AgdaPkt 2003-09-22 - Laserfiche WebLink

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— REDEVELOPMENT AGENCY Financial Services Director Ponty explained that three separate actions are being considered convening the Redevelopment Agency, City Council and Public Financing Authon:y that will enable the Redevelopment Agency to issue up to $34 million in bonds to finance the downtown area improvements. These improvements were approved as part of the Redevelopment Agency budget last month. He further explained the financing plan and stated that this approval is not to formally approve the 1991 bonds but staff will return with legal documents in approximately two months if this item receives conceptual approval. Public Comment: Rudy Luca asked for clarification on the bonds involved with the Redevelopment Agency as to the cost of floating or getting the bonds. Mayor Claire responded that the bonds will be paid through a tax increment that will occur on the properties redeveloped in that area. Financial Services Director Ponty explained that the cost to issue the bonds is approximately $540,000.00 out of net proceeds of $32 million. Brent Britschgi stated that this is probably the most important vote to be taken on the retail /cinema project and the most complicated. He stated that the roadblocks futures Councils will face have been laid out such as the use of the utility users tax. John Anagnostou stated that the future Councils will enjoy the fruits and benefits of the wise investment in this bond when Redwood City is the most active town in the Peninsula. He stated that the investment chosen will make the city be what it has not been for 50 years. He submitted and read a letter, speaking as the President of the Downtown Business Group. The letter stated that by unanimous vote of those present, the Downtown Business Group voted to support the Redevelopment funding package scheduled for consideration on Monday, August 11, 2003. M/S Hartnett/Howard in connection with the sale of bonds to fund various downtown improvements and to repay a loan from the City to the Redevelopment Agency, adopt a resolution approving, in substantially final form: • The first and second amendments to the Indenture of Trust pertaining to the Agency's outstanding 1997 tax allocation bonds; • A continuing disclosure agreement with the trustee for the 2003 Bonds; • A bond purchase contract with the underwriter of the 2003 Bonds; • A preliminary official statement and its distribution; and, Authorizing all actions specified in the resolution in connection with the issuance of the 2003 Bonds including the authorization to issue not more than $34 million in bonds. JOINT CITY COUNCIL, PUBLIC FINANCING AUTHORITY, AND SEPTEMBER 8, 2003 REDEVELOPMENT AGENCY MINUTES PAGE 9