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Debt Issuance Services <br /> Details of Proposed Debt <br /> Proposed Issues: $2,705,000 G.O. Bonds, Series 2012A <br /> The bonds are general obligations bonds to be secured by the full faith and <br /> credit of the taxpayers of the City of New Brighton. <br /> Purpose: For three purposes including two current refundings for interest savings <br /> and new money for 2011 street reconstruction projects as follows: <br /> 1. To provide funds sufficient for a current refunding/refinancing of <br /> the 2013 to 2017 maturities of the City's G.O. Tax Increment <br /> Bonds, Series 2004A, (the "2004A Prior Bonds"). The 2004A <br /> Prior Bonds were issued in the amount of$6,935,000 and are being <br /> paid from tax increments generated in TIF Districts 7, 8, 10, 11, 12, <br /> 14, 16, 17 & 18. There is $1,710,000 in outstanding principal. The <br /> 2004A Prior Bonds are callable on February 1, 2012 or any day <br /> thereafter. Current interest rates average 3.5%. With current <br /> market interest rates averaging .75%, total savings is estimated to <br /> be $60,400 (annual savings of$12,000). <br /> 2. To provide funds sufficient for a current refunding/refinancing of <br /> the 2013 to 2015 maturities of the City's G.O. Improvement, Series <br /> 2004C, (the "2004C Prior Bonds"). The 2004C Prior Bonds were <br /> issued in the amount of $1,265,000 payable from tax levy and <br /> special assessments. There is $465,000 in outstanding principal. <br /> The 2004C Prior Bonds are callable on February 1, 2012 and any <br /> day thereafter. Current interest rates average 3.55%. With current <br /> market interest rates averaging .6%, total savings is estimated to be <br /> $13,100 (annual savings of$4,300). <br /> 3. To provide funds for the Street Reconstruction Project 11-01 in the <br /> par amount of $455,000. Principal payments for the Bonds are <br /> scheduled for taxes payable 2014 through 2023 from special <br /> assessments and a tax levy. <br /> Authority: The Bonds are being issued pursuant to Minnesota Statues, Chapter 475, <br /> Chapter 429 and Chapter 469. <br /> Funding Source: The City will use the funding sources for each portion of the debt outlined <br /> above, including tax increments, special assessments, and tax levy. <br /> Arbitrage Monitoring: The City will need to monitor its debt service funds to insure compliance <br /> Presale Report <br /> February 28, 2012 Page 2 <br />