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City of Muskegon

Quarterly Budget Reforecast and 2004 Proposed Budget

2004 Debt Service Requirements


                                                                                                                            Average                    Original     Outstanding

                                                                                                              Year          Interest                   Amount                   Balance              Principal              Interest                        Total     Final

Bond Issue                                                                              Fund             Issued                  Rate                  of Issue                 12/31/03         Due 2004                  Due 2004              Due 2004            Maturity



Existing Debt Issues:

DDA G.O. Refunding Bonds                                                        DDA Debt Service              2001          4.681%              4,005,000
                                                                                                                                                                         3,670,000
                                                                                                                                                                                                    180,000
                                                                                                                                                                                                                          160,492
                                                                                                                                                                                                                                                 340,492
                                                                                                                                                                                                                                                                      2018

DDA Promissory Note with Muskegon County                                        DDA Debt Service              1989          0.000%              1,000,000
                                                                                                                                                                         1,000,000
                                                                                                                                                                                                                -                    -                    -           2019

Muskegon Building Authority Bonds (City Hall)                                          General                1996          4.186%              1,545,000
                                                                                                                                                                            205,000
                                                                                                                                                                                                    205,000
                                                                                                                                                                                                                              8,816
                                                                                                                                                                                                                                                 213,816
                                                                                                                                                                                                                                                                      2004

LDFA Tax Increment Bonds (Smartzone)                                                   LDFA III               2002          0.000%              4,725,000
                                                                                                                                                                         4,725,000
                                                                                                                                                                                                                -        205,147
                                                                                                                                                                                                                                                 205,147
                                                                                                                                                                                                                                                                      2025

MTF Street Improvement Bonds                                                         Major Streets            2002          0.000%              2,245,000
                                                                                                                                                                         1,895,000
                                                                                                                                                                                                    350,000
                                                                                                                                                                                                                            45,138
                                                                                                                                                                                                                                                 395,138
                                                                                                                                                                                                                                                                      2008

MTF Street Improvement Bonds                                                         Major Streets            1998          4.290%              1,950,000
                                                                                                                                                                            890,000
                                                                                                                                                                                                    205,000
                                                                                                                                                                                                                            37,188
                                                                                                                                                                                                                                                 242,188
                                                                                                                                                                                                                                                                      2007

State of Michigan Urban Land Assembly Loan                                     Public Improvement             1999          0.000%              1,276,000
                                                                                                                                                                         1,126,000
                                                                                                                                                                                                    150,000
                                                                                                                                                                                                                                      -        150,000
                                                                                                                                                                                                                                                                      2009

Muskegon County Wastewater Contract *                                                   Sewer                 2002          0.000%              6,990,000
                                                                                                                                                                         3,938,249
                                                                                                                                                                                                    122,705
                                                                                                                                                                                                                          190,018
                                                                                                                                                                                                                                                 312,723
                                                                                                                                                                                                                                                                      2008

Muskegon County Wastewater Contract *                                                   Sewer                 1996          5.189%              8,034,263
                                                                                                                                                                         1,948,674
                                                                                                                                                                                                    984,562
                                                                                                                                                                                                                            80,061
                                                                                                                                                                                                                                              1,064,623
                                                                                                                                                                                                                                                                      2005

Sidewalk Special Assessment Bonds                                                      Sidewalk               1996          4.273%              1,155,000
                                                                                                                                                                              90,000
                                                                                                                                                                                                      65,000
                                                                                                                                                                                                                              3,896
                                                                                                                                                                                                                                                   68,896
                                                                                                                                                                                                                                                                      2005

Sidewalk Special Assessment Bonds                                                      Sidewalk               2000          5.114%                 825,000
                                                                                                                                                                            590,000
                                                                                                                                                                                                      90,000
                                                                                                                                                                                                                            25,885
                                                                                                                                                                                                                                                 115,885
                                                                                                                                                                                                                                                                      2005

Capital Improvement Bonds (Sidewalks)                                                  Sidewalk               2003          3.623%              1,575,000
                                                                                                                                                                         1,575,000
                                                                                                                                                                                                    105,000
                                                                                                                                                                                                                            49,724
                                                                                                                                                                                                                                                 154,724
                                                                                                                                                                                                                                                                      2005

Sidewalk Special Assessment Bonds (Sidewalk Portion - 65.89%)                          Sidewalk               1998          4.033%              1,495,000
                                                                                                                                                                            780,000
                                                                                                                                                                                                    108,719
                                                                                                                                                                                                                            18,275
                                                                                                                                                                                                                                                 126,993
                                                                                                                                                                                                                                                                      2005

Sidewalk Special Assessment Bonds (Bluffton Bay Portion - 34.11%)              Special Assessment             1998                                             -                       -            56,282
                                                                                                                                                                                                                              9,460
                                                                                                                                                                                                                                                   65,742
                                                                                                                                                                                                                                                                      2005

Water Filtration Improvement Revenue Bonds                                              Water                 1999          4.570%              9,575,000
                                                                                                                                                                         8,445,000
                                                                                                                                                                                                    420,000
                                                                                                                                                                                                                          361,380
                                                                                                                                                                                                                                                 781,380
                                                                                                                                                                                                                                                                      2019

Water Filtration Improvement Revenue Bonds                                              Water                 1993          5.430%              5,465,000
                                                                                                                                                                            900,000
                                                                                                                                                                                                                -          40,500
                                                                                                                                                                                                                                                   40,500
                                                                                                                                                                                                                                                                      2013

                                                                                                                                              51,860,263
                                                                                                                                                                       31,777,923
                                                                                                                                                                                                 3,042,267
                                                                                                                                                                                                                       1,235,980
                                                                                                                                                                                                                                              4,278,247
                                                                                                                                                                                                                                             



Anticipated Debt Issues:

Water Revenue Bonds                                                                     Water                 2003          2.500%            10,800,000
                                                                                                                                                                                        -                      -                    -                    -            2024

To Fund  Water Filtration Plant Improvements

                                                                                                                                              10,800,000
                                                                                                                                                                                        -                      -                    -                    - 



                                                                                                                                              62,660,263
                                                                                                                                            $ 31,777,923
                                                                                                                                                                   $                        $   3,042,267
                                                                                                                                                                                                                      1,235,980
                                                                                                                                                                                                                    $ 4,278,247
                                                                                                                                                                                                                                           $ 





                                                                            Recap By Fund:                    Total        Budgeted

                                                                            General                   $      213,816
                                                                                                                                 213,816
                                                                                                                          $     

                                                                            Major Streets                     637,326
                                                                                                                                637,326
                                                                                                                                  

                                                                            Sidewalk Improvement              466,498
                                                                                                                                466,498
                                                                                                                                  

                                                                            Public Improvement                150,000
                                                                                                                                150,000
                                                                                                                                  

                                                                            Water                             821,880
                                                                                                                                821,880
                                                                                                                                  

                                                                            Sewer *                        1,377,346
                                                                                                                                566,365
                                                                                                                                  

                                                                            DDA                               340,492
                                                                                                                                340,492
                                                                                                                                  

                                                                            LDFA III (Smartzone)              205,147
                                                                                                                                205,147
                                                                                                                                  

                                                                            Special Assessment                  65,742
                                                                                                                    65,742
                                                                                                                                  

                                                                                                      $   4,278,247
                                                                                                                            3,467,266
                                                                                                                          $  



*  The Sewer Fund budget includes funding for only 41.12% of the total principal and interest requirements for these issues.  The remaining 58.88% is paid directly to Muskegon County

by S.D. Warren Co., the major wastewater user in the City.  The City remains legally obligated for payment of the entire debt in event of nonpayment by S.D. Warren.