2001/11/28 Council Minutes - Laserfiche WebLink

November 28,2001 COUNCIL RILL NO.01-I1-50 THEW AND FINAL READING: AN ORDINANCE of the City of Everett,Washington,providing Dr the issuance and sale of variable rate demand limited tax general obligation bands of the City lu the principal amount of$13,000,000 for capital purposes and to pay the costs of issuing such bonds; providing the dal,form,and repayment terms of the hoods; providing for the annual levy of lazes to pay Meprincipal of and ioerest n the bondsi and authorizing the sale of the bonds; appointing a remarketing agent;authorizing a reimbursement agreement with Bank of America,N.A.to provide credit enhancement for the bands;providing for the sale of the bonds to Banc of America Securities LLC.;and approving a bond purchase contract and a remarketing agreement Banc of America Securities LLC. Moved by Councilmember Pope,seconded by Councihnember Canpbel that this is the third and final reading of Council Bill No.01-I1-50 and the City Clerk is directed to call the roll for the final disposition of the ordinance. AYES: Anderson,Simpson,Campbell,Gipson,Pop,Overstreet NAYS: Warnock Ordinance No.2555-01 adopted. Mayor Hansen explained that there war a previous question regarding the City's risk for the financing of the Public Facility District He asked levy Bmatm to clarify how the debt both short term and long teras will be structured. The reference being that the PFD project could be in the$51 million obligation but the City wrold only be at risk fora portion of that. le,Braaten clarified that the financing during Do construction of the arena would be done on a five-year basis with uunmemial paper.You only draw down what you need so you are not paying wlem.:.Any receipts corning back will be paying that down During that time there wail be three series of commercial paper. The series A will be issued as a GO or revenue bonds from the PHA.Ihat portion will be drawn dawn first.The maximum amount that the PDA can have under 525