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CITY OF SAN LEANDRO
<br />NOTES TO BASIC FINANCIAL STATEMENTS
<br />For The Year Ended June 30, 2021
<br />
<br />
<br />NOTE 6 – LONG-TERM DEBT (Continued)
<br />
<br />2018 Lease Revenue Bonds
<br />
<br />In fiscal year 2018-19, the San Leandro Public Financing Authority issued $18,905,000 principal amount of
<br />2018 Lease Revenue Bonds (2018 LRB). The purpose of the 2018 LRBs was to finance the acquisition and
<br />construction of certain capital improvement projects of the City, anticipated to consist of improvements to
<br />the Police Headquarters and South Office Building, the Mulford-Marina Branch Library, Manor Park
<br />Competition Pool, Farrelly Pool, and Casa Peralta. The 2018 LRBs bear interest rates ranging from 3.5% to
<br />5.0% and are payable semiannually on each May 1 and November 1. Principal payments are payable
<br />annually on November 1, beginning in 2030.
<br />
<br />The 2018 Bonds are special obligations of the authority payable solely from and secured by a pledge of
<br />Revenues and certain funds and accounts held under the indenture on a parity with the 2016 Bonds. The
<br />bond covenants contain events of default that may result in the termination of the lease or may retain the
<br />lease and hold the City liable for all payments on an annual basis and still have the right to re-enter the
<br />leased property without effecting a surrender of the lease. These may be applied by the Trustee as
<br />specified in the terms of the agreement if any of the following conditions occur: default on debt service
<br />payments; the failure of the City to observe or perform the conditions, covenants, or agreement terms of the
<br />debt; bankruptcy filing by the City; or if any court or competent jurisdiction shall assume custody or control
<br />of the City. There were no such events occurred during the fiscal year ending June 30, 2021.
<br />
<br />At June 30, 2021, future debt service requirements for the 2018 LRBs are as follow:
<br />
<br />For The Year
<br /> Ending June 30 Principal Interest Total
<br />2022 -$ 871,575$ 871,575$
<br />2023 - 871,575 871,575
<br />2024 - 871,575 871,575
<br />2025 - 871,575 871,575
<br />2026 - 871,575 871,575
<br />2027 - 2031 630,000 4,342,126 4,972,126
<br />2032 - 2036 3,635,000 3,773,712 7,408,712
<br />2037 - 2041 4,610,000 2,772,750 7,382,750
<br />2042 - 2046 5,870,000 1,492,100 7,362,100
<br />2047 - 2049 4,160,000 253,800 4,413,800
<br />18,905,000$ 16,992,363$ 35,897,363$
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<br />67328
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