2011-05-18 Redev Authority Minutes

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• The Redevelopment Authority May 18, 2011 Meeting Minutes issued in 1994 and refunded in 2001 and can be refunded again. The financial advisor is projecting about a 3% savings on both bonds. Mr. Rompola said we could wait until we have a user for the Hall of Fame in hand but right now it is possible to even generate a savings going from tax exempt 2001 rates to taxable 2011 rates. We can generate savings right now. Mr. Zientera said packaging the two bonds together right now will save money and will only have one official statement. We will get two bonds for the price of about one and a half bonds. They were tied together by a lease in 1994 and still are, even though we have done separate financings. Now we will have one disclosure document, two series of bonds, and will probably just have one lease addendum, and amend both sections of the lease. Mr. Zientera said we will keep the original maturity dates. Upon a motion by Ms. Pfotenhauer, seconded by Mr. Thomas, the Authority unanimously approved the Engagement letter for Baker& Daniels to serve as Bond Counsel for Issuance of Refunding Bonds related to the Hall of Fame Project and the Century Center Project. b. Resolution No. 173 authorizing the issuance of the South Bend Redevelopment Authority Lease Rental Revenue Refunding Bonds, Series 2011 Mr. Inks said the amounts listed in Resolution No. 173 are higher than the principle on the bonds. They also include the interest that will be due come the payment date, plus the issuance cost related to the bonds. There is also a cushion factor to make sure we are covered but any excess funds left cannot be used for new capital projects like we have done sometimes in the past. This money is just for paying off the bonds and hopefully getting lower interest rates and generating savings for the City. Upon a motion by Mr. Alvarez, seconded by Ms. Pfotenhauer, the Authority unanimously approved Resolution No. 173 authorizing the issuance of the South Bend Redevelopment Authority Lease Rental Revenue Refunding Bonds, Series 2011. c. Mayflower Road Sanitary Sewer Easement in Blackthorn Corporate Park. Mr. Meteiver showed where the sewer line would run and the golf course parcels that it would affect. Mr. Zientera asked the purpose of the sewer. Mr. Inks said the reason the sewer runs through the properties this way is to tie into a lift station that was put in for Blackthorn Corporate Park and development to the north that was anticipated. The Mayflower sewer opens up new development opportunities to the north. There is a new project that is already planned once the new sewer is put in, Mayflower Road is being realigned with Brick at Cleveland, and there is a development site on the north side of the Brick and Cleveland area that is 2