Monday, September 12, 2016 at 7:00 p.m. DRAFT · John Prochoska, 2017 Glenview, stated that he has...
Transcript of Monday, September 12, 2016 at 7:00 p.m. DRAFT · John Prochoska, 2017 Glenview, stated that he has...
CITY OF PARK RIDGE
505 BUTLER PLACE PARK RIDGE, IL 60068
TEL: 847- 318-5200 FAX: 847- 318-5300 TDD: 847/-318-5252 www.parkridge.us
M I N U T E S
COMMITTEE OF THE WHOLE MEETING OF THE PARK RIDGE CITY COUNCIL FINANCE, PUBLIC WORKS AND PUBLIC SAFETY
CITY HALL
COUNCIL CHAMBERS 505 BUTLER PLACE PARK RIDGE, IL 60068
Monday, September 12, 2016 at 7:00 p.m.
I. Roll Call Alderman Knight called the meeting to order at 7:00 p.m. Roll call was read and the following Elected Officials indicated their presence at the meeting: Aldermen Moran, Milissis, Van Roeyen, Shubert, Knight, and Mazzuca. There was a quorum.
II. Citizens Who Wish to be Heard on a Non-Agenda Item
John Prochoska, 2017 Glenview, stated that he has asked the City to trim a parkway tree at 725 Forestview as a branch overhangs his daughter’s house. He also recommended experimenting with staggered stop bars at the intersection of Oakton and Dee to allow for a clear field of vision.
III. Public Safety
A. Action Items – Police None.
B. Discussion Items – Police None.
C. Department Head Report - Police 1. Monthly Report – August 2016
Chief Kaminski stated that the Mental Health Grant was winding down and summarized the summer events. He noted that the Department, in conjunction with Mariano’s, would be helping out local food pantries in October.
2. Complimentary Letters – August 2016 Alderman Milissis commended Commander Kampwirth, Detectives McEwen, Hahn, Stopka and King, Sergeant Anderson, and Officer Faso for their work with the ICAC Task Force.
3. Red Speed Monthly Reports – July and August 2016 None.
4. Citizen Corps Volunteer Report – August 2016 Alderman Milissis summarized volunteer hours for CERT, Citizens Patrol, Parent Patrol, and Police Explorers at 544 hours for August and 3,573 hours’ year to date. He complemented Chief Kaminski and Chief Sorensen on the 911 Memorial celebration and noted that this is Rail Safety Week.
DRAFT
Minutes for Committee of the Whole Meeting of the Park Ridge City Council (Cont.) September 12, 2016
Page 2 of 6
Chief Kaminski stated that the Department had been monitoring valet parking on South Prospect and overall things were going okay.
D. Action Items - Fire 1. Approve a grant award in the amount of $500,000.00 from the FEMA Assistance to
Firefighters Grant Program Motion by Alderman Milissis, seconded by Alderman Moran
Executive Officer Lisowski stated that the City has been notified by FEMA that it was a recipient of an Assistance to Firefighters Grant for the purchase a new fire engine for Fire Station 35. The old engine, a 1995 model, will be disposed of. As FEMA has very specific rules for disposal, it will most likely be sold for scrap value, as they will not allow it to be used by any other fire department. The estimated cost of this new engine is $550,000, with the City share at $50,000. If the Council approves the grant, the City share will be included in the FY18 budget, as that is when delivery is anticipated. Once the Council approves the purchase, the grant will be formally accepted and staff would go out to bid for this purchase.
Motion carried, 6/0, by roll call vote. 2. Approve a Purchase Order for the purchase of a 2017 Ford Utility Interceptor AWD to
Currie Motors, 9423 West Lincoln, Highway, Frankfort, Illinois 60423 in the amount of $28,177.00
Motion by Alderman Milissis, seconded by Alderman Knight Chief Sorensen stated that vehicle F20, a 2007 Ford Explorer with approximately 128,500 miles and currently deployed as the Fire Chief’s vehicle, is due for replacement. The Northwest Municipal Conference Suburban Purchasing Cooperative (SPC), through its competitive bid process, selected Currie Motors of Frankfort, Illinois as being the lowest responsive and responsible bidder for the 2017 Ford Utility Interceptor AWD for a total cost of $28,177.00 with the SPC awarded contract #152 effective through November 8, 2016. After the vehicle is delivered, the vehicle will require additional equipment that is not available through the factory. This vehicle ‘upfitting’ for emergency lighting, etc. will cost approximately $4,000, bringing the total cost under the FY17 budget of $35,000. The retired vehicle will be sold through a forward auction.
Motion carried, 6/0, by roll call vote.
3. Approve a resolution authorizing the Village of Niles for mutual aid ambulance billing and
approve the intergovernmental agreement with the Village of Niles for mutual aid ambulance billing
Motion by Alderman Mazzuca, seconded by Alderman Moran Executive Officer Lisowski stated that the City relies on mutual aid agreements to provide additional assistance to the Fire Department when larger incidents occur or there are not enough ambulances available for service due to concurrent emergency incidents occurring in the City. The Niles Fire Department has responded to aid our residents for many years. Currently, if a resident is transported to the hospital in a mutual aid Niles Fire Department ambulance, that resident will receive a bill from Niles. The billed amount would be at the higher “non-resident” rate and our resident would also be responsible for the balance of any amount that is not covered by Medicare or their health insurance. The proposed agreement would eliminate that discrepancy and allow Park Ridge residents the lower resident rate with no out of pocket cost if they are transported by a Niles ambulance. The City would then also reciprocate this benefit to the residents of the Village of Niles. Over the past five years, on average, PRFD has sent an ambulance to Niles approximately seventeen (17) times per year and Niles has sent an ambulance into Park Ridge approximately seventeen (17) times per year. While it is difficult to estimate the revenue loss from this agreement, it should not be significant.
Minutes for Committee of the Whole Meeting of the Park Ridge City Council (Cont.) September 12, 2016
Page 3 of 6
Motion carried, 6/0, by roll call vote.
E. Discussion Items – Fire None.
F. Department Head Report – Fire Chief Sorensen thanked the community for their support for the 911 Memorial ceremony.
IV. Finance A. Action Items
1. Approve the contract for a parking study of the Uptown area to Gewalt Hamilton Associates, Inc. in the amount of $16,204.00
Motion by Alderman Knight, seconded by Alderman Moran
Motion carried, 6/0, by roll call vote. 2. Approve a budget amendment to increase Parking Fund General Contractual Services 501-
3027-948500 by $16,204.00 from $36,000.00 to $52,204.00 Motion by Alderman Knight, seconded by Alderman Moran
Motion carried, 6/0, by roll call vote.
Acting City Manager Gilmore stated that staff searched for a qualified firm to provide the City with a Parking Study for the Uptown area. The scope of work includes a parking needs (both current and future) assessment and recommendations for the entire Uptown area and also includes an assessment of an automated parking meter strategy for the area and the need for a parking structure on the City-owned Summit lot. Quotes were obtained from four (4) parking consulting firms, ranging from $14,500 to $31,500. Gewalt Hamilton Associates, Inc. was selected as they provide a high level of technical expertise, substantial experience providing municipal studies, and are familiar with our project area. Acting City Manager Gilmore stated that a kick off meeting would be held to detail specifics for the study and confirmed that all items were on the table. He noted that stakeholders (elected officials, staff, businesses, residents and commuters) would be included in the process in some manner. Lauren Boulhais, 1434 South Clifton, noted that she would like to comment for the parking study on commuter issues.
B. Discussion 1. Discuss 2006A Bond Refunding Options
Acting City Manager Gilmore stated that the City has the opportunity to refund the outstanding Series 2006A Bonds for savings. These Bonds were originally issued to pay for TIF improvements and are callable on December 1, 2016. Once the Council’s questions have been answered, and the preferred option is determined, Bond Counsel will be directed to prepare a refunding bond ordinance. The ordinance will be reviewed at the Council’s September and October meetings with approval at its October 17th meeting. The intent is to sell or place the bonds prior to the Presidential election and close the issue in November, prior to the call date. Elizabeth Hennessy and Kevin O’Kelly, bond advisors from William Blair, gave a financing update detailing the options and a proposed timeline, a copy of which is attached. Ms. Hennessy noted that the TIF District’s current debt service increases each year then drops by almost $3.7M in 2021. She summarized Option I, Level Payments, showing the refunding of the Series 2006A Bonds where the new bonds create overall level payment and Option II, Optimal Savings, showing the refunding of the Series 2006A Bonds where the new bonds are paid off as soon as possible within the current debt structure. It was noted that there was not a big difference in savings overtime, just in how the City pays for it.
Minutes for Committee of the Whole Meeting of the Park Ridge City Council (Cont.) September 12, 2016
Page 4 of 6
Ms. Hennessy detailed the methods of sale, public versus private, and recommended a private sale. Alderman Mazzuca asked for data on public versus private sales. Acting City Manager Gilmore stated that the plan was to bring this back for Action at the September 26, 2016 Finance Committee meeting. All Aldermen commented that at this time they were in favor of Option 1 – Level Payments, but several were undecided about a public versus private sale.
V. Public Works A. Action Items
1. Approve a Purchase Order Increase for the Elm Tree Injection Program to Robert Kinnucan Tree Experts and Landscaping Company in the amount of $1,591.75
Motion by Alderman Shubert, seconded by Alderman Moran Director Zingsheim stated that the City Council approved a contract and purchase order for the 2016-17 Elm Tree Injection Program in the amount of $40,000 on May 16, 2016. During routine Dutch Elm Disease (DED) inspections, staff identified 5 additional mature elm trees in excellent condition that were ideal candidates for treatment. This brought the total to 110 elm trees treated during this year’s program. To date this year, 50 elm trees have been removed due to DED. At this time, staff is requesting approval to increase the purchase order to Robert Kinnucan Tree Experts by $1,591.75, for a total purchase order amount of $41,591.75. A corresponding Budget Transfer for this amount will be done from Forestry, Tree Removal to cover this overage.
Motion carried, 6/0, by voice vote.
2. Approve a Purchase Order to Upgrade the Main SCADA PLC at the Central Pump Station to Automatic Control Services in the amount of $10,025.00
Motion by Alderman Shubert, seconded by Alderman Moran Director Zingsheim stated that the City recently upgraded its SCADA system (Supervisory Control and Data Acquisition) to state of the art. As contractors were brought thru on that project, staff was told that the CPU (Central Processing Unit) along with the I/O cards (Input/Output) were at the end of their lifespan. The CPU actually failed several weeks later, with a used component being utilized in its place as a fallback measure for the time being. The CPU is the ‘brain’ of the operation that processes all of the information and runs the entire system. The CPU and I/O cards are eleven years old and run with Windows XP, which is no longer supported by Microsoft. Staff received three quotes for this upgrade ranging with the low quote being from Automatic Control Services of Naperville, Illinois.
Motion carried, 6/0, by voice vote. 3. Approve the contract for Aggregate Materials Purchase and Spoils Disposal, PW-FY17-12,
to K.L.F. Enterprises, Inc. in the amount of $139,629.90 Motion by Alderman Shubert, seconded by Alderman Moran
Director Zingsheim stated that staff issued an Invitation to Bid for Aggregate Materials Purchase and Spoils Disposal, PW-FY17-12, on August 4, 2016 in the Pioneer Press. Ten (10) firms registered via the City web site. At the public bid opening on August 30, 2016, three (3) bids were opened and read aloud.
Motion carried, 6/0, by voice vote.
Minutes for Committee of the Whole Meeting of the Park Ridge City Council (Cont.) September 12, 2016
Page 5 of 6
4. Approve the Contract for the 2016 Street Resurfacing Program, 17-00000-1-GM, with Schroeder Asphalt Services, Inc. in the amount of $950,088.11
Motion by Alderman Shubert, seconded by Alderman Moran Director Zingsheim stated that staff issued an Invitation to Bid for 2016 Street Resurfacing Program, 17-00000-01-GM, on August 18, 2016 in the Pioneer Press. The project was also advertised in the IDOT Notice to Contractors Bulletin on August 18 and August 25, 2016. An email Invitation to Bid was sent to all contractors on the IDOT List of Prequalified Firms. Fifteen (15) firms registered via the City web site. The bid package was available on the website and at City Hall. At the public bid opening on August 30, 2016, five (5) bids were opened and read aloud. This contract is for the rehabilitation of approximately 3.7 miles of roadway. The FY17 budget amount is $900,000 and is paid out of the Motor Fuel Tax Fund (MFT). The additional funds will be taken from the MFT Fund with a Budget Amendment being brought to a future Finance Committee meeting.
Motion carried, 6/0, by roll call vote.
5. Approve the contract for Backhoe Purchase, PW-FY17-14 to McCann Industries, Inc. in the amount of $99,275.00
Motion by Alderman Shubert, seconded by Alderman Mazzuca Director Zingsheim stated that staff issued an Invitation to Bid for a Backhoe Purchase, PW-FY17-14, on August 18, 2016 in the Pioneer Press. Nine (9) firms registered via the City web site. At the public bid opening on August 30, 2016, four (4) bids were opened and read aloud. This contract is for a firm to supply a backhoe that will replace #49, a 1994 Case 590 Turbo Backhoe with 8,075 hours of use. The bid from Casey Equipment Company, Inc. of Arlington Heights, Illinois was deemed non-responsive since the submittal did not meet the operating weight and extended warranty requirements that were identified in the City bid specification. McCann Industries proposed a Case model 590 Super N Tractor Backhoe that meets the City bid specification. The total price is $99,275 and includes the 3 year / 3000-hour extended warranty. An add-on ‘breaker’, for use with this backhoe, will be purchased separately later time this fiscal year at an approximate cost of $20,000.00. Vehicle Supervisor McGrath confirmed that the scorecard included the trade in.
Motion carried, 6/0, by voice vote.
B. Discussion Items 1. 15 Minute Loading Zone on Fairview Avenue
Director Zingsheim stated that at the September 6, 2016 Council meeting, representatives from 26 and 28 South Fairview requested that a Loading Zone be designated in front of their building. The Municipal Code allows for a 15-minute Loading Zone under Chapter 15, Limited Time Parking. In the past, the City has been very conservative in designating such areas as businesses and parking patterns change over the years. There is also the concern that they might become the norm for every business and thus would be taking away valued parking spaces. Angie Karlson, building owner at 26 and 28 South Fairview, spoke in favor of a 15-Minute Loading Zone in front of this property. Alderman Knight advocated for two spots at this location. Alderman Mazzuca stated that he was not opposed to Loading Zones, however there should be fees attached to them. Discussion ensued on loading zones, locations, the number of spaces allocated and including them in the Parking Study.
Minutes for Committee of the Whole Meeting of the Park Ridge City Council (Cont.) September 12, 2016
Page 6 of 6
Consensus was reached to move forward for Action for two 15-Minute Loading Zone spaces at 26-28 South Fairview Avenue. Staff was directed to investigate fees and maintenance responsibilities for loading zones.
C. Department Head Report
1. Parking Meter Update Director Zingsheim stated that currently half of the meters have had the rates changed. Staff is now waiting for the equipment used to make the change to be repaired and then the other half will be done. Staff will try to post signage in the areas when these meters have their rates changed.
2. Bike Task Force Alderman Shubert gave an update on the Bike Task Force, noting that Jim O’Donnell will be chairing the Task Force with a kick off meeting scheduled for September 14. Currently, they are looking at doing a walking and biking audit of Park Ridge and hope to work with the Consortium of North Shore Environmental Groups (CONSEG).
VI. Other City Business 1. Alderman Moran asked that Director Testin be at the next meeting to discuss the zoning and
subdivision issues at 800 Devon. Acting City Manager Gilmore stated that he was not sure if Director Testin would be at the meeting but would get a report from him detailing a timeline of submittals, reviews, approvals, etc.
VII. New Business
VIII. Adjournment The meeting was adjourned at 8:45 p.m.
09/13/2016
1
CityofParkRidge,Illinois
September12,2016
FinancingUpdate
SectionI
MarketUpdateSectionII
CurrentOutstandingDebtSectionIII
RefundingOptionsSectionIII
MethodofSaleSectionVI
FinancingSchedule
TableofContents
09/13/2016
2
MarketUpdate
HistoricalAAAMMDInterestRatesAAAMunicipalMarketData(“MMD”)DuringthePastFiveYears
Note:ReflectsmarketconditionsasofSeptember2,2016Source:ThomsonFinancial
1.0
1.5
2.0
2.5
3.0
3.5
4.0
4.5
5.0
5.5
6.0
Sep‐11
Nov‐11
Jan‐12
Mar‐12
May‐12
Jul‐12
Sep‐12
Nov‐12
Jan‐13
Mar‐13
May‐13
Jul‐13
Sep‐13
Nov‐13
Jan‐14
Mar‐14
May‐14
Jul‐14
Sep‐14
Nov‐14
Jan‐15
Mar‐15
May‐15
Jul‐15
Sep‐15
Nov‐15
Jan‐16
Mar‐16
May‐16
Jul‐16
Sep‐16
(%)
2.02%
1.45%10‐Yr
AAAMMD
20‐YrAAAMMD
1
09/13/2016
3
CurrentOutstandingDebt
CurrentOutstandingPrincipal
Park Ridge General Obligation Bond PrincipalGO-PKRG
Bond Year Series Series Series Series Series Series Total
Ending 2015A 2015B 2014A 2012A 2012B 2006A Principal
06/30/17 1,895,000 595,000 310,000 270,000 100,000 3,170,000
06/30/18 2,350,000 610,000 320,000 280,000 100,000 3,660,000
06/30/19 265,000 1,940,000 635,000 325,000 300,000 385,000 3,850,000
06/30/20 275,000 655,000 335,000 315,000 2,990,000 4,570,000
06/30/21 735,000 680,000 345,000 3,135,000 4,895,000
06/30/22 955,000 700,000 360,000 3,520,000 5,535,000
06/30/23 980,000 725,000 370,000 2,075,000
06/30/24 1,360,000 750,000 380,000 2,490,000
06/30/25 1,705,000 770,000 390,000 2,865,000
06/30/26 875,000 405,000 1,280,000
06/30/27 415,000 415,000
06/30/28 425,000 425,000
06/30/29 435,000 435,000
Total 6,275,000 6,185,000 6,995,000 4,815,000 1,165,000 10,230,000 35,665,000
Issue Dated 03/17/15 03/17/15 08/19/14 02/01/12 02/01/12 06/01/06Tax Status Taxable Taxable
Refunded 2005A Refunded 2006B Water/Sewer Water/Sewer ERI and IMRF TIF Bonds
TIF Bonds TIF Bonds (Abated Annually) (Abated Annually)
Call Date: Non‐Callable Non‐Callable 12/1/2024 12/1/2021 Non‐Callable 12/1/2016
William Blair & Company LLC
2
09/13/2016
4
CurrentOutstandingDebtServiceByFiscalYear
*Series2014Aand2012Aareabatedannually
Park Ridge General Obligation Debt ServiceGO-PKRG
Bond Year Series Series Series Series Series Series Total
Ending 2015A 2015B 2014A 2012A 2012B 2006A Debt Service
06/30/17 188,250 1,973,675 800,300 449,800 293,438 608,625 4,314,088
06/30/18 188,250 2,401,575 797,225 450,350 298,338 604,000 4,739,738
06/30/19 449,275 1,956,975 803,550 445,675 311,873 876,875 4,844,223
06/30/20 451,175 804,200 445,775 319,174 3,397,500 5,417,824
06/30/21 896,025 809,175 445,575 3,389,375 5,540,150
06/30/22 1,090,675 808,475 450,000 3,608,000 5,957,150
06/30/23 1,086,650 812,100 449,050 2,347,800
06/30/24 1,431,550 814,975 447,800 2,694,325
06/30/25 1,730,575 812,175 446,250 2,989,000
06/30/26 890,313 449,325 1,339,638
06/30/27 447,025 447,025
06/30/28 444,425 444,425
06/30/29 441,525 441,525
Total 7,512,425 6,332,225 8,152,488 5,812,575 1,222,821 12,484,375 41,516,909
Issue Dated 03/17/15 03/17/15 08/19/14 02/01/12 02/01/12 06/01/06Tax Status Taxable Taxable
William Blair & Company LLC
3
CurrentlyOutstandingDebtServicebyLevyYear
Park Ridge General Obligation Bond Debt Service (Does not include debt service on the 2012A and 2014A that is abated annually) GO-PKRG
Bond Year Series Series Series Series Total
Ending 2015A 2015B 2012B 2006A Debt Service
2015 12/01/16 188,250 1,983,150 295,598 610,750 3,077,748 2016 12/01/17 188,250 2,419,200 301,278 606,500 3,515,228 2017 12/01/18 453,250 1,973,950 315,398 886,500 3,629,098 2018 12/01/19 455,300 323,348 3,472,250 4,250,898 2019 12/01/20 907,050 3,467,750 4,374,800 2020 12/01/21 1,105,000 3,696,000 4,801,000 2021 12/01/22 1,101,350 1,101,350 2022 12/01/23 1,451,950 1,451,950 2023 12/01/24 1,756,150 1,756,150 2024 12/01/25 ‐ 2025 12/01/26 ‐ 2026 12/01/27 ‐ 2027 12/01/28 ‐
Total 7,606,550 6,376,300 1,235,620 12,739,750 27,958,220
William Blair & Company LLC
4
09/13/2016
5
CurrentOutstandingDebtServiceSeriesonTaxLevy
5
RefundingOptions
09/13/2016
6
RefundingOptions
• TheSeries2006ABondsarecallableonDecember1,2016
• Thesebondsmayberefundedforsavings
• TheDistrict’scurrentdebtserviceincreaseseachyearthendropsbyalmost$3.7Min2021
• OptionI–LevelPayments‐ showstherefundingoftheSeries2006ABondswherethenewbondscreateoveralllevelpayment
• OptionII– OptimalSavings– showstherefundingoftheSeries2006ABondswherethenewbondsarepaidoffassoonaspossiblewithinthecurrentdebtstructure
6
Series2016ARefundingOption1:LevelPayments
*BasedonmarketconditionsasofJuly14,2016*Preliminary,subjecttochange
7
CityofParkRidge,ILSeries2016ARefunding(OptionI) Level Payments
Bond Year Levy Year Series Series Series Series Total Less: Plus: Total
Ending Ending 2006A 2012B 2015A 2015B Outstanding D/S Refunded D/S Series 2016A Proposed D/S
12/01/16 2015 610,750 295,598 188,250 1,983,150 3,077,748 0 3,077,748
12/01/17 2016 606,500 301,278 188,250 2,419,200 3,515,228 (606,500) 399,100 3,307,828
12/01/18 2017 886,500 315,398 453,250 1,973,950 3,629,098 (886,500) 368,400 3,110,998
12/01/19 2018 3,472,250 323,348 455,300 4,250,898 (3,472,250) 2,138,400 2,917,048
12/01/20 2019 3,467,750 907,050 4,374,800 (3,467,750) 2,012,600 2,919,650
12/01/21 2020 3,696,000 1,105,000 4,801,000 (3,696,000) 1,814,000 2,919,000
12/01/22 2021 1,101,350 1,101,350 1,815,600 2,916,950
12/01/23 2022 1,451,950 1,451,950 1,469,600 2,921,550
12/01/24 2023 1,756,150 1,756,150 1,164,800 2,920,950
12/01/25 2024
12/01/26 2025
12/01/27 2026
12/01/28 2027
12,739,750 1,235,620 7,606,550 6,376,300 27,958,220 (12,129,000) 11,182,500 27,011,720
CF Savings 946,500
PV Savings 1,102,636
PV Savings % 10.885%
William Blair & Company, LLC 9/8/2016
Option I: 2016A
Total
09/13/2016
7
Series2016ARefundingOptionI:LevelPayments
8
Series2016ARefundingOption2:OptimalSavings
*BasedonmarketconditionsasofJuly14,2016*Preliminary,subjecttochange
9
CityofParkRidge,ILSeries2016ARefunding(Option2) Optimal Savings
Bond Year Levy Year Series Series Series Series Total Less: Plus: Total
Ending Ending 2006A 2012B 2015A 2015B Outstanding D/S Refunded D/S Series 2016A Proposed D/S
12/01/16 2015 610,750 295,598 188,250 1,983,150 3,077,748 0 3,077,748
12/01/17 2016 606,500 301,278 188,250 2,419,200 3,515,228 (606,500) 601,683 3,510,411
12/01/18 2017 886,500 315,398 453,250 1,973,950 3,629,098 (886,500) 882,600 3,625,198
12/01/19 2018 3,472,250 323,348 455,300 4,250,898 (3,472,250) 3,472,000 4,250,648
12/01/20 2019 3,467,750 907,050 4,374,800 (3,467,750) 3,467,000 4,374,050
12/01/21 2020 3,696,000 1,105,000 4,801,000 (3,696,000) 2,397,200 3,502,200
12/01/22 2021 1,101,350 1,101,350 0 1,101,350
12/01/23 2022 1,451,950 1,451,950 0 1,451,950
12/01/24 2023 1,756,150 1,756,150 0 1,756,150
12/01/25 2024
12/01/26 2025
12/01/27 2026
12/01/28 2027
12,739,750 1,235,620 7,606,550 6,376,300 27,958,220 (12,129,000) 10,820,483 26,649,703
CF Savings 1,308,517
PV Savings 1,219,457
PV Savings % 12.038%
William Blair & Company, LLC 9/8/2016
Option 2: 2016A
Total
09/13/2016
8
Series2016ARefundingCase2:OptimalSavings
10
SummaryofOptionsandImpactonHomeowner
CityofParkRidge,ILSummaryofOptionsandImpactonHomeowner
Total Debt Total Total Debt Total Total Debt Total
Service Levies Debt Payments Service Levies Debt Payments Service Levies Debt Payments
Bond Year Levy Year Current $400,000 MV Home Option I $400,000 MV Home Option 2 $400,000 MV Home
Ending Ending Situation Level Payment Level Payment Level Payment Optimal Savings Optimal Savings
12/01/17 2016 3,515,228 272 3,307,828 256 3,510,411 272
12/01/18 2017 3,629,098 281 3,110,998 241 3,625,198 281
12/01/19 2018 4,250,898 329 2,917,048 226 4,250,648 329
12/01/20 2019 4,374,800 339 2,919,650 226 4,374,050 338
12/01/21 2020 4,801,000 372 2,919,000 226 3,502,200 271
12/01/22 2021 1,101,350 85 2,916,950 226 1,101,350 85
12/01/23 2022 1,451,950 112 2,921,550 226 1,451,950 112
12/01/24 2023 1,756,150 136 2,920,950 226 1,756,150 136
12/01/25 2024 0 0 0
12/01/26 2025 0 0 0
12/01/27 2026 0 0 0
12/01/28 2027 0 0 0
24,880,473 1,925 23,933,973 1,852 23,571,956 1,824
Based on market conditions as of July 12, 2016
According to Zillow, the median home value in Park Ridget is $393,500 as of July 14, 2016
Preliminary, subject to change
William Blair & Company, LLC
Total
11
09/13/2016
9
MethodofSale
PublicSaleVersusPrivateSale
• Apublicbondsaleworkswellwhenthebondissueislarge(over$10M),longinmaturityandcanamortizethecostsofissuanceovertimewithmultipleinvestorsparticipating
• Whenabondissueissmallerand/orhasashortermaturity,itmaybemorecosteffectivetoprivatelyplacethebondwithasophisticatedbankinvestor
• TheproposedrefundingoftheSeries2006ABondsisapproximately$10.3Mandmaturesin8years(2024),therefore,onebankinvestormaybeinterested
• Blaircanprepareatermsheetandrunacompetitiveprocessbetweeninterestedlocalbanksaswellasstate‐widebanks
• Theadvantagetothisapproachisthatitsavesoncostsofissuancebecausethebondsarenotratedandatermsheetisusedtosellthebondstosophisticatedinvestorsversusafullpreliminaryofficialstatement
• Assumingcompetitiveinterestratesareattainedfromthebiddingbanks,thecostofcapitalcanbeloweredandsavingsenhanced
• Ifcompetitivebidsarenotattainableversusapublicsalewithfullcostsofissuance,wecanpursueapublicsale
• Thefeesforbothsalemethodsareshownonthenextpage
12
09/13/2016
10
PublicSaleVersusPrivateSaleCostsofIssuance
Note:interestratemaybehigherinprivateplacementthanpublicsale;Blairwillprovideacomparisonofthetotalcostofaeachmethodofsaleoncethebidsreceived
13
Public Sale Private Placement
Bond Counsel, Katten Muchin Rosemann $22,000 $22,000Disclosure Counsel, Katten Muchin Rosemann 5,000 0Registrar/Paying Agent, Wells Fargo 2,000 2,000Escrow Agent, Wells Fargo 2,500 2,500Rating Agency, Moody's Investor Services 16,000 0Preliminary and Final Official Statement Printing 2,500 0Contingency and Other 1,000 1,000
$51,000 $27,500
Estimated Underwriter's Discount: (5.00 per $1,000) (1) $24,050 0Financial Advisor Fee, William Blair $18,500 $18,500Total Costs of Issuance $93,550 $46,000
Savings on Costs of Issuance $47,550
(1) Will be determined in competitive sale
City of Park Ridge, Illinois
$9.9M General Obligation Refunding Bonds, Series 2016 (Bank Qualified)
$400k General Obligation Refunding Bonds, Series 2017 (Bank Qualified)
Estimated Costs of Issuance
Refunding Bonds
BankQualifiedVersusNon‐BankQualified• Thenewrefundingbondissueisjustover$10M‐ $10.3Mtobeexact
• Ifabondissueisunder$10MandtheCityissueslessthan$10Minacalendaryear,thenthebondsmaybeissuedasbankqualifiedunderSection 265(b)(3)oftheInternalRevenueCodeof1986,asamended
• Bondsthatarebankqualifiedaffordbankpurchasersanadditionaltaxdeduction;thissavingsispassedontotheissuerintheformoflowerinterestrates
• Dependingonmarketconditions,bankqualifiedbondshaveyieldsthatarebetween.05%and.15%lowerthannon‐bankqualifiedbonds
• BecausetheCityisjustoverthebankqualifiedthresholdfor2016,itcansellapproximately$9Mincalendar2016andtheremaining$400,000inthenextcalendaryear(January2017)therebyachievingbankqualificationontheentireissue
14
09/13/2016
11
FinancingSchedule
ProposedFinancingScheduleCityofParkRidge,IllinoisGeneralObligationRefundingBonds,Series2016
July August September October NovemberM T W T F S S M T W T F S S M T W T F S S M T W T F S S M T W T F S S
1 2 3 1 2 3 4 5 6 7 1 2 3 4 1 2 1 2 3 4 5 64 5 6 7 8 9 10 8 9 10 11 12 13 14 5 6 7 8 9 10 11 3 4 5 6 7 8 9 7 8 9 10 11 12 1311 12 13 14 15 16 17 15 16 17 18 19 20 21 12 13 14 15 16 17 18 10 11 12 13 14 15 16 14 15 16 17 18 19 2018 19 20 21 22 23 27 22 23 24 25 26 27 28 19 20 21 22 23 24 25 17 18 19 20 21 22 23 21 22 23 24 25 26 2725 26 27 28 29 30 31 29 30 31 26 27 28 29 30 24 25 26 27 28 29 30 28 29 30
RegularMeetingCOW‐ReviewRefundingOptions;ApproveConsiderationofOrdinance FinancialAdvisor,Issuer
RegularMeeting‐FurtherOptionReviewifNeeded FinancialAdvisor,Issuer
RegularMeetingCOW‐AuthorizeFirstReadingofOrdinanceatOctober3Meeting FinancialAdvisor,Issuer
DistributedraftofPreliminaryOfficialStatement/TermSheet FinancialAdvisor/DisclosureCounsel
RegularMeeting‐FirstReadingofRefundingOrdinance AllParties
CommentsdueondraftofPreliminaryOfficialStatmeent/TermSheet AllParties
BondRatingRehearsal,ifnecessary FinancialAdvisor,Issuer
Bondratingspresentation,ifnecessary FinancialAdvisor,Issuer
CommentsdueonfinaldraftofPreliminaryOfficialStatement,TermSheet AllParties
RegularMeeting‐ApproveFinalReadingofParametersRefundingOrdinance FinancialAdvisor,Issuer
Receivebondrating,ifnecessary FinancialAdvisor,Issuer
Duediligencecall FinancialAdvisor,Issuer,DisclosureCounsel
MailPreliminaryOfficialStatement,TermSheettoinvestors Underwriter
PriceSeries2016bondsassumingappropriatemarketconditions FinancialAdvisor,Issuer,Underwriter
Processdocumentation BondCounsel
RegularMeeting Issuer
ClosingoftheSeries2016Bonds AllParties
WorkingGroup
Issuer= TheCityofParkRidge,IllinoisFinancialAdvisor= WilliamBlair&Company,LLC
Underwriter= TBDCompetitiveSaleBondCounsel/DisclosureCounsel= KattenMuchin/KattenMuchin
RatingAgency= Moody'sInvestorServicePayingAgent= TBD
WilliamBlair&Company
Monday,November07,2016
TBD
TBD
Ongoing
Monday,September12,2016
Monday,September19,2016
Monday,October03,2016
Monday,September26,2016
Tuesday,September27,2016
Tuesday,October04,2016
Friday,October14,2016
Monday,October17,2016
Monday,October17,2016
Tuesday,October18,2016
Tuesday,October04,2016
Friday,October07,2016
Monday,October17,2016
15
09/13/2016
12
NoticeandDisclaimer
WilliamBlair&Company222WestAdamsChicago,IL60606www.williamblair.com
ContactInformation:ElizabethM.HennessyManagingDirectorehennessy@williamblair.comPhone:(312)364‐8955
TheaccompanyinginformationwasobtainedfromsourceswhichWilliamBlair&Company,L.L.C.believestobereliablebutdoesnotguaranteeitsaccuracyandcompleteness.
Thematerialhasbeenpreparedsolelyforinformationalpurposesandisnotasolicitationofanoffertobuyorsellanysecurityorinstrumentortoparticipateinanytradingstrategy.Historicaldataisnotanindicationoffutureresults.
Theopinionsexpressedareourownunlessotherwisestated.
Additionalinformationisavailableuponrequest.
16