Title
Consider/Discuss/Act on an Ordinance Authorizing the Issuance Tax and Limited Pledge Hotel Occupancy Tax Revenue Certificates of Obligation, Taxable Series 2014A
Summary
MEETING DATE: September 2, 2014
DEPARTMENT: Financial Services
CONTACT: Rodney Rhoades, Chief Financial Officer
RECOMMENDED CITY COUNCIL ACTION:
· Approval of Ordinance
ITEM SUMMARY:
· The City is issuing new Certificates of Obligation not to exceed
o $3,000,000 for Gateway Conference Center
BACKGROUND INFORMATION:
· The City of McKinney went under contract for the construction of the hotel and conference center in 2012.
· At the time of the contract, final numbers had not been completed for total construction of the project.
· Over the course of the last year, enhancements and final construction estimates were approved resulting in additional funding needs.
· Council approved the publication of the Notice of Intent to Issue on July 15, 2014
o Printed in The Dallas Morning News on August 1 and August 8
FINANCIAL SUMMARY:
· The issuance of these Certificates of Obligation will be financed over a 20 year period for the principal and interest payments with the first year payment as an interest only payment to coincide with the financing structure currently in place.
BOARD OR COMMISSION RECOMMENDATION: N/A