Sales Tax Revenue Bond Anticipation Notes

Bluffdale City, Utah is soliciting competitive bids for the purchase of $30,000,000 in Sales Tax Revenue Bond Anticipation Notes (BANs), Series 2026, to finance construction costs of a railroad underpass project and related improvements in Salt Lake County. The project represents a critical infrastructure initiative designed to replace a restrictive single-lane "S" curve with a modern four-lane arterial railroad underpass, utilizing an innovative "box jacking" construction method that allows Union Pacific and FrontRunner trains to maintain continuous operations during construction. The Notes are structured as a 4-year term maturing on February 1, 2030, with interest payment dates on February 1 and August 1, commencing August 1, 2026, and feature flexible call options with callability no later than July 1, 2027. Bidders must submit firm rates only by 2:00 PM Mountain Time on Tuesday, May 12, 2026, with the City planning to notify the winning bidder by Wednesday, May 13, 2026, and a preliminary delivery date of May 27, 2026. The Notes will be non-rated and non-bank-qualified, with interest payable solely from a senior lien on 100% of the City's Local Sales and Use Tax revenues; principal is payable from the proceeds of future sales tax revenue bonds or grant funds from the State of Utah. The City projects sales tax revenues of $5.3 million annually from 2027 through 2030, providing significant debt service coverage, and no debt service reserve fund requirement has been established. Gilmore Bell serves as bond counsel, and bids must be submitted directly to the City per directions in the Request for Bids document, with no submissions accepted through the Bonfire Portal.

Bidders must be banks or bank-controlled entities, as confirmed by an investor letter submitted by the winning bidder confirming their status as a financial institution intending to hold the Notes to maturity with no intention to resell. All bidders must comply with Utah's public contract boycott restrictions regarding Israel and economic boycotts as a condition of award. The Project is funded through approximately $50 million in Utah legislative sources (HB 502 and SB 151) and approximately $10 million in local City contributions, establishing a total project budget of approximately $60 million. No incumbent vendors or existing contractors are identified in this solicitation, as this represents a debt issuance rather than a traditional goods or services procurement. The City currently has no outstanding sales tax indebtedness, which enhances its creditworthiness and the security of the Notes for potential bidders. The procurement award is fixed at $30,000,000 in Notes to be purchased by the successful bidder.