HomeMy WebLinkAbout2022-05-16 I02A Bond - GO Series 2022A - Advertise SaleAGENDA ITEM:
CITY OF WAUKEE, IOWA
CITY COUNCIL MEETING COMMUNICATION
MEETING DATE: May 16, 2022
AGENDA ITEM:Consideration of approval of a resolution directing the advertisement for
sale and approving electronic bidding procedures and Official Statement
[$11,755,000 General Obligation Bonds, Series 2022A]
FORMAT:Consent Agenda
SYNOPSIS INCLUDING PRO & CON: The proposed resolution sets June 6, 2022, as the date
for receipt of bids and consideration of sale.
FISCAL IMPACT INCLUDING COST/BENEFIT ANALYSIS:$11,755,000
COMMISSION/BOARD/COMMITTEE COMMENT:
STAFF REVIEW AND COMMENT:
RECOMMENDATION: Approve the resolution.
ATTACHMENTS: I. Proposed Resolution
II. Preliminary Official Statement, Series 2022A
PREPARED BY:Becky Schuett
REVIEWED BY:
I2A
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RESOLUTION 2022-
RESOLUTION DIRECTING THE ADVERTISEMENT FOR
SALE OF $11,755,000 GENERAL OBLIGATION BONDS,
SERIES 2022A, AND APPROVING ELECTRONIC BIDDING
PROCEDURES AND OFFICIAL STATEMENT
WHEREAS, the Issuer is in need of funds to pay costs of opening, widening, extending,
grading, and draining of the right-of-way of streets, highways, avenues, alleys and public
grounds, and market places, and the removal and replacement of dead or diseased trees thereon;
the construction, reconstruction, and repairing of any street improvements, bridges, grade
crossing separations and approaches; the acquisition, installation, and repair of sidewalks,
culverts, retaining walls, storm sewers, sanitary sewers, water service lines, street lighting, and
traffic control devices and signage, essential corporate purpose(s), and it is deemed necessary
and advisable that General Obligation Bonds, to the amount of not to exceed $4,000,000 be
authorized for said purpose(s); and
WHEREAS, pursuant to notice published as required by Section 384.25 of the Code of
Iowa, this Council has held a public meeting and hearing upon the proposal to institute
proceedings for the issuance of the Bonds, and the Council is therefore now authorized to
proceed with the issuance of said Bonds for such purpose(s); and
WHEREAS, the City is in need of funds to pay costs of acquisition, installation,
improving and equipping of city facilities and buildings, including second floor improvements at
the Public Works facility; and acquisition and installation of city signage, general corporate
purpose(s), and it is deemed necessary and advisable that General Obligation Bonds, to the
amount of not to exceed $700,000 be authorized for said purpose(s); and
WHEREAS, the Issuer has a population of more than 5,000 but not more than 75,000,
and the Bonds for these purposes do not exceed $700,000; and
WHEREAS, pursuant to notice published as required by Section 384.26 of the Code of
Iowa, the Council of the City has held public meeting and hearing upon the proposal to institute
proceedings for the issuance of Bonds for general corporate purpose(s) in the amounts as above
set forth, and, no petition for referendum having been received, the Council is therefore now
authorized to proceed with the issuance of said Bonds for such purpose(s); and
WHEREAS, the City is in need of funds to pay costs of funding city contributions toward
developer street improvement and street lighting requirements, general corporate purpose(s), and
it is deemed necessary and advisable that General Obligation Bonds, to the amount of not to
exceed $700,000 be authorized for said purpose(s); and
WHEREAS, the Issuer has a population of more than 5,000 but not more than 75,000,
and the Bonds for these purposes do not exceed $700,000; and
WHEREAS, pursuant to notice published as required by Section 384.26 of the Code of
Iowa, the Council of the City has held public meeting and hearing upon the proposal to institute
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proceedings for the issuance of Bonds for general corporate purpose(s) in the amounts as above
set forth, and, no petition for referendum having been received, the Council is therefore now
authorized to proceed with the issuance of said Bonds for such purpose(s); and
WHEREAS, the City is in need of funds to pay costs of acquisition, construction, and
equipping of city facilities and buildings, including construction of a new cold storage facility,
general corporate purpose(s), and it is deemed necessary and advisable that General Obligation
Bonds, to the amount of not to exceed $700,000 be authorized for said purpose(s); and
WHEREAS, the Issuer has a population of more than 5,000 but not more than 75,000,
and the Bonds for these purposes do not exceed $700,000; and
WHEREAS, pursuant to notice published as required by Section 384.26 of the Code of
Iowa, the Council of the City has held public meeting and hearing upon the proposal to institute
proceedings for the issuance of Bonds for general corporate purpose(s) in the amounts as above
set forth, and, no petition for referendum having been received, the Council is therefore now
authorized to proceed with the issuance of said Bonds for such purpose(s); and
WHEREAS, the Issuer is in need of funds to pay costs of aiding in the planning,
undertaking and carrying out of urban renewal projects under the authority of Iowa Code chapter
403 and the Urban Renewal Plans, as amended, for the North Waukee Residential Urban
Renewal Area and the Waukee Consolidated Urban Renewal Area, including opening, widening,
extending, grading, and draining of the right-of-way of streets, highways, avenues, alleys and
public grounds, and market places, and the removal and replacement of dead or diseased trees
thereon; the construction, reconstruction, and repairing of any street improvements, bridges,
grade crossing separations and approaches; the acquisition, installation, and repair of sidewalks,
culverts, retaining walls, storm sewers, sanitary sewers, water service lines, street lighting, and
traffic control devices and signage; and the acquisition of any real estate needed for any of the
foregoing purposes, essential corporate urban renewal purpose project(s), and it is deemed
necessary and advisable that the City issue General Obligation Urban Renewal Bonds, for such
purpose(s) to the amount of not to exceed $6,750,000 as authorized by Sections 384.25 and
403.12 of the Code of Iowa; and
WHEREAS, pursuant to notice published as required by Sections 384.25 and 403.12 this
Council has held a public meeting and hearing upon the proposal to institute proceedings for the
issuance of said Bonds, and all objections, if any, to such Council action made by any resident or
property owner of the City were received and considered by the Council; and no petition having
been filed, it is the decision of the Council that additional action be taken for the issuance of said
Bonds for such purpose(s), and that such action is considered to be in the best interests of the
City and the residents thereof; and
WHEREAS, pursuant to Section 384.28 of the Code of Iowa, it is hereby found and
determined that the various general obligation bonds authorized as hereinabove described shall
be combined for the purpose of issuance in a single issue of $11,755,000 General Obligation
Bonds as hereinafter set forth; and
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WHEREAS, in conjunction with its Municipal Advisor, PFM Financial Advisors LLC,
the City has caused an Official Statement to be prepared outlining the details of the proposed sale
of the Bonds; and
WHEREAS, the Council has received information from its Municipal Advisor evaluating
and recommending the procedure hereinafter described for electronic and internet bidding to
maintain the integrity and security of the competitive bidding process and to facilitate the
delivery of bids by interested parties; and
WHEREAS, the Council deems it in the best interests of the City and the residents
thereof to receive bids to purchase such Bonds by means of both sealed and electronic internet
communication.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF WAUKEE, STATE OF IOWA:
Section 1.That the receipt of electronic bids through the Parity Competitive Bidding
System described in the Notice of Sale and Official Statement are hereby found and determined
to provide reasonable security and to maintain the integrity of the competitive bidding process,
and to facilitate the delivery of bids by interested parties in connection with the offering at public
sale.
Section 2.That General Obligation Bonds, Series 2022A, of City of Waukee, State of
Iowa, in the amount of $11,755,000, to be issued as referred to in the preamble of this
Resolution, to be dated July 6, 2022, be offered for sale pursuant to the published advertisement.
Section 3.That the preliminary Official Statement in the form presented to this meeting
be and the same hereby is approved as to form and deemed final for purposes of Rule 15c2-12 of
the Securities and Exchange Commission, subject to such revisions, corrections or modifications
as the Mayor and City Clerk, upon the advice of bond counsel, disclosure counsel, and the City's
Municipal Advisor, shall determine to be appropriate, and is authorized to be distributed in
connection with the offering of the Bonds for sale.
Section 4.That the Clerk is hereby directed to publish notice of sale of the Bonds at least
once, the last one of which shall be not less than four clear days nor more than twenty days
before the date of the sale. Publication shall be made in the "The Dallas County News", a legal
newspaper, printed wholly in the English language, published within the county in which the
Bonds are to be offered for sale or an adjacent county. The notice is given pursuant to Chapter
75 of the Code of Iowa, and shall state that this Council, on the 6th day of June, 2022, at 5:30
P.M., will hold a meeting to receive and act upon bids for said Bonds, which bids were
previously received and opened by City Officials at 10:00 A.M. on said date. The notice shall be
in substantially the following form:
(To be published on or before May 31, 2022)
NOTICE OF BOND SALE
Time and Place of Sealed Bids: Bids for the sale of Bonds of the City of Waukee, State
of Iowa, hereafter described, must be received at the office of the City Clerk, Council Chambers,
City Hall, 230 West Hickman Road, Waukee, Iowa 50263; Telephone: 515-978-7900 (the
"Issuer") before 10:00 A.M., on the 6th day of June, 2022. The bids will then be publicly opened
and referred for action to the meeting of the City Council in conformity with the TERMS OF
OFFERING.
The Bonds: The Bonds to be offered are the following:
GENERAL OBLIGATION BONDS, SERIES 2022A, in the
amount of $11,755,000*, to be dated July 6, 2022 (the "Bonds")
*Subject to principal adjustment pursuant to official Terms of Offering.
Manner of Bidding: Open bids will not be received. Bids will be received in any of the
following methods:
Sealed Bidding: Sealed bids may be submitted and will be received at the office
of the City Clerk at City Hall, 230 West Hickman Road, Waukee, Iowa 50263.
Electronic Internet Bidding: Electronic internet bids will be received at the office
of the City Clerk at City Hall, 230 West Hickman Road, Waukee, Iowa 50263
and/or City's Municipal Advisor, PFM Financial Advisor LLC. The bids must be
submitted through the PARITY® competitive bidding system.
Consideration of Bids: After the time for receipt of bids has passed, the close of sealed
bids will be announced. Sealed bids will then be publicly opened and announced. Finally,
electronic internet bids will be accessed and announced.
Sale and Award: The sale and award of the Bonds will be held at the Council Chambers,
City Hall, 230 West Hickman Road, Waukee, Iowa at a meeting of the City Council on the above
date at 5:30 P.M.
Official Statement: The Issuer has issued an Official Statement of information pertaining
to the Bonds to be offered, including a statement of the Terms of Offering and an Official Bid
Form, which is incorporated by reference as a part of this notice. The Official Statement may be
obtained by request addressed to the City Clerk, Council Chambers, City Hall, 230 West
Hickman Road, Waukee, Iowa 50263; Telephone: 515-978-7900 or the Issuer's Municipal
Advisor, PFM Financial Advisors LLC, 801 Grand Avenue, Suite 3300, Des Moines, Iowa,
50309, Telephone: 515-243-2600.
Terms of Offering: All bids shall be in conformity with and the sale shall be in
accordance with the Terms of Offering as set forth in the Official Statement.
Legal Opinion: The Bonds will be sold subject to the opinion of Ahlers & Cooney, P.C.,
Attorneys of Des Moines, Iowa, as to the legality and their opinion will be furnished together
with the printed Bonds without cost to the purchaser and all bids will be so conditioned. Except
to the extent necessary to issue their opinion as to the legality of the Bonds, the attorneys will not
examine or review or express any opinion with respect to the accuracy or completeness of
documents, materials or statements made or furnished in connection with the sale, issuance or
marketing of the Bonds.
Rights Reserved: The right is reserved to reject any or all bids, and to waive any
irregularities as deemed to be in the best interests of the public.
By order of the City Council of the City of Waukee, State of Iowa.
Rebecca D. Schuett
City Clerk, City of Waukee, State of Iowa
(End of Notice)
PASSED AND APPROVED this 16th day of May, 2022.
__________________________________
Mayor
ATTEST:
__________________________________
City Clerk
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PRELIMINARY OFFICIAL STATEMENT DATED MAY 16, 2022
New Issue Rating: Application made to Moody’s Investors Service
Assuming compliance with certain covenants, in the opinion of Ahlers & Cooney, P.C., Bond Counsel, under present law and assuming continued
compliance with the requirements of the Internal Revenue Code of 1986, as amended (the “Code”), interest on the Bonds is excludable from gross
income for federal income tax purposes. Interest on the Bonds is not an item of tax preference for purposes of the federal alternative minimum tax.
The Bonds will NOT be designated as “qualified tax-exempt obligations”. See “TAX MATTERS” section herein for a more detailed discussion.
CITY OF WAUKEE, IOWA
$11,755,000* General Obligation Bonds, Series 2022A
BIDS RECEIVED: Monday, June 6, 2022, 10:00 A.M., Central Time
AWARD: Monday, June 6, 2022, 5:30 P.M., Central Time
Dated: Date of Delivery (July 6, 2022) Principal Due: June 1, as shown inside front cover
The $11,755,000* General Obligation Bonds, Series 2022A (the “Bonds”) are being issued pursuant to Subchapter III of
Chapter 384 and Chapter 403 of the Code of Iowa and the authorizing resolution (the “Resolution”) to be adopted by the
City Council of the City of Waukee, Iowa (the “City”). Proceeds of the Bonds are being issued to pay costs of carrying
out essential corporate purpose, general corporate purpose and urban renewal projects. See “AUTHORITY AND
PURPOSE” section herein for more detail regarding the project descriptions. The Bonds are general obligations of the
City for which the City will pledge its power of levy direct ad valorem taxes against all taxable property within the City
without limitation as to rate or amount to the repayment of the Bonds.
The Bonds will be issued as fully registered Bonds without coupons and, when issued, will be registered in the name of
Cede & Co., as nominee of The Depository Trust Company (“DTC”). DTC will act as securities depository for the
Bonds. Individual purchases may be made in book-entry-only form, in the principal amount of $5,000 and integral
multiples thereof. The purchaser will not receive certificates representing their interest in the Bonds purchased.
Principal of the Bonds, payable annually on each June 1, beginning June 1, 2023, and interest on the Bonds, payable
initially on December 1, 2022 and thereafter on each June 1 and December 1, will be paid to DTC by the City’s
Registrar/Paying Agent, UMB Bank N.A., West Des Moines, Iowa (the “Registrar”). DTC will in turn remit such
principal and interest to its participants for subsequent disbursements to the beneficial owners of the Bonds as described
herein. Interest and principal shall be paid to the registered holder of a bond as shown on the records of ownership
maintained by the Registrar as of the 15th day of the month preceding the interest payment date (the “Record Date”).
THE BONDS WILL MATURE AS LISTED ON THE INSIDE FRONT COVER
MINIMUM BID: $11,641,650
GOOD FAITH DEPOSIT: $117,550 Required of Purchaser Only
TAX MATTERS: Federal: Tax-Exempt
State: Taxable
See “TAX MATTERS” for more details
The Bonds are offered, subject to prior sale, withdrawal or modification, when, as, and if issued subject to the legal
opinion of Ahlers & Cooney, P.C., Bond Counsel, Des Moines Iowa, to be furnished upon delivery of the Bonds.
Ahlers & Cooney, P.C. is also serving as Disclosure Counsel for the City in connection with the issuance of the Bonds.
It is expected the Bonds in the definitive form will be available on or about July 6, 2022 via Fast Automated Securities
Transfer delivery with the Registrar holding the Bonds on behalf of DTC. The Preliminary Official Statement in the
form presented is deemed final for purposes of Rule 15c2-12 of the Securities and Exchange Commission, subject to
revisions, corrections or modifications as determined to be appropriate, and is authorized to be distributed in connection
with the offering of the Bonds for sale.
* Preliminary; subject to change.
CITY OF WAUKEE, IOWA
$11,755,000* General Obligation Bonds, Series 2022A
MATURITY: The Bonds will mature June 1 in the years and amounts as follows:
Year Amount* Year Amount*
2023 $245,000 2033 $715,000
2024 330,000 2034 740,000
2025 345,000 2035 615,000
2026 350,000 2036 635,000
2027 360,000 2037 665,000
2028 370,000 2038 685,000
2029 640,000 2039 715,000
2030 655,000 2040 740,000
2031 680,000 2041 770,000
2032 700,000 2042 800,000
* PRINCIPAL
ADJUSTMENT: Preliminary; subject to change. The City reserves the right to increase or decrease the
aggregate principal amount of the Bonds and to increase or reduce each scheduled maturity
thereof after the determination of the successful bidder. The City may increase or decrease
each maturity in increments of $5,000 but the total amount to be issued will not exceed
$12,350,000. Interest rates specified by the successful bidder for each maturity will not
change. Final adjustments shall be in the sole discretion of the City.
The dollar amount of the purchase price proposed by the successful bidder will be changed if
the aggregate principal amount of the Bonds is adjusted as described above. Any change in
the principal amount of any maturity of the Bonds will be made while maintaining, as closely
as possible, the successful bidder's net compensation, calculated as a percentage of bond
principal. The successful bidder may not withdraw or modify its bid as a result of any post-
bid adjustment. Any adjustment shall be conclusive and shall be binding upon the successful
bidder.
INTEREST: Interest on the Bonds will be payable on December 1, 2022 and semiannually thereafter.
OPTIONAL
REDEMPTION: Bonds due after June 1, 2030 will be subject to call for prior redemption on said date or on
any date thereafter upon terms of par plus accrued interest to date of call. Written notice of
such call shall be given at least thirty (30) days prior to the date fixed for redemption to the
registered owners of the Bonds to be redeemed at the address shown on the registration
books.
COMPLIANCE WITH S.E.C. RULE 15c2-12
Municipal obligations (issued in an aggregate amount over $1,000,000) are subject to General Rules and Regulations,
Securities Exchange Act of 1934, Rule 15c2-12 Municipal Securities Disclosure.
Preliminary Official Statement: This Preliminary Official Statement was prepared for the City for dissemination to
prospective bidders. Its primary purpose is to disclose information regarding the Bonds to prospective bidders in the
interest of receiving competitive bids in accordance with the TERMS OF OFFERING contained herein. Unless an
addendum is received prior to the sale, this document shall be deemed the near final “Official Statement”.
Review Period: This Preliminary Official Statement has been distributed to City staff as well as to prospective
bidders for an objective review of its disclosure. Comments, omissions or inaccuracies must be submitted to PFM
Financial Advisors LLC (the “Municipal Advisor”) at least two business days prior to the sale. Requests for
additional information or corrections in the Preliminary Official Statement received on or before this date will not be
considered a qualification of a bid received. If there are any changes, corrections or additions to the Preliminary
Official Statement, prospective bidders will be informed by an addendum at least one business day prior to the sale.
Final Official Statement: Upon award of sale of the Bonds, the legislative body will authorize the preparation of a
final Official Statement that includes the offering prices, interest rates, selling compensation, aggregate principal
amount, principal amount per maturity, anticipated delivery date and other information required by law and the
identity of the underwriter (the “Syndicate Manager”) and syndicate members. Copies of the final Official Statement
will be delivered to the Syndicate Manager within seven business days following the bid acceptance.
REPRESENTATIONS
No dealer, broker, salesman or other person has been authorized by the City, the Municipal Advisor or the underwriter
to give any information or to make any representations other than those contained in this Preliminary Official
Statement or the final Official Statement and, if given or made, such information and representations must not be
relied upon as having been authorized by the City, the Municipal Advisor or the underwriter. This Preliminary
Official Statement or the final Official Statement does not constitute an offer to sell or solicitation of an offer to buy,
nor shall there by any sale of the Bonds by any person in any jurisdiction in which it is unlawful for such person to
make such offer, solicitation or sale. The information set forth herein has been obtained from the City and other
sources which are believed to be reliable, but it is not to be construed as a representation by the Municipal Advisor or
underwriter. The information and expressions of opinion herein are subject to change without notice, and neither the
delivery of this Preliminary Official Statement or the final Official Statement, nor any sale made thereafter shall,
under any circumstances, create any implication there has been no change in the affairs of the City or in any other
information contained herein, since the date hereof. This Preliminary Official Statement is submitted in connection
with the sale of the securities referred to herein and may not be reproduced or used, in whole or in part, for any other
purpose.
This Preliminary Official Statement and any addenda thereto were prepared relying on information from the City and
other sources, which are believed to be reliable.
Bond Counsel has not participated in the preparation of this Preliminary Official Statement and is not expressing any
opinion as to the completeness or accuracy of the information contained therein.
Ahlers & Cooney, P.C. is also serving as Disclosure Counsel to the City in connection with the issuance of the Bonds.
Compensation of the Municipal Advisor, payable entirely by the City, is contingent upon the sale of the issue.
CITY OF WAUKEE, IOWA
City Council
Courtney Clarke Mayor
Anna Bergman Pierce Council Member
Charlie Bottenberg Council Member
Chris Crone Council Member
Larry Lyon Council Member
Ben Sinclair Council Member
Administration
Brad Deets, City Administrator
Rebecca Schuett, City Clerk
Linda Burkhart, Finance Director
City Attorney
Brick, Gentry P.C.
Steven P. Brick
Des Moines, Iowa
Bond Counsel and Disclosure Counsel
Ahlers & Cooney, P.C.
Des Moines, Iowa
Municipal Advisor
PFM Financial Advisors LLC
Des Moines, Iowa
TABLE OF CONTENTS
TERMS OF OFFERING ..................................................................................................................................... i
SCHEDULE OF BOND YEARS ..................................................................................................................... vii
EXHIBIT 1 - FORMS OF ISSUE PRICE CERTIFICATES
PRELIMINARY OFFICIAL STATEMENT
Introduction ....................................................................................................................................................... 1
Authority and Purpose ...................................................................................................................................... 1
Interest on the Bonds......................................................................................................................................... 1
Optional Redemption of the Bonds ................................................................................................................... 2
Payment Of and Security For The Bonds ......................................................................................................... 2
Book-Entry-Only Issuance ................................................................................................................................ 2
Future Financing ............................................................................................................................................... 4
Litigation ........................................................................................................................................................... 4
Debt Payment History ....................................................................................................................................... 4
Legality ............................................................................................................................................................. 5
Tax Matters ....................................................................................................................................................... 5
Bondholder's Risks ............................................................................................................................................ 8
Rating .............................................................................................................................................................. 12
Municipal Advisor .......................................................................................................................................... 12
Continuing Disclosure..................................................................................................................................... 12
Financial Statements ....................................................................................................................................... 13
Certification .................................................................................................................................................... 13
APPENDIX A - FINANCIAL INFORMATION ABOUT THE CITY OF WAUKEE, IOWA
APPENDIX B - GENERAL INFORMATION ABOUT THE CITY OF WAUKEE, IOWA
APPENDIX C - FORM OF LEGAL OPINION
APPENDIX D - JUNE 30, 2021 INDEPENDENT AUDITOR’S REPORTS
APPENDIX E - FORM OF CONTINUING DISCLOSURE CERTIFICATE
OFFICIAL BID FORM
i
TERMS OF OFFERING
CITY OF WAUKEE, IOWA
Bids for the purchase of the City of Waukee, Iowa’s (the “City”) $11,755,000* General Obligation Bonds, Series
2022A (the “Bonds”) will be received on Monday, June 6, 2022, before 10:00 A.M., Central Time, after which time
they will be tabulated. The City Council will consider award of the Bonds at 5:30 P.M., Central Time, on the same day.
Questions regarding the sale of the Bonds should be directed to the City’s Municipal Advisor, PFM Financial Advisors
LLC (the “Municipal Advisor”), 801 Grand Avenue, Suite 3300, Des Moines, Iowa 50309, telephone 515-724-5724.
Information may also be obtained from Linda Burkhart, Finance Director, City of Waukee, 230 West Hickman Road,
Waukee, Iowa 50263, telephone 515-978-7919.
This section sets forth the description of certain terms of the Bonds as well as the TERMS OF OFFERING with which
all bidders and bid proposals are required to comply, as follows:
DETAILS OF THE BONDS
GENERAL OBLIGATION BONDS, SERIES 2022A in the principal amount of $11,755,000*, will be dated the date of
delivery date (anticipated to be July 6, 2022) in the denomination of $5,000 or multiples thereof, and will mature June 1
as follows:
Year Amount* Year Amount*
2023 $245,000 2033 $715,000
2024 330,000 2034 740,000
2025 345,000 2035 615,000
2026 350,000 2036 635,000
2027 360,000 2037 665,000
2028 370,000 2038 685,000
2029 640,000 2039 715,000
2030 655,000 2040 740,000
2031 680,000 2041 770,000
2032 700,000 2042 800,000
* Preliminary; subject to change.
ADJUSTMENT TO BOND MATURITY AMOUNTS
The City reserves the right to increase or decrease the aggregate principal amount of the Bonds and to increase or
decrease each scheduled maturity thereof after the determination of the successful bidder. The City may increase or
reduce each maturity in increments of $5,000 but the total amount to be issued will not exceed $12,350,000. Interest
rates specified by the successful bidder for each maturity will not change. Interest rates specified by the successful
bidder for each maturity will not change. Final adjustments shall be in the sole discretion of the City.
The dollar amount of the purchase price proposed by the successful bidder will be changed if the aggregate principal
amount of the Bonds is adjusted as described above. Any change in the principal amount of any maturity of the Bonds
will be made while maintaining, as closely as possible, the successful bidder's net compensation, calculated as a
percentage of bond principal. The successful bidder may not withdraw or modify its bid as a result of any post-bid
adjustment. Any adjustment shall be conclusive and shall be binding upon the successful bidder.
INTEREST ON THE BONDS
Interest on the Bonds will be payable on December 1, 2022 and semiannually on the 1st day of June and December
thereafter. Interest and principal shall be paid to the registered holder of an Obligation as shown on the records of
ownership maintained by the Registrar as of the 15th day of the month preceding such interest payment date (the
“Record Date”). Interest will be computed on the basis of a 360-day year of twelve 30-day months and will be rounded
pursuant to rules of the Municipal Securities Rulemaking Board.
ii
OPTIONAL REDEMPTION OF THE BONDS
Bonds due after June 1, 2030 will be subject to call prior to maturity in whole, or from time to time in part, in any order
of maturity and within a maturity by lot on said date or on any date thereafter at the option of the City, upon terms of par
plus accrued interest to date of call. Written notice of such call shall be given at least thirty (30) days prior to the date
fixed for redemption to the registered owners of the Bonds to be redeemed at the address shown on the registration
books.
TERM BOND OPTION
Bidders shall have the option of designating the Bonds as serial bonds or term bonds, or both. The bid must designate
whether each of the principal amounts shown above represent a serial maturity or a mandatory redemption requirement
for a term bond maturity. (See the OFFICIAL BID FORM for more information.) In any event, the above principal
amounts scheduled shall be represented by either serial bond maturities or mandatory redemption requirements, or a
combination of both.
GOOD FAITH DEPOSIT
A good faith deposit in the amount of $117,550 for the Bonds (the “Deposit”) is required from the lowest bidder of the
Bonds. The lowest bidder is required to submit such Deposit payable to the order of the City in the form of either (i) a
cashier’s check provided to the City or its Municipal Advisor, or (ii) a wire transfer as instructed by the City’s
Municipal Advisor no later than 12:00 P.M., Central Time, on the day of sale of the Bonds. If not so received, the bid
of the lowest bidder may be rejected and the City may direct the second lowest bidder to submit a Deposit and,
thereafter, may award the sale of the Bonds to the same. No interest on the Deposit will accrue to the successful bidder
(the “Purchaser”). The Deposit will be applied to the purchase price of the Bonds. In the event a Purchaser fails to
honor its accepted bid proposal, the Deposit will be retained by the City.
FORM OF BIDS AND AWARD
All bids shall be unconditional for the Bonds for a price not less than $11,641,650 plus accrued interest and shall specify
the rate or rates of interest in conformity to the limitations set forth under the “BIDDING PARAMETERS” section
herein. Bids must be submitted on or in substantial compliance with the OFFICIAL BID FORM provided by the City.
The Bonds will be awarded to the bidder offering the lowest interest rate to be determined on a true interest cost (the
“TIC”) basis assuming compliance with the “ESTABLISHMENT OF ISSUE PRICE” and “GOOD FAITH DEPOSIT”
sections herein. The TIC shall be determined by the present value method, i.e., by ascertaining the semiannual rate,
compounded semiannually, necessary to discount to present value as of the dated date of the Bonds, the amount payable
on each interest payment date and on each stated maturity date or earlier mandatory redemption, so that the aggregate of
such amounts will equal the aggregate purchase price offered, therefore. The TIC shall be stated in terms of an annual
percentage rate and shall be that rate of interest, which is twice the semiannual rate so ascertained (also known as the
Canadian Method). The TIC shall be as determined by the Municipal Advisor based on the TERMS OF OFFERING
and all amendments, and on the bids as submitted. The Municipal Advisor’s computation of the TIC of each bid shall
be controlling. In the event of tie bids for the lowest TIC, the Bonds will be awarded by lot.
The City will reserve the right to: (i) waive non-substantive informalities of any bid or of matters relating to the receipt
of bids and award of the Bonds, (ii) reject all bids without cause, and (iii) reject any bid which the City determines to
have failed to comply with the terms herein.
BIDDING PARAMETERS
The bidder’s proposal must conform to the following limitations:
1. Each annual maturity shall bear a single rate of interest from the dated date of the Bonds to the date of maturity.
2. Rates of interest bid must be in multiples of one-eighth or one-twentieth of one percent.
3. The initial price to the public for each maturity must be 98% or greater.
iii
RECEIPT OF BIDS
Forms of Bids: Bids must be submitted on or in substantial compliance with the TERMS OF OFFERING and
OFFICIAL BID FORM provided by the City or through PARITY® competitive bidding system (the “Internet Bid
System”). Neither the City nor its agents shall be responsible for malfunction or mistake made by any person, or as a
result of the use of the electronic bid or any other means used to deliver or complete a bid. The use of such means is
at the sole risk of the prospective bidder who shall be bound by the terms of the bid as received.
No bid will be accepted after the time specified in the TERMS OF OFFERING and OFFICIAL BID FORM. The
time, as maintained by the Internet Bid System, shall constitute the official time with respect to all bids submitted. A
bid may be withdrawn before the bid deadline using the same method used to submit the bid. If more than one bid is
received from a bidder, the last bid received shall be considered.
Sealed Bidding: Sealed bids may be submitted and will be received at the office of the City Clerk at City Hall, 230
West Hickman Road, Waukee, Iowa 50263.
Electronic Internet Bidding: Electronic internet bids will be received at the office of the City Clerk at City Hall, 230
West Hickman Road, Waukee, Iowa 50263 and/or City’s Municipal Advisor, PFM Financial Advisors LLC. Electronic
internet bids must be submitted through the Internet Bid System. Information about the Internet Bid System may be
obtained by calling 212-849-5021.
Each prospective bidder shall be solely responsible for making necessary arrangements to access the Internet Bid
System for purposes of submitting its electronic internet bid in a timely manner and in compliance with the
requirements of the TERMS OF OFFERING and OFFICIAL BID FORM. The City is permitting bidders to use the
services of the Internet Bid System solely as a communication mechanism to conduct the electronic internet bidding and
the Internet Bid System is not an agent of the City. Provisions of the TERMS OF OFFERING and OFFICIAL BID
FORM shall control in the event of conflict with information provided by the Internet Bid System.
BOOK-ENTRY-ONLY ISSUANCE
The Bonds will be issued by means of a book-entry-only system with no physical distribution of obligation certificates
made to the public. The Bonds will be issued in fully registered form and one bond certificate, representing the
aggregate principal amount of the Bonds maturing in each year, will be registered in the name of Cede & Co. as
nominee of The Depository Trust Company (“DTC”), New York, New York, which will act as securities depository of
the Bonds. Individual purchases of the Bonds may be made in the principal amount of $5,000 or any multiple thereof of
a single maturity through book entries made on the books and records of DTC and its participants. Principal and
interest are payable by the Registrar to DTC or its nominee as registered owner of the Bonds. Transfer of principal and
interest payments to participants of DTC will be the responsibility of DTC; transfer of principal and interest payments to
beneficial owners by participants will be the responsibility of such participants and other nominees of beneficial owners.
The Purchaser, as a condition of delivery of the Bonds, will be required to deposit the bond certificates with the
Registrar on behalf of DTC.
MUNICIPAL BOND INSURANCE AT PURCHASER’S OPTION
If the Bonds qualify for issuance of any policy of municipal bond insurance or commitment therefore at the option of the
bidder, the purchase of any such insurance policy or the issuance of any such commitment shall be at the sole option
and expense of the Purchaser. Any increased costs of issuance of the Bonds resulting from such purchase of insurance
shall be paid by the Purchaser, except that, if the City has requested and received a rating on the Bonds from a rating
agency, the City will pay that initial rating fee. Any other rating agency fees shall be the responsibility of the
Purchaser. Failure of the municipal bond insurer to issue the policy after the Bonds have been awarded to the Purchaser
shall not constitute cause for failure or refusal by the Purchaser to accept delivery on the Bonds. The City reserves
the right in its sole discretion to accept or deny changes to the financing documents requested by the insurer selected by
the Purchaser.
iv
DELIVERY
The Bonds will be delivered to the Purchaser via Fast Automated Securities Transfer delivery with the Registrar holding
the Bonds on behalf of DTC, against full payment in immediately available cash or federal funds. The Bonds are
expected to be delivered within forty-five days after the sale. Should delivery be delayed beyond sixty days from the
date of sale for any reason except failure of performance by the Purchaser, the Purchaser may withdraw their bid and
thereafter their interest in and liability for the Bonds will cease. When the Bonds are ready for delivery, the City will
give the Purchaser five working days’ notice of the delivery date and the City will expect payment in full on that date;
otherwise, reserving the right at its option to determine that the Purchaser failed to comply with the offer of purchase.
ELECTRONIC TRANSCRIPTS
The Purchaser consents to the receipt of electronic transcripts and acknowledges the City’s intended use of
electronically executed documents. Iowa Code chapter 554D establishes electronic signatures have the full weight and
legal authority as manual signatures.
ESTABLISHMENT OF ISSUE PRICE
The Purchaser shall assist the City in establishing the issue price of the Bonds and shall execute and deliver to the City
at closing an “issue price” or similar certificate setting forth the reasonably expected initial offering price to the public
or the sales price or prices of the Bonds, together with the supporting pricing wires or equivalent communications,
substantially in the form attached hereto in EXHIBIT 1 - FORMS OF ISSUE PRICE CERTIFICATES to the TERMS
OF OFFERING, with such modifications as may be appropriate or necessary in the reasonable judgment of the
Purchaser, the City and Bond Counsel, will need to be signed by the Purchaser. All actions to be taken by the City
under the TERMS OF OFFERING to establish the issue price of the Bonds may be taken on behalf of the City by the
Municipal Advisor identified herein and any notice or report to be provided to the City may be provided to the
Municipal Advisor.
The City intends the provisions of Treasury Regulation Section 1.148-1(f)(3)(i) (defining “competitive sale” for
purposes of establishing the issue price of the Bonds) will apply to the initial sale of the Bonds (the “competitive sale
requirements”) because (i) the City shall disseminate this TERMS OF OFFERING to potential underwriters in a manner
that is reasonably designed to reach potential underwriters, (ii) all bidders shall have an equal opportunity to bid, (iii)
the City may receive bids from at least three underwriters of municipal bonds who have established industry reputations
for underwriting new issuances of municipal bonds, and (iv) the City anticipates awarding the sale of the Bonds to the
bidder who submits a firm offer to purchase the Bonds at the highest price (or lowest interest cost), as set forth in the
TERMS OF OFFERING.
Any bid submitted pursuant to the TERMS OF OFFERING shall be considered a firm offer for the purchase of the
Bonds, as specified in the bid.
In the event the competitive sale requirements are not satisfied for the Bonds, the City shall so advise the Purchaser.
The City may determine to treat (i) the first price at which 10% of a maturity of the Bonds (the “10% test”) is sold to the
public as the issue price of that maturity, and/or (ii) the initial offering price to the public as of the sale date of any
maturity of the Bonds as the issue price of that maturity (the “hold-the-offering-price rule”), in each case applied on a
maturity-by-maturity basis. The Purchaser shall advise the City if any maturity of the Bonds satisfies the 10% test as of
the date and time of the award of the Bonds. The City shall promptly advise the Purchaser, at or before the time of
award of the Bonds, which maturities of the Bonds shall be subject to the 10% test or shall be subject to the hold-the-
offering-price rule. Bids will not be subject to cancellation in the event the City determines to apply the hold-the-
offering-price rule to any maturity of the Bonds. Prospective bidders should prepare their bids on the assumption
that some or all of the maturities of each respective series of the Bonds will be subject to the hold-the-offering-
price rule in order to establish the issue price of the Bonds.
By submitting a bid, the Purchaser shall (i) confirm the underwriters have offered or will offer the Bonds to the public
on or before the date of award at the offering price or prices (the “initial offering price”), or at the corresponding yield
or yields, set forth in the bid submitted by the Purchaser, and (ii) agree, on behalf of the underwriters participating in the
purchase of the Bonds, that the underwriters will neither offer nor sell unsold Bonds of any maturity to which the hold-
v
the-offering-price rule shall apply to any person at a price that is higher than the initial offering price to the public
during the period starting on the sale date and ending on the earlier of (a) the close of the fifth (5th) business day after
the sale date, or (b) the date on which the underwriters have sold at least 10% of that maturity of the Bonds to the public
at a price that is no higher than the initial offering price to the public.
The Purchaser shall promptly advise the City when the underwriters have sold 10% of that maturity of the Bonds to the
public at a price that is no higher than the initial offering price to the public, if that occurs prior to the close of the fifth
(5th) business day after the sale date.
The City acknowledges that in making the representation set forth above, the Purchaser will rely on (i) the agreement of
each underwriter to comply with the hold-the-offering-price rule, as set forth in an agreement among underwriters and
the related pricing wires, (ii) in the event a selling group has been created in connection with the initial sale of the
Bonds to the public, the agreement of each dealer who is a member of the selling group to comply with the hold-the-
offering-price rule, as set forth in a selling group agreement and the related pricing wires, and (iii) in the event, an
underwriter is a party to a retail distribution agreement that was employed in connection with the initial sale of the
Bonds to the public, the agreement of each broker-dealer that is a party to such agreement to comply with the hold-the-
offering-price rule, as set forth in the retail distribution agreement and the related pricing wires. The City further
acknowledges that each underwriter shall be solely liable for its failure to comply with its agreement regarding the hold-
the-offering-price rule and that no underwriter shall be liable for the failure of any other underwriter, or of any dealer
who is a member of a selling group, or of any broker-dealer that is a party to a retail distribution agreement to comply
with its corresponding agreement regarding the hold-the-offering-price rule as applicable to the Bonds.
By submitting a bid, each bidder confirms that (i) any agreement among underwriters, any selling group agreement and
each retail distribution agreement (to which the bidder is a party) relating to the initial sale of the Bonds to the public,
together with the related pricing wires, contains or will contain language obligating each underwriter, each dealer who is
a member of the selling group, and each broker-dealer that is a party to such retail distribution agreement, as applicable,
to (a) report the prices at which it sells to the public the unsold Bonds of each maturity allotted to it until it is notified by
the Purchaser that either the 10% test has been satisfied as to the Bonds of that maturity or all Bonds of that maturity
have been sold to the public, and (b) comply with the hold-the-offering-price rule, if applicable, in each case if and for
so long as directed by the Purchaser and as set forth in the related pricing wires; and (ii) any agreement among
underwriters relating to the initial sale of the Bonds to the public, together with the related pricing wires, contains or
will contain language obligating each underwriter that is a party to a retail distribution agreement to be employed in
connection with the initial sale of the Bonds to the public to require each broker-dealer that is a party to such retail
distribution agreement to (a) report the prices at which it sells to the public the unsold Bonds of each maturity allotted to
it until it is notified by the Purchaser or such underwriter that either the 10% test has been satisfied as to the Bonds of
that maturity or all Bonds of that maturity have been sold to the public, and (b) comply with the hold-the-offering-price
rule, if applicable, in each case if and for so long as directed by the Purchaser or such underwriter and as set forth in the
related pricing wires.
Sales of any Bonds to any person that is a related party to an underwriter shall not constitute sales to the public for
purposes of this TERMS OF OFFERING. Further, for purposes of this TERMS OF OFFERING, (i) “public” means
any person other than an underwriter or a related party, (ii) “underwriter” means (a) any person that agrees pursuant to a
written contract with the City (or with the lead underwriter to form an underwriting syndicate) to participate in the
initial sale of the Bonds to the public, and (b) any person that agrees pursuant to a written contract directly or indirectly
with a person described in clause “(a)” to participate in the initial sale of the Bonds to the public (including a member of
a selling group or a party to a retail distribution agreement participating in the initial sale of the Bonds to the public);
(iii) a Purchaser of any of the Bonds is a “related party” to an underwriter if the underwriter and the Purchaser are
subject, directly or indirectly, to (a) at least 50% common ownership of the voting power or the total value of their
stock, if both entities are corporations (including direct ownership by one corporation of another), (b) more than 50%
common ownership of their capital interests or profits interests, if both entities are partnerships (including direct
ownership by one partnership of another), or (c) more than 50% common ownership of the value of the outstanding
stock of the corporation or the capital interests or profit interests of the partnership, as applicable, if one entity is a
corporation and the other entity is a partnership (including direct ownership of the applicable stock or interests by one
entity of the other); and (iv) “sale date” means the date that the Bonds are awarded by the City to the Purchaser.
vi
OFFICIAL STATEMENT
The City has authorized the preparation of a Preliminary Official Statement containing pertinent information relative to
the Bonds. The Preliminary Official Statement will be further supplemented by offering prices, interest rates, selling
compensation, aggregate principal amount, principal amount per maturity, anticipated delivery date and the identity of
the underwriters, together with any other information required by law or deemed appropriate by the City, shall
constitute a final Official Statement of the City with respect to the Bonds, as that term is defined in Rule 15c2-12
promulgated by the Securities and Exchange Commission under the Securities Exchange Act of 1934, as amended, (the
“Rule”). By awarding the Bonds to any underwriter or underwriting syndicate submitting an OFFICIAL BID FORM,
the City agrees that, no more than seven (7) business days after the date of such award, it shall provide without cost to
the senior managing underwriter of the syndicate to which the Bonds are awarded up to 15 copies of the final Official
Statement to permit each “Participating Underwriter” (as that term is defined in the Rule) to comply with the provisions
of such Rule. The City shall treat the senior managing underwriter of the syndicate to which the Bonds are awarded as
its designated agent for purposes of distributing copies of the final Official Statement to the Participating Underwriter.
Any underwriter executing and delivering an OFFICIAL BID FORM with respect to the Bonds agrees thereby that if its
bid is accepted by the City, (i) it shall accept such designation, and (ii) it shall enter into a contractual relationship with
all Participating Underwriters of the Bonds for purposes of assuring the receipt by each such Participating Underwriter
of the final Official Statement.
CONTINUING DISCLOSURE
The City will covenant in a Continuing Disclosure Certificate for the benefit of the owners and beneficial owners of the
Bonds to provide annually certain financial information and operating data relating to the City (the “Annual Report”),
and to provide notices of the occurrence of certain enumerated events. The Annual Report is to be filed by the City not
later than two hundred seventy (270) days after the close of each fiscal year, commencing with the Fiscal Year ending
June 30, 2022, with the Municipal Securities Rulemaking Board, at its internet repository named “Electronic Municipal
Market Access” (“EMMA”). The notices of events, if any, are also to be filed with EMMA. See FORM OF
CONTINUING DISCLOSURE CERTIFICATE included in APPENDIX E to this Preliminary Official Statement. The
specific nature of the information to be contained in the Annual Report or the notices of events, and the manner in
which such materials are to be filed, are summarized in the FORM OF CONTINUING DISCLOSURE CERTIFICATE.
These covenants have been made in order to assist the Purchaser in complying with section (b)(5) of the Rule.
Within the past five years, the City inadvertently failed to timely file a notice of financial obligation for the private
placement of their Series 2020A Bonds. The City initiated a public bid process for Series 2020A, but rejected all bids
received due to the market turmoil associated with the onset of the COVID-19 pandemic. The negotiated placement
closed on May 7, 2020. A filing along with a notice of their failure to timely file was posted to EMMA on
August 26, 2020. The City failed to timely file a notice of financial obligation related to the amendment of a
development agreement approved on August 3, 2020. A filing along with a notice of failure to timely file was posted to
EMMA on September 16, 2020. Aside from those noted here, the City is not aware of any other instance in the
previous five years in which it has failed to comply, in all material respects, with previous undertakings in a written
contract or agreement specified in paragraph (b)(5)(i) of the Rule.
Breach of the undertakings will not constitute a default or an “Event of Default” under the Bonds or the Resolution. A
broker or dealer is to consider a known breach of the undertakings, however, before recommending the purchase or sale
of the Bonds in the secondary market. Thus, a failure on the part of the City to observe the undertakings may adversely
affect the transferability and liquidity of the Bonds and their market price.
CUSIP NUMBERS
It is anticipated the Committee on Uniform Security Identification Procedures (“CUSIP”) numbers will be printed on
the Bonds and the Purchaser must agree in the bid proposal to pay the cost thereof. In no event will the City, Bond
Counsel or Municipal Advisor be responsible for the review or express any opinion that the CUSIP numbers are correct.
Incorrect CUSIP numbers on said Bonds shall not be cause for the Purchaser to refuse to accept delivery of said Bonds.
BY ORDER OF THE CITY COUNCIL
City of Waukee, Iowa
/s/ Linda Burkhart, Finance Director
vii
SCHEDULE OF BOND YEARS
$11,755,000*
CITY OF WAUKEE, IOWA
General Obligation Bonds, Series 2022A
Bonds Dated:
Interest Due:December 1, 2022 and each June 1 and December 1 to maturity
Principal Due:June 1, 2023-2042
Cumulative
Year Principal *Bond Years Bond Years
2023 $245,000 221.18 221.18
2024 330,000 627.92 849.10
2025 345,000 1,001.46 1,850.56
2026 350,000 1,365.97 3,216.53
2027 360,000 1,765.00 4,981.53
2028 370,000 2,184.03 7,165.56
2029 640,000 4,417.78 11,583.33
2030 655,000 5,176.32 16,759.65
2031 680,000 6,053.89 22,813.54
2032 700,000 6,931.94 29,745.49
2033 715,000 7,795.49 37,540.97
2034 740,000 8,808.06 46,349.03
2035 615,000 7,935.21 54,284.24
2036 635,000 8,828.26 63,112.50
2037 665,000 9,910.35 73,022.85
2038 685,000 10,893.40 83,916.25
2039 715,000 12,085.49 96,001.74
2040 740,000 13,248.06 109,249.79
2041 770,000 14,555.14 123,804.93
2042 800,000 15,922.22 139,727.15
Average Maturity (dated date):11.887 Years
* Preliminary; subject to change.
July 6, 2022
EXHIBIT 1
FORMS OF ISSUE PRICE CERTIFICATES
EXHIBIT 1-A to TERMS OF OFFERING
COMPETITIVE SALES WITH AT LEAST THREE BIDS FROM ESTABLISHED UNDERWRITERS
ISSUE PRICE CERTIFICATE
$_______ General Obligation Bonds, Series 2022A
City of Waukee, Iowa
The undersigned, on behalf of [NAME OF UNDERWRITER] ("Purchaser"), hereby certifies as set forth below
with respect to the sale of the above-captioned obligations (the "Bonds").
1. Reasonably Expected Initial Offering Price.
a) As of the Sale Date, the reasonably expected initial offering prices of the Bonds to the Public by
Purchaser are the prices listed in Schedule A (the "Expected Offering Prices"). The Expected Offering Prices are the
prices for the Maturities of the Bonds used by Purchaser in formulating its bid to purchase the Bonds. Attached as
Schedule B is a true and correct copy of the bid provided by Purchaser to purchase the Bonds.
b) Purchaser was not given the opportunity to review other bids prior to submitting its bid.
c) The bid submitted by Purchaser constituted a firm offer to purchase the Bonds.
2. Defined Terms.
a) Issuer means City of Waukee, Iowa.
b) Maturity means Bonds with the same credit and payment terms. Bonds with different maturity dates, or
Bonds with the same maturity date but different stated interest rates, are treated as separate Maturities.
c) Public means any person (including an individual, trust, estate, partnership, association, company, or
corporation) other than an Underwriter or a related party to an Underwriter. The term "related party" for purposes of
this certificate generally means any two or more persons who have greater than 50 percent common ownership, directly
or indirectly.
d) Sale Date means the first day on which there is a binding contract in writing for the sale of a Maturity
of the Bonds. The Sale Date of the Bonds is June 6, 2022.
e) Underwriter means (i) the Purchaser or any person that agrees pursuant to a written contract with the
Issuer (or with the lead underwriter to form an underwriting syndicate) to participate in the initial sale of the Bonds to
the Public, and (ii) any person that agrees pursuant to a written contract directly or indirectly with a person described in
clause (i) of this paragraph to participate in the initial sale of the Bonds to the Public (including a member of a selling
group or a party to a retail distribution agreement participating in the initial sale of the Bonds to the Public).
EXHIBIT 1-A to TERMS OF OFFERING
f) The representations set forth in this certificate are limited to factual matters only. Nothing in this
certificate represents Purchaser’s interpretation of any laws, including specifically Sections 103 and 148 of the Internal
Revenue Code of 1986, as amended, and the Treasury Regulations thereunder. The undersigned understands that the
foregoing information will be relied upon by the Issuer and its advisors with respect to certain of the representations set
forth in the Tax Exemption Certificate and with respect to compliance with the federal income tax rules affecting the
Bonds, and by Bond Counsel in connection with rendering its opinion that the interest on the Bonds is excluded from
gross income for federal income tax purposes, the preparation of the Internal Revenue Service Form 8038-G, and other
federal income tax advice that it may give to the Issuer from time to time relating to the Bonds.
[UNDERWRITER]
By:_______________________________________
Name:_____________________________________
Dated: July 6, 2022
EXHIBIT 1-A to TERMS OF OFFERING
SCHEDULE A
EXPECTED OFFERING PRICES
$_______ General Obligation Bonds, Series 2022A
City of Waukee, Iowa
(Attached)
EXHIBIT 1-A to TERMS OF OFFERING
SCHEDULE B
COPY OF UNDERWRITER’S BID
$_______ General Obligation Bonds, Series 2022A
City of Waukee, Iowa
(Attached)
EXHIBIT 1-B to TERMS OF OFFERING
COMPETITIVE SALES WITH FEWER THAN THREE BIDS
FROM ESTABLISHED UNDERWRITERS - HOLD OFFERING PRICE
ISSUE PRICE CERTIFICATE
$_______ General Obligation Bonds, Series 2022A
City of Waukee, Iowa
The undersigned, on behalf of [NAME OF UNDERWRITER/REPRESENTATIVE] (["Purchaser")][the
"Representative")][, on behalf of itself and [NAMES OF OTHER UNDERWRITERS] (together, the "Underwriting
Group"),] hereby certifies as set forth below with respect to the sale and issuance of the above-captioned obligations
(the "Bonds").
1. Sale of the General Rule Maturities. As of the date of this certificate, for each Maturity of the General
Rule Maturities, the first price at which at least 10% of such Maturity was sold to the Public is the respective price listed
in Schedule A.
2. Initial Offering Price of the Hold-the-Offering-Price Maturities.
a) [Purchaser][The Underwriting Group] offered the Hold-the-Offering-Price Maturities to the Public for
purchase at the respective initial offering prices listed in Schedule A (the "Initial Offering Prices") on or before the Sale
Date. A copy of the pricing wire or equivalent communication for the Bonds is attached to this certificate as Schedule
B.
b) As set forth in the Official Terms of Offering and bid award, [Purchaser][the members of the
Underwriting Group] [has][have] agreed in writing that, (i) for each Maturity of the Hold-the-Offering-Price Maturities,
[it][they] would neither offer nor sell any of the Bonds of such Maturity to any person at a price that is higher than the
Initial Offering Price for such Maturity during the Holding Period for such Maturity (the "hold-the-offering-price rule"),
and (ii) any selling group agreement shall contain the agreement of each dealer who is a member of the selling group,
and any retail distribution agreement shall contain the agreement of each broker-dealer who is a party to the retail
distribution agreement, to comply with the hold-the-offering-price rule. Pursuant to such agreement, no Underwriter (as
defined below) has offered or sold any Maturity of the Hold-the-Offering-Price Maturities at a price that is higher than
the respective Initial Offering Price for that Maturity of the Bonds during the Holding Period.
3. Defined Terms.
a) General Rule Maturities means those Maturities of the Bonds listed in Schedule A hereto as the
"General Rule Maturities."
b) Hold-the-Offering-Price Maturities means those Maturities of the Bonds listed in Schedule A hereto as
the "Hold-the-Offering-Price Maturities."
c) Holding Period means, with respect to a Hold-the-Offering-Price Maturity, the period starting on the
Sale Date and ending on the earlier of (i) the close of the fifth business day after the Sale Date, or (ii) the date on which
[Purchaser][the Underwriters] [has][have] sold at least 10% of such Hold-the-Offering-Price Maturity to the Public at
prices that are no higher than the Initial Offering Price for such Hold-the-Offering-Price Maturity.
EXHIBIT 1-B to TERMS OF OFFERING
d) Issuer means City of Waukee, Iowa.
e) Maturity means Bonds with the same credit and payment terms. Bonds with different maturity dates, or
Bonds with the same maturity date but different stated interest rates, are treated as separate maturities.
f) Public means any person (including an individual, trust, estate, partnership, association, company, or
corporation) other than an Underwriter or a related party to an Underwriter. The term "related party" for purposes of
this certificate generally means any two or more persons who have greater than 50 percent common ownership, directly
or indirectly.
g) Sale Date means the first day on which there is a binding contract in writing for the sale of a Maturity
of the Bonds. The Sale Date of the Bonds is June 6, 2022.
h) Underwriter means (i) the Purchaser or any person that agrees pursuant to a written contract with the
Issuer (or with the lead underwriter to form an underwriting syndicate) to participate in the initial sale of the Bonds to
the Public, and (ii) any person that agrees pursuant to a written contract directly or indirectly with a person described in
clause (i) of this paragraph to participate in the initial sale of the Bonds to the Public (including a member of a selling
group or a party to a retail distribution agreement participating in the initial sale of the Bonds to the Public).
i) The representations set forth in this certificate are limited to factual matters only. Nothing in this
certificate represents [the Purchaser][the Representative's] interpretation of any laws, including specifically Sections
103 and 148 of the Internal Revenue Code of 1986, as amended, and the Treasury Regulations thereunder. The
undersigned understands that the foregoing information will be relied upon by the Issuer and its advisors with respect to
certain of the representations set forth in the Tax Exemption Certificate and with respect to compliance with the federal
income tax rules affecting the Bonds, and by Bond Counsel in connection with rendering its opinion that the interest on
the Bonds is excluded from gross income for federal income tax purposes, the preparation of the Internal Revenue
Service Form 8038-G, and other federal income tax advice that it may give to the Issuer from time to time relating to the
Bonds.
[UNDERWRITER][REPRESENTATIVE]
By:____________________________________
Name:__________________________________
Dated: July 6, 2022
EXHIBIT 1-B to TERMS OF OFFERING
SCHEDULE A
SALE PRICES OF THE GENERAL RULE MATURITIES AND
INITIAL OFFERING PRICES OF THE HOLD-THE-OFFERING-PRICE MATURITIES
$_______ General Obligation Bonds, Series 2022A
City of Waukee, Iowa
(Attached)
EXHIBIT 1-B to TERMS OF OFFERING
SCHEDULE B
PRICING WIRE OR EQUIVALENT COMMUNICATION
$_______ General Obligation Bonds, Series 2022A
City of Waukee, Iowa
(Attached)
1
PRELIMINARY OFFICIAL STATEMENT
CITY OF WAUKEE, IOWA
$11,755,000* General Obligation Bonds, Series 2022A
INTRODUCTION
This Preliminary Official Statement contains information relating to the City of Waukee, Iowa (the “City”) and its
issuance of $11,755,000* General Obligation Bonds, Series 2022A (the “Bonds”). This Preliminary Official Statement
has been executed on behalf of the City by its Finance Director and may be distributed in connection with the sale of the
Bonds authorized therein. Inquiries regarding the Bonds may be made to the City’s Municipal Advisor, PFM Financial
Advisors LLC (the “Municipal Advisor”), 801 Grand Avenue, Suite 3300, Des Moines, Iowa 50309, telephone
515-724-5724. Information may also be obtained from Ms. Linda Burkhart, Finance Director, City of Waukee, 230
West Hickman Road, Waukee, Iowa 50263, telephone 515-978-7919.
AUTHORITY AND PURPOSE
The Bonds are being issued pursuant to Subchapter III of Chapters 384 and 403 of the Code of Iowa and a resolution of
the City Council authorizing the issuance of the Bonds (the “Resolution”). The Bonds are being issued to provide funds
to pay the costs of opening, widening, extending, grading and draining of the rights-of-way of streets, highways,
avenues, alleys, public grounds and market places, and removal and replacement of dead or diseased trees thereon; the
construction, reconstruction and repairing of any street improvements, bridges, grade crossing separations and
approaches; the acquisition, installation, and repair of sidewalks, culverts, retaining walls, storm sewers, sanitary
sewers, water service lines, street lighting, traffic control devices and signage; the acquisition, installation, improving
and equipping of City facilities and buildings, including second floor improvements at the Public Works facility; the
acquisition and installation of City signage; the funding of City contributions toward developer street improvement and
street lighting requirements; the costs of the acquisition, construction and equipping of City facilities and buildings,
including construction of a new cold storage facility; aiding in the planning, undertaking and carrying out of urban
renewal projects under the authority of Iowa Code chapter 403 and the Urban Renewal Plans, as amended, for the North
Waukee Residential Urban Renewal Area and the Waukee Consolidated Urban Renewal Area; and the acquisition of
any real estate needed for any of the foregoing purposes.
The estimated sources and uses of the Bonds are as follows:
Sources of Funds*
Par Amount of Bonds $11,755,000.00
Uses of Funds*
Deposit to Project Fund $11,525,941.00
Underwriter’s Discount 113,350.00
Cost of Issuance and Contingency 115,709.00
Total Uses $11,755,000.00
* Preliminary; subject to change.
INTEREST ON THE BONDS
Interest on the Bonds will be payable on December 1, 2022 and semiannually on the 1st day of June and December
thereafter. Interest and principal shall be paid to the registered holder of a bond as shown on the records of ownership
maintained by the Registrar as of the 15th day of the month preceding such interest payment date (the “Record Date”).
Interest will be computed on the basis of a 360-day year of twelve 30-day months and will be rounded pursuant to rules
of the Municipal Securities Rulemaking Board.
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OPTIONAL REDEMPTION OF THE BONDS
Bonds due after June 1, 2030 will be subject to call prior to maturity in whole, or from time to time in part, in any order
of maturity and within a maturity by lot on said date or on any date thereafter at the option of the City, upon terms of par
plus accrued interest to date of call. Written notice of such call shall be given at least thirty (30) days prior to the date
fixed for redemption to the registered owners of the Bonds to be redeemed at the address shown on the registration
books.
PAYMENT OF AND SECURITY FOR THE BONDS
The Bonds are general obligations of the City and the unlimited taxing powers of the City are irrevocably pledged for
their payment. Upon issuance of the Bonds, the City will levy taxes for the years and in amounts sufficient to provide
100% of annual principal and interest due on the Bonds. If, however, the amount credited to the debt service fund for
payment of the Bonds is insufficient to pay principal and interest, whether from transfers or from original levies, the
City must use funds in its treasury and is required to levy ad valorem taxes upon all taxable property in the City without
limit as to rate or amount sufficient to pay the debt service deficiency.
Iowa Code section 76.2 provides that when an Iowa political subdivision issues general obligation bonds, “the
governing authority of these political subdivisions before issuing bonds shall, by r esolution, provide for the
assessment of an annual levy upon all the taxable property in the political subdivision sufficient to pay the interest and
principal of the bonds within a period named not exceeding twenty years. A certified copy of this r esolution shall
be filed with the county auditor or the auditors of the counties in which the political subdivision is located; and the
filing shall make it a duty of the auditors to enter annually this levy for collection from the taxable property within the
boundaries of the political subdivision until funds are realized to pay the bonds in full.”
Nothing in the Resolution prohibits or limits the ability of the City to use legally available moneys other than the
proceeds of the general ad valorem property taxes levied, as described in the preceding paragraph, to pay all or any
portion of the principal of or interest on the Bonds. If, and to the extent such other legally available moneys are used to
pay the principal of or interest on the Bonds, the City may, but shall not be required to, (a) reduce the amount of taxes
levied for such purpose, as described in the preceding paragraph; or (b) use proceeds of taxes levied, as described in the
preceding paragraph, to reimburse the fund or account from which such other legally available moneys are withdrawn
for the amount withdrawn from such fund or account to pay the principal of or interest on the Bonds.
The Resolution doesn’t restrict the City’s ability to issue or incur additional general obligation debt, although issuance
of additional general obligation debt is subject to the same constitutional and statutory limitations that apply to the
issuance of the Bonds. For a further description of the City’s outstanding general obligation debt upon issuance of the
Bonds and the annual debt service on the Bonds, see “DIRECT DEBT” under “CITY INDEBTEDNESS” included in
APPENDIX A herein. For a description of certain constitutional and statutory limits on the issuance of general
obligation debt, see “DEBT LIMIT” under “CITY INDEBTEDNESS” included in APPENDIX A to this Preliminary
Official Statement.
BOOK-ENTRY-ONLY ISSUANCE
The information contained in the following paragraphs of this subsection “Book-Entry-Only Issuance” has been
extracted from a schedule prepared by Depository Trust Company (“DTC”) entitled “SAMPLE OFFERING
DOCUMENT LANGUAGE DESCRIBING DTC AND BOOK-ENTRY-ONLY ISSUANCE.” The information in this
section concerning DTC and DTC’s book-entry-only system has been obtained from sources the City believes to be
reliable, but the City takes no responsibility for the accuracy thereof.
The Depository Trust Company (“DTC”), New York, NY, will act as securities depository for the securities (the
“Securities”). The Securities will be issued as fully-registered securities registered in the name of Cede & Co. (DTC’s
partnership nominee) or such other name as may be requested by an authorized representative of DTC. One fully-
registered Security certificate will be issued for each issue of the Securities, each in the aggregate principal amount of
such issue, and will be deposited with DTC. If, however, the aggregate principal amount of any issue exceeds $500
million, one certificate will be issued with respect to each $500 million of principal amount, and an additional certificate
will be issued with respect to any remaining principal amount of such issue.
3
DTC, the world’s largest securities depository, is a limited-purpose trust company organized under the New York
Banking Law, a “banking organization” within the meaning of the New York Banking Law, a member of the Federal
Reserve System, a “clearing corporation” within the meaning of the New York Uniform Commercial Code, and a
“clearing agency” registered pursuant to the provisions of Section 17A of the Securities Exchange Act of 1934. DTC
holds and provides asset servicing for over 3.5 million issues of U.S. and non-U.S. equity issues, corporate and
municipal debt issues, and money market instruments from over 100 countries that DTC’s participants (the “Direct
Participants”) deposit with DTC. DTC also facilitates the post-trade settlement among Direct Participants of sales and
other securities transactions in deposited securities, through electronic computerized book-entry-only transfers and
pledges between Direct Participants’ accounts. This eliminates the need for physical movement of securities
certificates. Direct Participants include both U.S. and non-U.S. securities brokers and dealers, banks, trust companies,
clearing corporations, and certain other organizations. DTC is a wholly-owned subsidiary of The Depository Trust &
Clearing Corporation (“DTCC”). DTCC is the holding company for DTC, National Securities Clearing Corporation
and Fixed Income Clearing Corporation, all of which are registered clearing agencies. DTCC is owned by the users of
its regulated subsidiaries. Access to the DTC system is also available to others such as both U.S. and non-U.S.
securities brokers and dealers, banks, trust companies, and clearing corporations that clear through or maintain a
custodial relationship with a Direct Participant, either directly or indirectly (the “Indirect Participants”). DTC has
Standard & Poor’s rating: AA+. The DTC Rules applicable to its Participants are on file with the Securities and
Exchange Commission. More information about DTC can be found at www.dtcc.com.
Purchases of Securities under the DTC system must be made by or through Direct Participants, which will receive a
credit for the Securities on DTC’s records. The ownership interest of each actual purchaser of each Security (the
“Beneficial Owner”) is in turn to be recorded on the Direct and Indirect Participants’ records. Beneficial Owners will
not receive written confirmation from DTC of their purchase. Beneficial Owners are, however, expected to receive
written confirmations providing details of the transaction, as well as periodic statements of their holdings, from the
Direct or Indirect Participant through which the Beneficial Owner entered into the transaction. Transfers of ownership
interests in the Securities are to be accomplished by entries made on the books of Direct and Indirect Participants acting
on behalf of Beneficial Owners. Beneficial Owners will not receive certificates representing their ownership interests in
Securities, except in the event that use of the book-entry system for the Securities is discontinued.
To facilitate subsequent transfers, all Securities deposited by Direct Participants with DTC are registered in the name of
DTC’s partnership nominee, Cede & Co., or such other name as may be requested by an authorized representative of
DTC. The deposit of Securities with DTC and their registration in the name of Cede & Co. or such other DTC nominee
do not affect any change in beneficial ownership. DTC has no knowledge of the actual Beneficial Owners of the
Securities; DTC’s records reflect only the identity of the Direct Participants to whose accounts such Securities are
credited, which may or may not be the Beneficial Owners. The Direct and Indirect Participants will remain responsible
for keeping account of their holdings on behalf of their customers.
Conveyance of notices and other communications by DTC to Direct Participants, by Direct Participants to Indirect
Participants, and by Direct Participants and Indirect Participants to Beneficial Owners will be governed by arrangements
among them, subject to any statutory or regulatory requirements as may be in effect from time to time. Beneficial
Owners of Securities may wish to take certain steps to augment the transmission to them of notices of significant events
with respect to the Securities, such as redemptions, tenders, defaults, and proposed amendments to the Security
documents. For example, Beneficial Owners of Securities may wish to ascertain that the nominee holding the Securities
for their benefit has agreed to obtain and transmit notices to Beneficial Owners. In the alternative, Beneficial Owners
may wish to provide their names and addresses to the Registrar and request that copies of notices be provided directly to
them.
Redemption notices shall be sent to DTC. If less than all of the Securities within an issue are being redeemed, DTC’s
practice is to determine by lot the amount of the interest of each Direct Participant in such issue to be redeemed.
Neither DTC nor Cede & Co., nor any other DTC nominee, will consent or vote with respect to Securities unless
authorized by a Direct Participant in accordance with DTC’s MMI Procedures. Under its usual procedures, DTC mails
an Omnibus Proxy to the City as soon as possible after the record date. The Omnibus Proxy assigns Cede & Co.’s
consenting or voting rights to those Direct Participants to whose accounts Securities are credited on the record date
identified in a listing attached to the Omnibus Proxy.
4
Redemption proceeds, distributions, and dividend payments on the Securities will be made to Cede & Co., or such other
nominee as may be requested by an authorized representative of DTC. DTC’s practice is to credit Direct Participants’
accounts upon DTC’s receipt of funds and corresponding detail information from the City or Agent, on payable date in
accordance with their respective holdings shown on DTC’s records. Payments by Participants to Beneficial Owners
will be governed by standing instructions and customary practices, as is the case with securities held for the accounts of
customers in bearer form or registered in “street name,” and will be the responsibility of such Participant and not of
DTC, Agent, or the City, subject to any statutory or regulatory requirements as may be in effect from time to time.
Payment of redemption proceeds, distributions, and dividend payments to Cede & Co., or such other nominee as may be
requested by an authorized representative of DTC, is the responsibility of the City or Agent, disbursement of such
payments to Direct Participants will be the responsibility of DTC, and disbursement of such payments to the Beneficial
Owners will be the responsibility of Direct and Indirect Participants.
A Beneficial Owner shall give notice to elect to have its Securities purchased or tendered, through its Participant, to
Tender/Remarketing Agent, and shall effect delivery of such Securities by causing the Direct Participant to transfer the
Participant’s interest in the Securities, on DTC’s records, to Tender/Remarketing Agent. The requirement for physical
delivery of Securities in connection with an optional tender or a mandatory purchase will be deemed satisfied when the
ownership rights in the Securities are transferred by Direct Participants on DTC’s records and followed by a book-entry
credit of tendered Securities to Tender/Remarketing Agent’s DTC account.
DTC may discontinue providing its services as depository with respect to the Securities at any time by giving reasonable
notice to the City or Agent. Under such circumstances, in the event that a successor depository is not obtained, Security
certificates are required to be printed and delivered.
The City may decide to discontinue use of the system of book-entry-only transfers through DTC (or a successor
securities depository). In that event, Security certificates will be printed and delivered to DTC.
The information in this section concerning DTC and DTC’s book-entry system has been obtained from sources that the
City believes to be reliable, but the City takes no responsibility for the accuracy thereof.
FUTURE FINANCING
The City does not anticipate any additional borrowing needs within 90 days of this Preliminary Official Statement.
LITIGATION
To the knowledge of the City, there is no legal action, suit, proceeding, inquiry or investigation at law or in equity before
or by any court, public board or body for which the City has been served with process or official notice or threatened
against or affecting the City or any reasonable basis therefore, wherein an unfavorable decision, ruling or finding would
adversely affect the transaction contemplated by this Preliminary Official Statement or the validity of the Bonds, the
Resolution, or any agreement or instrument to which the City is a party and which is used or contemplated for use in the
transactions contemplated by this Preliminary Official Statement, and no member, employee or agent of the City has been
served with any legal process regarding such litigation or other proceeding.
To the knowledge of the City, no litigation is pending or threatened which, in the opinion of the City’s counsel, if decided
adversely to the City would be likely to result, either individually or in the aggregate, in final judgments against the City
which would materially adversely affect its ability to meet debt service payments on the Bonds when due, or its
obligations under the Resolution, or materially adversely affect its financial condition.
DEBT PAYMENT HISTORY
The City knows of no instance in which it has defaulted in the payment of principal or interest on its debt.
5
LEGALITY
The Bonds are subject to approval as to certain matters by Ahlers & Cooney, P.C. of Des Moines, Iowa as Bond
Counsel. Bond Counsel has not participated in the preparation of this Preliminary Official Statement and will not pass
upon its accuracy, completeness or sufficiency. Bond Counsel has not examined, nor attempted to examine or verify,
any of the financial or statistical statements or data contained in this Preliminary Official Statement and will express no
opinion with respect thereto. Bond Counsel has reviewed or prepared information describing the terms of the Bonds,
Iowa and Federal law pertinent to the validity of and the tax status of interest on the Bonds, which can be found
generally under the sections “AUTHORITY AND PURPOSE”, “OPTIONAL REDEMPTION OF THE BONDS”,
“PAYMENT OF AND SECURITY FOR THE BONDS”, and “TAX MATTERS”, herein. Additionally, Bond Counsel
has provided its legal opinion and the Form of Continuing Disclosure Certificate, included in APPENDIX C and
APPENDIX E, respectively, within this Preliminary Official Statement. Bond Counsel is not expressing any opinion as
to the completeness or accuracy of the information contained in the Preliminary Official Statement. The “FORM OF
LEGAL OPINION” as set out in APPENDIX C to this Preliminary Official Statement, will be delivered at closing.
The legal opinion to be delivered concurrently with the delivery of the Bonds expresses the professional judgment of
the attorneys rendering the opinions as to legal issues expressly addressed therein. By rendering a legal opinion, the
opinion giver does not become an insurer or guarantor of the result indicated by that expression of professional
judgment, or of the transaction on which the opinion is rendered, or of the future performance of parties to the
transaction. Nor does the rendering of an opinion guarantee the outcome of any legal dispute that may arise out of the
transaction.
There is no bond trustee or similar person to monitor or enforce the provisions of the R esolution. The owners of the
Bonds should, therefore, be prepared to enforce such provisions themselves if the need to do so arises. In the event of
a default in the payment of principal of or interest on the Bonds, there is no provision for acceleration of maturity of
the principal of the Bonds. Consequently, the remedies of the owners of the Bonds (consisting primarily of an
action in the nature of mandamus requiring the City and certain other public officials to perform the terms of the
Resolution) may have to be enforced from year to year. The obligation to pay general ad valorem property taxes is
secured by a statutory lien upon the taxed property but is not an obligation for which a property owner may be held
personally liable in the event of a deficiency. The owners of the Bonds cannot foreclose on property within the
boundaries of the City or sell such property in order to pay the debt service on the Bonds. See “LEVIES AND TAX
COLLECTIONS” under “OTHER FINANCIAL INFORMATION” included in APPENDIX A to this Preliminary
Official Statement, for a description of property tax collection and enforcement.
In addition, the enforceability of the rights and remedies of owners of the Bonds may be subject to limitation as set forth
in Bond Counsel’s opinion. The opinion will state, in part, that the obligation of the City with respect to the Bonds
may be subject to bankruptcy, insolvency, reorganization, moratorium and other similar laws affecting creditors’ rights,
heretofore or hereafter, enacted to the extent constitutionally applicable, to the exercise of judicial discretion in
appropriate cases.
TAX MATTERS
Tax Exemptions and Related Considerations: Federal tax law contains a number of requirements and restrictions that
apply to the Bonds. These include investment restrictions, periodic payments of arbitrage profits to the United States,
requirements regarding the proper use of bond proceeds and facilities financed with bond proceeds, and certain other
matters. The City has covenanted to comply with all requirements that must be satisfied in order for the interest on the
Bonds to be excludable from gross income for federal income tax purposes. Failure to comply with certain of such
covenants could cause interest on the Bonds to become includable in gross income for federal income tax purposes
retroactively to the date of issuance of the Bonds.
Subject to the City’s compliance with the above referenced covenants, under present law, in the opinion of Bond
Counsel, interest on the Bonds is excludable from gross income for federal income tax purposes. Interest on the Bonds
is not an item of tax preference for purposes of the federal alternative minimum tax.
Prospective purchasers of the Bonds should be aware that ownership of the Bonds may result in collateral federal
income tax consequences to certain taxpayers, including, without limitation, corporations subject to the branch profits
6
tax, financial institutions, certain insurance companies, certain S corporations, individual recipients of Social Security or
Railroad Retirement benefits and taxpayers who may be deemed to have incurred (or continued) indebtedness to
purchase or carry tax-exempt obligations. Bond Counsel will not express any opinion as to such collateral tax
consequences. The prospective purchasers of the Bonds should consult their tax advisors as to collateral federal income
tax consequences.
Ownership of the Bonds may result in other state and local tax consequences to certain taxpayers. Bond Counsel
expresses no opinion regarding any such collateral consequences arising with respect to the Bonds. Prospective
purchaser(s) of the Bonds should consult their tax advisors regarding the applicability of any such state and local taxes.
NOT-Qualified Tax-Exempt Obligations: The City will NOT designate Bonds as “qualified tax-exempt obligations”
under the exception provided in Section 265(b)(3) of the Internal Revenue Code of 1986, as amended (the “Code”).
Tax Accounting Treatment of Discount and Premium on Certain Bonds: The initial public offering price of certain
Bonds (“Discount Bonds”) may be less than the amount payable on such Discount Bonds at maturity. An amount equal
to the difference between the initial public offering price of Discount Bonds (assuming that a substantial amount of the
Discount Bonds of that maturity are sold to the public at such price) and the amount payable at maturity constitutes
original issue discount to the initial purchaser of such Discount Bonds. Purchasers of Discount Bonds should consult
with their own tax advisors with respect to the determination of accrued original issue discount on Discount Bonds for
federal income tax purposes and with respect to the state and local tax consequences of owning and disposing of
Discount Bonds. It is possible that, under applicable provisions governing determination of state and local income
taxes, accrued interest on Discount Bonds may be deemed to be received in the year of accrual even though there will
not be a corresponding cash payment.
The initial public offering price of certain Bonds (“Premium Bonds”) may be greater than the amount of such Premium
Bonds at maturity. An amount equal to the difference between the initial public offering price of Premium Bonds
(assuming that a substantial amount of the Premium Bonds of that maturity are sold to the public at such price) and the
amount payable at maturity constitutes a premium to the initial purchaser of such Premium Bonds. Purchasers of the
Premium Bonds should consult with their own tax advisors with respect to the determination of amortizable bond
premium on Premium Bonds for federal income tax purposes and with respect to the state and local tax consequences of
owning and disposing of Premium Bonds.
Other Tax Advice: In addition to the income tax consequences described above, potential investors should consider
the additional tax consequences of the acquisition, ownership, and disposition of the Bonds. For instance, state
income tax law may differ substantially from state to state, and the foregoing is not intended to describe any
aspect of the income tax laws of any state. Therefore, potential investors should consult their own tax advisors with
respect to federal tax issues and with respect to the various state tax consequences of an investment in Bonds.
Audits: The Internal Revenue Service (the “Service”) has an ongoing program of auditing tax-exempt obligations to
determine whether, in the view of the Service, interest on such tax-exempt obligations is includable in the gross
income of the owners thereof for federal income tax purposes. It cannot be predicted whether or not the Service will
commence an audit of the Bonds. If an audit is commenced, under current procedures the Service may treat the City as
a taxpayer and the bondholders may have no right to participate in such procedure. The commencement of an audit
could adversely affect the market value and liquidity of the Bonds until the audit is concluded, regardless of the
ultimate outcome.
Withholdings: Payments of interest on, and proceeds of the sale, redemption or maturity of, tax-exempt obligations,
including the Bonds, are in certain cases required to be reported to the Service. Additionally, backup withholding may
apply to any such payments to any bond owner who fails to provide an accurate Form W-9 Request for Taxpayer
Identification Number and Certification, or a substantially identical form, or to any bond owner who is notified by the
Service of a failure to report any interest or dividends required to be shown on federal income tax returns. The reporting
and backup withholding requirements do not affect the excludability of such interest from gross income for federal tax
purposes.
7
Legislation: Legislation affecting tax-exempt obligations is regularly considered by the United States Congress and
may be considered by the Iowa legislature. Judicial interpretation of state or federal laws, rules or regulations may also
affect the tax treatment. There can be no assurance that legislation enacted or proposed, or actions by a court, after the
date of issuance of the Bonds will not have an adverse effect on the tax status of interest or other income on the market
value or marketability of the Bonds. These adverse effects could result, for example, from changes to federal or state
income tax rates, changes in the structure of federal or state income taxes (including replacement with another type of
tax), or repeal (or reduction in the benefit) of the exclusion of interest on the Bonds from gross income for federal or
state income tax purposes for all or certain taxpayers.
Current and future legislative proposals, including some that carry retroactive effective dates, if enacted into law, or
clarification of the Code may cause interest on the Bonds to be subject, directly or indirectly, to federal income taxation,
or otherwise prevent owners of the Bonds from realizing the full current benefit of the tax status of such interest.
Recent proposals have been made that could significantly reduce the benefit of, or otherwise affect, the exclusion from
gross income of interest on obligations like the Bonds. The introduction or enactment of any such legislative proposals
or clarification of the Code may also affect, perhaps significantly, the market price for, or marketability of, the Bonds.
The prospective purchaser of the Bonds should consult their own tax advisors regarding any pending or proposed tax
legislation, as to which Bond Counsel expresses no opinion except as expressly set forth in APPENDIX C to this
Preliminary Official Statement.
Enforcement: Holders of the Bonds shall have and possess all the rights of action and remedies afforded by the
common law, the Constitution and statutes of the State of Iowa and of the United States of America for the enforcement
of payment of the Bonds, including, but not limited to, the right to a proceeding in law or in equity by suit, action or
mandamus to enforce and compel performance of the duties required by Iowa law and the Resolution. There is no
trustee or similar person to monitor or enforce the terms of the Resolution. In the event of a default in the payment of
principal of or interest on the Bonds, there is no provision for acceleration of maturity of the principal of the Bonds.
Consequently, the remedies of the owners of the Bonds (consisting primarily of an action in the nature of mandamus
requiring the City and certain other public officials to perform the terms of the Resolution) may have to be enforced
from year to year. The enforceability of the rights and remedies of owners of the Bonds may be subject to limitation as
set forth in Bond Counsel’s opinion.
The obligation to pay general ad valorem property taxes is secured by a statutory lien upon the taxed property but is not
an obligation for which a property owner may be held personally liable in the event of a deficiency. The owners of the
Bonds cannot foreclose on property within the boundaries of the City or sell such property in order to pay the debt
service on the Bonds. In addition, the enforceability of the rights and remedies of owners of the Bonds may be subject
to limitation as set forth in Bond Counsel’s opinion. The opinion to be delivered concurrently with the delivery of
the Bonds will be qualified as to the enforceability of the various legal instruments by limitations imposed by general
principles of equity and public policy and by bankruptcy, reorganization, insolvency or other similar laws affecting
the rights of creditors generally, and to the exercise of judicial discretion in appropriate cases.
No representation is made, and no assurance is given, that the enforcement of any remedies with respect to such assets
will result in sufficient funds to pay all amounts due under the Resolution, including principal of and interest on the
Bonds.
The Opinion: The opinions expressed by Bond Counsel are based upon existing legislation and regulations as
interpreted by relevant judicial and regulatory authorities as of the date of issuance and delivery of the Bonds, and Bond
Counsel has expressed no opinion as of any date subsequent thereto or with respect to any proposed or pending
legislation, regulatory initiatives or litigation.
Bond Counsel’s opinion is not a guarantee of a result, or of the transaction on which the opinion is rendered, or of the
future performance of parties to the transaction, but represents its legal judgment based upon its review of existing
statutes, regulations, published rulings and court decisions and the representations and covenants of the City described
in this section. No ruling has been sought from the Service with respect to the matters addressed in the opinion of Bond
Counsel and Bond Counsel’s opinions are not binding on the Service. Bond Counsel assumes no obligation to update
its opinion after the issue date to reflect any further action, fact or circumstance, or change in law or interpretation, or
otherwise.
8
ALL POTENTIAL PURCHASERS OF THE BONDS SHOULD CONSULT WITH THEIR TAX ADVISORS WITH
RESPECT TO FEDERAL, STATE AND LOCAL TAX CONSEQUENCES OF OWNERSHIP OF THE BONDS
(INCLUDING BUT NOT LIMITED TO THOSE LISTED ABOVE).
BONDHOLDER’S RISKS
An investment in the Bonds is subject to certain risks. No person should purchase the Bonds unless such person
understands the risks described below and is willing to bear those risks. There may be other risks not listed below
which may adversely affect the value of the Bonds. An investment in the Bonds involves an element of risk. In order to
identify risk factors and make an informed investment decision, potential investors should be thoroughly familiar with
this entire Preliminary Official Statement (including the Appendices hereto) in order to make a judgment as to whether
the Bonds are an appropriate investment.
Secondary Market Not Established: There is no established secondary market for the Bonds, and there is no assurance
that a secondary market will develop for the purchase and sale of the Bonds. Prices of municipal bonds traded in the
secondary market, if any, are subject to adjustment upward and downward in response to changes in the credit markets
and changes in the operating performance of the entities operating the facilities subject to bonded indebtedness. From
time to time it may be necessary to suspend indefinitely secondary market trading in selected issues of municipal bonds
as a result of the financial condition or market position, prevailing market conditions, lack of adequate current financial
information about the entity, operating the subject facilities, or a material adverse change in the operations of that entity,
whether or not the subject bonds are in default as to principal and interest payments, and other factors which, may give
rise to uncertainty concerning prudent secondary market practices.
Municipal bonds are generally viewed as long-term investments, subject to material unforeseen changes in the
investor’s circumstances, and may require commitment of the investor’s funds for an indefinite period of time, perhaps
until maturity.
EACH PROSPECTIVE PURCHASER IS RESPONSIBLE FOR ASSESSING THE MERITS AND RISKS OF AN
INVESTMENT AND MUST BE ABLE TO BEAR THE ECONOMIC RISK OF SUCH INVESTMENT. THE
SECONDARY MARKET FOR THE BONDS, IF ANY, COULD BE LIMITED.
Ratings Loss: Moody’s Investors Service, Inc. (“Moody’s”) has assigned a rating of ‘__’ to the Bonds. Generally, a
rating agency bases its rating on the information and materials furnished to it and on investigations, studies and
assumptions of its own. There is no assurance the ratings will continue for any given period of time, or that such ratings
will not be revised, suspended or withdrawn, if, in the judgment of Moody’s, circumstances so warrant. A revision,
suspension or withdrawal of a rating may have an adverse effect on the market price of the Bonds.
Rating agencies are currently not regulated by any regulatory body. Future regulation of rating agencies could materially
alter the methodology, rating levels, and types of ratings available, for example, and these changes, if ever, could
materially affect the market value of the Bonds.
Matters Relating to Enforceability: Holders of the Bonds shall have and possess all the rights of action and remedies
afforded by the common law, the Constitution and statutes of the State of Iowa and of the United States of America for
the enforcement of payment of the Bonds, including but not limited to, the right to a proceeding in the law or in equity by
suit, action or mandamus to enforce and compel performance of the duties required by Iowa law and the Resolution.
The practical realization of any rights upon any default will depend upon the exercise of various remedies specified in the
Resolution. The opinion, to be delivered concurrently with the delivery of the Bonds, will be qualified as to the
enforceability of the various legal instruments by limitations imposed by general principals of equity and public policy
and by bankruptcy, reorganization, insolvency or other similar laws affecting the rights of creditors generally.
No representation is made and no assurance is given that the enforcement of any remedies with respect to such assets will
result in sufficient funds to pay all amounts due under the Resolution, including principal of and interest on the Bonds.
Forward-Looking Statements: This Preliminary Official Statement contains statements relating to future results that are
“forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995. When used in this
Preliminary Official Statement, the words “estimate,” “forecast,” “intend,” “expect” and similar expressions identify
forward-looking statements. Any forward-looking statement is subject to uncertainty. Accordingly, such statements are
9
subject to risks that could cause actual results to differ, possibly materially, from those contemplated in such forward-
looking statements. Inevitably, some assumptions used to develop forward-looking statements will not be realized or
unanticipated events and circumstances may occur. Therefore, investors should be aware there are likely to be
differences between forward-looking statements and the actual results. These differences could be material and could
impact the availability of funds of the City to pay debt service when due on the Bonds.
Financial Condition of the City from Time to Time: No representation is made as to the future financial condition of the
City. Certain risks discussed herein could adversely affect the financial condition and or operations of the City in future.
However, the Bonds are secured by an unlimited ad valorem property tax as described more fully in the “PAYMENT
OF AND SECURITY FOR THE BONDS” herein.
Global Health Emergency Risk: The World Health Organization declared a pandemic following the outbreak of
COVID-19, a respiratory disease caused by a new strain of coronavirus and on March 13, 2020, the President of the
United States declared a national emergency. COVID-19 may continue to alter the behavior of businesses and people in
a manner that may have negative effects on economic activity, and therefore adversely affect the financial condition of
the City, either directly or indirectly. Federal, State, and local officials have taken steps to curb the spread of the virus,
including providing both discretionary and mandatory guidelines and orders regarding public gatherings, and have
imposed mandatory closings and/or operating limitations of some businesses. It is possible that the virus could reduce
general fund revenues, hotel/motel tax receipts, delay the receipt of property tax payments and negatively impact other
collections dependent on local business activity. The City received approximately $572,500 in Federal Coronavirus
Aid, Relief, and Economic Security (“CARES”) Act funding. The City also was allocated $3,589,831 of Federal
American Rescue Plan Act (“ARPA”) funding: $1,794,916 was received by the City in August 2021, with the balance
anticipated in August 2022. At this time the City intends to primarily utilize the funds for water infrastructure projects.
The Bonds are secured by an unlimited ad valorem property tax as described more fully in the “PAYMENT OF AND
SECURITY OF THE BONDS” herein.
Loss of Tax Base: Economic and other factors beyond the City’s control, such as economic recession, deflation of
property values, or financial difficulty or bankruptcy by one or more major property taxpayers, or the complete or
partial destruction of taxable property caused by, among other eventualities, earthquake, flood, fire or other natural
disaster, could cause a reduction in the assessed value within the corporate boundaries of the City. In addition, the State
of Iowa has been susceptible to tornados, flooding and other extreme weather wherein winds and flooding have from
time to time caused significant damage, which if such events were to occur, may have an adverse impact on the City’s
financial position.
Tax Matters and Loss of Tax Exemption: As discussed under the heading “TAX MATTERS” herein, the interest on the
Bonds could become includable in gross income for purposes of federal income taxation retroactive to the date of
delivery of the Bonds, as a result of acts or omissions of the City in violation of its covenants in the Resolution. Should
such an event of taxability occur, the Bonds would not be subject to a special prepayment and would remain outstanding
until maturity or until prepaid under the prepayment provisions contained in the Bonds, and there is no provision for an
adjustment of the interest rates on the Bonds.
It is possible further legislation will be proposed or introduced that could result in changes in the way that tax exemptions
are calculated, or whether interest on certain securities are exempt from taxation at all. Prospective purchasers should
consult with their own tax advisors regarding any pending or proposed federal income tax legislation. The likelihood of
legislation being enacted cannot be reliably predicted.
It is also possible actions of the City, after the closings of the Bonds, will alter the tax status of the Bonds, and in the
extreme, remove the tax-exempt status from the Bonds. In that instance, the Bonds are not subject to mandatory
prepayment and the interest rates on the Bonds does not increase or otherwise reset. A determination of taxability on the
Bonds after closing could materially adversely affect the value and marketability of the Bonds.
Federal Tax Legislation: From time to time, there are Presidential proposals, proposals of various federal committees,
and legislative proposals pending in Congress that could, if enacted, alter or amend one or more of the federal (or state)
tax matters described herein in certain respects or would adversely affect the market value of the Bonds or otherwise
prevent holders of the Bonds from realizing the full benefit of the tax exemption of interest on the Bonds. Further, such
proposals may impact the marketability or market value of the Bonds simply by being proposed. It cannot be predicted
10
whether or in what forms any of such proposals, either pending or that may be introduced, may be enacted and there can
be no assurance that such proposals will not apply to the Bonds. In addition, regulatory actions are from time to time
announced or proposed and litigation threatened or commenced, which if implemented or concluded in a particular
manner, could adversely affect the market value, marketability or tax status of the Bonds. It cannot be predicted whether
any such regulatory action will be implemented, how any particular litigation or judicial action will be resolved, or
whether the Bonds would be impacted thereby.
Changes in Property Taxation: The Bonds are general obligations of the City secured by an unlimited ad valorem
property tax as described more fully in the “PAYMENT OF AND SECURITY FOR THE BONDS” herein. Prior State
Public Health Emergency Declarations, relative to the COVID-19 pandemic, temporarily suspended the provisions that
required the imposition of penalty and interest for delay in property tax payments and directed that no such penalty or
interest could be imposed for the duration of the declarations and any future extension of the suspension. No current
property tax payment suspensions are imposed. It is impossible to predict whether the declarations or any amendments to
or extensions thereof would have a material effect on the City’s ability to collect property taxes necessary for the
payment of principal and interest on the Bonds. See “LEVIES AND TAX COLLECTIONS” herein for more information
of the City’s tax collection history, despite prior suspensions.
From time to time the Iowa General Assembly has altered the method of property taxation and could do so again. Such
alterations could adversely affect the City’s financial condition. Historically, changes to property tax calculations and
impositions are imposed on a prospective basis. However, there is no assurance future changes to property taxation by
the Iowa General Assembly will not be applied retroactively. It is impossible to predict the outcome of future property
taxation changes by the Iowa General Assembly or resulting impacts on the City’s financial condition. The Bonds are
secured by an unlimited ad valorem property tax as described more fully in the “PAYMENT OF AND SECURITY FOR
THE BONDS” herein.
Cybersecurity: The City, like many other public and private entities, relies on a large and complex technology
environment to conduct its operations. As such, it may face multiple cybersecurity threats including but not limited to,
hacking, viruses, malware and other attacks on computer or other sensitive digital systems and networks. There can be
no assurances that any security and operational control measures implemented by the City will be completely successful
to guard against and prevent cyber threats and attacks. Failure to properly maintain functionality, control, security, and
integrity of the City’s information systems could impact business operations and/or digital networks and systems and
the costs of remedying any such damage could be significant. Along with significant liability claims or regulatory
penalties, any security breach could have a material adverse impact on the City’s operations and financial condition.
The City is a member of Westcom for police, fire and public safety communications along with the communities of
Clive, Norwalk, Urbandale and West Des Moines, Iowa. The public safety dispatch facility for Westcom is located in
West Des Moines. In December 2019, the City of West Des Moines was the subject of a malicious attempt to disrupt
operations. The network was immediately shut down and an investigation into the cyber-attack commenced. Public
safety services (Police, Fire, Emergency Medical Services and Westcom 911 dispatch) were operational after the attack.
No City files or data was compromised as a result of the cyber-attack on Westcom.
The City maintains insurance policies in the amount of $1 million (covering first party expenses for response to cyber
breach) and $10 million (third party coverage for City liability for failure to protect computer systems) to cover aspects
of a cyber-attack. The City cannot predict whether these policies would be sufficient in the event of a cyber breach.
See “INSURANCE” included under the “THE CITY” in APPENDIX B to this Preliminary Official Statement for
additional information on insurance policies of the City. The Bonds are secured by an unlimited ad valorem property
tax as described more fully in the “PAYMENT OF AND SECURITY FOR THE BONDS” herein.
Pensions: Pursuant to GASB 68, the City reported a liability of $5,252,2570 within its Independent Auditor’s Reports
as of June 30, 2021 for its proportionate share of the net pension liability related to IPERS, as defined herein. The net
pension liability is the amount by which the total actuarial liability exceeds the pension plan’s net assets or fiduciary net
position (essentially the market value) available for paying benefits. The net pension liability was measured as of
June 30, 2020, and the total pension liability used to calculate the net pension liability was determined by an actuarial
valuation as of that date. The City’s proportion of the net pension liability was based on the City’s share of
contributions to the pension plan relative to the contributions of all IPERS participating employers. At June 30, 2020,
the City’s collective proportion was 0.074768% which was an increase of 0.010216% from its proportion measured as
of June 30, 2019.
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See “EMPLOYEES AND PENSIONS” included under the “THE CITY” in APPENDIX B to this Preliminary Official
Statement for more summary information related to the City’s contributions, and the City’s June 30, 2021 Independent
Auditor’s Reports, included in APPENDIX D to this Preliminary Official Statement, for additional information related
to the City’s deferred outflows and inflows of resources related to pensions, actuarial assumptions, discount rate and
discount rate sensitivity. Changes to the City’s pension contributions, or available sources to fund said contributions,
may adversely affect the City’s financial condition. The Bonds are secured by an unlimited ad valorem property tax as
described more fully in the “PAYMENT OF AND SECURITY FOR THE BONDS” herein.
Continuing Disclosure: A failure by the City to comply with continuing disclosure obligations (see “CONTINUING
DISCLOSURE” herein) will not constitute an event of default on the Bonds. Any such failure must be disclosed in
accordance with Rule 15c2-12 adopted by the Securities and Exchange Commission under the Securities Exchange Act
of 1934, as amended (the “Rule”), and may adversely affect the transferability and liquidity of the Bonds and their
market price.
Bankruptcy: The rights and remedies available to holders of the Bonds may be limited by and are subject to the
provisions of federal bankruptcy laws, to other laws or equitable principles that may affect the enforcement of creditor’s
rights, to the exercise of judicial discretion in appropriate cases and to limitations in legal remedies against exercise of
judicial discretion in appropriate cases and to limitations on legal remedies against municipal corporations in the State
of Iowa. The various opinions of counsel to be delivered with respect to the Bonds and the Resolution, including the
opinion of Bond Counsel, will be similarly qualified. If the City were to file a petition under Chapter 9 of the
Bankruptcy Code, the owners of the Bonds could be prohibited from taking any steps to enforce their rights under the
Resolution. In the event the City fails to comply with its covenants under the Resolution or fails to make payments on
the Bonds, there can be no assurance of the availability of remedies adequate to protect the interests of the holders of the
Bonds.
Under Iowa Code Chapter 76, specifically sections 76.16 and 76.16A, as amended, a city, county, or other political
subdivision may become a debtor under Chapter 9 of the Federal bankruptcy code, if it is rendered insolvent, as defined
in 11 U.S.C. §101(32)(c), as a result of a debt involuntarily incurred. As used therein, “ debt” means an obligation to
pay money, other than pursuant to a valid and binding collective bargaining agreement or previously authorized bond
issue, as to which the governing body of the city, county, or other political subdivision has made a specific finding set
forth in a duly adopted resolution of each of the following: (1) all or a portion of such obligation will not be paid from
available insurance proceeds and must be paid from an increase in general tax levy; (2) such increase in the general tax
levy will result in a severe, adverse impact on the ability of the city, county, or political subdivision to exercise the
powers granted to it under applicable law, including without limitation providing necessary services and promoting
economic development; (3) as a result of such obligation, the city, county, or other political subdivision is unable to pay
its debts as they become due; and (4) the debt is not an obligation to pay money to a city, county, entity organized
pursuant to chapter 28E of the Code of Iowa, or other political subdivision.
Suitability of Investment: The interest rate borne by the Bonds is intended to compensate the investor for assuming the
risk of investing in the Bonds. Each prospective investor should carefully examine this Preliminary Official Statement
and its own financial condition to make a judgment as to its ability to bear the economic risk of such an investment, and
whether or not the Bonds are an appropriate investment for such investor.
Tax Levy Procedures: The Bonds are general obligations of the City, payable from and secured by a continuing ad
valorem tax levied against all of the property valuation within the City. As part of the budgetary process each fiscal year,
the City will have an obligation to request a debt service levy to be applied against all of the taxable property within the
City. A failure on the part of the City to make a timely levy request or a levy request by the City that is inaccurate or is
insufficient to make full payments of the debt service of the Bonds for a particular fiscal year may cause bondholders to
experience a delay in the receipt of distributions of principal of and/or interest on the Bonds. In the event of a default in
the payment of principal of or interest on the Bonds, there is no provision for acceleration of maturity of the principal of
the Bonds. Consequently, the remedies of the owners of the Bonds (consisting primarily of an action in the nature of
mandamus requiring the City and certain other public officials to perform the terms of the Resolution) may have to be
enforced from year to year.
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DTC-Beneficial Owners: Beneficial Owners of the Bonds may experience some delay in the receipt of distributions of
principal of and interest on the Bonds since such distributions will be forwarded by the Registrar to DTC and DTC will
credit such distributions to the accounts of the Participants which will, thereafter, credit them to the accounts of the
Beneficial Owner either directly or indirectly through indirect Participants. Neither the City nor the Registrar will have
any responsibility or obligation to assure any such notice or payment is forwarded by DTC to any Participants or by any
Participant to any Beneficial Owner.
In addition, since transactions in the Bonds can be affected only through DTC Participants, indirect participants and
certain banks, the ability of a Beneficial Owner to pledge the Bonds to persons or entities that do not participate in the
DTC system, or otherwise to take actions in respect of such Bonds, may be limited due to lack of a physical certificate.
Beneficial Owners will be permitted to exercise the rights of registered Owners only indirectly through DTC and the
Participants. See “BOOK-ENTRY-ONLY ISSUANCE.”
Summary: The foregoing is intended only as a summary of certain risk factors attendant to an investment in the Bonds.
In order for potential investors to identify risk factors and make an informed investment decision, potential investors
should become thoroughly familiar with this entire Preliminary Official Statement and the Appendices hereto to make a
judgment as to whether the Bonds are an appropriate investment.
RATING
The City has requested a rating for the Bonds from Moody’s. Currently, Moody’s maintains a rating of ‘Aa2’ on the
City’s long-term general obligation debt. The existing rating on long-term debt reflects only the view of the rating
agency and any explanation of the significance of such rating may only be obtained from Moody’s. There is no
assurance such rating will continue for any period of time or that they will not be revised or withdrawn. Any revision or
withdrawal of the rating may have an effect on the market price of the Bonds.
MUNICIPAL ADVISOR
The City has retained PFM Financial Advisors LLC, Des Moines, Iowa as Municipal Advisor in connection with the
preparation of the issuance of the Bonds. In preparing the Preliminary Official Statement, the Municipal Advisor has
relied on government officials, and other sources to provide accurate information for disclosure purposes. The
Municipal Advisor is not obligated to undertake, and has not undertaken, an independent verification of the accuracy,
completeness, or fairness of the information contained in the Preliminary Official Statement. PFM Financial Advisors
LLC is an independent advisory firm and is not engaged in the business of underwriting, trading or distributing
municipal securities or other public securities.
CONTINUING DISCLOSURE
The City will covenant in a Continuing Disclosure Certificate for the benefit of the owners and beneficial owners of the
Bonds to provide annually certain financial information and operating data relating to the City (the “Annual Report”),
and to provide notices of the occurrence of certain enumerated events. The Annual Report is to be filed by the City not
later than two hundred seventy (270) days after the close of each fiscal year, commencing with the Fiscal Year ending
June 30, 2022, with the Municipal Securities Rulemaking Board, at its internet repository named “Electronic Municipal
Market Access” (“EMMA”). The notices of events, if any, are also to be filed with EMMA. See FORM OF
CONTINUING DISCLOSURE CERTIFICATE included in APPENDIX E to this Preliminary Official Statement. The
specific nature of the information to be contained in the Annual Report or the notices of events, and the manner in
which such materials are to be filed, are summarized in the FORM OF CONTINUING DISCLOSURE CERTIFICATE.
These covenants have been made in order to assist the underwriter in complying with section (b)(5) of the Rule.
Within the past five years, the City inadvertently failed to timely file a notice of financial obligation for the private
placement of their Series 2020A Bonds. The City initiated a public bid process for Series 2020A, but rejected all bids
received due to the market turmoil associated with the onset of the COVID-19 pandemic. The negotiated placement
closed on May 7, 2020. A filing along with a notice of their failure to timely file was posted to EMMA on
August 26, 2020. The City failed to timely file a notice of financial obligation related to the amendment of a
development agreement approved on August 3, 2020. A filing along with a notice of failure to timely file was posted to
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EMMA on September 16, 2020. Aside from those noted here, the City is not aware of any other instance in the
previous five years in which it has failed to comply, in all material respects, with previous undertakings in a written
contract or agreement specified in paragraph (b)(5)(i) of the Rule.
Breach of the undertakings will not constitute a default or an “Event of Default” under the Bonds or the Resolution. A
broker or dealer is to consider a known breach of the undertakings, however, before recommending the purchase or sale
of the Bonds in the secondary market. Thus, a failure on the part of the City to observe the undertakings may adversely
affect the transferability and liquidity of the Bonds and their market price.
FINANCIAL STATEMENTS
The City’s Independent Auditor’s Reports for the Fiscal Year ended June 30, 2021 are reproduced in APPENDIX D to
this Preliminary Official Statement. The City’s certified public accountant has not consented to distribution of the
audited financial statements and has not undertaken added review of their presentation. Further information regarding
financial performance and copies of the City’s prior Independent Auditor’s Reports may be obtained from the City’s
Municipal Advisor, PFM Financial Advisors LLC.
CERTIFICATION
The City has authorized the distribution of this Preliminary Official Statement for use in connection with the initial sale
of the Bonds. I have reviewed the information contained within the Preliminary Official Statement prepared on behalf
of the City, by PFM Financial Advisors LLC, Des Moines, Iowa, and to the best of my knowledge, information and
belief, said Preliminary Official Statement does not contain any untrue statement of a material fact or omit to state a
material fact required to be stated therein or necessary in order to make the statements made therein, in light of the
circumstances under which they were made, not misleading regarding the issuance of $11,755,000* General Obligation
Bonds, Series 2022A.
CITY OF WAUKEE, IOWA
/s/ Linda Burkhart, Finance Director
* Preliminary; subject to change.
APPENDIX A
FINANCIAL INFORMATION ABOUT THE CITY OF WAUKEE, IOWA
The $11,755,000* General Obligation Bonds, Series 2022A (the “Bonds”) are general obligations of the City of
Waukee, Iowa (the “City”) for which the City will pledge its power to levy direct ad valorem taxes against all taxable
property within the City without limitation as to rate or amount to the repayment of the Bonds.
* Preliminary; subject to change.
A-1
CITY PROPERTY VALUATIONS
IOWA PROPERTY VALUATIONS
In compliance with Section 441.21 of the Code of Iowa, the State Director of Revenue annually directs the county
auditors to apply prescribed statutory percentages to the assessments of certain categories of real property. The 2020
final Actual Values were adjusted by the Dallas County auditor. The reduced values, determined after the application of
rollback percentages, are the Taxable Values subject to tax levy. For assessment year 2021, the taxable value rollback
rate is 54.1302% of actual value for residential property; 89.0412% of actual value for agricultural property; 63.7500%
of the actual value for multiresidential property; 90.0000% of actual value for commercial, industrial and railroad
property; and 100% of the actual value of utility property.
The Legislature’s intent has been to limit the growth of statewide taxable valuations for the specific classes of property
to 3% annually. Political subdivisions whose taxable values are thus reduced or are unusually low in growth are
allowed to appeal the valuations to the State Appeal Board, in order to continue to fund present services.
PROPERTY VALUATIONS (1/1/2021 Valuations for Taxes payable July 1, 2022 to June 30, 2023)
100% Actual Value
Taxable Value
(With Rollback)
Residential $2,307,819,949 $1,224,523,136
Commercial 180,385,591 142,689,096
Industrial 6,831,521 5,654,460
Multiresidential 94,650,694 57,094,291
Railroads 1,178,769 1,060,892
Utilities w/o Gas & Electric 1,406,309 1,406,309
Gross valuation $2,592,272,833 $1,432,428,184
Less military exemption (851,550) (851,550)
Net valuation $2,591,421,283 $1,431,576,634
TIF Increment (used to compute debt service
levies and constitutional debt limit)
$264,317,559 1)
$264,317,559 1)
Taxed separately:
Ag. Land
$7,912,700
$7,045,573
Ag. Buildings $129,590 $115,389
Gas & Electric Utilities $9,246,099 $4,416,259
1) Includes $12,964 Military Tax Exemption.
2021 GROSS TAXABLE VALUATION BY CLASS OF PROPERTY 1)
Taxable Valuation Percent Total
Residential $1,224,523,136 85.22%
Multiresidential 57,094,291 3.97%
Commercial, Industrial, Railroad and Utilities w/o Gas & Electric 150,810,757 10.50%
Gas & Electric Utilities 4,416,259 0.31%
Total Gross Taxable Valuation $1,436,844,443 100.00%
1) Excludes Ag. Land, Ag. Buildings and Taxable TIF Increment.
A-2
TREND OF VALUATIONS
Assessment
Year
Payable
Fiscal Year
100%
Actual Valuation
Taxable Valuation
(With Rollback)
Taxable TIF
Increment
2017 2018-19 $1,844,334,937 $948,120,018 $158,103,252
2018 2019-20 2,097,330,572 1,081,758,751 201,643,382
2019 2020-21 2,376,696,557 1,163,180,171 260,547,316
2020 2021-22 2,547,599,476 1,236,285,611 323,410,401
2021 2022-23 2,873,027,231 1,435,992,893 264,317,559
The 100% Actual Valuation, before rollback and after reduction of military exemption, includes Ag. Land, Ag.
Buildings, TIF Increment and Gas & Electric Utilities. The Taxable Valuation, with the rollback and after the reduction
of military exemption, includes Gas & Electric Utilities and excludes Ag. Land, Ag. Buildings and Taxable TIF
Increment. Iowa cities certify operating levies against Taxable Valuation excluding the Taxable TIF Increment and debt
service levies are certified against Taxable Valuations including the Taxable TIF Increment.
LARGER TAXPAYERS
Set forth in the following table are the persons or entities which represent larger taxpayers within the boundaries of the
City, as provided by the Dallas County auditor’s office. No independent investigation has been made of and no
representation is made herein as to the financial condition of any of the taxpayers listed below or that such taxpayers
will continue to maintain their status as major taxpayers in the City. With the exception of the electric and natural gas
providers (which is subject to an excise tax in accordance with Iowa Code chapter 437A), the City’s mill levy is
applicable to all of the properties included in the table, and thus taxes expected to be received by the City from such
taxpayers will be in proportion to the assessed valuations of the properties. The total tax bill for each of the properties is
dependent upon the mill levies of the other taxing entities which overlap the properties.
Taxpayer 1)
Type of
Property/Business
1/1/2021
Taxable Valuation 2)
Apartments at Autumn Ridge LLC 3) Residential $28,853,651
KB Waukee, DST Commercial 25,470,765
Welltower Iowa HoldCo LLC Multiresidential 23,325,890
Prairiegrass Equity LLC Multiresidential 20,487,662
Alice Acquisitions LLC Residential 18,316,833
The Five Holdings, Inc. Residential 14,757,697
Waukee Active Living LLC Residential 14,693,697
Hy-Vee, Inc. Commercial 14,595,066
KC Kettlestone LC Commercial 13,935,438
Winhall at Williams Pointe LLC Residential 11,899,649
1) This list represents some of the larger taxpayers in the City, not necessarily the ten largest taxpayers.
2) The Taxable Valuation listed represents only those valuations associated with the title holder and may not necessarily represent
the entire taxable valuation.
3) Includes both Apartments at Autumn Ridge LLC and Phase Two Apartments at Autumn Ridge LLC.
Source: Dallas County Auditor’s Office
A-3
PROPERTY TAX LEGISLATION
From time to time, legislative proposals are pending in Congress and the Iowa General Assembly that would, if enacted,
alter or amend one or more of the property tax matters described herein. It cannot be predicted whether or in what
forms any of such proposals, either pending or that may be introduced, may be enacted, and there can be no assurance
that such proposals will not apply to valuation, assessment or levy procedures for taxes levied by the City or have an
adverse impact on standing appropriations or the future tax collections of the City. Purchasers of the Bonds should
consult their tax advisors regarding any pending or proposed federal or state tax legislation. The opinions expressed by
Bond Counsel are based upon existing legislation as of the date of issuance and delivery of the Bonds and Bond Counsel
has expressed no opinion as of any date subsequent thereto or with respect to any pending federal or state tax
legislation.
During the 2019 legislative session, the Iowa General Assembly enacted Senate File 634 (the “2019 Act”). The 2019
Act modifies the process for hearing and approval of the total maximum property tax dollars under certain levies in the
City's budget. The 2019 Act also includes a provision that will require the affirmative vote of 2/3 of the City Council
when the maximum property tax dollars under these levies exceed an amount determined under a prescribed formula.
The 2019 Act does not change the process for hearing and approval of the Debt Service Levy pledged for repayment of
the Bonds.
During the 2013 legislative session, the Iowa General Assembly enacted Senate File 295 (the “2013 Act”). Among
other things, the 2013 Act (i) reduced the maximum annual taxable value growth percent, due to revaluation of existing
residential and agricultural property to 3%, (ii) assigned a “rollback” (the percentage of a property’s value that is subject
to tax) to commercial, industrial and railroad property of 90%, (iii) created a new property tax classification for multi-
residential properties (apartments, nursing homes, assisted living facilities and certain other rental property) and
assigned a declining rollback percentage to such properties for each year until the residential rollback percentage is
reached in the 2022 assessment year, after which the rollback percentage for such properties will be equal to the
residential rollback percentage each assessment year, and (iv) exempted a specified portion of the assessed value of
telecommunication properties.
During the 2021 legislative session, House File 418 (“2021 Act”) was signed into law on March 8, 2021, applicable to
valuations beginning January 1, 2022. The 2021 Act removes the multi-residential property classification by
reclassifying certain properties as a subdivision of “residential” property. The multi-residential classification was
created as part of the January 1, 2015 valuations and became unnecessary due to the equalization of the residential and
multi-residential classifications as of January 1, 2022.
The 2013 Act included a standing appropriation to replace some of the tax revenues lost by local governments,
including tax increment districts, resulting from the new rollback for commercial and industrial property. During the
2021 legislative session, Senate File 619 (“SF 619”) was signed into law on June 17, 2021, which phases out the
standing appropriation payments over time to the City starting in Fiscal Year 2022-23 through Fiscal Year 2025-2026.
In Fiscal Year 2021-22, the City will collect $692,593. In Fiscal Year 2022-23, the City estimates it will collect
$554,074. The appropriation does not replace losses to local governments resulting from the 2013 Act’s provisions that
reduce the annual revaluation growth limit for residential and agricultural properties to 3%, the gradual transition for
multi-residential properties from the residential rollback percentage, or the reduction in the percentage of
telecommunications property that is subject to taxation.
Notwithstanding any modifications to property tax revenues that may result from the 2013 Act, the 2019 Act, the 2021
Act or SF 619, the Bonds are secured by an unlimited ad valorem property tax. See “PAYMENT OF AND SECURITY
FOR THE BONDS” herein.
A-4
CITY INDEBTEDNESS
DEBT LIMIT
Article XI, Section 3 of the State of Iowa Constitution limits the amount of debt outstanding at any time of any county,
municipality or other political subdivision to no more than 5% of the actual value of all taxable property within the
corporate limits, as taken from the last state and county tax list. The debt limit for the City, based on its 2021 actual
valuation currently applicable to the Fiscal Year 2022-23, is as follows:
2021 Actual Valuation of Property $2,873,027,231
Legal Debt Limit of 5% 0.05
Legal Debt Limit $143,651,361
Less: G.O. Debt Subject to Limit (113,295,164) *
Less: Other Agreements (1,568,266) 1)
Net Debt Limit $28,787,931 *
1) As reported by the City pursuant to development agreements for urban renewal projects under the authority of Iowa Code
Chapter 403 or other intergovernmental agreements (under chapter 28E, etc.). The Iowa Supreme Court has not formally ruled
on the question of whether contracts to rebate the tax increment generated by a particular development constitutes indebtedness
of a City for constitutional debt limit purposes. The amount above includes rebate agreements that may not be debt. Some
development agreements are subject to the right of annual appropriation by the City, thereby limiting the extent of possible debt
to only amounts currently due and appropriated in the current fiscal year. Amounts payable under a particular development
agreement may not constitute legal indebtedness but are memorialized in the table below to conservatively state the City’s
possible financial exposure. Payment of future installments may be dependent upon undertakings by the developers, which may
have not yet occurred. The City actively pursues opportunities consistent with the development goals of its various urban
renewal plans, which may be amended from time to time, and the City may enter into additional development agreements
committing to additional rebate incentives in calendar year 2022 or thereafter. See “OTHER DEBT INFORMATION – OTHER
AGREEMENTS” table in Appendix B herein for more information.
DIRECT DEBT
General Obligation Debt Paid by Taxes, Tax Increment and LOST Revenues (Includes the Bonds)
Date
of Issue
Original
Amount
Purpose
Final
Maturity
Principal
Outstanding
As of 7/06/22
12/14 $21,560,000 Urban Renewal 6/34 $13,515,000
11/15C 7,340,000 Corporate Purpose & Refunding 6/30 3,495,000
5/17A 13,940,000 Corporate Purpose & Urban Renewal 6/36 12,425,000
6/18A 19,775,000 Corporate Purpose & Urban Renewal 6/38 16,670,000
8/19A 4,655,000 Corporate Purpose & Urban Renewal 6/31 3,470,000
5/20A 12,800,000 Urban Renewal (Private Placement) 6/35 12,175,000
11/20B 9,155,000 Corporate Purpose & Urban Renewal 6/36 8,905,000
4/21A 15,800,000 Corporate Purpose & Refunding 6/40 8,885,000
11/21B 19,760,000 Corporate Purpose & Urban Renewal 6/41 19,560,000
7/22A 11,755,000* Corporate Purpose 6/42 11,755,000*
Subtotal $110,855,000
* Preliminary; subject to change.
A-5
General Obligation Bonds Paid by Water and Storm Water Revenues
Date
of Issue
Original
Amount
Purpose
Final
Maturity
Principal
Outstanding
As of 07/06/22
12/14 $1,735,000 Water Projects 6/30 $950,000
4/21A 1,505,000 Stormwater Refunding 6/33 1,420,000
Subtotal $2,370,000
General Obligation Bonds Paid by Golf Course Revenues
Date
of Issue
Original
Amount
Purpose
Final
Maturity
Principal
Outstanding
As of 07/06/22
11/19 $125,000 Golf Course 6/25 $70,164
Total G.O. Debt Subject to Limit $113,295,164
Annual Fiscal Year G.O. Debt Service Payments Paid by Taxes, Tax Increment and LOST Revenues (Includes the
Bonds)
Current Outstanding Bonds Total Outstanding
Fiscal
Year
Principal
Principal &
Interest
Principal*
Principal &
Interest*
Principal*
Principal &
Interest*
2022-23 $4,655,000 $7,830,728 $245,000 $605,037 $4,900,000 $8,435,765
2023-24 5,100,000 8,096,923 330,000 723,004 5,430,000 8,819,927
2024-25 5,675,000 8,474,883 345,000 729,457 6,020,000 9,204,340
2025-26 6,035,000 8,616,043 350,000 725,246 6,385,000 9,341,288
2026-27 6,565,000 8,906,025 360,000 725,621 6,925,000 9,631,646
2027-28 7,050,000 9,132,875 370,000 725,541 7,420,000 9,858,416
2028-29 7,190,000 9,020,888 640,000 985,107 7,830,000 10,005,994
2029-30 7,985,000 9,558,430 655,000 981,611 8,640,000 10,540,041
2030-31 7,495,000 8,806,581 680,000 987,288 8,175,000 9,793,869
2031-32 7,310,000 8,400,171 700,000 986,752 8,010,000 9,386,923
2032-33 7,330,000 8,218,974 715,000 980,472 8,045,000 9,199,446
2033-34 6,675,000 7,370,445 740,000 982,664 7,415,000 8,353,109
2034-35 5,965,000 6,482,110 615,000 831,468 6,580,000 7,313,578
2035-36 4,975,000 5,335,238 635,000 828,774 5,610,000 6,164,012
2036-37 2,285,000 2,505,088 665,000 835,089 2,950,000 3,340,176
2037-38 2,385,000 2,545,513 685,000 830,018 3,070,000 3,375,531
2038-39 1,485,000 1,581,888 715,000 833,920 2,200,000 2,415,807
2039-40 1,550,000 1,615,600 740,000 831,106 2,290,000 2,446,706
2040-41 1,390,000 1,421,275 770,000 832,098 2,160,000 2,253,373
2041-42 800,000 831,760 800,000 831,760
Total $99,100,000 $11,755,000* $110,855,000*
* Preliminary; subject to change.
A-6
Annual Fiscal Year G.O. Debt Service Payments Paid by Water and Storm Water Revenues
Total Outstanding
Fiscal
Year
Principal
Principal &
Interest
2022-23 $205,000 $284,538
2023-24 210,000 282,313
2024-25 225,000 289,563
2025-26 230,000 286,188
2026-27 240,000 286,988
2027-28 255,000 292,388
2028-29 265,000 292,138
2029-30 275,000 291,263
2030-31 150,000 159,300
2031-32 155,000 161,300
2032-33 160,000 163,200
Total $2,370,000
Annual Fiscal Year G.O. Debt Service Payments Paid by Golf Course Revenues
Total Outstanding
Fiscal
Year
Principal
Principal &
Interest
2022-23 $22,860 $24,311
2023-24 23,382 24,316
2024-25 23,921 24,326
Total $70,164
A-7
OTHER FINANCIAL INFORMATION
LEVIES AND TAX COLLECTIONS
Fiscal Year
Levy 1)
Collected During
Collection Year 1)
Percent
Collected
2018-19 $17,311,198 $17,685,242 102.1%
2019-20 20,350,502 20,468,689 100.6%
2020-21 22,973,108 23,925,534 104.1%
2021-22 25,773,767 ----------- In process of collection -----------
2022-23 26,767,798 ----------- In process of collection -----------
1) Totals include TIF, utility replacement and mobile home taxes.
Collections include delinquent taxes from all prior years. Taxes in Iowa are delinquent each October 1 and April 1 and
a late payment penalty of 1% per month of delinquency is enforced as of those dates. If delinquent taxes are not paid,
the property may be offered at the regular tax sale on the third Monday of June following the delinquency date.
Purchasers at the tax sale must pay an amount equal to the taxes, special assessments, interest and penalties due on the
property and funds so received are applied to taxes. A property owner may redeem from the regular tax sale but, failing
redemption within three years, the tax sale purchaser is entitled to a deed, which in general conveys the title free and
clear of all liens except future tax installments.
Source: Dallas County Auditor’s Office and the Iowa Department of Management
TAX RATES
FY 2017-18
$/$1,000
FY 2018-19
$/$1,000
FY 2019-20
$/$1,000
FY 2020-21
$/$1,000
FY 2021-22
$/$1,000
Dallas County 3.90713 4.22888 4.16317 3.70231 3.46118
City of Waukee 13.50000 13.40000 13.40000 13.30000 13.30000
Waukee Comm. School District 17.85545 17.85658 17.85609 17.80043 17.80270
State of Iowa 0.00310 0.00290 0.00280 0.00270 0.00260
County Assessor 0.27309 0.25251 0.27842 0.24430 0.22521
County Ag. Extension 0.06979 0.06898 0.06314 0.05999 0.05732
Dallas County Hospital 0.54001 0.54001 0.39971 0.44912 0.52950
Des Moines Area Community College 0.67458 0.69468 0.65249 0.63533 0.67789
Walnut Cemetery 0.00000 0.01000 0.00340 0.01000 0.01400
Total Tax Rate City Resident 36.82315 37.05454 36.81922 36.20418 36.07040
APPENDIX B
GENERAL INFORMATION ABOUT THE CITY OF WAUKEE, IOWA
The $11,755,000* General Obligation Bonds, Series 2022A (the “Bonds”) are general obligations of the City of
Waukee, Iowa (the “City”) for which the City will pledge its power to levy direct ad valorem taxes against all taxable
property within the City without limitation as to rate or amount to the repayment of the Bonds.
* Preliminary; subject to change.
B-1
THE CITY
CITY GOVERNMENT
The City of Waukee, Iowa (the “City”) was incorporated in 1878 and comprises approximately 13,000 land acres, or 21
square miles. The City operates under a Mayor-Council-Clerk/Administrator form of government consisting of a five-
member City Council and a Mayor who is a non-voting member. The City owns its golf course, stormwater, gas, water
and sanitary utilities. The City Council directs operations of the utilities and establishes rates and charges for all
services. The full-time City Administrator is responsible for implementation of City Council policies and management
of City operations. The Finance Director is responsible for the City records and has financial and accounting
responsibilities.
LEVY LIMITS
A city’s general fund tax levy is limited to $8.10 per $1,000 of taxable value, with provision for an additional $0.27 per
$1,000 levy for an emergency fund which can be used for general fund purposes (Code of Iowa, Chapter 384,
Division I). Cities may exceed the $8.10 limitation upon authorization by a special levy election. Further, there are
limited special purpose levies, which may be certified outside of the above-described levy limits (Code of Iowa, Section
384.12). The amount of the City’s general fund levy subject to the $8.10 limitation is $7.70 for Fiscal Year 2022-23.
The City does levy a portion of costs for employee benefits in addition to the $8.10 general fund limit as authorized by
law. Currently, the City does not levy for an emergency fund. Debt service levies are not limited.
EMPLOYEES AND PENSIONS
The City currently has 140 full-time employees and 125 part-time employees (including seasonal employees). In
addition, the City has approximately 25 paid on call/volunteer fire/EMS employees. The City participates in a statewide
employee retirement system, the Iowa Public Employees Retirement System (“IPERS”). Membership is mandatory for
employees for the City, except for those covered by another retirement system.
Iowa Public Employees Retirement System: The City contributes to IPERS, which is a cost-sharing, multiple-employer,
contributory defined benefit, public employee retirement system administered by the State of Iowa. IPERS provides
retirement and death benefits, which are established by state statute, to plan members and beneficiaries. IPERS is
authorized to adjust the total contribution rate up or down each year, by no more than 1 percentage point, based upon
the actuarially required contribution rate. The City’s contributions to IPERS for the past three fiscal years, as shown
below, equal the required contributions for each year.
FY 2018-19 FY 2019-20 FY 2020-21
IPERS Contributions $827,805 $874,936 $939,887
The IPERS Annual Comprehensive Financial Report is available on the IPERS website, or by contacting IPERS at 7401
Register Drive P.O. Box 9117, Des Moines, IA 50321. However, the information presented in such financial reports or
on such websites is not incorporated into this Preliminary Official Statement by any references.
Bond Counsel, Disclosure Counsel, the City and the Municipal Advisor undertake no responsibility for and make no
representations as to the accuracy or completeness of the information available from the IPERS discussed above or
included on the IPERS website, including, but not limited to, updates of such information on the State Auditor’s website
or links to other Internet sites accessed through the IPERS website.
Pursuant to Governmental Accounting Standards Board (“GASB”) Statement No. 68, the City reported a liability of
$5,252,270 within its Independent Auditor’s Reports as of June 30, 2021 for its proportionate share of the net pension
liability. The net pension liability is the amount by which the total actuarial liability exceeds the pension plan’s net
assets or fiduciary net position (essentially the market value) available for paying benefits. The net pension liability was
measured as of June 30, 2020, and the total pension liability used to calculate the net pension liability was determined
by an actuarial valuation as of that date. The City’s proportion of the net pension liability was based on the City’s share
of contributions to the pension plan relative to the contributions of all IPERS participating employers. At June 30, 2020,
the City’s proportion was 0.074768% which was an increase of 0.010216% from its proportion measured as of June 30,
2019.
B-2
The City cannot predict the levels of funding that will be required in the future as any IPERS unfunded pension benefit
obligation could be reflected in future years in higher contribution rates. The investment of moneys, assumptions
underlying the same and the administration of IPERS is not subject to the direction of the City. Thus, it is not possible
to predict, control or prepare for future unfunded accrued actuarial liabilities of IPERS (“UAALs”). The UAAL is the
difference between total actuarially accrued liabilities and actuarially calculated assets available for the payment of such
benefits. The UAAL is based on assumptions as to retirement age, mortality, projected salary increases attributed to
inflation, across-the-board raises and merit raises, adjustments, cost-of-living adjustments, valuation of current assets,
investment return and other matters. Such UAAL could be substantial in the future, requiring significantly increased
contributions from the City which could affect other budgetary matters.
For additional information on the City’s Pension Plan, including information related to deferred outflows and inflows of
resources related to pensions, expenses, actuarial assumption, discount rate and discount rate sensitivities, refer to
Note 5 – “PENSION PLAN”, beginning on page 39 of the City’s June 30, 2021 Independent Auditor’s Reports included
as APPENDIX D of this Preliminary Official Statement.
OTHER POST-EMPLOYMENT BENEFITS (“OPEB”)
Plan Description: The City operates a single-employer benefit plan which provides medical and prescription drug
benefits to retired employees and their dependents under certain conditions. Group insurance benefits are established
under Iowa Code Chapter 509A.13. No assets are accumulated in a trust that meets the criteria in paragraph 4 of GASB
Statement No. 75. Retired participants must be age 55 or older with 4 years of service at retirement. As of June 30,
2021, there were 110 active employees and 0 retired members in the plan.
Individuals who are employed by the City and are eligible to participate in the group health plan are eligible to continue
healthcare benefits upon retirement. Retirees under age 65 pay the same premium for the medical and prescription drug
benefits as active employees, which results in an implicit rate subsidy and an OPEB liability.
Total OPEB Liability: The City’s total OPEB liability as of the Fiscal Year ended June 30, 2021 was $500,406. This
balance was determined by an actuarial valuation as of July 1, 2019.
Total OPEB liability, July 1, 2020 $448,624
Changes for the year:
Service cost 43,554
Interest cost 17,071
Benefit payments (8,843)
Net changes 51,782
Total OPEB liability, June 30, 2021 $500,406
For additional information on the City’s OPEB, including information related to deferred outflows and inflows of
resources related to pensions, expenses, actuarial assumptions, discount rate and discount rate sensitivities, refer to
Note 6 – “OTHER POST EMPLOYMENT BENEFITS” beginning on page 43 of the City’s June 30, 2021 Independent
Auditor’s Reports included as APPENDIX D of this Preliminary Official Statement.
UNION CONTRACTS
The City recently had one negotiated contract with the Communications Workers of America, which expired on
June 30, 2021. City employees did not recertify the union; therefore, as of July 1, 2021 the City will not have an
employee union for a minimum of 2 years.
B-3
INSURANCE
The City’s insurance coverage is as follows:
Type of Insurance Coverage
Municipal Property Coverage Replacement
Buildings $50,064,563
Miscellaneous Property $4,639,531
Vehicles $9,079,336
Municipal Automobile Physical Damage
Comprehensive Coverage Actual Cash Value
Collision Coverage Actual Cash Value
Cyber Breach/Extortion $1,000,000
Cyber Liability $10,000,000
Municipal General Liability $10,000,000
Wrongful Acts Liability $10,000,000
Law Enforcement Liability $10,000,000
Municipal Automobile Liability $10,000,000
Boiler and Machinery $1,500,000
Public Employee Dishonesty $2,000,000
Standard Workers’ Compensation (Includes Volunteer Firemen) Statutory
FUNDS ON HAND (Cash and Investments as of February 28, 2022)
General Checking $12,822,672.96
Park Land Fees 752,999.05
Sewer Fund 10,901,844.21
Sewer Sinking Funds 690,477.99
Water Fund 13,494,399.15
Water Sinking Funds 218,504.00
GO Debt Sinking Funds 8,876,991.92
Capital Projects 31,361,273.69
Water/Sewer Bond & Note Reserve 1,187,858.44
Gas Fund 5,358,076.44
Gas Fund Sinking Funds 39,757.55
Storm Water Fund 826,999.57
Storm Water Sinking Funds 45,201.36
Golf Course Fund (76,360.88) 1)
Golf Course Sinking Funds 2,452.63
Equipment Reserve Fund 239,235.84
Local Option Sales Tax 9,931,006.23
Project Improvement Fund 2,027,918.23
Hotel / Motel Tax Fund 65,239.45
Total Cash and Investments $98,766,547.83
1) Deficit will be eliminated by future season revenues.
B-4
BUILDING PERMITS
City officials report the following construction activity as of February 28, 2022. Building permits are reported on a
calendar year basis. The figures below include both new construction and remodeling.
2018 2019 2020 2021 2022
Single Family Homes:
No. of new homes: 262 633 637 825 70
Valuation: $74,234,080 $135,943,214 $163,307,634 $255,886,242 $25,051,748
No. of Multi-Family: 11 1 4 6 0
Valuation: $19,804,893 $2,596,185 $41,194,335 $38,783,720 $0
Commercial/Industrial/Other:
No. of new buildings: 29 23 19 19 3
Valuation: $40,334,907 $64,891,028 $29,347,062 $25,238,401 $8,184,864
Other: 659 625 829 911 124
Valuation: $5,888,956 $6,405,468 $11,869,320 $10,714,248 $3,737,678
Total Permits 961 1,282 1,489 1,761 197
Total Valuations $140,262,836 $209,835,895 $245,718,351 $330,622,611 $36,974,290
Source: The City
B-5
OTHER DEBT INFORMATION
1) Taxable Valuation is less military exemption and includes Ag. Land & Ag. Buildings, Taxable TIF Increment and all Utilities.
2) Includes general obligation bonds, PPEL notes, certificates of participation and new jobs training certificates.
3) Includes City-exempt Phase In and Phase In Ag valuations in the amount of $5,214,851.
4) Includes City-exempt Phase In and Phase In Ag valuations in the amount of $2,501,928.
5) Includes City-exempt Phase In and Phase In Ag valuations in the amount of $2,712,923.
DEBT RATIOS
G.O. Debt
Debt/Actual
Market Value
($2,873,027,231) 1)
Debt/23,940 2)
Population
Total General Obligation Debt $113,295,164* 3.94%* $4,732.46*
Less: General Obligation Debt paid by
Water and Stormwater (2,370,000)*
Net General Obligation Debt $110,925,164* 3.86%* $4,633.47*
City’s Share of Total Overlapping Debt $90,293,723 3.14% $3,771.67
1) Based on 1/1/2021 Actual Value. Includes Ag. Land, Ag. Buildings, TIF Increment and all Utilities.
2) Population based on the 2020 U.S. Census.
* Preliminary; subject to change.
(The remainder of this page left blank intentionally)
OVERLAPPING DEBT
1/1/2020 City’s
Taxing District
Taxable
Valuation 1)
Portion of Taxable
Valuation in City
Percent
In City
G.O. Debt 2)
Proportionate
Share
Dallas County $7,990,101,232 $1,712,762,162 21.44% $22,210,000 $4,761,824
Waukee CSD 5,905,272,623 1,695,559,521 28.71% 286,710,000 82,314,441
Van Meter CSD 282,303,420 17,015,378 6.03% 5,595,000 337,379
Adel-DeSoto-Minburn CSD 570,943,802 187,263 0.03% 27,815,000 8,345
Des Moines Area
Community College
58,949,151,291 1,712,762,162
2.91% 98,685,000 2,871,734
City’s Share of Total Overlapping Debt $90,293,723
B-6
OTHER AGREEMENTS
Estimated Total Estimated* Total Final Total Estimated* Obligation Estimated Payment Obligation Outstanding Subject to Debt Limit
Agreements Obligation Date as of 7/06/22 as of 7/06/22
Hurd Waukee, LLC 1) $370,000 6/30/2024 $119,265 $119,265
City of West Des Moines 28E 1) 879,705 6/30/2025 527,823 175,941
Golf Course Equipment Lease (2021) 1) 47,750 11/20/2025 40,565 5,965
Axon Lease (Police Equipment) 1) 380,374 11/1/2026 339,243 76,075
Fridley Theatres LLC 1) 2,111,412 6/30/2028 1,766,162 281,505
SPLaw Properties, LLC (City Hall) 1) 549,902 9/1/2028 404,790 52,768
Deery, Deery LLC 1) 950,000 6/30/2028 773,257 181,562
Access Systems Inc. 3) 535,000 6/30/2028 535,000 0
Holmes Murphy KC (Kettlestone) 1) 3,480,000 6/30/2029 2,801,865 357,217
Kettleview, LLC 1) 4,100,000 6/30/2029 3,997,372 251,757
117 Land Company & RJ Lawn 1) 1,150,000 6/30/2030 1,040,020 66,211
Waukee Crossing LLC 2) 400,000 6/30/2033 400,000 0
Waukee Towne Center, LLC 2) 1,100,000 6/30/2036 1,100,000 0
The Quarter at Waukee, LLC 2) 32,371,483 6/30/2047 32,371,483 0
IDOT 4) 9,000,000 TBD 9,000,000 0
Total $55,216,845 $1,568,266
* Rebate payments are estimated based on current valuations and FY 2021-22 tax rates; preliminary; subject to change.
1) These agreements are subject to annual appropriation. Payments have been appropriated for Fiscal Year 2022-2023, excluding
any payments that have already been made as of the date of this Preliminary Official Statement.
2) These agreements are subject to annual appropriation. Payments have not been appropriated for Fiscal Year 2022-2023.
3) The City council is considering a developer agreement with Access Systems on May 16, 2022.
4) The City has a preliminary agreement with IDOT to repay the City’s portion of the Interstate 80 interchange onto Grand Prairie
Parkway estimated to be around $9,000,000. The project has been completed, but a final agreement (including repayment
schedule) has not yet been approved by the City.
REVENUE DEBT
The City has outstanding revenue debt payable from the stormwater and gas utilities, special assessments and golf
course revenues.
Date
of Issue
Original
Amount
Purpose
Final
Maturity
Principal
Outstanding
As of 7/06/22
6/16A $640,000 Storm Water Improvements 6/26 $270,000
B-7
Water Utility Revenue Debt
City Issued Water Revenue Debt Paid by Water Utility.
Date
of Issue
Original
Amount
Purpose
Final
Maturity
Principal
Outstanding
As of 7/06/22
7/15B $1,450,000 Water Improvements 6/27 $655,000
6/18B 3,410,000 Water Improvements 6/38 3,010,000
8/19B 2,040,000 Water Improvements 6/34 1,730,000
Total $5,395,000
Sewer Utility Revenue Debt
City Issued Revenue Debt Supported by Sewer Utility Revenues.
Date
of Issue
Original
Amount
Purpose
Final
Maturity
Principal
Outstanding
As of 7/06/22
12/16C $2,685,000 Sewer Improvements 6/36 $2,275,000
9/17 10,858,375 1) Sewer Imp. (SRF Loan) 6/38 9,078,000 2)
6/18C 3,565,000 Sewer Improvements 6/38 3,170,000
7/18 2,386,508 3) Sewer Imp. (SRF Loan) 6/38 2,052,508
Total:
$16,575,508
1) The City drew down $9,938,375 of the original $12,537,000 contemplated and amended the loan agreement to add a sponsored
project of $920,000 for a total of $10,858,375.
2) The City has drawn $10,853,375 as of April 29, 2022. Principal outstanding above assumes the City will draw the full amount.
3) The City will draw down $2,386,508, as of April 29, 2022, of the original $2,948,000 contemplated.
(The remainder of this page left blank intentionally)
B-8
Other Sewer Utility Revenue Debt
Des Moines Metropolitan Wastewater Reclamation Authority (“WRA”) Existing Payment Obligations:
The City is a member of the Des Moines Metropolitan Wastewater Reclamation Authority (WRA) and has entered into
a financing agreement with the WRA to provide for the City’s share of capital contribution for the construction and
ongoing expansion of a metropolitan wastewater system. The City is responsible for a portion of the WRA sewer
revenue debt payable from the revenues of their Sewer Enterprise System; its responsibilities pursuant to the WRA
Financing Agreement stand as nearly as practicable on a parity and equality of rank with the City’s direct sewer revenue
notes and parity obligations, if any. The City’s share of the WRA debt is as follows:
Date
of Issue
Allocated/
Original
Amount Purpose
Final
Maturity
Principal
Outstanding
As of 7/06/22
06/08A $477,428 Sewer Improvements (SRF Loan) 6/39 $417,015 1)
06/08B 312,970 Sewer Improvements (SRF Loan) 6/39 264,106 2)
06/08D 126,140 Sewer Improvements (SRF Loan) 6/38 101,777 3)
3/09B 388,920 Sewer Improvements (SRF Loan) 6/39 341,288 4)
7/09C 425,960 Sewer Improvements (SRF Loan) 6/39 373,730 5)
4/10A 233,750 Sewer Improvements (SRF Loan) 6/40 226,406 6)
4/10B 324,100 Sewer Improvements (SRF Loan) 6/40 296,724 7)
6/10C-1 37,200 Sewer Improvements (SRF Loan) 6/32 51,541 8)
6/10C-2 389,150 Sewer Improvements (SRF Loan) 6/32 311,551 9)
3/11B 739,461 Sewer Improvements (SRF Loan) 6/41 700,026 10)
5/11A 1,046,925 Sewer Improvements (SRF Loan) 6/42 1,214,840 11)
5/11C 259,564 Sewer Improvements (SRF Loan) 6/41 266,065 12)
12/11D 378,144 Sewer Improvements (SRF Loan) 6/43 454,099 13)
5/12B 130,229 Sewer Improvements (SRF Loan) 6/42 126,841 14)
5/12C 303,660 Sewer Improvements (SRF Loan) 6/43 377,234 15)
5/12D 118,090 Sewer Improvements (SRF Loan) 6/42 141,699 16)
11/12E 577,854 Sewer Improvements (SRF Loan) 6/43 578,573 17)
11/12F 67,087 Sewer Improvements (SRF Loan) 6/43 67,051 18)
11/12G 592,020 Sewer Improvements (SRF Loan) 6/44 725,499 19)
4/13A 141,680 Sewer Improvements (SRF Loan) 6/43 161,720 20)
1/14A 35,820 Sewer Improvements (SRF Loan) 6/34 30,174 21)
2/14C 268,488 Sewer Improvements (SRF Loan) 6/34 213,276 22)
2/14D 179,040 Sewer Improvements (SRF Loan) 6/34 148,852 23)
1/15A 307,768 Sewer Improvements (SRF Loan) 6/35 231,152 24)
1/15B 8,105 Sewer Improvements (SRF Loan) 6/34 6,216 25)
1/15C 85,792 Sewer Improvements (SRF Loan) 6/35 69,452 26)
5/15E 1,178,866 Sewer Revenue Refunding Bonds 6/36 1,000,326 27)
2/16A 178,858 Sewer Improvements (SRF Loan) 6/35 141,828 28)
12/16E 34,886 Sewer Improvements (SRF Loan) 6/36 27,465 29)
12/16F 706,400 Sewer Improvements (SRF Loan) 6/48 732,923 30)
12/17A 855,380 Sewer Improvements (SRF Loan) 6/49 913,691 31)
5/18A 101,304 Sewer Improvements (SRF Loan) 6/40 99,741 32)
12/18D-1 241,200 Sewer Improvements (SRF Loan) 6/39 256,281 33)
12/18D-2 172,850 Sewer Improvements (SRF Loan) 6/39 155,555 34)
12/18E 272,556 Sewer Improvements (SRF Loan) 6/40 292,955 35)
12/18F 144,720 Sewer Improvements (SRF Loan) 6/39 135,820 36)
12/19A 290,585 Sewer Improvements (SRF Loan) 6/39 270,292 37)
12/20B 271,164 Sewer Improvements (SRF Loan) 6/42 290,080 38)
3/21A 1,499,571 Sewer Revenue Refunding Bonds 6/34 1,389,682 39)
6/22A 527,583 Sewer Improvements (SRF Loan) 6/43 527,583 40)
Total $14,131,129
B-9
(Continued from previous page.)
1) The City’s flow-based share of the WRA’s Series 2008A SRF Loan outstanding in the amount of $11,335,000.
2) The City’s flow-based share of the WRA’s Series 2008B SRF Loan outstanding in the amount of $4,510,000.
3) The City’s flow-based share of the WRA’s Series 2008D SRF Loan outstanding in the amount of $1,738,000.
4) The City’s flow-based share of the WRA’s Series 2009B SRF loan outstanding in the amount of $5,828,000.
5) The City’s flow-based share of the WRA’s Series 2009C SRF loan outstanding in the amount of $6,382,000.
6) The City’s flow-based share of the WRA’s Series 2010A SRF loan outstanding in the amount of $6,154,000.
7) The City’s flow-based share of the WRA’s Series 2010B SRF loan outstanding in the amount of $5,067,000.
8) The City’s flow-based share of the WRA’s Series 2010C-1 SRF loan outstanding in the amount of $1,990,000.
9) The City’s flow-based share of the WRA’s Series 2010C-2 SRF loan outstanding in the amount of $12,029,000.
10) The City’s flow-based share of the WRA’s Series 2011B SRF loan outstanding in the amount of $11,954,000.
11) The City’s flow-based share of the WRA’s Series 2011A SRF loan outstanding in the amount of $46,905,000.
12) The City’s flow-based share of the WRA’s Series 2011C SRF loan outstanding in the amount of $7,232,000.
13) The City’s flow-based share of the WRA’s Series 2011D SRF loan outstanding in the amount of $12,343,000.
14) The City’s flow-based share of the WRA’s Series 2012B SRF loan outstanding in the amount of $2,166,000.
15) The City’s flow-based share of the WRA’s Series 2012C SRF loan outstanding in the amount of $14,565,000.
16) The City’s flow-based share of the WRA’s Series 2012D SRF loan outstanding in the amount of $5,471,000.
17) The City’s flow-based share of the WRA’s Series 2012E SRF loan outstanding in the amount of $9,880,000.
18) The City’s flow-based share of the WRA’s Series 2012F SRF loan outstanding in the amount of $1,145,000.
19) The City’s flow-based share of the WRA’s Series 2012G SRF loan outstanding in the amount of $19,720,000.
20) The City’s flow-based share of the WRA’s Series 2013A SRF loan outstanding in the amount of $6,244,000.
21) The City’s flow-based share of the WRA’s Series 2014A SRF loan outstanding in the amount of $1,165,000.
22) The City’s flow-based share of the WRA’s Series 2014C SRF loan outstanding in the amount of $4,046,000.
23) The City’s flow-based share of the WRA’s Series 2014D SRF loan outstanding in the amount of $3,642,000.
24) The City’s flow-based share of the WRA’s Series 2015A SRF loan outstanding in the amount of $6,283,000.
25) The City’s flow-based share of the WRA’s Series 2015B SRF loan outstanding in the amount of $240,000.
26) The City’s flow-based share of the WRA’s Series 2015C SRF loan outstanding in the amount of $1,186,000.
27) The City’s flow-based share of the WRA’s Series 2015E outstanding in the amount of $24,555,000.
28) The City’s flow-based share of the WRA’s Series 2016A SRF loan outstanding in the amount of $5,476,000.
29) The City’s flow-based share of the WRA’s Series 2016E SRF loan outstanding in the amount of $469,000.
30) The City’s flow-based share of the WRA’s Series 2016F SRF loan outstanding in the amount of $36,482,000.
31) The City’s flow-based share of the WRA’s Series 2017A SRF loan outstanding in the amount of $35,705,000.
32) The City’s flow-based share of the WRA’s Series 2018A SRF loan outstanding in the amount of $3,851,000.
33) The City’s flow-based share of the WRA’s Series 2018D-1 SRF loan outstanding in the amount of $9,895,000.
34) The City’s flow-based share of the WRA’s Series 2018D-2 SRF loan outstanding in the amount of $6,006,000.
35) The City’s flow-based share of the WRA’s Series 2018E SRF loan outstanding in the amount of $11,311,000.
36) The City’s flow-based share of the WRA’s Series 2018F SRF loan outstanding in the amount of $5,244,000.
37) The City’s flow-based share of the WRA’s Series 2019A SRF loan outstanding in the amount of $10,436,000.
38) The City’s flow-based share of the WRA’s Series 2020B SRF loan outstanding in the amount of $11,200,000.
39) The City’s flow-based share of the WRA’s Series 2021A outstanding in the amount of $33,355,000.
40) The City’s flow-based share of the WRA’s Series 2022A SRF loan outstanding in the amount of $20,370,000.
The amounts above represent the City’s share of the par amount for various issues. Other participating communities
within the WRA pay the remaining amounts. Flow-based allocations are subject to change on an annual basis; as such
the amount outstanding may be greater than the amount issued due to fluctuations in flow.
B-10
GENERAL INFORMATION
LOCATION AND TRANSPORTATION
The City is located in central Iowa, approximately 16 miles northwest of Des Moines. The City is located near U.S.
Interstate Highways No. 35 and 80. U.S. Highway No. 6 passes directly through the community. Commercial airline
service is available at the Des Moines International Airport through Allegiant, American Airlines, Frontier, Southwest,
United and Delta. The rail line within the City is operated by the Union Pacific Railroad.
LARGER EMPLOYERS
A representative list of larger employers in the City is as follows:
Employer
Type of Business
Approximate
Number of Employees 1)
Waukee Community School District Education 2,009 2)
Hy-Vee Grocery Store 460
Holmes Murphy & Assoc. Insurance 380
Waukee Family YMCA Family Recreation & Health Center 350
City of Waukee City Government 290 3)
Access Systems Office Technologies 225
Gilcrest/Jewett Lumber Company Lumber, Windows, Doors 170
Quad Graphics Waukee Printing 100
Stivers Ford Automobile Sales and Service 125
1) Includes full time, part time, and seasonal employees.
2) Includes part-time employees, most of whom are teacher substitutes and associates.
3) Includes paid on-call/volunteer fire and EMS employees.
Source: The City, Waukee Community School District and company inquiries. The list is updated frequently as changes are
identified and is not to be construed as a complete profile.
Some additional major employers in the Des Moines metropolitan area include, but are not limited to the following:
Employer
Type of Business
Approximate
Number of Employees
Wells Fargo Financial Services 13,500 1)
UnityPoint Health Partners Healthcare 8,026
State of Iowa State Government 7,700 2)
Principal Financial Group Insurance 6,600
Hy-Vee, Inc. Grocery and Drugstore Chain 6,400
Des Moines Public Schools Education 5,220 3)
MercyOne Healthcare (Hospitals and Clinics) 4,276
Amazon Data/Distribution Center 3,500
Nationwide/Allied Insurance Insurance 3,300
John Deere Companies Agricultural Machinery & Consumer Financial Services 2,884 4)
Corteva Agriscience Seed Manufacturing 2,500
Kum & Go Convenience Store Chain 2,000
UPS Logistics, Distribution, Transportation & Freight 1,721
1) Includes both Wells Fargo Banks and Wells Fargo Financial.
2) Total is for the Greater Des Moines metropolitan statistical area which includes Dallas, Guthrie, Madison, Polk and Warren
counties.
3) Total does not include substitute teachers.
4) Includes both John Deere Des Moines Works and John Deere Credit Company.
Source: The Greater Des Moines Partnership. The list is updated frequently as changes are identified and is not to be construed as
a complete profile.
B-11
U.S. CENSUS DATA
Population Trend: 1990 U.S. Census 2,512
2000 U.S. Census 5,126
2010 U.S. Census 13,790
2015 U.S. Special Census 17,945
2020 U.S. Census 23,940
Source: U.S. Census Bureau
UNEMPLOYMENT RATES
Dallas County State of Iowa
Annual Averages: 2018 1.7% 2.5%
2019 1.8% 2.6%
2020 3.5% 5.1%
2021 2.9% 4.2%
2022 (through February) 2.5% 3.9%
Source: Iowa Workforce Development
EDUCATION
The Waukee Community School District (the “District”) provides public education with a certified enrollment for the
2021-22 school year of 12,615.8. The District currently has 1,688 full-time and part-time employees and approximately
321 additional part-time teacher substitutes and associates. The District owns and operates nine elementary schools,
two middle schools, two eighth-ninth grade schools, and two high schools which includes the Innovation and Learning
Center.
FINANCIAL SERVICES
Financial services for residents of the City are provided by branch offices of Charter Bank, Community State Bank,
People’s Trust & Savings Bank, Wells Fargo Bank, N.A. and West Bank, as well as Greater Iowa Credit Union. The
branch offices of Charter Bank, Wells Fargo Bank, N.A. and West Bank report the following deposits as of June 30th for
each year:
Year
Charter Bank Wells Fargo Bank, N.A. West Bank
2017 $27,380,000 $51,488,000 $27,645,000
2018 29,881,000 53,496,000 27,753,000
2019 30,171,000 62,535,000 34,950,000
2020 36,813,000 76,060,000 46,412,000
2021 45,067,000 93,546,000 58,028,000
Source: FDIC
LOCAL OPTION SALES AND SERVICES TAX
On November 7, 2017, a referendum was held for imposition of a one percent (1%) local option sales and services tax
(“Local Option Tax”) to be collected within Dallas County. Imposition of the Local Option Tax was approved by the
voters of contiguous incorporated areas of the cities of Waukee, West Des Moines, Clive and Urbandale by a vote of
approximately 61.2% in favor. The Local Option Tax became effective on July 1, 2018. The City’s Local Option Tax
receipts are to be utilized for as follows: (i) 50% of such revenues to be allocated for property tax relief and (ii) 50% of
such revenues for City quality of life improvement purposes, including recreational/sports complexes, community
center, trails, parks, arts, cultural amenities, historic preservation, and for public uses the city deems appropriate.
B-12
The State of Iowa Department of Revenue (the “Department”) administers collection and disbursement of all local
option sales and services taxes (“LOSST”) in conjunction with administration of the State-wide sales, services and use
tax presently assessed at 6%. The Department is required by statute to remit at least 95% of the estimated tax receipts to
a county board of supervisors (for taxes imposed in unincorporated areas) and to each incorporated city. Such
remittances are on a monthly basis. Once a year the Department reconciles its monthly estimated payments and makes
an adjustment payment or debit at the November 10 payment date. Remittance of collections within a county are based
upon the following statutory formula for county-wide collections: (i) 75 percent: based on a pro rata share of population
(the most recent certified federal census) of those incorporated or unincorporated areas in a county which have approved
a LOSST; and (ii) 25 percent: based on a pro rata share during the three year period beginning July 1, 1982, through
June 30, 1985, for those incorporated or unincorporated areas of a county which have approved a LOSST.
Once approved, a LOSST can only be repealed through a public referendum at which a majority voting approves the
repeal or tax rate change (or upon motion of the governing body), provided no obligations secured by the LOSST are
outstanding. If a LOSST is not imposed county-wide, then the question of repeal is voted upon only by voters in such
areas of a county where the tax has been imposed. LOSST may not be repealed within one year of the effective date.
HISTORY OF TAXABLE RETAIL SALES
The following table represents the number of businesses and taxable sales in the City and Dallas County for the last five
fiscal years.
Fiscal Year
Number of
Businesses
City of Waukee
Taxable Retail Sales
Other Taxable Retail Sales
Within Dallas County
Total Taxable Sales
Within Dallas County
2016-17 279 $236,496,367 $1,043,093,425 $1,279,589,792
2017-18 293 251,659,506 991,431,785 1,243,091,291
2018-19 307 260,737,567 1,041,646,100 1,302,383,667
2019-20 323 271,316,409 1,016,374,784 1,287,691,193
2020-21 363 373,317,598 1,110,754,296 1,484,071,594
Source: Iowa Department of Revenue, “Iowa Retail Sales & Use Tax Report”
LOCAL OPTION TAX REVENUES
The following table represents the Local Option Tax revenue collections as reported by the City, the amount of the
Local Option Tax revenues available for the payment of the General Obligation Local Option Sales Tax Bonds, Series
2020B (“Series 2020B Bonds”) pursuant to the referendum and the maximum annual debt payment on the Series 2020B
Bonds.
Local Option Available for Maximum Annual
Fiscal Year Tax Revenues Bond Payments Debt Payment
2018-19 $2,486,798 1) $1,243,399 2) N/A
2019-20 3,191,666 1) 1,595,833 2) N/A
2020-21 3,588,423 1) 1,794,212 2) $898,700
2021-22 4,080,156 3) 2,040,078 2) 898,700
1) Per the City’s Independent Auditor’s Reports.
2) Represents the 50% of the total Local Option Tax revenues available for the repayment of the Series 2020B Bonds.
3) Represents the Local Option Tax revenues based on Department of Revenues estimates as August 12, 2021 for Fiscal Year
2021-22 including the November 2021 reconciliation payment.
Source: The City
APPENDIX C
FORM OF LEGAL OPINION
APPENDIX D
JUNE 30, 2021 INDEPENDENT AUDITOR’S REPORTS
APPENDIX E
FORM OF CONTINUING DISCLOSURE CERTIFICATE
OFFICIAL BID FORM
To: City Council of Sale Date: June 6, 2022
City of Waukee, Iowa 10:00 A.M. Central Time
RE: $11,755,000* General Obligation Bonds, Series 2022A (the “Bonds”)
This bid is a firm offer for the purchase of the Bonds identified in the “TERMS OF OFFERING” and on the terms set forth in this bid
form, and is not subject to any conditions, except as permitted by the “TERMS OF OFFERING”.
For all or none of the Bonds, in accordance with the “TERMS OF OFFERING”, we will pay you $______________________ (not less than
$11,641,650) plus accrued interest to date of delivery for fully registered Bonds bearing interest rates and maturing in the stated years as
follows:
Coupon Maturity Yield Coupon Maturity Yield
________ 2023 ________ ________ 2033 ________
________ 2024 ________ ________ 2034 ________
________ 2025 ________ ________ 2035 ________
________ 2026 ________ ________ 2036 ________
________ 2027 ________ ________ 2037 ________
________ 2028 ________ ________ 2038 ________
________ 2029 ________ ________ 2039 ________
________ 2030 ________ ________ 2040 ________
________ 2031 ________ ________ 2041 ________
________ 2032 ________ ________ 2042 ________
* Preliminary; subject to change. The aggregate principal amount of the Bonds, and each scheduled maturity thereof, are subject to increase
or reduction by the City or its designee after the determination of the successful bidder. The City may increase or decrease each maturity
in increments of $5,000 but the total amount to be issued will not exceed $12,350,000. Interest rates specified by the successful bidder for
each maturity will not change. Final adjustments shall be in the sole discretion of the City.
The dollar amount of the purchase price proposed by the successful bidder will be changed if the aggregate principal amount of the Bonds
is adjusted as described above. Any change in the principal amount of any maturity of the Bonds will be made while maintaining, as
closely as possible, the successful bidder's net compensation, calculated as a percentage of bond principal. The successful bidder may not
withdraw or modify its bid as a result of any post-bid adjustment. Any adjustment shall be conclusive and shall be binding upon the
successful bidder.
We hereby designate that the following Bonds to be aggregated into term Bonds maturing on June 1 of the following years and in the
following amounts (leave blank if no term bond specified):
Years Aggregated Maturity Year Aggregate Amount
_______ through _______ _____________ _____________
_______ through _______ _____________ _____________
_______ through _______ _____________ _____________
In making this offer we accept all of the terms and conditions of the “TERMS OF OFFERING” published in the Preliminary Official
Statement dated May16, 2021 and represent we are a bidder with established industry reputation for underwriting new issuances of
municipal bonds. In the event of failure to deliver these Bonds in accordance with the “TERMS OF OFFERING”, as printed in the
Preliminary Official Statement and made a part hereof, we reserve the right to withdraw our offer. All blank spaces of this offer are
intentional and are not to be construed as an omission.
Not as a part of our offer, the above quoted prices being controlling, but only as an aid for the verification of the offer, we have made the
following computations:
NET INTEREST COST: $_________________________
TRUE INTEREST COST: _________________________% (Dated date July 6, 2022)
Account Manager: ___________________________________ By: ___________________________________
Account Members: ___________________________________________________________________________
The foregoing offer is hereby accepted by and on behalf of the City Council of the City of Waukee, Iowa this 6th day of June 2022.
Attest: _________________________________ By: ________________________________________
Title: __________________________________ Title: _______________________________________