Travis County Commissioners Court
May 4, 2010,
Item 28
28 is to consider and take appropriate action on an order authorizing the issuance and sale of travis county, texas permanent improvement bonds, series 2010, limited tax in the aggregate amount of 11,145,000 levying, a dollars, levying a tax and payment therefore, approving a purchase contract approving the official andenacting other provisions thereof.
>> good morning, be i'm financial adviser. We priced the issue yesterday but to go back in time and to remind the court on the record, we had travis county's debt ratings by moody's and standard & poor's reconfirmed at aaa, and so we still are at the highest level. As a matter of fact, we were probably told by both agencies, we're probably a little better than that, even. So we're very proud of our rating. The underwriting group of first southwest company, which is represented by richard ramirez, estrada heme a hosea and price financial products, priced the issue yesterday. We were here all day long yesterday, in pbo and priced the issue. The market was a little rocky yesterday because of good economic news, which takes people out of the bond market and back to the stock market some. But weg the deal accomplished -- we got the deal accomplished yesterday, and an overall true interest cost of 387. Last year when you sold bonds it was in the mid 370s, so we're right in the same range it cost last year. Got a good deal done in consideration of the marketplace. The first of the year the rates would have been higher. We've had some lower rates during the -- during march, and that came up, but yesterday was a little uptick but we made it happen. One thing i'd like to point out to you is the -- the size -- the requirements of the issues --
>> he only called up no. 28. Would you like to call up 28, 29, 30 and 31?
>> if i need to.
>> yes, can we do --
>> can we do them one at a time?
>> we can deal with them one at a time or as a group.
>> i think it would be better to deal with them at a group.
>> -- for the record, it's probably better to deal with them one at a time rather than in the aggregate.
>> which first? We're on 28, which is the pibs's. That's the permanent improvement bonds. You'll hear me say this again on the next one, but on the permanent improvement bonds, we -- on the publication of the preliminary official statement we had a
>> [inaudible] down of 11,000,145, and it was preliminary subject to change due to the way couponing worked to get to the buyers and everything yet. The par amount will be 11,000,315 mostly sunny. And pbo is fine with that. It's it's a matter of using that amount with the authorized but inissued balance. And richard, if you'd like to speak to that deal as far as you have the data right there.
>> sure. Judge, commissioners, first of all let me first off address our members, i want to thank the county for allowing us to execute this transaction for you. The -- on the public improvement bonds, the par amount was 11,315,000. The true interest cost was 3.69, all in including all costs for the cost of issuance and financing cost, 3.72%, and then the average life of the issue is 11.36 years.
>> questions?
>> and glen has a resolution if you want to take a resolution. Judge -- the action item is the adoption of the order authorizing the issuance of the bonds. It incorporates the provisions of the pricings from yesterday. I'm glad to answer any questions regarding it if anyone has any.
>> questions? Move approval.
>> second.
>> discussion in this is all of 28.
>> right, with the correction that instead of 11,000,145 it's now 11,000,315.
>> with that correction, $11,315,000.
>> correct.
>> with that.
>> show commissioner eckhardt, huber and davis -- and me voting in favor.
>> i've stated an abstention. My son is dealing with -- has a relationship with one of the participants.
>> a majority vote is sufficient to get this done, i take it?
>> yes.
>> correct. We need four commissioners for a quorum of levying of a tax but you need just three votes.
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Last Modified:
Tuesday, May 4, 2010 1:50 PM
