1r. Refunding Bond Sale 1,
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C ITYOF
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CHANHASSEN
' 690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317
1 0 1 0
(612) 937 -1900 • FAX (612) 937 -5739
MEMORANDUM
TO: Mayor and City Council
1 FROM: Don Ashworth, City Manager
DATE: December 9, 1993
1 SUBJ: Set Refunding Bond Sale, 6 Candidate Issues, February 7, 1993
1 With interest rates continuing at record low levels, the city again has an opportunity to refinance
some of its existing debt to produce reasonable savings for our citizens. Not all of the six issues
1 attached to this report will in fact become reality sales; however, I would request that the city
council set the sale date for all six. Dave MacGillivrary of Springsted, Inc. is anticipated to be
at our first council meeting in Janu • • discuss the de all which issues can likely be brought
to the market.
Approval of setting a bond sa date for February 7 is recommend .
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City of Chanhassen, Minnesota
1 Taxable G.O. Ref. Bonds, Series 1994
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Full Crossover Advance Refunding of
Taxable G.O. Tax Inc. Bonds, Ser. 1988
Even Annual Savings Structure
' Issuer Funds Required: $0.00
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Date of Bonds: 03/01/94
1 Delivery Date: 03/01/94
Refunded Call Date: 11/01/95
1 1st Callable Date: 11/01/96
Comparison: Refunded Refunding
Principal: 1,100,000 1,170,000
1 Bond Years: 5,283.33 5,615.00
Avg. Maturity: 4.803 4.799
1 NIC: 9.315% 5.868%
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Total Net Savings: s 40,019.02
1 Present Value .Savings: 56,018:D0
As % :of P.V. . :Ref..:lnt.; 43131%
As % of P.V. Ref. DIS.: 3.26%
1 Prepared: 11/29/93
By SPRINGSTED Incorporated
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City of Chanhassen, Minnesota Prepared: 11/29/93
Taxable G.O. Ref. Bonds, Series 1994 By SPRINGSTED Incorporated
Annual Savings Analysis
Schedule E
Non - Refunded Refunding Total New Existing Savings II
Date Debt Service Debt Service Debt Service Debt Service or (Loss)
(1) (2) (3) (4) (5) (6) II
05/01/94
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11/01/94 284,100.00 284,100.00 284,100.00
05/01/95 I
11/01/95 320,450.00 320,450.00 320,450.00
05/01/96
11/01/96 309,320.00 309,320.00 302,250.00 (7,070.00)1
05/01/97
11/01/97 292,437.50 292,437.50 283,850:00 (8,587.50)
05/01/98
11/01/98 274,957.50 274,957.50 265,350.00 (9,607.50)1
05/01/99
11/01/99 307,032.50 307,032.50 296,750.00 (10,282.50)
05/01/2000
11/01/2000 50,792.50 50,792.50 273,500.00 222,707.50 II
05/01/2001
11/01/2001 48,372.50 48,372.50 (48,372.50)1
05/01/2002
11/01/2002 50,872.50 50,872.50 (50,872.50)
05/01/2003
11/01/2003 47,970.00 47,970.00 (47,970.00)1
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rotals 604,550.00 1,381,755.00 1,986,305.00 2,026,250.00 39,945.00 1
?resent Value Rate...: 5.65033% Excess Proceeds 74.02
?resent Value Savings: 36,018.00 Funds to Sinking Fund: ,
.s % of P.V. Ref. D /S: 3.26% Total Net Savings 40,019.02
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of Chanhassen, Minnesota
City o Chan ,
1 G.O. Refunding Bonds, Series 1994
1
Full Crossover Advance Refunding of
1 G.O. Tax Inc. Bonds of 1988, Series 2
Even Annual Savings Structure
1 Issuer Funds Required: $0.00
Date of Bonds: 03/01/94
' Delivery Date: 03/01 /94
Refunded Call Date: 11/01/94
1st Callable Date: 11/01/95
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1 Comparison: Refunded Refunding
Principal: 500,000 525,000
1 Bond Years: 2,408.33 2,525.00
Avg. Maturity: 4.817 4.810
NIC: 6.658% 4.325%
Total Net. Savings: 22,252.62
Present Value Savings:. 20,684.58
' As %. of P.V. Ref.. Int. 17.18%
As % of P.V. Ref. D /S. 3:89%
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Prepared: 11/29/93
By SPRINGSTED Incorporated
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City of Chanhassen, Minnesota Prepared: 11/29/93
G.O. Refunding Bonds, Series 1994 By SPRINGSTED Incorporated.
Annual Savings Analysis
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Schedule E
Non-Refunded Refunding Total New Existing Savings'
Date Debt Service Debt Service Debt Service Debt Service or (Loss).
(1) (2) (3) (4) (5) (6)
05/01/94 II
11/01/94 86,062.50 86,062.50 86,062.50
05/01/95
11/01/95 85,780.00 85,780.00 82,962.50 (2,817.5011
05/01/96
11/01/96 103,635.00 103,635.00 104,812.50 1,177.50
05/01/97
11/01/97 100,617.50 100,617.50 100,012.50 (605.0011
05/01/98
11/01/98 97,387.50 97,387.50 95,137.50 (2,250.00'
05/01/99
11/01/99 88,987.50 88,987.50 90,187.50 1,200.00
05/01/2000
11/01/2000 35,667.50 35,667.50 85,162.50 49,495.011
05/01/2001
11/01/2001 34,377.50 34,377.50 80,100.00 45,722.50.
05/01/2002
11/01/2002 33,042.50 33,042.50 (33,042.511
05/01/2003
11/01/2003 36,662.50 36,662.50 (36,662.50)
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Totals 86,062.50 616,157.50 702,220.00 724,437.50 22,217.51
Present Value Rate...: 4.13825% Excess Proceeds • 35.11
Present Value Savings: 20,684.58 Funds to Sinking Fund:
As % of P.V. Ref. D/S: 3.89% Total Net Savings • 22,252.11
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1 City of Chanhassen, Minnesota
G.O. Refunding Bonds, Series 1994 •••
1
Full Crossover Advance Refunding of
1 G.O. Improvement Bonds, Series 1989A
Even Annual Savings Structure
1 Issuer Funds Required: $0.00
1 Date of Bonds: 03/01/94
I Delivery Date: 03/01 /94
Refunded Call Date: 02/01/95
1st Callable Date: 02/01/96
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Comparison: .
Refunded Refunding •
Principal: 5,450,000 5,575,000
I Bond Years: 27,445.83 27,600.42
Avg. Maturity: 5.036 4.951
NIC: 6.319% 4.419%
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1 Total Net Savings: 33Z349.20
Present Value Savings: 275,046.28
1 As % of P.V...Ref. Int.: 22.54%
As % of P.Y. Ref. MS.: 4.87%
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Prepared: 11/29/93
1 By SPRINGSTED Incorporated
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City of Chanhassen, Minnesota Prepared: 11/29/92
G.O. Refunding Bonds, Series 1994 By SPRINGSTED Incorporates"
Annual Savings Analysis
Schedule E
Non - Refunded Refunding Total New Existing Savings"
Date Debt Service Debt Service Debt Service Debt Service or (Loss)
(1) (2) (3) (4) (5) (6)
08/01/94 II
02/01/95 659,425.00 659,425.00 659,425.00
08/01/95
02/01/96 970,162.50 970,162.50 1,016,425.00 46,262.5011
08/01/96
02/01/97 953,892.50 953,892.50 1,000,587.50 46,695.00
08/01/97
02/01/98 960,392.50 960,392.50 1,007,887.50 47,495.0
08/01/98
02/01/99 988,992.50 988,992.50 1,036,387.50 47,395.00'
08/01/99
02/01/2000 988,925.00 988,925.00 1,034,825.00 45,900.00
08/01/2000
02/01/2001 981,085.00 981,085.00 1,029,700.00 48,615.011
08/01/2001
02/01/2002 695,590.00 695,590.00 745,500.00 49,910.00
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Totals 659,425.00 6,539,040.00 7,198,465.00 7,530,737.50 332,272.511
Present Value Rate...: 4.23963% Excess Proceeds 76.70
Present Value Savings: 275,046.28 Funds to Sinking Fund:
As % of P.V. Ref. D /S: 4.87% Total Net Savings • 332,349.2,
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City of Chanhassen, Minnesota
1 G.O. Refunding Bonds, Series 1994
1
Full Crossover Advance Refunding of
1 G.O. Improvement Bonds of 1988
Even Annual Savings Structure
1 Issuer Funds Required: $0.00
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Date of Bonds: 03/01/94
1 Delivery Date: 03/01 /94
Refunded Call Date: 11/01/95
1st Callable Date: 11/01/96
Comparison: Refunded Refunding
Principal: 1,625,000 1,660,000
Bond Years: 6,808.33 6,821.67
Avg. Maturity: 4.190 4.109
NIC: 6.590% 4.148%
Total Net. Savings:. 73,544.20
Present Value Savings:. 60,113.81
As %. of P.V.. Ref.. lnt.:. 25.51%
As % of P.V. Ref. D /S.: 3.72%
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Prepared: 11/29/93
1 By SPRINGSTED Incorporated
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City of Chanhassen, Minnesota Prepared: 11/29/9=
G.O. Refunding Bonds, Series 1994 By SPRINGSTED Incorporated 1
Annual Savings Analysis
Schedule E
Non - Refunded Refunding Total New Existing Savings
Date Debt Service Debt Service Debt Service Debt Service or (Loss)
(1) (2) (3) (4) (5) (6) 1
05/01/94
11/01/94 667,237.50 667,237.50 667,237.50 - 1
05/01/95 •
11/01/95 611,237.50 611,237.50 611,237.50
05/01/96
11/01/96 569,007.50 569,007.50 581,312.50 12,305.00'
05/01/97
11/01/97 541,080.00 541,080.00 550,912.50 9,832.50
05/01/98
11/01/98 437,270.00 437,270.00 445,037.50 7,767.5
05/01/99
11/01/99 80,870.00 80,870.00 93,637.50 12,767.5
05/01/2000
11/01/2000 77,965.00 77,965.00 88,612.50 10,647.5
05/01/2001
11/01/2001 74,955.00 74,955.00 83,550.00 8,595.0
05/01/2002
11/01/2002 41,840.00 41,840.00 53,450.00 11,610.00
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Totals 1,278,475.00 1,822,987.50 3,101,462.50 3,174,987.50 73,525.01
' Present Value Rate...: 3.94144% Excess Proceeds • 19.
Present Value Savings: 60,113.81 Funds to Sinking Fund:
As % of P.V. Ref. D /S: 3.72% Total Net Savings 73,544.
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City of Chanhassen, Minnesota
G.O. Refunding Bonds, Series 1994
1
Full Crossover Advance Refunding of
1 G.O. Bonds of 1988
Even Annual Savings Structure
1 Issuer Funds Required: $0.00
1
Date of Bonds: 03/01/94
Delivery Date: 03/01/94
Refunded Call Date: 11 /01 /96
1st Callable Date: 11/01/97
1 Comparison: Refunded Refunding
Principal: 825,000 860,000
1 Bond Years: 5,850.00 6,013.33
Avg. Maturity: 7.091 6.992
NIC: 6.995% 4.556%
Total Net Savings: 54,900.59
Present Value Savings: 42026.76
' As % of P.V...: Ref. :Int.:: 20.89%
,As % of P.V. Ref. D1S.:. 5.21%
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Prepared: 11/29/93
1 By SPRINGSTED Incorporated
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City of Chanhassen, Minnesota Prepared: 11/29/92
G.O. Refunding Bonds, Series 1994 By SPRINGSTED Incorporated ,.
Annual Savings Analysis
Schedule E
Non - Refunded Refunding Total New Existing Savings
Date Debt Service Debt Service Debt Service Debt Service or (Loss)
(1) (2) (3) (4) (5) (6)
05/01/94 II
11/01/94 120,100.00 120,100.00 120,100.00
05/01/95
11/01/95 141,950.00 141,950.00 141,950.00
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05/01/96
11/01/96 137,150.00 137,150.00 137,150.00
05/01/97
11/01/97 122,357.50 122,357.50 132,275.00 9,917.50
05/01/98
11/01/98 144,127.50 144,127.50 152,325.00 8,197.50
05/01/99
11/01/99 139,727.50 139,727.50 145,625.00 5,897.50
05/01/2000
11/01/2000 155,162.50 155,162.50 163,825.00 8,662.50'
05/01/2001
11/01/2001 149,572.50 149,572.50 155,200.00 5,627.50
05/01/2002
11/01/2002 163,787.50 163,787.50 171,450.00 7,662.5
05/01/2003
11/01/2003 151,887.50 151,887.50 160,800.00 8,912.50
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Totals 399,200.00 1,026,622.50 1,425,822.50 1,480,700.00 54,877.5
Present Value Rate...: 4.41525% Excess Proceeds 23.0.
I Present Value Savings: 42,126.76 Funds to Sinking Fund:
As % of P.V. Ref. D /S: 5.21% Total Net Savings • 54,900.51
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1 City of Chanhassen, Minnesota
G.O. Refunding Bonds, Series 1994
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Full Crossover Advance Refunding of
1 G.O. Corp. Purpose Bonds, Series 1989C
Even Annual Savings Structure
1 Issuer Funds Required: $0.00
1 Date of Bonds: 03/01/94
Delivery Date: 03/01/94
I Refunded Call Date: 02/01/95
1st Callable Date: 02/01/96
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1 Comparison: Refunded Refunding •
Principal: 640,000 670,000
Bond Years: 4,051.67 4,159.17
I Avg. Maturity: 6.331 6.208
NIC: 6.463% 4.644%
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1 Total. Net Savings:. 33,955.96
Present Value Savings: 27,075.30
I As % of P.V. Ref. Int.: 14..66%
As % of P.V. Ref. DiS.: 4.03%
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Prepared: 11/29/93
1 By SPRINGSTED Incorporated
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City of Chanhassen, Minnesota Prepared: 11/29/93
G.O. Refunding Bonds, Series 1994 By SPRINGSTED Incorporated"
Annual Savings Analysis
Schedule E
Non - Refunded Refunding Total New Existing Savings
Date Debt Service Debt Service Debt Service Debt Service or (Loss)
(1) (2) (3) (4) (5) (6)
08/01/94 1
02/01/95 93,820.00 93,820.00 93,820.00
08/01/95
02/01/96 93,972.50 93,972.50 95,820.00 1,847.501
08/01/96
02/01/97 91,665.00 91,665.00 97,492.50 5,827.50
08/01/97
02/01/98 89,195.00 89,195.00 93,832.50 4,637.50
08/01/98
02/01/99 91,595.00 91,595.00 95,112.50 3,517.50
08/01/99
02/01/2000 93,690.00 93,690.00 96,050.00 2,360.00
08/01/2000
02/01/2001 90,465.00 90,465.00 96,640.00 6,175.001
08/01/2001
02/01/2002 92,127.50 92,127.50 96,840.00 4,712.50
08/01/2002
02/01/2003 93,447.50 93,447.50 96,640.00 3,192.50
08/01/2003
02/01/2004 94,410.00 94,410.00 96,030.00 1,620.00
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Totals 93,820.00 830,567.50 924,387.50 958,277.50 33,890.0
Present Value Rate...: 4.47512% Excess Proceeds • 65.9
Present Value Savings: 27,075.30 Funds to Sinking Fund:
As % of P.V. Ref. D /S: 4.03% Total Net Savings • 33,955.911
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I City of Chanhassen, Minnesota
G.O. Refunding Bonds, Series 1994
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1 Full Crossover Advance Refunding of
G.O. Improvement Bonds of 1987
I Even Annual Savings Structure
Issuer Funds Required: $0.00
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I Date of Bonds: 03/01 /94
Delivery Date: 03/01/94
Refunded Call Date: 02/01/96
1 1st Callable Date: 02/01/97
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Comparison: Refunded Refunding
1 Principal: 1,400,000 1,435,000
Bond Years: 8,283.33 8,380.42
Avg. Maturity: 5.917 5.840
1 NIC: 6.289% 4.524%
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Total Net Savings: 65,152.62
1 Present Value Savings: 51,863.31
As % of P.V. Ref. Int.: 18.05%
1 As % of P.Y. Ref. D/S : 3.77%
1 Prepared: 11/29/93
By SPRINGSTED Incorporated
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City of Chanhassen, Minnesota Prepared: 11/29/93
G.O. Refunding Bonds, Series 1994 By SPRINGSTED Incorporated.
Annual Savings Analysis
Schedule E
Non - Refunded Refunding Total New Existing Savings
Date Debt Service Debt Service Debt Service Debt Service or (Loss)
(1) (2) (3) (4) (5) (6)1
08/01/94
02/01/95 566,575.00 566,575.00 566,575.00 II 08/01/95
02/01/96 514,800.00 514,800.00 514,800.00
08/01/96
02/01/97 276,432.50 276,432.50 289,200.00 . 12,767.50'
08/01/97
02/01/98 268,262.50 268,262.50 276,200.00 7,937.50
08/01/98
02/01/99 254,662.50 254,662.50 263,000.00 8,337.5
08/01/99
02/01/2000 240,947.50 240,947.50 249,600.00 8,652.5
08/01/2000
02/01/2001 227,132.50 227,132.50 236,000.00 8,867.5
08/01/2001
02/01/2002 213,232.50 213,232.50 224,000.00 10,767.5
08/01/2002
02/01/2003 204,262.50 204,262.50 212,000.00 7,737.50
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Totals 1,081,375.00 1,684,932.50 2,766,307.50 2,831,375.00 65,067.'
Present Value Rate...: 4.36903% Excess Proceeds 85.'"
Present Value Savings: 51,863.31 Funds to Sinking Fund:
As % of P.V. Ref. D /S: 3.77% Total Net Savings • 65,152.
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