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TO: |
Board of Trustees |
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THROUGH: |
Jay Fox, Executive Director |
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FROM: |
Viola Miller, Chief Financial Officer |
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PRESENTER(S): |
Viola Miller, Chief Financial Officer |
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Randall Larsen, Gillmore Bell |
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Brian Baker, Municipal Advisor, Zions Public Finance |
TITLE:
title
Public Hearing - Bond Issuance
end
AGENDA ITEM TYPE:
Public Comment
RECOMMENDATION:
Informational summary followed by public comment related to bond issuance.
BACKGROUND:
The Utah Transit Authority (“UTA”) intends to issue bonds for the purpose of (i) financing additions and improvements to the Authority’s transit system and all related improvements, (ii) funding a debt service reserve fund, if needed, and (iii) paying costs of issuing the bonds.
On May 28, 2025, the Board of Trustees adopted resolution R2025-05-02 authorizing the issuance and sale by the Authority of its Sales Tax Revenue and Refunding Bonds in the aggregate principal amount of not to exceed $973,000,000.
In addition, the resolution authorized UTA to provide notice for a public hearing to be held on June 25, 2025.
DISCUSSION:
The purpose of the hearing is to receive input from the public with respect to (a) the issuance of the bonds and (b) any potential economic impact that all related improvements to be financed with the proceeds of the Bonds may have on the private sector. All members of the public are invited to attend and participate.
ALTERNATIVES:
Without public hearing, bonds cannot be approved. UTA would have to delay related projects (LRV replacement and Mt. Ogden administration building.
FISCAL IMPACT:
UTA intends to issue the bonds in the aggregate principal amount of not to exceed one hundred twenty-eight million dollars ($128,000,000) to bear interest at a rate or rates of not to exceed five and a half percent (5.5%) per annum, to mature in not more than twenty (20) years from their date or dates, and to be sold at a price of not less than ninety-eight (98%) of the total principal amount thereof.
ATTACHMENTS:
None