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Home My WebLink About2023-017 Debt Summary ReportFebruary 24, 2023 Report No. 2023-017 INFORMAL STAFF REPORT TO MAYOR AND CITY COUNCIL SUBJECT: Debt Summary Report of City’s Outstanding Debt BACKGROUND: Attached is the Debt Summary Report with principal and interest outstanding as of September 30, 2022. This report is prepared on an annual basis to provide residents and the public with a comprehensive and easy to understand summary of the City’s debt profile. Additionally, this report includes required information in accordance with Texas Local Government Code 140.008 (House Bill 1378). The report provides a high-level introduction to the types and uses of debt issued by the City as well as the most recent bond ratings. Staff has differentiated between tax-supported and revenue- supported debt to give the public a better understanding of which debt is paid for by property taxes versus rate revenues. Furthermore, the report details the principal and interest for each major service area of the City and provides two visual representations by dollar amount and percentages. This Debt Summary Report is provided annually to City Council for feedback. CONCLUSION: If no feedback is received within a week, staff will post the report on the City’s website for the public on Tuesday, March 7, 2023. The report is intended to be updated annually in conjunction with the City’s fiscal year end. ATTACHMENT(S): Debt Summary Report as of September 30, 2022 STAFF CONTACT: Randee Klingele, Treasury Manager (940) 349-8206 Randee.klingele@cityofdenton.com 1 City of Denton Debt Summary Report Fiscal Year Ending September 30, 2022 Contact: City of Denton Finance Department Attn: Nicholas Vincent – Interim Director of Finance 215 E. McKinney St. Denton, Texas 76201 Email: Nick.Vincent@cityofdenton.com Phone: 940-349-8063 Fax: 940-349-7206 Website: www.cityofdenton.com Published: February 24, 2023 Disclaimer: Data provided in this report is as of the date of publication, constitutes existing long- term debt obligations only, and has been prepared pursuant to Texas Local Government Code 140.008 (House Bill 1378). This report does not include forward looking statements nor does it include debt that may be incurred in the future. Interested parties should refer to the City’s audited financial statements and other disclosure documents when investing. 2 TABLE OF CONTENTS Introduction…………………………………………………………………………………………. 3 CITY DEBT SECTION Schedule – Total Annual Debt Service by Type of Debt…………………………………………....6 Bar & Pie Charts – Total Annual Debt Service by Type of Debt………………………………....... 7 Schedule – Tax Supported Debt Service…………………………………………………………… 8 Bar & Pie Charts – Tax Supported Debt Service…………………………………………………… 9 Schedule – Revenue Supported Debt Service………………………………………………………. 1 0 Bar & Pie Charts – Revenue Supported Debt Service……………………………………………… 11 Schedule – General Government Debt Service……………………………………………………...12 Bar & Pie Charts – General Government Debt Service………………………………………….…. 13 Schedule – Electric Debt Service…………………………………………………………………… 14 Bar & Pie Charts – Electric Debt Service…………………………………………………………... 15 Schedule – Water Debt Service…………………………………………………………………….. 16 Bar & Pie Charts – Water Debt Service…………………………………………………………….. 17 Schedule – Wastewater Debt Service………………………………………………………………. 18 Bar & Pie Charts – Wastewater Debt Service……………………………………………………….19 Schedule – Solid Waste Debt Service………………………………………………………………. 20 Bar & Pie Charts – Solid Waste Debt Service………………………………………………….…... 21 HOUSE BILL 1378 SECTION Summary of Debt Obligations……………………………………………………………..……..….23 Individual Debt Obligations………………………………………………………………….…..….24 Glossary of Terms………………………………………………………………………….……..…34 3 INTRODUCTION This report is divided into two sections. The first section (City Debt) presents the City’s outstanding debt by the manner in which the City intends to pay for such debt (tax-supported versus revenue- supported). Additionally, this section provides a breakdown of the City’s outstanding debt by purpose (General Government, Electric, Water, Wastewater, Solid Waste and Airport). The second section (House Bill 1378) is intended to comply with reporting requirements pursuant to Texas Local Government Code 140.008. The City of Denton utilizes long-term debt to finance non-operating expenses, which may include equipment, facilities, and the acquisition of land. Unlike the Federal Government, the City generally issues debt for the purchase or construction of capital assets and infrastructure improvements and cannot issue debt to fund operating expenses or deficit spending. All debt issued by the City must be approved by the Texas Attorney General’s Office prior to the final sale of the debt. Additional information on the City’s outstanding debt including statistical comparisons and ratios can be found in the City’s Annual Financial Report, which is located on the City’s website under the Finance Department. (www.cityofdenton.com) The City issues two types of long-term debt: General Obligation Debt and Revenue Bond Debt. The City also differentiates between tax-supported and revenue-supported debt to provide the public with a clear understanding of which debt will be paid by property taxes versus rate revenues. The following table shows the latest bond ratings for each type of debt for which ratings are given: Moody’s1 Standard & Poor’s Fitch General Obligation Debt Not Rated AA+ 2 AA+4 Revenue Bond Debt Not Rated A+ 3 A5 1Moody’s does not currently rate any of the City’s outstanding debt. 2S&P GO/CO, May 2022 3S&P Utility System Revenue Bonds. October 2022. 4Fitch GO/CO, May 2022. 5Fitch Utility System Revenue Bonds, Series 2017 & 2021. August 2022. . GENERAL OBLIGATION DEBT: The largest category of debt is General Obligation Debt. It consists of two categories of bonds: General Obligation Bonds (GOs) and Certificates of Obligation (COs). GOs are generally voter approved and backed by the full faith and credit of the City (property tax pledge) and must be approved at an election. Voter approval may be granted during one of two general election dates each year. GOs which are issued to refund outstanding debt do not require voter approval. Under the City’s debt policy, GOs strive to have a final maturity of twenty (20) years or less. COs do not require voter approval and generally have a dual pledge of a specific City revenue source as well and the full faith and credit of the City. Some examples of pledged City revenues are electric, water, wastewater, and drainage revenues. Under the City’s debt policy, COs will strive to have a final maturity of thirty (30) years or less. Historically, COs have mostly been issued with twenty (20) year final maturities for general government purposes. In 2010, the City began issuing COs not only for general government purposes which are repaid by property taxes, but also for utility related projects of the City. The COs issued for utility purposes are repaid from the specific utility fund for which the debt was issued. COs have a lower interest rate than revenue bonds, due to the pledge of full faith and credit of the City. A portion of the interest savings to the City’s utilities 4 through issuing COs (instead of revenue bonds) is being paid to the general government and placed in the Street Improvement Fund. REVENUE BOND DEBT: The second category of debt is Revenue Bond Debt. This debt is secured by only a pledge of the operating revenues of the City’s Electric, Water and Wastewater Funds (collectively known as the “Utility System”) and not the full faith and credit of the City. Under the City’s debt policy, revenue bonds will strive to have a final maturity of thirty (30) years or less. Historically, most revenue bonds have been issued with a twenty (20) year final maturity. As of September 30, 2022, the City has the Utility System Revenue Bonds, Series 2017 and 2021’s outstanding. OUTSTANDING DEBT: The City’s total outstanding principal and interest as of September 30, 2022, is shown in Table 1 on page 6 of this report. 5 CITY DEBT SECTION 6 Table 1 – Total Outstanding Debt (in millions) as of September 30, 2022 Principal Interest Total GOs 336$ 91$ 427$ COs 625$ 270$ 895$ Revenue Bonds 333$ 148$ 481$ Total 1,294$ 508$ 1,802$ FY End Revenue 9-30 Tax Supported Revenue Supported Tax Supported Revenue Supporte d Bonds Total 2023 22,426,455$ 23,898,764$ 14,010,690$ 36,234,346$ 25,295,259$ 121,865,514$ 2024 21,883,462 21,566,619 13,178,750 35,820,875 25,300,313 117,750,019 2025 20,992,455 17,151,254 12,056,075 37,572,700 25,298,018 113,070,502 2026 20,354,450 10,165,850 11,265,875 37,396,375 25,295,282 104,477,833 2027 19,770,472 9,753,125 10,346,188 37,153,603 25,298,300 102,321,688 2028 18,306,025 10,398,850 8,969,519 34,674,206 25,300,530 97,649,130 2029 17,137,353 9,244,325 8,333,575 34,556,353 25,300,299 94,571,906 2030 17,139,625 9,286,575 8,185,362 34,615,963 25,298,164 94,525,689 2031 16,815,872 3,838,750 8,182,881 34,653,388 25,298,194 88,789,084 2032 16,615,956 - 8,064,225 37,215,400 25,299,853 87,195,434 2033 16,416,584 - 7,733,803 34,650,406 25,295,276 84,096,069 2034 16,127,197 - 7,138,850 31,434,975 25,301,145 80,002,167 2035 15,860,131 - 6,635,122 30,022,138 25,296,215 77,813,606 2036 14,282,209 - 6,405,737 29,123,713 25,299,258 75,110,918 2037 13,201,453 - 6,164,637 27,962,550 25,297,732 72,626,373 2038 12,066,116 - 5,583,175 27,933,650 7,223,309 52,806,250 2039 10,689,663 - 3,443,541 27,945,144 7,224,204 49,302,551 2040 9,447,744 - 3,181,778 27,132,681 7,225,700 46,987,903 2041 7,839,913 - 1,797,238 26,553,813 7,222,724 43,413,686 2042 4,258,500 - 474,300 24,303,622 7,225,125 36,261,547 2043 - - - 19,150,300 7,223,201 26,373,501 2044 - - - 19,144,316 7,221,587 26,365,903 2045 - - - 15,780,903 7,224,314 23,005,217 2046 - - - 11,908,497 7,221,224 19,129,721 2047 - - - 8,911,097 7,222,160 16,133,257 2048 - - - 5,371,084 7,221,888 12,592,972 2049 - - - 5,369,781 7,225,170 12,594,951 2050 - - - 4,988,369 7,221,849 12,210,218 2051 - - - 3,829,531 7,221,769 11,051,300 2052 - - - 1,976,119 - 1,976,119 311,631,636$ 115,304,112$ 151,151,321$ 743,385,897$ 480,598,061$ 1,802,071,027$ General Obligation Bonds (GOs) Certificates of Obligation (COs) City of Denton Total Annual Debt Service (Principal & Interest) - All Debt Fiscal Year Ending September 30, 2022 7 8 FY End General Obligation Bonds Certificates of Obligation 9-30 (GOs) (COs) Total 2023 22,426,455$ 14,010,690$ 36,437,145$ 2024 21,883,462 13,178,750 35,062,212 2025 20,992,455 12,056,075 33,048,530 2026 20,354,450 11,265,875 31,620,325 2027 19,770,472 10,346,188 30,116,659 2028 18,306,025 8,969,519 27,275,544 2029 17,137,353 8,333,575 25,470,928 2030 17,139,625 8,185,362 25,324,988 2031 16,815,872 8,182,881 24,998,753 2032 16,615,956 8,064,225 24,680,181 2033 16,416,584 7,733,803 24,150,387 2034 16,127,197 7,138,850 23,266,047 2035 15,860,131 6,635,122 22,495,253 2036 14,282,209 6,405,737 20,687,947 2037 13,201,453 6,164,637 19,366,091 2038 12,066,116 5,583,175 17,649,291 2039 10,689,663 3,443,541 14,133,203 2040 9,447,744 3,181,778 12,629,522 2041 7,839,913 1,797,238 9,637,150 2042 4,258,500 474,300 4,732,800 311,631,636$ 151,151,321$ 462,782,957$ City of Denton Total Annual Debt Service (Principal & Interest) - Tax Supported Debt Fiscal Year Ending September 30, 2022 9 10 FY End General Obligation Bonds Certificates of Obligation Revenue 9-30 GOs COs Bonds Total 2023 23,898,764$ 36,234,346$ 25,295,259$ 85,428,369$ 2024 21,566,619 35,820,875 25,300,313 82,687,807 2025 17,151,254 37,572,700 25,298,018 80,021,972 2026 10,165,850 37,396,375 25,295,282 72,857,508 2027 9,753,125 37,153,603 25,298,300 72,205,028 2028 10,398,850 34,674,206 25,300,530 70,373,586 2029 9,244,325 34,556,353 25,300,299 69,100,978 2030 9,286,575 34,615,963 25,298,164 69,200,702 2031 3,838,750 34,653,388 25,298,194 63,790,331 2032 - 37,215,400 25,299,853 62,515,253 2033 - 34,650,406 25,295,276 59,945,682 2034 - 31,434,975 25,301,145 56,736,120 2035 - 30,022,138 25,296,215 55,318,353 2036 - 29,123,713 25,299,258 54,422,971 2037 - 27,962,550 25,297,732 53,260,282 2038 - 27,933,650 7,223,309 35,156,959 2039 - 27,945,144 7,224,204 35,169,348 2040 - 27,132,681 7,225,700 34,358,382 2041 - 26,553,813 7,222,724 33,776,536 2042 - 24,303,622 7,225,125 31,528,747 2043 - 19,150,300 7,223,201 26,373,501 2044 - 19,144,316 7,221,587 26,365,903 2045 - 15,780,903 7,224,314 23,005,217 2046 - 11,908,497 7,221,224 19,129,721 2047 - 8,911,097 7,222,160 16,133,257 2048 - 5,371,084 7,221,888 12,592,972 2049 - 5,369,781 7,225,170 12,594,951 2050 - 4,988,369 7,221,849 12,210,218 2051 - 3,829,531 7,221,769 11,051,300 2052 - 1,976,119 - 1,976,119 115,304,112$ 743,385,897$ 480,598,061$ 1,339,288,070$ City of Denton Total Annual Debt Service (Principal & Interest) - Revenue Supported Debt Fiscal Year Ending September 30, 2022 11 12 FY End 9-30 General Airport Water Park Warehouse Total 2023 35,480,945$ 737,293$ 170,542$ 48,366$ 36,437,145$ 2024 34,148,625$ 742,938 170,650 - 35,062,212 2025 32,202,593$ 674,963 170,974 - 33,048,530 2026 30,776,236$ 673,663 170,426 - 31,620,325 2027 29,313,582$ 632,638 170,440 - 30,116,659 2028 26,520,939$ 583,875 170,730 - 27,275,544 2029 24,721,927$ 578,181 170,820 - 25,470,928 2030 24,571,749$ 582,581 170,657 - 25,324,988 2031 24,247,032$ 581,362 170,358 - 24,998,753 2032 23,925,042$ 584,484 170,655 - 24,680,181 2033 23,387,972$ 591,625 170,791 - 24,150,387 2034 22,640,031$ 455,150 170,866 - 23,266,047 2035 21,991,599$ 332,878 170,776 - 22,495,253 2036 20,216,362$ 332,563 139,022 - 20,687,947 2037 19,034,378$ 331,713 - 19,366,091 2038 17,323,691$ 325,600 - - 17,649,291 2039 14,133,203$ - - - 14,133,203 2040 12,629,522$ - - - 12,629,522 2041 9,637,150$ - - - 9,637,150 2042 4,732,800$ - - - 4,732,800 451,635,378$ 8,741,505$ 2,357,708$ 48,366$ 462,782,957$ City of Denton Total Annual Debt Service (Principal & Interest) - General Gove rnment Fiscal Year Ending September 30, 2022 13 14 FY End General Obligation Bonds Certificates of Obligation Revenue 9-30 GOs COs Bonds Total 2023 15,471,129$ 21,895,970 25,295,259$ 62,662,357$ 2024 14,129,475 21,875,113 25,300,313 61,304,900 2025 10,398,000 23,010,588 25,298,018 58,706,605 2026 5,329,875 23,001,688 25,295,282 53,626,845 2027 5,034,650 23,012,825 25,298,300 53,345,775 2028 5,718,875 21,725,244 25,300,530 52,744,649 2029 4,915,750 21,684,203 25,300,299 51,900,253 2030 4,946,250 21,721,169 25,298,164 51,965,583 2031 2,739,125 21,746,813 25,298,194 49,784,131 2032 23,335,500 25,299,853 48,635,353 2033 - 21,747,853 25,295,276 47,043,129 2034 - 19,023,731 25,301,145 44,324,877 2035 - 19,035,788 25,296,215 44,332,003 2036 - 19,061,125 25,299,258 44,360,383 2037 - 19,085,175 25,297,732 44,382,907 2038 - 19,115,163 7,223,309 26,338,472 2039 - 19,133,050 7,224,204 26,357,254 2040 - 19,149,556 7,225,700 26,375,257 2041 - 19,154,781 7,222,724 26,377,505 2042 - 19,152,622 7,225,125 26,377,747 2043 - 19,150,300 7,223,201 26,373,501 2044 - 19,144,316 7,221,587 26,365,903 2045 - 15,780,903 7,224,314 23,005,217 2046 - 11,908,497 7,221,224 19,129,721 2047 - 8,911,097 7,222,160 16,133,257 2048 - 5,371,084 7,221,888 12,592,972 2049 - 5,369,781 7,225,170 12,594,951 2050 - 4,988,369 7,221,849 12,210,218 2051 - 3,829,531 7,221,769 11,051,300 2052 - 1,976,119 - 1,976,119 - - - - 68,683,129$ 513,097,952$ 480,598,061$ 1,062,379,142$ City of Denton Total Annual Debt Service (Principal & Interest) - Electric Fiscal Year Ending September 30, 2022 15 16 FY End General Obligation Bonds Certificates of Obligation Revenue 9-30 GOs COs Bonds Total 2023 5,818,369$ 4,421,449$ - 10,239,819$ 2024 5,905,975 4,421,188 - 10,327,163 2025 5,636,950 4,733,488 - 10,370,438 2026 3,771,575 4,730,038 - 8,501,613 2027 3,781,175 4,731,372 - 8,512,547 2028 3,453,500 4,369,994 - 7,823,494 2029 3,140,200 4,349,781 - 7,489,981 2030 3,156,950 4,354,519 - 7,511,469 2031 389,500 4,358,150 - 4,747,650 2032 4,791,494 - 4,791,494 2033 - 4,353,781 - 4,353,781 2034 - 4,347,406 - 4,347,406 2035 - 3,721,544 - 3,721,544 2036 - 3,519,294 - 3,519,294 2037 - 3,026,756 - 3,026,756 2038 - 3,027,344 - 3,027,344 2039 - 3,025,691 - 3,025,691 2040 - 2,832,519 - 2,832,519 2041 - 2,830,713 - 2,830,713 2042 - 1,688,100 - 1,688,100 35,054,194$ 77,634,618$ -$ 112,688,812$ City of Denton Total Annual Debt Service (Principal & Interest) - Water Fiscal Year Ending September 30, 2022 17 18 FY End General Obligation Bonds Certificates of Obligation Revenue 9-30 GOs COs Bonds Total 2023 1,747,649 6,881,043 - 8,628,693 2024 677,100 6,869,875 - 7,546,975 2025 342,050 7,236,575 - 7,578,625 2026 348,750 7,236,175 - 7,584,925 2027 354,850 7,231,900 - 7,586,750 2028 719,875 6,833,675 - 7,553,550 2029 733,000 6,775,400 - 7,508,400 2030 729,250 6,789,681 - 7,518,931 2031 451,000 6,801,319 - 7,252,319 2032 - 7,292,475 - 7,292,475 2033 - 6,791,716 - 6,791,716 2034 - 6,431,256 - 6,431,256 2035 - 5,976,131 - 5,976,131 2036 - 5,503,894 - 5,503,894 2037 - 5,279,944 - 5,279,944 2038 - 5,287,019 - 5,287,019 2039 - 5,283,528 - 5,283,528 2040 - 4,647,706 - 4,647,706 2041 - 4,064,019 - 4,064,019 2042 - 2,958,000 - 2,958,000 6,103,524$ 122,171,331$ -$ 128,274,856$ City of Denton Total Annual Debt Service (Principal & Interest) - Wastewater Fiscal Year Ending September 30, 2022 19 20 FY End General Obligation Bonds Certificates of Obligation Revenue 9-30 GOs COs Bonds Total 2023 861,617$ 3,035,883$ -$ 3,897,500$ 2024 854,069 2,654,700 - 3,508,769 2025 774,254 2,592,050 - 3,366,304 2026 715,650 2,428,475 - 3,144,125 2027 582,450 2,177,506 - 2,759,956 2028 506,600 1,745,294 - 2,251,894 2029 455,375 1,746,969 - 2,202,344 2030 454,125 1,750,594 - 2,204,719 2031 259,125 1,747,106 - 2,006,231 2032 - 1,795,931 - 1,795,931 2033 - 1,757,056 - 1,757,056 2034 - 1,632,581 - 1,632,581 2035 - 1,288,675 - 1,288,675 2036 - 1,039,400 - 1,039,400 2037 - 570,675 - 570,675 2038 - 504,125 - 504,125 2039 - 502,875 - 502,875 2040 - 502,900 - 502,900 2041 - 504,300 - 504,300 2042 - 504,900 - 504,900 5,463,265$ 30,481,996$ -$ 35,945,260$ City of Denton Total Annual Debt Service (Principal & Interest) - Solid Waste Fiscal Year Ending September 30, 2022 21 22 HOUSE BILL 1378 SECTION 23 TOTAL TAX-SUPPORTED AND REVENUE DEBT HB 1378 Calculation (1)City Calculation (2) Total Authorized Debt Obligations 1,382,800,000$ 1,382,800,000$ Total Principal Of All Outstanding Debt Obligations 1,293,945,000$ 1,293,945,000$ Combined Principal And Interest Required To Pay All Outstanding Debt Obligations On Time And In Full 1,802,071,027$ 1,802,071,027$ TOTAL DEBT SECURED BY AD VALOREM TAXATION Total Authorized Debt Obligations Secured By Ad Valorem Taxation 1,049,845,000$ 443,198,240$ Total Principal Of All Outstanding Debt Obligations Secured By Ad Valorem Taxation 960,990,000$ 354,343,240$ Combined Principal And Interest Required To Pay All Outstanding Debt Obligations Secured By Ad Valorem Taxation On Time And In Full 1,321,472,966$ 462,782,957$ PER CAPITA TOTAL DEBT SECURED BY AD VALOREM TAXATION Total Authorized Debt Obligations Secured By Ad Valorem Taxation Expressed As A Per Capita Amount 7,144$ 3,016$ Total Principal Of Outstanding Debt Obligations Secured By Ad Valorem Taxation As A Per Capita Amount 6,540$ 2,411$ Combined Principal And Interest Required To Pay All Outstanding Debt Obligations Secured By Ad Valorem Taxation On Time And In Full As A Per Capita Amount 8,993$ 3,149$ Population Total Used To Calculate Per Capita Figures 146,950 146,950 Source And Year of Data Used To Calculate Per Capita Figures City of Denton Planning Department, 2022 City of Denton Planning Department, 2022 City of Denton Summary of Debt Obligations Fiscal Year Ending September 30, 2022 (1) For all "Authorized Debt Obligations" amounts and calculations, the City has included all voted but unissued amounts and all amounts of debt that were authorized by the City Council to be issued, but, as of the end of the fiscal year remained unissued, as well as all outstanding debt as of the end of the fiscal year. The City currently has a $100 million GO ECP Program under existing GO debt authorization. (2) City Calculation excludes general obligation debt issued for Enterprise Funds (Electric, Water, Wastewater and Solid Waste) since the City has paid that debt with revenues from each respective fund. General obligation debt is issued with a limited pledge of Utility System revenue for this purpose. The City currently has a $300 million Utility ECP Program under existing utility debt authorization. 24 City of Denton Individual Debt Obligations Fiscal Year Ending September 30, 2022 Outstanding Debt Principal Principal Combined Final Maturity Secured By Total Proceeds Proceeds ProceedsObligations Issued Outstanding Principal & Interest Date Taxes Received Spent Unspent Moody's S&P FitchCertificates of Obligation, Series 201244,675,000$ 8,575,000$ 10,079,759$ February 15, 2032 Yes 48,950,742$ 48,950,742$ -$ Not Rated AA+ AA+Current Credit Rating Proceeds from the sale of the Certificates will be used for (a) acquisition of vehicles and equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's solid waste disposal system; (b) renovations to, and equipping of, existing municipal buildings, including the acquisition and installation of replacement heating, venting and air conditioning equipment and flooring; (c) acquisition of vehicles and equipment for the fire, police, streets and traffic control, facilities management, and parks and recreation departments; (d) constructing and improving streets, including installation of traffic signals; (e) acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's waterworks and sewer system; (f) acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's electric light and power system; and also for the purpose of paying all or a portion of the City's contractual obligations for professional services, including engineers, architects, attorneys, map makers, auditors, and financial advisors, in connection the design of an animal shelter and with said projects and said Certificates General Obligation Refunding and Improvement Bonds, Series 201233,590,000$ 2,545,000$ 2,876,494$ February 15, 2032 Yes 4,152,707$ 4,152,707$ -$ Not Rated AA+ AA+ Proceeds of the Bonds are expected to be used (i) to refund certain outstanding obligations of the City for debt service savings and (ii) for various street improvements and park land acquisitions and improvements, and (iii) to pay the costs associated with the issuance of the Bonds. Certificates of Obligation, Series 201363,520,000$ 34,835,000$ 41,652,625$ February 15, 2033 Yes 67,807,600$ 67,807,600$ -$ Not Rated AA+ AA+ Proceeds from the sale of the Certificates will be used for (a) acquisition of vehicles and equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's solid waste disposal system, including the acquisition of land for the City landfill; (b) renovations to, and equipping of, existing municipal buildings, including the acquisition and installation of replacement heating, venting and air conditioning equipment, roofing and flooring; (c) acquisition of vehicles and equipment for the fire, police, building inspections, animal services, streets and traffic control, facilities management, and parks and recreation departments; (d) constructing and improving streets, including installation of traffic signals; (e) acquisition of land for the municipal airport; (t) acquiring, constructing, installing and equipping a 25 Outstanding Debt Principal Principal Combined Final Maturity Secured By Total Proceeds Proceeds ProceedsObligations Issued Outstanding Principal & Interest Date Taxes Received Spent Unspent Moody's S&P FitchCurrent Credit Rating public safety training facility; (g) acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to existing fire stations, (h) acquiring, constructing, installing and equipping two animal shelters; (i) acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's waterworks and sewer system; and G) acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's electric light and power system; and also for the purpose of paying all or a portion of the City's contractual obligations for professional services, including engineers, architects, attorneys, map makers, auditors, and financial advisors, in connection with said projects and said Certificates. General Obligation Refunding and Improvement Bonds, Series 201310,735,000$ 4,610,000$ 5,272,231$ February 15, 2033 Yes 4,081,275$ 4,081,275$ -$ Not Rated AA+ AA+ Proceeds of the Bonds are expected to be used (i) to refund certain outstanding obligations of the City for debt service savings; (ii) for various street improvements, and (iii) to pay the costs associated with the issuance of the Bonds. Certificates of Obligation, Series 201489,180,000$ 66,310,000$ 94,828,481$ February 15, 2044 Yes 93,781,795$ 93,781,795$ -$ Not Rated AA+ AA+ Proceeds of the sale of the Certificates will be used (a) acquisition of vehicles and equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's solid waste disposal system, including the acquisition of land for the City landfill; (b) renovations to, and equipping of, existing municipal buildings, including the acquisition and installation of replacement heating, venting and air conditioning equipment, roofing and flooring; (c) acquisition of vehicles and equipment for the fire, police, building inspections, animal services, streets and traffic control, facilities management, and parks and recreation departments; (d) constructing and improving streets, including installation of traffic signals; (e) acquiring, constructing, installing and equipping hangars for the municipal airport; (f) acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to the Civic Center Pool facilities; (g) acquiring, constructing, installing and equipping replacement facility for Fire Station Number 2, including related site preparation; (h) acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's waterworks and sewer system; (i) acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's electric light and power system; and also for the purpose of paying all or a portion of the City's contractual obligations for professional services, including engineers, architects, attorneys, map makers, auditors, and financial advisors, in connection with said projects and said Certificates. 26 Outstanding Debt Principal Principal Combined Final Maturity Secured By Total Proceeds Proceeds ProceedsObligations Issued Outstanding Principal & Interest Date Taxes Received Spent Unspent Moody's S&P FitchCurrent Credit Rating General Obligation Refunding and Improvement Bonds, Series 20147,330,000$ 2,700,000$ 3,273,625$ February 15, 2034 Yes 4,063,543$ 4,063,543$ -$ Not Rated AA+ AA+ Proceeds of the Bonds are expected to be used (i) to refund certain outstanding obligations of the City for debt service savings; (ii) for various street improvements, and (iii) to pay the costs associated with the issuance of the Bonds. General Obligation Refunding Bonds, Series 201427,155,000$ 9,590,000$ 10,001,150$ February 15, 2025 Yes 147,264$ 147,264$ -$ Not Rated AA+ AA+ Proceeds of the Bonds are expected to be used (i) to refund certain outstanding obligations of the City for debt service savings; (ii) to refinance a portion of the City's contractual obligations to the Texas Municipal Power Agency (the "TMPA") under a power sales contract with the TMPA, specifically in respect to the refunding of approximately $13,430,000 in maturity value of certain outstanding TMPA bonds; and (iii) to pay the costs associated with the issuance of the Bonds. Certificates of Obligation, Series 201593,015,000$ 70,045,000$ 104,941,019$ February 15, 2045 Yes 97,983,335$ 97,983,335$ -$ Not Rated AA+ AA+ Proceeds of the sale of the Certificates will be used (a) acquisition of vehicles and equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's solid waste disposal system, including the acquisition of land for the City landfill; (b) renovations to, and equipping of, existing municipal buildings, including the acquisition and installation of replacement heating, venting and air conditioning equipment, roofing and flooring; (c) acquisition of vehicles and equipment for the fire, police, building inspections, animal services, streets and traffic control, facilities management, and parks and recreation departments; (d) acquiring, constructing, installing and equipping parking facilities; (e) acquisition of land and buildings to be used for administration facilities and/or park purposes; (f) acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to the Civic Center Pool facilities; and (g) acquiring, constructing, installing and equipping replacement facility for Fire Station Number 2, including related site preparation, and acquiring, constructing, installing and equipping a new fire station, including the acquisition of land therefor; (h) acquisition of vehicles and equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's waterworks and sewer system; and (i) acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's electric light and power system, and also for the purpose of paying all or a portion of the City's contractual obligations for professional services, including engineers, architects, attorneys, map makers, auditors, and financial advisors, in connection with said projects and said Certificates. 27 Outstanding Debt Principal Principal Combined Final Maturity Secured By Total Proceeds Proceeds ProceedsObligations Issued Outstanding Principal & Interest Date Taxes Received Spent Unspent Moody's S&P FitchCurrent Credit Rating General Obligation Refunding and Improvement Bonds, Series 201537,640,000$ 24,240,000$ 29,277,469$ February 15, 2035 Yes 23,013,425$ 23,013,425$ -$ Not Rated AA+ AA+ Proceeds of the Bonds are expected to be used (i) to refund certain outstanding obligations of the City for debt service savings; (ii) for street improvements, public safety facilities improvements, stormwater drainage and flood control improvements, and park system improvements, and (iii) to pay the costs associated with the issuance of the Bonds. General Obligation Refunding Bonds, Series 201533,945,000$ 3,540,000$ 3,739,125$ February 15, 2026 Yes 37,992,142$ 37,992,142$ -$ Not Rated AA+ AA+ Proceeds of the Bonds will be used (i) to currently refund in part, and advance refund in part, certain outstanding obligations of the City for debt service savings; (ii) to refinance a portion of the City's contractual obligations to the Texas Municipal Power Agency (the "TMPA") under a power sales contract with the TMPA, specifically in respect to the refunding of approximately $3,430,000 in maturity value of certain outstanding TMPA bonds; and (iii) to pay the costs associated with the issuance of the Bonds. Certificates of Obligation, Series 201683,305,000$ 64,295,000$ 93,471,616$ February 15, 2046 Yes 92,340,554$ 92,340,554$ -$ Not Rated AA+ AA+ Proceeds from the sale of the Certificates will be used (a) acquisition of vehicles and equipment for, and acquiring, constructing , installing and equipping additions, extensions, renovations and improvements to, the City's solid waste disposal system, including the acquisition of land for the City landfill; (b) renovations to, and equipping of, existing municipal buildings, including the acquisition and installation of replacement heating, venting and air conditioning equipment, roofing and flooring; (c) acquisition of vehicles and equipment for the fire, police, building inspections, community improvement services , animal services, streets and traffic control , facilities management, and parks and recreation departments; (d) acquiring , constructing , installing and equipping additions, extensions, renovations and improvements to parking facilities; (e) constructing and improving streets, including landscaping, drainage, utility line relocations and the acquisition of land and rights-of-way therefor; (f) acquiring, constructing, installing and equipping a new fire training facility; and (g) acquisition of land for a new fire station; (h) acquisition of vehicles and equipment for, and acquiring, constructing , installing and equipping additions, extensions, renovations and improvements to, the City's waterworks and sewer system; and (i) acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's electric light and power system, and also for the purpose of paying all or a portion of the City's contractual obligations for professional services, including engineers, architects, attorneys, map makers, auditors , and financial advisors, in connection with said projects and said Certificates. 28 Outstanding Debt Principal Principal Combined Final Maturity Secured By Total Proceeds Proceeds ProceedsObligations Issued Outstanding Principal & Interest Date Taxes Received Spent Unspent Moody's S&P FitchCurrent Credit Rating General Obligation Refunding and Improvement Bonds, Series 201628,930,000$ 20,540,000$ 24,577,400$ February 15, 2036 Yes 16,915,297$ 16,915,297$ -$ Not Rated AA+ AA+ Proceeds of the Bonds are expected to be used (i) to refund certain outstanding obligations of the City for debt service savings; (ii) for street improvements, public safety facilities improvements, stormwater drainage and flood control improvements, and park system improvements, and (iii) to pay the costs associated with the issuance of the Bonds. General Obligation Refunding Bonds, Series 201638,425,000$ 23,115,000$ 26,833,400$ February 15, 2030 Yes 175,657$ 175,657$ -$ Not Rated AA+ AA+ Proceeds from the sale of the Bonds, together with funds contributed by the City, are expected to be used (i) refund all outstanding obligations of the City's Utility System for debt service savings; and (ii) to pay the costs associated with the issuance of the Bonds. Utility System Revenue Bonds, Series 2017214,890,000$ 190,965,000$ 271,136,875$ December 1, 2036 No246,164,298$ 246,107,783$ 56,515$ Not Rated A+ A Proceeds from the sale of the Series 2017 Bonds will be used to (a) acquire and construct additions and improvements to the City's electric light and power system including new quick start peak power generation facilities; (b) fund capitalized interest on the Series 2017 Bonds; and (c) pay the costs of issuance in connection with the issuance of the Series 2017 Bonds. Certificates of Obligation, Series 201790,800,000$ 66,765,000$ 102,572,575$ February 15, 2047 Yes 98,365,003$ 95,118,873$ 3,246,130$ Not Rated AA+ AA+ Proceeds from the sale of the Certificates will be used for (a) acquisition of vehicles and equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's solid waste disposal system; (b) renovations to, and equipping of, existing municipal buildings, including the acquisition and installation of replacement heating, venting and air conditioning equipment, roofing and flooring; (c) acquisition of vehicles and equipment for the fire, police, building inspections, community improvement services, animal services, streets and traffic control, facilities management, and parks and recreation departments; (d) acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to parking facilities; (e) constructing and improving streets, including landscaping, drainage, utility line relocations and the acquisition of land and rights-of-way therefor; (f) acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's electric light and power system; and also for the purpose of paying all or a portion of the City's contractual obligations for professional services, including engineers, architects, attorneys, map makers, auditors, and financial advisors, in connection with said projects and said Certificates. 29 Outstanding Debt Principal Principal Combined Final Maturity Secured By Total Proceeds Proceeds ProceedsObligations Issued Outstanding Principal & Interest Date Taxes Received Spent Unspent Moody's S&P FitchCurrent Credit Rating General Obligation Refunding and Improvement Bonds, Series 201729,105,000$ 13,530,000$ 17,137,909$ February 15, 2037 Yes 17,294,871$ 16,868,653$ 426,218$ Not Rated AA+ AA+ Proceeds of the Bonds are expected to be used (i) to refund certain outstanding obligations of the City described on Schedule I attached hereto (the "Refunded Obligations") for debt service savings; (ii) for street improvements and public safety facilities improvements, and (iii) to pay the costs associated with the issuance of the Bonds. General Obligation Bonds, Series 201819,235,000$ 16,660,000$ 21,919,038$ February 15, 2038 Yes 19,871,128$ 19,871,128$ -$ Not Rated AA+ AA+ Proceeds of the Bonds are expected to be used (i) street improvements, storm water drainage and flood control improvements, and park system improvements; and (ii) to pay the costs associated with the issuance of the Bonds. Certificates of Obligation, Series 20189,555,000$ 5,990,000$ 7,485,213$ February 15, 2038 Yes 10,020,370$ 9,365,186$ 655,184$ Not Rated AA+ AA+ Proceeds will be used for (a) renovations to, and equipping of, existing municipal buildings, including the acquisition and installation of replacement heating, venting and air conditioning equipment, roofing and flooring; (b) acquisition of vehicles and equipment for the fire, police, building inspections, community improvement services, animal services, streets and traffic control, facilities management, and parks and recreation departments; (c) acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to runways and taxiways at the municipal airport; and (d) acquiring, constructing, renovating, installing and equipping fire stations, including the acquisition of land therefor: and also for the purpose of paying all or a portion of the City's contractual obligations for professional services, including engineers, architects, attorneys, map makers, auditors, and financial advisors, in connection with said projects and the Certificates (see "Plan of Financing"). Certificates of Obligation, Series 29,545,000$ 24,470,000$ 32,423,235$ February 15, 2038 Yes 31,802,097$ 24,937,683$ 6,864,414$ Not Rated AA+ AA+ Proceeds from the sale of the Certificates will be used for (a) renovating, constructing, expanding, improving and equipping existing municipal service center building; (b) constructing and improving streets, including landscaping, drainage, utility line relocations and the acquisition of land and rights-of-way therefor; (c) constructing, reconstructing and improving vehicle roadways at the municipal airport; (d) acquiring, constructing, installing and equipping fire stations, including the acquisition of land therefor; (e) acquiring, constructing, installing and equipping a public safety facility for the police department, including the acquisition of land therefor; (acquiring and installing a radio communications system for the City; 30 Outstanding Debt Principal Principal Combined Final Maturity Secured By Total Proceeds Proceeds ProceedsObligations Issued Outstanding Principal & Interest Date Taxes Received Spent Unspent Moody's S&P FitchCurrent Credit Rating and also for the purpose of paying all or a portion of the City's contractual obligations for professional services, including engineers, architects, attorneys, map makers, auditors, and financial advisors. General Obligation Refunding & Improvement Bonds, Series 201944,340,000$ 30,245,000$ 36,243,900$ February 15, 2039 Yes 48,176,707$ 32,697,284$ 15,479,423$ Not Rated AA+ AA+ (i) up to $28,620,000 for the public purpose of refunding the Refunded Obligations, (ii) for the purpose of the acquisition of property and making improvements for public purposes in said Issuer, to wit: (A) $14,580,000 for street improvements, (B) $705,000 for stormwater drainage and flood control improvements, and (C) $4,085,000 for park system improvements. Certificates of Obligation, Series 201928,755,000$ 23,780,000$ 31,608,225$ February 15, 2049 Yes 30,516,239$ 29,009,401$ 1,506,838$ Not Rated AA+ AA+ Proceeds will be used for acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the (a) Issuer's waterworks system; (b) Issuer's wastewater system; and (c) the Issuer's electric light and power system; and also for the purpose of paying all or a portion of the Issuer's contractual obligations for professional services, including engineers, architects, attorneys, map makers, auditors, and financial advisors, in connection with said projects and said Certificates of Obligation; and up to $10,110,000 in principal amount for the purpose of: renovations to, and equipping of, existing municipal buildings, (a) including the acquisition and installation of replacement heating, venting and air conditioning equipment, roofing and flooring; (b) acquisition of vehicles and equipment for the fire, police, building inspections, community improvement services, animal services, streets and traffic control, facilities management, and parks and recreation departments; (c) constructing and improving streets, including landscaping, drainage, utility line relocations and the acquisition of land and rights-of-way therefor; (d) acquiring, constructing, installing and equipping a public safety facility for the police department, including the acquisition of land therefor; (e) acquiring, extending, constructing, renovating, improving and equipping parking facilities, including the acquisition of land therefor; and (f) acquisition and installation of technology equipment including computer equipment and software for various municipal departments; and also for the purpose of paying all or a portion of the Issuer's contractual obligations for professional services, including engineers, architects, attorneys, map makers, auditors, and financial advisors, in connection with said projects and said Certificates of Obligation. General Obligation Refunding & Improvement Bonds, Series 202062,080,000$ 47,770,000$ 58,140,875$ February 15, 2040 Yes 70,866,956$ 56,151,038$ 14,715,918$ Not Rated AA+ AA+ 31 Outstanding Debt Principal Principal Combined Final Maturity Secured By Total Proceeds Proceeds ProceedsObligations Issued Outstanding Principal & Interest Date Taxes Received Spent Unspent Moody's S&P FitchCurrent Credit Rating Proceeds of the Bonds are expected to be used for (i) various street improvements, park system improvements and public safety facilities for the police department, (ii) to refund the bonds described in Schedule I – Schedule of Refunded Obligations (the "Refunded Obligations") for debt service savings and (iii) to pay the costs associated with the issuance of the Bonds (see "Plan of Financing"). Certificate of Obligations, Series 202058,080,000$ 53,950,000$ 69,885,050$ February 15, 2050 Yes 64,267,139$ 58,041,418$ 6,225,721$ Not Rated AA+ AA+ Proceeds will be used for the purpose of paying all or a portion of the Issuer's contractual obligations incurred pursuant to contracts for the purchase, construction and acquisition of certain real and personal property, to wit: up to $37,120,000 in principal amount for the purpose of: (a) acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the Issuer's wastewater system; and (b) acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the Issuer's electric light and power system; and also for the purpose of paying all or a portion of the Issuer's contractual obligations for professional services, including engineers, architects, attorneys, map makers, auditors, and financial advisors, in connection with said projects and said Certificates of Obligation; and up to $27,250,000 in principal amount for the purpose of: (a) acquisition of vehicles and equipment for the fire, police, building inspections, community improvement services, animal services, streets and traffic control, facilities management, and parks and recreation departments; (b) acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to existing fire stations; (c) acquiring, constructing, reconstructing, renovating, installing and equipping a municipal government building for municipal development services and other municipal administrative purposes, and the acquisition of land and interests in land and properties therefor; (d) acquiring, constructing, reconstructing, renovating, installing and equipping municipal parks; (e) acquiring land and building for facility for homeless and indigent shelter and services; and also for the purpose of paying all or a portion of the Issuer's contractual obligations for professional services, including engineers, architects, attorneys, map makers, auditors, and financial advisors, in connection with said projects and said Certificates of Obligation (collectively, the "Projects"). General Obligation Refunding Bonds, Series 2020A14,150,000$ 12,635,000$ 15,316,600$ February 15, 2031 Yes 17,031,195$ 17,031,195$ -$ Not Rated AA+ AA+ Proceeds of the Bonds are expected to be used for (i) to refund the bonds described in Schedule I – Schedule of Refunded Obligations (the “Refunded Obligations”) for debt service savings and (ii) to pay the costs associated with the issuance of the Bonds (see “Plan of Financing”). Certificates of Obligation, Series 202197,035,000$ 93,830,000$ 126,285,578$ February 15, 2021 Yes 104,246,453$ 19,629,962$ 84,616,490$ Not Rated AA+ AA+ 32 Outstanding Debt Principal Principal Combined Final Maturity Secured By Total Proceeds Proceeds ProceedsObligations Issued Outstanding Principal & Interest Date Taxes Received Spent Unspent Moody's S&P FitchCurrent Credit Rating PURPOSE . . . Proceeds from the sale of the Certificates will be used for (i) acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's waterworks and wastewater system; (ii) acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's electric light and power system; (iii) constructing and improving streets, including landscaping, drainage, utility line relocations and the acquisition of land and rights-of-way therefor; (iv) acquisition of vehicles and equipment for the fire, police, building inspections, community improvement services, animal services, streets and traffic control, facilities management, and parks and recreation departments; (v) renovations to, and equipping of, existing municipal buildings, including the acquisition and installation of replacement heating, venting and air conditioning equipment, roofing and flooring; (vi) acquisition and installation of technology equipment including computer equipment and software for various municipal departments; (vii) constructing, reconstructing, renovating, installing and equipping facility for homeless and indigent shelter and services; and (viii) renovations to, expansion of, and equipping existing municipal vehicle maintenance facility; and also for the purpose of paying all or a portion of the City's contractual obligations for professional services, including engineers, architects, attorneys, map makers, auditors, and financial advisors, in connection with said projects and the Certificates (see "Plan of Financing"). General Obligation Bonds, Series 202154,710,000$ 52,985,000$ 68,044,769$ February 15, 2041 Yes 59,608,180$ 51,859,593$ 7,748,587$ Not Rated AA+ AA+ PURPOSE . . . Proceeds from the sale of the Certificates will be used for (i) acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's waterworks and wastewater system; (ii) acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's electric light and power system; (iii) constructing and improving streets, including landscaping, drainage, utility line relocations and the acquisition of land and rights-of-way therefor; (iv) acquisition of vehicles and equipment for the fire, police, building inspections, community improvement services, animal services, streets and traffic control, facilities management, and parks and recreation departments; (v) renovations to, and equipping of, existing municipal buildings, including the acquisition and installation of replacement heating, venting and air conditioning equipment, roofing and flooring; (vi) acquisition and installation of technology equipment including computer equipment and software for various municipal departments; (vii) constructing, reconstructing, renovating, installing and equipping facility for homeless and indigent shelter and services; and (viii) renovations to, expansion of, and equipping existing municipal vehicle maintenance facility; and also for the purpose of paying all or a portion of the City's contractual obligations for professional services, including engineers, architects, attorneys, map makers, auditors, and financial advisors, in connection with said projects and the Certificates (see "Plan of Financing"). Utility System Revenue Refunding Bonds, Taxable Series 2021141,990,000$ 141,990,000$ 209,461,186$ February 15, 2050 No 141,990,000$ 141,990,000$ -$ Not Rated A+ A 33 Outstanding Debt Principal Principal Combined Final Maturity Secured By Total Proceeds Proceeds ProceedsObligations Issued Outstanding Principal & Interest Date Taxes Received Spent Unspent Moody's S&P FitchCurrent Credit Rating Proceeds from the sale of the Taxable Series 2021 Bonds will be used to (a) refund outstanding commercial paper notes (“Refunded Notes”); and (b) pay the costs of issuance in connection with the issuance of the Taxable Series 2021 Bonds (See “Plan of Financing – Purpose” and “Plan of Financing – Refunded Notes”). Certificates of Obligation, Series 2022112,155,000$ 112,155,000$ 179,303,842$ February 15, 2052 Yes 119,729,679$ 1,367,286$ 118,362,393$ Not Rated AA+ AA+ PURPOSE . . . Proceeds from the sale of the Certificates will be used for the purchase, construction and acquisition of certain real and personal property, to wit: (i) acquiring, constructing, installing and equipping fire stations; (ii) acquisition of vehicles and equipment for the fire, police, building inspections, community improvement services, animal services, streets and traffic control, facilities management, airport, technology services, fleet management, warehouse management and parks and recreation departments; (iii) renovations to, and equipping of, existing municipal buildings, including the acquisition and installation of replacement heating, venting and air conditioning equipment, roofing and flooring; (iv) acquisition and installation of electric generator equipment for municipal buildings; (v) acquiring, constructing and installing door security systems, including security system technology equipment and software, for municipal buildings; (vi) constructing, reconstructing, renovating, installing and equipping municipal parks; (vii) renovations to, expansion of, and equipping existing municipal vehicle maintenance facility; and (viii) acquisition of vehicles and equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's solid waste disposal system; (ix) acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's waterworks and wastewater system; and (x) acquisition of equipment for, and acquiring, constructing, installing and equipping additions, extensions, renovations and improvements to, the City's electric light and power system and also for the purpose of paying all or a portion of the City's contractual obligations for professional services, including engineers, architects, attorneys, map makers, auditors, and financial advisors, in connection with said projects and the Certificates (see "Plan of Financing"). General Obligation Bonds, Series 202271,285,000$ 71,285,000$ 104,281,763$ February 15, 2042 Yes 76,874,578$ 17,145,023$ 59,729,555$ Not Rated AA+ AA+ PURPOSE . . . Proceeds of the Bonds are expected to be used for (i) various street improvements, (ii) public safety facilities, (iii) the acquisition of park land, (iv) refunding the obligations described in Schedule I – Schedule of Refunded Obligations (the "Refunded Obligations") for debt service savings , and (v) to pay the costs associated with the issuance of the Bonds (see "Plan of Financing"). TOTAL 1,669,155,000$ 1,293,945,000$ 1,802,071,027$ 1,648,230,227$ 1,328,596,840$ 319,633,386$ 34 Glossary of Terms The HB 1378 Section of the Annual Debt Report contains terminology provided by the Texas Comptroller’s Office. To assist the reader of this document in understanding these terms, a glossary of terms has been included in the document as provided by the Texas Comptroller’s Office. Political Subdivision. Political subdivisions are counties, municipalities, school districts, junior college districts, other special districts, or other subdivisions of state government. Total Authorized Debt Obligations. Debt obligations are defined in the bill as issued public securities which are instruments, including bonds, certificates, notes, or other types of obligations authorized to be issued by an issuer under a statute, a municipal home‐rule charter, or the constitution of this state. Issuance is the process of authorizing, selling, and delivering public debt. Public security authorization means a resolution, order or ordinance that is approved or adopted, or any other action taken in a proceeding, by the governing body of an issuer in authorizing the issuance of a public security. Total Principal of all Outstanding Debt Obligations. Total amount borrowed (par) of all obligations that have yet to be repaid. Combined Principal and Interest required to pay all Outstanding Debt Obligations on time and in full. Total amount borrowed (par) that has yet to be repaid plus the cost of interest. Total Authorized Debt Obligations Secured by Ad Valorem Taxation. Total debt obligations secured by a pledge of property taxes. Total Principal of all Outstanding Debt Obligations secured by Ad Valorem Taxation. Total amount borrowed (par) of obligations secured by a pledge of property taxes that have yet to be repaid. Combined Principal and Interest required to pay all Outstanding Debt Obligations secured by Ad Valorem Taxation on time and in full. Total amount borrowed (par) of all property tax‐secured obligations plus the cost of interest. Total Authorized Debt Obligations secured by Ad Valorem Taxation expressed as a Per Capita Amount. Total authorized debt obligations secured by a pledge of property taxes divided by the population of the political subdivision. Total Principal of Outstanding Debt Obligations secured by Ad Valorem Taxation as a Per Capita Amount. Total amount borrowed (par) secured by a pledge of property taxes divided by the population of the political subdivision. Combined Principal and Interest required to pay all Outstanding Debt Obligations secured by Ad Valorem Taxation on time and in full as a Per Capita Amount. Total debt obligations secured by a pledge of property taxes plus the cost of debt service on these obligations divided by the population of the political subdivision. 35 Glossary of Terms Population total used to calculate per capita figures. The denominator used to calculate per capita figures. This is a population total for the political subdivision. Source and Year of population figure used to calculate Per Capita figures. The source of population data comprising the denominator of per capita figures. Outstanding Debt Obligation. An issued public security that has yet to be repaid. Conduit or Component Debt. Debt that is not a legal liability of the political subdivision but is secured by another entity. Principal Issued. Total amount borrowed (par). Principal Outstanding. Total amount borrowed (par) of obligation that has yet to be repaid. Combined principal and interest required to pay each Outstanding Debt Obligation on time and in full. The total amount borrowed (par) plus the cost of interest for each individual debt obligation or bond series. Final Maturity Date. The final payment date of individual debt obligation at which point all principal and interest will be paid off. Secured in any way by Ad Valorem Taxes. Indicates which individual debt obligations are in part or whole pledged with property taxes. Total Proceeds Received. Total assets received from the sale of a new issue of public securities. Proceeds Spent. The portion of total proceeds received that have been spent. Proceeds Unspent. The portion of total proceeds received that are remaining to be spent. Official stated purpose for which the debt obligation was authorized. The reason for the debt issuance as defined in ballot language, if applicable, or the Official Statement. Current Credit Rating. Existing rating given by any nationally recognized credit rating organization to debt obligations.