On May 5, 2021, the City Council, through Resolution 42-21authorized and directed the Director of Finance and Administrative Services to proceed toward the issuance of the City’s Public Improvement Revenue Bonds, in accordance with and subject to the Debt Management Policy, for the purpose of funding the construction of two fire stations, Station 86 and Station 88. The Debt Management Policy provides guidelines and procedures for the issuance of bonds and other debt obligations by the City. Further, on July 7, 2021, the City Council, after receiving a presentation on Financing Alternatives for the two stations from the City’s financial advisor, Public Financial Advisors LLC, approved for the City to move forward with the issuance of the Public Improvement Revenue Bonds.
Resolution No. 86-21 authorizes the sale and specific details of the Series 2021 Public Improvement Revenue Bonds and provides for the application of the proceeds. The bonds will be rated by Fitch Rating and Standard & Poor’s.
The City of Riviera Beach is authorized by Chapter 166, Florida Statutes and other applicable provisions of law to incur indebtedness for the purpose of financing the costs of acquiring, constructing and installing capital and non capital projects for the benefit of the residents of the City (each, a “Project”), and to covenant and budget from its legally available non-ad valorem revenues funds to repay such indebtedness.
Pursuant to such authority the City Council did, on September 3, 2014, adopt Resolution No. 88-14 (the “Bond Resolution”), authorizing the issuance of its bonds to be known as “Public Improvement Revenue Bonds” from time to time.
Pursuant to the Bond Resolution the City desires to issue its Public Improvement Revenue Bonds, Series 2021 (the “Series 2021 Bonds”) in the initial aggregate principal amount of not exceeding $35,000,000, and to use the proceeds thereof to acquire, construct and equip new, replacement fire stations (a) at the intersection of West Blue Heron Boulevard and North Congress Avenue and (b) on a city-owned vacant parcel on Singer Island (the “Series 2021 Project”).
The Bond Resolution provides that certain details of the Series 2021 Bonds and certain other provisions of the Bond Resolution shall be determined by Supplemental Resolution.
The bonds will be issued through a competitive sale. To facilitate such public sale, there have been prepared and submitted to the City Council (a) a Preliminary Official Statement relating to the Series 2021 Bonds, the form of which is attached hereto as Exhibit “A” (the “Preliminary Official Statement”), and (b) an Official Notice of Sale (“Official Notice of Sale”) and Summary Notice of Sale (“Summary Notice of Sale”), forms of which are attached hereto as composite Exhibit “B”.
Subject to the Parameters (as defined herein), the Resolution approves the Preliminary Official Statement relating to the Series 2021 Bonds, substantially in the form attached hereto, to delegate to either the Mayor or the Chief Financial Officer (each as defined in the Bond Resolution) the authority to finalize the Preliminary Official Statement and, when finalized, to deem the Preliminary Official Statement “final” within the meaning of the Rule (as defined herein) and to authorize the preparation and distribution of a final Official Statement reflecting the final details of the Series 2021 Bonds and other pricing matters (the “Official Statement”).
Subject to the Parameters, the Mayor or the Chief Financial Officer, based on the recommendation of PFM Financial Advisors LLC, the City’s financial advisor (the “Financial Advisor”), will select one or more bidders that submit the lowest qualified bid to purchase the Series 2021 Bonds (the “Underwriters”).
Pursuant to Section 218.385, Florida Statutes, an authorized officer of the Underwriters will deliver to the City a disclosure statement and truth-in-bonding statement on behalf of the Underwriters as a condition to the sale of the Series 2021 Bonds to the Underwriters.
In accordance with the provisions hereof, the City Council desires to delegate to the Mayor or the Chief Financial Officer, on the recommendation of the Financial Advisor, the authority to determine whether to obtain a Bond Insurance Policy for the Series 2021 Bonds, whether to fund a Series 2021 Subaccount of the Debt Service Reserve Account for the Series 2021 Bonds (the “Series 2021 Reserve Subaccount”), and if so in what amount and whether, in lieu of any required deposits into the Series 2021 Reserve Subaccount, to obtain a Reserve Account Credit Facility.