Title
Resolution - Approval of Authorization for Increase of and Amendments to Commercial Paper Program and Unsecured Credit Facilities for the Cooperative - R Kruger
Other Info
Submitted By: Randy Kruger
Department: Chief Financial Officer
Financial Impact and Cost/Benefit Considerations: As discussed in Executive Session.
Discussion
To continue to fund its capital improvement budget and operating budget for both its distribution and transmission lines of business, the Cooperative is assessing available financing options in consideration of the financial health of the Cooperative and in the best interests of the Cooperative. In April 2001, the Cooperative established an unsecured credit facility in the aggregate amount of $75,000,000 and in January 2007 increased such short-term unsecured credit facility to the aggregate amount of $100,000,000.
In November 2020, the Cooperative authorized unsecured credit facilities to finance the operations and expenses of the Cooperative in an amount not to exceed $305,000,000, and subsequently authorized the extension and amendment of such facilities in November 2021.
In August 2021 the Cooperative authorized a short-term unsecured credit facility in the aggregate amount of $100,000,000.
The Cooperative wishes to increase by $100,000,000 its unsecured credit facilities to finance the operations and expenses of the Cooperative in an aggregate amount not to exceed $605,000,000, which increase may include a new short-term unsecured credit facility and/or increases of existing short-term unsecured credit facilities and/or a new unsecured 3-year credit facility and/or increases of its 3-year $200,000,000 unsecured credit facility.
The Cooperative further wishes to increase the authorized amount of its commercial paper program from $200,000,000 to $300,000,000 to provide increased flexibility in financing the operations and expenses of the Cooperative and amend its commercial paper program documents to effect necessary a...
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