Here are the key steps to find issuance costs in your city:
1. Obtain the city's Comprehensive Annual Financial Report (CAFR) and review the notes on long-term debt.
2. Search the city/county finance or debt management division websites for continuing disclosure documents.
3. Use the Electronic Municipal Market Access (EMMA) system to search for official statements by issuer name and year.
4. Review official statements' sources and uses of funds sections to find issuance costs for individual bond issues.
5. Calculate issuance costs as a percentage of principal amount issued to compare across debt types.
Let me know if you need help locating any specific documents for your city.
Separate Deposits in International ArbitrationNino Sievi
When faced with a disproportionate counterclaim a request for separate deposits presents a viable tool to reduce a party's risk exposure. If granted a party will only have to pay the advance on costs for its own claim. It is thus liberated from contributing half of the advance on costs for the counterclaim.
Separate Deposits in International ArbitrationNino Sievi
When faced with a disproportionate counterclaim a request for separate deposits presents a viable tool to reduce a party's risk exposure. If granted a party will only have to pay the advance on costs for its own claim. It is thus liberated from contributing half of the advance on costs for the counterclaim.
Revisión bibliográfica del síndrome de distrés respiratorio agudo para la clase de neumología. Epidemiología, fisiopatología, cuadro clínico, diagnóstico y tratamiento. (2015)
Definición, Epidemiología, Diagnóstico, Tratamiento y Prevención de las Enfermedades Respiratorias Agudas. Enfocado en medicina preventiva del niño menor de 5 años. Basada en las guías de práctica clínica del Instituto Mexicano del Seguro Social y otras fuentes.
Financing Capital Investment Planning (Capital Budget) of Local GovernmentRavikant Joshi
PPT presented in Training of Trainers Workshops on Strengthening The Financial Foundation of Local Government Based on Local Government Financial Management Series of UN-HABITAT during June 4- 15 2007 - Nadi, Fiji
The less transparent, often misunderstood high yield municipal bond sector offers not only unusually high tax exempt income, but a mostly unrecognized source of long run diversification with the taxable high grade (re what the Fed says and does) bond market.
Session 5 Presentation - Includes content related to Project Finance deals, in particular, Advising & Arranging Activities, Fee Structures, International Financial Institutions, Multilateral Banks and Bilateral Agencies (ECA\'s).
10- Tax-Exempt Products Overview: Just the Facts- Benny WongMassDevelopment
An overview of the tax-exempt financing products offered by MassDevelopment, presented by Benny Wong, MassDevelopment. Part of Current Topics in Tax-Exempt Finance 10/29/2010
A new paradigm in defined contribution plan pricing is emerging in response to the onslaught of excess fee lawsuits brought against plan sponsors and providers, new and complex fee disclosure rules, and the more recent Department of Labor’s (DOL) Conflict of Interest Rule.
During this BFSG program you will learn:
- The Evolution of Defined Contribution Plan Pricing Models
- Fiduciary Responsibilities of Plan Sponsors
- New Marketplace Solutions – Fee Levelization
Plan Sponsors looking for lower-cost investment vehiclesDan Brennan
The rise of CITs and their broader availability means that plan sponsors should be evaluating these vehicles as part of their due diligence process when selecting investments for their plan lineup. Given the unique features of CITs compared with mutual funds and the different approaches providers take when constructing their products, evaluating these products may take an extra level of due diligence.
1. Why Focus on Wall Street Fees?
Across the country cities, counties, school districts, and states are all
paying too much because Wall Street has rigged the system in its
favor and is getting rewarded handsomely for it.
The bottom line is that Wall Street banks are making huge profits off
of public dollars while we are making huge cuts to communities.
An accounting of fees provides the leverage needed to negotiate
better deals.
2. Types of Fees in Public Finance
Cash management: Ongoing everyday cash transactions that
allow states, cities, counties, and school districts to function
Debt management: In order to finance long-term/high-cost
projects like sewer systems, roads, housing, and school
construction, government entities issue bonds. Fees are
associated with issuing, managing, and insuring debt.
Investment management: Public pension funds often use
external Wall Street firms to manage their investments. In
addition, states, counties, cities, and school districts often invest
funds that are not immediately being used.
3. Debt Management:
Bond Issuance Costs
Each time the City or its agencies
issue bonds, Wall Street charges fees
for structuring and selling the bonds.
Costs of issuance are one-time
charges, but they are deferred and
amortized over the life of the bonds.
5. Bond Issuance Costs
Issuance costs incurred in a given year = the
total cost of issuance for all of the bonds issued
in one fiscal year
Issuance costs paid in a given year = the total
costs paid as debt service that can be attributed
to costs of issuance
6. Bond Issuance Costs
To calculate issuance costs incurred in a given
year
Find out what bonds were issued
Compile all issuance costs
Search for bond issuance costs using official
statements
7. Bond Issuance Costs
• Searching for individual or groups of bonds
Official statements are the best source
Continuing Disclosure documents should be
listed on municipal web pages
City of LA CAO Continuing Disclosure
EMMA City of Los Angeles Convention Ctr
Bonds
• To find all bonds issued in a certain period
City of Los Angeles CAFR 2013, Note 4,
Detailed Notes on All Funds, Long-Term
Liabilities
8. Bond Issuance Costs
• Finding costs starting directly with EMMA
• Advanced search on EMMA
• Type in City/District–City of Los Angeles
• Narrow search type in year 2003
• Convention Center bonds do not come up-Why?
• Because the issuer in this case is Los Angeles
Convention and Exhibition Center Authority—Not City
of Los Angeles
• Thus, much easier to navigate EMMA armed with
continuing disclosure documents
10. Calculating Cost of Issuance as Percentage of Principal*
Bonds Principal
Cost of
Issuance
% COI of
Principal
Series 2003A Bonds 226,045,000 3,551,667 1.57
Series 2003 Variable
Rate Bonds 235,520,000 4,057,304 1.72
Note: Percentages are quite high relative to more recent bond issuances.
*Principal, par, or nominal is the amount of debt which will need to be
repaid at the end of the term.
11. Bond Issuance Costs Incurred
To calculate issuance costs incurred in a given
year
Find all bonds issued that year
Add up all issuance costs for those bonds
Example: total issuance costs incurred in City of Los
Angeles in FY 2013 = $12.9 million
12. Bond Issuance Costs Paid
To calculate issuance costs paid in a given year
Use CAFR
LA City CAFR 2013
Statement of Revenues, Expenditures, and Changes in
Fund Balances
Cost of Issuance as part of debt service listed for all
governmental funds
15. Bond Issuance Costs
Issuance costs incurred in FY 2013 = $12.9 million
Issuance costs paid in FY 2013 = $1.8 million
16. Estimating Issuance Cost
No official statement exists
Official statement exists but costs of issuance are not deferred and
amortized (e.g., Tax and Revenue Anticipation Notes)
Use the ratio of cost of issuance divided by principal amount
issued for similar debt to estimate issuance costs
17. Estimating Issuance Cost
Debt by Fund/Department Principal Issued
Issuance cost
(one-time)
% COI/Principal
Sewer Fund (Wastewater)
Series 2012-D
(Subordinate Refunding)
(Variable Rate) 280,860,000 919,370 .33%
Series 2013-A
(Subordinate Refunding) 349,505,000 1,085,262 .32%
Series 2013-A 149,980,000 564,872 .37%
Series 2013-B (Refunding) 143,880,000 424,269 .29%
Average percent .33%
19. Group Exercise:
Finding and Calculating Issuance Costs
• Google, City of San Francisco Debt Management, Click on
Controller: Office of Public Finance, Documents, Financial
Documents
• Find Issuance Costs for the following: Hint (search for Sources
and Uses of Funds)
CCSF Finance Corporation Lease Revenue Bonds, Series
2006A
CCSF General Obligation Bonds, Series 2005E, F, G, and H
• What is the average percent of COI/Principal issued for the
Series 2005 E, F, G, and H bonds?
20. What are the issuance costs in your city?
Find the appropriate CAFR
Look for Continuing Disclosure Documents
Search Finance and Debt Management divisions
Go directly to EMMA Advanced search on EMMA
Calculate bond issuance costs for multiple types of debt (i.e.,
General Obligation Bonds, Revenue Bonds, etc.).