DATE: April 5, 2016
TO: Mayor and Councilmembers
FROM: Director of Finance
SUBJECT
Title
Annual Review of City of Hayward Issued Debt
End
RECOMMENDATION
Recommendation
That Council reviews and comments on this report.
Body
BACKGROUND
The City of Hayward, like the vast majority of cities and municipal agencies, incurs and manages debt as part of its normal course of business. While both the annual budget document and the annual financial statements include a section that summarizes the City's debt, staff provides an update to the Council Budget & Finance Committee (CBFC) and the full City Council during the annual budget process. The CBFC reviewed a draft of the report at their March 2, 2016 regular meeting.
DISCUSSION
The City uses its debt to finance the cost of capital improvements through various debt instruments (see list below). Debt service payments are generally made on an annual or semiannual basis. This document contains debt service information for the General Fund and all other funds, including anticipated debt issuances that will be issued prior to the end of the fiscal year as were approved during the FY 2016 budget process. Debt service payments of previously issued debt, as well as planned issuances, are budgeted and approved annually by City Council - and these obligations are funded through identified tax and fee supported revenues that include the General Fund, Enterprise Funds, and Internal Service Funds.
Debt Instruments - The City and Successor Agency of the Hayward Redevelopment Agency currently maintain the following types of debt:
> Certificates of Participation
> Revenue Bonds
> Private Placement Bonds
> California Energy Commission (CEC) Loan
> Lease-Purchase Agreements
> State Water Resources Control Board (SWRCB) Loan
> Tax Allocation Bonds (Successor Agency only)
> Special Tax Bonds (CFD only) & Limited Obligation Improvement Bonds (LID only)
> Internal Fund to Fun...
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