Title
Approving bond allocation transfer agreements and related documents, and authorizing carryforward of certain unused private activity bond volume cap, citywide.
Body
WHEREAS, the Housing and Redevelopment Authority of the City of Saint Paul, Minnesota (the "HRA") is a public body corporate and politic established pursuant to the provisions of Minnesota Statutes, Section 469.001, et seq. (the “Act”); and
WHEREAS, the City of Saint Paul is a home rule charter city (“City”); and
WHEREAS, the pending federal tax reform legislation has created uncertainty as to whether the City and the HRA may issue tax-exempt private activity bonds after December 31, 2017; and
WHEREAS, such uncertainty has caused developers and other borrowers of tax-exempt private activity bond proceeds to request that the HRA accelerate the closing of several such bond issues on or before December 31, 2017; and
WHEREAS, the current requests of the HRA to issue its tax-exempt private activity bonds on or before December 31, 2017 are more than the City’s 2017 entitlement allocation of private activity bond volume cap; and
WHEREAS, to address the shortage of private activity volume cap, the City and the HRA propose to enter into a Bond Allocation Transfer Agreement (“DCCDA Transfer Agreement”) with the Dakota County Community Development Agency (“Dakota County CDA”), whereby the Dakota County CDA would transfer to the City and the HRA approximately $18,299,773 of the Dakota County CDA’s 2017 entitlement allocation and 2016 carryforward of private activity bond volume cap (the “DCCDA Transferred Volume Cap”); and
WHEREAS, to further address the shortage of private activity volume cap, the City and the HRA propose to enter into a Bond Allocation Transfer Agreement (“MHFA Transfer Agreement” and, together with the DCCDA Transfer Agreement, the “Transfer Agreements”) with the Minnesota Housing Finance Agency (“MHFA”), whereby the MHFA would transfer to the City and the HRA approxi...
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