2021 Annual Comprehensive Financial Report

portion of the 1998A, 2001A and 2003A Series Revenue Bonds have been removed from the Water Resources Fund. The proceeds of these bonds were used for improvements to the City’s water and sanitary sewer system and other issue costs. The City has pledged 100% of future water and sewer customer revenues, net of specified operating expenses to the payment of and as security for the Revenue Bonds in the amounts shown below specifically to cover annual debt service through 2050. This pledge relates to all Combined Enterprise Revenue bonds outstanding, issued for the purpose of making water and sewer system improvements. Certain financial covenants are contained in the revenue bond order, among the most restrictive of which provide that the City maintain a long-term debt service coverage ratio, as defined, of not less than 1.50. Pledged revenues exceeded operating expenses by $55,999,371 to provide a coverage ratio of 2.00 at June 30, 2021. The City was in compliance with all such covenants during Fiscal Year 2020-21. Revenue Bonds/Anticipation Notes Debt Service Requirements to Maturity are:

Business-Type Activities Annual Requirements

Total

Fiscal Year 2021-22 (1)

Principal

Interest

$

52,656,545 13,215,000 14,010,000 12,600,000 13,600,000 52,505,000 36,815,000 38,650,000 44,090,000 23,915,000

10,949,723 $

$

63,606,268 22,859,851 23,007,262 20,967,712 21,410,175 83,380,275 57,934,625 53,763,586 52,166,438 25,343,975

2022-23 2023-24 2024-25 2025-26 2027-31 2032-36 2037-41 2042-46 2047-50

9,644,851 8,997,262 8,367,712 7,810,175 30,875,275 21,119,625 15,113,586 8,076,438 1,428,975

302,056,545 $

122,383,622 $

424,440,167 $

(1) Includes Direct Placement Bond Ant icipat ion Notes of $36,656,545, in prinicpal scheduled to mature in FY22 and $593,836 in interest for FY22.

6. Lease-Purchase and Other Financing Agreements The City has entered into lease-purchase and other financing agreements for certain energy improvements, and land payable monthly and quarterly through fiscal year 2028. Principal and interest requirements will be provided by an appropriation in the year in which they become due. The City has an outstanding direct placement Master Lease Agreement totaling $1,145,430 as of June 30, 2021, with PNC Bank for certain energy improvements, at a fixed tax-exempt rate of 4.38%, maturing in 2022. In the event of default of the Master Lease Agreement with PNC Bank City agrees to pay to the purchaser, on demand, interest on any and all amounts due and owing by the City under the related agreements. The City also has a total of $14,327,305 in capital leases primarily for information technology systems. In 2015, the City issued $3,578,000 HUD Section 108 Series 2015A notes and refinanced Series 2002A, 2003A and 2006 S. Elm Street interim notes. These notes bear interest at fixed rates ranging from 2.78 to 8.12% maturing in 2026. Total notes outstanding as of June 30, 2021 for HUD funding are $894,000 with an original commitment of $10,461,000. In the event of default, the City agrees to pay to the purchaser, on demand, interest on any and all amounts due and owing by the City under the related agreements.

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