Page 476 - FY 2022-23 Proposed Budget

City Indebtedness

Exhibit 9 provides the outstanding balances of City debts along with 2021-22
and 2022-23 estimated debt service requirements based on the amount of
current outstanding debt.

EXHIBIT 9

OUTSTANDING DEBT AND DEBT SERVICE REQUIREMENTS (1)
(amounts expressed in thousands)

Debt
Outstanding Balance, 6/30/2022 Service Requirement
Bonds Principal Interest Total 2021-22 2022-23
MICLA (2) $ 1,398,707 $ 438,359 $ 1,837,066 $ 205,451 $ 180,078
General Obligation 739,015 176,103 915,118 117,845 114,744
Site-Specific Tax Revenue 3,606 415 4,021 833 895
Solid Waste Resources Revenue 147,015 30,096 177,111 23,953 24,159
Wastewater System 2,542,100 1,499,134 4,041,234 224,487 231,293
Subtotal 4,830,443 2,144,107 6,974,550
551,169
572,569
Tax and Revenue Anticipation No -- -- -- 72,516 -

Total 4,830,443 2,144,107 6,974,550 645,085 551,169

Notes:
(1) Long-term debt does not include short-term commercial paper notes. However, the goal is to replace commercial
paper with long term debt. As of January 2022, the balance of the MICLA and Wastewater System commercial paper
notes was $176 million and $200 million, respectively.
(2) Includes debt service requirement supported by assessment on real property approved by the electorate of
$225,500 in 2021-22.
(3) A total of $1,854,090,000 in TRAN were issued on July 01, 2021, with final maturity of June 23, 2022. The
amount of interest to be paid in 2022-23 will depend upon the size of the TRAN and interest rates at the time of sale.
The size of the TRAN will depend upon the amount of cash needed for cash flow and budgetary decisions on advance
funding of City pensions and retirement contributions.
Source: Official Statements

The City strategically structures its various debt service schedules with the
goal of stability. This means that, when one issuance is paid off and retired,
payments are accelerated for other issuances. By scheduling the payments
this way the City avoids large swings in debt service which can have negative
budgetary impacts.

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