I-1 - Finance Plan - 2025 GO Bond

A premium price produces additional funds that can be used in several ways:  The premium means that the City needs less bond proceeds and can reduce the size of the issue by the amount of the premium.  The premium can be deposited in the Construction Fund and used to pay additional project costs, rather than used to reduce the size of the issue.  The premium can be deposited in the Debt Service Fund and used to pay principal and interest. Northland will work with City staff prior to the day of pricing to determine use of premium (if any). 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. The rating process will include a conference call with the rating analyst. Northland will assist City staff in preparing for and conducting the rating call. Northland Securities, Inc. Page 7