CITY OF MESA DEBT
By Gene Dufoe
Note that the City of Mesa as of July 1, 2018, has a total outstanding bond debt of $1,720. million + outstanding interest of $843.88 million = $2,564.35 Million or $2.56 BILLION
Prin. Mill. Int. Mill. Total Millions
Interest – General Obligation Bond $ 365.76 $108.97 =$ 474.73 thru 2037/38 p414
Interest – Streets & Highways$ 76.62$ 16.43 = $ 93.05 thru2026/27 p415
Interest – Utility Revenue $1,227.36 $688.60 = $2,009.00 thru 2041/42 p416
Interest – Water Infrastructure
Finance Authority $ 1.71 $ 0.23 =$ 1.95 thru 2028/29 p417
Interest – Excise Tax Revenue
Obligations $ 49.03 $ 29.65 = $ 78.68 thru 2031/32 p418
TOTAL PRINCIPAL & INT DUE$1,720.47$843.88 = $2,564.35
City of Mesa, Arizona Executive Budget Plan 2018/19
Considering the Total Debt per Capita comparison from the year earlier , Mesa is slightly higher ($60) than Glendale, and slightly lower ($81) than Phoenix. Only Scottsdale is appreciably higher, with Gilbert (significantly 45% lower or $1621) and Chandler (52% lower at $1862). Tempe is 7.2% lower or $260.
All of the other Cities in the Valley have reduced their FY2018/19 per capita debt versus their 2012 per capita debt, except Mesa which raised their per capita debt from approximately $3300 to $3575 in the same period.
Interest Due on General Obligation Bonds$ 325.57 $131.04 = $ 456.61thru 2032/33 p73
Interest Due on Utility Revenue Bonds $ 980.53 $679.08 = $1,659.61thru 2036/37 p74
Interest Due on Excise Tax Revenue Oblige $ 262.50 $110 = $ 372.5 thru 2026/27
TOTAL PRINCIPAL & INTEREST DUE $1,568.60 $920.12 = $2,488.72
City of Mesa, Arizona Executive Budget Plan 2013/14
Only with the continued exchange of higher interest bonds for lower interest rate bonds was the combination of principal and interest slowed; however, now that interest rates are going higher that is going to end. As you can see, the debt is slowly increasing and the debt is also stretching further into the future. The reduction of the Excise Tax Revenue Obligations between FY 2013/14 and FY 2018/19 was accomplished by selling Pinal County water reserves which had been in the City of Mesa reserves for decades.
The pattern is now even clearer now that Mesa is on a bad path and as we know that Mesa needs to be stopped. VOTE NO on ALL SIX City of Mesa Questions!!!