A look at a series of financial transactions approved by the Harrisburg Authority during the period of 1999 and 2008.
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Published November 12, 2012.
Archive video Harrisburg Authority board meeting February 28, 2008.
Attorney Carol Cocheres explains how the downgrade of a credit rating of bond insurer (FGIC) caused interest rates to rise from 3.5% to between 7-10% on the $56 million in water revenue bonds resulting in an increase of debt payments by the Authority of $224,000 per month.
Termination Event.
Both the LIBOR Swap and the SIFMA Swap were terminated with the issuance of the Authority'sWater Revenue Refunding Bonds, Series of 2008 (2008 Water Revenue Bonds), issued on August 22, 2008. A portion of the 2008 Water Revenue Bonds were used to pay a $9,742,000 termination fee.
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Published October 23, 2012.
Audio recording of the July 29, 1999 the Harrisburg Authority (THA) Board meeting.
Bond counselor Richard Michael of Eckert Seamans presents THA Board with an overview of Resolution 1999-004 Water Revenue Bond Issue. The purpose of the issuance was to restructure the overall indebtedness of the water system along with a secondary purpose of generating funds for a capital project---the installation of new water meters, which enabled remote readings.
Through a creative financing combination of bond refunds and a forward bond purchase contract, the resolution enabled a restructuring of the debt service in order to implement a 20% water rate decrease for consumers. The Board approved the resolution and this water rate decrease became a highlight of Mayor Stephen Reed's campaign for his sixth term as Mayor.
by Tara Leo Auchey
Photo by Natalie Cake
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Published October 21, 2012.
Audio recording of the December 30, 2002 the Harrisburg Authority Board meeting. The Board voted to raise water rates more than 50%.
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Published August 11, 2012.
A look into financial contracts the Harrisburg Authority entered into with Societe Generale in 1999 and 2002.
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The Harrisburg Authority meeting April 24, 2002.
James Losty A very complicated deal.
Creation of the Special Projects Fund.
Page 19 of the PDF.
Letter from Mayor Reed to Tom Mealy April 11, 2002.
A minimum of $1 million will become available for placement in the special account maintained for draw and use by the city
Attached are invoices totaling 1,397,289.27 which must now be paid. Accordingly, this serves to request that checks be cut, with the standard requisition sheets to be signed by this office for these invoices, such that checks can be issued Friday, April 12th.
To the extent that the funds from the April 12th Soc Gen transaction is not sufficient to cover all the attached, this serves to additionally request a temporary transfer of other THA funds to the special City account to assure coverage of the attached, with the temporary sum to be reimbursed in May.
Page 24.
Tom Mealy to Mayor Reed April 11, 2002
The following reflects the current balance of the City Special Projects Reserve Fund after the payment of the above-referenced requisitions
Prior Balance $ 22,866,27
Soc Gen Transfer 4/12/02 $1,000,000.00
Transfer from THA Funds $298,000.00
Balance After Transfer $1,320,866.27
Minus Req. 537-584 $1,319,998.77
New City Special Projects Balance $867.50