TO: AC Transit Board of Directors
FROM: Michael A. Hursh, General Manager/Chief Executive Officer
SUBJECT: Board Policy 316 - Debt Management
ACTION ITEM
AGENDA PLANNING REQUEST: ☐
RECOMMENDED ACTION(S):
Title
Consider review of Board Policy 316 - Debt Management Policy, with no recommended amendments.
Staff Contact:
Chris Andrichak, Chief Financial Officer
Body
STRATEGIC IMPORTANCE:
Goal - Financial Stability and Resiliency
Initiative - Financial Efficiency and Revenue Maximization
Clear policies for management of District debt are essential to its financial health.
BUDGETARY/FISCAL IMPACT:
There is no current budgetary or fiscal impact associated with this report.
BACKGROUND/RATIONALE:
The Debt Management Policy was last amended in 2020. This current biennial review confirms that the Debt Management Policy incorporates the following:
• Relevant Government Finance Officers Association best practices;
• Compliance with California Senate Bill 1029 requirements for a comprehensive debt policy;
• Securities and Exchange Commission (SEC) Rule 15c2-12; and
• Includes sections on policy goals, applicable compliance with SEC rules as noted as well as other applicable regulations from involved agencies.
Staff has no recommended amendments for the policy at this time.
ADVANTAGES/DISADVANTAGES:
There are no identified disadvantages to proceeding with the existing Debt Management Policy.
ALTERNATIVES ANALYSIS:
There are no identified alternatives.
PRIOR RELEVANT BOARD ACTION/POLICIES:
SR 22-284 - Review of Board Policy 316
ATTACHMENTS:
1. Board Policy No. 316 Debt Management Policy
Prepared by:
Kenneth Myers, Controller
Approved/Reviewed by:
Chris Andrichak, Chief Financial Officer
Linda A. Nemeroff, Board Administrative Officer/District Secretary
Shayna van Hoften, Interim General Counsel/Chief Legal Officer