Gurnee Park District 2016-2017 Annual GFOA Budget

Debt Position
Park District residents call for quality facilities and parks, so we budget
capital and infrastructure expenditures for recreation activities and
open space. Therefore, the costs associated with acquiring and improving
many long-term capital assets are met with the issuance of
debt and surplus operations. The Park District reviews existing obligation
structure, current and projected surplus from operations and future
liability levels before making decisions to issue new debt.
The Park District currently has four outstanding debt issuances.
SERIES 2001 ALTERNATE REVENUE Service (Aquatic Center) fund.
SOURCE BONDS ($6,000,000) – The outstanding principal
balance as of April 30, 2016 is
On April 17, 2001 the Park District
$2,240,000.
issued $6,000,000 in alternate
revenue source bonds to finance SERIES 2013 A & 2014 A GENERAL
the construction of the Hunt Club OBLIGATION BONDS -
Park Aquatic Center. The
ALTERNATIVE REVENUE SOURCE
Aquatic Center has a 1,500
($8,510,000 & $1,990,000) – On
bather load pool, three large December 17, 2013 and January
water slides, two smaller drop 21, 2014 the Park District issued a
slides, as well as a splash area for total of $10,500,000 in general
smaller children. The Park District obligation alternative revenue
entered into an agreement with source bonds to finance the
the Village of Gurnee wherein acquisition and rehabilitation of
the Village annually reimburses FitNation. FitNation is a 75,000
the Park District for 75% of the square foot fitness center
debt service. The Park District located just off Interstate 94. The
uses property tax revenues to FitNation space encompasses
pay the remaining 25% debt an expansive fitness floor with
service on this bond issue. This cardio and weight lifting
issuance is paid out of the Debt machines and equipment, a
large gymnasium, five lane lap
pool with hot tubs, several
specialized group exercise
studios, childcare room, and well
appointed locker rooms with
sauna and steam rooms. The
Park District will use revenues
from the fitness operations
accumulated in the Recreation
fund to pay debt service on
these bonds. The combined
outstanding principal balance as
of April 30, 2015 is $10,500,000.
SERIES 2014 B GENERAL
OBLIGATION LIMITED TAX PARK
BONDS ($942,895) – On
November 4, 2015 the Park
District issued a total of $951,325
in G.O. bonds. This is a bond
issue that the district does every
year to pay off larger bonds that
are outstanding such as the
Aquatic Center debt as well as
the Hunt Club Community
Center debt. Additionally a
small portion of the proceeds will
go towards ongoing capital
projects. In 2015 the Park District
purchased its own G.O. Limited
Tax Park Bonds. The purchase
was made out of the Capital
54 FISCAL YEAR 2016/2017 ANNUAL BUDGET I Gurnee Park District