Title For Agenda Item:
title
Approval of the County Treasurers award of winning bid to Piper Sandler & Co for the 2023 Tax Anticipation Note
recommendation
Recommended Action:
Approval of decision of County Treasurer
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Background and Purpose of Request:
Due to improved fund balances this year, the borrowing for the TAN will dropped from $10,500,000 in 2022 to $7,500,000 in 2023, and a shortening of the duration needed for borrowing as well. This proved fortunate, as the interest rates for this TAN were much higher than prior years. Piper Sandler & Co. provided the best bid, at a net interest rate of 3.386%, resulting in a net cost of $89,320. This will come in under budget for the year, more because both the amount and duration of the note were smaller than expected when we drafted the budget last fall. By comparison, the rate on the 2022 TAN was .908%
Staff Contact: Alex Kimball, County Treasurer
Presentation: No
Fiscal Impact and Source:
This amount will be repaid by 11/10/2023 once all of the County Tax Warrant arrives.
Effective Date if Applicable:
05/08/2023