Page 12 - Moreno Valley Citizen's Guide to the Budget

streetlight

refinancing (taxable)

description Original Issue
The 2021 Amended Purchase Agreement served to refinance AMOUNT
the remaining balance of the 2018 Streetlight Financing
agreement. The original agreement funded the purchase of
approximately 9,411 streetlights from Southern California 2021 $7,402,587
Edison (SCE) and the retrofit of those lights, as well as the
approximately 2,000 additional streetlights already owned
by the City, with LED fixtures. This refinancing agreement Issuance
was entered into on a taxable basis with Banc of America
Capital Leasing. DATE

repayment source
The repayment source for these bonds is 08/10/2021
the Electric Utility Fund.

prepayment provisions Maturity
Optional prepayment continuously after 6/1/26 with a DATE
prepayment premium (102%).
security 06/01/2034

The security for this agreement consists of the City’s
streetlights.
Interest
debt service schedule RATES
The annual debt service requirements for the 2021 Streetlight
Refinancing outstanding at June 30, 2023, are as follows:
3.47%

2021 STREETLIGHT
REFINANCING (taxable)

YEAR ENDING PRINCIPAL INTEREST INTEREST RATE
JUNE 30,
2024 488,940 218,733 3.47%
2025 506,055 201,618 3.47%
2026 523,769 183,904 3.47%
2027 542,103 165,570 3.47%
2028 561,078 146,595 3.47%
2029-2033* 3,114,104 424,262 3.47%
2034 689,723 17,950 3.47%

$ 6,425,772 $ 1,358,632
*Represents the total amount due during the specified period.
The 2021 Streetlight Refinancing Agreement reduced the rate from the former 2018 agreement at 5.42% to 3.47%,
*Represents the total amount due during the specified period.
resulting in savings of $855,000 with no extension of the maturity date.