Regional Wastewater System
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Refunding Bonds for Extendable Commercial Paper Bonds
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SUBJECT
recommendation
Request authorization to issue Refunding Bonds for the Regional Wastewater System Extendable Commercial Paper Bonds.
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PURPOSE
This resolution authorizes the District to issue bonds to refund the ECP Bonds and replaces the need for bank liquidity to support the ECP program
RECOMMENDATION
The Executive Director and NTMWD staff recommend the Board of Directors adopt Resolution No. 25-06, A “Resolution Authorizing the Issuance, Sale, and Delivery of North Texas Municipal Water District Regional Wastewater System Revenue ECP Refunding Bonds, Pledging Revenues for the Payment of the Bonds, Approving an Official Statement, and Authorizing Other Instruments and Procedures Relating Thereto.”
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Consultant: |
N/A |
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Scope: |
Fund Improvements to the Regional Wastewater System |
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Project: |
Multiple. Each Capital Improvement Plan Contract will be brought to the Board for consideration. |
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Amount: |
Not to exceed $400,000,000. The actual amount will be determined at the date of pricing. |
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Committee: |
This will be an item on the February 12, 2025, Finance Committee meeting agenda |
DRIVER(S) FOR THIS PROJECT
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Strategic Objective: |
2.3 Rigorous Financial Management |
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☐ Regulatory Compliance |
☐ Asset Condition |
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☐ Capacity |
☐ Redundancy/Resiliency |
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☐ Relocation or External Requests |
☐ Operational Efficiency |
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☐ Safety |
☒ Administrative |
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☐ Policy |
☐ Other _____________ |
BACKGROUND
• The Finance Committee met on February 12, 2025, to review the ECP Program.
• On March 23, 2023, the Board of Directors approved a limit of $400,000,000 for the Regional Wastewater System ECP Program.
• The bonds to refund the ECP will not be sold until necessary. The interest rate would be the market rate at the time of issuance.
• The actual amount of the bond sale will be determined on the date of pricing.
• NTMWD bond counsel McCall, Parkhurst, and Horton, LLP, has prepared the attached Resolution.
• Representatives from McCall, Parkhurst & Horton, LLP, as well as Hilltop Securities, Inc., will be available at the Board meeting to review the documents and financing procedures.
FUNDING
N/A