WS - D - Tiffin FS - FY 2023

City of Tiffin Notes to Basic Financial Statements NOTE 3 – LONG-TERM DEBT (CONTINUED) A. General Obligation Bonds (Continued) On March 9, 2021, the City issued $2,510,000 of general obligation annual appropriation refunding bonds to refund previous bond issues. The bonds bear interest rates at 2.00% per annum and mature on June 1, 2028. During the year ended June 30, 2023, the City paid principal of $345,000 and interest of $43,600 on the bonds. The outstanding principal balance at June 30, 2023, was $1,835,000. On May 18, 2022, the City issued $2,740,000 of general obligation corporate purpose bonds to provide funds for various improvement projects and land acquisition. The bonds bear interest rates ranging from 2.35% to 3.5% per annum and mature on June 1, 2038. During the year ended June 30, 2023, the City paid principal of $10,000 and interest of $85,689 on the bonds. The outstanding principal balance at June 30, 2023, was $2,730,000. B. Revenue Notes – Direct Borrowing On February 6, 2004, the City entered into an agreement with the Iowa Finance Authority (IFA) and the Iowa Department of Natural Resources for the issuance of sewer revenue bonds of up to $340,000 with interest at 1.75% per annum. The agreement also requires the City to annually pay a 0.25% servicing fee on the outstanding principal balance. The bonds were issued pursuant to the provisions of Chapter 384.24A to finance construction of certain wastewater treatment facilities. The bonds mature June 1, 2023. During the year ended June 30, 2023, the City paid principal of $22,400 and interest of $440 on the bonds. The outstanding principal balance at June 30, 2023, was $0. On September 30, 2016, the City entered into an agreement with the Iowa Finance Authority (IFA) and the Iowa Department of Natural Resources for the issuance of sewer revenue bonds of up to $2,296,000 with interest at 1.75% per annum. The agreement also requires the City to annually pay a 0.25% servicing fee on the outstanding principal balance. The bonds were issued pursuant to the provisions of Chapter 384.24A to finance construction of certain wastewater treatment facilities. The bonds mature June 1, 2037. During the year ended June 30, 2023, the City paid principal of $99,000 and interest of $33,640 on the bonds. The outstanding principal balance at June 30, 2023, was $1,583,000. On May 11, 2018, the City entered into an agreement with the Iowa Finance Authority (IFA) and the Iowa Department of Natural Resources for the issuance of sewer revenue bonds of up to $5,624,000 with interest at 1.75% per annum. The agreement also requires the City to annually pay a 0.25% servicing fee on the outstanding principal balance. The bonds were issued pursuant to the provisions of Chapter 384.24A to finance construction of certain wastewater treatment facilities. The bonds mature June 1, 2038. During the year ended June 30, 2023, the City paid principal of $292,000 and interest of $54,971 on the bonds. The outstanding principal balance at June 30, 2023, was $5,045,000. On March 4, 2022, the City entered into an agreement with the Iowa Finance Authority (IFA) and the Iowa Department of Natural Resources for the issuance of sewer revenue bonds of up to $486,000 with interest at 0% per annum. The bonds were issued pursuant to the provisions of Chapter 384.24A to finance construction of certain wastewater treatment facilities. The bonds mature June 1, 2038. During the year ended June 30, 2023, the City paid principal of $28,588 and interest of $0 on the bonds. The outstanding principal balance at June 30, 2023, was $428,824. 20