Travis County Commissioners Court
May 4, 2010,
Item 30
>> no. 30 is to consider and take appropriate action on an order authorizing the issuance and sale of a travis county, texas certificates of obligation, taxable series 2010, limited tax, in the aggregate principal amount of $14,200,000, levying a tax in payment thereof, approving a purchase contract, approving the official statement, and enacting other provisions relating thereto.
>> judge, on this one the adjustment on the par amount, this now, in your -- what you have before you, in instead of 14 million two will be 14,000,305.
>> explanation same as you read before?
>> the explanation on that one is slightly different. As a result of splitting the certificates of obligation into a tax-exempt issue and a taxable issue, as we worked through the tax issues, we're required to make cost of -- and underwriters discounts between the cost of the two to make sure you save on your allocation between tax exemple and taxable uses. As we went through the numbers in the iterations, this is where the balance came out, came out at 14,305,000 versus the 14,200,000, so this is mainly driven by tax issues on the legal side.
>> what interest rate?
>> it's 3.57%. It's less than the tax exemple issue because it's -- exemple issue because it's much sorter. Average is 4.61. The idea is if you're paying a higher taxable rate we want them to amortize quicker the other bonds.
>> so we only amortized them over eight years so we could take advantage of the yield and the county would pay for them.
>> 3.57.
>> yes.
>> questions or comments? We're changing $14,200,000 to a $14,305,000. Move approval.
>> second.
>> discussion? All in favor, commissioners, eckhardt, huber and yours truly voting in favor.
>> commissioner davis abstaining. I submitted to the clerk showing my son has a direct relationship with one of the participants in this particular process. Thank you.
>> motion carried by a vote of 3-0-1 for an abstention.
The Closed Caption log for this Commissioners Court agenda item is provided by Travis County Internet Services. Since this file is derived from the Closed Captions created during live cablecasts, there are occasional spelling and grammatical errors. This Closed Caption log is not an official record the Commissioners Court Meeting and cannot be relied on for official purposes. For official records please contact the County Clerk at (512) 854-4722.
Last Modified:
Tuesday, May 4, 2010 1:50 PM
