds Sources and Uses of Proceeds The following memorandum will outline the projected sources and uses of funds related to the Tax Allocation Refunding Bonds that will be issued by Tustin Community Redevelopment Agency (the "Agency") with a Closing date of August 5, 1987. Source Principal Amount of Bonds $8,060,000.00 Accrued Interest 51,439.17 <Original Issue Discount> <5,849.70> <Underwriter"s Discount> <161,200.00> (portion) Net Proceeds $7.944.389.47 USe Escrow Fund for Investment $7,892,950.30 Interest Account (accrued interest) 51,439.17 Total Uses of P~0ceeds $7,944,389.47 B.EXCESS FROM 1982 RESERVE ACCOUNT Source Current Balance $1.050.000.00 Use Escrow Fund for Investment 131,849.70 Reserve Account for 1987 Bonds 805,500.00 Redevelopment Fund of Agency as Contingency 5,862.00 Agency Contribution Fund 106,788.30 (for the following: to MBIA $61,000.00 to Hutton 24,180.00 balance remains in Fund to pay Agency costs related to Bonds) Total Uses of Excess Rese~ve $1.050.000.00 C.EXCESS 1982 SPECIAL FUND source Current Balance $~ Use Escrow Fund for Investment $1,219,537.03 Interest Account for 1987 Bonds 462.97 Total Use of Special Fund $1.220.000.00 Subsequent Deposit from Tax Revenues $ 17.551.97 US~ Interest Account for 1987 Bonds $ 17,551.97 Total Use of Subsequent DePosit $ 17.551.97 D.AGENCY CONTRIBUTION Agency Contribution $ Use Agency Contribution Account $ 139.180.00 (used to pay Agency costs related to Bonds) E.TOTALS TO FUNDS AND ACCOUNTS To Escrow Fund $9,244,337.03 To Interest Account 69,454.11 To Reserve Account 805,500.00 To Redevelopment Fund 5,862.00 To Agency Contribution Fund 245,968.00