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Home My WebLink About05-22-17 City Commission Packet Materials - A4. Resolution 4801 - Supplemental Materials (Distributed at Meeting) NORTHEAST URBAN RENEWAL B O RD City of Bozeman • PO Box 1230 • Bozeman, MT 59 71 Northeast Urban Renewal District Resolution 480 ,,�'-'�,- w � - iR May 22, 2017 - k BOZ E MAN MT Economic Development - NORTHEAST URBAN RENEWAL B O RD Gity cof Bozeman - F0 Box T� 0 • $Qzeman, NIT 59715 2016/2017 Commission Actions on the Bond 1) N U RD Workpla n and Budget — June 13, 2016; 2) Resolution 4732 — November 21, 2016; 3) Resolution 4734 — December 19, 2 016; 4) Resolution 4794 — April 3, w s�- 2017; a n d 5) Resolution 4801 — May 22, E Mr 017. BOZ2 MAN Economic Development NORTHEAST URB�1 RENEWAL BOARD City of Bozeman • PCB Box 1230 • Bozeman, XIT 09`T � f' Resolution 4801 C012MUSSION RESOLUTION NO.4801 - RESOLUTION AUTHORIZING THE ISSUANCE AND SALE OF -- - SI.446.000 PRINCIPAL AMOUNT OF TAX INCREMENT URBAN I� RENEWAL REVENUE BOND.SERIES 1017(NORTHEAST URBAN RE-INTAL DISTRICT)TO FINANCE THE INFRASTRUCTURE IMPROVEMENTS;AND PRESCRIBING THE FORM AND TERMS THEREOF AND THE SE CI7RITY THEREFOR t`- F:(�.7 \. BE IT RESOLVED by the City Commission(the"Commission'')of the City of w� I.• u tr- Bozeman-Montana(the•"City j.as follows: Section I.Definitions.Authorizations and Findings. - i 1.01.Dcbaitions.The terms defined in this Section 1.01 shall for all purposes of tins Resolution have the meanings herein specified.unless the context dearly othetutise requires: - - w I s, Aecountam means a Person engaged in the practice of accounting as a certified public G.sI accountant.whether or not employed by the City. �Mmmwmr�'l I Act means Montana Code Annotated.Title 7.Cbn ter IS.Parts 41 and 43.as amended or F n strpplenunted- Additional Bonder means any Bonds issued parsnant to Sections 4.01 through 4.03. Bond Account means the accoum so designated in the Tax Increment Debt Service Account - - Bond Counsel means any Firm of nationally recognized bond counsel experienced in manen relating to tax-exempt financing.selected by the City. 'n —-• - '�` - Bond Register means the register maintained for the purpose of registering the ouucrship.transfer and exchange of the Bonds of gay series. orrds means the Series 2017 Bond and any Additional Bonds. Business Dery means.With respect to the Hands of any series.guy day other than a MT Saturday' Sunday or otter day on which the Registrar for such series of Bonds is not open for business. BOZ E MAN Economic Development NORTHEAST URBAN RENEWAL, BOARD s 'City of Boz.mnan - PCB Box I230 • Bozeman, NIT 59715 Resolution 4801 Findings 1) No persons will be displaced from their housing by the Infrastructure Improvements; ~ ' k 2) The Urban Renewal Plan and the Infrastructure Improvements conform to the City's growth policy; q•'- .; , 3) The Infrastructure Improvements arerd authorized as an urban renewal ' ' m� projectpursuant ursuant to the Act and the Urban Renewal Plan; -- BOZ E MAN MT Economic Development NORTHEAST URBAN RENEWAL BOARD 'ity of Br a_. 3Y�aiz - �C Box I C ' �ca7�arz "� T L,9 / Resolution 4801 Findings Continued 4) The Urban Renewal Plan and the Infrastructure Improvements will afford maximum opportunity, consistent with the needs of the City as a whole, for the Ak rehabilitation or redevelopment in the t District by private enterprise; y- 5) A sound and adequate financial program exists for the financing of the w- infrastructure improvements and costs of issuance of the Series 2017 Bond; and - � 6) The infrastructure improvements and issuance and sale of Bonds to finance costs MT of the infrastructure improvements are in BOZ E MAN the best interests of the City. Economic Development NORTHEAST URBAN RENEWAL BOARD City of Bozcman • PCB Box 1�230 • Bozeman, MT 597115 Bond Terms Principal Amount: $1,446,000 Closing Dale: The date on which the first advance of the Bond is made to the City by the Purchaser,which is expected to be on or about July 20,2017 "Penn: Approximately 25-year term (50 semi-annual payments), absent earlier _ prepayment or redemption. Semiannual installment payments commence 7 1 January I, 2018 and conclude July 1, 2042, absent earlier prepayment or 1 redemption. - Interest Kate: 4.10%per annum,fixed for the entire term. Draw-Down Bond: The principal amount of the Bond will be advanced in two advances,with the first advance of principal in the amount of$863,000 to be made on the Closing Date to pay a portion of the costs of the Last Peach Street Project, and the second advance of principal in the principal amount of$583,000 to Ir I'll be made on July 20, 2018,which is expected to pay a portion of the costs '$ t �_ of the Fast Tamarack Street Project, but may r J y pay a portion of the costs of the Other Priority Street Projects_ Amortization Substantially as attached hereto as Exhibit A. Schedule of Draw- Down Bond: I' Fecs and Expenses: The Purchaser will charge the City an origination 1be equal to$11,951.50, - which is based on the amount of the second advance noted above ($583,000 multiplied by 4.10%with the product divided by 2). The City t will pay reasonable fees and expenses of bond counsel. Such amounts will ' be paid from proceeds of the Bond or other amounts available to the City. Redemption Terms: The Bond is subject to redemption and prepayment without premium or penalty in whole or in part at the option of the City on 30 days' prior M T written notice. The City's ate notice ti redemption and prepayment shall specify the redemption date, redemption price, and the place which the ZEMAN Bond is to be surrendered for payment if redeemed and prepaid in full, and, if redeemed and prepaid in part, the total principal amount of the Bond to be redeemed and prepaid in part and the principal amounts on Economic Development each semiannual a ment date that comprise the total partial pre payment 1` TOl THE- ST URBAN RENFIA. BOARD RD City of Bozesayan PO BOx _f,':4 0 ; Bc)zeatian, MT 59715 NUR ® Bond Terms and Conditions Cont . and redemption amount. As described in greater detail in the Bond Resolution, if the Bond is prepaid in part,the Purchaser will reamortize the principal remaining upon redemption and prepayment as a result of and in accordance with the prepayment notice of the City at the interest rate over the then-remaining teen. h Mi 71, Bank Qualification: The City will designate the Bond as a "qualified tax-exempt obligation" within the meaning of Section 265(b)(3) of the Internal Revenue Code of 1986,as amended. ~ 1111 7 r frjj Il4n'`,� l BOZ E M MAT Economic Development NORTHEAST URBAN RENENVAL BOARD s u =r. City ofBozeman • PO Box 1230 • Bozei-nan, MT 59715 East Peach Street Reconstruction Timeline If Resolution 4801 is approved tonight we anticipate the following timeline : Notice to Proceed — May 22, 2017 - � Begin Construction — June 12, 2017 r,� y First Construction Draw to be paid Approx. July 28, 2017 MT Anticipated Final Completion Date — BOZ E MAN November 9, 2017 Economic Development NORTHEAST THEAST URBAN RENEWAL BOARD 6. ,v City of' Bo � P(_) Box 1'2 3�} BQzet33aIk MT :1 9`1 � VIEW- uest *ions .P �t , _ �n BOZEMANmT Economic Development