Buffalo Municipal Water Finance Authority City Hall Buffalo, New York 14202

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Buffalo Municipal Water Finance Authority City Hall Buffalo, New York 14202 PRELIMINARY OFFICIAL STATEMENT DATED SEPTEMBER 30, 2020 NEW ISSUES RATING: Book-Entry-Only (See “Rating” herein) In the opinion of Hawkins Delafield & Wood LLP, Bond Counsel to the Authority, under existing statutes and court decisions and assuming continuing compliance with certain tax covenants described herein, (i) interest on the Series 2020 Bonds is excluded from gross income for federal income tax purposes pursuant to Section 103 of the Internal Revenue Code of 1986, as amended (the “Code”), and (ii) interest on the Bonds is not treated as a preference item in calculating the alternative minimum tax under the Code. In addition, in the opinion of Bond Counsel to the Authority, under existing statutes, interest on the Series 2020 Bonds is exempt from personal income taxes imposed by the State of New York or any political subdivision thereof (including the City of New York). See “TAX MATTERS” herein. BUFFALO MUNICIPAL WATER FINANCE AUTHORITY $4,850,000* Water System Revenue Bonds, Series 2020-A $17,020,000* Water System Revenue Refunding Bonds, Series 2020-B Dated: Date of Delivery Due: As shown on inside cover The Series 2020-A Bonds and the Series 2020-B Bonds (collectively, the “Series 2020 Bonds”) will be issued by the Buffalo Municipal Water Finance Authority (the “Authority”), pursuant to the Buffalo Municipal Water Finance Authority Act, constituting Title 2-B of Article 5 of the Public Authorities Law of the State of New York, as amended. The Series 2020-A Bonds are being issued for the purpose of financing certain repairs and improvements to the water system (the “System”) owned and operated by the Buffalo Water Board (the “Board”) and to pay certain other expenses, including costs of issuance of the Series 2020-A Bonds. The Series 2020-B Bonds are being issued for the purpose of refunding all or a portion of the outstanding principal amounts of the Water System Revenue Bonds, Series 2010-A(2) (the “Refunded Bonds”) of the Authority and to pay certain other expenses, including costs of issuance of the Series 2020-B Bonds. The Series 2020 Bonds are special obligations of the Authority, payable solely from and secured by a pledge of and lien on the gross revenues of the System. THE AUTHORITY HAS NO TAXING POWER. THE SERIES 2020 BONDS ARE NOT A DEBT OF THE STATE OF NEW YORK, THE CITY OF BUFFALO, NEW YORK (THE “CITY”), OR THE BOARD AND NEITHER THE STATE OF NEW YORK, THE CITY, NOR THE BOARD IS LIABLE ON THE BONDS. The Series 2020 Bonds are subject to redemption prior to maturity, as described herein. See “OPTIONAL REDEMPTION” herein. The Series 2020 Bonds are issuable in the form of fully registered bonds without coupons in the denominations of $5,000 or integral multiples thereof. The Series 2020 Bonds, when issued, will be registered in the name of Cede & Co., as registered owner and nominee for the Depository Trust Company (“DTC”). DTC will act as securities depository for the Series 2020 Bonds. Individual purchases will be made in book-entry only form (without certificates) in the principal amount of $5,000 or integral multiples thereof. So long as Cede & Co. is the registered owner of the Series 2020 Bonds, as nominee for DTC, references herein to the Bondholders or registered owners shall mean Cede & Co., as aforesaid and shall not mean the Beneficial Owners of the Series 2020 Bonds. Interest on the Series 2020-A Bonds is payable on January 1 and July 1, commencing on July 1, 2021. Interest on the Series 2020-B Bonds is payable on January 1 and July 1, commencing on July 1, 2021. So long as Cede & Co. is the registered owner of the Series 2020 Bonds, as aforesaid, principal and interest will be payable by U.S. Bank, National Association, New York, New York, as Trustee and Paying Agent, directly to Cede & Co., as nominee for DTC. Disbursements of such payments to Direct Participants is the responsibility of DTC and disbursements of such payments to the Beneficial Owners is the responsibility of Direct Participants and Indirect Participants. See “THE SERIES 2020 BONDS” and “BOOK-ENTRY ONLY SYSTEM” herein. The Series 2020 Bonds are offered, subject to prior sale, when, as and if issued by the Authority and received by the Underwriters, subject to the approval of legality of the Series 2020 Bonds by Hawkins Delafield & Wood LLP, New York, New York, Bond Counsel to the Authority, and subject to certain other conditions. Certain legal matters will be passed upon for the Authority, the Board and the City by the City’s Corporation Counsel, and for the Underwriters by Harris Beach PLLC, Buffalo, New York. Capital Markets Advisors, LLC, Orchard Park, New York, serves as Financial Advisor to the Authority. It is anticipated that the Series 2020 Bonds will be available for delivery in New York, New York on or about October 21, 2020. Roosevelt & Cross Incorporated September , 2020 This Preliminary Official Statement and the information contained herein are subject to completion or amendment without notice. Under no circumstances shall this Preliminary to sell or the solicitation of Official Statement constitute an offer This Preliminary contained herein are subject to completion or amendment without notice. Official Statement and the information prior of such jurisdiction. or qualification under the securities to registration be unlawful laws solicitation, or sale would jurisdiction sale of these securities, in any in which such offer, nor shall there be any to buy, an offer * Preliminary, subject to change $4,850,000* Water System Revenue Bonds, Series 2020-A Dated: Date of Delivery Principal Due: July 1, as shown below Interest Due: July 1, 2021 and semi-annually thereafter on January 1 and July 1 $1,510,000* Serial Bonds Interest Yield Interest Yield Maturity Amount* Rate or Price Maturity Amount* Rate or Price July 1, 2021 $ 75,000 % % July 1, 2027 $ 130,000 % % July 1, 2022 $ 105,000 % % July 1, 2028 $ 135,000 % % July 1, 2023 $ 105,000 % % July 1, 2029 $ 145,000 % % July 1, 2024 $ 110,000 % % July 1, 2030 $ 150,000 % % July 1, 2025 $ 120,000 % % July 1, 2031 $ 155,000 % % July 1, 2026 $ 125,000 % % July 1, 2032 $ 155,000 % % $670,000* % Term Bonds Maturing July 1, 2036 Priced to Yield % $730,000* % Term Bonds Maturing July 1, 2040 Priced to Yield % $1,025,000* % Term Bonds Maturing July 1, 2045 Priced to Yield % $915,000* % Term Bonds Maturing July 1, 2049 Priced to Yield % $17,020,000* Water System Revenue Refunding Bonds, Series 2020-B Dated: Date of Delivery Principal Due: July 1, as shown below Interest Due: July 1, 2021 and semi-annually thereafter on January 1 and July 1 Interest Yield Interest Yield Maturity Amount* Rate or Price Maturity Amount* Rate or Price July 1, 2021 $ 590,000 % % July 1, 2031 $ 890,000 % % July 1, 2022 $ 605,000 % % July 1, 2032 $ 915,000 % % July 1, 2023 $ 625,000 % % July 1, 2033 $ 935,000 % % July 1, 2024 $ 660,000 % % July 1, 2034 $ 955,000 % % July 1, 2025 $ 690,000 % % July 1, 2035 $ 975,000 % % July 1, 2026 $ 725,000 % % July 1, 2036 $ 995,000 % % July 1, 2027 $ 760,000 % % July 1, 2037 $1,015,000 % % July 1, 2028 $ 800,000 % % July 1, 2038 $1,040,000 % % July 1, 2029 $ 835,000 % % July 1, 2039 $1,060,000 % % July 1, 2030 $ 865,000 % % July 1, 2040 $1,085,000 % % • Priced to the July 1, 2027 Call Date * Preliminary, subject to change BUFFALO MUNICIPAL WATER FINANCE AUTHORITY CITY HALL BUFFALO, NEW YORK 14202 MEMBERS DONNA J. ESTRICH, CHAIR MICHAEL J. FINN ABBY SNYDER RASHEED N.C. WYATT BUFFALO WATER BOARD CITY HALL BUFFALO, NEW YORK 14202 MEMBERS OLUWOLE A. MCFOY, CHAIRPERSON WILLIAM L. SUNDERLIN, VICE CHAIRPERSON GERALD E. KELLY STEVEN J. STEPNIAK CHIEF FISCAL OFFICER – AUTHORITY BARBARA MILLER-WILLIAMS GENERAL COUNSEL - AUTHORITY TIMOTHY A. BALL, ESQ. AND BOARD CONSULTANTS BOND COUNSEL TO THE AUTHORITY HAWKINS DELAFIELD & WOOD LLP CONSULTING ENGINEER GHD CONSULTING SERVICES, INC. FINANCIAL ADVISOR CAPITAL MARKETS ADVISORS, LLC RATE CONSULTANT LISA A. FOTI, CPA No dealer, broker, salesperson or other person has been authorized by the Authority to give any information or to make any representation, other than those contained in this Official Statement. This Official Statement does not constitute an offer to sell or the solicitation of an offer to buy the Series 2020 Bonds by any person, in any jurisdiction in which it is unlawful for such person to make such offer, solicitation or sale. The information, estimates and expressions of opinion herein are subject to change without notice and neither the delivery of the Official Statement nor any sale made hereunder shall, under any circumstances, create any implication that there has been no change in the affairs of the Authority, the Board, and the City since the date hereof. The information set forth herein has been provided by the Authority, the Board, and the City, but is not guaranteed as to its accuracy or completeness and is not construed as a representation by the Underwriters. The Underwriters have provided the following sentence for inclusion in this Official Statement: The Underwriters have reviewed the information in this Official Statement in accordance with, and as part of, their responsibility to investors under the Federal securities laws as applied to the facts and circumstances of this transaction, but the Underwriters do not guarantee the accuracy or completeness of such information. This Official Statement should be considered in its entirety and no one factor considered less important than any other by reason of its position in this Official Statement. Where agreements, reports or other documents are referred to herein, reference should be made to such agreements, reports or other documents for more complete information regarding the rights and obligations of parties thereto, facts and opinions contained herein and the subject matter thereof.
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