Legislation Details

File #: 2026-O-116    Version: 1
Type: Third and final reading Status: Passed
File created: 4/27/2026 In control: City Council
On agenda: 6/1/2026 Final action: 6/1/2026
Title: An Ordinance of the City of Laredo, Texas, amending the City of Laredo's FY 2026 annual budget by appropriating revenues and expenses in the amount of $2,024,582.00 in the Sewer System Fund - 2015B and 2020A Revenue Bond and Waterworks Fund - 2020A Revenue Bond. The interest earnings being appropriated are for the arbitrage liability payment due to the US Treasury. PREVIOUS COUNCIL ACTION Public Hearing 2/17/2026 BACKGROUND Interest earnings are being appropriated in order to refund the US Treasury for the arbitrage rebate liability on bonds that earned more than what the fixed rate arbitrage bond yield is through the 11/30/2025 computation date. After 5-year installment rebate calculations were done this bond had a positive liability. Therefore, since the liability is positive at their 5-year report it must be paid to the US Treasury no later than Thursday, January 29, 2026. COMMITTEE RECOMMENDATION None. STAFF RECOMMENDATION
Attachments: 1. Yield Reduction Payment for Water Sewer Series 2015B, 2. Yield Reduction Payment 2020A Water Sewer New Series, 3. 2015 and 2020 Bonds
City of Laredo
Legislation Details


Meeting Date: Final Readings
SUBJECT
title
An Ordinance of the City of Laredo, Texas, amending the City of Laredo's FY 2026 annual budget by
appropriating revenues and expenses in the amount of $2,024,582.00 in the Sewer System Fund - 2015B and 2020A Revenue Bond and Waterworks Fund - 2020A Revenue Bond. The interest earnings being appropriated are for the arbitrage liability payment due to the US Treasury.

PREVIOUS COUNCIL ACTION
Public Hearing 2/17/2026

BACKGROUND
Interest earnings are being appropriated in order to refund the US Treasury for the arbitrage rebate
liability on bonds that earned more than what the fixed rate arbitrage bond yield is through the 11/30/2025 computation date. After 5-year installment rebate calculations were done this bond had a positive liability. Therefore, since the liability is positive at their 5-year report it must be paid to the US Treasury no later than Thursday, January 29, 2026.

COMMITTEE RECOMMENDATION
None.

STAFF RECOMMENDATION
recommendation
Introduce this ordinance.
end

FISCAL IMPACT
Fiscal Year: 2026
Budgeted (Y/N): Y
Source of Funds: 2015B Sewer Revenue Bond &
2020A Water and Sewer Revenue Bond
Account #: 557 & 559
Change Order (Exceeds 25% Y/N): N/A

FINANCIAL IMPACT:


Budget
Proposed Amendment
Amended Budget
Revenues:



Interest Earnings



559-4292-363-2001 S15BIN
162,403
18,565
180,968
559-9877-363-2001 S20RAI
373,150
1,019,643
1,392,793
557-9877-363-2001 W20RIN
322,700
986,374
1,309,074




Expenditures



Arbitrage Rebate



559-4292-534-9818 SW18CS
-
18,565
18,565
559-9877-534-9818 SW18CS
-
1,019,643
1,019,643
557-9877-534-9818...

Click here for full text