§ 5.04.105. Debt management policy required.

A.

Definitions—As used in this section,

1.

"Debt" shall refer to payment obligations created by any category of financial instruments used to pay for or finance capital projects, including general obligation bond debt, bond anticipation notes in the form of commercial paper, revenue bond debt, and amounts owed under any other financial instrument used to pay for or finance capital projects.

2.

"Debt management policy" shall refer to a written policy adopted by the council and approved by the mayor that includes requirements of the state funding board's model finance transaction policy and at least the following:

a.

The appropriate amount of debt (by category) that should be approved in a capital spending plan;

b.

Multiple metrics by which the metropolitan government monitors, measures, and evaluates its financial condition including without limitation the amount of debt and debt service;

c.

A discussion of available metrics for measuring the amount of debt and debt service, and the reasons why the metrics selected for section 5.04.105(A)(2)(b) are most appropriate;

d.

A discussion of available metrics for measuring debt service including without limitation debt service as a percent of expenditures, revenues, property tax revenue, or per capita, and the reasons why the metrics selected for section 5.04.105(A)(2)(b) are most appropriate;

e.

A discussion of what factors regarding financial performance trends, including projections of key economic variables and population trends must be considered in determining the appropriate amount of debt to be approved in a capital spending plan;

f.

A discussion of the purposes for which each category of debt may be utilized;

g.

A discussion of what impact if any the metropolitan government's net pension obligation, has on the amount of debt (by category) that is advisable.

h.

A discussion of what impact if any the metropolitan government's unfunded OPEB obligation has on the amount of debt (by category) that is advisable.

B.

The metropolitan government shall at all times maintain a debt management policy.

C.

The department of finance shall post the debt management policy on the publicly accessible portion of the metropolitan government's website.

D.

The metropolitan government shall not issue or incur any debt in violation of the debt management policy unless approved in advance by the metropolitan council by resolution.

(Ord. BL2017-726 § 1, 2017)