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H Kim oJNty qs"iw; Collins Tomei
<br /> Mayor • • - ���i�%�j Director
<br /> __ Deanna S. Sako
<br /> Deputy Director
<br /> qTt oF.N'.i
<br /> County of Hawaii
<br /> Finance Department
<br /> 25 Aupuni Street, Room 2103 • Hilo,Hawaii 96720
<br /> (808)961-8234 • Fax(808)961-8569
<br /> P.41
<br /> C=1• c)
<br /> July 18, 2017 `'' ' (M c
<br /> Valerie Poindexter, Council Chair and .... aC;-1
<br /> Members of the Hawai`i County Council co o
<br /> Hawaii County Council ;ITCD.
<br /> 25 Aupuni Street
<br /> Hilo, HI 96720 _.,.
<br /> w --
<br /> Dear Chairman Poindexter and Members of the Council:
<br /> RE: COUNTY OF HAWAII, HAWAII
<br /> GENERAL OBLIGATION BONDS
<br /> 2017 SERIES A, B, C, D, AND E TOTALING $139,895,000
<br /> Pursuant to the authority granted by County Council Ordinance Nos. 04-59, as amended, 07-120,
<br /> as amended, 08-106, as amended, 08-148, as amended, 11-40, as amended, 12-77, 12-150, 12-
<br /> 163, 13-23, 14-11, 15-18, 15-68, 15-121, and 16-66, I have proceeded with the sale and issuance
<br /> of$139,895,000 County of Hawai`i, Hawai`i, General Obligation Bonds, 2017 Series A, B, C,
<br /> D, and E (hereafter referred to as the "Bonds") and wish to submit the following report.
<br /> 1. A Bond Purchase Agreement was entered into on June 20, 2017 with Merrill Lynch, Pierce,
<br /> Fenner& Smith Incorporated (the "underwriter") for the sale of the Bonds. The Bond
<br /> Purchase Agreement obligated the underwriter to make a bonafide offering of the Bonds to
<br /> the public. The Bonds were sold with the Bonds amortizing on a level annual debt service
<br /> basis, with the first principal amount maturing in September 1, 2018 and the last principal
<br /> amount maturing in 2037. The combined all-in true interest cost of the Bonds was computed
<br /> to be 2.91%.
<br /> • 2. The $90,000,000 Series A bonds were issued to generate new money proceeds that were used
<br /> to retire $59.8 million in bond anticipation notes and to finance various capital improvement
<br /> projects. The all-in true interest cost (TIC) for Series A (tax exempt, new money series) was
<br /> 3.07%.
<br /> 3. Series B, Series C, Series D, and Series E bonds were used to refund $2.5 million of the 2007
<br /> Series B bonds, $3.3 million of the 2007 Series C bonds, and $42.4 million of the 2013 Series
<br /> A bonds. The refunding of these bonds resulted in a net present value savings of$2.9 million
<br /> or 6.1% of the par amount. 22 p
<br /> Comm. No. . )7 / •
<br /> Ref. To: Fc.
<br /> Ref. Date jL 1 9 2Q17
<br /> Hawai'i County is an Equal Opportunity Provider and Employer
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