MY NAME IS BOND, EXECUTIVE DIRECTOR BOND!! (PART 1)

http://emma.msrb.org/MS90568-MS65876-MD127415.pdf


April 1 1993
    City of Beaumont and the Beaumont Redevelopment Agency, by virtue of the "Joint Powers Act", form the Beaumont Finance Authority.

April 12 1993
   Resolution No 1993-20 empowers the Beaumont Finance Authority to issue revenue bonds to provide financing and refinancing for capital improvements of public entities, including the City

August 1 1993

           Beaumont Finance Authority

                     $8,500,000      

         1993 Revenue Bonds, Series A (Sewer Enterprise Funds)


Everyone with me so far?

 This is a TERM Bond for the Beaumont Finance Authority (Issuer) with installment payments to be made by the City (Purchaser) with funds from the Sewer Enterprise to the Beaumont Finance Authority. This averages about $745,000 a yr for 30 yrs with a total payback of $22,306,036  (Matures 2023)

  The Beaumont Finance Authority will in turn pay Meridian Trust Company to fulfill the Indenture.


http://emma.msrb.org/MS26061-MS8893-MD16462.pdf

 August 1 1996
   The Beaumont Finance Authority desires to cause redemption of the 1993 Bonds, of which $5,000,000 are presently outstanding, in order to achieve certain savings.  

http://emma.msrb.org/OSPreview/OSPreview.aspx?documentId=MS98030&transactionId=MS122722&fileId=MD190...

                       $7,510,000

          Beaumont Financing Authority

            Local Agency Revenue Refunding Bonds, 1996 Series A

Of this $7.51 million, $5.116 million will be deposited with Trustee for Bond refunding along with $1,208  leftover from the 1993 Bond Fund.  This total of $5.117 million is sufficient to purchase the aggregate PRINCIPAL amount of the refunding.


  Now Im not a theoretical Mathematician but I am fairly certain that if you have $5 mil in outstanding 1993 Bonds and if you add $1,200 leftover from the 1993 Bond Fund you come up a bit short (JUST OVER $3.3 million) of the $8.5 million issued to the Beaumont Finance Authority in 1993. And no, the Beaumont Finance Authority CAN NOT(by terms of Indenture) pay down $3.3 mil in 3 yrs.
  And now that we are refunding with $5.117 million from a new $7.51 million issue.  This $5.117 million deposited with the Trustee and with his powers of investment MUST have sufficient monies for 1993 Bonds maturing in 2023 BY SEPTEMBER 2016
 
              STAY TUNED FOR PART 2.  IT ONLY GETS BETTER