HomeMy WebLinkAboutPUBLICREFUNDING OF 2005 MUNICIPAL BUILDING AUTHORITY RECREATION BONDS DEPARTMENT OFFINANCE
Michael T.Slater
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CHIEF ACCOUNTANT
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FAX:(734) 421'1D07
jUO8 25' 2015 Copies to
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Board of Directors
Municipal Building /\UthO[ih/ Of Livonia
R8- P[ODOS8d Refunding Of 2005 Municipal Building-i'<-@thmitVF."ft8C[ <rttOn-------
BOndS
O8@[ Board Members-
Current interest [@t8S have D[8S8nt8d an opportunity to refinance the 2005
Municipal Building Authority R8C[8@UOn Bonds and th8[8fO[8 reduce future debt
Service obligations.
Attached are the fO||OVVing documents for COnSid8[@UOn at your jU|V Q. 2015
meeting-
1. A DnDDOS8d R8SO|UUOn authorizing not to 8XC88d $2.250.000 Municipal
Building /\UthO[ih/ Of Livonia Building /\UthO[ih/ Refunding Bonds, S8[i8S |
2015.
2. C@|CU|@UOn Of 8SUm@t8d savings based UDOn CU[[8nt interest [@t8S. Total
savings are 8SUm@t8d to be @DD[OXim@t8|V $107.242.
\/8rV t[U|V VOU[S.
Michael T. S|@t8[
Director OfFinance
MTS-ml
Attachments
CC' M@VO[, City C|8[k, City Attorney, David Varga, Tom CO|iS 'S :2 fid S211nf SIDI
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RESOLUTION AUTHORIZING NOT TO EXCEED
$2,250,000 MUNICIPAL BUILDING AUTHORITY OF LIVONIA
BUILDING AUTHORITY REFUNDING BONDS, SERIES 2015
Minutes of a special meeting of the Commission of the Municipal Building Authority of Livonia,
held in the City of Livonia on July_, 2015, at o'clock _.m.,prevailing Eastern Time.
PRESENT: Commissioners:
ABSENT: Commissioners:
The following preamble and resolution were offered by Commissioner
and supported by Commissioner
WHEREAS, Act 34, Public Acts of Michigan, 2001 ("Act 34"), and Act 31, Public Acts of
Michigan, 1948 (First Extra Session), as amended ("Act 31"), permit the Municipal Building Authority
of Livonia (the "Authority") to refund all or part of the municipal securities of the Authority; and
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WHEREAS, the Commission determines that it is in the best interest of the Authority and the
8 City of Livonia, a municipal corporation of the State of Michigan (the "City") to refund all or a portion
of the Authority's Building Authority Refunding Bonds, Series 2005, dated June 22, 2005 (the "Prior
Bonds"); and
9 WHEREAS, a Refunding Contract between the City and the Authority providing for the
refunding of all or a portion of the Prior Bonds (the "Refunding Contract") has been prepared; and
WHEREAS, the cost of refunding all or a portion of the Prior Bonds is presently estimated to be
an amount not to exceed Two Million Two Hundred Fifty Thousand Dollars ($2,250,000); and
WHEREAS, to finance the cost of refunding all or a portion of the Prior Bonds, the Authority
deems it necessary to borrow the sum of not to exceed Two Million Two Hundred Fifty Thousand
Dollars ($2,250,000) and issue bonds therefor as authorized by Act 31 and Act 34.
NOW, THEREFORE, BE IT RESOLVED THAT:
1. Authorization of Refunding Bonds, Bond Terms. Bonds of the Authority designated
Building Authority Refunding Bonds, Series 2015 (the "Bonds") be issued in the aggregate principal
amount of not to exceed Two Million Two Hundred Fifty Thousand Dollars ($2,250,000) as finally
determined in the Sale Resolution to be adopted by the Authority respecting the sale of the Bonds (the
"Sale Resolution") or, in the alternative, the Sale Order executed by any officer of the Authority,
respecting the sale of the Bonds (the "Sale Order"), for the purpose of refunding a portion of the Prior
Bonds as shall be finally identified in the Sale Resolution or the Sale Order; said issue to consist of
bonds registered as to principal and interest of the denomination of $5,000 or multiples of $5,000, be
dated as of the date of delivery or such other date as may be finally identified in the Sale Resolution or
the Sale Order, numbered as determined by the Transfer Agent(as hereinafter defined), and shall mature
annually on May 1 in each of the years as shall be finally identified in the Sale Resolution or the Sale
Order. The amount of the principal maturities of the Bonds shall be finally identified in the Sale
Resolution or the Sale Order. The Bonds shall bear interest at a rate or rates to be determined upon sale,
first payable on the date as shall be finally identified in the Sale Resolution or the Sale Order and semi-
armually thereafter.
Interest shall be paid by check drawn on the Transfer Agent mailed to the registered owner of the
Bonds at the registered address, as shown on the registration books of the Authority maintained by the
Transfer Agent. Interest shall be payable to the registered owner of record as of the fifteenth day of the
month prior to the payment date for each interest payment. The date of determination of registered
owner for purposes of payment of interest as provided in this paragraph may be changed by the
Authority to conform to market practice in the future. The principal of the Bonds shall be payable at a
bank or trust company as shall be finally identified in the Sale Resolution or the Sale Order as registrar,
paying agent and transfer agent for the Bonds (the"Transfer Agent").
2. Execution of Bonds; Book-Entry-Only Form. The Bonds of this issue shall be executed
in the name of the Authority with the manual or facsimile signatures of the Chairman and Secretary of
the Authority and shall have the seal of the Authority, or a facsimile thereof, printed or impressed on the
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Bonds. No Bond signed by facsimile signatures shall be valid until authenticated by an authorized
officer or representative of the Transfer Agent.
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Y The Bonds may be issued in book-entry-only form through the Depository Trust Company in
New York, New York("DTC") and any officer of the Authority is authorized to execute such custodial
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or other agreement with DTC as may be necessary to accomplish the issuance of the Bonds in book-
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entry-only form and to make such changes in the Bond form within the parameters of this resolution as
may be required to accomplish the foregoing.
3. Transfer of Bonds. The Transfer Agent shall keep the books of registration for this issue
on behalf of the Authority. Any Bond may be transferred upon such registration books by the registered
owner of record, in person or by the registered owner's duly authorized attorney, upon surrender of the
Bond for cancellation, accompanied by delivery of a dnly executed written instrument of transfer in a
form approved by the Transfer Agent. Whenever any Bond or Bonds shall be surrendered for transfer,
the Authority shall execute and the Transfer Agent shall authenticate and deliver a new Bond or Bonds,
for like aggregate principal amount. The Transfer Agent shall require the payment by the bondholder
requesting the transfer of any tax or other governmental charge required to be paid with respect to the
transfer.
4. Security for the Bonds. The Bonds shall be issued in anticipation of and be payable from
the payments to be received by the Authority from the City pursuant to the Refunding Contract,which
payments are a limited tax general obligation of the City. To secure the payment of the principal of and
interest on the Bonds, all payments to be received by the Authority from the City pursuant to the
Refunding Contract are hereby pledged solely and only for the payment of the Bonds and a statutory
first lien is hereby established upon and against such payments for such purpose.
5. Bond and Interest Redemption Fund; Defeasance of Bonds. There shall be established
and maintained a separate depository account designated as the 2015 BUILDING AUTHORITY
REFUNDING BONDS BOND AND INTEREST REDEMPTION FUND (the "Bond and Interest
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Redemption Fund"). The moneys on deposit in the Bond and Interest Redemption Fund shall be used
solely and only for the purpose of paying- the principal of and interest on the Bonds when due. The Bond
and Interest Redemption Fund shall be kept at a bank or trust company authorized by law to hold the
moneys to be deposited therein. All payments received by the Authority from the City pursuant to the
Refunding Contract for the payment of the principal of and interest on the Bonds shall be deposited, as
received, into the Bond and Interest Redemption Fund;provided, however, that pursuant to the Refunding
Contract, payments required to be made by the City pursuant to the Refunding Contract for the payment of
principal of and interest on the Bonds may be made by funds transfer by the City directly to the Transfer
Agent, and such payments shall be deemed to have been made to the Authority and the City shall be
credited with such payment.
In the event cash or direct obligations of the United States or obligations the principal of and
interest on which are guaranteed by the United States, or a combination thereof, the principal of and
interest on which,without reinvestment, come due at times and in amounts sufficient to pay the principal
of and interest on the Bonds when due, shall be deposited in trust, this resolution shall be defeased and
the owners of the Bonds shall have no further rights under this resolution except to receive payment of
the principal of and interest on the Bonds from the cash or securities deposited in trust and the interest
and gains thereon and to transfer and exchange Bonds as provided herein.
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6. Bond Proceeds; Bond Issuance Fund;Escrow Fund; Escrow Agreement. The proceeds of
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the Bonds shall be used to secure payment of the Prior Bonds and to pay the costs of issuance of the
W Bonds as provided in this paragraph. Upon receipt of the proceeds of sale of the Bonds the accrued
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interest if any, shall be deposited in the Bond and Interest Redemption Fund for the Bonds. From the
proceeds of the Bonds there shall next be set aside a sum sufficient to pay the costs of issuance of the
Bonds in a fund designated as the BOND ISSUANCE FUND (the 'Bond Issuance Fund"), which may
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be established by the Authority or by the Escrow Agent (hereinafter defined). Moneys in the Bond
Issuance Fund shall be used solely to pay expenses of issuance of the Bonds. Any amounts remaining in
the Bond Issuance Fund after payment of issuance expenses shall be transferred to the Bond and Interest
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s Redemption Fund for the Bonds.
The balance of the proceeds of the Bonds together with any moneys transferred by the Authority
at the time of sale of the Bonds from the Bond and Interest Redemption Fund for the Prior Bonds and
any other available funds of the Authority, shall be deposited in an escrow fund (the "Escrow Fund")
consisting of direct obligations of or obligations the principal of and interest on which are
unconditionally guaranteed by the United States of America or other obligations the principal of and
interest on which are fully secured by the foregoing or held as uninvested cash, and used to pay
principal, interest and redemption premium, if any, on all or a portion of the Prior Bonds as shall be
finally identified in the Sale Order. The Escrow Fund shall be held by an escrow agent as shall be
identified in the Sale Order (the "Escrow Agent") pursuant to an escrow agreement (the "Escrow
Agreement") which shall irrevocably direct the Escrow Agent to take all necessary steps to call any
Prior Bonds specified by the Authority upon sale of the Bonds for redemption,including publication and
mailing of redemption notices, on any date specified by the Authority that the Prior Bonds may be called
for redemption. The investments held in the Escrow Fund shall be such that the sum will be sufficient,
without reinvestment, to pay the principal, interest and redemption premium on the Prior Bonds when
due or upon the call for redemption required by this paragraph. Fallowing establishment of the Escrow
Fund, any amounts remaining in the Bond and Interest Redemption Fund for the Prior Bonds shall be
transferred to the Bond and Interest Redemption Fund for the Bonds or shall be transferred to the
Escrow Fund.
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7. Bond Form. The Bonds shall be in substantially the following form with such alterations
as necessary to conform to the sale details of the Bonds:
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UNITED STATES OF AMERJCA
STATE OF MICHIGAN CITY OF
WAYNE
MUNICIPAL BUILDING AUTHORJTY OF LIVONIA
BUILDING AUTHORJTY REFUNDING BOND
SERJES 2015
Interest Rate Maturity Date Date of Original Issue CUSIP
May 1, 12015
Registered Owner:
Principal Amount: Dollars
The MUNICIPAL BUILDING AUTHORJTY OF LIVONIA, a public corporation of the State of
Michigan (the "Issuer"), acknowledges itself to owe and for value received hereby promises to pay to the
Registered Owner specified above, or registered assigns, the Principal Amount specified above, in lawful money
of the United States of America, on the Maturity Date specified above, with interest thereon (computed on the
basis of a 360-day year consisting of twelve 30-day months) from the Date of Original Issue specified above or
zsuch later date to which interest has been paid, until paid, at the Interest Rate per annum specified above, first
payable on November 1, 2015 and semiannually thereafter. Principal of this bond is payable at the designated
Z corporate trust office of or such other transfer agent as
o the Issuer may hereafter designate by notice mailed to the registered owner not less than sixty (60) days prior to
any interest payment date. Interest on this bond is payable to the registered owner of record as of the fifteenth
(15th) day of the month preceding the interest payment date as shown on the registration books of the Issuer
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maintained by the transfer agent, by check or draft mailed to the registered owner at the registered address.
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The bonds of this issue are issued in anticipation of and are payable from the proceeds of certain
payments required to be paid to the Issuer by the City of Livonia, County of Wayne, Michigan (the "City")
pursuant to a Refunding Contract dated July 8, 2015. The payments are limited tax full faith and credit first
budget general obligations of the City payable from general funds of the City including collections of ad valorem
taxes which must be levied by the City if necessary to make such payments, but subject to applicable
constitutional, statutory and charter tax rate limitations. The Issuer has irrevocably pledged to the payment of the
bonds the payments payable by the City as set forth in the contract, the total of the payments being sufficient in
amount to pay promptly when due the principal of and interest on the bonds of this issue, and a statutory first lien
on such payments has been created by the bond authorizing resolution for such payment.
This bond is one of a total authorized issue of bonds of even original issue date, aggregating the principal
sum of $ issued under and in full compliance with the Constitution and statutes of the State of
Michigan, including specifically Act 31, Public Acts of Michigan, 1948 (First Extra Session), as amended, and
Act 34, Public Acts of Michigan, 2001, as amended, and pursuant to a certain resolution duly adopted by the
Commission of the Issuer on July , 2015 for the purpose of refunding all or a portion of the Issuer's Building
Authority Refunding Bonds, Series 2005.
The Bonds are not subject to optional redemption prior to maturity.
[Reserved for mandatory redemption provisions,if applicable.]
This bond is transferable only upon the books of the Issuer kept for that purpose at the office of the
transfer agent by the registered owner hereof in person, or by the registered owner's attorney duly authorized in
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writing, upon the surrender of this bond together with a written instrument of transfer satisfactory to the transfer
agent duly executed by the registered owner or the registered owner's attorney duly authorized in writing, and
thereupon a new registered bond or bonds in the sante aggregate principal amount and of the same maturity shall
be issued to the transferee in exchange therefor as provided in the Resolution, and upon the payment of the
charges, if any, therein prescribed.
For a complete statement of the funds from which and the conditions under which this bond is payable
and the general covenants and provisions pursuant to which this bond is issued, reference is made to the
Resolution and the Contracts.
This bond is not valid or obligatory for any purpose until the transfer agent's Certificate of Authentication
on this bond has been executed by the transfer agent.
It is hereby certified and recited that all acts, conditions and things required by law to be done precedent
to and in the issuance of this bond and the series of bonds of which this is one have been done and performed in
regular and due time and form as required by law.
IN WITNESS WHEREOF, the Municipal Building Authority of Livonia, by its Commission, has caused
this bond to be signed in its name by the facsimile signature of the Chairman and by the facsimile signature of the
Secretary of the Commission and its corporate seal to be hereunto imprinted, all as of the Date of Original Issue.
MUNICIPAL BUILDING AUTHORITY OF LIVONIA
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By:
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Its: Secretary
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(SEAL)
FORM OF CERTIFICATE OF AUTHENTICATION
This bond is one of the bonds described herein.
Transfer Agent
By:
Authorized Signatory
Authentication Date:
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8. Negotiated Sale. The Authority has considered the option of selling the Bonds through a
competitive sale and a negotiated sale and, pursuant to the requirements of Act 34, and based on the
advice of the Authority's financial advisor, hereby determines that a negotiated sale of the Bonds
provides the Authority with greater flexibility in structuring bond maturities and the timing of the sale of
the Bonds and will result in the lowest interest cost to the Authority.
9. Bond Purchase Agreement; Award. The Chairman, Secretary and Treasurer are each
authorized to negotiate the sale of the Bonds with a bank or financial institution (the "Purchaser"),
negotiate and execute a bond purchase agreement with the Purchaser, if necessary, execute a Sale Order
specifying the final terms of the Bonds and take all other necessary actions required to effectuate the
sale, issuance and delivery of the Bonds within the parameters authorized in this resolution,provided
that the net present value savings to be realized by the Authority shall not be less than 3.00% of the
principal amount of the Prior Bonds to be refunded,provided further that the true interest cost of the
Bonds shall not exceed 3.00%.
10. Adjustment of Bond Terms. The Chairman, Secretary and Treasurer are each authorized
to execute and deliver a sale order approving the final terms of the Bonds, adjust the final bond details
set forth herein to the extent necessary or convenient to complete the transaction authorized herein, and
in pursuance of the foregoing is authorized to exercise the authority and make the determinations
authorized pursuant to Section 315(1)(d) of Act 34, including but not limited to determinations
\i regarding interest rates, prices, discounts, maturities, principal amounts, denominations, dates of
issuance, interest payment dates, redemption rights, the place of delivery and payment, designation of
series,the portion or portions of the Prior Bonds to be refunded,and other matters,within the parameters
established by this resolution.
LU 11. Tax Covenant; Qualified Tax Exempt Obligations. The Authority shall, to the extent
permitted by law, take all actions within its control necessary to maintain the exemption of the interest
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on the Bonds from general federal income taxation (as opposed to any alternative minimum or other
indirect taxation) under the Internal Revenue Code of 1986, as amended (the"Code"), including,but not
limited to, actions relating to any required rebate of arbitrage earnings and the expenditure and
investment of Bond proceeds and moneys deemed to be Bond proceeds. The Bonds are hereby
designated as "qualified tax-exempt obligations" for purposes of deduction of interest expense by
financial institutions.
12. Authorization of other Actions. The Chairman, Secretary and Treasurer are each hereby
authorized and directed to procure a policy of municipal bond insurance with respect to the Bonds or
cause the qualification of the Bonds therefor if, upon the advice of the financial advisor to the Authority,
the acquisition of such insurance would be of economic benefit to the Authority; to obtain ratings on the
Bonds; and to take all other actions necessary or advisable, and make such other filings with the
Michigan Department of Treasury or with other parties,to enable the issuance, sale and delivery of the
Bonds as contemplated herein.
13. Approval of Refunding Contract. The Refunding Contract attached hereto and made a
part hereof, which terms are consistent with the terms of this Resolution, is hereby approved, and the
Chairman and Secretary of the Authority are hereby authorized and directed to execute the Refunding
Contract.
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14. Bond Counsel. Miller, Canfield, Paddock and Stone, P.L.C. is hereby appointed to serve
as bond counsel for the Bonds.
15. Financial Advisor. Stauder, Barch & Associates, Inc., is retained as the registered
municipal financial advisor in connection with the issuance of the Bonds.
16. Placement Agent. The Authority hereby appoints Robert W. Baird & Co., Incorporated
as placement agent with respect to the Bonds.
17. Rescission. All resolutions and parts of resolutions insofar as they conflict with the
provisions of this resolution are hereby are rescinded.
AYES: Commissioners:
NAYS: Commissioners:
RESOLUTION DECLARED ADOPTED.
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I hereby certify that the foregoing constitutes a true and complete copy of a resolution adopted
by the Commission of the Municipal Building Authority of Livonia, at a special meeting held on July
, 2015, and that said meeting was conducted and public notice of said meeting was given pursuant to
and in full compliance with the Open Meetings Act, being Act 267, Public Acts of 1976, as amended,
and that the minutes of said meeting were kept and will be or have been made available as required by
said Act.
Secretary
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EXHIBIT A
[ATTACH REFUNDING CONTRACT HERE]
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City Of Livonia
Building Authroity Refunding Bonds,Series 2015
Dated-August 1, 2015
Table of Contents
Report
Sources &Uses
Debt Service Schedule............ 2
Debt Service Comparison........................................... 3
Pricing Summary........ 4
Debt Service To Maturity And To Call...................................... 5
Sensitivity Summary of Total Issue Savings...... 6
Current Refunding Escrow Summary Cost 7
Robert W. Baird &Co.Incorporated ("Baird")is not recommending any action to you. Baird is not acting as
an advisor to you and does not owe you a fiduciary duty pursuant to Section 15B of the Securities Exchange
Act of 1934. Baird is acting for its own interests. You should discuss the information contained herein with any
and all internal or external advisors and experts you deem appropriate before acting on the information. Baird
seeks to serve as an underwriter (or placement agent) on a future transaction and not as a financial advisor or
municipal advisor. The primary role of an underwriter (or placement agent) is to purchase, or arrange for the
placement of,securities in an ann's length commercial transaction with the issuer,and it has financial and other
interests that differ from those of the issuer. The information provided is for discussion purposes only, in
seeking to serve as underwriter(or placement agent). See"Important Disclosures" contained herein.
This illustration represents a mathematical calculation of potential interest cost savings (cost),assuming
hypothetical rates based on current rates for AA rated tax exempt municipal bonds as of June 2,2015. Actual
rates may vary. If actual rates are higher than those assumed, the interest cost savings would be lower. This
illustration provides information and is not intended to be a recommendation, proposal or suggestion for a
refinancing or otherwise considered as advice.
El, /S:IPnblz,Finana::.TPA VERS£ 06'WATER RJ PENUEJ/ONDJ.T f 06'02fr Rdmld 05 M Pr/ 61 512015 f 4:10 rM
Robert W. Baird & Co.
Public Finance
City of Livonia
Building AuthrOlfy Refunding Bonds, Series 2015
Dated-August 1, 2015
Sources &Uses
Dated 08/01/2015 1 Delivered 08/01/2015
Sources Of Funds
Par Amount of Bonds... $2,065,00000
Transfers from Prior Issue Debt Service Funds. 20,625.31
TotalSources............................................................................................................................................................................ $2,085,625.31
Uses Of Funds
Deposit to Current Refunding Fund............. 2,052,50042
Bond Counsel..........................................Placement 15,000.00
Agent...... .......................................Financial 7,500.00
Advisor. Rounding 7,50000
Amount......................... ...................... 1,174.89
Treasury,Cusip &P lisc---------------------------------------------- 800.00
Escrow Agent .................... ....................... 750.00
MAC Fee---------------------------------------------------- 400.00
TotalUses.................................................................................................................................................................................. $2,085,625.31
File l S:1l'llbficfYmmceITRAVEKS£Cll'YIMUlticiplit3lLiv ni CitylMunex106WA1Tl?li'EVENU£f/ONDS.SF/060215f1.efund05//AFF / 6-18/2015/ 4:101-M
Robert W. Baird & Co.
Public Finance Page 1
City of Livonia
BwldingAuthroityRefunding Bonds, Senes 2015
Dated-August 1, 2015
Debt Service Schedule
Date Principal Coupon Interest Total P+I Total
08/01/2015
11/01/2015 13,422.50 13,422.50
05/01/2016 295,000.00 2.600% 26,845.00 321,845.00
06/30/2016 335,267.50
11/01/2016 23,010.00 23,010.00
05/01/2017 300,000.00 2.600% 23,010.00 323,010.00
06/30/2017 346,020.00
11/01/2017 19,110.00 19,110.00
05/01/2018 295,000.00 2.600% 19,110.00 314,110.00
06/30/2018 333,220.00
11/01/2018 15,275.00 15,275.00
05/01/2019 170,000.00 2.600% 15,275.00 185,275.00
06/30/2019 200,550.00
11/01/2019 13,065.00 13,065.00
05/01/2020 160,000.00 2.600% 13,065.00 173,065.00
06/30/2020 186,130.00
11/01/2020 10,985.00 10,985.00
05/01/2021 160,000.00 2.600% 10,985.00 170,985.00
06/3012021 181,970.00
11/01/2021 8,905.00 8,905.00
05/01/2022 180,000.00 2.600% 8,905.00 188,905.00
06/30/2022 197,810.00
11/0112022 6,565.00 6,565.00
05/01/2023 175,000.00 2.600% 6,565.00 181,565.00
06/30/2023 188,I 30.00
11/01/2023 4,290.00 4,290.00
05/01/2024 170,000.00 2.600% 4,290.00 I74,290.00
06/30/2024 178,5 80.00
11/01/2024 2,080.00 2,080.00
05/01/2025 160,000.00 2.600% 2,080.00 162,080.00
06/30/2025 164,160.00
Total $2,065,000.00 $246,837.50 $2,311,837.50
Yield Statistics
Bond Year Dollars ..................... $9,493.75
Average life......... ..................... 4.597 Years
Average Coupon............. 2.6000000%
Net Interest Cost(NIC) 2.6000000%
True Interest Cost (TIC)....... 2.6004956%
Bond Yield for Arbitrage Purposes 2.6004956%
All Inclusive Cost(AIC)............ 2.9727119%
IRS Form 8038
Net Interest Cost......................... 2.6000000%
Weighted Average Maturity.....__ 4.597 Years
FT, f S;IPnblic Jlmmce TKA VERSE C,fI"PMunicip,1zOy Lz—zzl CilylM--W6WATTR REPENUEBOND.:.1'T f 060215Ref—d 0.'IJI.J PI'l 6/3/201[,f 4:10 FM
Robert W. Baird & Co.
Public Finance Page2
City of Livonia
BwldingAuthroityRefunding Bonds, Series 2015
Dated- August I,2015
Debt Service Comparison
Date Total PA Net New DIS Old Net DIS Savings Total
08/01/2015 (1,174.89) (20,62531) (19,450.42)
11/01/2015 13,422.50 13,422.50 41,250.63 27,828.13
05/01/2016 321,345.00 321,845.00 326,250.63 4,405.63
06/30/2016 12,783.34
11/01/2016 23,010.00 23,010.00 35,550.63 12,540.63
05/01/2017 323,010.00 323,010.00 320,550.63 (2,459.37)
06/30/2017 10,081.26
11/01/2017 19,110.00 19,110.00 29,993.13 10,883.13
05/01/2018 314,110.00 314,110.00 314,993.13 883.13
06/30/2018 11,766.26
11/01/2018 15,275.00 15,275.00 24,293.13 9,018.13
05/01/2019 185,275.00 185,275.00 184,293.13 (981.87)
06/30/2019 8,036.26
11/0I/2019 13,065.00 13,065.00 21,093.13 8,028.13
05/0112020 173,065.00 173,065.00 I76,093.13 3,028.I3
06/30/2020 11,056.26
11/01/2020 10,985.00 10,985.00 17,915.63 6,930.63
05/01/2021 170,985.00 170,985.00 172,915.63 I,930.63
06/30/2021 8,861.26
11/01/2021 8,905.00 8,905.00 I4,718.75 5,813.75
05/01/2022 188,905.00 188,905.00 194,718.75 5,813.75
06/30/2022 11,627.50
11/01/2022 6,565.00 6,565.00 I1,006.25 4,441.25
05/01/2023 181,565.00 181,565.00 186,006.25 4,441.25
06/30/2023 8,882.50
11/01/2023 4,290.00 4,290.00 7,331.25 3,041.25
05/01/2024 174,290.00 174,290.00 182,331.25 8,041.25
06/30/2024 11,082.50
11/01/2024 2,080.00 2,080.00 3,612.50 1,532.50
05/01/2025 162,080.00 162,080.00 173,612.50 11,532.50
06/30/2025 13,065.00
Total $2,311,837.50 $2,310,662.61 $2,417,904.75 $107,242.14
PV Analysis Summary (Net to Net)
Net FV Cashflow Savings....................... 107,242.14
Gross PV Debt Service Savings.............. 112,404.46
Net PV Cashflow Savings@ 2.973%WC).......... 112,404.46
Transfers from Prior Issue Debt Service Fund. (20,625.31)
Contingency or Rounding Amount..... 1,174.89
Net Present Value Benefit................................ $92,954.04
NetPVBenefit / $2,025,000 Refunded Principal 4.590%
Average Annual Cash Flow Savings.... 10,724.21
Refund.i:rtg Bond Information
Refunding Dated Date...... 8/01/2015
Refunding Delivery Date................ 8/01/2015
Fif(S IFublicFivauclTRA VER.YE CJTYWunicip.dilylLi—in C"f,ylMungr106 WitTER REVENUEBONDS SF 06'0215Refund 05 BA FF 6/3/2015 4 10J
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Public Finance Page 3
City of Livonia
Building Authroity Refunding Bonds,Series 20 15
Dated-August 1,2015
Pricing Summary
Maturity Type of Bond Coupon Yield Maturity Value Price Dollar Price
05/01/2016 Serial Coupon 2.600% 2.600% 295,000.00 100.000% 295,000.00
05/01/2017 Serial Coupon 2.600% 2.600% 300,000.00 100.000% 300,000.00
05/01/2018 Serial Coupon 2.600% 2.600% 295,000.00 100.000% 295,000.00
05/01/2019 Serial Coupon 2.600% 2.600% 170,000.00 100.000% 170,000.00
05/01/2020 Serial Coupon 2.600% 2.600% 160,000.00 100.000% 160,000.00
05/01/2021 Serial Coupon 2.600% 2.600% 160,000.00 100.000% 160,000.00
05/01/2022 Serial Coupon 2.600% 2.600% 180,000.00 100.000% 180,000.00
05/01/2023 Serial Coupon 2.600% 2.600% 175,000.00 100.000% 175,000.00
05/01/2024 Serial Coupon 2.600% 2.600% 170,000.00 100.000% 170,000.00
05/01/2025 Serial Coupon 2.600% 2.600% 160,000.00 100.000% 160,000.00
Total $2,065,000.00 $2,065,000.00
Bid Information
FarAmount of Bonds...... ....................................................... .................. ............................... $2,065,000.00
Gross Production............ $2,065,000.00
Bid(100.000%) ............................................ ..................... ...................... 2,065,000.00
Total Purchase Price...................... $2,065,000.00
BondYear Dollars.......................................................................................... $9,493.75
AverageLife..................................................................................................... 4.597 Years
Average Coupon..................................................................................... 2.6000000%
Net Interest Cost(NIC)........ ............................................................................. 2.6000000%
True Interest Cost(TIC)......................................................... 2.6004956%
File f:iFubh"cF.iimnce.TRAPEKS£CTY2,1-"cipulity1z-za Cifyi11-e.r-00 WATER REPENUEf/ONDS.SF/ 0602!5Rd-d05BAFP 613/20/5 4:TOPM
Robert W. Baird & Co.
Public Finance Page4
Cit f , ni
Building Authroity Rendang onds,Series 2005
Dated-612212005
Callable:5/1/2015 @par
Debt Service To Maturity And To Call
7 �u xucu
Date Refunded Bonds Interest DIS To Call Principal Coupon Interest Refunded D/S
OS/01/2015
09/01/2015 2,025,000.00 27,500.42 2,052,500.42
11/01/2015 41,250.63 41,250.63
05/01/2016 285,000.00 4-000% 41,250.63 326,250.63
11/01/2016 35,550.63 35,550.63
05/0I/2017 285,000.00 3-900% 35,550.63 320,550.63
11/01/2017 29,993.13 29,993.13
05/0112013 285,000.00 4.000% 29,993.13 314,993.13
11/0112018 24,293.13 24,293.13
05/01/2019 160,000.00 4-000% 24,293.13 184,293.13
11/0112019 21,093.13 21,093.13
05/0112020 155,000.00 4-100% 21,093.13 176,093.13
11/01/2020 17,915.63 17,915.63
05/01/2021 155,000.00 4-125% 17,915.63 172,915-63
11/01/2021 14,718.75 14,718.75
05/01/2022 180,000.00 4-125% 14,718.75 194,718.75
11/01/2022 11,006.25 11,006.25
05/01/2023 175,000.00 4200% 11,006.25 186,006.25
11/01/2023 7,331.25 7,33125
05/01/2024 175,000.00 4250% 7,33125 182,331.25
11/01/2024 3,612.50 3,612-50
05/01/2025 170,000.00 4250% 3,612.50 173,612.50
Total $2,025,000.00 $27,500.42 $2,052,50042 $2,025,00000 $413,53006 $2,438,53006
Yield Statistics
Base date for Avg. Life&Avg.Coupon Calculation--- 8/01/2015
Average life............... 4.G83 Years
Average Coupon............ 4.14292GO%
Weighted Average Maturity(Par Basis) 4.G83 Years
Refunding Bond Information
Refunding Dated Date----- 8/0112015
Refunding Delivery Date......................... 8/01/2015
File / I J',,bH,Fz--el TRA VERSE CJTY Mum",ipuh"ty lLn—n0"fylM-,—06"WAl"£RREVENVE BOND..SF 0/JB4 I-TCO 6/S/.:2015 4:10 PM
Robert W. Baird & Co.
Public Finance PageS
City of Livonia
Bwlding Authroity Refunding Bonds,Series 2005
Dated-612212005
Callable:5/1/2015 @par
Sensitivity Summary of Total Issue Savings
un;o
Interval Total$Savings Savings
0500% 138,250.04 6.827%
-0400% 129,070.49 6374%
-0300% 119,951.64 5924%
-0200% 110,892.98 5476%
-0100% 101,894.04 5.032/a
92,97132 4591%
0100% 84,263.63 4.161%
0200% 75,614.12 3.734%
0300% 67,022_.30 3310%
0400% 58,487.73 2.888%
0500% 50,009.93 2.470%
$1,028,428.22
FVo j S:IPublicFi—c7RAVERSE CJ'1PMmlicip111zOylLh—d O'tytWun x106'WA TER REVENUE fiONDS.SF/ 05BA ITGO j (i/:'1/2015 f 4:10 FM
Robert W. Baird & Co.
Public Finance Page 6
City of Livonia
BwfdjngAuthroHy RefundjngBonds, Sedes 2015
Dated-August 1, 2015
Current Refundinz Escrow Sunnnary Cost
<M TLL'<;ucu
Maturity Type Coupon Yield S Price Amount Principal Cost Interest ::::Total Cost
Unrestricted Money Account
09/011ZOIS SLGSCI 100.0000000% 20,626 20,625.00 20,625.00
Subtotal $20,625 $20,625.00 $20,625.00
Total $20 625 $20 625.00 20 625.00
Unrestricted Money Account
Cash Deposit.................................... 0.31
Cost oflnvestments.................. 20,625.00
Total Cost of Inveshnents_ $20,62531
Delivery Date... 8/07/2015
File s'Fabh",Fm,,,rc<',TRA PERSe CTPMunicip;dzt,Tz—,n4CityiM<—01;WATBR REVENUEFONDS.SF/Ob'0215 Refund OVFA IT/ (VS/2015/4:1017H
Robert W. Baird & Co.
Public Finance Page 7
City of Livonia
Building Authroity Refunding Bonds,Series 2015
Dated-August 1,2015
Current Refunding Escrow
Date Principal Rate +Transfers Receipts Disbursements Cash Balance
OS/01/2015 0.31 0_.31 0.31
09/01/2015 2,031,875.11 20,625.00 2,052,500.11 2,052,500.42
Total $2,031,875.11 $20,62531 $2,052,500.42 $2,052,500.42
Investment Parameters
Inveshnent Model[PV,GIC,or Securities]......................................,................................................................ GIC
Default invesbnent yield target ................__ Unrestricted
Cost of Investments Purchased with Fund Transfers 20,625.31
Cost of Investments Purchased with Bond Proceeds................... 2,031,875.11
Total Cost of Investments............................................................... $2,052,500.42
Target Cost of Investments at bond yield. $2,027,504.96
Yield to Receipt........................... -3.60E-12
Yield for Arbitrage Purposes___ 2.6004956
Fii / &IPublic Fiwmce ITRAVHRSE Cf'Y1mu.nicipllh ylLivonia Ci{vlMunexl0(' WATER REVENUE BONDS.SF/ 06'0215 RefUnd OSHA PP 1 (i/5/20151 4:1OPM
Robert W. Baird & Co.
Public Finance Page 8
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