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HomeMy WebLinkAbout1988-04-27 Minutes.~.. . SOUTH BEND REDEVELOPMENT AUTHORITY SPECIAL MEETING May 27, 19.88 1200 County-City Building 8.00 a.m. 227 W. Jefferson Boulevard • South Bend, Indiana 46601 The May 27, 1988 Special Meeting of the Redevelopment Authority was called to order at 8:06 a.m. by its President, Thomas J. Varga, Jr. There was a quorum present. 1. Roll Call Members Present: Legal Counsel: Redevelopment Staff: News Media: ~2. A royal of Minutes pp Mr. Thomas J. Varga, Jr. Mr. Chris Davey Mr. Joseph Wroblewski Mr. Richard Nussbaum II Mrs. Ann Kolata, Deputy Executive Director Mrs. Cheryl Phipps, Office Manager Ms. Jeanne Derbeck, South Bend .Tribune Upon a motion by Mr. Wroblewski, seconded by Mr. Davey and unanimously carried, the Authority approved the Minutes of the Special Meeting of May 13, 1988. 3. Authority selection of Bond Trustee, Bond St. Joseph/Wayne Parking Facility.. and for the Mr. Nussbaum noted that all of the banks submitting proposals submitted for both the parking facility and the stadium. Eight banks submitted proposals: Indiana National Bank, Indianapolis Merchants National Bank & Trust, Indianapolis Bank One, Indianapolis Valley American Bank, South Bend 1st Source Bank, South Bend Midwest Commerce Bank, South Bend Trustcorp, South Bend First Interstate Bank, South Bend Mrs. Kolata summarized the proposals for both the parking facility and stadium. The Bond Trustee, Bond Registrar and Paying Agent receives the bond proceeds and pays the bills as they come in. She noted that during construction, there are more responsibilities and administrative duties to perform. All of the banks submitting bids provided background on their expertise in bond and asset administration and lack of qualifications was not an issue in the decision. There were three types of fees/charges in all of the bids: (1) an initial fee, (2) an annual fee during the life of the bond, and (3) administrative fees on individual transactions. All proposals indicated that they would .charge reimbursable expenses. Mrs. Kolata indicated that using a local bank ...for the garage trustee would minimize these reimbursables, particularly during the construction phase. Mrs. Kolata indicated-.that it would .also be advantageous to use the same bank for both the garage and stadium. The schedule for the financing of the parking garage is being revised so that the, the financing of the garage and refinancing of the stadium will be on the same schedule and the bonds for each will be sold at the same time. Mrs. Kolata indicated that the staff was recommending that the Authority hire. First Interstate as the Bond Trustee, Paying Agent and Registrar for the following reasons: (1) They currently service a number of large bond issues, such as hospitals., .schools, civic. centers, etc. so are experienced in this field. (2) Their rate is an hourly rate. (3) The fees for specific services were low. Also, First Interstate put together an estimated cost for servicing each project and these estimates were in line with the other bids. Mr. Varga asked whether Bond Counsel, Baker & Daniels, had the same reconBnendation. Mrs. Kolata responded that the staff consulted with Bond Counsel. and .they concurred-with the. recommendation. Mr. Varga noted that First Interstate's bid for .the garage included a higher charge than the others for the period during construction. He wondered if the cost effectiveness of using the same bank for both financings was .significant enough to outweigh that higher charge. Mrs. Kolata indicated that the efficiencies could be significant. Two sets of banks with two sets of attorneys would mean significantly more negotiating .for Bond Counsel and would increase. what we pay Bond Counsel. Mr. Varga asked if First Interstate would be administering the bonds locally. Mrs. :Kolata responded that they would be. Upon a motion by Mr. Davey, seconded by Mr. Wroblewski and unanimously carried, the Authority accepted the First Interstate Bank bid to be Bond Trustee, Bond Registrar and Paying Agent for the St. Joseph/Wayne Parking Facility. 4. Authority selection of Bond Trustee, Bond Registrar and Paying Agent for the Stanley Coveleski Regional Stadium. Upon a motion by Mr. Wroblewski, seconded by Mr. Davey and unanimously carried, the Authority accepted the First Interstate Bank bid to be Bond Trustee, Bond Registrar and Paying Agent for the refinancing of the Stanley Coveleski Regional Stadium. Mr. Varga asked that the staff express appreciation for the effort each of the banks put into .making their bid. Mr. Varga also requested that the staff indicate to First Interstate that they were selected for both projects because of the .expected efficiencies to be realized with one bank administering both projects. .. - , , -~ Authority approval requested for application for a building .permit for the St. Joseph/Wayne Parking Facility. Mrs. Kolata explained that the application for a building permit was prepared by Walker Parking Consultants and reviewed by the Department of Engineering. As the owners of the facility, the application .must be signed by the Authority. Upon a motion by Mr. Davey, seconded by Mr. Wroblewski and unanimously carried, the Authority approved the application for a building permit for the St. Joseph/Wayne Parking Facility. 6. Set Next Meeting Mr. Nussbaum noted that the Authority had obtained a recommendation for approval from the Local Property Tax Control Board and approval from the State Board of Tax Commissioners to approve the lease between the Redevelopment Authority and the Redevelopment Commission for the refinancing of the Stanley Coveleski Regional Stadium. Mrs. Kolata explained that the staff is making minor revisions on its internal timetable for the garage financing. The Local Property Tax Control Board has changed their next meeting from June 17 to June 10 so we will be going. before .that board with estimates instead of final figures. The Board of Public Works will be receiving construction-bids on June 13 and awarding the bid later that week. We would like to set the next meeting for 8:00 a.m. June 17 in order to take several final actions prior to the bond sa Mr. Davey indicated that he would not be able to attend on June 17. A decision on the next meeting date was postponed until Mr. Davey could confirm his schedule. 7. Adjournment le. There being no .further business to come .before the Authority, Mr. Davey made a motion that the meeting be adjourned. Mr. Wroblewski seconded the motion and the meeting was adjourned at 8:45 a.m: ~'~ ~~ ~ Thomas Var a Jr., President E. Kolata, Deputy Executive Director A