07.08.2003 Town Council Minutes Work Session 1Minutes (approved 8112103)
Work Session of the Prosper Town Council
601 South Church Street
Prosper First Baptist Church Children's Building (South Wing)
Tuesday, July 8, 5:30pm
1. Call to Order/ Roll Call.
Mayor Niswanger called the meeting to order at 5:46pm.
Council Members present: Mayor Charles Niswanger, Mayor Pro -Tem Michael Perry, Ane Casady, Lisa Dritschler and
Karie Dalton. Russell Kaker arrived at 5:57pm.
Also present: Town Administrator .;ennifer Finley and Town Secretary Amber Phillips.
2. Discussion with Doug Hartman and Dan Culver, Bond Counsel, regardingpotential bond for the funding of
various future projects.
Doug Hartman, First Southwest Company, presented Council with "Town of Prosper -Overview of the Debt Issuance
Process and Financing Scenarios" which included:
Tab 1- Authorized City Debt Instruments (various options available for debt services)
Tab 2 - Financing Public Improvements (a narrative summary of Tab 1)
Tab 3 - Town's Summary of Outstanding Debt
Town's Existing Debt Service Analysis
Town's Future Debt Service Analysis
Town's Debt Service Projections —Scenario 1A, $1,280,000 Issued September 30, 2003, 2/3
Supported by Taxes & 113 Supported by Utility System
Town's Debt Service Projections —Scenario 1 B, $1,280,000 Issued September 30, 2003,100%
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Town's Debt Service Projections —Scenario 2, $3,000,000 Issued September 30, 2003, 213 Supported
by Taxes & 113 Supported by Utility System
Town's Debt Service Projections —Scenario 3, $5,000,000 Issued September 30, 2003, 213 Supported
by Taxes & 113 Supported by Utility System
Town's Combination Tax and Revenue Certificates of Obligation, Series 2003 Preliminary Schedule of
Events
Mr. Hartman advised that he would most likely recommend the competitive sale of Certificates of Obligation ("CO's").
He explained that Prosper was viewed favorably in the financial market. The Town's debt ratio is extremely low for a
growing city, Michael Perry questioned whether anything could be done from a fiscal standpoint to make the Town
even more attractive in the market place. Mr. Hartman recommended maintaining a fund balance of 60 to 90 operating
days and being proactive with infrastructure,
Council and Mr. Hartman discussed the possibly of deferring principle in order to spread the costs over a period of
time, Mr. Hartman recommended deferring a portion of the principle so that today's residents are not punished in
paying the bulk of costs associated with the infrastructure needed to prepare for future growth. Council agreed, as
they did not wish to see today's residents pay for the infrastructure that will benefit tomorrow's residents.
Jennifer Finley reminded Council that bids could not be awarded for projects un'il funding had been secured. She
recommended Council direct Staff to compile a list of future projects for the nex: 3 -years and associated costs. The list
would include water, sewer and Town Hall facility projects. Council agreed and requested Staff prepare such list.
No formal action taken.
33. Adjourn.
Mayor Niswanger adjourned the meeting at 6:37pm.
Douglas Mousel, Interim Town Secretary his. es wain r, or
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