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HomeMy WebLinkAbout1988- 06-29 Minutesv L` ~. SOUTH BEND REDEVR7~OPMENT AUTHORITY SPECIAL MF~TING July 29, 1988 1200 County-City Building 8.00 a.m. 227 W. Jefferson Boulevard • South Bend, Indiana 46601 The July 29, 1988 Special Meeting of_ the Redevelopment Authority was called to order at 8:09 a.m. by its President, Thomas J. Varga, Jr. There was a quorum present. l.Ro11 Ca11 • Members Present: Mr. Thomas J. Varga, Jr. Mr. Chris Davey Mr. Joseph Wroblewski Legal Counsel: Mr. Richard A. Nussbaum II Redevelopment Staff: Mrs. Ann Kolata, Deputy Executive Director Mrs. Martha Lantz Others• Mr. Richard Hill., Parker & Jaicomo 2. Approval of the Mintues of the Special Meeting of. July 26, 1988. Upon a motion by Mr. Davey, seconded by Mr. Wroblewski and unanimously carried, the Authority approved the Minutes of the Special Meeting of July 26, 1988. Mr. Varga asked if there were any continents about the Bond bidding. Mr. Nussbaum indicated that we were very pleased with the bids for the Parking Facility. There will be substantial savings in terms of the actual lease payment over the projected lease payment.. However, he explained that the semi-annual lease payment for the Stadium will remain at $500,000 because the lease language specifies that the semi-annual payment must be high enough to cover the largest principal and interest payment over the life of the Bond, rounded to the next thousand dollars plus an additional thousand dollars. The largest principal and interest payment is $498,037, requiring, therefore, the $500,000 lease payment. Mrs. Kolata explained that the $500,000 lease payment would cause an accumulation of funds held by the Trustee which would earn interest over the life of the Bond and would be used at the end of the lease to reduce the levy. 3. Execution of Addendum to Lease between the South Bend Redevelopment Authority and the South Bend Redevelopment Co~nission dated as of June 1 _,~ 1988 (St. Joseph/Wayne Parking Facil ,,.. _> South Bend Redevelopment Authority • Special Meeting - July 29, 1988 3. Continued... Mrs. Kolata noted that Resolution No. ll approves the execution of the Addendtm to Lease, reducing the annual rental payments on the Lease for the Parking Facility, and ratifying the selection of bidder ay~d the terms of the Bond. The successful bidder for the Bond was Bank One in the amount of $4,518,270, and the Bonds bearing the. Net Interest Figure of 7.7868%. The annual rental payment is reduced to $463,000 per year, payable in semi-annual installments of $231,500. The Resolution contained a typographical error indicating semi-annual payments of $237,500. The correction will be made to the documents. Upon a motion by Mr. Wroblewski, seconded by Mr. Davey and unanimously carried, the Authority adopted Resolution No. 11 reducing the annual rental on the Lease for the St. Joseph/Wayne Parking Facility, approving the execution of an Addendum to the Lease, and ratifying the selection of a successful bidder and the terms of the Bonds. 4. Execution of Addendum to Lease between the South Bend Redevelopment Authority and the South Bend Redevelopment Commission dated as of June 1, 1988 (Coveleski Stadium Project). • Mrs. Kolata noted that since the $500,000 projected lease payment did not change, there is no Addendum to the Lease. Resolution No. 12 ratifies and approves the. award of the Bonds to Bank One, and authorizes the Authority to deliver the Bonds to the Trustee when-they are executed. Upon a motion by Mr. Davey, seconded by Mr. Wroblewski and unanimously carried, the Authority adopted Resolution No. 12 ratifying the selection of Bank One as the successful bidder for the Coveleski Stadium Lease Rental Revenue Bonds. 5. Adjournment There being no further business to cane before the Authority, Mr. Wroblewski made a motion that the meeting be adjourned. Mr. Davey seconded the motion and the meeting was adjourned at 8:30 a.m. ' ~J l~~f r ~ ~~ G~~" Thomas J. Varga, Jr., President Ann Kolata, Deputy Executive Director