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CITY OF EUGENE, OREGON
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<br />Notes to Basic Financial Statements
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<br />continued
<br />(4) Detailed Notes on All Funds, continued
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<br /> (H) Noncurrent Liabilities, continued
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<br /> General Obligation Bond and Revolving Credit Facility (POS)
<br />On November 7, 2006, Eugene voters passed Measure 20-110, authorizing the City to issue a maximum of
<br />$27,490,000 of general obligation (G.O.) bonds. The proceeds from the sale of the bonds are to be used for the
<br />purchase of land for parks and open space, and the construction and improvement of athletic fields. The bonds can
<br />be issued to provide interim financing and to refund the bonds that provide interim financing. As of June 30, 2018, the
<br />City had $2,880,000 in authorized but unissued borrowing remaining.
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<br />To issue these bonds, on May 31, 2007, the City entered into a General Obligation Bond and Revolving Credit Facility
<br />with Bank of America, N.A. with a variable interest rate and a maturity date of June 1, 2019. The facility has an
<br />authorized limit of $3,000,000 outstanding at any given time and is further limited to a maximum of the amount
<br />authorized under the bond measure. As of June 30, 2018, the City had a $0 balance on the credit facility.
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<br />Draws on this credit facility are recorded as a financing source in the General Capital Projects Fund. The debt will be
<br />repaid from general property tax revenues or by the future issuance of long-term general obligation bonds, which can
<br />be issued at the City’s discretion. The General Obligation Bond and Revolving Credit Facility (Parks, Athletic Fields,
<br />and Open Spaces) is backed by the full faith and credit of the City and is included in the City’s G.O. debt limit.
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<br /> Beginning Ending
<br />Governmental activities balance Increase Decrease balance
<br /> G.O. bond and revolving
<br /> credit facility (POS)$ 0 389,000 (389,000) 0
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<br />Limited Tax Bonds
<br />The City issues limited tax bonds in governmental and business-type activities. Limited tax bonds in governmental
<br />activities include limited tax improvement bonds and limited tax pension bonds. Limited tax improvement bonds
<br />finance public improvements that benefit private parties. Improvement bonds are secured by the benefited properties
<br />and are to be repaid in installments from property owners. Limited tax pension bonds finance a portion of the
<br />estimated unfunded actuarial liability with the Oregon Public Employees Retirement System. The pension bonds are
<br />to be repaid from existing revenue sources. All limited tax bonds are backed by the full faith and credit of the City,
<br />within the limitations of Article XI of the Oregon Constitution.
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<br />Original Ending
<br />Governmental activities issuance Interest rates (%)balance
<br />Limited tax bonds:
<br /> Limited Tax Pension Bonds, Series 2002 $ 69,613,281 2.000% to 7.410% 43,808,710
<br /> Limited Tax Improvement Bonds, Series 2011 580,000 7.050%183,334
<br /> Total limited tax bonds governmental activities $70,193,281 43,992,044
<br />Business-type activities
<br />Limited tax bonds:
<br /> Limited Tax Pension Bonds, Series 2002 $ 14,721,179 2.000% to 7.410% 9,221,483
<br /> Total limited tax bonds business-type activities 14,721,179 9,221,483
<br /> Total limited tax bonds $84,914,460 53,213,527
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<br />December 10, 2018, Meeting - Item 2D
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