Reso 2013-029 - Laserfiche WebLink

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City of San Leandro Notes to Basic Financial Statements For the year ended June 30, 2012 71 NOTE 7 - LONG-TERM DEBT, Continued A. Governmental Activities Long-Term Debt, Continued 2008 Tax Allocation Bonds In 2008, the City issued $27,530,000 principal amount of 2008 Tax Allocation Bonds (2008 TABs). The purpose of the 2008 TABs was to provide funds to finance capital projects in the Alameda County-City of San Leandro Redevelopment Project Area. A portion of the 2008 TABs will be used to finance projects that meet the goals and objectives set forth in the Redevelopment Plan. These include, but not limited to, design and construction of a senior center, a proposed parking garage, and infrastructure improvements on East 14th Street. Interest rates vary from 4.70% to a maximum of 5.00% and are payable annually. Principal payments are payable annually on November 1. Prior to February 1, 2012, tax increment revenues were used to fund debt service on the Bonds. As a result of the dissolution of the Redevelopment Agency pursuant to state law (See note 18), a Successor Agency assumed the debt and receives tax revenues used to pay debt service and fund other activities of the former Redevelopment Agency. Future debt service repayments on these bonds will be made by the Successor Agency from the Redevelopment Property Tax Trust Fund allocation (see Note 18). 2005 Master Equipment Lease/Purchase Agreement In 2005, the City entered into a Lease/Purchase Agreement with Bank of America to Lease/Purchase Equipment in the amount of $3,048,260. The Equipment was for the Police Departments computer upgrades for servers, mobile laptops, and computer aided dispatch and records management system. The interest rates range from 3.40% to 3.70% payable in seven (7) years. At June 30, 2012, there are no future debt service requirements for the 2005 Master Equipment Lease Purchase Agreement.