I-1 - Finance Plan - 2025 GO Bond

Executive Summary The following is a summary of the recommended terms for the issuance of $5,500,000 General Obligation Corporate Purpose Bonds, Series 2025A (the “Bonds”). Additional information on the proposed finance plan and issuing process can be found after the Executive Summary, in the Issue Overview and Attachment 3 – Related Considerations. Purpose Proceeds from the Bonds will be used to finance the costs of the North Park Road improvement project and to pay costs associated with the issuance of the Bonds. Security The Bonds will be a general obligation of the City. The City will pledge property tax levies for payment of the Bonds. Repayment Term The Bonds will mature annually each June 1 in the years 2026 - 2040. Interest on the Bonds will be payable on December 1, 2025 and semiannually thereafter on each June 1 and December 1. Estimated Interest Rate* Average coupon: 3.90% True interest cost (TIC): 4.07% *Based on “A+” Rates + 25 BPS as of February 21, 2025. Prepayment Option Bonds maturing on and after June 1, 2033 will be subject to redemption on June 1, 2032 and any day thereafter at a price of par plus accrued interest. Rating A rating will be requested from Standard and Poor’s (S&P). The City’s general obligation debt is currently rated "A+" by S&P. Tax Status The Bonds will be tax-exempt, non bank qualified obligations. Risk Factors There are certain risks associated with all debt. Risk factors related to the Bonds are discussed in Attachment 2. Type of Bond Sale Negotiated with Northland Securities, Inc. Pricing Date Tuesday, March 18, 2025 Council Consideration Tuesday, March 18, 2025 Northland Securities, Inc. Page 1