[1]
Editor's note — Former Ch. 6,20, Borrowing, was repealed by AO No. 2013-65(S), 6-4-2013.
Prior history: GAAB 3.15.010—3.15.020, 9.10.010, 9.10.080, 9.10.090, 9.15.020, 9.15.030, 9.20.180, 9.20.90; AO No. 82-200(S); AO No. 91-18; AO No. 91-173(S); AO No. 93-62, 4-6-1993; AO No. 2001-180, 1-8-2002; AO No. 2002-13, 2-5-2002; AO No. 2009-134, 1-12-2010.
A. 
The chief fiscal officer of the municipality shall be responsible for all of the borrowing and debt issuance of the municipality, its departments and authorities, including borrowing and debt issuance on behalf of utilities owned by the municipality and the Anchorage School District.
B. 
The chief fiscal officer of the municipality is authorized and directed to monitor and manage municipal funds to provide for liquidity of funds for all departments and authorities of the municipality as necessary or appropriate to operate and meet debt and other payment obligations of the municipality, its departments and authorities. Cash management shall include the short term borrowing by various funds or departments and authorities of the municipality from other funds of the municipality or from the general cash pool, as may be defined by the chief fiscal officer, to meet payment obligations in anticipation of revenues or proceeds of planned debt issuance.
(AO No. 2013-65(S), § 2, 6-4-2013)
No general obligation bonded indebtedness may be incurred unless authorized as provided in Charter section 15.02. General obligation debt of a service area shall be approved by dual majority votes: one by the voters of that service area voting on the question, and the other by the voters areawide voting on the question in order to pledge the full faith and credit of the municipality.
(AO No. 2013-65(S), § 2, 6-4-2013)
When a service area has previously incurred indebtedness, no less than all property that was within the service area at the time the debt was issued shall remain subject to taxation to pay the principal of and interest on the debt for as long as the debt remains outstanding.
(AO No. 2013-65(S), § 2, 6-4-2013)
A. 
Anticipation notes may from time to time be issued by the municipality. Issuance of such notes shall be subject to:
1. 
Prior approval by the assembly; and
2. 
Limitations set forth in Charter section 15.02, provided that the assembly by ordinance may delegate to the chief fiscal officer the authority to approve the final amount, timing and other terms and conditions relating to such notes.
(AO No. 2013-65(S), § 2, 6-4-2013)
A. 
Issuance of anticipation notes shall be for the purpose of covering cash flow requirements pending receipt of anticipated revenues to repay such notes. Anticipation notes are defined as:
1. 
Tax anticipation notes, to cover cash flow requirements in tax-supported funds;
2. 
Revenue anticipation notes, to cover cash flow requirements in non-tax-supported funds; and
3. 
Grant anticipation notes, to cover cash flow requirements in grant-supported funds.
(AO No. 2013-65(S), § 2, 6-4-2013)
A. 
Issuance of bonds and other debt obligations shall be for purposes permitted under municipal, state and federal law. Such issuance of bonds and other debt obligations shall be subject to:
1. 
Prior approval by the assembly; and
2. 
Limitations set forth in Charter section 15.02, provided that the assembly by ordinance may delegate to the chief fiscal officer the authority to determine, consistent with the voter approval where applicable, the final amount, timing and other terms and conditions relating to bonds and other debt obligations.
(AO No. 2013-65(S), § 2, 6-4-2013)
A. 
The chief fiscal officer shall deposit proceeds from the issuance of debt into an appropriate account which may be held by a trustee, paying agent, escrow agent or the municipality and maintained at a financial institution for the benefit of the municipality.
B. 
Whenever bond issue or other debt obligation covenants require that certain reserves be established and maintained for the security of those bond issues or other debt obligations, such funds shall be placed in restricted accounts which may be held by a trustee, paying agent, escrow agent or the municipality and maintained at a financial institution for the benefit of the municipality. These funds will not be used for any purpose other than for the purposes specified by the bond issue or other debt obligation.
C. 
Investment earnings on debt proceeds shall be credited to the respective account or fund related to such debt proceeds.
(AO No. 2013-65(S), § 2, 6-4-2013)
It shall be the responsibility of the chief fiscal officer to monitor compliance with applicable municipal, state and federal requirements that govern municipal debt.
(AO No. 2013-65(S), § 2, 6-4-2013)
A. 
The chief fiscal officer shall have the authority to contract for bond counsel, bond tax counsel and financial consultants engaged in financial planning of the municipality. The selection process for bond counsel, bond tax counsel and financial consultants shall be conducted in accordance with Title 7.
B. 
The person or firm selected to perform the services of bond counsel, bond tax counsel and financial consultant shall not bid or participate in bidding in the initial sale of bonds or other debt obligations for which services have been performed, and shall execute an agreement to that effect upon selection.
(AO No. 2013-65(S), § 2, 6-4-2013)
The assembly may authorize public awareness campaigns to inform the voters of the purpose of the bonds and how the bonds will be repaid, and to encourage voter turnout. The costs of such campaigns shall be limited to a reasonable amount, and may be charged pro rata to the departments for which the bonds are intended to be issued.
(AO No. 2013-65(S), § 2, 6-4-2013)
Notwithstanding any provision of chapter 6.20, debt obligations issued pursuant to this chapter may be issued with or without a seal of the municipality, which may be imprinted, impressed or otherwise reproduced thereon.
(AO No. 2013-65(S), § 2, 6-4-2013)
A. 
Any fund or account of the municipality that does not have a sufficient equity position in the general cash pool shall borrow funds from the general cash pool or another fund or account of the municipality, as determined by the chief fiscal officer.
B. 
Funds or departments that are provided with borrowed funds shall pay interest on the amount borrowed. Interest shall be calculated and paid or accrued on a monthly basis.
C. 
The rate of interest on amounts borrowed from the general cash pool shall be the greater of i) one half of one percent (0.50%), or ii) the sum of one half of one percent (0.50%) plus the general cash pool rate of return, as defined by the chief fiscal officer from time to time, for the month during which such funds were borrowed.
(AO No. 2013-65(S), § 2, 6-4-2013)