HomeMy WebLinkAbout11-06-2006-Budget Special Session
Jeffersonville City Council Budget Special Session
Meeting Memorandum - November 6, 2006 - Council Conference Room
5:30 P.M.
The meeting was called to order by Council President Barbara Wilson and on call of the
roll, those members present were: Councilpersons McCauley, Grooms, Zastawny,
Wilson, and Perkins. Also present was Chief Deputy Bass.
The motion was made by Councilperson McCauley to move Item #5 ahead of Item #4 on
the agenda second by Councilperson Perkins passing on a vote of 5-0.
5th 3rd Bank - Bonds
John Ryals, representing 5th 3rd Bank appeared before the Council to discuss bond
refinancing. Mr. Ryals gave everyone a handout explaining the difference between
public ( competitive) and negotiated bonds. He said that over 80% of all bonds sold in the
last two years were done using the preferred negotiated bond sale method. He said that a
financial advisor is not licensed to sell bonds nor do they have any licensed sale
personnel, therefore the services of a bond underwriter is still required in order to conduct
a bond sale. He said the advantages to negotiated bonds include lower underwriting fees,
timing your issue to market conditions, avoid the risk premium that public bond issues
have, pre-marketing and others. Councilperson McCauley asked who he has worked with
and he responded that he had worked with Umbaugh, London Witte, and Crowe Chizek.
Councilperson Grooms asked Mr. Ryals if there were times to use Public Bonds instead
and he said that the law sometimes mandates Public Bonds. He said that 5th 3rd,s fee
would be $50,000.00. The Council thanked Mr. Ryals for his presentation.
Buxton Group
Matt Montgomery, Buxton Group, appeared before the Board at the request of
Councilperson Perkins to discuss the service that his company has to offer to the City.
His company helps find what kind of consumers are in the area. He explained the tools
needed to build a retail base. They work with cities throughout the United States and
help them decide what market will work in their community. They profile up to 3 retail
sites within the community and after they do their profiling, they can tell you what
businesses, restaurants, etc., would succeed in the community. They said this service
would only work if the community would use the information provided to be proactive
and encourage businesses to locate in the community. He said that usually the contact
person is the Economic Development Commission or the Redevelopment Director. Once
the City has the information, it is theirs to keep or to sell it to a potential retailer or
developer. Developer Charles Reisert told the Council that this service would be a very
useful tool for Jeffersonville. Mr. Montgomery said that Buxton charges $60,000.00 for
this service. He said that the City would have to do some work also, including a traffic
count and a wish list of retailers, etc. The Council thanked Mr. Montgomery for his
presentation.
The motion was made by Councilperson Perkins to adjourn the meeting at 6:40 P.M.,
seconded by Councilperson Fetz, passing on a vote of 5-0.
'tJ~
Council President Wilson
Attest:
~~~JO---
Clerk Treas r ggy Wilder