Dublin Villager

City is planning to sell and refinance bonds

By ThisWeek Community News  • 

Dublin will sell $39.2 million in bonds next month.

Dublin City Council members last week approved the sale of bonds for three projects and the sale of $12.5 million in bonds for refinancing purposes.

For the bond sale, $12 million will be for the construction of Emerald Parkway between Riverside Drive and Sawmill Road.

The extension will be the final phase of Emerald Parkway and construction is expected to begin soon.

About $9 million in bonds will go to the design and right-of-way acquisition for Interstate 270/U.S. Route 33 improvements.

Plans include replacing much of the current cloverleaf configuration and widening U.S. Route 33 from I-270 to Avery-Muirfield Drive.

Dublin has committed $17.25 million toward the interchange improvements, including $5.75 million for preliminary engineering and detailed design, $3.5 million for right-of-way acquisition and $8 million for construction the staff report to council stated.

Another portion of the bond sale, $5.7 million, will reimburse the city for land acquisition made for the Riverside Drive/state Route 161 roundabout.

Dublin purchased 5.1 acres at Bridge Point Center and 2.37 acres from Wendy's on the southeast corner of Riverside Drive and state Route 161 for the roundabout.

The city will also refinance $12.5 million in existing bonds taken out for the construction of the Darree Fields water tank, relocation of Industrial Parkway and improvements to state Route 161.

The bonds were part of the American Recovery and Reinvestment Act and have been impacted by sequestration and the government shutdown.

In a memo to council, Finance Director Angel Mumma said refinancing the bonds will "result in a reduction of interest costs" and allow the city to "divest itself from this type of bond that is continually subject to Federal government discretion."

Bonds will be available for purchase by Dublin residents and businesses in increments of $5,000 starting Dec. 5.

The bonds will be offered by Stifel, Nicolaus & Co.

"We're holding an investor meeting for Dublin residents and businesses that want to buy bonds," Mumma said.

 

Other matters

In other city news, council members last week also approved a new three-year contract after negotiations with the United Steelworkers of America that represent city maintenance workers, custodial workers and auto mechanics.

The new three-year contract that runs through 2016 includes 2-percent wage increases for mechanics and maintenance workers in the first year and 1-percent increases the last two years.

Custodial staff can expect a 1-percent wage increase in the first year, a half percent increase the second year and no wage increase the third year.

"The fiscal impact of the wage package in this agreement is projected to be approximately $450,000 over the term of the three-year agreement," the staff report to council said.

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