REQUEST FOR PUBLIC FINANCING AUTHORITY ACTION
SUBMITTED TO: Honorable Chair and Board Members
SUBMITTED BY: Oliver Chi, Executive Director
PREPARED BY: Chuck Adams, Interim Chief Financial Officer
Subject:
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Adopt Public Financing Authority Resolution No. 24 authorizing the execution and delivery of a Second Supplemental Indenture in connection with a change in the authorized use of proceeds of the Huntington Beach Public Financing Authority Lease Revenue Bonds 2014 Series A, and authorizing the execution of necessary documents and certificates and related actions in connection therewith
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Statement of Issue:
Public Financing Authority authorization is requested to amend the authorized use of proceeds related to the 2014 Series A Lease Revenue Bonds to include soft costs related to the Police Building Modernization project.
Financial Impact:
There is sufficient fund balance in the Bond Project Fund (319) to support this request.
Recommended Action:
recommendation
A) Adopt Resolution No. 24, “Resolution of the Board of Directors of the Huntington Beach Public Financing Authority Authorizing the Execution and Delivery of a Second Supplemental Indenture in Connection with a Change in the Authorized Use of Proceeds of the Huntington Beach Public Financing Authority Lease Revenue Bonds 2014 Series A, and Authorizing the Execution of Necessary Documents and Certificates and Related Actions in Connection Therewith;” and,
B) Approve authorization to execute any necessary actions to comply with Resolution 24.
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Alternative Action(s):
Do not approve the recommended action and direct staff accordingly.
Analysis:
In November 2014, the City issued Lease Revenue Bonds totaling $15.295M to finance the construction of the Senior Center in Central Park. Due to project cost savings, approximately $835,000 in bond proceeds are remaining and available to spend on other capital projects. In order to expend bond proceeds on capital projects other than the Senior Center, the Public Financing Authority is required to adopt Resolution 24. Staff is recommending to amend the project scope listed in the bond indenture documents to include soft costs associated with the design of the Police Building Modernization project.
Environmental Status:
Not applicable.
Strategic Plan Goal:
Enhance and maintain high quality City services
Enhance and maintain the infrastructure
Strengthen long-term financial and economic sustainability
Enhance and modernize public safety service delivery
Attachment(s):
1. Resolution No. 24, “Resolution of the Board of Directors of the Huntington Beach Public Financing Authority Authorizing the Execution and Delivery of a Second Supplemental Indenture in Connection with a Change in the Authorized Use of Proceeds of the Huntington Beach Public Financing Authority Lease Revenue Bonds 2014 Series A, and Authorizing the Execution of Necessary Documents and Certificates and Related Actions in Connection Therewith”
2. Second Amendment Supplemental Indenture