File #: 25-146    Version: 1
Type: Public Hearing & Introductory Ordinance Status: First Reading
File created: 1/6/2025 In control: City Council
On agenda: 1/28/2025 Final action:
Title: Public Hearing and Introductory Ordinance of the City of Laredo, Texas, amending the City of Laredo's FY 2025 annual budget by appropriating revenues and expenditures in the estimated amount of $909,000.00 in the 2019 Certificate of Obligation (CO) Bond, affecting various funds-2019 CO, 2019 CO Environmental, and 2019 CO Transit funds. The interest earnings being appropriated are for the arbitrage liability payment due to the US Treasury. Funding is available in the 2019 Certificate of Obligation Bond-various funds.
Attachments: 1. Public Hearing and Introductory Ordinance-Appropriate Interest Earnings

SUBJECT

title

Public Hearing and Introductory Ordinance of the City of Laredo, Texas, amending the City of Laredo’s FY 2025 annual budget by appropriating revenues and expenditures in the estimated amount of $909,000.00 in the 2019 Certificate of Obligation (CO) Bond, affecting various funds-2019 CO, 2019 CO Environmental, and 2019 CO Transit funds.  The interest earnings being appropriated are for the arbitrage liability payment due to the US Treasury.  Funding is available in the 2019 Certificate of Obligation Bond-various funds.

 

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PREVIOUS COUNCIL ACTION

N/A

 

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 FYE 9/30/2024 computation date. After 5-year installment rebate calculations were done this bond had a positive liability as of FYE 9/30/2024.  Therefore, since the liability is positive at their 5-year report it must be paid to the US Treasury no later than Monday February 17, 2025. 

 

COMMITTEE RECOMMENDATION

N/A

 

STAFF RECOMMENDATION

recommendation

Conduct public hearing and introduce this ordinance.

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Fiscal Impact

 

Fiscal Year:                                                                                                          2025

Budgeted Y/N?:                                                                                    N

Source of Funds:                                                                                     2019 Certificate of Obligation (Various Funds)

Account #:                                                                                                          Various

Change Order: Exceeds 25% Y/N:                      N/A

 

FINANCIAL IMPACT: