Title
Municipal Advisory Services Agreement
History
In 2020, the Village solicited proposals for Municipal Advisory Services, and selected PMA Securities, LLC. An agreement was signed with an expiration date of November 2, 2023, and included the Village’s option to extend the agreement for three (3) additional years. Pleased with PMA’s performance, staff exercised this option, extending the contract.
PMA Securities has a highly qualified team that has advised the Village on issuing new debt, refunding existing debt, and developing a long-term financing plan.
On July 21, 2025, Bob Lewis and Andrew Kim from PMA Securities provided an overview of the Village’s debt portfolio and previewed the upcoming 2025 G.O. Bonds to be issued for capital projects. As part of the Village’s approved five-year financial plan, annual debt issuances were anticipated; however, the 2024 bond issuance was postponed and will now be combined with the 2025 issuance. The PMA presentation marked the official start of the new debt issuance process, which will fund portions of the capital program for both planned 2024 and 2025 fiscal years. This agreement applies to future bond issuances planned for 2026 and beyond, as well within the term of this contract.
Under the agreement, the Village only pays for services when bonds are issued. For each bond series, a separate engagement letter is required. The Village retains the right to terminate the contract with thirty (30) days’ written notice.
Financial Impact
Fees related to any debt issuance will be paid at the time of issuance in accordance with the Fee Proposal outlined in the attached Agreement, not to exceed $66,375.00 per issuance for the combined years 2024 and 2025. The cost for future bond issuances is expected to be approximately half that amount. Representative fees are as follows:
Public offering Price of Issue Stand Fee Amount for Service
Up to $4,995,000 $5,000,000 $12,500 plus $1.00/$1,000 public offering price
$5,000,000 - $9,995,000 $11,250 plus $1.25/$1,000 public offering price
$10,000,000 and above $10,000 plus $1.35/$1,000 public offering price
Recommended Action/Motion
I move to authorize the approval and execution of a vendor contract with PMA Securities, LLC for Municipal Advisory Services for three (3) years through November 30, 2028, with the option to renew for three (3) additional years upon mutual agreement between the Village of Orland Park and PMA;
AND
Authorize the Village Manager to execute all necessary contract documents, subject to Village Attorney review,
AND
Authorize the Village Manager to execute engagement letters for bond series that may be issued from time to time under this agreement.