HomeMy WebLinkAbout26-0001 - 2026-01-06 - Informal ReportINFORMAL REPORT TO CITY COUNCIL MEMBERS
No. 26-0001
��T� To the Mayor and Members of the City Council January 6, 2026
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rrn SUBJECT: 2026 DEBT PLAN — BOND PRICING RESULTS
Executive Summary
This Informal Report is to provide the Mayor and City Council with a summary of the final pricing results on
tax notes and bonds issued in connection with the City's 2026 Debt Plan. The sale of $23,165,000 Tax
Notes, Series 2025B and $60,205,000 General Purpose Refunding Bonds, Series 2025 were authorized
by City Council on October 28, 2025.
Overview of Bond Sale Results
With the assistance of the City's Financial Advisor and Bond Counsel, the City took bids for each
transaction on November 19, 2025. As the following bid results will demonstrate, the sales were a
significant success as evidenced by the strong bidder interest and the final borrowing costs (as measured
by the True Interest Cost or "TIC"). The City utilized separate competitive sale processes for each of the
debt offerings.
Detailed Sale Results
$23,165,000 Tax Notes, Series 2025B
Following the August sale of $60,070,000 of Series 2025 Tax Notes, staff recommended advancing the
planned FY 2026 tax note issuance to November to address expedited capital needs, including critical Fire
equipment and EMS ambulance replacements. The Series 2025B Tax Notes were priced on November
19, receiving a total of 13 bids in the competitive sale, with an average life of 3.964 years and a True
Interest Cost of 2.7191%. The Tax Notes were sold at a premium, generating total proceeds of
$25,000,000 to fund the following projects:
Project Description Amount
Fire Apparatus $14,361,000
Ambulance Purchase 5,804,000
Vehicle Equipment Replacement Fund 3,000,000
Pecan Valley Bridge Replacement 1,600,000
Cost of Issuance 235,000
Cabrera Capital Markets was the winning bidder for the tax notes.
$60,205,000 General Purpose Refunding Bonds, Series 2025
Taking advantage of the Federal Reserve's September and October 2025 interest rate cuts, the City
issued $60,205,000 of General Purpose Refunding Bonds to achieve debt service savings. The
transaction received 15 competitive bids and was priced with an average life of 4.865 years and a True
Interest Cost of 2.7507%. The refunding retired $65,955,000 of outstanding bonds, producing net present
value savings of $3,338,234 (5.061 % of refunded principal). The City will realize average annual debt
service savings of approximately $460,000 through FY 2035.
BOK Financial Securities was the winning bidder for the refunding bonds.
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS
No. 26-0001
To the Mayor and Members of the City Council January 6, 2026
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The two sales received a combined total of 28 bids from 17 different firms, exceeding the City's
summer sales of tax notes and general purpose bonds.
The table below depicts the winning bidder and the associated True Interest Cost for each of the
November 19 sales:
True Total Bids
Transaction Winning Bid Interest Cost Received
Series 2025B Tax Notes Cabrera Capital Markets 2.7191 % 13
Series 2025 General Purpose Refunding Bonds BOK Financial Securities 2.7507% 15
If you have any questions, please contact Reginald Zeno, Chief Financial Officer, at 817-392-8500 or Alex
Laufer, Assistant Finance Director, at 817-392-2268.
Jesus "Jay" Chapa
City Manager
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS