Title
Public Hearing on Certificates of Participation Financing for Equipment and Facilities and for Public Safety Certificates of Participation
Action
Action:
A. Conduct a public hearing on an $83,160,000 installment financing contract to finance the City’s acquisition of certain equipment and construction of and improvements to facilities, and
B. Adopt a resolution authorizing and approving an installment financing contract for the proposed financing and calls for the execution and delivery of various documents necessary to complete the sale.
Body
Staff Resource(s):
Robert Campbell, Finance
Explanation
§ Certificates of Participation (COPs) are a common debt financing tool used by municipal governments to help fund the purchase of capital equipment, and the construction or renovation of facilities.
§ This action authorizes the City to enter into an installment financing contract related to the issuance of not to exceed $83,160,000 of COPs in October 2018 to finance the following equipment and facilities:
- Charlotte Water Equipment: $8.81 million
- Spectrum Arena Renovations: $12.50 million
- Hickory Grove Division Police Station: $8.75 million
- South Division Police Station: $6.10 million
- Central Division Police Station: $26.00 million
- Graham Street Roof Repair: $1.50 million
- The Ovens/Bojangles Connector Facility: $19.50 million
§ The City's obligation to repay the debt will be secured by real property and a security interest in the equipment.
§ The current action will:
- Conduct a public hearing on the projects to be financed,
- Provide information required for Local Government Commission approval of the financing, and
- Give approval to the City Manager and Chief Financial Officer to take necessary actions to complete the financing.
Fiscal Note
Funding: Municipal Debt Service Fund, Tourism Operating Fund and Charlotte Water Capital Fund.
Attachments
Attachment(s)
Resolution