Minutes 04/23/2013 - Laserfiche WebLink

Home Browse Search

April 23, 2013 • Given the low interest rate environment, Staff recommends that the City refund these bonds and replace them with permanent financing at the same time we issue the Pension Obligation Bonds. We expect to save money not only on interest rates but also on overall cost of issuance as we can more efficiently complete the two bond issues at the same time. • Also, to the extent the interest rate environment at the time of the bond sale allows, the City may refinance other existing debt for savings purposes. Interest rates remain favorably low and, to the extent that they remain so, there may be an additional opportunity to refinance existing debt to achieve a lower interest cost and reduce future debt service payments. Discussion: • Council is asked to adopt an ordinance approving the terms of the bond issuance. • City personnel and Davenport will visit the bond rating agencies in early May. • We expect to sell the refunding bonds along with the Pension Obligation Bonds on June 4, 2013 with a closing date of June 27, 2013. Financial Impact: • We project issuing the bonds at a 4% interest rate. The ordinance authorizes a maximum interest rate of 5%. Recommended Action: • Adoption of an ordinance authorizing the issuance and sale of General Obligation Refunding Bonds. Vision Principle: Efficient, Responsive Government. Next Steps Following Council Action: • Finance will complete the financial aspects of this transaction. Motion by Ms. Psimas, and seconded by Mr. Meeks, to adopt the following ordinance, and was adopted by the following vote: "ORDINANCE AUTHORIZING THE ISSUANCE AND SALE OF CITY OF PORTSMOUTH, VIRGINIA GENERAL OBLIGATION REFUNDING BONDS." Ayes: Cherry, Edmonds, Meeks, Moody, Psimas, Randall, Wright Nays: None 13-189- Adoption of an ordinance to amend Section 22-398 of the Code of the City of Portsmouth, Virginia (2006) to increase the legal speed for the operation of mopeds in the City. Vision Principle: Bold New Directions. Background: • The Police Department was recently made aware of a citizen's complaint to City Council regarding City Code § 22-398 as written. The citizen stated the current code prevents and/or impedes individuals from commuting to and from work using Portsmouth streets. The Police Department investigated the complaint, reviewed the code and supports the proposed amendments. Discussion: • The current city code prohibits the operation of mopeds at speeds in excess of 30 miles per hour. It also prohibits the operation of motorized push scooters on streets in excess of 25 miles per hour. • A large portion of Portsmouth's major roadways have speed limits of 30 miles per hour or greater. The code severely limits an individual's ability to effectively travel throughout the city via moped. • The proposed amendments will allow moped operators who have no other means of transportation to travel to work. • Motorized push scooters are already well regulated under Virginia State code § 46.2-904.