At its Oct. 10 study session, the Airway Heights City Council held the first reading of ordinance C-884, which authorizes the sale, issuance and delivery of the $13 million unlimited tax general obligation bonds. The bonds, which voters approved through a measure in the August election, will help fund the construction of the recreation center.
The city is working with Northwest Municipal Advisors for financial consulting services regarding the sale of the bonds. During a special presentation, principal lender Alan Dashen said his firm is planning on selling the bonds sometime in November.
“We’re going to try and avoid election week,” he added.
Councilman Larry Bowman asked if it would be “smart to sell the bonds before or after the presidential election?” Dashen said they could sell the bonds after election week if that is what council wanted.
“We’ve talked with firms, and we could certainly wait until after the election, but they are worried about the uncertainty of the market at the time,” Dashen said.
Dashen added that debt service will be at $780,000 and interest rates are near “historic lows.”
“If they start to go up, you’ll want to get this thing going,” he said. “With debt service, as the city grows, homeowners will pay less per year.”
After council officially adopts the ordinance, the firm will apply for a bond rating, then create an official statement for the bonds. Once the statement is complete, D.A. Davidson, the underwriter, will post them for sale.
Al Stover can be reached at [email protected].
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