Page 251 - Hurst FY20 Approved Budget

REVENUE BOND FUND

The Revenue Bond Fund, also known as the Revenue Bond Interest and Sinking Fund, was established by
ordinance to provide for the payment of revenue bond and certificate of obligation principal and interest. Revenue
Bonds and Certificates of Obligation are a common capital resource for enterprise activities. Revenue bond
indentures contain a legal requirement that revenues derived from enterprise activity be pledged for the repayment
of debt. The same philosophy is utilized by the City for the repayment of Certificates of Obligation debt. All existing
debt includes certificates of obligation and general refunding bonds. These debt instruments have allowed the City
to achieve substantial interest savings, as detailed in the list below. All debt associated with the Revenue Bond Fund
is used to finance additions and repairs to the City’s utility infrastructure such as water line and sewer main
additions/replacements, water storage tanks, and pump stations.

The following is a list of bond refundings and associated savings:

FY SAVINGS
2003-2004 $849,693
2006-2007 $1,148,404
2008-2009 $288,500
2010-2011 $270,188
2011-2012 $80,208
2012-2013 $145,560
2014-2015 $97,304
2016-2017 $255,314

Outstanding Interest Total
Balance Principal due 02-20 P & I due
Description 10-01-19 due 08-20 & 08-20 FY 19-20

1 Series 2009
Combined Tax and Revenue
Certificates of Obligation 410,000 200,000 16,400 216,400
2 Series 2011
General Obligation
Refunding Bonds 690,000 275,000 27,600 302,600

3 Series 2012
General Obligation
Refunding Bonds 495,000 115,000 22,400 137,400
4 Series 2013
General Obligation
Refunding Bonds 1,110,000 170,000 36,200 206,200
6 Series 2015
General Obligation
Refunding Bonds 1,215,000 235,000 43,650 278,650
7 Series 2015
Combined Tax and Revenue
Certificates of Obligation 960,000 45,000 37,000 82,000
8 Series 2016
General Obligation
Refunding Bonds 980,000 90,000 36,050 126,050
9 Series 2017
General Obligation
Refunding Bonds 2,270,000 55,000 49,713 104,713
10 Series 2018
Combined Tax and Revenue
Certificates of Obligation 1,300,000 65,000 13,805 78,805

Total 9,430,000 1,250,000 282,818 1,532,818

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