2017 DEBT PLAN AND FINANCINGS. Aaron Bovos - CFO April 4, 2017

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1 2017 DEBT PLAN AND FINANCINGS Aaron Bovos - CFO April 4,

2 THIS YEAR S HIGHLIGHTS o Anticipating savings of $1,122,267 in existing debt from an advanced refunding o Total Anticipated New Money Issuance = $350 million 2

3 FY ACTIVITIES TO DATE Tax Notes Fire Apparatus for FY 2016 and FY 2017 $9,525,000 Funded in November

4 WHAT S NEXT 1. Texas Water Development Board Water & Sewer Sanitary Sewer Rehabilitation Program $16,045,000 On April 4 th Agenda 2. Multi-Purpose Arena Bonds Special Purpose Revenue Bonds $200,000, Tax Notes Property Tax Pledge General Capital Project Funding $23,000, Water & Sewer New Money Issue - $100,000,000 Refunding 2008 Water & Sewer System Issue 5. Public Improvement District Rock Creek Tarleton State University 4

5 2014 Bond Program 5

6 $90,000,000 Financial Summary $80,000,000 $70,000,000 $60,000,000 $50,000,000 $40,000,000 Life To Date Expenditures Remaining Cash $30,000,000 $20,000,000 $10,000,000 $- $(10,000,000) $(20,000,000) 6

7 2014 BOND PROGRAM Fiscal Year Original Plan Revised Plan 2015 $87,343,178 $40,000, $55,497,217 $103,000, $51,561,250 $ $59,281,175 $85,000, $38,392,180 $64,075,000 Totals $292,075,000 $292,075,000 7

8 PROPOSITION SUMMARY Purpose Date Authorized Amount Authorized Amount Previously Issued Amount Being Issued Unissued Balance Transportation 5/10/2014 $219,740,000 $102,905,000 $0 $116,835,000 Park & Community Service 5/10/ ,440,000 12,000, ,440,000 Library 5/10/ ,650,000 6,000, ,650,000 Fire Station 5/10/2014 9,285,000 5,010, ,275,000 Courthouse Improvements 5/10/2014 1,530,000 1,005, ,000 Facilities Improvements 5/10/ ,080,000 15,080, Animal Care & Control 5/10/2014 2,350,000 1,000, ,350,000 $292,075,000 $143,000,000 $0 $149,075,000 8

9 NEW MONEY SERIES 2017 TAX NOTES $6,000,000 $5,000,000 $4,000,000 $3,000,000 $2,000,000 $1,000,000 $ Purpose/ Uses of Proceeds $10 million for advanced studies for 2018 bond program $13 million for Trail Drive Parameters Term: 7 years Repayment Source: Property Tax Non-Rated, Competitively Placed Schedule May 16, 2017: City Council Agenda Item June 20, 2017: Bond Closing

10 $180,000,000 Long Term Debt Forecast $160,000,000 $140,000,000 $120,000,000 $100,000,000 $80,000,000 Debt Capacity $60,000,000 $40,000,000 $20,000,000 $ Projected Debt Service Fund Revenues Existing Tax Supported Debt Service Fire Equipment Tax Notes ( ) Projected 2014 Bond Program ($ Million Remaining) Projected $30 Million Tax Notes Projected $408.0 Million 2018 Bond Program Projected $378.2 Million 2022 Bond Program 10

11 Water / Sewer Fund Refunding and New Money Issuance 11

12 2017 TWDB Debt Privately Placed Par Amount - $16,045,000 Sewer Main Project NW side of Lake Arlington Twin 96 Sewer Main Projects Gateway Park Sewer Main Project Mockingbird near Colonial Country Club In addition to par, $946,157 of Loan Principal Forgiveness committed by TWDB 29 th Supplemental Ordinance scheduled for consideration on April 4, 2017 Subsidized interest benefit from TWDB s Clean Water State Revolving Fund 12

13 SERIES 2017 TWDB DEBT SERVICE SCHEDULE ($16.045M) $700, $600, $500, $400, $300, $200, $100, $- Principal Interest 13

14 SERIES 2008 W&S SYSTEM REV. REFUNDING BONDS ESTIMATED SAVINGS $5,000,000 $4,500,000 $4,000,000 $3,500,000 $3,000,000 $2,500,000 $2,000,000 $1,500,000 $1,000,000 Series 2008 Bonds Outstanding Debt Service Series 2017 Bonds Refunding Debt Service Series 2008 W/S Rev Bond Details Purpose: Advanced Refunding Estimated Refunding Results Outstanding Par: $25,440,000 Refunded Par: $19,800,000 Refunded Coupons: 3.88% Total Savings: $1,122,267 PV Savings: $879,981 or 4.44% $500,000 $- 14

15 NEW MONEY PROPOSED DEBT SERVICE SCHEDULE ($100M) $12,000,000 $10,000,000 $8,000,000 Principal Interest $6,000,000 $4,000,000 $2,000,000 $

16 NEW MONEY ISSUE PURPOSE Northside II Phase II 48 Transmission Main - $ million Water Participation in Development projects - $9.0 million Water Participation in Street program projects - $6.0 million Various Transmission Main projects - $10.0 million East Rosedale Street Widening project - $4.85 million M-325 Parallel Relief Main project - $2.3 million I-35 Expansion project - $2.0 million Deerfield Addition Water Main project - $1.3 million Near Southside Medical District Water & Sewer project - $1.3 million Wastewater metering stations project - $1.0 million Caylor Ground Storage Tank project - $0.952 million Westside Water Tank & Transmission Main project - $0.893 million 16

17 PROPOSED PARAMETERS FOR CONSIDERATION Parameters Delegated Pricing Officers Water City Manager and/or Chief Financial Officer Maximum Principal Amount $120,000,000 Minimum Savings Threshold for Refunding Maximum Maturity date for New Debt Type of Issue 3.00% - $594, years Competitive 17

18 SCHEDULE OF EVENTS (WATER AND SEWER SYSTEM REVENUE REFUNDING & IMPROVEMENT BONDS, SERIES 2017) Completion Deadline April 25, 2017 May 2, 2017 May 23, 2017 June 27, 2017 Event Rating Agency Meetings Council action on bond ordinance Take bids on bonds Bond Closing 18

19 WATER & SEWER PROJECTED TOTAL DEBT SERVICE $100,000,000 $90,000,000 $80,000,000 $70,000,000 $60,000,000 $50,000,000 $40,000,000 Existing Debt Service Projected Debt Service $30,000,000 $20,000,000 $10,000,000 $- 19

20 WATER AND SEWER FUTURE NEW MONEY Fiscal Year TWDB SWIFT Revenue Bonds 2017 $16,045,000 $100,000, $63,000,000 $150,000, $100,000, $100,000,000 20

21 Arena Project

22 Series 2017 Special Tax Revenue Bonds Negotiated Sale Par Amount - $200,000,000 Secured by: 7% and 2% HOT Tax Net Car Rental Tax PFZ Tax Chapter 334 Revenues: Admissions tax Livestock facility use tax Parking tax Estimated debt service coverage equal to 3.08x after first full year of collection (2020).

23 Revenues Available for Debt Service

24 Multi Purpose Arena Financing $18,000,000 Arena Bonds Projected Debt Service Schedule $16,000,000 $14,000,000 $12,000,000 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $0 Principal $ - Interest $ -

25 SCHEDULE OF EVENTS (ARENA PROJECT) Completion Deadline June 5, 2017 June 13, 2017 June 19, 2017 June 27, 2017 Event Rating Agency Meetings Council approves ordinance Receive Ratings Bond closing (Schedule subject to change) 25

26 Public Improvement District Rock Creek 26

27 New Money Issue - Purpose Rock Creek Ranch Authorized Improvements Actual Costs Description Costs (a) Water $3,073,167 Sanitary Sewer $7,191,873 Brewer Road $6,756,562 Total Authorized Improvements $17,021,602 (a) Costs provided by developer and include soft costs and contingency allocations. 27

28 Financing Plan Description Amount PID Assessment Revenue Bonds $12,624,392 City of Fort Worth Tax Notes (2018) $3,513,412 Developer Contributions: - Roads $652,507 - Tarleton State $912,155 $17,021,602 Note: Estimates based upon current Service & Assessment Plan. Subject to change. 28

29 SCHEDULE OF EVENTS (ROCKCREEK PUBLIC IMPROVEMENT DISTRICT) Completion Deadline June 6, 2017 June 19, 2017 July 11, 2017 Event Council action on Bond Ordinances Bond Pricing Bond Closing 29

30 2017 Debt Plan and Financings Discussion / Questions 30

CAPITAL PIDS AUGUST 23,

CAPITAL PIDS AUGUST 23, 2016 1 OVERVIEW Introduction Overview of Developers Proposals Staff s Proposal Discussion/Questions 2 Introduction In a Capital PID, capital projects can be financed on a pay asyou