Title
Approving the issuance of Port Authority Great Northern Business Center TIF Refunding Bonds, Continuation of a Discretionary Levy, and execution of the amended and restated joint powers agreement.
Body
WHEREAS, by its Council File No. 00-657, the City authorized the Port Authority of the City of Saint Paul (the “Port Authority”) to issue bonds to provide funds to finance the costs of preparing approximately 21 acres of land in the Great Northern Business Center - Phase I Tax Increment Financing District and Hazardous Substance Subdistrict (the “TIF District”) for development; and
In connection with the issuance by the Port Authority of its $4,555,000 Tax Exempt Tax Increment Revenue Refunding Bonds (Great Northern Business Center North Project), Series 2006-2 (the “Prior Bonds”) the City, by Council File No. 06-368 (the “City Resolution”), (i) agreed to levy taxes pursuant to Minnesota Statutes, Section 469.053, Subd. 4, in each year during the term of the Prior Bonds in an amount equal to $105,000 (the “Discretionary Levy”), to provide funds for the Port Authority to pledge as additional security for the Prior Bonds and (ii) approved the execution and delivery of an Amended and Restated Agreement Relating to Great Northern Business Center Project and Joint Powers Agreement Relating to Bonds Issued Therefor (the “JPA”) in connection with the issuance of the Prior Bonds; and
The Port Authority has determined that it is in its best interest to issue its tax increment revenue refunding note or bonds (the “Refunding Bonds”) in a principal amount not exceeding $3,500,000 to refund the outstanding principal amount of the Prior Bonds on March 1, 2016, to achieve debt service savings; and
The Refunding Bonds will be secured primarily by the Port Authority’s pledge of tax increment generated by the TIF District, but based on information provided to the Port Authority by Robert W. Baird & Co., in its role as placement agent for the Refunding Bonds, the P...
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