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Gainesville Regional Utilities 2021 Series A Standard & Poor s June 9, 2021
Participants Issuer: Gainesville Regional Utilities Position Mayor General Manager for Utilities Chief Operating Officer Chief Financial Officer Participant Lauren Poe Ed Bielarski Thomas Brown Claudia Rasnick Contact Information (352) 334-5016 (352) 393-1032 (352) 393-1032 (352) 393-1313 Financial Advisor: Public Financial Management, Inc. Position Managing Director Senior Analyst Participant Chris Lover Rohil Chekuri Contact Information (704) 319-7922 (704) 319-7940 2021 Series A Co-Senior Manager and Bookrunner: Barclays Position Director Director Vice President 2021 Series A Co-Senior Manager: BofA Securities Position Director Associate Participant Brian Middlebrook Chaffin Snider Jinuk Hah Contact Information (212) 526-4194 (212) 526-4914 (212) 412-3189 Participant Andrew Hildreth Jill Sternthal Contact Information (646) 743-1607 (646) 743-1417 2
Transaction Overview Utilities System Revenue Bonds 2021 Series A Utilities System Forward Delivery Direct Purchase Bonds, 2022 Series A $101.525 million $66.075 million Par* Senior Senior Lien Tax-exempt Tax-exempt Tax Status 2024 2031; 2042-2051 Fixed Rate First Interest Payment on October 1, 2021 2023 2028 Expected Amortization* Direct Purchase Interest Paying the costs of the acquisition, construction and equipping of certain capital improvements to the System Paying the costs related to the issuance of the 2021 Series A Bonds Forward current refunding of 2012 Series A Bonds Purpose Barclays, BofA Securities TBD Co-Senior Managers Citi, Goldman Sachs, Wells Fargo Securities N/A Co-Managers TD Securities, JP Morgan N/A Selling Group Tuesday, July 20, 2021 Tuesday, July 20, 2021 Pricing* Wednesday, August 11, 2021 Wednesday, August 3, 2022 Closing* *Preliminary subject to change 3
City and GRU Governance Lauren Poe Mayor Adrian Reina Saco Commissioner (At-large) Gail Johnson Commissioner (At-large) Desmon Duncan-Walker Commissioner (Dist. 1) Harvey Ward Commissioner (Dist. II) David Arreola Commissioner (Dist. III) Hayes-Santos Commissioner (Dist. IV) Utility Advisory Board Gainesville's City Commission performs such duties as passing the City's budget, setting the millage rate and approving the ordinances and resolutions. The Commission consists of seven members: four Commissioners are elected from single member districts, two Commissioners are elected at-large, and one member is elected as Mayor. In the spring of 1998, Gainesville citizens voted for their first elected mayor in 72 years. 4
The Management Team has Extensive GRU and Utility Experience Edward J. Bielarski General Manager Experience: +20 yrs Robin L. Baxley Executive Office Coordinator Nicolle Shalley City Attorney Walter T. Banks Chief Information Officer Experience: +20 yrs Thomas R. Brown Chief Operating Officer Experience: +30 yrs Claudia Rasnick Chief Financial Officer Experience: +20 yrs Gary L. Baysinger Energy Delivery Officer David E. Owens Compliance Officer Lewis J. Walton Chief Business Services Officer (GRUCom) Cheryl F. McBride Chief People Officer Kinn zon Hutchinson Interim Chief Customer Officer David Warm Communications Director S. Yvette Carter Chief Inclusion Officer Anthony L. Cunningham Water/ Wastewater Officer Dino S. De Leo Energy Supply Officer 5
GRU is in a State of Renewal Completed Electric System upgrade at Murphree Water Plant (60 year-old system) Replaced 56 year-old turbine generator at original power plant (Kelly) Retrofitted DH2 coal plant to operate at 100% natural gas Plans approved to replace over 200,000 meters as part of AMI program Plans to upgrade Customer Information System software (13 year-old system) Replaced older debt through refinancing which saved $134 million in future debt Responded to COVID by waiving customer fees and extending payment terms Executed a 20-year solar PPA with Origis 6
Outline Resiliency and Reliability Strategic Focus on Renewables Service Territory and Customers 2021 Budget (Forecasts, rates and financial metrics) Debt Management and Plan of Finance Summary 7
COVID Impacts Minimal impact on unit sales Slight increase in residential sales, minimal decrease in commercial sales Increased liquidity with additional $50 million taxable line of credit Refined & improved continuity plans Seamless transition to remote work Waived customer fees, extended payment terms, offered installment payment plans 9
COVID Impacts on Unit Sales FY20 UNIT SALES Volume Difference % Difference Post COVID Budget (April, 2020) Approved Budget vs Post- COVID vs Post- COVID Actual ELECTRIC SYSTEM MWH 847,561.8 vs Approved vs Approved Residential Non- Residential 839,303.7 846,598.3 8,258.1 963.5 0.98% 0.11% 961,301.3 918,011.2 932,543.4 (28,757.9) 14,532.2 -2.99% 1.58% WATER SYSTEM KGAL 4,332,503.0 Residential Non- Residential 4,369,304.3 4,347,029.6 (36,801.3) (14,526.6) -0.84% -0.33% 2,894,928.3 2,734,073.1 2,781,977.0 (112,951.3) 47,903.9 -3.90% 1.75% WASTEWATER SYSTEM KGAL 3,257,003.0 Residential Non- Residential 3,307,208.1 3,278,989.3 (50,205.1) (21,986.3) -1.52% -0.67% 1,518,351.7 1,450,208.3 1,356,706.0 (161,645.7) (93,502.3) -10.65% -6.45% GAS SYSTEM THERMS 7,124,150.0 Residential Non- Residential 8,157,961.6 8,174,733.6 (1,033,811.6) (1,050,583.6) -12.67% -12.85% 14,287,773.0 13,243,813.9 13,420,412.0 (867,361.0) 176,598.1 -6.07% 1.33% 10
Risk Management Gas Supply and Plant Winterization GRU s diversity of fuel sources paid dividends during the Florida 2020 winter event spawned by Texas power crisis. Remain less dependent on Natural Gas electric generation (State - 87%, GRU 62%) Unable to purchase gas for five days due minimal allocation. GRU switched to liquid fuel, wood and coal and remained on solid fuel the entire time Continued to supply gas to our LDC customers Able to export 100 MW s of excess generation capacity during the event netting additional revenue Participated in ERCOT lessons learned discussions as applicable to Florida Revisited the winterization protocols and procedures being used at the generation facilities 11
Hurricane Preparation Hurricane preparation is a year round effort Looking for 2021 to return to normal hurricane response protocols Pandemic and continuity of business plans have all been updated GRU participates in the Statewide hurricane table top drills Physical storm inventories have been checked for adequacy Working with FEMA funds to remove tree cables in certain sections, hardening those areas Maintain a $3 million tree trimming program to control vegetation outages Hurricane planning group meets regularly All employees assigned gray sky roles Managers participate in incident command workshops and training per FEMA guidelines 12
Cybersecurity GRU continues to take a proactive approach Incident Response Playbooks & Tabletop Exercises Quarterly review and maintenance of Business Critical Diversification and Resilience of Internet Connectivity with a 3d party Aligning current policies, guidelines and standards to NIST Cybersecurity Framework 1.1 Coordinate & Facilitate Vulnerability Assessment's and Penetration testing Monthly Department of Homeland Security Cybersecurity & Infrastructure Agency External Vulnerability Assessments and also planned Bi-Annual Internal Penetration Testing Implement Real-Time Reporting aligned to Policy Requirements Getting the word out! Through communications and training across GRU April s Cybersecurity Week: 4 breakout sessions with cybersecurity topics, 5 separate communications October: National Cybersecurity Awareness Month: 8 or more breakout sessions with a guest speaker closing the event Continue to focus on training, both staff as well as the IT team 13
STRATEGIC FOCUS ON RENEWABLES 14
Continued Evolution to Net-zero Carbon Emissions State-wide leader producing over 30% of our generation from net-zero carbon sources in April 2021 Plans haven t stopped there: By 6/30/21 - DH-2 conversion to 100% gas capability expected to be completed by 6/30/21 projecting to reduce CO2 production by 40% By 6/15/21 - The retrofit of Kelly CC will reduce GRU s overall emissions and increase efficiency of the steam turbine and add an additional 4 to 6 MW s of output By 12/31/22 - 50 MW Origis solar project expected be in commercial operations Future Plans: Celebrate success of significantly reducing carbon footprint Educate community about the next technological step required (e.g. energy storage) Remove barriers towards reaching 2045 net-zero carbon emission goal 15
Electric System: Promoting Fuel Diversification and Renewables Existing Generating Resources FY 2012 Dispatch by Fuel Source Purchased Power, 14%Landfill Gas, Net Summer Capability (MW) Primary Fuel Alternative Fuel In-Service Date Expected Retirement Plant 1% Owned Resources J. R. Kelly Steam Unit 8 Combustion Turbine 4 Total Coal, 35% Nuclear, 5% Waste Heat Natural Gas - Distillate Fuel Oil 1965 / 2001 2001 2035 2051 36.0 72.0 108.0 Solar, 1% Natural Gas, 43% Deerhaven Generating Station Bituminous Coal Natural Gas Natural Gas Natural Gas Natural Gas -- Net Energy Requirements by Fuel Source3 Steam Unit 2 Steam Unit 1 Combustion Turbine 3 Combustion Turbine 2 Combustion Turbine 1 Total 1981 1982 1996 1976 1976 2031 2022 2046 2026 2026 228.0 75.0 71.0 17.5 17.5 409.0 Residual Fuel Oil Distillate Fuel Oil Distillate Fuel Oil Distillate Fuel Oil Fuel Oil 0.0% Landfill Gas 1.0% Biomass 22.2% Solar 1.0% Interchange Purchases & Sales 3.4% South Energy Center SEC-1 SEC-2 Total Natural Gas 61.4% Natural Gas Natural Gas - - 2009 2017 2039 2047 3.8 7.4 11.2 Coal & Other 11.0% Deerhaven Renewable (DHR Biomass Plant) FY 2021 Capacity by Fuel Source Biomass - 2013 2043 103.0 Landfill Gas 0% Biomass 16% Total Owned Resources 631.2 Power Purchase Agreements Baseline Landfill Landfill Gas - - - 3.7 Natural Gas 42% Total Available Capacity1 Peak Load2 634.9 425.0 Coal 36% ___________________________ 1. Planned plant retirements expected to reduce available capacity to 559 MW over next five years 2. FY20 peak load. Max projected load over next five years is 425.0 MW 3. Net Energy Requirement by Fuel Source for the Period Ended March 31, 2021 Waste Heat 6% 16
Existing Renewable Energy GRU Has a Very Strong Renewable Energy Portfolio GRU has a very strong renewable portfolio, which accounts for over 20% of delivered energy The Southeast is well behind with the penetration of renewables at ~6% Since 2006, renewable energy and carbon management strategies became a major component of GRU's long-term power supply acquisition program These renewable resources include the purchase of energy generated by landfill gas, biomass and solar First utility in the nation to adopt a European-style solar feed in tariff ( FIT ) in March 2009. Approximately 18.6 MW of solar PV capacity was installed and continues to supply energy to the System Dispatch by Fuel Source Comparision1 U.S. 18.8% 0.4% 39.6% 19.2% 22.8% Fuel Coal Petroleum Natural Gas Nuclear Renewable (incl. Hydro) Southeast 14.9% Florida 6.7% 0.7% 76.0% 11.9% 6.6% GRU 11.0% 0.0% 64.8% 0.0% 24.2% 0.3% 48.7% 25.1% 8.8% ___________________________ 1. U.S., Southeast, and Florida data from 2020 Energy Information Administration; GRU data from 2021 17
Significant Shift in Carbon Intensity Since 2010 2010 2018 2019 2020 CO2 from Owned Generation (metric tons) CO2 from Contracted Generation (metric tons) Total CO2 emissions (metric tons) Change since 2010 1,639,854 127,486 1,767,340 1,059,529 8,309 1,067,838 986,535 33,181 1,019,716 940,383 37,926 978,309 -45% Energy from Coal Resources (MWh) Change since 2010 1,322,924 MWh 460,291 MWh 449,200 MWh 215,493 MWh -84% GRU has seen significant reductions in CO2 emissions since 2010 (-45%) Energy provided by coal is 84% lower in 2020 versus a decade ago Transition continues in earnest Continued integration of Deerhaven Renewables Solar development (50MWs) Gasification of Deerhaven 2 Efforts of UAB and City Commission to move to 100% renewable by 2045 18
SERVICE TERRITORY AND CUSTOMERS 19
Top Customers Diverse Customer Base with Limited Concentration The top 10 and top 20 customers across all systems account for 17.1% and 21.5% of revenues respectively Water System Electric System Gas System % of Water Revenue % of Electric Revenue % of Gas Revenue 7.1% 3.2% 2.7% 2.1% 1.4% 1.4% 1.2% 1.2% 1.1% 1.1% 22.5% $24,819 # Customer # Customer # Customer 1 2 3 4 5 6 7 8 9 10 GRU SHANDS Alachua County Public Schools VA Medical Center City of Gainesville North FL Regional Medical Center Publix Super Markets Inc University of Florida Alachua County Board of Comm Sivance, LLC Top 10 Electric Customers FY20 Electric Revenue1 (000) 2.8% 2.2% 2.1% 1.7% 1.7% 1.7% 1.7% 1.5% 1.2% 0.7% 17.3% $274,426 1 2 3 4 5 6 7 8 9 10 University of Florida GRU North FL Regional Medical CTR City of Gainesville SHANDS Alachua County Public Schools VA Medical Center Celebration Pointe Holdings LLC Alachua County Board of Comm Sivance LLC Top 10 Water Customers FY20 Water Revenue1 (000) 5.4% 1.4% 0.8% 0.6% 0.6% 0.6% 0.6% 0.5% 0.5% 0.4% 11.3% $37,355 University of Florida VA Medical Center North FL Regional Medical Ctr WCA of Florida, LLC Alachua County Board of Comm Florida Power Corporation Sivance, LLC SHANDS Preferred materials Inc 1 2 3 4 5 6 7 8 9 10 Ology Bioservices Inc Top 10 Gas Customers FY20 Gas Revenue1 (000) Wastewater System GRUCom % of Wastewater Revenue % of GRUCom Revenue # Customer # Customer 1 2 3 4 5 6 7 8 9 10 Cabot Carbon Oper Jump Start Top 10 Wastewater Customers FY20 Wastewater Revenue1 (000) University of Florida North Fl Regional Medical Center Sivance LLC SHANDS Alachua County Board of Comm City of Gainesville ST of FL Dept of CH & Fam SVC Beazer East Inc Celebration Pointe Holdings, LLC 1.0% 0.9% 0.7% 0.7% 0.6% 0.6% 0.5% 0.5% 0.4% 0.4% 6.3% 1 2 3 4 5 6 7 8 9 10 Alachua County Board of Comm GRU City of Gainesville Verizon Wireless Personall Comm Alachua County Public Schools AT&T Wireless T-Mobile USA Inc Interstate Fibernet Inc Florida Phone Systems Accelerationnet Top 10 GRUCom Customers FY20 GRUCom Revenue1 (000) 9.6% 9.0% 7.1% 6.9% 6.9% 5.1% 4.4% 2.8% 2.3% 2.0% 56.1% $13,363 $45,503 ___________________________ 1. Management prepared breakout of each business unit revenues (unaudited) 20
Customer Mix Electric System1 Total: $274.4mm Water System1 Total: $37.3mm Industrial & Commercial, $3mm, 9% Residential, $121mm, 44% Industrial & Commercial, $154mm, 56% Residential, $34mm, 91% Wastewater System1 Natural Gas 1 Total: $45.5mm Total: $24.8mm Industrial & Commercial, $3mm, 7% Industrial & Commercial, $1mm, 5% Residential, $24mm, 95% Residential, $42mm, 93% ___________________________ 1. Management prepared breakout of each business unit revenues (unaudited) for FY20 2. Numbers may not add due to rounding 21
2021 BUDGET (FORECASTS, RATES AND FINANCIAL METRICS) 22
Sales History and 2021 Forecast Promoting Conservative Budgeting Electric Sales (MWh) Natural Gas Sales (Therms) 2,500,000 30,000,000 25,000,000 2,000,000 20,000,000 1,500,000 15,000,000 1,000,000 10,000,000 500,000 5,000,000 0 0 Water Sales (kGal) Wastewater Sales (kGal) 10,000,000 7,000,000 6,000,000 8,000,000 5,000,000 6,000,000 4,000,000 3,000,000 4,000,000 2,000,000 2,000,000 1,000,000 0 0 23
Residential Average Use Residential Electric (kWh/Customer) Residential Natural Gas (Therms/Customer) 1,200 30 1,000 25 800 20 600 15 400 10 200 5 0 0 Residential Water (kGal/Customer) Residential Wastewater (kGal/Customer) 8 6 5 6 4 4 3 2 2 1 0 0 24
Electric System Historical and Projected Bill Increases (%) Total Residential Bill Percentage Increase/(Decrease)1 Historical (Fiscal Year Beginning): October, 1 2015 October, 1 2016 October, 1 2017 February, 1 20182 October, 1 2018 October, 1 2019 October, 1 2020 Projected (Fiscal Year Beginning):3 October, 1 2021 October, 1 2022 October, 1 2023 October, 1 2024 October, 1 2025 (5.24)% (2.04)% 0.88% (8.02)% 1.55% 7.13% (6.46)% 5.78% 2.76% 2.76% 2.77% 2.77% ___________________________ 1. Based on residential monthly bill at 1,000 kwh. 2. Changes resulting from the acquisition of the DHR Biomass Plant 3. All changes in the System's revenue requirements are subject to approval by the City Commission, which usually occurs in conjunction with its approval of the System's annual budget 25
Florida Utility Rate Comparison Addressing Rate Competitiveness Total Monthly Cost of Electric, Gas, Water and Wastewater Services for Residential Customers in Selected Florida Locales1 Based Upon Based Upon Standard Industry Usage Benchmarks3 Typical Average Usage by Residential Customers of the System2 $223.01 $201.70 $201.39 $199.49 $195.11 $192.26 $190.85 $189.76 $186.80 $184.74 $184.26 Pensacola Clay County Ocala Ft. Pierce Orlando Jacksonville Lakeland Tallahassee Kissimmee Tampa Gainesville Regional Utilities $286.33 $241.42 $239.85 $252.96 $238.42 $240.47 $232.65 $240.22 $227.78 $235.94 $239.92 ___________________________ 1. Based upon rates in effect for January 2021 by the actual providers of the specified services in the indicated locales, applied to the noted billing units. Excludes public utility taxes, sales taxes, surcharges, and franchise fees. 2. Monthly costs of service have been calculated based upon typical average annual usage by residential customers of the System as follows: for electric service: 800 kWh; for natural gas service: 20 therms; for water service: 5,000 gallons of metered water; and for wastewater service: 4,000 gallons of wastewater treated. 3. Monthly costs of service have been calculated based upon standard industry benchmarks for average annual usage by residential customers, as follows: for electric service: 1,000 kWh; for natural gas service: 25 therms; for water service: 7,000 gallons of metered water; and for wastewater service: 7,000 gallons of wastewater treated. 26
General Fund Transfers General Fund Transfer Formula The City Commission established a General Fund transfer formula for FY15 through FY19 The formula established the base amount in FY15, less the amount of ad valorem revenue received annually by the City from the DHR Biomass Plant The FY15 base transfer amount increases each fiscal year by 1.5% though FY19 The City Commission established the transfer amount at $38,285,000 for FY20 and FY21 The City Commission has established the transfer amount at $36,283,000 for FY22 During the FY22 budget hearings, the City Commission has asked staff to come back to the Commission with a resolution to reduce the transfer by $2 million per year, each year though FY27 General Fund Transfers ($mm) FY19 General Fund Transfer as % of Operating Revenue1 Tallahassee Orlando Utilities Commission Lakeland Kissimmee Gainesville Regional Utilities Leesburg JEA Lincoln Neb. Electric System Fort Pierce Winter Park Jacksonville Beach Combined Utility Colorado Springs Utilities Chattanooga Electric Power Board Springfield Mo. Public Utility Springfield Mo. Public Utility 17.4 13.2 12.2 9.4 9.2 8.7 7.2 6.3 6.0 5.7 4.2 4.1 3.4 3.3 3.3 38.3 38.3 38.3 40 37.3 36.7 36.4 36.3 36.0 35.8 35.0 34.9 30 20 10 0 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Projected Actual ___________________________ 1. Source: Fitch Public Power FACT 2020 27
Financial Metrics 2019 410,203 239,538 170,665 2020 395,465 216,613 178,852 2021 411,600 235,427 176,173 2022 422,962 243,416 179,546 2023 427,948 243,423 184,525 2024 431,369 248,965 182,404 Total Revenue Total O&M Expenses Net Revenues Uses of Net Revenues Debt Service UPIF General Fund Transfer 91,096 41,284 38,285 170,665 96,711 43,857 38,285 178,853 94,213 43,675 38,285 176,173 97,013 44,248 38,285 179,546 102,387 43,853 38,285 184,525 100,552 43,567 38,285 182,404 Total Uses of Net Revenues Revenues in Excess of Targets - - - - - - Debt Service Coverage Fixed Charge Coverage 1.87 1.45 1.85 1.45 1.87 1.46 1.85 1.46 1.80 1.43 1.81 1.43 Operating Cash Rate Stabilization Fund Cash UPIF Cash Total Cash Total Days Cash on Hand 27,506 56,942 27,687 112,135 34,500 62,946 51,668 149,114 27,506 50,703 47,320 125,529 27,506 63,179 18,336 109,021 27,506 67,535 11,939 106,980 27,506 78,042 19,106 124,654 176 258 195 163 160 183 Total Cash Authorized but Unissued Commercial Paper Authorized but Undrawn Lines of Credit Total Liquidity Total Liquidity Days on Hand 112,135 150,000 25,000 287,135 149,114 150,000 75,000 374,114 125,529 150,000 75,000 350,529 109,021 150,000 75,000 334,021 106,980 150,000 75,000 331,980 124,654 150,000 75,000 349,654 451 647 543 501 498 513 28
DEBT MANAGEMENT AND PLAN OF FINANCE 29
Future Capital Plans and Funding Sources Summary of Capital Improvement Program Sources and Uses 2021 2022 2023 2024 2025 Total Use of Funds: Construction Projects: Electric 38,302,466 59,384,613 43,713,757 29,796,717 32,393,436 203,590,989 Gas 10,239,566 4,490,414 3,195,132 3,146,139 3,502,900 24,574,151 Water 19,936,447 12,127,680 10,922,117 11,852,500 11,777,500 66,616,244 Wastewater 31,307,711 25,516,492 29,908,552 28,172,000 24,226,000 139,130,755 GRUCom 1,563,810 1,180,801 1,110,442 2,032,644 3,100,164 8,987,861 Total Construction 101,350,000 102,700,000 88,850,000 75,000,000 75,000,000 442,900,000 Sources of Funds: Bond Financing 38,600,000 38,600,000 38,600,000 38,600,000 38,600,000 193,000,000 Revenues 62,750,000 64,100,000 50,250,000 36,400,000 36,400,000 249,900,000 Total Sources 101,350,000 102,700,000 88,850,000 75,000,000 75,000,000 442,900,000 = Funded with 2021 Series A 30
Debt Management Moving Towards a More Fixed Rate Portfolio GRU s overall debt structure remains rooted in a majority of fixed rate bonds Fixed and synthetically fixed debt accounts for 90% of total pro-forma debt Pre-2021 Series A Total: $1.638 billion Post-2021 Series A Total: $1.739 billion Commercial Paper 0% Commercial Paper 0% Direct Purchase (Variable) 0% Direct Purchase (Variable) 0% Direct Purchase (Synthetic Fix) 15% Direct Purchase (Synthetic Fix) 16% Variable 10% Variable 10% Variable (Synthetic Fix) 12% Variable (Synthetic Fix) 13% Fixed 61% Fixed 63% 31
2021 Series A Transaction Purpose of 2021 Series A Transaction Anticipated Schedule Roadshow / POS Available GRU s 2021 Series A financing will provide funds for paying the costs of the acquisition, construction and equipping of certain capital improvements to the System paying the costs of issuance related to the transaction Ratings are expected by July 9, 2021 July 12 Pricing July 20 Closing August 11 Debt Service1 120 100 Debt Service ($MM) 80 60 40 20 0 Fiscal Year Post - Series 2021A Existing ___________________________ 1. Preliminary and subject to change 32
SUMMARY 33
Summary GRU Continues to Adapt and Excel Providing resiliency and reliable service through COVID protocols, storm preparedness and cybersecurity Employing strategic focus on renewables Improving rate competitiveness Continuing to serve diverse and growing customer base GRU Continues to Maintain its Historical Credit Strengths Continual support of the City Commission Strong debt service coverage and days cash (reflecting City Commission Cash Balance Study) Resourcing a significant portion of capital needs internally Continuing to exceed established liquidity targets Prudent mix of fixed and variable rate debt 34
