City Audit, Bond Savings Highlight Board of Alderman Meeting

Positive financial news dominated the June 11 th Board of Aldermen meeting. Butch Beeman with Troutt, Beeman & Company, P.C., the firm retained to complete the City’s 2017 audit, reported the overall health of the City’s finances is positive.

Beeman noted that interest on long term debt is down by approximately $100,000. Alderman Bamman inquired if there were any recommendations had been made in the audit. Beeman reported that no recommendations had been made, indicating that there were no instances of deficiencies in internal control. City Administrator Ryan Hunt praised Finance Director Cathy Bowden for her leadership and work on the audit.

The full audit report is available for review in the June 11, 2018 Board of Alderman meeting materials on the City’s website: www.cityofgrainvalley.org

In addition to the audit report, the Board of Alderman also approved Ordinance 2437, authorizing the issuance of General Obligation Refunding Bonds, Series 2018A. The action refinances the 2008A Bonds, providing a savings of 7.5%. This will result in a savings of an estimated $259,000 over 10 years.

The refunding of these bonds did

not extend the debt, which expires in 2028. Ben Hart, Senior Vice President and Client Representative, Springsted, managed the transaction. Hart reported the City received 10 bids, which is significantly more than expected. The S&P reaffirmed an AArating on these bonds. Additionally, the S&P rating on the 2012 TIF bonds was upgraded from a BBB+ rating to an A rating.

Hunt stated, “I was proud to see the rating increase issued by S&P. One of the top priorities of both the Board of Aldermen and City Administration is improved financial stability. That is the beginning of a positive impact to our citizens in the form of lower taxes. For several years we have been telling residents and business owners that we are working to lower taxes. Despite what you hear at election time, financial stability has consistently improved in Grain Valley over the last 5 years. During that time, my staff has been working hard on a multiyear endeavor to improve our positions and reserves, while paying off the debt that was incurred to add services during the population explosion between 2000-2010. For all practical purposes, this rating increase is proof that our diligent and strategic approach is working and it will serve as the beginning of a

series of public announcements that will result in tangible savings to our taxpayers.”

In other business, the Board of Aldermen approved a resolution to enter into an agreement with MorphoTrak for “Livescan” services, providing the police department with digital fingerprint software and equipment to determine identity and criminal history of persons in detention. The Board also approved a

resolution to collect payment from Jackson County, Missouri’s COMBAT Tax in the amount of $82,307. These funds are used to support the DARE program, school resource officers and other educational program related expenses.

The next meeting of the Board of Aldermen will be held June 25, 2018 at 7:00pm. The meeting will be held in the Council Chambers of the Grain Valley City Hall.