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HomeMy WebLinkAbout2008-01-16 Redevelopment Authority MinutesSOUTH BEND REDEVELOPMENT AUTHORITY REGULAR MEETING January 16, 2008 1308 County-City Building 1:30 p.m. 227 West Jefferson Boulevard Presiding: Jose Alvarez South Bend, IN 46601 The January 16, 2008 Regular Meeting of the Redevelopment Authority was called to order at 1:30 p.m. by Jose Alvarez. There was a quorum present. 1. ROLL CALL Members Present: Mr. Jose Alvarez, President Ms. Carolyn V. Pfotenhauer, Vice President Mr. Ray Thomas, Secretary Redevelopment Staff: Mr. Bill Schalliol, Economic Development Specialist Mrs. Jenny Hullinger, Recording Secretary 2. APPROVAL OF MINUTES Approval of the minutes of the Annual Organizational Meeting of January 2, 2008 Upon a motion by Ray Thomas, seconded by Carolyn Pfotenhauer, and unanimously carried, the Authority approved the Minutes of the Annual Organizational Meeting of January 2, 2008. b. Approval of the Minutes of the Special Meeting of January 2, 2008. Upon a motion by Ray Thomas, seconded by Carolyn Pfotenhauer, and unanimously carried, the Authority approved the Minutes of the Special Meeting of January 2, 2008. 3. NEW BUSINESS Redevelopment Authority Approval requested to adopt Resolution No. 162 authorizing the Refunding of the Lease Rental Revenue Bonds of 1998 (the "1998 Bonds") and approving the form of Bond Documents and Authorizing the Execution of a bond purchase agreement and distribution of an official statement. Ms. Allison Sell, of Baker and Daniels, said the bonds were for the Morris Civic and the Palais Royale. The bonds originally were for $13,300,000. and as of February 1, 2008 the outstanding amount will be $8,200,000. This resolution sets forth the perimeters of the refunding, which will be an aggregate principal amount not to exceed $8,000,000. The maximum interest rate is set at 6%. The final maturity date will be no later than February 1, 2017, which is the same as the 1998 financing. The bonds are not subject to optional redemption prior to maturity, which is typical of a financing of less than ten years. They mature on February 1, The South Bend Redevelopment Authority January 16, 2008 Meeting Minutes and August 1, 2017 The financing bill will occur by negotiated sale with the underwriter, 7.P. Morgan Securities. The net present value of savings will be approximately 5%, which equates to between $430,000 and $450,000. Mr. Schalliol said that from an annual savings perspective over the next nine years there will be about $970,000. worth of savings, about $100,000. per year. Ms. Pfotenhauer asked if the figures quoted take into consideration the costs involved in refinancing, and Ms. Sell said they did. Ms. Sell said the bonds will be sold in February and close in February if the market conditions are similar. Upon a motion by Ms. Pfotenhauer, seconded by Mr. Thomas, the Authority approved Resolution No. 162 authorizing the Refunding of the Lease Rental Revenue Bonds of 1998 (the "1998 Bonds") and approving the form of Bond Documents and Authorizing the Execution of a bond purchase agreement and distribution of an official statement. 4. NEXT MEETING DATE: February 6, 2008 5. ADJOURNMENT There being no further business to come before the Redevelopment Authority the meeting was adjourned at 1:40 p.m. H:\WPDATA\AUTHORTY\1-16-2008 REDEVELOPMENT AUTHORITY MINi1TES