HomeMy WebLinkAboutagenda item 2015 0218 rda 02bSOUTH BEND REDEVELOPMENT AUTHORITY
REGULAR MEETING
January 21, 2015 1308 County-City Building
10:30 a.m. 227 West Jefferson Boulevard
South Bend, IN 46601
The meeting was called to order at 10:37 a.m.
1.SWEARING IN OF AUTHORITY MEMBERS
The Mayor has appointed Mr. Richard Klee, Mr. Anthony Fitts, and Ms. Erin
Hanig to serve on the Redevelopment Authority for a three year term. Mr. John
Voorde conducted the swearing in of the appointees.
2.ROLL CALL
Members Present:Mr. Richard Klee
Ms. Erin Hanig
Members Absent: Mr. Anthony Fitts
Redevelopment Staff: Mr. Scott Ford, Executive Director
Mr. Dave Relos, Associate II
Ms. Tracy Oehler, Recording Secretary
Legal Counsel: Mr. Benjamin Dougherty, Legal Department
Others Present: Mr. John Voorde, City Clerk
Mr. Randy Rompola, Faegre Baker Daniels
Mr. Matthew Arth
3.ELECTION OF OFFICERS
Ms. Hanig nominated Mr. Klee to be President, seconded by Mr. Klee and Mr.
Klee nominated Ms. Hanig to be Secretary-Treasurer, seconded by Ms. Hanig.
The vote being unanimous, Mr. Klee was elected President and Ms. Hanig
Secretary-Treasurer.
Ms. Hanig nominated Mr. Fitts to be Vice President, seconded by Mr. Klee. The
vote being unanimous, Mr. Fitts was elected Vice President.
4.NEW BUSINESS
A. Resolution No. 190 Approving a Schedule of Regular Meeting Times
for Calendar Year 2015
Upon a motion by Secretary-Treasurer Hanig, seconded by President Klee
and unanimously carried, the Authority approved the Resolution No. 190
approving the schedule of regular meeting times for calendar year 2015.
ITEM: 2.B.
South Bend Redevelopment Authority
Regular Meeting – January 21, 2015
Page 2
B. Resolution No. 191 – 2015 Infrastructure Bond
Mr. Ford gave an overview of the rationale and process of the 2015
Infrastructure Bond. The bond amount is to be $25M inclusive of all
transaction costs, capitalize interest and debt service reserve fund, netting
approximately $21.4M in proceeds available for projects. The term of the
bond is anticipated to be repaid over 20 years, with a maximum lease
rental payment of up to $1.9M per year. The bond sale is scheduled to
occur in the third week of March and closing the first to second week of
April.
Mr. Rompola discussed the Redevelopment Authority is the agent of the
Redevelopment Commission and issuer of the bond. If the Common
Council approves the execution of the lease, the Authority and
Commission would be able to sign the lease without holding a formal
meeting. Additionally, a notice of execution would be published the
following February 13, 2015.
A discussion followed between the Board Members and Mr. Rompola
regarding the tax backup. Mr. Rompola explained the bonds could be sold
in the bond market as pure revenue bonds, which would incur a higher
interest rate as it is risker and the bond rating would be lower. With the tax
backup, the bond is a more secure debt and can utilize the City’s AA credit
rating generating a lower interest rate making the cost of financing
cheaper.
Upon a motion by Secretary-Treasurer Hanig, seconded by President Klee
and unanimously carried, the Authority approved the Resolution No. 191
5. ADJOURNMENT
President Klee adjourned the meeting at 11:03 a.m.
______________________________ ____________________________
Richard Klee, President Erin Hanig, Secretary-Treasurer
South Bend Redevelopment Authority South Bend Redevelopment Authority