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A <br />1 CITY OF ST. ANTHONY <br />2 <br />HOUSING AND REDEVELOPMENT AUTHORITY MEETING <br />4 <br />5 May 13, 2003 <br />6 <br />7 CALL TO ORDER. <br />8 Chair Hodson called the meeting to order at 10:42 p.m. <br />9 <br />10 ROLL CALL. <br />11 Commissioners present: Chair Hodson; Commissioners Sparks, Thuesen, Horst, and Faust. <br />12 Commissioners absent: None. <br />13 Also present: Executive Director Michael Morrison and City Attorney Jerome <br />14 Gilligan. <br />15 <br />16 <br />17 1. APPROVAL OF MAY 13, 2003 H.R.A. AGENDA. <br />18 Motion by Faust to approve the May 13, 2003 Housing and Redevelopment Authority Agenda as <br />19 presented. <br />20 <br />21 Motion carried unanimously. <br />22 <br />23 if. CONSENT AGENDA. <br />24 Motion by Sparks to approve the Consent Agenda, which consisted of: <br />6 A. H.R.A. Meeting. Minutes of April 22. 2003: and <br />27 B. Claims. <br />28 <br />29 Motion carried unanimously. <br />30 <br />31 III. GENERAL POLICY BUSINESS OF THE H.R.A. <br />32 A. H.R.A. Resolution 03-007. re: Lease Purchase Revenue Bonds for the Public Facilities <br />33 Upgrade. <br />34 Jim Prosser, Ehlers & Associates, explained that he was present to review information regarding <br />35 financing the public work facilities and fire station with the Board. He noted one option <br />36 discussed were leased revenue bonds. Mr. Prosser stated the HRA would then finance and lease <br />37 the facilities to the City. He indicated this was a common form of financing for this type of <br />38 public facility, but not the only option. <br />39 <br />40 Mr. Prosser explained current legislation was calling for this type of bonding to cease after the <br />41 end of May 2003. He noted if he was authorized to solicit bids for these bonds, he would bring <br />42 information back to the HRA on Wednesday, May 28, 2003. <br />43 <br />44 Mr. Prosser indicated the 20 -year bonds are at a 25+ -year low interest rate. He described that the <br />45 lease revenue bonds are not general obligations of the City, but that they are obligations of the <br />46 HRA. Mr. Prosser indicated, however, if the bonds were not repaid, the credit rating of the City <br />would be hurt. He suggested bond insurance be purchased by the City for these bonds. Mr. <br />do Prosser suggested a debt service reserve be established or have a surety bond in place. <br />49 <br />