Public Resources Advisory Group, Inc. (“PRAG”), working as advisor to the Town of Orange Park, a municipality existing under the laws of the State of Florida (the “Town”), is seeking proposals from banks to make a fixed rate loan (the “2025 Loan”) to the Town in an amount up to $17,000,000. The Town expects to use the 2025 Loan proceeds to (i) fund the Johnson Slough Roadways and Culvert improvements project, (the “Drainage Project”), (ii) the purchase of a new ladder fire truck (the “Fire Truck Project”, collectively with the Drainage Project, the “Project”), and (iii) fund costs of issuance related to the 2025 Loan. The 2025 Loan will be secured by a Covenant to Budget and Appropriate from legally available Non-Ad Valorem Revenues of the Town. As part of the financing, the Town seeks flexible prepayment provisions (see Section IV.) as it expects to receive $7 million from the State of Florida Department of Environmental Protection (“FDEP”) toward the Drainage Project pursuant to a Standard Grant Agreement between the Town and the FDEP. A copy of the Standard Grant Agreement is attached as Appendix B.
