Title
Resolution Authorizing General Obligation Bonds (Parking Facility Capital Improvement Bonds)
Memorandum
Recommended to Council is a Resolution approving the issuance by the City of Ann Arbor of its Parking Facility Capital Improvement Bonds (General Obligation Capital Improvement Bonds) in the maximum principal amount of $9,000,000 (the “Bonds”), for the purpose of financing a substantial portion of the costs of acquiring and constructing a multi-level public parking structure in the City in conjunction with the development project known as Village Green at First & Washington Streets. The Bonds are to be sold through competitive bidding.
The resolution is written to allow the City latitude in determining the specific form of bond (conventional tax-exempt bonds, conventional taxable bonds, Build America Bonds, Recovery Zone Economic Development Bonds and/or Recovery Zone Facility Bonds), based on the financing approaches that are legally available at the time of bond issuance, that will result in the lowest true interest cost to the City.
The Bonds will mature in the years 2013 through 2032. The principal maturity schedule and other terms of the Bonds have been prepared by the City’s municipal financial advisors. Debt service on the Bonds is expected to be paid from revenues of the City’s public parking system. See attached Resolution of the DDA Board. Under the Resolution the City pledges its limited tax full faith and credit for payment of the Bonds.
The Resolution authorizes the Mayor, City Clerk, City Treasurer and Chief Financial Officer to execute and deliver all required documentation in connection with the issuance, sale and delivery of the Bonds.
The City’s bond counsel, Dykema Gossett, prepared the resolution, with further review by the City Attorney.
Staff
Prepared by: Tom Crawford, Chief Financial Officer
Reviewed by: Stephen Postema, City Attorney
Approved by: Roger W. Fraser, City Administrator
Body
CITY OF ANN ARBOR
County of Wash...
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