FPUA delays debt issuance as capital spending shifts into next fiscal year

Michelle Harris told the board that FPUA had been "a little overambitious" about how much it would spend in the first year of a multi-year capital program and that, as a result, the utility delayed a planned debt issuance into the first or second quarter of the next fiscal year. Harris said the authority has been using unrestricted funds to carry work in the meantime and has not yet drawn on its line of credit.

Harris said FPUA expects increased capital spending in the second year when bond proceeds become available and that staff anticipates returning to the board in September or October to request an extension of the line of credit if the timing requires. Board members asked for continued oversight and documentation; staff said they are monitoring capital pacing and will provide updates on spending and grant-funded reimbursements.