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Street improvements are on the way with the sale of the 2018 General Obligation Bonds, Series 2022A. Approximately $33 million of the $40 million in bond monies will go toward improving BA's streets.
The Broken Arrow City Council approved a bid to purchase $40 million in General Obligation Bonds, Series 2022A at 3.413624 percent to BOK Financial Securities at its meeting on July 19.
In a presentation of the bids to the council, Jon Wolff of Municipal Finance Services said this $40 million bond sale is the largest issue General Obligation Bond sale that the City has done in the 20 years his organization has been working with Broken Arrow.
“You have about $33 million of that $40 million that is designated for street improvements throughout the City that are essential, and you’ll be able to get out and start working on those at costs that are in the near future, as opposed to further down the road,” Wolff said.
The bids opened at 11 a.m. on July 19, 2022, and four investment firms submitted proposals—Huntington Securities, Key Bank, The Baker Group, and BOK Financial Securities. Municipal Finance Services recommended awarding the sale to BOK Financial Securities, the lowest bidder.
City of Broken Arrow Director of Finance Cindy Arnold said General Obligation Bond sales typically occur later in the year, but due to fluctuations in the market and concerns about the interest rate, it was necessary to put the bond out for bid earlier.
Wolff said the rate on the BOK Financial Securities rate at 3.413624 is good.
“I think we did well,” he said. “We’ve had quite a roller coaster with the market in the last six to seven months.”
Over the last 30 days, the 10-year Treasury has been as low as .75, up to 3.3 percent.
Ward 4 City Councilor Scott Eudey motioned to approve the BOK Financial Securities bid. Ward 2 City Councilor Lisa Ford seconded the motion, and the motion carried unanimously.
To see a list of the proposed projects and costs, click here.
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