1998-06-10 Packet - Laserfiche WebLink

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DEBT DIRECT DEBT Long -Term General Obligation Debt (See schedules following) Total g.o. debt being paid from special assessments and taxes $ 895,000 Total g.o. debt being paid from revenues and special assessments (includes this issue) 1,130,000 Total g.o. debt being paid from senior housing revenues and taxes 1,290,000 Total Long -Term General Obligation Debt $3,315,000 LEASE PURCHASE The City entered into a Lease Purchase Agreement, dated September 16, 1992, with Norwest Investment Services for $500,000 to finance the construction of a new City Hall and Fire Hall building. Payments are by annual appropriation over 10 years and taxing powers are not pledged. DEBT LIMIT The statutory limit on debt of Minnesota municipalities other than school districts or cities of the first class (Minnesota Statutes, Section 475.53, subd. 1) is 2% of the Assessor's Taxable Market Value of all taxable property within its boundaries. 'Net debt" (Minnesota Statutes, Section 475.51, subd. 4) is the amount remaining after deducting from gross debt: (1) obligations payable wholly or partly from special assessments levied against benefitted property; (2) warrants or orders having no definite or fixed maturity; (3) obligations issued to finance any public revenue producing convenience (i.e. the Bonds of this offering); (4) obligations issued to create or maintain a permanent improvement revolving fund; (5) funds held as sinking funds for payment of principal and interest on debt other than those deductible under 1 -4 above; (6) other obligations which are not to be included in computing the net debt of a municipality under the provisions of the law authorizing their issuance. Assessor's Taxable Market Value $ 85,907,000 Multiply by 2% 0.02 Statutory Bonded Debt Limit $ 1,718.140 Less: Lon Debt Outstanding Being Paid Solely from Taxes -0 Unused Debt Limit $ 1.718.140 11