Regular Called Meeting of the Bond Oversight Committee August 21, 2024, 2:00 P.M to 4:00 P.M Austin City Hall, Boards & Commissions Room 1101 301 W 2nd Street, Austin TX 78701 Some members of the BOARD/COMMISSION may be participating by videoconference. The meeting may be viewed online at: http://www.austintexas.gov/page/watch-atxn-live Public comment will be allowed in-person or remotely via telephone. Speakers may only register to speak on an item once either in-person or remotely and will be allowed up to three minutes to provide their comments. Registration no later than noon the day before the meeting is required for remote participation by telephone. To register to speak remotely, call or email Nicole Hernandez, 512-974-7644, nicole.hernandez@austintexas.gov CURRENT COMMISSIONERS: Charles Curry, Chair John McNabb, Vice Chair Ramiro Diaz JC Dwyer Stephen Gonzalez CALL TO ORDER AGENDA Edward McHorse Santiago Rodriguez Kenneth Standly Nicole Wren PUBLIC COMMUNICATION: GENERAL The first 10 speakers signed up prior to the meeting being called to order will each be allowed a three-minute allotment to address their concerns regarding items not posted on the agenda. APPROVAL OF MINUTES 1. Approval of the minutes of the Regular meeting of the Bond Oversight Commission on May 15, 2024. Staff Briefings 2. Staff briefing on the Annual Bond Sale by Financial Services Department DISCUSSION AND ACTION ITEMS 3. Approve a recommendation to Council regarding the approval of the proposed Bond Sales 4. Approve a recommendation to Council regarding the Bond Oversight Commissions Bond Framework in the implementation of capital program 5. Approve the Annual Internal Review and Report FUTURE AGENDA ITEMS ADJOURNMENT The City of Austin is committed to compliance with the American with Disabilities Act. Reasonable modifications and equal access to communications will be provided upon request. Meeting locations are planned with wheelchair access. If requiring Sign Language Interpreters or alternative formats, please give notice at least 2 days (48 hours) before the meeting date. Please call Nicole Hernandez, Capital Delivery Department, at 512-974-7644, for additional information; TTY users’ route through Relay Texas at 711. For more information on the Bond Oversight Commission, please contact Nicole Hernandez at 512-974-7644.
Annual General Obligation Bond Sale & CIP Update Joey Kellar, Division Chief – Treasury Steven Linett – Budget and Performance Manager General Obligation Debt • Property Tax Rate has 2 components Tax Rate Operating & Maintenance (O&M) (General Fund) Debt (Debt Service Fund) • Debt Service tax rate set each year at level needed to fund principal and interest payments on debt issued and pledged with property tax • Pays both existing debt service and debt service associated with upcoming General Obligation bond sale General Obligation (GO) Debt • GO Debt = Public Improvement Bonds, Certificates of Obligation, and Contractual Obligations – $1.68 billion in outstanding General Obligation debt – Issued once per year – Backed by property (ad valorem) taxes and “full faith and credit” of the City Types of GO Debt Purpose Voter Approval City Term Public Improvement Bonds (PIBs) Capital Improvement projects and capital assets Yes 20 years Certificates of Obligation (COs) Real property: land, buildings, right of way, construction of a public work No 20 years Contractual Obligations (PPFCOs) Personal property: equipment, machinery, vehicles, information technology No 7 years Steps to Sell or Issue Debt Spring 2023 Develop CIP Plan August 2023 for FY2023-24 Annual Capital Budget Appropriations Reimbursement Resolutions Spring/Summer/Fall 2024 Develop Bond Sale Schedule Preliminary Official Statement Council Action on Bond Sales Bond Sales and Closing • Work on upcoming bond sale began Spring 2023 • Debt to be sold in upcoming bond sale supports projects and appropriations (authority to spend) previously approved by City Council • Use of Reimbursement Resolution allows projects to begin now and get funded later • Consistent with IRS regulations • Consistent with Financial Policies regarding cash management • Results in lower interest costs GO Bond Sale – Series 2024 September Sale: Public Improvement Bonds (PIBs) - $256.80 M • 2012 Bond Program: $2.20M • Transportation - $2.20 M • 2016 Bond Program (Transportation): $39.00 M • 2018 Bond Program: $142.60 M • Affordable Housing - $25.00 M • Parks and Recreation - $30.00 M • Flood Mitigation/Open Space/Water Quality - $15.00M • Library & Cultural – $14.90 M • Public Safety - $10.40 M • Health - $7.300 M • Transportation - $40.00 M • 2020 Bond Program: $66.00 M • 2022 Bond Program: $7.00 M GO Bond Sale – Series 2024 • Entire bond sale supports projects and related appropriations already approved by City Council • After …
Bond Oversight Commission REGULAR CALLED MEETING MINUTES WEDNESDAY, August 21, 2024 The Bond Oversight Commission convened in a Regular meeting on Wednesday, August 21, 2024, at 301 W. 2nd Street in Austin, Texas. Chair Charles Curry called the Bond Oversight Meeting to order at 2:00 p.m. Board Members/Commissioners in Attendance: Charles Curry, Chair Ramiro Diaz JC Dwyer Board Members/Commissioners in Attendance Remotely: Stephen Gonzalez Francoise Luca Edward McHorse Santiago Rodriguez Nicole Wren PUBLIC COMMUNICATION: GENERAL None APPROVAL OF MINUTES 1. Approve the minutes of the Bond Oversight Commission Regular meeting on May 15, 2024. The minutes were approved at the August 21, 2024, meeting on Commissioner Ramiro Diaz’s, motion, Commissioner Stephen Gonzalez second on an 8-0 vote with Vice Chair John McNabb and Commissioner Kenneth Standley absent. Staff Briefings 2. Staff briefing on the Annual Bond Sale by Financial Services Department 1 The presentation was made by Joey Kellar, Division Chief Treasury and Steven Linett, Budget and Performance Manager on Annual General Obligation Bond Sale and CIP Update. DISCUSSION AND ACTION ITEMS 3. Approve a recommendation to Council regarding the approval of the proposed Bond Sales Approved with amendments on Commissioner JC Dwyer’s, motion, Commissioner Ramiro Diaz’s second on an 8-0 vote with Vice Chair John McNabb and Commissioner Kenneth Standley absent. 4. Approve a recommendation to Council regarding the Bond Oversight Commissions Bond Framework in the implementation of capital program Approved on Commissioner Ramiro Diaz’s, motion, Commissioner JC Dwyer second on an 8-0 vote with Vice Chair John McNabb and Commissioner Kenneth Standley absent. 5. Approve the Annual Internal Review and Report Approved on Commissioner Nicole Wren’s, motion, Commissioner Ramiro Diaz’s second on an 8-0 vote with Vice Chair John McNabb and Commissioner Kenneth Standley absent. FUTURE AGENDA ITEMS Next month presentations on EMS/Fire Emergency Election(s) ADJOURNMENT The City of Austin is committed to compliance with the American with Disabilities Act. Reasonable modifications and equal access to communications will be provided upon request. Meeting locations are planned with wheelchair access. If requiring Sign Language Interpreters or alternative formats, please give notice at least 2 days (48 hours) before the meeting date. Please call Nicole Hernandez, Capital Delivery Department, at 512-974-7644, for additional information; TTY users’ route through Relay Texas at 711. For more information on the Bond Oversight Commission, please contact Nicole Hernandez at 512- 974-7644. 2 Chair Charles Curry adjourned the meeting at 3:31 p.m. without objection. The …
