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South Bend Redevelopment Commission <br />Regular Meeting— September 19, 2003 <br />L, 6. NEW BUSINESS <br />F. Airport Economic Development Area <br />(1) continued... <br />"A Resolution of the Redevelopment <br />Commission of the City of South Bend, <br />Indiana, amending Resolution No. 1823 <br />entitled "Resolution of the <br />Redevelopment Commission of the City of <br />South Bend, Indiana, pledging Tax <br />Increment Finance revenues for the <br />payment, if necessary, of the principal of <br />and interest on a loan from the <br />Environmental Remediation Revolving <br />Loan Fund administered by the Indiana <br />Development Finance Authority." <br />Mr. Rompola reported that Resolution <br />No. 2003 is related to the brownfield bond <br />which was completed for the Bosch <br />financing. At that time, the Indiana <br />Development Finance Authority was <br />somewhat difficult in terms of requirements <br />as far as parity provisions regarding future <br />bonds that might be issued with respect to <br />TIF revenue provisions. This has happened <br />to several communities around the state. <br />Our original position on this is that we <br />would not allow a new parity bond to be <br />issued at all. That was absurd and we were <br />able to convince them of that. What we <br />were left with is that they were wanting <br />150 percent parity; meaning that if we get a <br />bond in the future, based on the Airport TIF <br />revenue, you had to have at least 150 percent <br />of the total debt service of all the bonds <br />combined, sitting there and available. That <br />number was high in the market place, but <br />that's all we could get from them at the time. <br />(V 14 <br />