Now that we know the results from the bond issue election, we can begin formulating an implementation plan. One guiding principle with the bond issue was that we would attempt to not exceed a city millage rate of 10 mills at any one time. To this end, we will issue bonds in series over the next few years.
The bulk of the bonds will be issued in late 2018 and early 2019. It is projected $20 million will be issued in 2018 and an additional $10 million to $12 million in the spring of 2019. The balance of the approved bonds will be issued in a timely manner to maintain the 10 mills or less.*
With this financing structure, staff and financial advisors will be meeting to develop a priority list and schedule which we will present to the City Council for approval in the next 90 days.
*In the unlikely event of an untimely rise in interest rates that would make it prudent to issue the bonds at an accelerated rate to save overall interest over the life of the bond issue, the first or second year levy could exceed the 10 mills. This would only occur for a short time and only for the purpose of definitive cost savings to tax payers.