Title
Discuss and consider approving a resolution authorizing the publication of notice of intention to issue combination tax and limited revenue certificates of obligation, in an estimated amount not to exceed $153 million for public improvements related to the Downtown East Project, designating certain self-supporting debt and other matters related thereto.
Summary
This item authorizes the publication of a notice to begin the process of issuing Certificates of Obligation (C/Os). If approved, the notice will be initially published on April 5, 2023 notifying the public that the City intends to issue C/Os. The proposed issuance of Certificates of Obligation will be used to fund capital improvement projects with total amount not to exceed $153M for the purposes of funding public improvements related to Downtown East as described in the notice. Such public improvements for the creation of a municipal complex to include a portion of the new Recreation Center, City Hall and supportive infrastructure related to the development of Downtown East.
The amount for the C/O issuance was generated based on estimates for cost of construction for a Recreation Center, City Hall and the City's estimated portion of the cost for public infrastructure for the project that includes construction of Main Street, utilities and parking associated with the Downtown East development. The balance of the cost of infrastructure will be provided by the master developer for the Downtown East project.
By approving this resolution, the City is not required at this point to issue the C/Os. However, if issued, the total amount cannot exceed $153 million, as stated in the attached resolution. This amount includes all project and bond issuance costs.
Estimated Tax Supported Debt: $86.8M
Estimated Self Supported Debt (including TIRZ funded projects): $66.2
In July 2022, City Council approved a resolution with the estimated amount of tax supported C/Os being $71.8M which would equate to a...
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