Loading...
HomeMy WebLinkAbout05. 20-169 APRIL 28, 2020 20-169 RESOLUTION (CARRIED 7-0 LOST LAID OVER WITHDRAWN ) PURPOSE: RESOLUTION DIRECTING THE ADVERTISEMENT AND SALE OF NOT TO EXCEED $10,870,000 AGGREGATE PRINCIPAL AMOUNT OF GENERAL OBLIGATION CORPORATE PURPOSE BONDS, $7,360,000 AGGREGATE PRINCIPAL AMOUNT OF GENERAL OBLIGATION PROMISSORY NOTES, $5,055,000 STORM WATER UTILITY REVENUE BONDS, $5,900,000 WATER SYSTEM REVENUE BONDS AND $14,925,000 AGGREGATE PRINCIPAL AMOUNT OF SEWER SYSTEM REVENUE BONDS, OF THE CITY OF OSHKOSH, WINNEBAGO COUNTY, WISCONSIN INITIATED BY: CITY ADMINISTRATION WHEREAS,cities are authorized by Chapter 67 of the Wisconsin Statutes, as supplemented and amended, to borrow money and to issue bonds to finance any project undertaken for a public purpose; and WHEREAS, it is necessary that funds be raised by the City of Oshkosh, Winnebago County, Wisconsin (the "City"), in an aggregate principal amount not to exceed $10,870,000 for the following public purposes: (i) street improvements, (ii) parks and public grounds and (iii) refunding of certain outstanding obligations (collectively, the "General Obligation Bona' Purposes"); and APRIL 28, 2020 20-169 RESOLUTION CONT'D WHEREAS, it is considered necessary and desirable by the Common Council of the City (the "Council") that the City borrow money and issue its General Obligation Corporate Purpose Bonds in an aggregate principal amount not to exceed $10,870,000 (the "General Obligation Bonds") for the General Obligation Bond Purposes, for which an initial resolution has been adopted(except for the refunding purpose for which an initial resolution is not required); and WHEREAS, cities are authorized by the provisions of Section 67.12(12) of the Wisconsin Statutes, as supplemented and amended,to borrow money and to issue promissory notes to finance any project undertaken for a public purpose of the City; and WHEREAS, it is necessary that funds be raised by the City in an aggregate principal amount not to exceed $7,360,000 for the purposes of acquiring, constructing and improving sidewalks, traffic signals and other traffic improvements, public buildings and property improvements and equipment of the City (collectively, the "Note Purposes"); and WHEREAS, it is considered necessary and desirable by the Council that the City borrow money and issue its General Obligation Promissory Notes in an aggregate principal amount not to exceed $7,360,000 (the "Notes") for the Note Purposes; and WHEREAS, cities are authorized by Section 66.0621 of the Wisconsin Statutes, as supplemented and amended, to borrow money and to issue revenue bonds to finance any project undertaken for a public utility; and APRIL 28, 2020 20-169 RESOLUTION CONT'D WHEREAS, it is necessary that funds be raised by the City in an aggregate principal amount not to exceed$5,055,000 for the purpose of acquiring, constructing and improving the storm water sewer system of the City (collectively, the "Storm Water Purposes"); and WHEREAS, it is considered necessary and desirable by the Council that the City borrow money and issue its Storm Water Utility Revenue Bonds in an aggregate principal amount not to exceed $5,055,000 (the "Storm Water Revenue Bonds") for the Storm Water Purposes; and WHEREAS,it is necessary that funds be raised by the City in an aggregate principal amount not to exceed $5,900,000 for the purpose of acquiring, constructing and improving the water system of the City (collectively, the "Water Purposes"); and WHEREAS, it is considered necessary and desirable by the Council that the City borrow money and issue its Water System Revenue Bonds in an aggregate principal amount not to exceed $5,900,000 (the "Water Revenue Bonds") for the Water Purposes; and WHEREAS,it is necessary that funds be raised by the City in an aggregate principal amount not to exceed $14,925,000 for the purpose of acquiring, constructing and improving the sanitary sewer system of the City(collectively, the "Sewer Purposes"); and WHEREAS, it is considered necessary and desirable by the Council that the City borrow money and issue its Sewer System Revenue Bonds in an aggregate principal amount not to exceed $14,925,000 ("Sewer Revenue Bonds" and, collectively with the General Obligation Bonds, the APRIL 28, 2020 20-169 RESOLUTION CONT'D Notes,the Storm Water Revenue Bonds and the Water Revenue Bonds,the "Obligations") for the Sewer Purposes: Now, THEREFORE, BE IT RESOLVED by the City Council of the City of Oshkosh, Winnebago County, Wisconsin, as follows: Section 1. For the purpose of offering the Obligations for sale, the Director of Finance/City Treasurer of the City is hereby authorized to cause appropriate notices of the sale thereof to be published in a newspaper to be selected by the Director of Finance/City Treasurer of the City. The Director of Finance/City Treasurer of the City shall also cause to be prepared and distributed Official Statements, including Official Terms of Offering, with respect to the Obligations. The Director of Finance/City Treasurer of the City may assign different series designations to each of the General Obligation Bonds,the Notes,the Storm Water Revenue Bonds, the Water Revenue Bonds and/or the Sewer Revenue Bonds than the series designations, if any, provided herein, and each of the General Obligation Bonds, the Notes, the Storm Water Revenue Bonds,the Water Revenue Bonds and Sewer Revenue Bonds may be issued in one or more series. Section 2. After bids shall have been received for the Obligations or any series of them, this Council will adopt additional proceedings to award the same to the best bidder or bidders, prescribe the terms thereof and the forms of Obligations and will levy taxes in the specific amount necessary to pay the principal of and interest on the General Obligation Bonds and the Notes. APRIL 28, 2020 20-169 RESOLUTION CONT'D Section 3. The City Manager, the City Clerk, the Director of Finance/City Treasurer and all other officers of the City are hereby authorized to execute all documents and certificates and to take all such actions as may be necessary in connection with the authorization, issuance, sale and delivery of the Obligations, and the performance of the obligations of the City hereunder and to carry out and comply with the terms of this Resolution. Documents shall be in substantially the same form as indicated in this Resolution, or in any other resolution adopted by the Council further providing for the issuance of the Obligations or any of them, any changes in the final execution copies of such documents to be deemed approved by the respective signatures of the City officers named above. 4 Oshkosh TO: Honorable Mayor and Members of the Common Council FROM: Russ Van Gompel, Finance Director DATE: April 21, 2020 RE. 1) Approve Initial Resolution Authorizing Not Exceeding $5,305,000 General Obligation Bonds Of The City Of Oshkosh. 2) Approve Resolution Directing The Advertisement And Sale Of Not To Exceed $10,870,000 Aggregate Principal Amount Of General Obligation Corporate Purpose Bonds, $7,360,000 Aggregate Principal Amount Of General Obligation Promissory Notes, $5,055,000 Storm Water Utility Revenue Bonds, $5,900,000 Water System Revenue Bonds And $14,925,000 Aggregate Principal Amount Of Sewer System Revenue Bonds, Of The City Of Oshkosh, Winnebago County, Wisconsin BACKGROUND In order to borrow money through the bonding process, the City Council is requested to consider two separate resolutions. The first resolution, "Initial Resolution authorizing not exceeding$5,305,000 general obligation bonds", is required by state statute whenever bonds are issued for new debt or projects. The second resolution authorizes staff to proceed with the preparation and documentation needed to sell the bonds and receive the proceeds. The sale of the bonds and notes will occur at least 30 days after the initial resolution is authorized. ANALYSIS The currently proposed general obligation borrowing of$18,230,000 included the following: • Up to $10,870,000 of bonds will be issued for the public purpose of street improvement, parks and public grounds, in the amount up to $5,221,400 and up to $5,467,617 in bonds will be issued to refunding 2011 general obligation bonds. • Up to $7,360,000 of promissory notes will be issued for the purpose of acquiring, constructing and improving sidewalks, traffic signals and other Finance Department City Hall,215 Church Avenue P.O.Box 1130 Oshkosh,WI 54903-1130 920.236.5005 http://www.ci.oshkosh.wi.us traffic improvements, public buildings and property improvements and equipment of the City In addition, staff is proposing additional borrowing of$25,880,000 through issuance of utility revenue bonds as noted below. • Up to $5,055,000 of Storm Water Revenue Bonds for storm water purposes • Up to $5,900,000 of Water Revenue Bonds for water • Up to $14,925,000 of Sewer Revenue Bonds for sewer FISCAL IMPACT The above amounts, if borrowed, will be added to the City's outstanding debt obligations, and funded through the applicable budgets (Debt Service Fund, Storm Water Utility Fund, Water Utility Fund, and Sewer Utility Fund). The Sources and Uses of Funds, the Proposed Debt Service Schedule, the Estimated Debt Service Comparison and other information is contained in the Pre-Sale Reports for each type of issuance as prepared by Ehlers, which is attached for your information. RECOMMENDATION Staff recommends adoption of both the above noted resolutions. Respectfully Submitted, Approved: Russ Van Compel Mark Rohloff Finance Director City Manager Finance Department City Hall,215 Church Avenue P.O.Box 1130 Oshkosh,WI 54903-1130 920.236.5005 http://www ci.oshkosh.wi.us ► EHLERS ft PUBLIC FINANCE AGV SORB April 28, 2020 Pre-Sale Report for City of Oshkosh , Wisconsin $10,870,000 General Obligation Corporate Purpose Bonds, Series 2020A lr Oshkosh Prepared by: Todd Taves, CIPMA Senior Municipal Advisor Jon Cameron, CIPMA Senior Municipal Advisor BUILDING COMMUNITIES. IT'S WHAT WE DO. ® info@ehlers-inc.com % 1 (800)552-1171 @ www.ehlers-inc.com Executive Summary of Proposed Debt Proposed Issue: $10,870,000 General Obligation Corporate Purpose Bonds, Series 2020A ("Bonds") Purposes: The proposed Bonds will finance street and park improvement projects. Debt service associated with the projects will be paid from ad valorem property taxes, which the City will partially abate with special assessment revenues. The proposed Bonds will also refund (refinance) the City's Series 2011C General Obligation Corporate Purpose Bonds to achieve debt service savings. The interest rates on the obligation proposed to be refunded range from 3.00% to 4.00%. Refunding is expected to reduce debt service expense by approximately$612,000 over the next 11 years. The estimated net present value benefit of the refunding is $479,000, equal to 7.9% of the refunded principal. Debt service associated with the refunding will be paid from ad valorem property taxes,which the City will partially abate with tax increments collected within Tax Incremental Districts No. 17,21 and 23. Authority: The Bonds are being issued pursuant to Wisconsin Statutes 67.04 and will be general obligations of the City for which its full faith,credit and taxing powers are pledged. The Bonds count against the City's General Obligation debt capacity limit of 5% of total City equalized valuation. Following issuance of the Bonds,and the Series 2020B General Obligation Promissory Notes to be issued concurrently, the City's total General Obligation debt principal outstanding will be approximately $138.9 million, which is 66% of its limit. Remaining General Obligation borrowing capacity will be approximately $71.7 million.At the end of the 2020 fiscal year, General Obligation debt capacity usage will be approximately 59.1% of the City's limit. Term/Call Feature: The Bonds are being issued for a term of 20 years. Principal on the Bonds will be due on June 1 in the years 2021 through 2040. Interest is payable every six months beginning June 1,2021.The Bonds will be subject to prepayment at the discretion of the City on June 1,2028 or any date thereafter. Bank Qualification: Because the City is issuing, or expects to issue,more than $10,000,000 in tax- exempt obligations during the calendar year, the City will be not able to designate the Bonds as"bank qualified"obligations. Rating: The City's most recent bond issues were rated by Moody's Investors Service. The current ratings on those bonds are"Aa3".The City will request a new rating for the Bonds. If the winning bidder on the Bonds elects to purchase bond insurance, the rating for the issue may be higher than the City's bond rating if the bond rating of the insurer is higher than that of the City. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 1 Basis for Recommendation: Based on our knowledge of your situation, your objectives communicated to us, our advisory relationship as well as characteristics of various municipal financing options, we are recommending the issuance of Bonds as a suitable option based on: • The expectation this form of financing will provide the overall lowest cost of funds while also meeting the City's objectives for term,structure and optional redemption. • The City having adequate General Obligation debt capacity to undertake this financing. • The nature of the projects being financed,which will not generate user or other fees in amounts sufficient to secure a revenue obligation. • The City's current Capital Improvements Plan which identified issuance of General Obligation Bonds to finance these projects. • The existing General Obligation pledge securing the obligations to be refunded. Method of Sale/Placement: We will solicit competitive bids for the purchase of the Bonds from underwriters and banks and will include an allowance for discount bidding in the terms of the issue. The discount is treated as an interest item and provides the underwriter with all or a portion of their compensation in the transaction. If the Bonds are purchased at a price greater than the minimum bid amount(maximum discount), the unused allowance may be used to reduce your borrowing amount. Premium Pricing: In some cases, investors in municipal bonds prefer "premium" pricing structures. A premium is achieved when the coupon for any maturity (the interest rate paid by the issuer) exceeds the yield to the investor, resulting in a price paid that is greater than the face value of the bonds. The sum of the amounts paid in excess of face value is considered "reoffering premium." The underwriter of the bonds will retain a portion of this reoffering premium as their compensation(or"discount")but will pay the remainder of the premium to the City. Any premium amount received for that portion of the Bond being issued for the purpose of refunding existing debt will be used to reduce the issue size. Any premium amount received for the remainder of the Bonds that is in excess of the underwriting discount and any capitalized interest amounts must be placed in the debt service fund and used to pay a portion of the interest payments due on the Bonds. These adjustments may slightly change the true interest cost of the original bid, either up or down. The amount of premium allowed can be restricted in the bid specifications. Restrictions on premium may result in fewer bids but may also eliminate large adjustments on the day of sale and unintended results with respect to debt service payment impacts. Ehlers will identify appropriate premium restrictions for the Bonds intended to achieve the City's objectives for this financing. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 2 Other Considerations: Term Bond Option.The Bonds will be offered with the option for underwriters to"term up"some of the maturities at the time of the sale.This makes your issue more marketable,which can result in lower borrowing costs. If the successful bidder utilizes a term bond structure, we recommend the City retain a paying agent to handle responsibility for processing mandatory redemption/call notices associated with term bonds. Review of Existing Debt: We have reviewed all outstanding indebtedness for the City and find that,other than the obligations proposed to be refunded by the Bonds, there are no other refunding opportunities at this time.We will continue to monitor the market and the call dates for the City's outstanding debt and will alert you to any future refunding opportunities. Continuing Disclosure: Because the City has more than $10,000,000 in outstanding debt(including this issue) and this issue is over $1,000,000, the City will be agreeing to provide certain updated Annual Financial Information and its Audited Financial Statement annually, as well as providing notices of the occurrence of certain reportable events to the Municipal Securities Rulemaking Board(the"MSRB"), as required by rules of the Securities and Exchange Commission (SEC). The City is already obligated to provide such reports for its existing bonds and has contracted with Ehlers to prepare and file the reports. Arbitrage Monitoring: Because the Bonds tax-exempt obligations, the City must ensure compliance with certain Internal Revenue Service (IRS) rules throughout the life of the issue. These rules apply to all gross proceeds of the issue,including initial bond proceeds and investment earnings in construction,escrow,debt service,and any reserve funds. How issuers spend bond proceeds and how they track interest earnings on funds(arbitrage/yield restriction compliance)are common subjects of IRS inquiries. Your specific responsibilities will be defined in the Tax Exemption Certificate and Agreement prepared by your Bond Attorney and provided at closing.We recommend that you regularly monitor compliance with these rules and/or contract with Ehlers to assist you. We also recommend that you establish written procedures regarding compliance with IRS rules and/or contract with Ehlers to assist you. Investment of Bond Proceeds: To maximize interest earnings, we recommend using an SEC registered investment advisor to assist with the investment of bond proceeds until they are needed to pay project costs. Ehlers is a registered investment advisor and can assist the City in developing an appropriate investment strategy if needed. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 3 Risk Factors: Debt Service Abatement: The City expects to abate a portion of the City debt service with tax incremental revenues and special assessments. In the event these revenues are not available,the City is obligated to levy property taxes in an amount sufficient to make all debt payments. Current Refunding: The Bonds are being issued to finance a current refunding of prior City debt obligations. Those prior debt obligations are callable now. The new Bonds will not be pre-payable until June 1, 2028. This refunding is being undertaken based in part on an assumption that the City does not expect to pre-pay off this debt prior to the new call date and that market conditions warrant the refunding at this time. Other Service Providers: This debt issuance will require the engagement of other public finance service providers. This section identifies those other service providers, so Ehlers can coordinate their engagement on your behalf. Where you have previously used a firm to provide a service, we have assumed that you will continue that relationship. For services you have not previously required,we have identified a service provider. Fees charged by these service providers will be paid from proceeds of the obligation,unless you notify us that you wish to pay them from other sources. Our pre-sale bond sizing includes a good faith estimate of these fees, but the final fees may vary. If you have any questions pertaining to the identified service providers or their role, or if you would like to use a different service provider for any of the listed services please contact us. Bond Counsel: Chapman and Cutler LLP Paying Agent: Issuer, unless term bonds offered, then U.S. Bank National Association Rating Agency:Moody's Investors Service,Inc. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 4 Proposed Debt Issuance Schedule Pre-Sale Review by City Council: Apri128,2020 Due Diligence Call to review Official Statement: May 11 —May 27 (To Be Scheduled) Conference with Rating Agency: May 11 —May 27 (To Be Scheduled) Distribute Official Statement: June 1,2020 City Council Meeting to Award Sale of the Bonds: June 9,2020 Estimated Closing Date: July 2,2020 Redemption Date for Bonds Being Refunded: July 14,2020 Attachments Estimated Sources and Uses of Funds Estimated Proposed Debt Service Schedule Estimated Debt Service Comparison Bond Buyer Index Ehlers Contacts Municipal Advisors: Todd Taves (262)796-6173 Jon Cameron (262)796-6179 Disclosure Coordinator: Sue Porter (262)796-6167 Financial Analyst: Kathy Myers (262)796-6177 The Preliminary Official Statement for this financing will be sent to the City Council at their home or email address for review prior to the sale date. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 5 III&V City of Oshkosh, WI Oshkosh 2020 General Obligation Sizing Worksheet Presale Estimate Presale Estimate Sale 6-9-2020 Sale 6-9-2020 Est.Dated 7-2-2020 Est.Dated 7-2-2020 G.O. G.O.Corporate Promissory Purpose Bonds Notes Series 2020A Series 2020B Capital Projects' Tax-Exempt Tax-Exempt Comprehensive Streets/Utility Improvements Street Improvements $ 3,901,400 $ - Sidewalks $ - $ 233,500 Traffic Improvements $ - $ 485,000 Public Infrastructure Improvements-OtherStreets $ 750,000 $ - Publiclnfrastructurelmprovements-Sidewalks $ - $ 988,000 Park Improvements $ 570,000 $ - Public Property Improvements $ - $ 2,004,000 Major Equipment $ $ 494,100 Major Equipment-Vehicles $ $ 3,054,000 Tax Increment Financing(TIF)District Improvements $ - $ - Subtotal Capital Projects $ 5,221,400 $ 7,258,600 Refinance Series 2011C G.O.Bonds Principal to be Redeemed $ 6,085,000 Accrued Interest $ 25,857 Less Debt Service Funds On Hand $ (643,241) Subtotal Refunding $ 5,467,617 Estimated Issuance Expenses Ehlers(Municipal Advisor) $ 31,700 $ 22,500 Chapman&Cutler(Bond Counsel) $ 12,000 $ 14,000 Maximum Discount(Bid Item)Z $ 135,875 $ 73,600 Moody's Investors Service(Rating Fee) $ 14,310 $ 9,690 U.S.Bank(Paying Agent) $ 850 $ 850 TOTAL TO BE FINANCED $ 10,883,752 $ 7,379,240 Estimated Interest Earnings3 $ (14,185) $ (19,719) Rounding $ 432 $ 480 NET BOND OR NOTE SIZE $ 10,870,000 $ 7,360,000 NOTES: Capital projects amounts taken from City of Oshkosh Capital Improvement Program 2020-2024 approved November 12,2019. 2Maximum allowable discount of 1.25%for the Series 2020A Bonds,and 1.0%for the Series 2020B Notes. 3Assumes temporary investment of available new money proceeds at 1.63%for 60 days.(December 2019 LGIP Rate). 00-S Page 6 3/30/2020 FgNEHLERS � I File: Oshkosh Debt Base Case-2020-2-5/G.O. Sizing 2020 �rvrvrvrvrvrvrvrvrvrvrvrvrvrvrvrvrvrvrvrvry - 00 O E O\ N m y _ m � � � �� �4e 4 :4� o 0 0 ci o0 o o ry ry ry ry ry 0 0 0 0 0 lw a N r� LJ d � t z O L Q w G s z I I I I I I LL a o .o o N 41 m 3 41 o _ c 41 N o c E LL f6 0 N a oml v yl a S m 00 - z m ono q e e e e oo e e oe rn ojoo o1 a oloo oo� ^�,I�^ ^mIq� `-' a - v a m� ry ^ � 'dmmrvry ", o m axis p m ry 0—————————o� Y n "' .o ry ry m m ry ry ry ry a Pg a N ————————————— W yl u xo mtO ev.. ^ ne rvrvrvry ev � c� � o .�.� .�. .. .. .. .. .... a1+ a z w G1 3 41 m o n O z x o a o z `o �� mm^ .o n vv mmmry d � z w "a o v cml m 3 — W ' r m ry cl� ll� rl�rl� a W O p a N = m c a > k °awl W z N m a In w n ao m o N m a In w n ao m o J W N N N N N N N N N m rtl m m m m m m m m a �y p •O } N N N N N N N N N N N N N N N N N N N N 0 N fu f E 0 V m a n a m o I m w o �n w ,� �n I w m Q m vrvi N N m m o� w �n c o ry m o c w m_ m v m ry n �o n �n o ry m v o o a }� m �n ry o v o o v,� .-i m I,o vi v v m m vi -O o o o w v v ry m m `Y' "' ry ry ry ry m C m o 0 0 0 0 0� n n n m m ry w W O N � m m V IV m O w M w V vt w N Vl w w (� O m w w 2 w o ry m a s w y m �_m v� m ry n �o n �n O ry o v w o c a (n NO p N N o m o ry o m ry m o m rri ri � d N o o o o o o o o o o o o o o o o o o o o O "m. o o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 o N y m LQ N I m o ,� ry ry ry N N N N N ry ry ry ry ry ry ry � _ N o o o o o o o o o o o o o o o o o o o o o m p ^o o o o o o o o o o o o o o o o o o o o o fu F �o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 o U 0 o vi o vi vi o o vi o vi o `n n w N m N o N o ry m N U/ o� o� n n n �o w w ry ry ry ry m In o fu 00 Y m w m w o Lrr ry w mo� o o a a a a O w o 0 o o o m w o m m mw n o 0 o m m m L o D O O L m .� m n w m m w In V m w m if vri v ry v�i v c a O N � — - LL N m o 0 o o o o o o o o o � YO O vt O O O O O O O O O � LQ Ln oq m o � w c o o o o 0 o o o o o o 0 m —o o o o o o o o o o o 0 o o o o o o o 0 0 0 0 0 o�n o o m w wo w w V vl O N ry w I� oW I� w w w �n w v w m m m In vl .� n ry v n .� o o� .� m o m o o� a m ry v v v ry w ry o 0 0� m n m o� .� 8 o ry v m - m w ry o v c Lr .� w O m n o m w m o ry m v w 000� vi v v oo�oovi v oo�o� F M M M M M M M M M M M M M M M M M M M M N n n n ry v N o w m o rr o w a m N V V N O o W n o^ m W m O N V m c N m Io oc v c w.� e w o m a w w o o o m m w w I w w vt V M M N N V 00 i - N o rn a N 00000000000000000000 a y o O O O O O O O O o O O O O O O O O O z m m N N m �o n n oq m o N n ti ti ti ti ti ti ti ti ry ry ry ry ry ry ry ry ry ry ry o o o o o o o o o o o o o o o o o o o o o ^o o o o o o o o o o o o o o o o o o o o o Q -w O o o o o o o o O O O O O O O o 0 0 0 0 o O d N N N N ry ry ry o o o 0 o o o m m m m m 6 N O w m m m m m w o n o ry m .� o m ry �n I� V m y� o w n o� N m .� w .� N o o� v n n m .� o ao - � O n v o oc O m n w n n v m �o n w a 1 N m I o I m N w o N w m o N r-i I I I I O N O O N O O ry o ry ry ory o ry ry ry o o o o N m w m m m m w o n o m o m �n I� V m o �o n wN m w N o w v n n m o wN O n v o oc o m n w n n v m wo n w a W T I t D wD o I vet vrvt V V V w M o N N N N ^ ry V O N z � 00 y N O y Q o o o o o o o o o o o o o o o o o o o o O '�' o �n o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 L 0 C M M. N N m I� V N N M V I� N Q a a N N N nl nl oq m o ry ry ry ry ry ry ry ry ry ry E d w o o o o o o o o o o o o o o o o o o o o o ^o o o o o o o o o o o o o o o o o o o o o m �o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 N !�O o o vt o o o o o o 0 O m ++ w w �o wm m m o o m l O O Q. m w " w w ry o o a N ry o awa oW v m T W O ry O W 0 L N 0 m ydj M w m- w w w N O o a N N w h 3° N a m n �n o� o ry o o m N w N N N m C �° d Q. � � Y000000000000000 O m m, o m m m 2 " m w m o 0 0 0 0 0 o a g � � u � � � c � rvrvrvrvrvry I z a m o o o o o o o o o o o o o o o o m ^o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 o u 0 o o o o o o o o O o W m � �m m m m m m m m m m m m m m m �ml � yO - � o a �O z N m a In w n ao m o N m a In w n ao m o Q F W N N N N N N N N N m m m m m m m m m m V O ~O O O O O O O O O O O O O O O O O O O O } N N N N N N N N N N N N N N N N N N N N f Z a O N OA O .p '0 N O ut e•I w M ut O R lb e•I e•I W I M b M M N a M M M n O m m ^ I I Om N }�+ to O N O m I� M N 0M M a a m N ,6 vNOororoaaovaa; v I I m 0 E o V) I I O W I I N ut ut w OVpppf m O O O O O O 00 • O m oN to p , 01 n Vf n 01 m -O N O Ln F V O E N 0 a ON m m w 0 0 n n oo O v v m eq "b o v n om m N 6 m td coo "� m z ON ~ o I N vi M v 4 Re td ri ut 0ro N ~ V) > o U vai N e•I M e•I ut N R m N 0 0 0 ut W V z v N F � 0 00 R N M 00 N O O R N O o N u n m u 00 O N 4 to N O m ut 00 00 ut M m O 00 W 0 j � 00 O e•I 00 m O O O m m M N V) 0 W LL O co Ol VI O `o CL a p 3 a � a ao m o N_ m W m 0 Lr N 't W O y c 10 � o6 m w m 0 T 'a M f6 O o w w w 0 0 O m m w N CL V1 by m No F io 0 0 0 io N N N m m m rl L C 0 N D () C 0. w a ao �3 aOOJJ oa " o ci ry�mmmm °n' mN m m.� o+ � m iC N Y O w m 0 C o o vti0 a oao"0 dN , a,V ' O) N N N N O m O O O O O O 00 O 4 > O O ut bC m m l0 m vl m I� m g E bq N N y el W I^ O O O O O O O O I_O_—_ � O w O O p O O O O O OlO O OO1 W 000 0 O N O m m O m m O I o m o O I Vf V m O N N 0 I W I� W W w U m c7 om c n o 0 0 o a TIZT m m mI o O a ———— N wLn a 3 0l O W �L N m O Q m mE O Oti jO0 p U U GC 7• N N N N N N N N N N N N F N n M M M O O O O O O m W M W N I� N O O O O O O em•I 2 O a a o t m m w a a w N vi of i6 r--� N vi N o6 o6 o6 m v v o a a a a a io io m m m m m N F n n n n n n vl vl vl a 0 '6 Oa O .� m m m O O O O 00 m o O O O O O O C a m a s N a as U 0 o a 0 m � o o6 o� m 6 v o °' Oo m oo N o 0o o� 0a m m o 0 m 00. N O O — ei O O w W ry F lom O d m Z � 0 a � U 0 u ar N O O N ad+ 0 0 0 0 0 0 0 0 0 0 w v V m vl O m vl O O O O O 00 - 0 0 vl 1� O O O O O 00 'y � � 0 0 -1 N vl O O O O O O � —0 y bq m m tm m m m a a a a a a w OO V) ----------- QQ W O IO 0 0 0 0 0 0 0 0 0 0 01 O Q .N O `� 0 0 0 0 0 0 0 0 0 0 00 O O) O N I O O O O O O O O O O O O I O E ? p 0l N vm vm O O m O vm O O vm vm �. c Ima �omo 0o mm0N oo ++ by y o c N N N N 0 0 t a V m a a o H o > c� gal I d W o N y�j m a \�dqi NoN .N-, NN mN aN NNNNNm .m-, C afH�LC E0 w m 0UL=. N N 0 0 0 O O O O O O O O O O U 1 7• N N N N N N N N N N N N f Z Page 9 7 u o z N `X �LL u m J= z _w o Wa co W J "A 0 N c6 N 00 N N C W O r- 0 o O o U ti (0 o w Q N N N P-- N Z C N N m 00� ZN co o Qa 0 U v .E m u c E_ Rf m O N J COC m D QC 2 N 0 L I O T a o L � o o N C: �_ o Z O c c) N o > �, L a0 N ca N co m.� Z a) G N o 'T � N �' +�+ 810 o.� > Q LV L6 m m E2 Y m m >> m L X � pp ca � M } > W O m c O � O N i L i (6 Do m N N m r E co i d m a 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 ° U? o U? o U o U? o °p a� U') LO It M M N N Page 10 ° y O.'%' E H L E R S PU_L.t I INiswiGc A,DVISUR'-- April 28, 2020 Pre-Sale Report for City of Oshkosh , Wisconsin $7,360,000 General Obligation Promissory Notes, Series 2020B Oshkosh Prepared by: Todd Taves, CIPMA Senior Municipal Advisor Jon Cameron, CIPMA Senior Municipal Advisor BUILDING COMMUNITIES. IT'S WHAT WE DO. ® info@ehlers-inc.com % 1 (B©O)552-1171 @ www.ehlers-inc.com Executive Summary of Proposed Debt Proposed Issue: $7,360,000 General Obligation Promissory Notes, Series 2020B ("Notes") Purposes: The proposed Notes will finance sidewalk,traffic,property improvements, and major equipment replacement. Debt service will be paid from ad valorem property taxes, which the City will partially abate with special assessment revenues, and revenues derived from operation of the Oshkosh Centre. Authority: The Notes are being issued pursuant to Wisconsin Statutes 67.12(12) and will be general obligations of the City for which its full faith, credit and taxing powers are pledged. The Notes count against the City's General Obligation debt capacity limit of 5% of total City equalized valuation.Following issuance of the Notes,and the Series 2020A General Obligation Corporate Purpose Bonds to be issued concurrently, the City's total General Obligation debt principal outstanding will be approximately $138.9 million, which is 66% of its limit. Remaining General Obligation borrowing capacity will be approximately$71.7 million.At the end of the 2020 fiscal year, General Obligation debt capacity usage will be approximately 59.1% of the City's limit. Term/Call Feature: The Notes are being issued for a term of 10 years. Principal on the Notes will be due on June 1 in the years 2021 through 2030. Interest is payable every six months beginning June 1,2021. The Notes will be subject to prepayment at the discretion of the City on June 1,2026 or any date thereafter. Bank Qualification: Because the City is issuing, or expects to issue,more than $10,000,000 in tax- exempt obligations during the calendar year, the City will be not able to designate the Notes as"bank qualified"obligations. Rating: The City's most recent bond issues were rated by Moody's Investors Service. The current ratings on those bonds are"Aa3".The City will request a new rating for the Notes. If the winning bidder on the Notes elects to purchase bond insurance, the rating for the issue may be higher than the City's bond rating if the bond rating of the insurer is higher than that of the City. Basis for Recommendation: Based on our knowledge of your situation, your objectives communicated to us, our advisory relationship as well as characteristics of various municipal financing options, we are recommending the issuance of Notes as a suitable option based on: • The expectation this form of financing will provide the overall lowest cost of funds while also meeting the City's objectives for term, structure and optional redemption. • The City having adequate General Obligation debt capacity to undertake this financing. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 1 • The nature of the projects being financed,which will not generate user or other fees in amounts sufficient to secure a revenue obligation. • The City's current Capital Improvements Plan which identified issuance of General Obligation Notes to finance these projects. Method of Sale/Placement: We will solicit competitive bids for the purchase of the Notes from underwriters and banks. We will include an allowance for discount bidding in the terms of the issue.The discount is treated as an interest item and provides the underwriter with all or a portion of their compensation in the transaction. If the Notes are purchased at a price greater than the minimum bid amount(maximum discount), the unused allowance may be used to reduce your borrowing amount. Premium Pricing: In some cases, investors in municipal bonds prefer "premium" pricing structures. A premium is achieved when the coupon for any maturity (the interest rate paid by the issuer) exceeds the yield to the investor, resulting in a price paid that is greater than the face value of the bonds. The sum of the amounts paid in excess of face value is considered "reoffering premium."The underwriter of the bonds will retain a portion of this reoffering premium as their compensation (or"discount")but will pay the remainder of the premium to the City. For this issue of Notes, any premium amount received that is in excess of the underwriting discount and any capitalized interest amounts must be placed in the debt service fund and used to pay a portion of the interest payments due on the Notes. The amount of premium allowed can be restricted in the bid specifications. Restrictions on premium may result in fewer bids but may also eliminate large adjustments on the day of sale and unintended results with respect to debt service payment impacts. Ehlers will identify appropriate premium restrictions for the Notes intended to achieve the City's objectives for this financing. Other Considerations: Term Bond Option.The Notes will be offered with the option of the successful bidder utilizing a term bond structure. By offering underwriters the option to "term up" some of the maturities at the time of the sale, it gives them more flexibility in finding a market for your Notes. This makes your issue more marketable,which can result in lower borrowing costs. If the successful bidder utilizes a term bond structure,we recommend the City retain a paying agent to handle responsibility for processing mandatory redemption/call notices associated with term bonds. Review of Existing Debt: We have reviewed all outstanding indebtedness for the City. We are recommending that the City consider refinancing its Series 2011C General Obligation Corporate Purpose Bonds to achieve debt service savings. We have included this proposed refunding within the Series 2020A General Obligation Corporate Purpose Bonds be issued concurrently with the Notes. We will continue to monitor the market and the call dates for the City's outstanding debt and will alert you to any future refunding opportunities. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 2 Continuing Disclosure: Because the City has more than $10,000,000 in outstanding debt(including this issue) and this issue is over $1,000,000, the City will be agreeing to provide certain updated Annual Financial Information and its Audited Financial Statement annually, as well as providing notices of the occurrence of certain reportable events to the Municipal Securities Rulemaking Board(the"MSRB"), as required by rules of the Securities and Exchange Commission (SEC). The City is already obligated to provide such reports for its existing bonds and has contracted with Ehlers to prepare and file the reports. Arbitrage Monitoring: Because the Notes tax-exempt obligations, the City must ensure compliance with certain Internal Revenue Service (IRS) rules throughout the life of the issue. These rules apply to all gross proceeds of the issue,including initial bond proceeds and investment earnings in construction,escrow,debt service,and any reserve funds. How issuers spend bond proceeds and how they track interest earnings on funds(arbitrage/yield restriction compliance) are common subjects of IRS inquiries. Your specific responsibilities will be defined in the Tax Exemption Certificate and Agreement prepared by your Bond Attorney and provided at closing.We recommend that you regularly monitor compliance with these rules and/or contract with Ehlers to assist you. We also recommend that you establish written procedures regarding compliance with IRS rules and/or contract with Ehlers to assist you. Investment of Note Proceeds: To maximize interest earnings, we recommend using an SEC registered investment advisor to assist with the investment of bond proceeds until they are needed to pay project costs. Ehlers is a registered investment advisor and can assist the City in developing an appropriate investment strategy if needed. Risk Factors: Debt Service Abatement: The City expects to abate a portion of the City debt service with special assessments and revenues derived from operation of the Oshkosh Centre. In the event these revenues are not available, the City is obligated to levy property taxes in an amount sufficient to make all debt payments. Other Service Providers: This debt issuance will require the engagement of other public finance service providers. This section identifies those other service providers, so Ehlers can coordinate their engagement on your behalf. Where you have previously used a firm to provide a service, we have assumed that you will continue that relationship. For services you have not previously required,we have identified a service provider. Fees charged by these service providers will be paid from proceeds of the obligation,unless you notify us that you wish to pay them from other sources. Our pre-sale bond sizing includes a good faith estimate of these fees, but the final fees may vary. If you have any questions pertaining to the identified service providers or their role, or if you would like to use a different service provider for any of the listed services please contact us. Bond Counsel: Chapman and Cutler LLP Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 3 Paying Agent: Issuer,unless term bonds offered,then U.S. Bank National Association Rating Agency:Moody's Investors Service,Inc. Proposed Debt Issuance Schedule Pre-Sale Review by City Council: Apri128,2020 Due Diligence Call to review Official Statement: May 11 —May 27 (To Be Scheduled) Conference with Rating Agency: May 11 —May 27 (To Be Scheduled) Distribute Official Statement: June 1,2020 City Council Meeting to Award Sale of the Notes: June 9,2020 Estimated Closing Date: July 2,2020 Attachments Estimated Sources and Uses of Funds Estimated Proposed Debt Service Schedule Bond Buyer Index Ehlers Contacts Municipal Advisors: Todd Taves (262)796-6173 Jon Cameron (262)796-6179 Disclosure Coordinator: Sue Porter (262)796-6167 Financial Analyst: Kathy Myers (262)796-6177 The Preliminary Official Statement for this financing will be sent to the City Council at their home or email address for review prior to the sale date. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 4 III&V City of Oshkosh, WI Oshkosh 2020 General Obligation Sizing Worksheet Presale Estimate Presale Estimate Sale 6-9-2020 Sale 6-9-2020 Est.Dated 7-2-2020 Est.Dated 7-2-2020 G.O. G.O.Corporate Promissory Purpose Bonds Notes Series 2020A Series 2020B Capital Projects' Tax-Exempt Tax-Exempt Comprehensive Streets/Utility Improvements Street Improvements $ 3,901,400 $ - Sidewalks $ - $ 233,500 Traffic Improvements $ - $ 485,000 Public Infrastructure Improvements-OtherStreets $ 750,000 $ - Publiclnfrastructurelmprovements-Sidewalks $ - $ 988,000 Park Improvements $ 570,000 $ - Public Property Improvements $ - $ 2,004,000 Major Equipment $ $ 494,100 Major Equipment-Vehicles $ $ 3,054,000 Tax Increment Financing(TIF)District Improvements $ - $ - Subtotal Capital Projects $ 5,221,400 $ 7,258,600 Refinance Series 2011C G.O.Bonds Principal to be Redeemed $ 6,085,000 Accrued Interest $ 25,857 Less Debt Service Funds On Hand $ (643,241) Subtotal Refunding $ 5,467,617 Estimated Issuance Expenses Ehlers(Municipal Advisor) $ 31,700 $ 22,500 Chapman&Cutler(Bond Counsel) $ 12,000 $ 14,000 Maximum Discount(Bid Item)Z $ 135,875 $ 73,600 Moody's Investors Service(Rating Fee) $ 14,310 $ 9,690 U.S.Bank(Paying Agent) $ 850 $ 850 TOTAL TO BE FINANCED $ 10,883,752 $ 7,379,240 Estimated Interest Earnings3 $ (14,185) $ (19,719) Rounding $ 432 $ 480 NET BOND OR NOTE SIZE $ 10,870,000 $ 7,360,000 NOTES: Capital projects amounts taken from City of Oshkosh Capital Improvement Program 2020-2024 approved November 12,2019. 2Maximum allowable discount of 1.25%for the Series 2020A Bonds,and 1.0%for the Series 2020B Notes. 3Assumes temporary investment of available new money proceeds at 1.63%for 60 days.(December 2019 LGIP Rate). 00-S Page 5 3/30/2020 FgNEHLERS � I File: Oshkosh Debt Base Case-2020-2-5/G.O. Sizing 2020 �rvrvrvrvrvrvrvrvrvrvrvrvrvrvrvrvrvrvrvrvry - 00 O E O\ N m y _ m � � � �� �4e 4 :4� o 0 0 ci o0 o o ry ry ry ry ry 0 0 0 0 0 lw a N r� LJ d � t z O L Q w G s z I I I I I I LL a o .o o N 41 m 3 41 o _ c 41 N o c E LL f6 0 N a oml v yl a S m 00 - z m ono q e e e e oo e e oe rn ojoo o1 a oloo oo� ^�,I�^ ^mIq� `-' a - v a m� ry ^ � 'dmmrvry ", o m axis p m ry 0—————————o� Y n "' .o ry ry m m ry ry ry ry a Pg a N ————————————— W yl u xo mtO ev.. ^ ne rvrvrvry ev � c� � o .�.� .�. .. .. .. .. .... a1+ a z w G1 3 41 m o n O z x o a o z `o �� mm^ .o n vv mmmry d � z w "a o v cml m 3 — W ' r m ry cl� ll� rl�rl� a W O p a N = m c a > k °awl W O C C a-I N P9 C Ln lG rl 00 m O J W N O N N N N N N N N N P9 O O O O O O O O O O Q }' N N N N N N N N N N O U F O p l0 00 O m N 00 c-I c-I N 00 1p M O O N I� v1 c-I m 00 I� v1 op Q c-I O O l0 w 7 N M l0 O C d V1 I� l0 7 N O I� M o0 00 P9 (A ++ oNo ono ono ono ono o�0 000 000 °� °� o W O Z ' m v o c c O m N wN 00 o o N in ,� m m w oo Go ao N W ci O O l0 o0 7 N M l0 O v I 0 0 V1 N c-I m rl V1 N w M 00 P9 N - a N � o W m O O O O O O O O Q a) ; m m l0 m l0 �V1 r, m Io V1 7 N 3 V1 V1 V1 V1 n W m O Ln O O O O O O O O O O O m p !y O O O O O O O O O O O u F 0 0 0 0 0 0 0 0 0 0 O �.O vi vi vi vi vi vi vi vi O O � l0 I� n n n n n n n n M m M m w r m c-I 0 M N N N V1 m — c-I V1 m O O N M G M c-I O 00 lo 7 M c-I 00 0 d N c-I c-I c-I c-I O Ln O Y t m M c0 c-I m c-I lD M N N N Ln V m M o0 c V m O O N O i d M M c-I O c0 to 7 M .--I CO � d _ L Y m Q m m O O O O O O O O cc l0 m V1 m Io V1 7 V1 V1 V1 V1 n W m O W r, l0 � O O O O O O O O O O O !y O O O O O O O O O O O 0 0 0 0 0 0 0 0 0 0 O ei o` O O O v�i lm0 M l0 7 vmi l0 ed+ 00 00 00 w w rl to w V1 O m F 0 0 0 0 0 0 0 0 0 rl rn 0 rn N N o o N w m N m m 0 v c-I N O �/1 l0 M l0 V1 O A, M m w W d V1 m 00 I, lo 7 M N l!1 •L W N O^ m O O O O O O O O L d' m m l0 m m Io 4-� V1 V1 V1 V1 l0 � m O A W to r, n W of o Z �j. O O O O O O O O O O O !y O O O O O O O O O O O 0 0 0 0 0 0 0 0 0 0 O l oo 0 r O Vf V1 c-I N M V1 3 � W O N V1 l0 l0 l0 l0 l0 l0 l0 l0 I� .T Vf 3 0` ip" N 0 •� I� �f1 O c-I 7 l0 m O N to O A A, F O m m m m m m o0 00 00 � li LW OW • �y I� �f1 O c-I 7 to m O N to O o Y M m 00 7 l0 M 7 7 c-I c-I I� p 3 N m M O m M m 7 m 7 W o y d c-I c-I c-I m 00 l0 V1 M N coo" O v)ALA,, C W m d oN W � � .mY000000000o N d 0 v 0 0 0 0 0 0 0 0 O 0 N C M M to m V1 ci m r, 7 (7 d Q �n �n �n �n lo oo m o a Wri c-i c-i c-i c-i c-i c-i c-i c-i N a 0 0 0 0 0 0 0 0 0 0 o o 0 m 0 0 0 0 0 0 0 0 o o 0 0 0 0 0 0 coo 0 0 .�vi vi vi vi vi vi vi o 0 o vi � . � Co m ti Y "M Lnv W a-I N M I Ln w r� w m O F F Ll N N N N N N N N N M O O O O O O O O O O O O ! N N N N N N N N N N F I Z.a Page 7 7 u o z N `X �LL u m J= z _w o Wa co W J "A 0 N c6 N 00 N N C W O r- 0 o O o U ti (0 o w Q N N N P-- N Z C N N m 00� ZN co o Qa 0 U v .E m u c E_ Rf m O N J COC m D QC 2 N 0 L I O T a o L � o o N C: �_ o Z O c c) N o > �, L a0 N ca N co m.� Z a) G N o 'T � N �' +�+ 810 o.� > Q LV L6 m m E2 Y m m >> m L X � pp ca � M } > W O m c O � O N i L i (6 Do m N N m r E co i d m a 0 0 0 0 0 0 0 0 ° U? o U? o U o U? o °p a� U*) LO It 'T M M N N Page 8 ° y O.'%' E H L E R S PU_L.t I INiswiGc A,DVISUR'-- April 28, 2020 Pre-Sale Report for City of Oshkosh , Wisconsin $5,055,000 Storm Water Utility Revenue Bonds, Series 2020C lr Oshkosh Prepared by: Todd Taves, CIPMA Senior Municipal Advisor Jon Cameron, CIPMA Senior Municipal Advisor BUILDING COMMUNITIES. IT'S WHAT WE DO. ® info@ehlers-inc.com % 1 (B©O)552-1171 @ www.ehlers-inc.com Executive Summary of Proposed Debt Proposed Issue: $5,055,000 Storm Water Utility Revenue Bonds, Series 2020C ("Bonds") Purposes: The proposed issue includes financing for construction of storm water utility system improvements. Authority: The Bonds are being issued pursuant to Wisconsin Statute 66.0621. The Bonds are not general obligations of the City but are payable only from and secured by a pledge of income and revenue to be derived from the operation of the Storm Water System. Term/Call Feature: The Bonds are being issued for a term of 20 years. Principal on the Bonds will be due on May 1 in the years 2021 through 2040. Interest is payable every six months beginning May 1,2021.The Bonds will be subject to prepayment at the discretion of the City on May 1,2029 or any date thereafter. Bank Qualification: Because the City is issuing, or expects to issue,more than $10,000,000 in tax- exempt obligations during the calendar year, the City will be not able to designate the Bonds as"bank qualified"obligations. Rating: The City's most recent bond issues were rated by Moody's Investors Service. The current ratings on those bonds are"A I".The City will request a new rating for the Bonds. If the winning bidder on the Bonds elects to purchase bond insurance, the rating for the issue may be higher than the City's bond rating in the event that the bond rating of the insurer is higher than that of the City. Basis for Recommendation: Based on our knowledge of your situation, your objectives communicated to us, our advisory relationship as well as characteristics of various municipal financing options, we are recommending the issuance of Bonds as a suitable option based on: • Net system revenues available for debt service that provide coverage for the estimated principal and interest payments of the proposed Bonds and existing parity debt.(See also the Other Considerations section.) • The City's past practice of using revenue bonds to finance enterprise system improvements to reduce its General Obligation Direct Debt Burden. • Limited debt capacity to finance the project(s)on a General Obligation basis. • The City's current Capital Improvements Plan which identified issuance of revenue bonds to finance these projects. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 1 Method of Sale/Placement: We will solicit competitive bids for the purchase of the Bonds from underwriters and banks. We will include an allowance for discount bidding in the terms of the issue.The discount is treated as an interest item and provides the underwriter with all or a portion of their compensation in the transaction. If the Bonds are purchased at a price greater than the minimum bid amount(maximum discount), the unused allowance may be used to reduce your borrowing amount. Premium Pricing: In some cases, investors in municipal bonds prefer "premium" pricing structures. A premium is achieved when the coupon for any maturity (the interest rate paid by the issuer) exceeds the yield to the investor, resulting in a price paid that is greater than the face value of the bonds. The sum of the amounts paid in excess of face value is considered "reoffering premium."The underwriter of the bonds will retain a portion of this reoffering premium as their compensation(or"discount")but will pay the remainder of the premium to the City. For this issue of Bonds, any premium amount received may: be retained; used to reduce the issue size;or combination thereof. These adjustments may slightly change the true interest cost of the original bid,either up or down. We anticipate using any premium amounts received to reduce the issue size. The amount of premium allowed can be restricted in the bid specifications. Restrictions on premium may result in fewer bids but may also eliminate large adjustments on the day of sale and unintended results with respect to debt service payment impacts. Ehlers will identify appropriate premium restrictions for the Bonds intended to achieve the City's objectives for this financing. Other Considerations: Additional Bonds Test. The City's ability to proceed with issuance of the Bonds is contingent on verification that revenues generated from operation of the Storm Water System in 2019 were sufficient to meet the additional bonds test. The additional bonds test requires that net system revenues be at least 1.2 times the annual debt service payment for the Bonds and all existing parity debt. Term Bond Option:The Bonds will be offered with the option of the successful bidder utilizing a term bond structure. By offering underwriters the option to "term up" some of the maturities at the time of the sale, it gives them more flexibility in finding a market for your Bonds. This makes your issue more marketable,which can result in lower borrowing costs. If the successful bidder utilizes a term bond structure,we recommend the City retain a paying agent to handle responsibility for processing mandatory redemption/call notices associated with term bonds. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 2 Review of Existing Debt: We have reviewed all outstanding indebtedness for the City. We are recommending that the City consider refinancing its Series 2011C General Obligation Corporate Purpose Bonds to achieve debt service savings. We have included this proposed refunding within the Series 2020A General Obligation Corporate Purpose Bonds. We will continue to monitor the market and the call dates for the City's outstanding debt and will alert you to any future refunding opportunities. Continuing Disclosure: Because the City has more than $10,000,000 in outstanding debt(including this issue) and this issue is over $1,000,000, the City will be agreeing to provide certain updated Annual Financial Information and its Audited Financial Statement annually, as well as providing notices of the occurrence of certain reportable events to the Municipal Securities Rulemaking Board(the"MSRB"), as required by rules of the Securities and Exchange Commission (SEC). The City is already obligated to provide such reports for its existing bonds and has contracted with Ehlers to prepare and file the reports. Arbitrage Monitoring: Because the Bonds tax-exempt obligations, the City must ensure compliance with certain Internal Revenue Service (IRS) rules throughout the life of the issue. These rules apply to all gross proceeds of the issue,including initial bond proceeds and investment earnings in construction,escrow,debt service,and any reserve funds. How issuers spend bond proceeds and how they track interest earnings on funds(arbitrage/yield restriction compliance)are common subjects of IRS inquiries. Your specific responsibilities will be defined in the Tax Exemption Certificate and Agreement prepared by your Bond Attorney and provided at closing.We recommend that you regularly monitor compliance with these rules and/or contract with Ehlers to assist you. We also recommend that you establish written procedures regarding compliance with IRS rules and/or contract with Ehlers to assist you. Investment of Bond Proceeds: To maximize interest earnings, we recommend using an SEC registered investment advisor to assist with the investment of bond proceeds until they are needed to pay project costs. Ehlers is a registered investment advisor and can assist the City in developing an appropriate investment strategy if needed. Risk Factors: Service to the City. In the event utility revenues are insufficient to pay debt service, the City Council is committing to consider appropriating funds from any other available sources in an amount sufficient to cover the shortfall. If it chooses to do so, the City may levy a tax to make up a shortfall. Any amount levied for this purpose is exempted from levy limits. While the City is not required to appropriate the funds necessary to remedy any shortfall in revenues needed to pay debt service,failure to do so would result in either a lack of access to capital markets in the future,or access at a substantially higher cost. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 3 Other Service Providers: This debt issuance will require the engagement of other public finance service providers. This section identifies those other service providers, so Ehlers can coordinate their engagement on your behalf. Where you have previously used a firm to provide a service, we have assumed that you will continue that relationship. For services you have not previously required,we have identified a service provider. Fees charged by these service providers will be paid from proceeds of the obligation,unless you notify us that you wish to pay them from other sources. Our pre-sale bond sizing includes a good faith estimate of these fees, but the final fees may vary. If you have any questions pertaining to the identified service providers or their role, or if you would like to use a different service provider for any of the listed services please contact us. Bond Counsel: Chapman and Cutler LLP Paying Agent: Issuer,unless term bonds offered,then U.S. Bank National Association Rating Agency:Moody's Investors Service,Inc. Proposed Debt Issuance Schedule Pre-Sale Review by City Council: Apri128,2020 Due Diligence Call to review Official Statement: May 11 —May 27 (To Be Scheduled) Conference with Rating Agency: May 11 —May 27 (To Be Scheduled) Distribute Official Statement: June 1,2020 City Council Meeting to Award Sale of the Bonds: June 9,2020 Estimated Closing Date: July 2,2020 Attachments Estimated Sources and Uses of Funds Estimated Proposed Debt Service Schedule Bond Buyer Index Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 4 Ehlers Contacts Municipal Advisors: Todd Taves (262)796-6173 Jon Cameron (262)796-6179 Disclosure Coordinator: Sue Porter (262)796-6167 Financial Analyst: Kathy Myers (262)796-6177 The Preliminary Official Statement for this financing will be sent to the City Council at their home or email address for review prior to the sale date. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 5 A City of Oshkosh Oshkosh 2020 Revenue Bond Sizing Worksheet Presale Estimate Presale Estimate Presale Estimate Sale 6-9-2020 Sale 6-23-2020 Sale 6-23-2020 Est.Dated 7-2-2020 Est.Dated 7-16-2020 Est.Dated 7-16-2020 Storm Water Utility Revenue Water System Sewer System Rnndq Revenue Bonds Revenue Bonds Series 2020C Series 2020D Series 2020E Capital Projects' Tax-Exempt Tax-Exempt Tax-Exempt Comprehensive Streets/Utility Improvements $ 1,918,000 $ 1,922,400 $ 5,230,900 Public Infrastructure Improvements-Other Streets $ 518,000 $ - $ 1,866,600 Public Infrastructure Improvements-Other Utilities $ 50,000 $ 1,457,600 $ 658,900 Public Infrastructure Improvements $ 2,124,000 $ 1,799,500 $ 500,000 Public Property Improvements $ $ $ 5,357,600 Major Equipment $ $ 214,000 $ 151,000 Major Equipment-Vehicles $ $ 217,000 $ 71,000 Subtotal Capital Projects $ 4,610,000 $ 5,610,500 $ 13,836,000 Reserve Fund Adjustments New Reserve Fund Requirement $ 7,095,258 $ 3,827,257 $ 5,209,178 Less Current Reserve Requirement $ (6,769,481) $ (3,668,296) $ (4,378,163) Net Deposit to Reserve Fund Required $ 325,777 $ 158,962 $ 831,016 Estimated Issuance Expenses Ehlers(Municipal Advisor) $ 31,800 $ 34,100 $ 52,100 Chapman&Cutler(Bond Counsel) $ 15,000 $ 15,000 $ 25,000 Maximum Discount(Bid Item)@ 1.25% $ 63,188 $ 73,750 $ 186,563 Moody's Investors Service(Rating Fee) $ 18,000 $ 18,000 $ 27,000 U.S.Bank(Paying Agent) $ 850 $ 850 $ 850 TOTAL TO BE FINANCED $ 5,064,615 $ 5,911,162 $ 14,958,528 Estimated Interest Earnings $ (12,524) $ (15,242) $ (37,588) Rounding $ 2,909 $ 4,080 $ 4,059 NET BOND SIZE $ 5,055,000 $ 5,900,000 $ 14,925,000 NOTES: 'Capital projects amounts taken from City of Oshkosh Capital Improvement Program 2020-2024 approved November 12,2019. Assumes temporary investment of available new money proceeds at 1.63%for 60 days.(December 2019 LGIP Rate). 00—1%4 leE H L E R� Page 6 3/30/2020 File: Oshkosh Debt Base Case-2020-2-5/Rev Sizing 2020 O N N M a Vf w 00 m 0 N N M a m m n 00 m 0 O m 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 N (� N O � N m N N m n n ei O ei w Vf w w m N I� a 0n 0N m CE O O O O O O N N N N N a, -* M O m O v m m °9 j ei ei ei ei ei ei ei ei ei ei ei ei ei ei N N 1M 1M a 00 N N m C ULUL A, 0 N i M M M M M M M M M M M M M M M M M M M M M L\n 0 o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0' C 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 CL y as m � N C z oo" oo"oo" oo" oo" oo" oo"oo" oo" oo" oo" oo"oo" oo" oo" oo" oo" oo" oo" oo oo' � L w O m 0 a 0 i. m N l� m N �n to i. o a m m o v N o W W 't rl m N 't I� N rl N rl r- lc O O O ei m 0 ry of ry m m .-i 0 " 0 m 0� 0 0 .-i m a m 0 T .6 v s O 0 m W .-I W m O N N I� m m m .-I m N n F to m m Lr �n N m N m o Lr Lr o m m to m to M m Nlb N U 0 m m m a m a m m .� m to m O O O O O O O O 0 N -°'o N 0 to to m to m m m N O 0 n > qj W W l0 lfl m N o� a m m N r m 3 = a N m o o N o 0 0 0 0 Qa" CD V1 j O a a a m m N ° a--r m N O c -Jo p N ~ m 0 w N a m m m to w a m a w m a M v 0 � 0 m a m w m 0 m m 0 � O � a m m O N Lr oc m a oc a s l0 O O lD DO N N a o o a u u m a m 0 0 m m 0 a M o > a m m m m a m n m N oo O O �n m o m m to m to m O -o `0 N _ _ O � 3 Q N 0 y v o mi O 'I O Q 431 cn oNo. m° v to 0 (n � N ei ei ei ei ei ei ei ei ei ei ei ei ei ei N N M M a 00 N r 3 U 0l N a II II O1 CL CL CL CL CL CL CL CL CL CL CL CL CL CL CL CL CL CL CL 0 0 w as m 0' 0'0' 0' 0' 0' 0'0' 0' 0' 0' 0'0' 0' 0' 0' 0' 0' 0' 0 0 > C Z oo oo oo oo oo oo oo oo oo oo oo oo oo oo oo oo oo oo oo oo" oo" o fC ++ m m 0 m N a m m m 0 m a m a m m a 0 of J {A + N O n 0 m m m m io m m 0 � O � a m m a N N bA N -a Lr N N oc r- m m a oc a s lc O O 0 T 00 Q c _ a m m m a m m m m - 0 0 - m T m l6 a ll 0l T m m m m m I� O W m m N m N 00 y0 O r- o C C C 0 m 6 m m m m m I N m N o m m to m to m m O w 3 S l6 n: ri l l6 l6 l6 to N m m N N .� N w �i m 0 to m to m m to .� m a N m N m to M Q m m to 0 to Lr m o lc ro lc m N a m m a m o m m m oc m to m to Do N ! . . N l6 N m m m m N . . . N . N . . m . lD W y N N N N N N N N N N N N N N N N N N N N W � H m m m m m m m m m m m m m m m m m m m m a � ON lD w O m m as 0 a o to m m m to .� m a N m N m to M 3 m m to to Lr m o .� lc o lc a a m > � � a o M-m a m o a N moc m to m to oc to a o0 y� W N 0 0 m 0 a0+ CC p rV > 0 c •� •� 3 y N m m w m 0 0 m ' N m 0 m N m 'T 'T m O m m m `1 m K O � W oq m ti o N m m �n Ln l� lmo � r-� r-� m L .-I .-I .-I .-I .-I .-I N N N N N N N N N N N N N N 10 /1\ OnnNOj a N N NON ON O O OffI 7------7 O� OO O O O 0 O O O OOO O O OOOOOOOOO'OOOO O O O O O O O O O O OOOOOOOOOOOI O O m O O m O m OIm m O m O O m m m O ON Im m T T m 0 0 m m m 0 N N N N NN N N N N N N N N OV1lf1" 'Naol m m m I ro 0 n L ——————————— C M- m m N m m - to m m N m m m m 0 m O l0 W N W O m N m m N N N m I� M C }1 N Lr T oc O m a oc Lr N .-I N lfl m O O W l0 m m m �m N O 0 m T N m m 0 0 m N m w Y 0l l0 l0 l0 l0 l0 T m M N 0 M M m T 0 m M m O I� n n n n n N N N l0 l0 n l0 O m m N m Vf O _ O 3 O N 3 ? W m ti N ti N m ti D m W N m m m 0 m O V W W oc O m W m N N N Lr It M lfl W 0 m W lfl N .-I N m , m .2 M j O C a0+ d m ti O m m m N m O m T O m m 0 m m I� m ei O N N ry <D N 0M O N 0m I� N 0 m m m M m a O 3 r- Lr m o oc to a m m to a > m N m �U O S N N N N N .-I .-I .-I .-I .-I N t'j CC V `o a J 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 O O O O O O O O O O O O O O O O O O O O O o a a 9 m o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 T 0 m 0 T m o to m N to to m 0 m to M > > yKj m N Lr r- m oc N r- N N m oc m N M lD m 0 a m lfl lfl lfl lfl m N N .-I .-I W O o W Ln — 'o d 'm '_m a\i o N N M v M to n oo m o N N HQ C N m Mo M oMo mM o MMmM O O O O O O O O O O O O O O O O OE a N N N N N NNNN N N N N N F I I Z a Z Page 7 7 u o z N `X �LL u m J= z _w o Wa co W J "A 0 N c6 N 00 N N C W O r- 0 o O o U ti (0 o w Q N N N P-- N Z C N N m 00� ZN co o Qa 0 U v .E m u c E_ Rf m O N J COC m D QC 2 N 0 L I O T a o L � o o N C: �_ o Z O c c) N o > �, L a0 N ca N co m.� Z a) G N o 'T � N �' +�+ 810 o.� > Q LV L6 m m E2 Y m m >> m L X � pp ca � M } > W O m c O � O N i L i (6 Do m N N m r E co i d m a 0 0 0 0 0 0 0 0 ° U? o U? o U o U? o °p a� U*) LO It 'T M M N N Page 8 ° y g'%' EHLERS ■ PltrL:t I IiJ.; C q '111iCr 'e April 28, 2020 Pre-Sale Report for City of Oshkosh , Wisconsin $5,900,000 Water System Revenue Bonds, Series 2020D OirvA Oshkosh Prepared by: Todd Taves, CIPMA Senior Municipal Advisor Jon Cameron, CIPMA Senior Municipal Advisor BUILDING COMMUNITIES. IT'S WHAT WE DO. ® info@ehlers-inc.com % 1 (BOO)552-1171 @ www.ehlers-inc.com Executive Summary of Proposed Debt Proposed Issue: $5,900,000 Water System Revenue Bonds, Series 2020D ("Bonds") Purposes: The proposed issue includes financing for construction of system improvements and for replacement of major equipment. Authority: The Bonds are being issued pursuant to Wisconsin Statutes 66.0621.The Bonds are not general obligations of the City but are payable only from and secured by a pledge of income and revenue to be derived from the operation of the Water System. Term/Call Feature: The Bonds are being issued for a term of 20 years. Principal on the Bonds will be due on January 1 in the years 2021 through 2040. Interest is payable every six months beginning January 1,2021.The Bonds will be subject to prepayment at the discretion of the City on January 1,2028 or any date thereafter. Bank Qualification: Because the City is issuing, or expects to issue,more than $10,000,000 in tax- exempt obligations during the calendar year, the City will be not able to designate the Bonds as"bank qualified"obligations. Rating: The City's most recent bond issues were rated by Moody's Investors Service. The current ratings on those bonds are"Aa3".The City will request a new rating for the Bonds. If the winning bidder on the Bonds elects to purchase bond insurance, the rating for the issue may be higher than the City's bond rating if the bond rating of the insurer is higher than that of the City. Basis for Recommendation: Based on our knowledge of your situation, your objectives communicated to us, our advisory relationship as well as characteristics of various municipal financing options, we are recommending the issuance of Bonds as a suitable option based on: • Net system revenues available for debt service that are expected to provide sufficient coverage for the estimated principal and interest payments of the proposed Bonds and existing parity debt. • The City's past practice of using revenue bonds to finance enterprise system improvements to reduce its General Obligation Direct Debt Burden. • Limited debt capacity to finance the project(s) on a General Obligation basis. • The City's current Capital Improvements Plan which identified issuance of revenue bonds to finance these projects. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 1 Method of Sale/Placement: We will solicit competitive bids for the purchase of the Bonds from underwriters and banks. We will include an allowance for discount bidding in the terms of the issue.The discount is treated as an interest item and provides the underwriter with all or a portion of their compensation in the transaction. If the Bonds are purchased at a price greater than the minimum bid amount(maximum discount), the unused allowance may be used to reduce your borrowing amount. Premium Pricing: In some cases, investors in municipal bonds prefer "premium" pricing structures. A premium is achieved when the coupon for any maturity (the interest rate paid by the issuer) exceeds the yield to the investor, resulting in a price paid that is greater than the face value of the bonds. The sum of the amounts paid in excess of face value is considered "reoffering premium." The underwriter of the bonds will retain a portion of this reoffering premium as their compensation(or"discount")but will pay the remainder of the premium to the City. For this issue of Bonds, any premium amount received may: be retained; used to reduce the issue size;or combination thereof. These adjustments may slightly change the true interest cost of the original bid,either up or down.We anticipate using any premium amounts received to reduce the issue size. The amount of premium allowed can be restricted in the bid specifications. Restrictions on premium may result in fewer bids but may also eliminate large adjustments on the day of sale and unintended results with respect to debt service payment impacts. Ehlers will identify appropriate premium restrictions for the Bonds intended to achieve the City's objectives for this financing. Other Considerations: Term Bond Option.The Bonds will be offered with the option of the successful bidder utilizing a term bond structure. By offering underwriters the option to "term up" some of the maturities at the time of the sale, it gives them more flexibility in finding a market for your Bonds. This makes your issue more marketable,which can result in lower borrowing costs. If the successful bidder utilizes a term bond structure,we recommend the City retain a paying agent to handle responsibility for processing mandatory redemption/call notices associated with term bonds. Review of Existing Debt: We have reviewed all outstanding indebtedness for the City. We are recommending that the City consider refinancing its Series 2011C General Obligation Corporate Purpose Bonds to achieve debt service savings. We have included this proposed refunding within the Series 2020A General Obligation Corporate Purpose Bonds. We will continue to monitor the market and the call dates for the City's outstanding debt and will alert you to any future refunding opportunities. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 2 Continuing Disclosure: Because the City has more than $10,000,000 in outstanding debt(including this issue) and this issue is over $1,000,000, the City will be agreeing to provide certain updated Annual Financial Information and its Audited Financial Statement annually, as well as providing notices of the occurrence of certain reportable events to the Municipal Securities Rulemaking Board(the"MSRB"), as required by rules of the Securities and Exchange Commission (SEC). The City is already obligated to provide such reports for its existing bonds and has contracted with Ehlers to prepare and file the reports. Arbitrage Monitoring: Because the Bonds tax-exempt obligations, the City must ensure compliance with certain Internal Revenue Service (IRS) rules throughout the life of the issue. These rules apply to all gross proceeds of the issue,including initial bond proceeds and investment earnings in construction,escrow,debt service,and any reserve funds. How issuers spend bond proceeds and how they track interest earnings on funds(arbitrage/yield restriction compliance) are common subjects of IRS inquiries. Your specific responsibilities will be defined in the Tax Exemption Certificate and Agreement prepared by your Bond Attorney and provided at closing.We recommend that you regularly monitor compliance with these rules and/or contract with Ehlers to assist you. We also recommend that you establish written procedures regarding compliance with IRS rules and/or contract with Ehlers to assist you. Investment of Bond Proceeds: To maximize interest earnings, we recommend using an SEC registered investment advisor to assist with the investment of bond proceeds until they are needed to pay project costs. Ehlers is a registered investment advisor and can assist the City in developing an appropriate investment strategy if needed. Risk Factors: Service to the City. In the event utility revenues are insufficient to pay debt service, the City Council is committing to consider appropriating funds from any other available sources in an amount sufficient to cover the shortfall. If it chooses to do so, the City may levy a tax to make up a shortfall. Any amount levied for this purpose is exempted from levy limits. While the City is not required to appropriate the funds necessary to remedy any shortfall in revenues needed to pay debt service,failure to do so would result in either a lack of access to capital markets in the future,or access at a substantially higher cost. Other Service Providers: This debt issuance will require the engagement of other public finance service providers. This section identifies those other service providers, so Ehlers can coordinate their engagement on your behalf. Where you have previously used a firm to provide a service, we have assumed that you will continue that relationship. For services you have not previously required,we have identified a service provider. Fees charged by these service providers will be paid from proceeds of the obligation,unless you notify us that you wish to pay them from other sources. Our pre-sale bond sizing includes a good faith estimate of these fees, but the final fees may vary. If you have any questions pertaining to the identified service providers or their role, or if you would like to use a different service provider for any of the listed services please contact us. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 3 Bond Counsel: Chapman and Cutler LLP Paying Agent: Issuer,unless term bonds offered,then U.S.Bank National Association Rating Agency:Moody's Investors Service,Inc. Proposed Debt Issuance Schedule Pre-Sale Review by City Council: Apri128,2020 Due Diligence Call to review Official Statement: May 11 —May 27 (To Be Scheduled) Conference with Rating Agency: May 11 —May 27 (To Be Scheduled) Distribute Official Statement: June 15,2020 City Council Meeting to Award Sale of the Bonds: June 23,2020 Estimated Closing Date: July 16,2020 Attachments Estimated Sources and Uses of Funds Estimated Proposed Debt Service Schedule Bond Buyer Index Ehlers Contacts Municipal Advisors: Todd Taves (262)796-6173 Jon Cameron (262)796-6179 Disclosure Coordinator: Sue Porter (262)796-6167 Financial Analyst: Kathy Myers (262)796-6177 The Preliminary Official Statement for this financing will be sent to the City Council at their home or email address for review prior to the sale date. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 4 A City of Oshkosh Oshkosh 2020 Revenue Bond Sizing Worksheet Presale Estimate Presale Estimate Presale Estimate Sale 6-9-2020 Sale 6-23-2020 Sale 6-23-2020 Est.Dated 7-2-2020 Est.Dated 7-16-2020 Est.Dated 7-16-2020 Storm Water Utility Revenue Water System Sewer System Rnndq Revenue Bonds Revenue Bonds Series 2020C Series 2020D Series 2020E Capital Projects' Tax-Exempt Tax-Exempt Tax-Exempt Comprehensive Streets/Utility Improvements $ 1,918,000 $ 1,922,400 $ 5,230,900 Public Infrastructure Improvements-Other Streets $ 518,000 $ - $ 1,866,600 Public Infrastructure Improvements-Other Utilities $ 50,000 $ 1,457,600 $ 658,900 Public Infrastructure Improvements $ 2,124,000 $ 1,799,500 $ 500,000 Public Property Improvements $ $ $ 5,357,600 Major Equipment $ $ 214,000 $ 151,000 Major Equipment-Vehicles $ $ 217,000 $ 71,000 Subtotal Capital Projects $ 4,610,000 $ 5,610,500 $ 13,836,000 Reserve Fund Adjustments New Reserve Fund Requirement $ 7,095,258 $ 3,827,257 $ 5,209,178 Less Current Reserve Requirement $ (6,769,481) $ (3,668,296) $ (4,378,163) Net Deposit to Reserve Fund Required $ 325,777 $ 158,962 $ 831,016 Estimated Issuance Expenses Ehlers(Municipal Advisor) $ 31,800 $ 34,100 $ 52,100 Chapman&Cutler(Bond Counsel) $ 15,000 $ 15,000 $ 25,000 Maximum Discount(Bid Item)@ 1.25% $ 63,188 $ 73,750 $ 186,563 Moody's Investors Service(Rating Fee) $ 18,000 $ 18,000 $ 27,000 U.S.Bank(Paying Agent) $ 850 $ 850 $ 850 TOTAL TO BE FINANCED $ 5,064,615 $ 5,911,162 $ 14,958,528 Estimated Interest Earnings $ (12,524) $ (15,242) $ (37,588) Rounding $ 2,909 $ 4,080 $ 4,059 NET BOND SIZE $ 5,055,000 $ 5,900,000 $ 14,925,000 NOTES: 'Capital projects amounts taken from City of Oshkosh Capital Improvement Program 2020-2024 approved November 12,2019. Assumes temporary investment of available new money proceeds at 1.63%for 60 days.(December 2019 LGIP Rate). 00—1%4 leE H L E R� Page 5 3/30/2020 File: Oshkosh Debt Base Case-2020-2-5/Rev Sizing 2020 O O ti N m a �n w n w m 0 a-I N m a �n w n w m o +' ry N N N N N N N N N N M M M M M M M M M M a a) N y 0 00 0 0 0 00 0 00 00 0 0 0 0 0 00 0 O N N N N N N N N N N N N N N N N N N N N N N 4-0 N 0 O N Vf I� ti N M a O m I-I w Vf w n w ti Ot l0 t^O OCE Vf V l0 n W Ot Ot M M I-I n ei -* m N I-I O j a-I a-I a-I a-I a-I a-I a-I N N N N M M M V V l0 W aa-I ea•I N N m (� W a •� of of of of of of of of of of of of of of of of of of of of of W � Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi � 0 Z m m of of of of of of of of of of of of of of of of of of of � L O m 0 O w a i. m a .� i. rn w � m m O �o �n O a .� n N �n m 0 m m �o � m m .� �o m a �n m N 't 0 w i. m a a O � � � � O N m a L a N O- m O- a O N m C N o tvm C m t0 m m w m m m o N O S �Il O N O� N O m m Lr C m m O� O m m O I� n m I� ci t0 � ci O N ci �Il �Il .ti � � m O tp tp tp �Il �Il �Il �Il tv)tv) tv)N N N N c-i c-i rn N � (6 � U p o a a o a a a m w m o o o o m m N o N m m �t � o o > rn oc rl oc rl a G aLr� Lr a N G a oc m o � m m o o n m m a o m w a a o O w w io a m M 3 ~ m n m C N m O w m m w O O O C n Vf �n m o m a � o w a m � a � N a o w � m (n 0 ;5 o cn Lr .� a rl � ti o o Ln O, a o � a N oc cn oc a O a of o�i �i n a a a m o �o rn �i a w S 0 d o w m � t m w M w m t M m o M N mLr G o oc oc rnLr a o r a N o to N �o �o m ti tv)N N N N O s N 0 � w a m m o o w m v m w a-I N o �n �n m ti v m c �_ n 0o m m o o m a 10 0o N Li O m n o ti O j N . N N N N N N M M v v a 6 00 N Q U O v L u � Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi Oi a0 z Gi Gi Gi Gi Oi Oi Oi Oi Oi Oi Oi Oi Oi Gi Gi Gi Gi Gi Gi Gi Gi m n � m C ( m O Oo c m m w O O C ci n o cn Lr rl Lr ti o o Ln rn a O a N w m o� a O C w O N I� N tvm O 't 'tn 'tt0 m t0 n n N C w .� o w m � a m w w � m 't m m o M o oc oc o � a N o 'o W C C tv) tv)m tv)N N N N LL C 'to OO n lfl m m ci ci lfl ci m lfl lfl lfl ci lfl lfl m ci T O O I� N O �O m m N N m m N tp m I� n O O m m M N n O .ti ci oc O N O Lr lO wO oc N tv) N tp N �Il tp tv) Ol O O tp tp tp tp tp tp tp tp tp tp tp tp tp tp tp tp tp tp tp O � o C Oo n m m ci ci ci m ci m ci N ^, m n N O C n O O m m Ol W y a+ n O .ti ci 00 O N O LIl lO w O w N t M 3 N tvm O �O N I�n) of m of N tp Om N � I O .ti nm C^� y N o O OO o N O O m m w w n n t0 'tm m N . m y A N O N N O a-I O cluco9 O W E m O w O M o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 I� OO m t0 O n moo OO O n C � oo I O m e O Oo I � N m t N n m N t m T V K ul Lq t0 n 00 00 O� O .ti ci N m m m � � ci ci ci ci ci ci ci ci ci ci N N N N N N N N N N o O O O O O O O O'O O O O O O O O O O O O O O O O O O O O O I O O O O O O O O O O O O I p O O O O O O O O O O O O O O O O O O O O N u1 O �I1 O �I1 �I1 O � I O oq O O O O �I1 �I1 �I1 O O o �I1 �I1 �I1 �O t0 t0 I� n 00 00 moo I ++ ti fC rn m w o rn w o m m m��ova� i o n n cw �Il N I O tp O I n t � � C w c m n n O n n O c c O m ci if if if Lr Lr m rl Lr O m m o0 1 1 I� O O W n N �p of N of N tp t I O O m ci t m c � . N O w Om 1p �} O SLr � oc � n tN0 ti ti n O oc I� N w m m W N O ate+ O NO 0 m m m m N N N - //���� N V N o m m o v aw co �n .� w �n o �o �n m N m �n �n a w .� rn o ti w w 11 r`o « o� �n N �o m �o �n �n m �n o rn m o� �n �n o N �I1 O m w N N w � m w c-i m w t0 O t N O tvm C w 0 W ON W O m m N .ti O O O O tp m ci N N m N ci O m w n m N N ci ci Vf o W Q i � r a a N o o � � m o o o o o o o o o o o m v N a N rn oc O, cn G oc ol 0 0l 0l 0l 0l 0l 0 0 0 r 0-N N Oi n'1 n'1 n'1 Oi't o �f o �f �f �f �f �f o O 1 W w t I� �O �O ci m O I m �I1 N N ci ci m O N Q C O .ti o0 � � � � Om Om lO I- m ci o0 r' t0 N w N m M m O a m m m m m N N N N c-i c-i c-i c-i Vf O O m o � W Q a E I I "AQ d d v 3 � m m m I I W N o Y !� !� Y O ti N M V Vf w Il W m O ti N M V Vf w r� co Gt O I I H � > �`p N N N N N N N N N N P9 P9 P9 P9 P9 P9 M M M M V w Q D a U U LL' Y N N N N N N N N N N N N N N N N N N N N N z a Z Page 6 7 u o z N `X �LL u m J= z _w o Wa co W J "A 0 N c6 N 00 N N C W O r- 0 o O o U ti (0 o w Q N N N P-- N Z C N N m 0 ZN co � Qa 0 U v .E m u c E_ Rf m O N J COC m D QC 2 N 0 L I 0)T a o L � o o N C: �_ o Z O c c) N co > �, L a0 N ca N co m.� Z a) G N O 'T � N �' +�+ 810 o.� > Q LV L6 m m E2 Y m m >> m L X � pp ca � M } > W O m c O � O N i L i (6 DO m N N m r E co i d m a 0 0 0 0 0 0 0 0 ° U? o U? o U? o U? o °p a� Un Ln It 'T M M N N Page 7 ° y O.'%' E H L E R S PU_L.t I INiswiGc A,DVISUR'-- April 28, 2020 Pre-Sale Report for City of Oshkosh , Wisconsin $14,925,000 Sewer System Revenue Bonds, Series 2020E Oshkosh Prepared by: Todd Taves, CIPMA Senior Municipal Advisor Jon Cameron, CIPMA Senior Municipal Advisor BUILDING COMMUNITIES. IT'S WHAT WE DO. ® info@ehlers-inc.com % 1 (B©O)552-1171 @ www.ehlers-inc.com Executive Summary of Proposed Debt Proposed Issue: $14,925,000 Sewer System Revenue Bonds, Series 2020E ("Bonds") Purposes: The proposed issue includes financing for construction of system improvements, property improvements and for replacement of major equipment. Authority: The Bonds are being issued pursuant to Wisconsin Statutes 66.0621.The Bonds are not general obligations of the City but are payable only from and secured by a pledge of income and revenue to be derived from the operation of the Sewer System. Term/Call Feature: The Bonds are being issued for a term of 20 years. Principal on the Bonds will be due on May 1 in the years 2021 through 2040. Interest is payable every six months beginning May 1,2021.The Bonds will be subject to prepayment at the discretion of the City on May 1,2030 or any date thereafter. Bank Qualification: Because the City is issuing, or expects to issue,more than $10,000,000 in tax- exempt obligations during the calendar year, the City will be not able to designate the Bonds as"bank qualified"obligations. Rating: The City's most recent bond issues were rated by Moody's Investors Service. The current ratings on those bonds are"Aa3".The City will request a new rating for the Bonds. If the winning bidder on the Bonds elects to purchase bond insurance, the rating for the issue may be higher than the City's bond rating if the bond rating of the insurer is higher than that of the City. Basis for Recommendation: Based on our knowledge of your situation, your objectives communicated to us, our advisory relationship as well as characteristics of various municipal financing options, we are recommending the issuance of Bonds as a suitable option based on: • Net system revenues available for debt service that are expected to provide sufficient coverage for the estimated principal and interest payments of the proposed Bonds and existing parity debt. • The City's past practice of using revenue bonds to finance enterprise system improvements to reduce its General Obligation Direct Debt Burden. • Limited debt capacity to finance the project(s)on a General Obligation basis. • The City's current Capital Improvements Plan which identified issuance of revenue bonds to finance these projects. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 1 Method of Sale/Placement: We will solicit competitive bids for the purchase of the Bonds from underwriters and banks. We will include an allowance for discount bidding in the terms of the issue.The discount is treated as an interest item and provides the underwriter with all or a portion of their compensation in the transaction. If the Bonds are purchased at a price greater than the minimum bid amount(maximum discount), the unused allowance may be used to reduce your borrowing amount. Premium Pricing: In some cases, investors in municipal bonds prefer "premium" pricing structures. A premium is achieved when the coupon for any maturity (the interest rate paid by the issuer) exceeds the yield to the investor, resulting in a price paid that is greater than the face value of the bonds. The sum of the amounts paid in excess of face value is considered "reoffering premium."The underwriter of the bonds will retain a portion of this reoffering premium as their compensation(or"discount")but will pay the remainder of the premium to the City. For this issue of Bonds, any premium amount received may: be retained; used to reduce the issue size;or combination thereof. These adjustments may slightly change the true interest cost of the original bid,either up or down. We anticipate using any premium amounts received to reduce the issue size. The amount of premium allowed can be restricted in the bid specifications. Restrictions on premium may result in fewer bids but may also eliminate large adjustments on the day of sale and unintended results with respect to debt service payment impacts. Ehlers will identify appropriate premium restrictions for the Bonds intended to achieve the City's objectives for this financing. Other Considerations: Term Bond Option.The Bonds will be offered with the option of the successful bidder utilizing a term bond structure. By offering underwriters the option to "term up" some of the maturities at the time of the sale, it gives them more flexibility in finding a market for your Bonds. This makes your issue more marketable, which can result in lower borrowing costs. In the event that the successful bidder utilizes a term bond structure,we recommend the City retain a paying agent to handle responsibility for processing mandatory redemption/call notices associated with term bonds. Review of Existing Debt: We have reviewed all outstanding indebtedness for the City. We are recommending that the City consider refinancing its Series 2011C General Obligation Corporate Purpose Bonds to achieve debt service savings. We have included this proposed refunding within the Series 2020A General Obligation Corporate Purpose Bonds. We will continue to monitor the market and the call dates for the City's outstanding debt and will alert you to any future refunding opportunities. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 2 Continuing Disclosure: Because the City has more than $10,000,000 in outstanding debt(including this issue) and this issue is over $1,000,000, the City will be agreeing to provide certain updated Annual Financial Information and its Audited Financial Statement annually, as well as providing notices of the occurrence of certain reportable events to the Municipal Securities Rulemaking Board(the"MSRB"), as required by rules of the Securities and Exchange Commission (SEC). The City is already obligated to provide such reports for its existing bonds and has contracted with Ehlers to prepare and file the reports. Arbitrage Monitoring: Because the Bonds tax-exempt obligations, the City must ensure compliance with certain Internal Revenue Service (IRS) rules throughout the life of the issue. These rules apply to all gross proceeds of the issue,including initial bond proceeds and investment earnings in construction,escrow,debt service,and any reserve funds. How issuers spend bond proceeds and how they track interest earnings on funds(arbitrage/yield restriction compliance)are common subjects of IRS inquiries. Your specific responsibilities will be defined in the Tax Exemption Certificate and Agreement prepared by your Bond Attorney and provided at closing.We recommend that you regularly monitor compliance with these rules and/or contract with Ehlers to assist you. We also recommend that you establish written procedures regarding compliance with IRS rules and/or contract with Ehlers to assist you. Investment of Bond Proceeds: To maximize interest earnings, we recommend using an SEC registered investment advisor to assist with the investment of bond proceeds until they are needed to pay project costs. Ehlers is a registered investment advisor and can assist the City in developing an appropriate investment strategy if needed. Risk Factors: Service to the City: In the event utility revenues are insufficient to pay debt service, the City Council is committing to consider appropriating funds from any other available sources in an amount sufficient to cover the shortfall. If it chooses to do so, the City may levy a tax to make up a shortfall. Any amount levied for this purpose is exempted from levy limits. While the City is not required to appropriate the funds necessary to remedy any shortfall in revenues needed to pay debt service,failure to do so would result in either a lack of access to capital markets in the future,or access at a substantially higher cost. Other Service Providers: This debt issuance will require the engagement of other public finance service providers. This section identifies those other service providers, so Ehlers can coordinate their engagement on your behalf. Where you have previously used a firm to provide a service, we have assumed that you will continue that relationship. For services you have not previously required,we have identified a service provider. Fees charged by these service providers will be paid from proceeds of the obligation,unless you notify us that you wish to pay them from other sources. Our pre-sale bond sizing includes a good faith estimate of these fees, but the final fees may vary. If you have any questions pertaining to the identified service providers or their role, or if you would like to use a different service provider for any of the listed services please contact us. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 3 Bond Counsel: Chapman and Cutler LLP Paying Agent: Issuer,unless term bonds offered,then U.S.Bank National Association Rating Agency:Moody's Investors Service,Inc. Proposed Debt Issuance Schedule Pre-Sale Review by City Council: Apri128,2020 Due Diligence Call to review Official Statement: May 11 —May 27 (To Be Scheduled) Conference with Rating Agency: May 11 —May 27 (To Be Scheduled) Distribute Official Statement: June 15,2020 City Council Meeting to Award Sale of the Bonds: June 23,2020 Estimated Closing Date: July 16,2020 Attachments Estimated Sources and Uses of Funds Estimated Proposed Debt Service Schedule Bond Buyer Index Ehlers Contacts Municipal Advisors: Todd Taves (262)796-6173 Jon Cameron (262)796-6179 Disclosure Coordinator: Sue Porter (262)796-6167 Financial Analyst: Kathy Myers (262)796-6177 The Preliminary Official Statement for this financing will be sent to the City Council at their home or email address for review prior to the sale date. Presale Report April 28, 2020 City of Oshkosh, Wisconsin Page 4 A City of Oshkosh Oshkosh 2020 Revenue Bond Sizing Worksheet Presale Estimate Presale Estimate Presale Estimate Sale 6-9-2020 Sale 6-23-2020 Sale 6-23-2020 Est.Dated 7-2-2020 Est.Dated 7-16-2020 Est.Dated 7-16-2020 Storm Water Utility Revenue Water System Sewer System Rnndq Revenue Bonds Revenue Bonds Series 2020C Series 2020D Series 2020E Capital Projects' Tax-Exempt Tax-Exempt Tax-Exempt Comprehensive Streets/Utility Improvements $ 1,918,000 $ 1,922,400 $ 5,230,900 Public Infrastructure Improvements-Other Streets $ 518,000 $ - $ 1,866,600 Public Infrastructure Improvements-Other Utilities $ 50,000 $ 1,457,600 $ 658,900 Public Infrastructure Improvements $ 2,124,000 $ 1,799,500 $ 500,000 Public Property Improvements $ $ $ 5,357,600 Major Equipment $ $ 214,000 $ 151,000 Major Equipment-Vehicles $ $ 217,000 $ 71,000 Subtotal Capital Projects $ 4,610,000 $ 5,610,500 $ 13,836,000 Reserve Fund Adjustments New Reserve Fund Requirement $ 7,095,258 $ 3,827,257 $ 5,209,178 Less Current Reserve Requirement $ (6,769,481) $ (3,668,296) $ (4,378,163) Net Deposit to Reserve Fund Required $ 325,777 $ 158,962 $ 831,016 Estimated Issuance Expenses Ehlers(Municipal Advisor) $ 31,800 $ 34,100 $ 52,100 Chapman&Cutler(Bond Counsel) $ 15,000 $ 15,000 $ 25,000 Maximum Discount(Bid Item)@ 1.25% $ 63,188 $ 73,750 $ 186,563 Moody's Investors Service(Rating Fee) $ 18,000 $ 18,000 $ 27,000 U.S.Bank(Paying Agent) $ 850 $ 850 $ 850 TOTAL TO BE FINANCED $ 5,064,615 $ 5,911,162 $ 14,958,528 Estimated Interest Earnings $ (12,524) $ (15,242) $ (37,588) Rounding $ 2,909 $ 4,080 $ 4,059 NET BOND SIZE $ 5,055,000 $ 5,900,000 $ 14,925,000 NOTES: 'Capital projects amounts taken from City of Oshkosh Capital Improvement Program 2020-2024 approved November 12,2019. Assumes temporary investment of available new money proceeds at 1.63%for 60 days.(December 2019 LGIP Rate). 00—1%4 leE H L E R� Page 5 3/30/2020 File: Oshkosh Debt Base Case-2020-2-5/Rev Sizing 2020 O ti N m Q w n oo m O ti N m Q w n o m O O y0NN NN N N N N N NN M M M M M M MMMMQ a) N NNNNN +' O O N W l0 M Vf o0 00 N a-I Q n ti N Vf O M Q N Vf ti N m m CE N ti N N N M Q Vf Vf Vf w n oo O ti w O n w w M � \ � a-I a-I a-I a-I a-I a-I a-I a-I a-I a-I a-I a-I a-I N N N M M 1p 1p m N m U W N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N d N N N N N N N N N N N N N N N N N N N Ln N N 0 0 0 0 0 0 00 00 0 0 0 0 0 0 0 0 0 0 0 (n � m � n n n n n n n n n n n n n "I n n n n n n n AA,, N L O n n m a O N w m O w m m m w w m m cli w n � w a e .m N w m .� m w m n � O w W a O m Ln Lr Ln r-,Lr r-, lf n Ln a oc O rnLr� a� a m N m 0 a oo m m m oo oo m �n t �i O �o rn t m S .ti N oo m n N m t m W C m C W m W ci ci ci N Q wLr O 'o Lr m O 'o m O N oc m m m m ti N tp n n tp tp tp tp Vl �Il �Il �Il �Il tv) N N c-i c-i O V) O f6 U m O O oo m a m rn oo O O O N 0 O O m a O O w O O N �. O Ln m rn O to rn n O N O m m r- rn ti V) a N n m C c-i N of m C N O w m w 0.� O m m O N N n m m mw w w io 0 0 Lo .� Co ll n N rn N cn N a �o 0 0�� m n �o .� � m o N Ln - lo o lo Ln Ln lo Ln m o Ln Q t t oo 0 0 v M 0 M 0 t of a is S a m w O w m w a N m w V) O 'm lc�Lr N O n n Lr a a m rn o N O N oc m m m rn m 0 N K ul tp tp tp tp ul ul ul ul ul ul m N N c-i c-i T O ) N `n O N a Vf m a �n M O N M O M w m m m Q oo m w Q N �n a-I N m O ; o ti LL a-I a-I a-I a-I a-I a-I a-I a-I a-I a-I a-I a-I a-I Cl Cl Cl P') P') w w m U O m L u N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N z 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 n n n n n n n n n n n n n n n n n n n n n a 0 Z CO co co co co co co co co co co co co co co co co co co co co to I a y oo O m m O N N rn m m oo oo O O n N m N tp m N C oo m n tp O oo �O ci Q qj m O N N Lr ci if O lO Lr Lr lO Lr m O Lr ci n C L m a a oo 0 0 vi m 0 m 0 a m a m a H m 'tm 'tm oo O n n oo m oo 'tn N m oo ci ci ci N m 'C Lr N ci O n n Lr m m t0 N O N oc m m m m m 'X 3 S t0 t0 t0 t0 m N N c-i c-i T W � LL 'tN O O m W 't N m ci l0 m ci m m C lfl lfl m ci m lfl O O O n �Il n O rO m N m ci m m ci m m m o .� m N _ t0 n N N n �O n wci �Il �O m lfl O� tp m O O O m oo n oo oc oc tp m t0 t0 O Oc 10 Mw N H m m m m m m m m m m m m m m m m m m m m O p0 m NO Q 10 I1, lu n N C N O oc ci 1 O lO m m 1 oc w W 33 Cj O O � m N ON ON ON mN wN N N wci mci wci ci 'tci ci m O O wwo m o c-i M 0O O C N 0 m 0 K W ON Q) d d ti p oc 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 LL Vf V} N I� oo m �fl t0 O I� �fl m oo oo O I� � �fl N �fl oo I� �fl O �O m ci O oo n � N m t0 N n m N tp m T V K LQ LQ tp n oq oq O� O ti N m m m a � � ci ci ci ci ci ci ci ci ci ci N N N N N N N N N N 0 r___________. o O O O O O O O O 010 O III On On On On On O Omoa O�ona O�nofal O�rnofal O�.O�f,l lI O o — o 0 0 0 0I 0OOOOOOOOOIOOOOOOOOOO OIO O O O O O O O O 0 O O 0 w m O m � m N o o 7 n n oo 77 m mrnoO n Q) O m C rn m 't 0 O mNmQti vLn m o G o oc oc oc n oc o rnoc m rn n n o o cw N N N m m t n ti m t o oo O N N O n m rn .ti ci O .ti n 't 'tO � ci � m n � m w w O �" O O O tp tp m N ci oc n 'O Lr Lr a O n m O m m m m m Q - O Noa - I1, W c-i 3 N c i C t0 �Il w 0 C C w m tp m m m m O O N C w m .ti ci m m m lfl C t0 G n C O� N G oc t0 G O N O ? W a+ m t0 m N ci tp tp N m N O ci Oc m m m n Q � O � t0 m N LI1 w m N tp O w c-i t m N m tp�I1 P'1 0 W N W �p O m w w C N m n C m N N m m C ci a-I Cm t0 Lr m N ci O w C m N ci w O Q a p r ui N .� w N m a .� N .� a a m O m O O O O O w O .� O O m �o O a m � m a w �o n O O O O O n ¢ v oc Lr Lr n n Ln a � rn � m cn to .� O O O O o m m ¢ • a �o is m .� o' m 0 o'�0 0 m o' vi vi 0 0 0 m :« W O .ti ci m oo m N N C oo t0 N oo N �Il ci tp �Il n oo m N C m m � n n Lfl lO t0 t0 n n LI1 N O oc N oc m m m n o a ° W N V rl d a I I ", v v m o mE m m y O ti N M w n oo m O ti N M w n oo m O d 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Q Z Q D LL U U D: y N N N N N N N N N N N N N N N N N N N N N I I Z Page 6 7 u o z N `X �LL u m J= z _w o Wa co W J "A 0 N c6 N 00 N N C W O r- 0 o O o U ti (0 o w Q N N N P-- N Z C N N m 0 ZN co � Qa 0 U v .E m u c E_ Rf m O N J COC m D QC 2 N 0 L I 0)T a o L � o o N C: �_ o Z O c c) N co > �, L a0 N ca N co m.� Z a) G N O 'T � N �' +�+ 810 o.� > Q LV L6 m m E2 Y m m >> m L X � pp ca � M } > W O m c O � O N i L i (6 DO m N N m r E co i d m a 0 0 0 0 0 0 0 0 ° U? o U? o U? o U? o °p a� Un Ln It 'T M M N N Page 7 ° y 2020 Financing Timeline City of Oshkosh Date Event Jan/Feb/Mar • City provides Ehlers CIP list of 2020 projects to be debt financed. (Done). • Potential refundings evaluated by Ehlers. (Done.) • City review of presale bond sizings. • Presale bond sizings provided to Chapman& Cutler by Ehlers. • POS questionnaires sent to City by Ehlers NLT 4/17 • Chapman provides Initial Resolution to City • Ehlers provide City with presale reports • Rating requests submitted to Moody's by Ehlers 4/28 Council—Approve Initial Resolutions By 4/30 City provides Ehlers with: • Completed questionnaires. • Unaudited 2019 statement of revenues, expenditures and changes in fund balance for storm, water and sewer. • Any known changes in project amounts to be borrowed for vs. CIP. Week of 5111 Draft POS's circulated. 5/11 —5/27 Window to hold rating call with Moody's Due Diligence Call 6/9 Council— Sale—2020A G.O. Bonds, 2020B G.O.Notes and 2020C Storm Water Utility Revenue Bonds. 6/23 Council— Sale—2020D Water System Revenue Bonds and 2020E Sewer System Revenue Bonds. 7/2 Dated/closing date for 2020A G.O. Bonds, 2020B G.O. Notes and 2020C Stormwater Bonds. 7/14 2011C G.O. Bond redemption date (refunded with proceeds from 2020A G.O. Bonds. 7/16 Dated/closing date for 2020D Water System Revenue Bonds and 2020E Sewer System Revenue Bonds.