ADD TO THE AGENDA On a motion by Mr. Farley, seconded by Mr. Scoville, the Board voted unanimously to add to the agenda.
PRESENTATION: BOND REFUNDING Mr. Mattiello introduced Mr. William Lindsay of IBIC, the new financial advisor obtained through a recent RFP. Mr. Lindsay reviewed the City’s existing debt service and possibilities for refinancing. He said the City went out for 15.2 million dollars of short term bond anticipation notes in April, which will mature on December 15th. At that time they will be permanently financed in the form of 20 year bonds. He reviewed a list of the City’s existing bond issues, saying that as of June 30, 2010 the principle not outstanding on the City’s current bonds will be 29.3 million
dollars. Mr. Lindsay continued to address the issue of potential refinancing and talked about which issues have been advance-refunded in the past, which issues are eligible to be advance-refunded again, and what the dates are at which those bonds could be refunded. Mr. Lindsay reminded the Board of the structure of municipal bonds, saying municipal bonds are not prepay-able or refundable at any time. Under the current tax code a bond issue is only allowed to be advance-refunded one time, he said, and even though interest rates are favorable, they’ve already been advance-refunded once. However, the City can refund them on a current basis when they’ve reached their call date. A number of the City’s bond issues have already been advance-refunded, Mr. Lindsay said as he reviewed each one. The one issue that is eligible to be advance-refunded, he said, would be Torringford Elementary school from 2006, but its call date is too far out in the future to keep from losing money in the reinvestment. He suggested that be revisited at a time closer to the call date. Mr. Lindsay said his recommendation for December is to use a five-year call provision with a call date of 2015. Mr. Mattiello pointed out that unless new items are added, by 2019 or 2020, 85% of
the City’s debt will be retired. Mr. Lindsay said the nice thing about that is if there are capital plans in the future, it does allow you to add additional borrowings without creating a sizeable budget hit. Mr. Scoville asked if this report is a worse-case scenario. Mr. Lindsay said yes, the grant picture is even better than what we were projecting. Mrs. Traub asked if our debt service is a typical amount for a City of our size to hold. Mr. Lindsay replied that
our debt is very manageable and is on the low side for a city of our size. Mr. Mattiello added that because of our (Moody’s Investment Service) rating, we’re in a position for good interest rates.
POLICE CHIEF’S VEHICLE On a motion by Mr. Scoville, seconded by Mrs. Traub, the Board voted unanimously to authorize the payment of $26,579 from the Vehicle Replacement Fund to purchase a 2010 Ford Explorer for the Chief of Police from MHQ Municipal Headquarters, West Hartford, CT per the recommendation of the Fleet Manager and the Purchasing Agent, having been approved by the Board of Public Safety and City Council. Chief Maniago explained this is to replace an 18 year old minivan that was purchased brand new.
TRANSFER FUNDS On a motion by Mr. Farley, seconded by Mr. Bushka, the Board voted unanimously to authorize the transfer of open purchase order balances to Capital Project Fund 0310 and Capital Reserve Fund 0311 per the Comptroller’s memo of Sept. 13, 2010. Ms. Proulx explained the purpose of this transfer is for a better monitoring mechanism for the monies being appropriated for these projects. POLICE INTERCEPTORS' DETAILING Mrs. Zucco updated the Board on their request that she obtain quotes for the Police Interceptor’s detailing project. She said Giordano came in lower
and was awarded the bid for $1900. Mr. Farley asked the Fleet Manager if he was comfortable with this company. Mr. Castro said he’s pretty sure they have the proper specifications and thinks we should give them a try.
BUSINESS: MAYOR & BOARD MEMBERS On a motion by Mrs. Traub, seconded by Mr. Paganini, the Board voted unanimously to consider business by the Mayor and members of the Board of Finance. No business was presented.
ADJOURNMENT On a motion by Mr. Farley, seconded by Mr. Scoville, the Board of Finance voted unanimously to adjourn at 5:32 p.m.
ATTEST: JOSEPH L. QUARTIERO, CMC CITY CLERK
Respectfully Submitted,….. rol L. Anderson, CCTC Asst. City Clerk |
