Financing bids were received for the bonds Palo Alto County plans to sell during the Palo Alto County Board of Supervisors meeting on Tuesday, June 17. Travis Squires, of Piper Jaffray, was present at the meeting to receive the bids and share the results with the board.
The sale of the General Obligation (GO) Bonds will finance several paving projects underway by Palo Alto County. Of the $5,000,000, $3,500,000 will be used to pave the North/South Bypass in Emmetsburg as well as a paving project in the Silver Lake area. The remaining $1,500,000 will be used for the B55 paving project located in the Rodman area.
Six bidders made submissions for the sale. Kansas City, MO firm UMB Bank NA placed a bid of 2.262871 percent interest; D.A. Davidson & Co, of Denver, CO submitted an interest bid of 2.344964 percent; Huchinson, Sockey, Erley & Co. of Chicago, IL presented a bid for 2.514417 percent; Robert W. Baird & Co, Inc. of Milwaukee, WI submitted a bid of 2.523065 percent; FTN Financial Capital Markets, Memphis, TN proposed 2.54752 percent and BOSC, Inc. of Dallas, TX rounded out the bidding field with 2.606983 percent.
The board accepted the bid proposal from UMB Bank.
According to the Debt Service Schedule provided, $3,500,000 of the bond will be paid back using Tax Increment Financing (TIF) while the balance will be paid with a tax levy. The tax levy is expected to be 1.510 and the bonds are scheduled to be paid off in 2025.