04OFFICIAL STATEMENTDATEDFEBRUARY 62014
New Issue Fitch Rating AA
Book-EntryOnly Moodys Rating Aa2
Standard Poors Rating AA
See Ratings herein
In the opinion of Bond Counsel based onan analysisof existing statutesregulations rulings and court decisions
and assuming among other things complianceby the BondBank and the Governmental Units with covenants relating
to certain requirements in the Internal RevenueCode of 1986 as amended the Code9 interest on the 2014A Series
OneBonds is excludable from gross income of owners thereof forfederal income tax purposes Interest on the 2014A
Series OneBonds is nottreated as tax preference item for purposes of either the individual orcorporate alternative
minimumtax However interest on the 2014A Series OneBonds is taken into account in determining adjusted current
earnings for purposes of computing the federal alternative minimum tax imposed on certain corporations Interest
on the 2014B Series One Bonds is not excludable from gross income of the owners thereofforfederal tax purposes See
TAX MATTERS herein
$61205000
ALASKA MUNICIPAL BOND BANK
General Obligation Bonds 2014 Series One
$47205000 $14000000
General Obligation Bonds General Obligation Bonds
2014A Series One 2014B Series One
Tax-Exempt Taxable
Dated Date of Delivery Due Asshown on inside cover
The Alaska Municipal BondBank the Bond Bank is issuing $47205000 principal amount of General Obligation
Bonds 2014A Series One Tax-Exempt the 2014A Series One Bonds and $14000000 principal amount of General
Obligation Bonds 2014B Series One Taxable the 2014B Series One Bonds and together withthe 2014A Series One
Bonds the 2014 Series One Bonds The 2014 Series OneBonds initially will be issued as fully registered bonds in book-
entry form only registered in the name of Cede Co as nominee of The Depository Trust Company DTC which will
serveas depository for the 2014 Series One Bonds Individual purchases ofthe 2014 Series OneBonds will be made in
principal amounts of $5000 or integral multiples thereofwithin single maturity of sub-series Purchasers ofthe 2014
Series OneBonds will notreceive certificates representing their beneficial ownership interests in the 2014 Series One
Bonds interest on the 2014 Series OneBonds will accrue from the date of delivery ofthe 2014 Series One Bonds or from
the most recent interest payment date to which interest has been pald and is payable oneachMarchand September
commencing September 2014
TheBank of New York Mellon Trust Company NA of Seattle Washington as the Trustee and Paying Agent for
the 2014 Series One Bonds will make principal and interest payments to DTC Disbursement of such payments to DTC
Participants is the responsibility of DTC Disbursement of such payments to theBeneficial Owners is the responsibility of
the DTC Participants See DESCRIPTION OF THE 2014 SERIES ONE BONDS and APPENDIX DTC AND BOOK-
ENTRY SYSTEM
The 2014 Series OneBonds aresubjectto redemption prior to their stated maturity dates See DESCRIPTION OF THE
2014 SERIES ONE BONDS Optional Redemption Mandatory Redemption
The 2014 Series OneBonds are generalobligations ofthe Bond Bank and the full falth and credit ofthe BondBank are
pledged for the punctual payment ofthe principal of and interest on the 2014 Series One Bonds The 2014 Series OneBonds
are equally and ratably secured by the pledge and assignment of all Municipal Bonds acquired by the BondBank under the
Bond Banks 2005 General Bond Resolution on parity withother Bonds of the BondBank heretofore or hereafterissued
under the 2005 General Bond Resolution The 2014 Series OneBonds are the twenty-eighth seriesof Bonds issued under the
2005 General Obligation Bond Resolution
The 2014 Series One Bonds do not constitute debt orother liabifity of the State of Alaska and the 2014
Series One Bonds do not directlyindirectly or contingently obligate theState of Alaska to levy any form of
taxation or make any appropriation for the payment of the 2014 Series One Bonds Neitherthe faith and credit
northe taxing power of theState of Alaska is pledged for the payment of the 2014 Series One Bonds TheBond
Bank has no taxing power See SECURITY FORTHE 2014 SERIES ONE BONDS
The 2014 Series OneBonds areoffered when as and if issuedsubjecttothe approving legal opinion of WohlforthBrecht
Cartledge Brooking of Anchorage Alaska Bond Counsel Certain legal matters will be passed upon for the Governmental
Units by their respective bond counsel and for theUnderwriters by their counsel Foster Pepper PLLC of Seattle Washington
It is expected thatthe 2014 Series One Bonds in definitive form will be issued and available by Fast Automated Securities
Transfer for delivery through the facilities of DTC in New York New York on or about February 20 2014
RBC Capital Markets J.P Morgan
Sole Underwriter for the 2014A Series One Bonds Sole Underwriter for the 2014B Series One Bonds
$61205000
Alaska Municipal BondBank
General Obligation Bonds
2014 Series One
consisting of
2014A Series One
Tax-Exempt
MATUIUTIES AMOUNTS INTEREST RATES YIELDS AND CUSIP NUMBERS
CUSIP CUSIP
Interest Number Interest Number
Due March Amount Rate Yield 01179RDueMarch Amount Rate Yield 01179R
2015 875000 2.00%0.23%CW1 2025 $3680000 3.125%3.125%DG5
2016 930000 3.00%0.38%CX9 2026 3800000 5.00%3.15%DH3
2017 960000 4.00%0.61%CY7 2027 3985000 5.00%3.31%DJ9
2018 1000000 5.00%0.95%CZ4 2028 4190000 5.00%343%DK6
2019 1045000 2.00%1.25%DA8 2029 4395000 5.00%3.52%DL4
2020 1070000 2.00%1.71%DB6 2030 1660000 5.00%3.61%DM2
2021 1085000 5.00%2.06%DC4 2031 1740000 4.50%3.92%DNO
2022 2400000 5.00%2.41%DD2 2034 2005000 5.00%3.91%DQ3
2023 3340000 5.00%2.66%DEO 2035 335000 4.00%4.08%DS9
2024 3505000 5.00%2.85%DF7
$3735000 5.00%Term Bond due March 2033 yield 3.86%
CUSIP Number 011 79R DP5
$1470000 4.00%Term Bond due March 2039 yield 4.25%
CUSIP Number 01 179R DR1
2014B Series One
Taxable
MATIJRITIES AMOUNTS INTEREST RATES PRICES AND CUSIP NUMBERS
CUSIP CUSIP
Interest Number Interest Number
DueMarch Amount Rate Price 01179RDueMarch Amount Rate Price 01179R
2015 $1800000 0.38%100%CN1 2019 $1905000 2.10%100%CSO
2016 1840000 0.64%100%CP6 2020 1945000 2.62%100%CT8
2017 1850000 1.06%100%CQ4 2021 1995000 2.92%100%CU5
2018 1870000 1.69%100%CR2 2022 795000 3.22%100%CV3
Copyright 2014 CUSIP Global Services CUSIP is registered trademark ofthe American Bankers Association
CUSIP Global Services is managed on behalfofthe American Bankers Association by Standard Poors These
numbers are not intended to create database and do not serve in any way as substitute for the CUSIP Service CUSIP
numbers are provided for the convenience ofreference only CUSIP numbers are subject to change TheBondBank
takes no responsibility for the accuracy of such CUSIP numbers
Calculated to the first par call date of March2024
This Official Statement is furnished by the BondBank to provide information regarding the sale of the 2014 Series
OneBonds referred to herein and may not be reproduced or be used in whole or in part for any other purpose The
delivery of thisOfficial Statement does not imply that information herein is correct as of any time subsequent to the
date hereof No dealer salesman or any other person has been authorized by the BondBank or the Underwriters to
give any informationor to make any representation other than as contained inthisOfficial Statement in connection
with the offering described herein and if given or made such otherinformation or representation must not be relied
upon as having been authorized by the foregoing This Official Statement does not constitute an offer of any
securities other thanthosedescribed on the cover page or an offerto sell or solicitation of an offerto buy in any
jurisdiction in which it is unlawful to make suchan offer solicitation orsale
The information and expressions of opinion set forth inthisOfficial Statement havebeen furnished by the Bond
Bankand includeinformationfrom other sources that the BondBank believes to be reliable Neither thisOfficial
Statement nor any statement which may havebeen made orally is to be construed as contractwith the owners of
any of the 2014 Series One Bonds
The Underwriters have provided the following sentence for inclusion inthis Official Statement The Underwriters
have reviewed the information set forth inthisOfficial Statement in accordance with and as part of their
responsibilities to investors under the federalsecurities laws as applied to thefacts and circumstances of this
transaction but the Underwriters do not guarantee the accuracy or completeness of such information
UPON ISSUANCE THE 2014 SERIES ONE BONDS WILL NOT BEREGISTERED UNDER THE
SECURITIES ACTOF 1933 AS AMENDED AND WILL NOT BE LISTED ONANY STOCK OROTHER
SECURITIES EXCHANGE NEITHER THE SECURITIES ANDEXCHANGE COMMISSION NORANY
OTHER FEDERAL STATE OR OTHERGOVERNMENTAL ENTITY OR AGENCYOTHERTHAN
THE BOND BANK WILL HAVE PASSED ON THE ACCURACYOR DETERMINED THE ADEQUACY
OF THIS OFFICIAL STATEMENT OR APPROVEDTHE 2014 SERIES ONE BONDS FOR SALE THE
2005 GENERALBOND RESOLUTION WILL NOT BE QUALIFIED UNDER THETRUST INDENTURE
ACTOF 1939 AS AMENDED
The remainder of this page has intentionally been left blank
ALASKA MUNICIPAL BOND BANK
333 Willoughby Avenue 11th Floor
P.O Box 110405
Juneau Alaska 99811-0405
907 465-2388
http//www.revenue.state.ak.us/treasury/ambba/
Board of Directors
Mark Pfeffer Chair
Luke WellesVice Chair
Gregory Gursey Member
Susan Bell Member
Ted Leonard First Delegate to Susan Bell
Angela Rodell Member
Pamela Leary First Delegate to Angela Rodell
Executive Director
Deven Mitchell
Bond Counsel
WohlforthBrecht CartledgeBrooking
Anchorage Alaska
Trustee
The Bank of New York Mellon Trust Company N.A
Seattle Washington
Financial Advisor
Western Financial Group LLC
Portland Oregon
The reference above to the Bond Banks website is contact information provided only for convenience The
reference is not hyperlink and by this reference the Bond Banks website is not incorporated into thisOfficial
Statement
TABLEOF CONTENTS
Introduction
Purpose of the 2014 Series One Bonds
Authorization and Purpose
The2014 Series One Bonds
Description of the 2014 Series OneBonds
General Description
2014 Series One Bonds
Optional Redemption
MandatoryRedemption
Notice of Redemption
Selection of 2014 Series OneBonds for Redemption
Security for the 2014 Series OneBonds
General
Pledge Effected by the 2005 General Bond Resolution
Municipal Bonds
2005 General Bond Resolution Reserve Fund
State Payments
Pledge ofthe State
The Alaska Municipal BondBank
Organization
Board ofDirectors
Management
Future Financing Plans
Debt Payment Record
Bonds Outstanding 10
1976 General Bond Resolution 10
2005 General Bond Resolution 10
2010 MunicipalObligation Bond Resolution 10
RevenueBond Resolutions 10
Coastal Energy Impact Program 10
Direct Loans 11
Loans by theState of Alaska 11
Total BondBankBonds Issued and Outstanding as of January 2014 12
Remaining Debt Capacity After the Issuance ofthe 2014 Series OneBonds 12
Debt Service Requirements of Outstanding 2005 General Bond Resolution General Obligation Bonds
and the 2014 Series OneBonds 13
Summary ofthe 2005 General Bond Resolution 14
2005 General Bond ResolutionConstitutesContract 14
Obligation of Bonds 14
Pledge 14
Power to Issue Bonds and Make Pledges 14
General 14
Waiver of Laws is
Loan Agreement Provisions 15
Modificationof Loan Agreement Terms 16
Enforcement of Municipal Bonds 16
Funds and Accounts 16
Security for Deposits 18
Payment of Bonds 18
Feesand Charges 18
Issuance ofAdditional Obligations 18
Defeasance 19
Supplements and Amendments 19
Events ofDefault and Remedies 20
Excess Eamings 21
Modifications to the 2005 General Bond Resolution 21
Litigation .22
Certain Legal Matters 22
Underwriting 22
FinancialAdvisor 23
Financial Statements 23
Tax Matters 23
Ratings 29
Continuing Disclosure Undertaking 29
Prior Compliance with Continuing Disclosure Undertakings Under the Rule 31
Sources ofCertainInformation 31
Defmitions 32
Miscellaneous 33
Official Statement 34
APPENDIX Form of Legal Opinion
APPENDIX State Payments to Governmental Units
APPENDIX Government Unit Statistics Regarding Participation in the BondBank
APPENDIX Summaries of Borrowers Representing 10%or More of Outstanding Principal
APPENDIX Financial Statements ofthe Alaska Municipal BondBank for the Year Ended June 30 2013
APPENDIX 2005 General Obligation Bond Resolution
APPENDIX DTC and Book-Entry System
OFFICIAL STATEMENT
$61205000
ALASKA MUNICIPAL BOND BANK
GENERAL OBLIGATION BONDS
2014 SERIES ONE
INTRODUCTION
This Official Statement is furnished by the Alaska Municipal BondBank the Bond Bank to provide
information regarding the BondBank in connection with thesale of its $47205000 principal amount of General
Obligation Bonds 20 14A Series One Tax-Exempt the 20 14A Series One Bonds and $14000000 principal
amount of General Obligation Bonds 2014B Series One Taxable the 2014B Series One Bonds and together
with the 2014A Series One Bonds the 2014 Series One Bonds The BondBank was created pursuant to Alaska
Statutes 44.85.005 44.85.420 as amended the Act for the primary purpose of lending money to Governmental
Units in theState of Alaska the State including the purchase of Municipal Bonds issued by suchGovernmental
Units Certain capitalized terms used in this Official Statement and nototherwisedefined herein are defmedunder
DEFfNTTIONS
All referenceshereinto agreements and documents are qualified intheir entirety by referencetothe
defmitive forms thereof and all referencestothe 2014 Series One Bonds are further qualified by reference to the
informationwith respect thereto contained in the 2005 General Obligation Bond Resolution adoptedby the Board of
Directors of the BondBank on July 132005 as amended on August 19 2009 the 2005 General Bond
Resolution and SeriesResolution No 2014-01 adoptedby the Board of Directors of the BondBank on January
2014 the Series Resolution and together with the 2005 General Bond Resolution the Bond Resolution All
bondswhich are issued under and pursuant to the terms of the 2005 General Bond Resolution are hereafterreferred
to as the Bonds Any statements or information which includematters of opinion or estimates are represented as
opinions orestimates in good faith but no assurance can be given thatthe facts will materialize asso opined or
estimated
Appendix contains financial economic and demographic summary information relating to the
Governmental Units whose Municipal Bonds represent 10 percent or more of the Loan Obligationsoutstanding
under the 2005 General Bond Resolution
PURPOSE OF THE 2014 SERIES ONEBONDS
Authorization and Purpose
The 2014 Series One Bonds are being issued pursuant tothe terms of the Bond Resolution and are the
twenty-eighth series of Bonds issued under the 2005 General Bond Resolution
The 2014 Series One Bonds
The 2014 Series OneBond proceeds are being used for the following purposes to make threeloansto
Governmental Units and iito pay portion of the costs of issuance of the 2014 Series One Bonds portion of
the proceeds of the 2014 Series One Bonds will be loaned tothe City and Borough of Juneau to fund
improvements tothe City and Boroughs seawalk tothe Kodiak Island Borough to fundcontinued renovation
and expansion of the Kodiak HighSchool and tothe Kenai Peninsula Borough for construction of Specialty
Clinic Building adjacent totheCentral PeninsulaGeneral Hospital
The table below presents the sources and uses of funds relatedtothe 2014 Series One Bonds
Sources of Funds 2014A 2014B Total
Par Amount of 2014 Series One Bonds $47205000 $14000000$61205000
Net Original Issue Premium 5332470 5332470
Alaska Municipal BondBank Contribution 2179666 5466082726274
Total Sources of Funds $54717136$14546608$69263744
Uses of Funds
Loan to the City and Borough of Juneau 6409823 6409823
Loan to the Kenai Peninsula Borough 20924307 $1394785934872166
Loan to the Kodiak Island Borough 25000463 25000463
Deposit tothe Bond Bank Reserve Fund 21796665466082726274
Costs of Issuance 64195 16805 81000
Underwriters Discount 138.682 35336 174.018
Total Uses of Funds $54717136$14546608$69263744
Includes Governmental Units costs of issuance
DESCRIPTION OF THE 2014 SERIES ONEBONDS
General Description
The2014 Series One Bonds are issuable only as fully registered bonds registered in the name of Cede
Co as nominee for The Depository Trust Company New York New York DTC as securities depository for the
2014 Series One Bonds Principal of and interest on the 2014 Series One Bonds are payable by The Bank of New
York Mellon Trust Company N.A of Seattle Washington as Trustee under the 2005 General Bond Resolution to
DTC which in turn is obligated todisburse such principal and interest payments to its participants the DTC
Participants in accordance with DTC procedures See Appendix DTC and Book-Entry System
2014 Series One Bonds
The 2014 Series One Bonds mature on the dates and bear interest at the ratesset forthon theinside cover
page of this Official Statement The2014 Series One Bonds areissuable in denominations of $5000 or any integral
multiple thereofwithin single maturity of sub-series are datedas of the date of delivery and bear interest from
their date payable on September 2014 and semiannually thereafter oneach March and September to their date
of maturity or prior redemption whichever may occur first
Optional Redemption
2014A Series One Bonds The 201 4A Series One Bonds maturing on or after March 2025 are subject
to redemption in whole or in part at the option of the BondBank on any date on or after March 2024 at price
of 100%of the principal amount thereofto be redeemed plus accrued interest to the date fixed for redemption
The Govermnental Units may prepay their loans on terms identical tothe optional redemption provisions
associated with the 2014 Series One Bonds
2014B Series One Bonds The 2014B Series One Bonds arenot subject to redemption prior to maturity
Mandatory Redemption
2014A Series One Bonds The 20 14A Series One Bonds maturing on March 2033 are subject to
mandatory sinking fund redemption on March of the years and in the principal amounts set forth in the
following table Any such redemption shall be at price equal to 100 percent of the principal amount to be
redeemed plus accrued and unpaid interest thereon to the date fixed for redemption but without premium
Principal
Date Amount
March 2032 $1825000
March 2033 1910000
Maturity
The 2014A Series One Bonds maturing on March 2039 are subject to mandatory sinking fund
redemption on March of the years and in the principal amounts set forth in the following table Any such
redemption shall be at price equal to 100 percent of the principal amount to be redeemed plus accrued and
unpaid interest thereon to the date fixed for redemption but without premium
Principal
Date Amount
March 2036 $345000
March 2037 360000
March 2038 375000
March 2039 390000
Maturity
Notice of Redemption
At least 30 days butnot more than 60 days prior tothe date upon which any 2014 Series One Bonds are
to be redeemed the Trustee will mail notice of redemption to the registered owner of any 2014 Series OneBond
all or portion of which is to be redeemed at the owners last address appearing on the registration books of the
BondBank kept by the Trustee When all of the 2014 Series One Bonds are held under the DTC book-entry
system such notice will be sentto DTC and any noticetothebeneficial owners of the 2014 Series One Bonds
will be the responsibility of DTC Participants Neitherthe BondBank nor the Trustee will provide redemption
noticestothebeneficial owners
Selection of 2014 Series One Bonds for Redemption
If fewer than all ofsub-series of the 2014 Series One Bonds areto be redeemed prior to maturity the
BondBank may selectthe maturity or maturities of such sub-series to be redeemed at the option ofthe Bond
Bank If at the time notice of redemption is given the 2014 Series One Bonds are in book-entry form then
DTC will selectthe 2014 Series One Bonds for redemption within maturity in accordance with theLetter of
Representations The 2005 General Bond Resolution provides that if less than all of the Bonds of any one
maturity of Seriesarecalled for redemption and the Bonds arenot in book-entry form the Bonds to be
redeemed areto be selected by lot by the Trustee or in any manner as the Trustee in its sole discretion may
deem appropriate and fair See Appendix DTC and Book-Entry System
The remainder of this page has intentionally been left blank
SECURITY FORTHE 2014 SERIES ONEBONDS
General
The 2014 Series One Bonds constitute generalobligations of the Bond Bank and the full faith and credit
of the BondBank are pledged tothe payment of the principal of and interest on the 2014 Series One Bonds The
2014 Series One Bonds do not constitute an indebtedness orother liability of the State of Alaska and the
2014 Series One Bondsdo not directly indirectly or contingently obligate theState of Alaska to levy any
form of taxation or make any appropriation for the payment of the 2014 Series One Bonds Neither the
faith and credit nor the taxing power of the State of Alaska is pledged for the payment of the 2014 Series
One Bonds TheBond Bank has no taxing power
As of January 2014 not taking into account the issuance of the 2014 Series One Bonds the BondBank
has outstanding $58580000 of generalobligation bonds issued under its 1976 General Bond Resolution
$768820000 of Bonds issued under its 2005 General Bond Resolution and $4435000 of general obligation
bonds issued under its 2010 Municipal Obligation Bond Resolution
As additional security for payment of principal of and interest on the 2014 Series One Bonds and other
Bonds issued under the 2005 General Bond Resolution the BondBank has established common Reserve Fund
See SECURITY FOR THE 2014 SERIES ONE BONDS 2005 General Bond Resolution Reserve Fund The
Act provides that in order to ensure the maintenance of the Reserve Fund Requirement the Chairof the Bond
Bank is annuallyrequired before each January 30 to make and deliver tothe Governor and to theState
Legislature certificate stating the amount if any required to restorethe Reserve Fund tothe amount of the
Reserve Fund Requirement Money received by the BondBank from theState pursuant to such certification will
totheextent such certification was occasioned by thefactthatthe amount in the Reserve Fund was less than the
Reserve Fund Requirement be deposited in the Reserve Fund The State Legislature is legally authorized butnot
legally obligated to appropriate such sums during the then currentState fiscal year This provision of the Act
does notcreate debt obligation on behalf of theStateor legally enforceable obligation of theState
Beginning in 2009 and continuing through the current fiscal year 2014 the BondBank has been
obligated to seek and has obtained standingappropriation withinthe Statesannual operating budget to
replenish the Reserve Fund if necessary No such replenishment from State appropriation has been necessary If
the BondBank must draw on the Reserve Fund because of default byGovernmental Unit an amount equal to
the amountdrawn from the Reserve Fund is appropriated from the States General Fund tothe Reserve Fund
There is no guarantee thatthe Bond Bank will be able to secure future standing appropriations withinthe States
operating budget for replenishment of the Reserve Fund
Pledge Effected by the 2005 General Bond Resolution
Pursuant to the 2005 General Bond Resolution all Municipal Bonds all Municipal Bonds Payments the
investments thereof and the proceeds of such investments and all funds and accounts established by the 2005
General Bond Resolution are pledged and assigned tothe Trustee equally and ratably to secure the payment of
the principal of redemption premium if any and interest on all Bonds subjectonly tothe provisions of the 2005
General Bond Resolution permitting the application thereof for the purposes andon the terms and conditions
specified in the 2005 General Bond Resolution
The Act and the 2005 General Bond Resolution provide among other things that any pledge made in
respect of the Bonds will be valid and binding from the time the pledge is made ii the Municipal Bonds the
Municipal Bonds Payments and all other money and securities so pledged and thereafter received by the Bond
Bai-ik immediately will be subject to the lien of such pledge without any further act and iii the lien of any such
pledge will be valid and binding against all parties having any claims of any kind in tort contract or otherwise
against the BondBank irrespective of whether the parties have notice
Municipal Bonds
Under the provisions of the Act and the 2005 General Bond Resolution the BondBank can purchase
Municipal Bonds from any Governmental Unit The 2005 General Bond Resolution defmes Municipal Bonds as
general obligation bonds revenue bonds notes orother evidences of debt issued by any Governmental Unit as
now orhereafterdefined in the Act which have heretofore been or will hereafter be acquired by the BondBank as
evidence of Loan tothe Governmental Unit pursuant to the Act
For each issue of Municipal Bonds thatthe BondBank purchases the BondBank will obtain bond
counsels opinion stating that such Municipal Bonds are valid debt obligations of such Governmental Unit as
required by the Act and Loan Agreement has been duly authorized and executed between the BondBank and
the Governmental Unit thatconstitutes valid and binding obligation of the Governmental Unit
Each Loan Agreement obligates Governmental Unit to make interest payments on its Municipal
Bond sufficient in amount and at such timesto provide the Bond Bank funds to meet interest payments on its
Loan Obligations as they become due and make principal payments on its Municipal Bond sufficient in
amount and at such timesto provide the BondBank funds to meet principal payments on its Loan Obligations as
they become due Pursuant tothe Loan Agreement the Governmental Unit may be required to pay fees and
charges tothe BondBank to meet the Governmental Units allocable portion of certain expenses Each Loan
Agreement alsocontains restrictions on thesale or redemption of Municipal Bonds
2005 General Bond Resolution Reserve Fund
The 2005 General Bond Resolution establishedthe Reserve Fund to be held by the Trustee and
maintained at an amount equal to the Reserve Fund Requirement The Reserve Fund Requirement is equal tothe
least of the following 10%of the initial principal amount of each Series of Bonds then Outstanding ii Maximum
AnnualDebt Service with respect to all Bonds Outstanding iii 125%of Average AnnualDebt Service on all Bonds
Outstanding or iv such lower amount as may be required by law See DEFINITIONS Required Debt Service
Reserve The Reserve Fund has been funded with Bond proceeds and cash deposits from the BondBank The
Reserve Fund does notcontain any surety policies orother forms of liquidityfacility The Reserve Fund Requirement
may however be satisfied entirely or in part by letter of credit line of credit credit facility surety bond bond
insurance or any otherinstrument or arrangement obtained in connection withthe issuance of Series of BondsAs
of December 31 2013 the accreted valuation was approximately $43.0 million unaudited an amount sufficient to
satisfy the Reserve Fund Requirement As of that date approximately 61%of theassets in the Reserve Fund were
funded from cash deposits by the BondBank from the Custodian Fund
The 2005 General Bond Resolution requires the BondBank to annually submit totheState budget
request for an appropriation to replenish the reservetothe Reserve Fund Requirement in the event thatthere is
deficiency as result of default by borrower Since 2009 and continuing through fiscal year 2014 theState has
included in its operating budget standing appropriation to replenish the Reserve Fund if necessary While the
BondBank has been obligated to seek and has obtained such standingappropriation withinthe Statesannual
operating budget theState is not obligated legally or otherwise to includethe appropriation in its annual
operating budget This credit feature is in addition to the moral obligation feature discussed below
On orbefore December 31 of each year and subject tothe requirements of the 2005 General Bond
Resolution the Trustee will transfer from the Reserve Fund any amounts remaining in the Reserve Fund derived
from income or interest earned and profits realized by the Reserve Fund due to investments thereoftothe
Operating Fund but only to the extentthatthere remains after such transfer an amount in the Reserve Fund equal
to the Required Debt Service Reserve See SUIvIIvIARY OF THE 2005 GENERAL BOND RESOLUTION
Funds and Accounts Reserve Fund
Moral Obligation TheBondBank is required to deliver statement tothe Governor and theState
Legislature annually before January 30 stating the amount if any necessary torestorethe Reserve Fund tothe
Required Debt Service Reserve resulting from draw on the Reserve Fund at any time during the prior year The
State Legislature may but is under no legal obligation to appropriate money sufficient to restore the Reserve
Fund to the Required Debt Service Reserve TheBondBank has never reporteddeficiency in any of thereserve
funds held by the Bond Bank
Custodian Account Money not held by the Trustee in the Reserve Fund or in reserves for bonds issued
under other bond resolutions is maintained by the BondBank in an account hereinreferred to as the Custodian
Account the Custodian Account The Custodian Account contains direct and indirect State appropriations
prior year retained earnings not subject tothe statutory annual earnings transfer and current year investment
earnings As of June 30 2013 the Custodian Accountcash and cash equivalents and investments at fair value
balance audited was $23365797 As of December 31 2013 the Custodian Account market valuebalance
unaudited was $24226154
The Act requires that earnings on funds directly appropriated by theState to the BondBank be transferred
to theState in the following fiscal year However starting in fiscal year 2009 and continuing through fiscal year
2014 all prior fiscal year earnings due tothe States general fund by statute havebeen appropriated tothe Bond
Banks custodian account The State Legislature may but is under no legal obligation to appropriate statutory
earnings back to the Bond Bank The entire Custodian Account balance is available for appropriation at any
time by theState Legislature
State Payments
The Act provides that any department or agency of the State after notice from the BondBank that
Governmental Unit is in default on the payment of the principal of or interest on its Municipal Bonds then heldor
owned by the Bond Bank will withhold the payment of money held by it and payable to suchGovernmental Unit
and pay over such money tothe BondBank for the purpose of paying principal of and interest on the bonds of the
Bond Bank State payments to Governmental Unitsinclude payments through the SchoolDebtReimbursement
Program and Education Support Funding through the Department of Education and Early Development and
community jail funding through the Department of Corrections table appears in Appendix that presents the
amount of State payments to communities that have borrowed from the BondBank as well as the maximum
annual loan payments and associated estimated coverage provided by those State payments There is no
guarantee thatState payments will continue or remain at thecurrentlevels
The payment and amount of such State payments is uncertain and Legislative authorization for such
payments is subject to appropriation and amendment or repeal See APPENDIX STATE PAYMENTSTO
GOVERNMENTAL UNITS The BondBank has never implemented theState payment intercept remedy
Pledge of theState
Pursuant tothe Act the State has pledged and agreed with theholders of the Bonds that it will not limit or
restrict the rights vested in the BondBank by the Act to among other things purchase hold and dispose of
Municipal Bonds and fulfill the terms of an agreement including the 2005 General Bond Resolution made by the
BondBank with such holders or in any way impair the rights or remedies of such holders until the Bonds
including interest on the Bonds and interest on unpaid installments of interest and all costs and expenses in
connection with an action or proceeding by or on behalf of such holders are fully met paid and discharged
THE ALASKA MUNICIPAL BOND BANK
Organization
The powers of the BondBank are vested in theDirectors The membership of the BondBank consists of
five Directorsthe Commissioners of the Department of Revenueand the Department of Commerce Community
and Economic Development of theState and three Directors appointed by the Governor The three appointees serve
four-year staggered terms and must be qualified voting residents of theState The Commissioners of the
Department of Revenue and the Department of Commerce Community and Economic Development may appoint
delegates tothe BondBank Board of Directorsto serve intheir absence
The Directors elect one of their members as chair and one of their members as vice-chair and alsoelect
secretary and treasurer who need not be Directors Action may be taken and motions and resolutions adoptedby the
BondBank at any meeting by the affirmative vote of atleast threeDirectors The Directors appoint an Executive
Directorto manage the business of the BondBank
Board ofDirectors
The Bond Banks Board of Directorsincludes members listed below
Mark Pfeffer Chair Term expiresJuly 15 2017 Mr Pfeffer was originally appointed tothe Board on
October 10 2001 Mr Pfeffer is registered architect whoowns an architectural practice in Anchorage Alaska He
is active in the development design and management of commercial real estate projects many of which include
public/privatepartnerships He is President of Pfeffer Development LLCMr Pfeffer received Bachelor of
Architecture Degree from the University of Nebraska in 1980
Luke Welles Vice-Chair Term expiresJuly 15 2015 Mr Welles was originally appointed tothe Board
on May 21 2008 Mr Welles became Vice President of Finance of theArctic Slope Native Association Ltd in
March2011 Prior to his current job he served as Chief Financial Officer of LifeMed Alaska LLC which
provides medivac services in Alaska Previously Mr Welles was the Chief Financial Officer for the Yukon
Kuskokwim Healthcare Corporation which administershealthcare in 52 rural communities including hospital
located in Bethel Alaska He has management experience in healthcare civil construction and commercial real
estate Over the past 15 years he hasserved on several economic development commissions in the State as city
council member in Homer Alaska and on multiple boards Mr Welles received Bachelor of Arts Degree in
Foreign Service and International Business from Baylor University in 1989
Gregory Gursey Member Term expiresJuly 15 2014 Mr Gursey was appointed tothe Board on June
22 2009 Mr Gursey became President of Benefit Brokers Inc in 2001 after working as Vice President of
Investments for Wedbush Morgan Securities for 11 years Mr Gursey also servesas FINRA industry arbitrator
in both civil and industry arbitration cases After graduating from the University of Alaska Anchorage with
degree in finance Mr Gursey became involved with the University of AlaskaFoundation He served as the first
Chairman of the UAA College of Fellows served asTrustee tothe UA Foundation and was member of the
Investment Committee tothe UA Foundation Mr Gursey hasserved on both theState of Alaska Dental
Examiners Board and the U.S Treasury DepartmentsTaxpayer Advocacy Panel He served on the Investment
Commission for the Municipality of Anchorage and severalother local boards
Ted Leonard Member Mr Leonard is the first delegate for Susan Bell Commissioner of the
Department of Commerce Community and Economic Development Mr Leonard was appointed Executive
Director of the Alaska Industrial Development and Export Authority AIDEA on May 19 2008 He was most
recently the Deputy Commissioner of the Department of Commerce Community and Economic Development In
the Deputy Commissioner capacity he oversaw the regulatory divisions of the department which includedthe
Division of Insurance the Divisionof Banking and Securities and theDivision of Corporations Business and
Professional Licensing He servedas the Commissioners designee on the boards of the Alaska Housing Finance
Corporation Alaska AerospaceDevelopment Corporation and Alaska Community Service Commission Mr
Leonard has worked for the last 19 years in both the government and private sector in the areas of finance and
accounting in Alaska including the Mat-Su and LowerKuskokwim School Districts as well as the City of
Dillingham He also served as the Director of Finance and Administrative Services for the City of Wasilla He
received his undergraduate degree from the College of Idaho and Masters of Management fromWillamette
University He is Certified Management Accountant and SeniorProfessional in Human Resources
Pamela Leary Member Ms Leary is the first delegate for Angela Rodell Commissioner of the
Department of Revenue She has been chosen to lead the Treasury Division as the state treasurer Shehad served
as state comptroller since 2007 Ms Leary began hercareer as an auditor with Price Waterhouse and became
partner in the firm PricewaterhouseCoopers After moving to Alaska Leary owned and operated business before
reentering the accounting profession with the Alaska Permanent Fund Corporation She holds bachelors degree
in economics from the Wharton School University of Pennsylvania and is certified public accountant in the
State of Alaska
Management
Deven Mitchell who also serves as State Debt Manager and Investment Officer in the Department of
Revenue Division of Treasury was appointed Executive Director of the BondBank in 1999 Mr Mitchell has
worked for the State Department of Revenue since 1992 He previously heldseveral positions in Alaska financial
institutions Mr Mitchellholds Bachelor of Science Degree in Business Administration fromNorthernArizona
University
Rather than employ staff the BondBank contracts in the private sector for wide range of professional
services The Executive Directorcoordinatesthe activities of these professionals which include bond counsel
financial advisor accountants auditors fund trustees bond trustees and investment managers
Future Financing Plans
TheBondBank anticipatesissuing additional bonds pursuant to its 2005 General Bond Resolutionorother
bond resolutionswithinthenext 12 months The principal amount of such additional bonds depends on the number
and size of the applications for BondBank fmancing from Governmental Units
The total amount of BondBank bonds and notes outstanding at any one time may not exceed $1 billion As
of Januaiy 2014 the total principal amount of the Bond Banks bonds and notes outstanding not including the
2014 Series One Bonds was $846801495
Debt Payment Record
TheBondBank has always made principal and interest payments on its generalobligation and revenue
bonds when due No deficiencies have arisen in any BondBank debt service fund orreserve fund nor has there
beenneed to exercisethe provision requiring thatState payments to Governmental Units be paid to the Bond
Bank
BONDS OUTSTANDING
Under the provisions of the Act the BondBank can issue additional series of Bonds under its 2005 General
Bond Resolution or issue bondsunder otherresolutions The BondBank currently has bonds outstanding under the
following resolutions
1976 General Bond Resolution
As of January 2014 the BondBank has issued $721985000 of general obligation bondsunder the 1976
General Bond Resolution $58580000 of which remain outstanding
2005 General Bond Resolution
The 2014 Series One Bonds are the twenty-eighth issue of Bonds under the 2005 General Bond Resolution
As of January 2014 the BondBank has issued $864305000 of general obligation bonds under the 2005 General
Bond Resolution not including the principal amount of the 2014 Series One Bonds $768820000 of which
remains outstanding
2010 Municipal Obligation Bond Resolution
On November 2010 the Bond Banks Board of Directors approved the 2010 Municipal Obligation Bond
Resolution 2010 Resolution Bonds issued pursuant tothe terms of the 2010 Resolution are generalobligation
bonds equally and ratably secured by pledge and assignment of all obligations acquired by the Bond Bank under
the 2010 Resolution As of January 2014 the BondBank has issued $4765000 of generalobligation bonds
under the 2010 Resolution $4435000 of which remains outstanding
RevenueBond Resolutions
The Authority with respect tothe issuance of revenue bonds the BondBank is referredto as the
Authority has issued revenue bonds under stand-alone revenue bond resolutions The proceeds of these revenue
bonds are applied toward the purchase of revenuebonds issued by municipal borrowers list of the outstanding
revenue bond resolutions amount of bonds outstanding and obligated municipal borrowers appears in thetable
titled TOTAL BOND BANK BONDS ISSUED AND OUTSTANDiNG ASOF JANUARY 2014 herein
Coastal EnergyImpactProgram
TheBond Bank issued bonds to provide loansto local governments that qualified for aid under theCoastal
Energy Impact Program CEIP CEIP is federal program designed to provide fmancialassistance to coastal
states and municipalities facing impacts from offshore oil development The United States Department of
Commerce National Oceanic and Atmospheric Administration NOAA and the BondBank entered into an
agreementwhereby the Bond Bank was the direct lending agency for the CEIP in the State with $50 million
availableto make loans to local governments orto establish reserves for loans to local governments
The Bond Bank issued CEIP bonds the proceeds of which were used to purchase bonds issued by the Kenai
Peninsula Borough the City of Seward the City of Nome and the City of St Paul The total amount of CEIP bonds
outstanding as of December 31 2013 under theCoastal Energy Impact Loan Program was $10581495 consisting
of loanstothe City of StPaul and the City of Nome
The CEIP loans areadministered directly by NOAA without involvement of the BondBank Bonds issued
for the CEIP arenot secured by pledge of any amounts held by or payable to the BondBank under the 2005
General Bond Resolution including the Reserve Fund nor are they secured directly or indirectly by any reserve
account created under the Act
10
Direct Loans
TheBondBank has purchased certain bond anticipation notes and defeased certain BondBank bonds with
money from the Custodian Account while retaining underlying communities bonds
As of January 2014 the BondBank holds $1728287 of City of Galena Utility RevenueBondsand
$187934 of City of Galena appropriationobligations in its fmancial portfolio
Loans by theState of Alaska
The BondBank has the statutoiyauthority to borrow funds from theState of Alaskas general fund at the
discretion of the Commissioner orthe Department of Revenue In November 2010and August 2011 the BondBank
borrowed $6.0 million and $7.0 million respectively from theState for authorized uses of the BondBank The State
of Alaskas fiscal year 2013 capital budget converted the 2010 and2011 loansto grants through $13.2 million
appropriation to the BondBank that was effective April 15 2012 This amount reflectedthe original loan amounts
plus interest accrued on those loans The Bond Bank does not have any loans from theState at this time
The remainder of this page is intentionally left blank
11
TOTAL BOND BANK BONDS ISSUED AND OUTSTANDING AS OFJANUARY 2014
Original Amount
Amount Issued Outstanding
Total 2005 General Bond Resolution G.OBonds $925510000$830025000
II Total 1976 General Bond Resolution G.O Bonds 721985000 58580000
III Total 2010 Resolution G.O Bonds 4765000 4435000
IV RevenueBonds Municipal Borrower
2004B Resolution Municipality of Anchorage
Coastal Energy Impact Loan Program
REMAINING DEBT CAPACITY AFTER THE ISSUANCE OF THE 2014 SERIES ONE BONDS
Debt Limit Section44.85.180 of the Act 1000000000
Less Outstanding Bonds
General Obligation Bonds
1976 General Bond Resolution
2010 Resolution
2005 General Bond Resolution
RevenueBonds
Coastal Energy Loan Program ________
Total Outstanding Debt
Remaining Debt Capacity __________
Includes the 2014 Series One Bonds
The limit applies to all outstanding bonds or notes issued by the Bond Bank
5365000
35456046
4385000
10581495
$58580000
4435000
830025000 $893040000
4385000
10581495
$908006495
S91993.505
12
DEBT SERVICE REQUIREMENTS OF
OUTSTANDIING 2005 GENERAL BOND RESOLUTION
GENERAL OBLIGATION BONDS
ANDTHE 2014 SERIES ONE BONDS
Fiscal Years Ending June 30
2014A Series 2014A Series 2014B Series 2014B Series
Fiscal Existing One One One One Total
Year Debt Service Principal Interest Principal Interest Debt Service
2014 $63478784 $63478784
2015 76228819 875000$2212191$1800000$25212181368131
2016 76999074 930000 2129100 184000023780682135980
2017 75023273 960000 2101200 185000022603080160503
2018 766588881000000 2062800 1870000 20642081798108
2019 726859191045000 2012800190500017481777823536
2020 68688253 10700001991900194500013481273829965
2021 65563805 1085000197050019950008385370698158
2022 6245255124000001916250 7950002559967589400
2023 6435216533400001796250 69488415
2024 5775361435050001629250 62887864
2025 480368733680000 1454000 53170873
2026 43409984 38000001339000 48548984
2027 4165930339850001149000 46793303
2028 424809374190000 949750 47620687
2029 377210954395000 740250 42856345
2030 32307321 1660000 520500 34487821
2031 313293121740000 437500 33506812
2032 264241481825000 359200 28608348
2033 259202031910000 267950 28098153
2034 18030297 2005000 172450 20207747
2035 13032960 335000 72200 13440160
2036 13044481 345000 58800 13448281
2037 8697702 360000 45000 9102702
2038 8417360 375000 30600 8822960
2039 6802853 390000 15600 7208453
2040 5427750 5427750
2041 5428250 5428250
2042 5429750 5429750
2043 5431500 5431500
2044 5433250 5433250
2045 5429500 5429500
2046 5429750 5429750
2047 5428500 5428500
2048 2155000 2155000
2049 2152500 2152500
$1204945724$47205000$27434041$14000000 1341458$1294926223
Totals may not foot due to rounding The 2014 Series One Bonds are the twenty-eighth Series of Bonds
issued under the 2005 General Bond Resolution
13
SUMMARY OF THE 2005 GENERAL BOND RESOLUTION
The following is summary of certain provisions of the 2005 General Bond ResolutionFor complete
statement of the provisions or contents of the 2005 General Bond Resolution see Appendix Words and terms
used in this summary are defined in the above-mentioneddocument and will have the same meanings herein as
contained in that document except as defined in this Official Statement
2005 General Bond Resolution Constitutes Contract
The 2005 General Bond Resolution constitutes contract between the Bond Bank the Trustee and the
owners of the Bonds and the pledges made in the 2005 General Bond Resolution and the covenants and
agreements therein set forth to be performed by the BondBank will be for the equal and proportionatebenefit
protection and security of the holders of any and all of the Bonds all of which will be of equal rank without
preference priority or distinction
Obligation of Bonds
The Bonds are general obligations of the Bond Bank and the full faith and credit of the BondBank are
pledged for the payment of the principal or redemption price of interest onand sinking fund installments for the
Bonds solely from the sources provided in the 2005 General Bond Resolution and any Series Resolution The
State will not be liable for payment on the Bonds and the Bonds will not be debt or liability orconstitute
pledge or loan of the faith and credit of theState
Pledge
The Municipal Bonds and the Municipal Bonds Payments the investments thereof and the proceeds of
such investments if any and all funds and accounts established by the 2005 General Bond Resolution to be held
by the Trustee are pledged and assigned for the payment of the principal of redemption price of interest on and
sinking fund installments for the Bonds in accordance with the terms and provisions of the 2005 General Bond
Resolution subjectonly to the provisions of the 2005 General Bond Resolution permitting the application thereof
for the purposes and on the terms and conditions set forth in the 2005 General Bond Resolution The Municipal
Bonds and the Municipal Bonds Payments and all other money and securities pledged pursuant tothe 2005
General Bond Resolution immediately will be subject tothe lien of such pledge without any further act and such
lien will be valid and binding as against all parties having claims of any kind in tort contractorotherwise against
the Bond Bank regardless of whethersuch parties have notice thereof
Power toIssue Bonds and Make Pledges
TheBond Bank covenants that it is duly authorized by law toissue the Bonds and to pledge the Municipal
Bonds Payments the Municipal Bonds and other money securities funds and propertypurported to be pledged
by the 2005 General Bond Resolution which will be free and clear of any pledge lien charge or encumbrance
thereon or with respect thereto prior to or of equal rank with the pledge created by the 2005 General Bond
Resolution except for the liens in favor of the Trustee and Paying Agent as provided in the 2005 General Bond
Resolution TheBondBank will at all times to the extent permitted by law defend preserve and protect the
pledge of the Municipal Bonds Payments the Municipal Bonds and other money securities funds and property
pledged under the 2005 General Bond Resolution and all the rights of the Bondholdersunder the 2005 General
Bond Resolution against all claims and demands of all persons whomsoever
General
TheBondBank will doand perform or cause to bedoneand performed all acts and things required to be
done or performed by or on behalf of the Bond Bank under law and the 2005 General Bond Resolution in
accordance with the terms thereof
14
TheBondBank pledges and agrees with the Holders of the Bonds that it will not cause theStateto limit
or alter the rights vested by the Act in the BondBank to fulfill the terms of anyagreements made with
Bondholders or in any way impair the rights and remedies of such Bondholders until the Bonds together with
the interest thereon with interest on any unpaid installments of interest and all costs and expenses in connection
with any action or proceeding by or on behalf of such Holders are fully met and discharged
Waiver of Laws
TheBondBank will not at any time insist upon or plead in any manner whatsoever or claim or take the
benefit or advantage of any stay orextension of law now or at any time hereafter in force which may affectthe
covenants and agreements contained in the 2005 General Bond Resolution or in any Series Resolution or in the
Bonds and all benefit or advantage of any such law or laws is hereby expressly waived by the Bond Bank
Loan Agreement Provisions
No loan will be made by the BondBank from proceeds of thesale of Bonds and no Bonds will be issued
for the purpose of providing funds with which to make loan unlessthe Loan Agreement underwhichsuch loan
is to be made will comply with butnot be limited to the following
The Governmental Unit which is party to such Loan Agreement must be
Governmental Unit as defined by the 2005 General Bond Resolution and the Loan Agreement
must be executed in accordance with existing laws
The Governmental Unit prior to or simultaneously with the issuance of Bonds
will issue Municipal Bonds which are valid debt obligations of the Governmental Unit as
required by the Act
The Municipal Bonds Payment to be made by the Governmental Unit undersuch
Loan Agreement will be notless than the interest and principal payments the BondBank is
required to make on the Loan Obligations and will be scheduled by the BondBank in such
manner and at such times as to provide funds sufficient to pay principal and interest on the
Loan Obligations as the same become due
The Governmental Unit will be obligated to pay Fees and Charges tothe Bond
Bank at thetimes and in the amountswhich will enable the BondBank to comply with the
provisions of the 2005 General Bond Resolution
The Governmental Unit will agree that in the event the Municipal Bonds
Payment is not paid by it tothe BondBank on or beforethetimes specified in the Loan
Agreement any money payable tothe Governmental Unit by any department or agency of the
State will be withheldfrom suchGovernmental Unit and paid over directly tothe Trustee
acting under the 2005 General Bond Resolution
TheBondBank will not sell and the Governmental Unit will not redeem prior to
maturity any of the Municipal Bonds with respect to which the Loan is made in an amount
greater than the Outstanding Bonds issued with respect to such Loan which are then
redeemable and any such saleor redemption of such Municipal Bond will be in an amount
not less than the aggregate of the principal amount of the Loan Obligation to be redeemed
ii the interest to accrue on the Loan Obligation so to be redeemed tothenext redemption
date iii the applicable redemption premium and iv thecosts and expenses of the Bond
Bank in effecting the redemption of the Loan Obligation
15
The Government Unit must give the BondBank at least fifty 50 days notice of
its intent to redeem its Municipal Bonds
Modificationof Loan Agreement Terms
TheBondBank will not consent tothemodification of or modify therates of interest of or the amount
or timeof payment of any installment of principal of or interest on any Municipal Bonds evidencing Loan or
the amount or time of payment of any Fees and Charges payable with respect to such Loan or the security for or
any terms or provisions of such Loan or the Municipal Bonds evidencing the same in manner which adversely
affectsordiminishesthe rights of the Bondholders
Enforcement of Municipal Bonds
TheBondBank will diligently enforce and take all reasonable steps actions and proceedings necessary
for the enforcement of all terms covenants and conditions of all Loan Agreements and the Municipal Bonds
including the prompt collection and the giving of noticetothe Commissioner of Revenue Commissioner of
Commerce Community and Economic Development and the Commissioner ofAdministration and any other
department or agency of theState which is custodian of any money payable tothe Governmental Unitof any
failure or default of the Governmental Unit in the payment of its Municipal Bonds Payments and will promptly
transfer any such money upon receipt thereof tothe Trustee and the Trustee will deposit any such money in the
Principal Account and Interest Account in place of said unpaidMunicipal Bonds Payments or in the event
deficiencies in said Accounts created by such default will havebeen made up by the Reserve Fund into the
Reserve Fund totheextent of such deficiencies
Fundsand Accounts
The 2005 General Bond Resolution established Debt Service Fund consisting of an Interest Account
Principal Account and Redemption Account Reserve Fund Rebate Fund which consists of separate sub-
account for each Series of Bonds and an Operating Fund The Debt Service Fund the Rebate Fund and the
Reserve Fund are held by the Trustee The Operating Fund is held by the Bond Bank
Debt Service Fund The Trustee will deposit Municipal Bonds Interest Payments and any other money
available for the payment of interest in the Interest Account upon receipt thereof The Trustee will on orbefore
each interest payment date pay out of the Interest Account the amounts required for the payment of the interest
becoming due on each series of Bondson such interest payment date
The Trustee will deposit Municipal Bonds Principal Payments and any other money available for the
payment of principal in the Principal Account upon receipt thereof The Trustee will on orbefore each principal
payment date or Sinking Fund Installment date pay out of the Principal Account the amounts required for the
payment of the principal or Sinking Fund Installment due on each series of Bonds on such date
The Trustee establishes in the Redemption Account separate sub-account for each Series of Bonds Any
money deposited into the Redemption Account from any source other than pursuant to Section 607 or Section 916
of the 2005 General Bond Resolution will be applied to the purchase or redemption of Bonds Any money
deposited into the Redemption Account from the Reserve Fund because of reduction in the Required Debt
Service Reserve will be applied to the purchase or redemption of Reserve Fund Obligations
Reserve Fund Monthly the Trustee will set aside from amounts in the Reserve Fund derived from
investment earnings and profits realized by the Reserve Fund due to investments thereof an amount which when
added to the amounts theretofore set aside for such purpose and not paid into the Interest Account will on such
date be equal to the unpaid interest on the Reserve Fund Obligations accrued and to accrue tothe last day of such
month
16
On orbefore each principal payment date and Sinking Fund Installment payment date of Reserve Fund
Obligations the Trustee will withdrawfrom amounts in the Reserve Fund and deposit in the Principal Account an
amount which when added tothe amount then on deposit in the Principal Account and derived from sources other
than Municipal Bonds Payments will be equal tothe Principal Installment of the Reserve Fund Obligations
falling due on such date
On orbefore December 31 of each year after satisfying the deposit requirements set forth above the
Trustee will withdrawfrom the Reserve Fund any amount remaining thereinderived frominvestment earnings or
profits due to investments thereof and pay over said amount tothe BondBank for deposit in the Operating Fund
but only totheextentthatthere remains after such withdrawal an amount in the Reserve Fund at least equal to the
Reserve Fund Requirement
TheBondBank will pay into the Reserve Fund money made available by theState and paid by the
State for the purpose of the Alaska Municipal BondBank Reserve Fund created by the Act in the amount
provided by Series Resolution all money paid tothe BondBank pursuant to the Act -for the purpose of
restoring the Reserve Fund to the amount of the Reserve Fund Requirement such portion of the proceeds of
sale of Bonds if any as will be provided by any Series Resolution Credit Enhancement and any other
money which may be made availabletothe BondBank for the purposes of the Reserve Fund from any other
source or sources The Reserve Fund Requirement may be satisfied entirely or in part by letter of credit line
of credit credit facility surety bond or any otherinstrumentor arrangement obtained in connection with the
issuance of Series of Bonds provided however any credit enhancement satisfying all or any part of the Reserve
Fund Requirement after the initial issuance of BOnds or issued in substitution of any prior credit enhancement
previously issued will not by itself cause withdrawal or downward revision of the ratings maintained by any
Rating Agency with respect tothe Bonds
Inthe event there will be deficiency in the Interest Account or in the Principal Account the Trustee will
make up such deficiencies from the Reserve Fund
Administration of Reserve Fund Money and securities held in the Reserve Fund will not be withdrawn
therefrom at any time in suchamount as wouldreduce the amount in such Fund to an amount less than the
Reserve Fund Requirement except for the payment when due of debt service on Reserve Fund Obligations and to
cure deficiency in the Principal Account or the Interest Account
Rebate Fund There will be deposited in the Rebate Fund the amount of the Rebate Requirement for each
Series of Bonds and the Trustee will pay over tothe United States Governmentsuch amounts as determined by
the BondBank and as set forth in the 2005 General Bond Resolution All amounts held in the Rebate Fund
including incomeearned frominvestment of the Rebate Fund shall be held by the Trustee free and clear of the
lien of the 2005 General Bond Resolution
Operating Fund There will be deposited in the Operating Fund all Fees and Charges to the extentnot
otherwise encumbered or pledged and any other money which may be made available to the BondBank therefor
from any other source or sources Money at any time held for the credit of the Operating Fund will be used for
and applied solely tothe following purposes to pay theAdministrative Expenses of the Bond Bank to pay
thefees and expenses of the Trustee and any Paying Agent to payfmancing costsincurred with respect to
Series of Bonds and to payanyexpenses incurred in carrying out any other purpose then authorized by the
Act
All amounts in the Operating Fund will be free and clear of any lien or pledge created by the 2005
General Bond Resolution
17
Security for Deposits
All money held by the Trustee will be continuously and fully secured for thebenefit of the BondBank
and the Bondholders in such maimer as may then be required or permitted by applicable Stateorfederal laws and
regulations regarding the security for or granting preference in the case of the deposit of trust funds It will not
be necessary for the Trustee or any paying agent to givesecurity for the deposit of any money with them held in
trust for the payment of the principal or Redemption Price of or interest on any Bonds or for the Trustee to give
security for any money which will be represented by obligations purchased under the provisions of the 2005
General Bond Resolution as an investment of such money
Payment of Bonds
TheBondBank will duly and punctually pay or cause to be paid the principal or Redemption Price if
any of every Bond and the interest thereon at the dates and places and in the manner provided in the Bonds
according to thetrue intent and meaning thereof and will duly and punctually satisf all Sinking Fund
Installments if any becoming payable with respect to any Series of Bonds
Fees and Charges
TheBondBank may charge suchFees and Charges to each Governmental Unit to which Loan is made
and will revise suchFees and Charges if necessary so that such Fees and Charges actually collected from each
such Governmental Unit will at all times produce money which together with such Governmental Units
Allocable Proportion of other money available under the provisions of the 2005 General Bond Resolution and
other money available therefor will be atleast sufficient to pay as the samebecome due the Governmental
Units Allocable Proportion of theAdministrative Expenses of the BondBank and of thefees and expenses of the
Trustee and any Paying Agent
Issuance of Additional Obligations
TheBond Bank may issue additional Bonds and refunding Bonds pursuant tothe terms of the 2005
General Bond Resolution however no additionalseries of Bonds will be issued unless
the aggregate principal amount of Bondsand Notes Outstanding at the timeof
issuance and delivery of such additional Bonds including the principal amount of such
additional Bonds will not exceed any limit thereon imposedby State law
there is at the timeof the issuance of such additional Bonds no deficiency in the
amounts required by the 2005 General Bond Resolution or any Series Resolution to be paid
into the Debt Service Fund and into the Reserve Fund
the amount of the Reserve Fund upon the issuance and delivery of such
additional Bonds will not be less than the Required Debt Service Reserve and
the maturities of or Sinking Fund Installments for theadditional Bonds
representing Loan Obligations unless such additional Bonds are being issued to refund
Outstanding Bonds will be equal tothe scheduled Municipal Bonds Principal Payments to be
made in respect of the Loans with respect to whichsuch additional Bonds areto be issued
TheBondBank expressly reservesthe right to adopt other general bond resolutions and reserves the right
to issue notes and any other obligations so long as the same arenot charge or lien on the Municipal Bonds the
Municipal Bonds Payments and the Fees and Charges or payable from the Debt Service Fund or the Reserve
Fund
18
Defeasance
If the BondBank will pay or cause to be paid totheholders of all Bonds then Outstanding the principal
and interest and/or Redemption Price if any to become due thereon at thetimes and in the manner stipulated
therein and in the 2005 General Bond Resolution and also will pay or cause to be paid all other sums payable
under the 2005 General Bond Resolution including any amounts payable tothe United States then at the option
of the Bond Bank as expressed in an instrument in writing signed by an Authorized Officer and deliveredtothe
Trustee the covenants agreements and other obligations of the BondBank tothe Bondholders will be discharged
and satisfied All Outstanding Bonds of any Series will prior tothe maturity or redemption date thereof be
deemed to havebeen paid if in case any of said Bonds are to be redeemed on any date prior to their maturity
the BondBank will have given tothe Trustee in form satisfactory to it irrevocable instructions to publish notice of
redemption on said date of such Bonds and there will have been deposited with the Trustee either monies in
an amountwhich will be sufficient or Investment Securities which arenot subject to redemption prior tothe dates
on whichamounts will beneeded to make payments on the Bonds and described in clause of the definition
thereof the principal of and the interest on which when due will provide money which together with the money
if any deposited with the Trustee or Paying Agent at the same time will be sufficient to pay when due the
principal or Redemption Price if applicable and interest dueand to become dueon said Bonds on and prior tothe
redemption date or maturity date thereof as may be the case
If the BondBank defeases any 2014B Series One Bond such 2014B Series OneBond may be deemed to
be retired and reissued for federal income tax purposes as result of the defeasance In such event the Owner
of 201 4B Series OneBond would recognize gain or loss at the time of the defeasance See TAX
MATTERS 2014B Series One Bonds
Supplements andAmendments
The BondBank may adopt Series Resolution or Supplemental Resolutionwithout the consent of the
Bondholders or the Trustee for various purposes notinconsistent with the 2005 General Bond Resolution to
provide for the issuance of additionalSeries of Bonds to impose additional limitations or restrictions on the
issuance of Bonds to impose other restrictions on the Bond Bank to surrender any right power or privilege or to
confirm any pledge of or lien upon the Municipal Bonds orthe Municipal Bonds Payments or any other funds
TheBondBank may also supplement the 2005 General Bond Resolution to cure any ambiguity or defect in the
2005 General Bond Resolution provided such modifications arenot contrary to or inconsistent with the 2005
General Bond Resolution as theretofore in effect
Any modificationor amendment of the 2005 General Bond Resolution and of the rights and obligations
of the BondBank and of the Bondholders may be made with the written consent of theholders of atleast
two-thirds in principal amount of the Bonds Outstanding at the time such consent is given or in case less than
all of theseveralSeries of Bonds then Outstanding are affected by the modificationor amendment of theholders
of atleast two-thirds in principal amount of the Bonds of each Series so affected and Outstanding at the time such
consent is givenprovided however that such modificationor amendment will not permit change in the
terms of redemption or maturity of the principal of any outstanding Bond or of any installment of interest thereon
or Sinking Fund Installment therefor ii reduction in the principal amount orthe Redemption Pricethereof or
in therate of interest thereon iii reduction of the percentage of the Holders of which is required toeffect any
such modification or amendment or iv thecreation of any lien prior to or on parity with the lien created by the
2005 General Bond Resolution except in the manner provided by the 2005 General Bond Resolution or deprive
the Bondholders of the lien created by the 2005 General Bond Resolution without the consent of theholders of
all the Bonds Outstanding or of theSeries of Bonds affected by such modificationor amendment To theextent
thatthe full payment of the interest and principal of Bonds of Series is secured by Credit Enhancement the
Credit Enhancement Agency will be considered to be the Bondholder of all the Bonds of theSeries for purposes
of exercising any rights with respect to supplements and amendments tothe 2005 General Bond Resolution if the
Credit Enhancement so provides
19
Events of Default and Remedies
Each of the following events is an Event of Default under the 2005 General Bond Resolution
the Bond Bank defaults in the payment of the principal or Redemption Price of
Sinking Fund Installment for or interest on any Bondwhen and as the same will become due
whether at maturity or upon call for redemption or otherwise
the BondBank fails or refusesto comply with the provisions of the Act regarding
the certification of deficiencies in the 2005 General Bond Resolution Reserve Fund or such
amounts as will be certified tothe Governor and to the Legislature pursuant tothe Act will not
be appropriated and paid to the BondBank prior tothe termination of the then currentState
fiscal year or
the BondBank fails or refusesto comply with the provisions of the Act other
thanas provided in above ordefaults in the performance or observance of any other of the
covenants agreements orconditions on its part in the 2005 General Bond Resolution any
Series Resolution any SupplementalResolution or in the Bonds contained and such failure
refusal ordefault will continue for period of 45 days after written notice thereof by the
Trustee or the Holders of not less than 25 percent in principal amount of the Outstanding
Bonds
provided however that an event of default will not be deemed to exist under the provisions of clause
above upon the failure of the BondBank to make and collect Fees and Charges required to be made and
collected by the 2005 General Bond Resolution or upon the failure of the BondBank to enforce any
obligation undertaken by Governmental Unit pursuant to Loan Agreement including the making of the
stipulated Municipal Bonds Payments so long as the BondBank may be otherwisedirected by law and so
long as the Bond Bank will be provided with money from theState or otherwise other thanwithdrawals
from or reimbursements of the Reserve Fund sufficient in amount to pay the principal of and interest on
all Bonds as the same will become due during the period for which the BondBank will be directed by law
toabstain from making and collecting suchFees and Charges and from enforcing the obligations of
Governmental Unit under the applicable Loan Agreement
Upon the happening and continuance of any event of default specified in paragraph above the Trustee
will proceed or upon the happening and continuance of any event of default specified in paragraphs and
above the Trustee may proceed and upon the written request of the holders of not less than 25 percent in
principal amount of the Outstanding Bonds will proceed in its own name to protect and enforce its rights and the
rights of the Bondholders by such of the following remedies as the Trustee being advised by counsel will deem
most effectualto protect and enforce such rights
by mandamus orother suit action or proceeding at law or in equity enforce all
rights of the Bondholders including the right to require the BondBank to make and collect
Fees and Charges and Municipal Bonds Payments adequate to carry outthe covenants and
agreements as to and pledge of suchFees and Charges and Municipal Bonds Payments and
other properties and to require the BondBank to carry out any other covenant or agreement
with Bondholders and to perform its duties under the Act
by bringing suit upon the Bonds
by actionor suit in equity require the BondBank to account as if it were the
trustee of an express trust for theholders of the Bonds
by action or suit in equity enjoin any acts or things which may be unlawful or in
violation of the rights of theholders of the Bonds
20
Upon the occurrence of an event of default in the payment of principal of and interest on Bonds then
Outstanding the Trustee may and upon the written request of theholders of not less than majority in aggregate
principal amount of the Bonds at the time Outstanding will declarethe principal of all the Bonds then
Outstanding and the interest accrued thereon to bedueand payable immediately and upon any such declaration
the same will be immediately dueand payable This provision however is subject totheconditionthat if before
anyjudgment or decree for the payment of the money due will have been obtained or entered the BondBank will
deposit with the Trustee sum sufficient to pay all principal on the Bonds matured prior to such declaration and
all matured installments of interest upon all the Bonds with interest on suchoverdue installments of principal at
therate borne by the respective Bonds and the reasonable expenses of the Trustee and any and all other defaults
known tothe Trustee will havebeen made good or cured tothe satisfaction of the Trustee or provision deemed by
the Trustee to be adequate will havebeen made therefor then the holders of atleast majority in aggregate
principal amount of the Bonds then outstanding may on behalf of the holders of all of the Bonds rescind and
annul such declaration and its consequences and waivesuch default
Bondholders Direction of Proceedings The holders of majority in principal amount of the Bonds then
Outstanding will have the right to direct the method of conducting all remedial proceedings to be taken by the
Trusteeprovided that such direction will not be otherwise than in accordance with law orthe 2005 General Bond
Resolution and thatthe Trustee will have the right todeclinetofollow any such direction which in the opinion of
the Trustee would be unjustlyprejudicial to Bondholders not parties to such direction
Limitation on Rights of Bondholders No holder of any Bond will have any right to institute any suit
action mandamus or other proceeding in equity or at law under the 2005 General Bond Resolution or for the
protection or enforcement of any right under the 2005 General Bond Resolution or any right under law unless
such holder will have given tothe Trustee written notice of the event of default or breach of duty on account of
whichsuch suit actionor proceeding is to be taken and unless theholders of not less than 25 percent in principal
amount of the Bonds then Outstanding will have made written request of the Trustee and will have affordedthe
Trusteereasonable opportunity either to proceed toexercisethe powers granted under law or to institute such
action suit or proceeding in its name and unless also there will havebeen offered tothe Trusteereasonable
security and indemnity against the costs expenses and liabilities to be incurred thereby and the Trustee will have
refusedor neglected to comply with such request within reasonable time No holder of the Bonds will have any
right to affect disturb or prejudice the security of the 2005 General Bond Resolution orto enforce any right with
respect to the Bonds orthe 2005 General Bond Resolution except in the manner provided in the 2005 General
Bond Resolution and all proceedings at law or in equity will be instituted held and maintained in the manner
herein provided and for thebenefit of all Bondholders
Excess Earnings
TheBondBank covenants and agrees tocalculate Rebatable Arbitrage and to pay Rebatable Arbitrage to
the United States of America in the manner necessary to comply with the then applicable federaltax law Within
30 days after the end of every fifth Bond Year and within 60 days of the date when all of each Series of Bonds
have been retired or at such other time or times as may then be required by the Code and the applicable Income
Tax Regulations the Bond Bank will determine the Rebatable Arbitrage with respect to each Series of Bonds
and pay rebate amounts due the United States of America with respectthereto as provided in Section 148f of
the Code
Modifications to the 2005 General Bond Resolution
The 2005 General Bond Resolution authorizesmodifications of any provision set forth in the 2005
General Bond Resolution by the terms of SupplementalResolution with such modifications becoming effective
after all Bonds of each Series Outstanding as of the date of such Supplemental Resolution authorizing such
modification cease to be Outstanding first supplemental resolution the First Supplemental Resolution was
approvedby the Board of Directors of the BondBank at meeting held on February 19 2013
21
The First Supplemental Resolution authorizesthe following modificationstothe 2005 General Bond
Resolution toauthorizethe Trustee toreleasetothe BondBank amounts held in the Reserve Fund which
exceed the Required Debt Service Reservewhenever there is reduction in the Required Debt Service Reserve
ii to authorizethe Trustee torelease to the Bond Bank earnings and profits realized from investments in the
Reserve Fund on orbefore June 30 of each year so long as the balance therein equals the Required Debt Service
Reserve iii to allow for certain amendments and modifications to the 2005 General Bond Resolution to be
effective upon securing the consent of Holders of atleast two-thirds in principal amount of Bonds then
Outstanding and iv toestablishthat consent of Holders of Bonds when required under the terms of the 2005
General Bond Resolution specifically includesthe consent of an underwriter or purchaser of Series of Bonds at
thetime such Bonds are issued
The modifications to the 2005 General Bond Resolution set forth in the First Supplemental Resolution
shall become effective after all Bonds issued prior to the 2013 Series One Bonds cease to be Outstanding and
complianceby the Bank with certain requirements set forth in the 2005 General Bond Resolution at which time
these modifications will apply to the 2014 Series One Bondsand govern the rights and obligations of the
Holders thereof
LITIGATION
Upon the deliveiy of the 2014 Series One Bonds the BondBank will furnish certificateto theeffect that
among other things there is no litigation pending in any courtto restrain or enjoin the issuance or deliveiy of the
2014 Series One Bonds or in any way contesting the validity or enforceability of the 2014 Series One Bonds the
2005 General Bond Resolution or any Bonds or money pledged under the 2005 General Bond Resolution
CERTAIN LEGAL MATTERS
Legal mattersincidenttothe authorization issuance and sale by the BondBank of the 2014 Series One
Bonds are subject to the approving legal opinion of Wohllforth Brecht Cartledge Brooking of Anchorage Alaska
Bond Counsel to the Bond Bank The proposed form of the opinion of Bond Counsel is includedherein as
Appendix
Certain legal matters will be passed upon for the City and Borough of Juneau by its bond counselKLGatesLLPofSeattleWashingtoniitheKenaiPeninsulaBoroughbyitsbondcounselWohlforthBrecht
Cartledge Brooking of Anchorage Alaska and iii the Kodiak Island Borough by its co-bond counsel Foster
Pepper PLLC of Seattle Washington and the Levesque Law Group LLC of Anchorage Alaska
Certain legal matters will be passed upon for the Underwriters by their counsel Foster Pepper PLLC of
Seattle Washington Any opinion of such firm will be delivered solely to the Underwriters will be limited in
scope and cannot be relied upon by investors
WohlforthBrecht Cartledge Brooking hassecured the consent of the BondBank and the Kenai
Peninsula Borough regarding the multiple representations of clients inthis transaction
Foster Pepper PLLC has secured the consent of the Underwriters and the Kodiak Island Borough
regarding the multiple representations of clients in this transaction
UNDERWRITING
The 2014A Series One Bonds areto be purchasedby RBC Capital Markets LLC RBCCM from the
Bond Bank at an aggregate purchase price of $52398788.10 equal tothe aggregate principal amount of the
2014A Series One Bonds plus net original issue premium of $5332469.80 less an underwriters discount of
$138681.70 subject tothe terms of Bond Purchase Contract between the BondBank and RBCCM TheBond
Purchase Contract provides that RBCCM will purchase all of the 20l4A Series One Bonds if any are purchased
22
and that the obligation to make such purchase is subject tocertain terms and conditions set forth in the Bond
Purchase Contract including the approval by counsel of certain matters
The 2014B Series One Bonds areto be purchasedby J.P Morgan Securities LLC JPMS from the
BondBank at an aggregate purchase price of $13964664.35 equal tothe aggregate principal amount of the
2014B Series One Bonds less an underwriters discount of $35335.65 subject tothe terms of Bond Purchase
Contract between the BondBank and JPMS TheBond Purchase Contract provides that JPMS will purchase all
of the 201 4B Series One Bonds if any are purchased and thatthe obligation to make such purchase is subject to
certain terms and conditions set forth in the Bond Purchase Contract including the approval by counsel of certain
matters
JPMS has entered into negotiated dealer agreement the Dealer Agreement with Charles Schwab
Co Inc CSCo for the retail distribution of certain securities offerings at the original issue prices Pursuant
tothe Dealer Agreement if applicable to this transaction CSCo will purchase 201 4B Series One Bonds from
JPMS at the original issue price less negotiated portion of the selling concession applicable to any 201 4B Series
One Bonds that CSCo sells
The initial offering prices or prices corresponding to the yields set forth on theinside cover of this
Official Statement may be changed from time to time by the Underwriterswithout prior noticeto any person after
the date of thesale of the 2014 Series One Bonds The Underwriters may offer and sell the 2014 Series One
Bonds to certain dealers unit investment trusts or money market funds at prices lowerthan the initial offering
prices or prices corresponding tothe yields set forth on theinside cover of this Official Statement
FINANCIAL ADVISOR
Western Financial Group LLC hasacted as financial advisor the Financial Advisor to the BondBank in
connection withthe issuance of the 2014 Series One Bonds The Financial Advisor is not obligated to undertake
and has not undertaken to make an independent verification orto assume responsibility for the accuracy
completeness or fairness of theinformation contained in this Official Statement Western Financial Group LLC
is an independent advisory firm registered with theSecurities and Exchange Commission and is not engaged in
the business of underwritingtrading or distributing municipal securities orother public securities
The Financial Advisor also servesas financial advisor tothe City and Borough of JuneauWestern
Financial Group has notified the BondBank and the City and Borough of Juneau of the multiple representations
of clients in this transaction
FINANCIAL STATEMENTS
The financial statements of the BondBank included as Appendix to this Official Statement havebeen
audited by BDO USA LLP independent certified public accounts to the extent and for the periods indicated in their
report thereon Such fmancial statements havebeen included in reliance upon the report of BDO USA LLP
TheBondBank has not requested BDO USA LLP to provide written consent for inclusion of the financial
statements in this Official Statement
TAX MATTERS
2014A Series One Bonds Tax-Exempt
Inthe opinion of Bond Counsel based onan analysis of existing laws regulations rulings and court
decisions and assuming among other things compliance with certain covenants interest on the 2014A Series One
Bonds is excludable from gross income for federal income tax purposes Interest on the 2014A Series One Bonds is
not an item of tax preference for purposes of determining alternative minimum taxable income for individualsor
23
corporations under the Code However interest on the 2014A Series One Bonds is taken into account in
determiningadjusted current earnings for purposes of computing thefederalalternative minimum tax imposed on
certain corporations
Bond Counsel is also of the opinion based on existing laws of theState asenacted and construed that
interest on the 2014A Series One Bonds is excludable from taxation by theState except for transfer estate and
inheritance taxes
TheCode imposes various restrictions conditions and requirements relating totheexclusion from gross
income for federal income tax purposes of interest on obligations such as the 201 4A Series One Bonds The Bond
Bank and Governmental Units have covenanted to comply with certain restrictions designed to assure that interest
on the 2014A Series One Bonds is excludable from federal gross income Failure to comply with thesecovenants
may result in interest on the 2014A Series One Bonds being included in federal gross income possibly from the date
of issuance ofthe 2014A Series One Bonds Bond Counsels opinion is subject tothecondition that the Bond Bank
and the Governmental Units comply with these covenants and in addition will rely on representations by the Bond
Bank and the Governmental Units and their advisors with respect to matters solely withinthe knowledge of the
Bond Bank the Governmental Units and their advisors respectively
Bond Counsel has not undertaken to determine or to inform any person whether any actions taken or not
taken or events occurring or not occurring after the date of issuance of the 2014A Series One Bonds may
adversely affectthetax status of interest on the 201 4A Series One Bonds
Although Bond Counsel hasrendered an opinion that interest on the 20 14A Series One Bonds is excludable
from gross income for federal income tax purposes the ownership or disposition of ortheaccrualor receipt of
interest on such 2014A Series One Bonds may otherwiseaffect 2014A Series OneBond Owners federal or State
tax liability The nature and extent of these othertax consequences will depend upon the 201 4A Series OneBond
Owners particular tax status and the 2014A Series OneBond Owners otheritems of income or deduction Bond
Counsel expresses no opinion regarding any othertax consequences relating tothe ownership or disposition of or
theaccrual or receipt of interest on the 2014A Series One BondsOwners of the 2014A Series One Bonds should
consult their taxadvisors regarding the applicability of any collateral tax consequences of owning the 2014A Series
One Bonds which may include original issue discount original issue premium purchase at market discount or at
premium taxation upon sale redemption orother disposition and various withholding requirements
Backup Withholding Interest on tax-exempt obligations such as the 2014A Series One Bonds is in many
cases subject toinformation reporting in manner similar to interest paid on taxable obligations Backup
withholding may be imposed on payments made after March 31 2007 to any bondholder who fails to provide
certain required information including an accurate taxpayer identification number to any person required to collect
such information pursuant to Section 6049 of the Code This reporting requirement does not in and of itself affector
alter the excludability of interest on the 2014A Series One Bonds from gross income for federal income tax purposes
or any otherfederaltax consequence of purchasing holding or selling tax-exempt obligations
Original Issue Discount The20 14A Series One Bonds maturing March 2035and March 2039 the
Discount Bonds are being sold at an original issue discount The difference between the initial public offering
prices as set forth on the cover page of such Discount Bonds and their stated amounts to be paid at maturity
constitutes original issuediscounttreated as interest which is excluded from gross income for federal income tax
purposes tothe same extent as interest on the 2014 Series One Bonds
The amount of original issuediscount which is treated as having accrued with respect to such Discount
Bond is added to the costbasis of the owner in determining for federal income tax purposes gain or loss upon
disposition of such Discount Bond including its sale redemption or payment at maturity Amounts received upon
disposition of such Discount Bond which are attributable to accrued original issuediscount will be treated as tax
exempt interest rather thanas taxable gain for federal income tax purposes
24
Original issue discount is treated as compounding semiannually atrate determined by referencetothe
yield to maturity of each individual Discount Bond on days thatare determined by reference to the maturity date of
such Discount Bond The amount treated as original issuediscount on such Discount Bond for particular
semiannual accrual period is equal tothe product of the yield to maturity for such Discount Bond determined by
compounding at theclose of each accrual period and ii the amountwhichwould havebeen thetaxbasis of such
Discount Bond at the beginning of the particular accrual period if held by the original purchaser less the amount of
any interest payable for such Discount Bond during theaccrual period The taxbasis is determined by adding to the
initial public offering price on such Discount Bond the sum of the amounts that havebeen treated as original issue
discount for such purposes during all prior periods If such Discount Bond is sold between semiannual
compounding dates original issue discount whichwould havebeen accrued for that semiannual compounding
period for federal income tax purposes is to be apportioned in equal amounts among the days in such compounding
period
Owners of Discount Bonds should consult their taxadvisors with respect tothedetermination and treatment
of original issuediscount accrued as of any date and with respect tothe state and local tax consequences of owning
Discount Bond
Original Issue Premium The20 14A Series One Bonds maturing March 2015 through and including
March 2024and March 2026 through and including March 2034 collectively the Premium Bonds are
being sold at premium An amount equal tothe excess of theissue price of Premium Bond over its stated
redemption price at maturity constitutes premium on such Premium Bond An initial purchaser of Premium Bond
must amortize any premium over such PremiumBonds term using constant yieldprinciples based on the
purchasers yield to maturity or in the case of Premium Bonds callable prior to their maturity by amortizing the
premium tothe call date based on the purchasers yield tothe call date and giving effect to the call premium As
premium is amortized the purchasers basis in such Premium Bond is reduced by corresponding amount resulting
in an increase in the gain or decrease in the loss to be recognized for federal income tax purposes upon sale or
disposition of such Premium Bond prior to its maturity Even though the purchasers basis may be reduced no
federal income tax deduction is allowed Purchasers of the Premium Bonds should consult with their taxadvisors
with respect to thedetermination and treatment of amortizable premium for federal income tax purposes and with
respect to the state and local tax consequences of owning Premium Bond
Changes in Federal Tax Law From timeto time there are legislative proposals in the Congress and in the
states that if enacted could alter or amend thefederal and state taxmattersreferred to above or adversely affectthe
market value of the 20 14A Series One Bonds It cannot be predicted whether or in what form any such proposal
might be enacted or whether if enacted it would apply to bonds issued prior to enactment In addition regulatory
actions are from timeto time announced or proposed and litigation is threatened or commenced which if
implemented or concluded in particular manner could adversely affectthe market value of the 2014A Series One
Bonds It cannot be predicted whether any such regulatory action will be implemented how any particular litigation
or judicial action will be resolved or whether the 201 4A Series One Bonds or the market value thereof would be
impacted thereby Purchasers of the 2014A Series One Bonds should consult their taxadvisors regarding any
pending or proposed legislation regulatory initiatives or litigation The opinions expressed by Bond Counsel are
based upon existinglegislation and regulations as interpreted by relevant judicial and regulatory authorities as of the
date of issuance and delivery of the 201 4A Series One Bonds and Bond Counsel has expressed no opinion as of any
date subsequent theretoor with respect to anypending legislation regulatory initiatives or litigation
Bond Counsels opinion is not guarantee of result and is not binding on the Internal Revenue ServiceIRSrathertheopinionrepresentsitslegaljudgmentbaseduponitsreviewofexistingstatutesregulations
published rulings and courtdecisions and the representations and covenants of the BondBank TheIRS has an
ongoingprogram of auditing the tax-exempt status of the interest on governmental obligations If an audit of the
2014A Series One Bonds is commenced under current procedures the IRS is likely to treat the BondBank as the
taxpayer and the owners of the 20 14A Series One Bonds the Owners would have no right to participate in the
25
audit process In responding toor defending an audit of the tax-exempt status of the interest on the 20 14A Series
One Bonds the BondBank may have different or conflicting interests from the Owners Public awareness of any
futureaudit of the 201 4A Series One Bonds could adversely affectthe value and liquidity of the 20 14A Series One
Bonds during the pendency of the audit regardless of its ultimate outcome
2014B Series One Bonds Taxable
This advice was written to support the promotion or marketing of the 2014B Series One Bonds and is not
intended or written to be used and cannot be usedby taxpayer for the purpose of avoiding any penalties that may
be imposed under the Code All taxpayers should seek advice based on such taxpayers particular circumstances
from an independent tax advisor
In General
Inthe opinion of Bond Counsel based onan analysis of existing laws regulations rulings and court
decision interest on the 2014B Series One Bonds is included in gross income for federal income tax purposes
The following is summary of certain anticipated federal income tax consequences of the purchase
ownership and disposition of the 2014B Series One Bonds under the Code and the Income Tax Regulations and the
judicial and administrative rulings and courtdecisions now in effect all of which are subject to change or possible
differing interpretations The summary does not purport to address all aspects of federal income taxationthat may
affect particular investors in light of their individual circumstances nor certain types of investors subject to special
treatment under the federal income tax laws Potential purchasers of the 2014B Series One Bonds should consult
their own taxadvisors in determining the federal state or local tax consequences to them of the purchase holding
and disposition of the 2014B Series One Bonds
In general interest paid on the 2014B Series One Bonds original issue discount if any and market
discount if any will be treated as ordinary income to the owners of the 201 4B Series One Bonds and principal
payments excluding the portion of such payments if any characterized as original issuediscountor accrued market
discount will be treated as return of capital
Premium
An investorthat acquires 201 4B Series OneBond for cost greater than its remaining stated redemption
price at maturity and holdsthe 2014B Series OneBond as capital asset will be considered to have purchased the
2014B Series OneBond at premium and subject to prior election permitted by Section 171c of the Code may
generally amortize such premium under the constant yield method Except as may be provided by regulation
amortized premium will be allocated among and treated as an offset to interest payments The basisreduction
requirements of Section 1016a5 of the Code apply toamortizable bond premium that reduces interest payments
under Section 171 of the CodeBond premium is generally amortized over the bonds term using constant yield
principles based on the purchasers yield to maturity Investors of any 2014 Series OneBond should consult their
taxadvisors as totheeffect of such bond premium with respect to their own situation and as to treatment of bond
premium for state tax purposes
Market Discount
An investorthat acquires 2014B Series OneBond for price less than the adjusted issue price of such
2014B Series OneBond or an investor who purchases 2014B Series OneBond in the initial offering at price less
than theissue price may be subject tothe market discount rules of Sections 1276 through 1278 of the Code Under
these sections and the principles applied by the Income Tax Regulations market discount means in the case of
2014B Series OneBond originally Issued at discount the amount by which theissue price of such 2014B Series
One Bond increased by all accrued original issuediscount as if held sincetheissue date exceeds the initial tax
26
basis of the owner therein less any prior payments thatdidnotconstitute payments of qualified stated interest and
in the case of 2014B Series OneBond not originally issued at discount the amount by which thestated
redemption price of such 201 4B Series OneBond at maturity exceeds the initial taxbasis of the owner therein
Under Section 1276 of the Code the owner of such 2014B Series OneBond will generally be required to
allocate each principal payment to accrued market discountnot previously included in income and upon saleor
other disposition of the 2014B Series One Bond to recognize the gain on such saleor disposition as ordinary income
tothatextent of such cumulative amount of accrued market discount as of the date of sale or other disposition of
such 2014B Series OneBond or ii toelect to include such market discount and income currently as it accrues on
all market discount ii2struments acquired by such owner on or after the first day of thetaxable year to whichsuch
election applies
The Code authorizesthe Treasury Department toissue regulations providing for the method for accruing
market discount on debt instrumentsthe principal of which is payable in more than one installment Until such time
as regulations areissued by the Treasury Department certain rules described in the legislative history will apply
Under those rules market discount will be included in income either on constant interest basisor in
proportion to theaccrual of stated interest or in the case of 20 14B Series OneBond with original issue discount in
proportion to theaccrual of original issue discount
An owner of 2014B Series OneBond that acquired such 2014B Series One Bond at market discountalso
may be required to defer until the maturity date of such 201 4B Series One Bond or its earlier disposition in taxable
transaction the deduction of portion of the amount of interest that the owner paidor accrued during thetaxable
year on indebtedness incurred or maintained to purchase or carry such 2014B Series OneBond in excess of the
aggregate amount of interest including original issue discount includable in such owners gross income for the
taxable year with respect to such 2014B Series One Bond The amount of such net interest expense deferred in
taxable year may not exceed the amount of market discount accrued on the 2014B Series OneBond for the days
during thetaxable year on which the owner held such 201 4B Series OneBond and in general would be deductible
when such market discount is includable in income The amount of any remaining deferred deduction is to be taken
into account in thetaxable year in which the 2014B Series OneBond matures or is disposed of in taxable
transactionInthe case of disposition in which gain orloss is not recognized in whole or in part any remaining
deferred deduction will be allowed totheextent gain is recognized on the disposition This deferral rule does not
apply if the owner elects to include such market discount in income currently as it accrues on all market discount
obligations acquired by such owner in thattaxable year or thereafter
Attention is called to the fact that Treasury regulations implementing the market discount rules have not yet
been issued Therefore investors should consult their own taxadvisors regarding the application of these rules as
well as the advisability of makingany of theelections with respect thereto
Sales or Other Dispositions
If the owner of 2014B Series OneBond sells such bonds such person will recognize gain or loss equal to
the difference between the amount realized on thesale and suchowners basis in such bond Ordinarily such gain or
loss will be treated as capital gain or loss
If theterms of 201 4B Series OneBond were materially modified in certain circumstances new debt
obligation would be deemed created and exchanged for the prior obligation in taxabletransaction Among the
modificationsthat may be treated as material are those that relate to redemption provisions and in the case of non
recourse obligation those which involvethe substitution of collateral Each potential owner of 2014B Series One
Bond should .consult its own taxadvisor concerning the circumstances in whichsuch bond would be deemed to be
reissued and the likely effects if any of such reissuance
27
Defeasance
The legal defeasance of the 201 4B Series One Bonds may result in deemed sale or exchange of such
bondsunder certain circumstances Owners of such 201 4B Series One Bonds should consult their taxadvisors as to
thefederal income tax consequences of suchdefeasance
Backup Withholding
An owner of 2014B Series OneBond may be subject to backup withholding as the applicable rate
determined by statute with respect to interest paid with respect to such bond if such owner upon issuance of the
201 4B Series One Bonds fails to provide to any person required to collect such information pursuant to Section
6049 of the Code with such ownerTs identification number furnishes an incorrect taxpayer identification number
fails to report interest dividendsorother reportable payments as defmed by the Code properly or under certain
circumstances fails to provide such persons with certified statement under penalty of perjury that such owner is
not subject to backup withholding
Foreign Investors
An owner of 2014B Series OneBond that is not United States personas defined below and is not
subject to federal income tax as result of any direct or indirect connection tothe United States of America in
additionto its ownership of 2014B Series OneBond will generally not be subject to United States income or
withholding tax in respect of payment on201 4B Series One Bond provided thatthe owner complies totheextent
necessary withcertain identification requirements including delivery of statement signed by the ownerunder
penalties of perjurycertifying that such owner is not United States person and providing the name and address of
such owner For this purpose the term United States person means citizen orresident of the United States of
America corporationpartnership orother entity created or organized in or under the laws of the United States of
America or any political subdivision thereofor an estateor trust whose income from sources withinthe United
States of America is includable in gross income for United States of Americaincome tax purposes regardless of its
connection with the conduct of trade or business withinthe United States of America
Except as explained in the preceding paragraph and subject tothe provisions of any applicable tax treaty
30%United States withholding tax will apply to interest paid and original issuediscount accruing on 20 14B Series
One Bonds owned by foreign investorsIn those instances in which payments of interest on the 201 4B Series One
Bonds continue to be subject to withholding special rules apply with respect tothe withholding of tax on payments
of interest on orthesale or exchange of 2014B Series One Bonds having original issuediscount and held by foreign
investorsPotentialinvestorsthat are foreign persons should consult their own taxadvisors regarding the specific
tax consequences to them of owning 201 4B Series One Bond
ERISA Considerations
The Employee Retirement Income Security Act of 1974 as amended ERISA imposes certain
requirements on employee benefit plans as defined in Section 33 of ERISA subject to ERISA including
entities such as collective investmentfunds and separate accounts whose underlying assets include theassets of such
plans collectively ERISA Plans and on those persons who are fiduciaries with respect to ERISA Plans
Investments by ERISA Plans are subject to ERISAs general fiduciary requirements including the requirement of
investment prudence and diversification and the requirement that an ERISA Plans investments be made in
accordance with the documents governing the ERISA Plan The prudence of any investment by an ERISA Plan in
the 2014B Series One Bonds must be determined by the responsible fiduciary of the ERISA Plan by taking into
account the ERISA Plans particular circumstances and all of the facts and circumstances of the investment
Government and non-electing church plans are generally not subject to ERISA However such plans may be
subject to similar orother restrictions under state or local law
28
In addition ERISA and the Code generally prohibit certaintransactions between an ERISA Plan or
qualified employee benefit plan under the Code and persons who with respect tothat plan are fiduciaries orother
parties in interest withinthe meaning of ERISA or disqualified persons withinthe meaning of the Code Inthe
absence of an applicable statutory classoradministrative exemption transactions between an ERTSA Plan and
party in interest with respect to an ERISA Plan including the acquisition by one from theother of the 2014B Series
One Bonds could be viewed as violating those prohibitions In addition Section 4975 of the Code prohibits
transactions between certaintax-favored vehicles such as Individual Retirement Accounts and disqualified persons
Section 503 of the Code includes similar restrictions with respect to governmental and church plans In this regard
the BondBank or any dealer of the 2014B Series One Bonds might be considered or might become party in
interest withinthe meaning of ERISA or disqualified person withinthe meaning of the Code with respect to an
ERISA Plan or plan or arrangement subject to Sections 4975 or 503 of the Code Prohibited transactionswithin
the meaning of ERISA and the Code may arise if the 2014B Series One Bonds are acquired by such plansor
arrangements with respect to which the BondBank or any dealer is party in interest or disqualified person
In all events fiduciaries of ERISA Plans and plans or arrangements subject tothe above sections of the
Code in consultationwith their advisors should carefully considerthe impact of ERISA and the Code onan
investment in the 2014B Series One Bonds The sale of the 2014B Series One Bonds to plan is in no respect
representation by the BondBank ortheUnderwritersthat such an investment meets therelevant legal requirements
with respect to benefit plansgenerallyor any particular plan Any plan proposing toinvest in the 2014B Series One
Bonds should consult with its counsel to confirm that such investment is permitted under the plan documents and
will not result in non-exempt prohibited transaction and will satisfy theother requirements of ERISA the Code
and other applicable law
RATINGS
Moodys Investors Service Inc Moodys Fitch Ratings Fitch and Standard Poors Rating
Services SP have assigned Aa2 AA and AA ratings respectively tothe 2014 Series One Bonds
Such ratings reflect only the views of such organizations and any desired explanation of the significance of such
ratings should be obtained from the rating agency furnishing the same at the following addresses Moodys
WorldTrade Center 250 Greenwich Street New York New York 10007 212 553-0300 Fitch One StateStreet
Plaza New York New York 10004 212 908-0500 SP 55 Water Street New York New York 10041 212
438-1000 Generally rating agency bases its rating on the information and materialsfurnished to it andon
investigations studies and assumptions of its own There is no assurance that such ratings will continue for any
givenperiod oftime or that such ratings will not be revised downward or withdrawn entirely by the rating
agencies if in the judgment of such rating agencies circumstances so warrant Any such downward revision
or withdrawal of such ratings may have an adverse effect on the market price of the 2014 Series One Bonds
CONTINUINGDISCLOSURE uNDERTAKiNG
Basic Undertaking to Provide Annual Financial Information and Notice of Material Events
Continuing disclosure is provided for the benefit of beneficial owners Pursuant totheSecurities and
Exchange Commission the SEC Rule15c2-12 the Rule the Bond Bank will agree to provide or cause to
be provided to the Municipal Securities Rulemaking Board MSRB annualfmancial information and operating
data as described below In addition if any Governmental Unit has outstanding with the Bond Bank an amount of
bonds equal toor greater than 10 percent of all Bonds outstanding suchGovernmental Unit will be deemed an
Obligated Person under the Rule and will be contractually required to provide updated financial information of
the type included in Appendix hereof and annual financial statements prepared in accordance with generally
accepted accounting principles applicable tothe governmental entities as such principles may be changed from
time to time
29
Not later than 120 days after the end of each BondBank fiscal year the BondBank will notify each
Governmental Unit that has or had an amount of bonds equal to or greater than 10 percent of all Bonds
Outstanding of its continuing disclosure undertaking responsibility list of Governmental Units deemed
Obligated Persons for the prior fiscal year will be included in the Bond Banks annual financial information filing
TheBondBank will also undertake to provide or cause to be provided tothe MSRB notice of the
occurrence of any of the following events specified by the Rule with respect to the 2014 Series One Bonds within
ten business days of the occurrence of the event principal and interest payment delinquencies unscheduled
draws on debt service reserves reflecting financial difficulties unscheduleddraws on credit enhancements
reflecting financial difficulties substitution of credit or liquidity providers or their failure to perform
adverse tax opinions or events affecting the tax-exempt status of the 2014A Series One Bonds defeasances
rating changes tender offers bankruptcyinsolvency receivership or similar proceeding by the Bond
Bank or obligated person TheBond Bank will also file with the MSRB notice of any of the following events
with respect tothe 2014 Series One Bonds withinten business days of the occurrence of such event if material
non-payment related defaults modificationto rights of holders of 2014 Series One Bonds bond calls
other than mandatory scheduled redemptions nototherwise contingent on the occurrence of an event release
substitution or sale of propertysecuring repayment of the 2014 Series One Bonds other than in the normal
course of business the consummation of merger consolidationor acquisitioninvolving an obligated person
orthesale of all or substantially all of theassets of the BondBank or obligated person orthe entry into
definitive agreement to undertake such an action ortermination of definitive agreement relating to any such
actions other than in accordance with its terms appointment of successor oradditionaltrustee or the change
in name of the Trustee for the 2014 Series One Bonds
The BondBank also will provide to the MSRB timely notice of its failure to provide required annual
financial information on or beforethe date specified below
Type ofAnnual Financial Information Undertaken to be Provided by the BondBankThe annual financial
informationthatthe Bond Bank undertakes to provide will consist of annual financial statements for the Bond
Bank prepared in accordance with generally accepted accounting principles applicable to governmental entities
as such principles may be changed from time to time statement of authorized issued and outstanding
bonded debt Reserve Fund balance and Governmental Unit statistics in substantially the same form as
Appendix attached heretoThis information will be provided to the MSRB not later than 210 days after the end
of each fiscal year of the BondBank currently the 12-month period ending June 30 as such fiscal year may be
changed as required by State law commencing with the Bond Banks fiscal yearending June 30 2014
Amendment of Undertaking The Undertaking is subject to amendment after the primary offering of the
2014 Series One Bonds without the consent of any Beneficial Owner of any 2014 Series One Bond or any broker
dealer municipal securities dealer participating underwriter rating agency or the MSRB if the amendment is
made in counection with change in circumstances thatarises from change in legal requirements change in
law or change in the identity natureorstatus of the Bond Bank the Undertaking as amended would have
complied with the requirements of the Rule at the timeof the primary offering of the 2014 Series One Bonds
after taking into account any amendments or interpretations of the Rule by the SEC and anychanges in
circumstances the Bond Bank obtains an opinion of nationally recognized bond counsel totheeffectthatthe
amendment will not adversely affectthe Bond Banks compliance with the Undertaking and Rule and the
BondBank notifies and provides the MSRB with copies of the opinions and amendments Such amendment may
be adopted without the consent of any Beneficial Owner of any of the 2014 Series One Bonds notwithstanding
any other provision of the Undertakings orthe Bond Resolution
The first annual reportcontaining amended operating data or financial information pursuant to an
amendment of the Bond Bank continuing disclosure undertaking will explain in narrative form the reasons for
the amendment and its effect on the type of operating data and financial information beingprovided
30
All notices financial information and operating data required by this undertaking to be provided tothe
MSRB must be in electronic format as prescribed by the MSRB All documents provided tothe MSRB pursuant
to this undertaking must be accompaniedby identifying information as prescribed by the MSRB
Termination The obligations of the BondBank under its undertaking will terminate upon the legal
defeasance prior redemption or payment in full of all of the 2014 Series One Bonds
Remedy for Failure to Comply with Undertaking No failure by the BondBank and/or the Obligated
Persons identified in Appendix heretoto comply with any provisions of their respective undertakings will
constitutedefault in respect of the 2014 Series One Bonds and thesole remedy under the respective
undertakings in the event of any failure of the BondBank andlorthe Obligated Persons identified in Appendix
heretoto comply with their respective undertaking will be the right to obtain specific performance of the
undertaking
Prior Compliance with Continuing Disclosure Undertakings Under the Rule
TheBondBank previously entered into continuing disclosure undertakings under the Rule in connection
with its Bonds The BondBank subsequently discovered that it didnot file event notices in connection with
certain rating downgrades of insurers of its existing Bonds Additionally the BondBank discovered that it did
not file an event notice for an underlying ratings upgrade from Moodys in November 2010 in relation to two
series of outstanding Bonds All such notices were subsequently filed
In each of the past five fiscal years the BondBank has timely filed its audited financial statements and
annual report However the BondBank discovered that it had notincluded in its annual report statistics of
Governmental Units similar to those found in Exhibit of its official statements as required by prior continuing
disclosure undertakings Such information was included in publicly available official statements prepared by the
BondBank every year of noncompliance although in certain cases such information was dated on or about the
date of the official statement rather than as of the relevant fiscal year end of the Bond Bank
TheBondBank has developed procedures to ensure that all information required to be included in the
Annual Report as of the fiscal year end will be filed within 210 days after the end of such fiscal year TheBond
Bank has otherwise complied in the past five years in all material respects with its previous undertakings with
regard tothe Rule to provide annual reports or notices of certain events
During the course of preparing this Official Statement it was discovered thatcertain of the Obligated
Persons who timely filed annual financial information in accordance with prior undertakings inadvertently failed
toassociatethat annual financial information with all Bonds issued under the 2005 General Bond Resolution
Effective on the date of issuance of the 2014 Series One Bonds each undertaking executed by an Obligated
Person will include an express requirement that such filing be linkedtothe CUSIP numbers of all outstanding
Bonds issued under the 2005 General Bond Resolution The Obligated Persons have reported that they have
otherwise complied in the past five years in all material respects with their previous undertakings with regard to
the Rule to provide annual reports or notices of certain events
SOURCES OF CERTAIN INFORMATION
As of the date of this Official Statement the Governmental Units which have loan obligations in an amount
of ten percent 10%or greater in the pool of loans financed with proceeds of Bonds arethe City and Borough of
Sitka 17.64%the City and Borough of Juneau 14.05%and the Kenai Peninsula Borough 12.32%These
Governmental Unitsare considered Obligated Personsunder the Rule andhave provided theinformation
appearing in Appendix of this Official Statement
31
The BondBank makesno representation as tothe accuracy of theinfonnation concerning the City and
Borough of Juneau the Kenai Peninsula Borough or the City and Borough of Sitka found in Appendix of this
Official Statement
DEFINITIONS
The following termsare used in this Official Statement with the following meanings
Act The Alaska Municipal BondBank Act codified as Chapter 85 Title 44 of the Alaska Statutes
as amended
BondBank The Alaska Municipal Bond Bank public corporation and instrumentality of theState
of Alaska withinthe Department of Revenue but with legal existence independent of and separate from theState
Bonds Bonds issued by the BondBank under the 2005 General Bond Resolution pursuant to
Series Resolution These include Loan Obligations and ReserveFund Obligations as defined below
Code Internal RevenueCode of 1986and the regulations thereunder as amended
Credit Enhancement letter of credit line of credit credit facility surety bond bond
insurance or any otherinstrument or arrangement obtained in connection with the issuance of Series of Bonds
to further secure the payment of the Bonds of such Series or to satisfy the Reserve Fund Requirement
Credit Enhancement AgencyAny bank or other institution that provides Credit Enhancement
Debt Service Fund fund established by the 2005 General Bond Resolution to be maintained and
held by the Trustee The 2005 General Bond Resolution defines and provides thatthe Interest Account
Principal Account and Redemption Account are maintained withinthe Debt Service Fund
Fees and Charges All fees and charges authorized to be chargedby the BondBank pursuant to
Sections 44.85.080 15 and 16 of the Act and chargedby the Bank pursuant tothe terms and provisions of
the Loan Agreements
Governmental Unit municipality or such other entity from which the BondBank is authorized
by law to purchase its revenue bonds generalobligation bonds notes or other forms of indebtedness and which
otherwise satisfies conditions found in the 2005 General Bond Resolution and in the Loan Agreement
Loan Agreement An agreement and any amendments thereto entered into between the BondBank
and Governmental Unit setting forth the terms and conditions of loan
Loan Obligations The amount of Bonds and the Bonds themselves issued by the BondBank for the
purchase of Municipal Bonds of Governmental Unit
Municipal Bonds General obligation bonds revenue bonds notes orother evidence of debt issued
by any Governmental Unit as defined in the Act which havebeen acquired by the BondBank as evidence of
loantothe Governmental Unit pursuant tothe Act
Municipal Bonds Payment The amounts paid or required to be paid from time to time for
principal and interest by Governmental Unit tothe BondBank on the Governmental Units Municipal Bonds
Notes Any obligations referredto in the 2005 General Bond Resolution issued by the BondBank
other than Bonds
32
Operating Fund fund established by the 2005 General Bond Resolution This fund is notheld
by the Trustee and money therein is not pledged as security for Bonds
Outstanding When used with referenceto Bonds shall mean as of any date Bonds theretoforeor
then being delivered under the provisions of the 2005 General Bond Resolution other than Bonds owned orheld
by or for the account of the BondBank except any Bonds cancelled by the Trustee at or prior to such date ii
any Bonds for the transfer or exchange of or inlieu of or in substitution for which other Bonds shall havebeen
delivered pursuant to the 2005 General Bond Resolution and iii Bonds deemed to havebeen paid as provided in
the 2005 General Bond Resolution
Reserve Fund The reserve account established by the 2005 General Bond Resolution and held by
the Trustee pursuant to the provisions of the 2005 General Bond Resolution
ReserveFund Obligations Bonds issued by the BondBank to obtain funds to deposited in the
Reserve Fund
ReserveFund Requirement The amount required to beon deposit in the 2005 General Bond
Resolution Reserve Fund is the least of the following 10%of the initial stated principal amount of each Series of
Bonds then Outstanding ii maximum annual principal and interest requirements on all Bonds then Outstanding iii
125%of average annual principal and interest requirements on all Bonds then Outstanding or iv such lesser amount
as shall be required by law The Reserve Fund Requirement may be satisfied entirely or in part by Credit
Enhancement provided however any Credit Enhancement satisfying all or any part of the Reserve Fund
Requirement after the initial issuance of Bonds or issued in substitution for any prior Credit Enhancement previously
issued will not by itself cause withdrawal or downward revision of the ratings maintained by any Rating Agency
with respect to the Bonds
Required Debt Service ReserveAs of any date of calculation the amount required to be on
deposit in the Reserve Fund whichamount shall atleast be equal tothe Reserve Fund Requirement
Series Resolution resolution of the BondBank authorizing the issuance of series of Bonds in
accordance with the tenns of the 2005 General Bond Resolution
2005 General Bond Resolution TheBond Banks 2005 General Obligation Bond Resolution
adopted July 132005 as amended August 19 2009 The BondBank may adopt additional generalobligation
resolutions for the same or different purposes
MISCELLANEOUS
The summaries or descriptions of provisions in the Bond Resolution and all referencestoothermaterialsnot
purporting to be quoted in full are only brief outlines of certain provisions thereof anddo notconstitute complete
statements of such documents or provisions and reference is hereby made tothe complete documents and materials
copies of which will be furnished by the BondBank on request The2005 General Bond Resolution has been
includedherein as Appendix
Any statements made in this Official Statement indicated to involvematters of opinion or estimates are
represented as opinions orestimates in good faith No assurance canbe given however thatthe facts will
materialize asso opined or estimated
33
OFFICIAL STATEMENT
TheBondBank has authorizedthe execution and distribution of this Official Statement
ALASKA MUNICIPAL BOND BANK
Is Deven Mitchell
Executive Director
34
APPENDIX
Form of LegalOpinion
PAGE INTENTIONALLYLEFT BLANK
WOHLFORTH BRECHT CARTLEDGE BR00KING
PROFESSIONAL CORPORATION
Julius Brecht TELEPHONE
Cheryl Rawls Brooking ATTORNEYS AT LAW 907.276.6401
CynthiaCartledge
William Earnhart 900 WEST 5TH AVENUE SUITE 600 FACSIMILE
907.276.5093ICaeANCHORAGEALASKA99501-2048
Eric Wohlforth WEESITE
WWW.AKATTY.COM
February_2014
Board ofDirectors
Alaska Municipal BondBank
P.O Box110405
Juneau Alaska 99811
Ladies and Gentlemen
We have acted as Bond Counsel in connection with the issuance by the Alaska
Municipal BondBank the Bank of its General Obligation Bonds 2014 Series One
the Bonds consisting of $47205000 principal amount of General Obligation Bonds
2014A Series One Tax-Exempt the 2014A Series One Bonds and $14000000
principal amount of General Obligation Bonds 2014B Series One Taxable We have
examined the law and such certified proceedings and other papers as we deem
necessary to render this opinion including the opinions of bond counsel to the
Governmental Units concerning the validity and enforceability of the Municipal Bonds
and the Loan Agreements securing the Loans financed with the proceeds of the Bonds
as such terms are defined in the Resolutions referred to below
The Bonds are issued under the Alaska Municipal BondBank Act Chapter 85 of
Title 44 of the Alaska Statutes as amended the Act the General Obligation Bond
Resolution of the Bank entitled Resolution Creating And Establishing An Issue Of
Bonds Of The Alaska Municipal Bond Bank Providing For The Issuance FromTime To
TimeOf Said Bonds Providing For The Payment Of Principal Of And Interest On Said
Bonds And Providing For The Rights Of The Holders Thereof adopted July 132005
as amended August 19 2009 the General Bond Resolution and Series Resolution
No 2014-01 adoptedJanuary 2014 the Series Resolution and together with the
General Bond Resolution the Resolutions
TheBonds are subject to redemption prior to maturity as provided in the forms of
Bonds
A-i
Board ofDirectors
Alaska Municipal BondBank
February 2014
Page
In connection with the issuance of the Bonds we have reviewed the Resolutions
and the federaltax certificate of the Bank dated the date hereof the Tax Certificate
Certificate of No-Litigation of the Attorney General counsel to the Bank certificates of
the Bank the Trustee and others and such other documents opinions and matters to
the extent we deemed necessary to render the opinions set forth herein
The opinions expressed hereinare based onan analysis of existing laws
regulations rulings and court decisions and cover certain matters not directly addressed
by such authorities Such opinions may be affected by actions taken or omitted or
events occurring after the date hereof We have not undertaken to determine or to
inform any person whether any such actions or events are taken or do occur We
disclaim any obligation to update this letter We have assumed the genuineness of all
documents and signatures presented to us whether as originals or as copies by any
parties other than the Bank and the dueand legal execution and delivery thereof by any
parties other than the Bank We have not undertaken to verify independently and have
assumed the accuracy of the factual matters represented warranted or certified in the
documents referredto in the preceding paragraph Furthermore we have assumed
compliance with the covenants and agreements contained in the Resolutions the Tax
Certificate and the tax certificates of each Governmental Unit including without
limitation covenants and agreements compliance with which is necessary to assure
thatfuture actions omissions or events will not cause interest on the Bonds to be
included in gross income for federal income tax purposes We call attention to the fact
that the rights and obligations under the Resolutions the Bonds the Loan Agreements
and the Tax Certificate may be subject to bankruptcy insolvencyreorganization
moratorium and other laws affecting creditors rights generally and subject to the
exercise ofindividual discretion in appropriate cases and to the application of equitable
principles We express no opinion relating to the undertaking by the Bank to provide
ongoing disclosure pursuant toSecurities and Exchange Commission Rule 15c2-12
As to questions of factmaterial to our opinion we have relied upon various
statements and representations of the Bank contained in the Resolutions and in the
certified proceedings and other certifications of public officials furnishedto us without
undertaking to verify the same byindependent investigation
Subject to the foregoing we are of the opinion that under existing law
TheBank has the right and power to adopt the Resolutions
The Resolutions have been duly and lawfully adopted by the Bank are in
full force and effect and are valid and binding upon the Bankand enforceable in
accordance with their terms
A-2
Board ofDirectors
Alaska Municipal BondBank
February_2014
Page
The Resolutions createthe valid pledge and assignment which they
purport to create of the Municipal Bonds subject to the application thereof to the
purposes and on the conditions permitted by the Resolutions
TheBonds are valid and binding general obligations of the Bank
enforceable in accordance with their terms and the terms of the Resolutions
The Bonds have been duly and validly authorized and issued in
accordance with the Constitution and statutesof theState of Alaska including the Act
as amended to the date of this opinion and in accordance with the Resolutions
The Bonds arenot debt or liability nor do they constitute pledge of the
faith and credit of theState of Alaska
Under existing laws regulations rulings and judicial decisions interest on
the 2014A Series One Bonds is excludable from the gross income of the owners thereof
for federal income tax purposes and is not an itemoftax preference for purposes of the
federalalternative minimum tax imposed on individuals and corporations However
interest on the 2014A Series One Bonds is taken into account in determiningadjusted
current earnings for purposes of computing the federalalternative minimum tax imposed
on certain corporations The opinion set forth in the first sentence of this paragraph is
subject to the conditionthat the Bank and the Governmental Units comply with all
requirements of the Internal RevenueCode of 1986 as amended that must be
complied with subsequent to the issuance of the 2014A Series One Bonds in order that
interest thereon be or continue to be excludable from gross income of the owners for
federal income tax purposes TheBank and Governmental Units havecovenanted to
comply with all such applicable requirements Failure to comply withcertainof such
requirements may cause interest on the 2014A Series One Bonds to be included in
gross income thereof for federal income tax purposes to be retroactive to the date of
issuance of the 2014A Series One Bonds
In expressing our opinion as to theexclusion of interest on the 2014A Series One
Bonds from the gross income of the owners asdescribed above we have relied on and
assumed to be correct the representations covenants and agreements of the Bank
and Governmental Units in the Loan Agreements and information furnished by and on
behalf of the Bankand Governmental Unitswith respect tocertainmaterialfactsthat
are solely within their knowledge relating to the proposed use of the proceeds of the
2014A Series One Bonds or Municipal Bonds
A-3
Board ofDirectors
Alaska Municipal BondBank
February_2014
Page
Under existing laws interest on the Bonds is free from taxation by the
State of Alaska except for transfer estate and inheritance taxes
Except as expressly stated above we express no opinion regarding any other
federal orstate income tax consequences of acquiring carrying owning or disposing of
the Bonds Owners of the Bonds should consult their tax advisor regarding the
applicability of any collateral tax consequences of owning the Bonds which may include
original issue discount original issue premium purchase at market discount or at
premium taxation upon sale redemption or other disposition and various withholding
requirements
We have not been engaged nor have we undertaken to review the accuracy
completeness or sufficiency of the official statement orother offering materialrelated to
the Bonds except to the extent if any stated in the official statement or supplemental
opinion dated the date hereof
This opinion is given as of the date hereof and we assume no obligation to
update reviseor supplement this opinion or reflect any facts or circumstances that may
hereafter come to our attentionor any changes in law that may hereafter occur
Sincerely
WOHLFORTH BRECHT
CARTLEDGEBROOKING
CynthiaCartledge
A-4
APPENDIX
State Payments to Governmental Units
PAGE NTENTIONALLYLEFT BLANK
Appendix
State Payments to Governmental Units
The State of Alaska the State disbursesto Alaskan cities and boroughs the Governmental
Units funds that generally areavailable for uses other than payingmunicipal bond debt serviceInthe event
of default by Governmental Unitwith respect to Loan Agreement the BondBank is authorized to cause
such funds held in custody by theState prior to disbursement to be paid over to the Bond Bank However the
State may at any time reduce orterminatethe disbursements or programs underwhich they are made Four of
the departments of theStatethatdisburse money to Governmental Units are as follows
Department of Education and Early Development The Department of Education and Early
Development DEED disbursesStateaid for educational purposes primarily through the schooldebt
reimbursement thefoundation funding and pupil transportation programs in addition to funding for boarding
homes residential boardingyouth in detention special schools and the Alaska Challenge Youth Academy
programs.The first program provides system underwhich the Statesubject to annual appropriation by the
State Legislature will reimburse municipalities that operate school districts for certaincosts of school
constructionState reimbursement applies to debt service on locally issued general obligation school bonds
Timing of reimbursements is determined by municipalities debt service payments and is made throughout the
year This program provides that subject to statutory and regulatory conditionsthattheState will reimburse
municipalities for pre-determined percentage of debt serviceincurred for such bonds depending on when such
bonds were issued and the project components The State has in the past and may in the futureappropriate less
than the full amount to which the municipalities are entitled When appropriations are less than 100 percent of
the entitlement funds havebeen allocated pro rata among the eligible school districts
Under the second program theStateaids local school districtsin the payment of operating
expenses under theState K-12 foundation funding which provides education-relatedaid for operating costs
associated with qualified K-12 schools as well as programs such as the handicapped facilities and nutrition
programs The program provides for monthly distributions tothe school districts
Under the third program the state aids local school districts for pupil transportation The program
provides for monthly distributions tothe school districts
Under the fourth program the state has provided one-time grant funds
Department of RevenueThe Department of Revenue disburses shares of variousStatetaxes
collected by thewithinthe jurisdiction of certain Governmental Units including aviation fuel Commercial
Passenger Vessel electric telephone liquor and fisheries resources landed and business taxes Payments are
distributed both semi-annually in January and July and annually in October depending upon the type oftax
Department of Commerce Community and Economic Development The Department of
Commerce Community and Economic Development DCCED administers payment inlieu of taxes program
underwhich thefederal government pays fee for use of land The payments received from thefederal
government are passed through theStatetocertain Governmental Units Distributions occur annually in July
The Statealsodisburses money tocertain Governmental Units through the DCCEDs Capital Matching Grants
program to provide assistance in financing capital projects Distributions are made throughout the year as
approved projects are constructed Additionally theState Revenue Sharing program provides an annual transfer
tocertain governmental units based on population The revenue sharing transfers occur in the first quarter of
the fiscal year
Department of Corrections The Department of Corrections transfers monthly amounts to pay
operational expenses of local communities that house prisoners in municipal-owned facilities
B-i
Sources State ofAlaska Department ofAdministration Division of Finance State ofAlaska Office of
Management and Budget and State ofAlaska Department of Revenue Tax DivisionFurther information
regarding the State ofAlaska may be found at http//alaska.gov this reference is not hyperlink and by
this reference theState ofAlaska website is not incorporated into this Official Statement
B-2
Alaska Municipal BondBank
Capability to Intercept Funds
FY 2013 Shared MatchiagGrants as af
Tanea Fees nae FY 2014 DOT Octaber 12013 will Revenac Sharing
time traastera far Reimbarsemeat FY 2014 ScbaalDebt FY 2014 Edacatina be FY 2014 Cammaaily FY 2014 disbarsed
categarica nftax Pragram traasferred as Rcimbarsemeal Satspnrt lraasferred in drawn dnwn as Jails Transferred in at nae time by
aad license type debt service cnmeadae traaaterred as debt 12 level maalhly tsraiectsare campleled 12 levelasaathty Octaber af fiscal
apdated ia semi-aaaaally carreal service cameadae semi-inatallmeata dariag carreat and past yenr paymentsdaring fiscal year carrcat year
December year anaaal aaaaally carreat year fiscal year carreist year capital grant year carrcal year FY 2014 PILT aaaaal Tatal taterccpl Fiscal Year 2014 Tatal
aaaually appraprialiaa aaaaal apprapriatina aaaaal appraprialianappraprialiaaa aaaaal apprapriatian lraaatcra appraprialiaaCapability Debt Service Cavcragc Ralia
Baraugha
ajtulinaa final Baccagh S2002074 $476742 $057 160 14
2000
841
1719
802
818
ii 29
856
609
32.23
55350495 $4424246 50 $386426 $13377943 $2602051
Haaca Baraagh 406904 900.729 25 25261937 383440 604631 1382392
City Bamagh ofJaaaaa 4062940 14161151 43616733 28847546 2042020 $93330390
Kcaai Pcaiaaala flaraugh 1473970 3501404 86.625.845 33543106 2130401 $127356894 740074
Katchikaa Gateway flaroagh 2639506 2716934 24635536 17627621 632111 5471.394
Kodiab Island flocaagh 1222846 943676 4470047 28484003 17807153 709660 553637385 6558.649
I-alexPaaiaaala flaraagls S3aa8a5 hi 19lb9 1901.080 59122.784 $348469 $0 428627 $11306.93 1001200
NacllswealArcticflamagh 6695 4419584 34723250 13009768 944172 428531 55353200 6252203
City flamagh afSilba 1.641403 2523.860 14537.378 43952095 694660 56626246fl 9622755
Maatcipalily afSbagway 3405620 631542 11446987 429.721 515993075 496178
City flamaghafWaagell 409.023 212430 4355639 11017175 596.467 51716076a 376375
Cities
4562
100.23
6.73
1097
106.78
34.42
6.65
71.74
1140
30.29
46 17
16.52
4070
17.41
19.62
770
4513
524
1165
l4ctlala $3937 SO $0 $0 $28113307 $0 $004164 $386834 52930824
Cardava 1517031 351180 967800 3790931 3814120 240000 393230 206187 1120855
$292413
flilltagham 419943 823.059 7073.906 3306221 422987 210.469 12.89708
Hannah 756778 69205 1985070 17940715
1176090
137204 132967 21.02201
Hamarc 197140 6412982 753410 341.161 970469
112.550
Kctchkaa5 2465255 42739607 490456 4569531
Kcaaia 363172 12000286 14.252 435315 1281302
6873961
178599
KiagCavc5 524005 525865 119176
Kadiaic 1.371504 34262183
j94554
401.964 3724394
Name 54785 227456 9236220 25898506 438945 274840
972604
Naclh Palca 61605 1520950
782589
198.860 178142
Palmcrc 151713 10510646 307025
107050
Pclccabacg 1056400 496743 6173620 17537394 308020
271500
337910 2662303
0aad PataIC 365756 2605941
1.528.909
142.768 3194.46
Scevard 069006 25.303572 655470 227.025
162.022
2705507
Saldalaaa 46057 9543863
3513651
300531 9090.45
tiaalaaka 8.342195 367445 827.546 4958.635 3166125 762.050 763584
219.162
322044 1971042
Valdca 485.678 213188 2030545 4955679 14756795 630250 703.602
3764204
293157 24060.89
WmilIaa 252454 22839005 596467
2066563
Cnmmaaitica thatare seated ia baraagh which aperatca the pablic achaala ia the cammaaity aad receivesthatrelated EdacatiaaSappart Faadtag
Matchiag graalsarc apprapriatrd by the Alaska State Legislatare sad caa vary sigaificaatly fram year Ia year
Iacladesaaaaaldebt service aa geaeralabligatina sadrcveaac-backed laaaaisaacd thraagh AMOB
Barrawcra In this iaaac
PAGE INTENTIONALLY LEvr BLANK
APPENDIX
Government Unit Statistics
Regarding Participation in the Bond Bank
PAGE INTENTIONALLY LEn BLANK
APPENDIX
GOVERNMENTAL UNIT STATISTICS
REGARDING PARTICIPATION IN THE BOND BANK
2005 GENERAL BOND RESOLUTION
OUTSTANDING LOAN PRINCIPAL TO GOVERNMENTAL UNIT BORROWERS OF THE
ALASKA MUNICIPAL BOND BANK
AS OFJANUARY 2014
Does Not Include 2014 Series One Bonds
Outstanding Percent of
Borrower Par Outstanding
City and Borough ofSitka 135595000 17.64%
City and Borough of Juneau 108020000 14.05%
Kenai Peninsula Borough 94690000 12.32%
Kodiak Island Borough 68710000 8.94%
City of Ketchikan 63235000 8.22%
Ketchikan GatewayBorough 41760000 5.43%
City of Seward 40425000 5.26%
City of Unalaska 35190000 4.58%
Northwest Arctic Borough 30505000 3.97%
Aleutians East Borough 27360000 3.56%
Lake Perthisula Borough 18225000 2.37%
City of Cordova 15020000 1.95%
City of Kodiak 13695000 1.78%
City of Diilingham 12505000 1.63%
City of Petersburg 9265000 1.21%
City of Nome 5595000 0.73%
Municipality of Skagway 5460000 0.71%
City of King Cove 1100000 0.14%
City of Homer 3735000 0.49%
City ofBethel 2940000 0.38%
City of Valdez 2725000 0.35%
City of Sand Point 2615000 0.34%
City of Soldotna 2225000 0.29%
City ofWasifia 1880000 0.24%
City of Kenai 1775000 0.23%
City of Hoonah 1190000 0.15%
Haines Borough 1180000 0.15%
City of Palmer 860000 0.11%
City of NorthPole 820000 0.11%
City and Borough of Wrangell 390000 0.05%
Reserve Obligations 20130000 2.62%
Total Outstanding Par $768820000 100.00%
C-i
DEBT SERVICE OF OUTSTANDING GENERAL OBLIGATION LOANS TO GOVERNMENTAL UNIT BORROWERS OF THE ALASKAMUNICIPALBONDBANKUNDERTHE2005GENERALBONDRESOLUTION
FISCAL YEARS 2014-2023
Includes 2014 Series One Bonds
Table reflects Loan Payments throngh fiscal year 2023Debt service on bonds issned nnder the 2005 Resolution continnes to fiscal year 2049
Borrower 2014 2015 2016 2017 2018
City of Ketchulcan Utility 2005Loan
City of Nome 2005 Loan
Kenai Peninaula Borough Cent Em Svce Diat 2006Loan
City of Seward2005 Port Loan
City of Seward 2005 Refunding
City of Seward-2006 Port Loan
City of Ketchilcan Port 2006Loan
City of Nome 2007 Refunding
Northweat Arctic Borough 2007 Refunding
City of Peteraburg 2007 Refunding
City of Seward2007 Refunding
City and Borough ofSitka 2007 Refunding
City of Wasilla 2007 Refunding
Kenai Peninaula Borough 2007 Loan
City of Peteraburg 2007Loan
AleutianaEaat Borough 2007 Refunding
SouthKenai Peninaula Hoapital 2007 Refunding
City and Borough of Juneau 2007 ttt Dock Loan
City of Bethel 2007 Itt Court Facility Loan
Kenai Peninaula Borough South Hoapital Service Area
City of Kodiak MP Loan
City of Kodiak Lift Loan
Kodiak tatand Borough 2008 One Loan
City of Ditlingharn 2008 One Loan
Kodiak PoliceStatfon 2008 One Loan
City of Seward Long TermCare2008 One Loan
City and Borough ofSitka 2008 Two Loan
Municipality of Skagway 2008 Two Loan
City of Seward 2008 Two Loan
City of Unalaaka2009 One Loan
City of Kodiak 2009 One Boat Lift Loan
City of Unataaka 2009 Two Loan
Kodiak tatand Borough 2009 Two Loan
City of Cordova 2009 Two Loan
City of Nome 2009 Two Loan
City and Borough of Juneau -2009ThreeLoan
Ketchilcan GatewayBorough-2009 Four Loan
KenaiPeninaula Borough-2009 Four Loan
City of Kenai-2010 One Loan
Ketchikan GatewayBorough-2010 One Loan
lorthwest Arctic Borough-2010 One Loan
City of Peteraburg-2010 One Loan
Cityof Unataaka-2010 One Loan
$131518C
301338
190128
116935
286750
344380
2559450
177488
256331
147181
241838
846575
417744
314538
91281
1206238
145900
753159
292413
1129569
128621
243580
625210
1176090
529990
1970663
563445
394235
393686
1914000
70413
561425
1502800
1370481
54263
1479850
1775819
1055150
178598
729000
281215
239419
426699
$1330180
302338
190728
118435
288750
346380
2556156
181397
256094
147131
243859
845341
422263
316725
88925
1203438
145300
746813
295225
1129600
126221
244530
624210
1176090
531240
1971413
562045
391235
393886
1916800
69613
559025
1370681
53263
1493075
1774769
1055600
176198
722050
282465
236269
425999
$133168081332480
302838 299838 301433
191128 191328 191171
302564 303114 303244 302709 301744
114685 116685 118405 114899
190071
116329
194121
117549
192671 190890
118464 119164
342980 344380 345099 345405
2555069 2556963 2553063 2548063
344993 344155 347760 345510
179894 177419 180247
2550038 2543850 2544363 2541300
255856 1259844 1249172
180619 178609
141944 145919 140159
1248825 1245163
235606 241044 241709
143681 147991
847319 848781 851672
237394 238363 234525 239994
420819 421681 423241
313225 312625
424588
91431 88544 90778
945438 947338 1772238
90100 92356 89425 91297
144700 144100 143500
1835863 1844988 1856938 2121938
747175 749575 746875
146950 789450 788250 784350
291838 293038 294125 295125
745500 746000 745500 748875
1128569 1126475 1127363 1124313
290750 291000 290750 290000
128671 125971 128121
1122938 1119813 1119813 1117813
240330 240980 241330
127521 125287 127878 125313
622460 624960 620160 624960
242030 243271 244186 244804
1179590 1176340 1178540
623960 621323 623048 623360
531990 532240 529040 505640
1174540 1176390 1176753 1179565
1970163 1971913 1970513
507840 509128 504990 505365
565245 562845 564725 564625
1973313 1969750 1969488 1970925
393035 394435 395210
564005 562355 564645 565610
393886 393686 393151 394751
395330 393630 396210 392815
1909900 1912900 1909025
393151 391176 393816 395826
68713 67713 71588
1905525 1905650 1903525 1904025
558775 558800 563588 560413
69088 67838 71463 69963
1371656 1367969 1369094
52138 51075 55044 53694
1369906 1369906 1367906 1371706
1500650 1485600 1495800
52269 55769 54019 52181
1777769 1775519 1768232
1444800
1754104
1468800
1743479 1731390 1722642 1707107
178798 175398 176998
729800 725800 731000
172704 172011 171018 16472
283565 283165 282565
730000 728000
238044 239094 234494
280765 284565 281315 276127
425149 427149 428749
234894 234794 238694 235840
TableContinues on Following Page
Borrower 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Northwest Arctic Borough 2010 Refunding 970750 969350 967200
City and Borough of Juneau 2010 Two Loans 1143819 1141794 1139319 1139029 1129772 1117534 1107744 2472665 1820539 1779639
City of Cordova 2010 Two Loan 46955 45905 49780 48430 46859 45138 48188 46070
City of King Cove2010 Two Loan 42712 42112 41512 45743 44762 43686 42540 41363 40155 38847
Aleutians East Borough 2010Loan 399778 399003 397078 398878 395378 396578 397966 392.943 390877 383441
City of King Cove2010ThreeLoan 61842 60942 59892 58692 62392 60992 59680 58205 61359 59389
City of Unalaska 2010 Three Loan 435192 438892 436267 437267 437867 438067 433605 432617 429319 420652
Kenai Peninsula Borough 2010 Four Loan 1487777 1477241 1468022 1459887 1442725 1431305 1411775 1395269 1376201 1358946
City of Ketchilcan 2010 Four Loan 632888 631272 628044 623153 616549 608190 603500 597854 586163 578214
Ketchilcan GatewayBorough 2010 Four Loan 339087 334573 333976 332198 324287 320209 315233 314574 308091 300753
City and Borough ofSitka 2010 Four Loan 4069032 4082982 4064732 4064932 4075151 4062 4047570 4058570 4050648 4038926
City of Soldotna 2010 Four Loan 219162 216905 219070 215646 216594 211905 211752 206311 205509 199279
City and Borough of Wrangell 2011 One Loan 26275 25675 25075 24475 28875 28000 27000 26000
Kodiak Island Borough 2011 One Loan 624850 626000 621850 622550 622950 621400 622800 623600 623800 625513
City and Borough of Juneau 2011 Two Loan 660231 659631 658831 657831 658831 657300 659600 655200
City and Borough ofSitka 2011 Two Loan 411709 412209 407609 408009 412134 410090 407590 407390 411790 407690
Aleutians East Borough 2011 Three Refunding 298000 569125 833750 976625 229375 229875 226000 231625 230625
Kenai Peninsula Borough 2011Three Refunding 1169000 1656275 1647050 1640450 1630075 1621825 1617850 967375 958750 953250
Ketchilcan GatewayBorough 2011Three Refunding 618600 620325 621250 616300 618175 618800 615900 616875 614000 609875
Northwest Arctic Borough 2011Three Refunding 1336500 2493150 2484400 2491900 2486775 2492025 2492700 2488875 2485000 2485625
Wrangell 2011Three Refunding 96300 87600 93800 41000
Kenai Peninsula Borough CentralHospital 2011Three 1343600 3522725 3525050 3522125 3521750 3520000 3521000 3525500 3528625 3533750
City of Cordova2011Three 58400 56600 54800 57875 55625 53375 56250 54000 56375
City of Hoonah 2011Three 112550 110075 107600 114875 111625 113250 90500 93125 90375 92500
Kodiak Island Borough 2011Three 298800 301350 298600 300475 300975 300975 301550 301625 300125 298125
Municipality of Skagway 2011Three 35700 35025 34350 33675 37800 36800 35900 35000 34000 37875
City of Seward2011Three 159400 242275 243350 244175 244300 244175 244350 244275 243400 242275
City and Borough of Juneau Refunding 2012 One 1319500 1323700 1319125 1091625
Juneau WildflowerCourt Refunding 2012 One 1569700 1637075 1702025 1344900 1418125 1486925 1555825 437725 484575 534966
Juneau 2012 Two 318000 1892250 1902150 1920400 1940250 1958400
City of Ketchilcan 2012 Two 357794 358344 356944 354444 356644 352519 352019 355894 355344 354294
Ketchilcan GatewayBorough 2012 Two 135450 135450 689150 686150 682350 689250 681625
Kodiak Island Borough 2012 Two 503550 503550 1449250 1449850 1439500 1447950 1439025 1442275 1433950 1433125
City ot Nome 2012 Two 52150 145725 147300 148200 148900 148825 147950 146825 146100 150000
City of North Pole 2012 Two 41600 36550 36550 100250 102550 99400 100775 101900 103200 104250
City of Palmer 2012 Two 37550 37550 111050 108050 105800 108450 104850 105725 106800 107625
City of Petersburg 2012 Two 175400 333000 494000 490600 496600 491075 488125 488375 489750 485250
City and Borough ofSitka 2012 Two 1061450 1058050 1455650 1456250 1460150 1456775 1455650 1456650 1451200 1453000
City of Valdez 2012 Two 126350 126350 341950 347850 348250 351850 343725 340225 342550 344125
Haines Borough 2012Three 84208 83919 87219 85981 84744 82719 85344 82844 85219 87344
Juneau 2012Three Refunding 396616 903050 909050 916950 918950 928250 937125 948625 947875 959750
Juneau2012ThreeSchool Construction 1584494 1482875 1455375 1440838 1430600 1400375 1363625 1364875 1363125 1363250
TableContinues on Following Page
Borrower 2014 2015 2016 2017 2018 2019
Uty 01 retersburg 2012 Three
Kenaf Peninsula BoroughBear Creek Fire 2013 One
City and Borough of Juneau Bartlett Hospital 2013 One
City and Borough of Juneau2013 One
Kafchikaii Gateway Borough 2013 One
Kodiak Island Borough 2013 One
City of Sand Point 2013 One
City and Borough ofSitka Harbor 2013 One
City and Borough ofSitka Electric 2013 One
City of Homer 2013 Two
City of Ketchikan 2013 Two
Kodiak Island Borough 2013 Two
Municipality of Skagway 2013 Two
City and Borough of Juneau2013Three
Kenai Peninsula Borough
Lakeand Peninsula Borough 2013Three
City and Borough ofSitka 2013Three
Kenai Peninsula Borough 2014 One
Kodiak Island Borough 2014 One
City and Borough of Juneau2014 One
104971
83481
1680044
198241
540621
1496335
162822
272728
1557216
281953
1182650
711253
66243
103925
94020
1656213
204610
610150
1689340
180580
310700
1757360
287350
1700400
1353688
67550
914231
1698935
1478931
1637233
2964268
1779628
413353
101525
97420
1652113
201010
608150
1690140
183180
310300
1757360
289750
1064400
1355538
66950
911700
1701550
1479800
1348750
2964831
1779100
412.400
iU4M3t
9562C
1657213
20241C
610550
168974C
180580
309700
1757360
292050
1069500
1356788
71350
914525
1702125
1477950
1348750
2965311
1780250
413050
103050
93820
1659263
203610
607150
1688140
182980
308900
1757360
287850
1069200
1355988
70300
913375
1698275
1482175
1348750
2960730
1777950
410800
105000
97020
1665563
199610
608150
1690340
180180
307900
1757360
288650
1068450
1355888
69250
911625
169875C
1480725
1348750
2965472
1779750
409800
101500
94520
1661863
204610
608400
1687590
181680
310150
1757360
289300
1072250
1360188
68200
915300
1699100
1479850
1348750
2964300
1780150
413.600
1U4Si
9752C
1661513
200210
607600
1691790
183680
308550
1757360
293300
1069850
1361588
71800
914100
1699000
1479250
1348750
2962652
1777150
410300
104000
95320
1666713
200.810
611000
1689390
180480
311750
1757360
291900
1071650
1361788
70200
911700
1702400
1477450
1348750
2962764
1776400
412050
104875
93120
1665313
201210
608400
1690590
182280
309550
1757360
290300
1072450
1363038
68600
913000
169930C
147935C
1348750
2962500
1778000
410.050TotalLoanObligationOS$62000359 $79726071$79786455$79399822 $76729893 $76681453
APPENDIX
Summaries of Borrowers Representing
10%or More of Outstanding Principal of Bonds
Issued Under the 2005 General Bond Resolution
PAGE INTENTIONALLY LEVr BLANK
Municipal FinancialPosition 2009 2010 2011 2012 2013 Average
Property Tax Collections
BorrowersPropertylaxRateper$lOOO $4.50 $4.50 $4.50 $4.50 $4501 $4.50
MunicipalLevy $26779449$28875124$29058274 $30419493 $30823497 $58500541 00
CurrentYears Collections $264319an $28375677$28630610$29946804 $30382636 $57650F4
CurrentCollectionRate 9370 9827%98.53%98.45%98.57%I 98.55
Total Years Collections $2677391 $28863520$29005996$30353606$3O382636$58383843
TotalCollectionRate 99.98 99.96%99.82%99.78%98.57%I 99.80
General Fund
Total Ending Fund Balance .$2513821 23025423 21705814 21466 583 23310985
Unreserved Ending Fund Balance 24604294 22864839 21454058 21268.520 16296148 94052757
Expenditures 691196 70829556 72163558 71347 68 72452478 $129385194
Fund Balance/Expenditures 36 32%30%30%22%30
Total Revenues 69797834 68716762 70799893 71108637 74255493$129722/5
Intergovernmental Revenues 9477866 8987813 8538331 9749464 10392037$1627182
PercentageIntergovernmental 14 13%12%14%14%13
AnnualGrowthCeneralEconomicDemograplucData
To l0TaxPaers
mey mostrecent
2011 UmeservedFund Batonse is Net of Note Rexeivobte tothe City of Homer the emomet of $6944837 foeiostattotionofnatural gm to vourmonity seemed by assovnments on ott benefited properties
KenaiPeninsula Borough General Fund
General ObligationFinancial Summary
D-1
Municipal FinancialPosition
troperty Tax Collections
norrowers1rooertv lax Ratener SLXX
Current YØafs LoJlectlons
Current Collection Rate
Total Years Collections
CITY AND BOROUGH OF SITKA
GENERALOBLIGA11ON FINANCIAL SUMMARY
2009 2010 2011 2012 2013 Average
D-2