05-23-2011 Presentation: Bond RefinancingCity of Woodbur
Wastewater and Water Sy
Refinancing Analy
May 23, 2011
DAVIDSON
COMPANIES
"AAA" Municipal Market Data Index (MMD)., 20 -Year Maturity:
05/20/2001- 05/20/2011
5.5%
5.0%
4.5%
4.0%
3.5%
3.0%
N N N M M M V V V L-0 LO L-0 10 0 0 N N N CO CO M U (> U O O O
O O O O O O O O O O O O O O O O O O O O O O O O O O
a N a N a a a) a a N a a a) a a N a a N a a N a a N a N a a
::� N — ::� N — ::� N — ::� N — ::� N — ::� N — :� N — :� N — :� N — :� N — ::�
Latest
3.88%
May 20, 201 1
Min
3.27%
September 28, 2010
Max
5.74%
October 15, 2008
Average
4.38%
D.A. Javier Fernandez
Davi Phone: (503) 863 - 5094
• & Co. "" Source: Reuters, Thomson Financial (TM3) jfernandez @dadco.com
MMD Yield Curve: May 20th (2008 -2011)
Slope is measured in basis points between the 1 and 30 -year maturities
6%
5%
4%
3%
2 % dope
`L 0�$' S 3g 3a P
dop
1 % �00q S q05 bps
20� Shope:
0%
3 5 7 10 12
Years to Maturity
m DAVIDSON
COMPANIES
Source: Reuters, Thomson Financial (TM3)
15 20 25 30
Javier Fernandez
Phone: (503) 863-5094
ifernandez @dadco.com
Municipal Market Data Index (MMD) by credit spread:
05/20/2005- 05/20/2011
7.7%
7.2%
6.7%
6.2%
5.7%
5.2%
4.7%
4.2%
3.7%
3.2%
LO
0
T
C;
DAVIDSON
COMPANIES
0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0
> -0 T > 4 T > -0 T > -0 T > 4 T
O N a O N a O N a O N a O N a
Q Z Q Z ]�E Q Z ]�E Q Z ]�E Q Z ]�E
Source: Reuters, Thomson Financial (TM3)
0 o r
> 4 T
Q Z N
Javier Fernandez
Phone: (503) 863-5094
jfernandez @dadco.com
City of Woodburn
Wastewater - related debt
DEQ Loan No. R98411 2021 2,122,422 ISEWER WWTP Constr. Fund 465
DEQ Loan No. R98412
2021
16,971,572
SEWER WWTP Constr. Fund 465
0
DEQ Loan R98413
2015
700,000
SEWER WWTP Constr. Fund 465
00
DEQ Loan R98414
2034
1,1 10,156
SEWER WWTP Constr. Fund 465
OEDD Loan No. G98002
2018
271,486
SEWER WWTP Constr. Fund 465
OEDD Loan No. 891202
2012
53,117
SEWER Capital Impr. Fund 461
No Reserve
Total Sewer Revenue Bonds
21,228,753
Water - related debt
Series 2003 (Water) # GO2003
SDWRF Loan No. S02010
Loan No. Y02007
Total Water Revenue Bonds
2028 4,036,143 WATER Well /Dist. Const. Fund 466
2025 3,285,160 WATER Well /Dist. Const. Fund 466
2025 3,285,160 WATER Well /Dist. Const. Fund 466
10,606,463
No Reserve
$754,000
D.A. Javier Fernandez
t , Davidson Wastewater Refinancing Water Refinancing Phone: (503) 863 -5094
jfernandez @dadco.com
Pro -Forma Debt Service Savings
Delivery Date 8/17/2011
8/17/2011
Arbitrage yield 2.58%
3.30%
Escrow yield - --
- --
Bond Par Amount 20,355,000
6,270,000
26,625,000
True Interest Cost 2.71%
3.40%
2.88%
Net Interest Cost 2.73%
3.43%
2.90%
Average Coupon 2.61%
3.34%
2.78%
Average Life 5.33
7.19
5.77
Par amount of refunded bonds 19,666,845
6,247,278
25,914,123
Average coupon of refunded bonds 3.45%
4.21 %
3.65%
Average life of refunded bonds 5.62
7.70
5.54
PV of prior debt to 08/17/2011 @ 2.58% 20,761,861
6,726,372
27,488,233
Net PV Savings 698,822
271,724
970,546
Percentage savings of refunding proceeds 3.43%
4.33%
3.65%
D.A. Javier Fernandez
Davidson Phone: (503) 863 -5094
• & Co.
jfernandez @dadco.com
Wastewater Revenue and Refunding Bonds, Series 2011
Uses of Funds
Refunding Escrow
DEQ Loan No. R98411
DEQ Loan No. R98412
DEQ Loan No. R98413
DEQ Loan No. R98414
OEDD Loan No. G98002
Total Refunding Escrow
New Money
Bio -Solid Removal and Land Application
Mill Creek Restoration Project
Identified SRF Loan
Identified Bonding Need for FY 2012
Total New Money
Total 2011 Bond Issuance
1�
DAVIDSON 1
COMPANIES �
1,915,473
15,768,250
716,191
1,148,440
248,754
19,797,108
2,300,000
500,000
2,000,000
4,800,000
24,597,108
5,000,000
13,840,000
18, 840,000
18, 840,000
1,915,473
15,768,250
716,191
1,148,440
248,754
19,797,108
2,300,000
500,000
7,000,000
13,840,000
23,640,000
43,437,108
Javier Fernandez
Phone: (503) 863-5094
jfernandez @dadco.com
Wastewater Revenue and Refunding Bonds, Series 2011
Pro -Forma Cash Flow
D.A. Javier Fernandez
t , Davidson Phone: (503) 863 -5094
jfernandez @dadco.com
2010
2011
2012
2013
2014
,
Total Sources of Funds
5,580,024
5,978,599
6,627,370
7,345,034
8,150,760
9,050,772
9,229,987
O &M
2,159,437
2,268,414
2,281,995
2,383,033
2,502,488
2,613,483
2,851,548
Net Revenue available for Debt Service
3,420,587
3,710,185
4,345,375
4,962,001
5,648,272
6,437,289
6,378,439
Debt Service
2,240,837
2,302,658
2,497,485
2,496,296
2,498,088
2,499,861
2,314,1 18
Debt Service Coverage (Current)
1.53 x
1.61 x
1.74 x
1.99 x
2.26 x
2.58 x
2.76 x
Additional Debt Service Capacity @ 1.25x
495,633
665,490
978,815
1,473,305
2,020,529
2,649,970
2,788,633
2011 Refunding Bonds
2,240,837
2,302,658
2,487,155
2,470,741
2,471,330
2,474,433
2,289,959
2011 New Bond ($4.8MM)
481,017
554,857
555,580
554,646
557,067
2,968,171
3,025,598
3,026,910
3,029,079
2,847,025
New Debt Service (Total)
Debt Service Coverage (Projected)
1.53 x
1.61 x
1.46 x
1.64 x
1.87 x
2.13 x
2.24 x
Additional Debt Service Capacity @ 1.25x
495,633
665,490
508,129
944,003
1,491,708
2,120,752
2,255,726
Capacity Increment due to Refunding
(Debt Service Savings)
10,331
25,556
26,759
25,428
24,160
2012 New Bonds ($18.84 MM)
887,616
1,495,841
1,397,757
1,397,824
3,913,213
4,522,750
4,426,836
4,244,849
Total Debt Service
Debt Service Coverage (Projected)
1.27 x
1.25 x
1.45 x
1.5 x
D.A. Javier Fernandez
t , Davidson Phone: (503) 863 -5094
jfernandez @dadco.com
Wastewater Revenue and Refunding Bonds, Series 2011
Pro -Forma Cash Flow
10,000,000
9,000,000
8,000,000
7,000,000
6,000,000
5,000,000
4,000,000
3,000,000
2,000,000
1,000,000
DAVIDSON
COMPANIES
t Revenues available
Debt Service @ 1.25x
8.84 MM)
.8 MM)
)11
Javier Fernandez
Phone: (503) 863-5094
jfernandez @dadco.com
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