05.05.25 revised - GO BOND ISSUE FINAL1.pptx

City of Buckeye
Finance Department
GO BOND Issuance 2025
May 6, 2025

Background 
General Obligation Bond 
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•
November 5, 2024 – Residents approved issuance of $282M in bonds
•
$137 Million for Public Safety (Voter approval 62.9%)
•
$145 Million for Streets and Transportation (Voter approval 64.6%)
•
Debt repaid through secondary property tax
•
AAA bond rating
•
Total tax rate will not exceed $2.25 and establishes a GO Debt program
consistent with voter outreach and GO Bond committee
•
Avoids future rate fluctuations

Projects 
General Obligation Bond 
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Projects funded by first issuance: $75M, June 2025
• Public Safety
o Westpark Fire Station
o Victory Fire Station
o Public Safety Headquarters
o Public Safety Training Facility
• Streets and Transportation
o Pinch Point Removal
o Street Reconstruction
o Sun Valley Parkway Lighting
(Safety Elements)

Background 
General Obligation Bond 
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Bond Issuance to align with project timeline, maintain rate and
cash needs
•
First Issuance - $75M, June 2025
•
Second Issuance -$110M, Estimated June 2029
•
Third issuance - $97M, Estimated June 2033

General Obligation Bond 
Projected Assessed Valuation / Primary Tax Rate
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General Obligation Bond 
Total Tax Rate not to exceed $2.25 (2026 Primary Rate equals $1.60)
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Funding Details
• Funding Mechanism: Funded through a secondary property tax.
• Total Tax Rate: Planned not to exceed $2.25 when combined with the existing primary property tax 
rate. Additional debt will not be issued unless this rate can be met.
• Buckeye’s planned FY2026 primary property tax rate is $1.60. 
• Secondary rate would equal $0.65.
• First Year Cost Impact: Around $115 for the average property in Buckeye where the median assessed
value is $176,839 (FY2025 median price). 
• Find Your Cost Impact (Residential):  Limited Property Value / 1000 x 0.65 
PROPERTY TYPE
LIMITED PROPERTY 
VALUE
1ST YEAR 
SECONDARY TAX 
RATE
AVERAGE 
ANNUAL COST
SINGLE FAMILY RESIDENTIAL
$176,839 
$0.65 
$115 
COMMERCIAL PROPERTY
$1,000,000 
$0.65 
$1,170
AGRICULTURE/VACANT LAND
$100,000 
$0.65 
$98 
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Bond Resolution
General Obligation Bond 
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• Delegates authority to Management and Finance
• Approves sale of bonds within certain parameters
o Principal not to exceed $75M
o Final Maturity payment cannot go beyond 2050
o Max rate 8.0% bond yield
o Execution of documents

How Can I Buy Bonds?
General Obligation Bond 
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• The bond issue is going to be sold to the bidders that provide
the lowest True Interest Cost to the City
• Minimum denominations of $5,000
• Interest Rate will be finalized at closing
• Residents interested in purchasing should contact their financial
advisor for more information

Council Action - Tonight
General Obligation Bond 
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• Resolution authorizes all matters necessary to sell and issue
general obligation bonds and delegates authority to do so.
• Anticipated to sell Bonds at the end of June
• Primary and Secondary Tax Rates to be adopted June 17th

Questions
General Obligation Bond
Questions?

General Obligation Bond 
Option 2 – Yr 1 $1.85 Yr 2 $2.05 Yr 3 $2.25 - (2026 Primary Rate equals $1.60)
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