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Legislation #: 170132 Introduction Date: 2/16/2017
Type: Ordinance Effective Date: 2/24/2017
Sponsor: None
Title: Approving the issuance by the City of Kansas City Missouri of its special obligation bonds in four series (collectively, the “Series 2017 Bonds”), one to finance certain projects with an estimated cost of $23,250,000.00 on a taxable basis, one to finance and refinance certain projects with an estimated cost of $20,631,937.00 on a tax-exempt basis, one to refund a portion of the bonds issued by The Industrial Development Authority of the City of Kansas City, Missouri to finance the Kansas City Downtown Redevelopment District and one to refund bonds issued by The Industrial Development Authority of the City of Kansas City, Missouri to refinance the Midtown Redevelopment Project, such Series 2017 Bonds to be issued in an aggregate principal amount not to exceed $175,000,000.00; approving and authorizing certain documents and actions relating to the issuance of the Series 2017 Bonds; approving additional tax increment financing for the Linwood Tax Increment Financing Plan; renaming Fund No. 3436 the Special Obligation Series 2017 Taxable Bond Fund; renaming Fund No. 3437 the Special Obligation Series 2017 Tax-Exempt Bond Fund; estimating revenues and appropriating $6,000,000.00 in the Special Obligation Series 2017 Tax-Exempt Bond Fund (Fund 3437); designating requisitioning authority and authorizing the Director of Finance to close project accounts; declaring the City’s intent to reimburse itself from bond proceeds; and recognizing an accelerated effective date.

Legislation History
DateMinutesDescription
2/16/2017 Filed by the Clerk's office
2/16/2017 Referred to Finance and Governance Committee
2/22/2017 Advance and Do Pass, Debate
2/23/2017 Passed

View Attachments
FileTypeSizeDescription
Certificate of Final Terms 2017A, 2017B, 2017C and 2017D.PDF Other 905K Certificate of Final Terms
Ordinance 170132 Staff Presentation.pdf Other 258K 170132 Staff Presentation
170132.pdf Authenticated 921K Authenticated
SO 2017 Ord Fact Sheet .pdf Fact Sheet 454K 170132 Fact Sheet
170132 Admin Wrksht.pdf Other 39K 170132 Admin Worksheet

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ORDINANCE NO. 170132

 

Approving the issuance by the City of Kansas City Missouri of its special obligation bonds in four series (collectively, the “Series 2017 Bonds”), one to finance certain projects with an estimated cost of $23,250,000.00 on a taxable basis, one to finance and refinance certain projects with an estimated cost of $20,631,937.00 on a tax-exempt basis, one to refund a portion of the bonds issued by The Industrial Development Authority of the City of Kansas City, Missouri to finance the Kansas City Downtown Redevelopment District and one to refund bonds issued by The Industrial Development Authority of the City of Kansas City, Missouri to refinance the Midtown Redevelopment Project, such Series 2017 Bonds to be issued in an aggregate principal amount not to exceed $175,000,000.00; approving and authorizing certain documents and actions relating to the issuance of the Series 2017 Bonds; approving additional tax increment financing for the Linwood Tax Increment Financing Plan; renaming Fund No. 3436 the Special Obligation Series 2017 Taxable Bond Fund; renaming Fund No. 3437 the Special Obligation Series 2017 Tax-Exempt Bond Fund; estimating revenues and appropriating $6,000,000.00 in the Special Obligation Series 2017 Tax-Exempt Bond Fund (Fund 3437); designating requisitioning authority and authorizing the Director of Finance to close project accounts; declaring the City’s intent to reimburse itself from bond proceeds; and recognizing an accelerated effective date.

 

WHEREAS, the City of Kansas City, Missouri (the “City”) is authorized under its charter to issue its bonds or other obligations in evidence thereof; and

 

WHEREAS, the City proposes to issue its Taxable Special Obligation Bonds (Kansas City, Missouri Projects), which shall be designated the Series 2017A Bonds or such other series designation as the Director of Finance shall determine (the “Series 2017A Bonds”), to provide funds: (a) to acquire, construct, reconstruct and/or improve certain projects within the City with an estimated aggregate cost of $23,250,000.00, as set forth on Schedule I attached hereto and made a part hereof by reference (the “Taxable City Projects”), (b) to fund a debt service reserve fund for the Kansas City Municipal Assistance Corporation Tax-Exempt Leasehold Improvement Revenue Bonds (H. Roe Bartle Convention Center and Infrastructure Project) Series 2004B-1 (the “Series 2004B-1 Bonds”), (c) to pay capitalized interest on that portion of the Series 2017A Bonds that finances the herein-defined Linwood Project Improvements (the “Series 2017A Linwood Project Portion”) and (d) to pay certain costs related to the issuance of the Series 2017A Bonds; and

 

WHEREAS, pursuant to Ordinance No. 160448 passed by the City on June 16, 2016, the City Council accepted the recommendations of the Tax Increment Financing Commission of Kansas City, Missouri (the “Commission”) as to the Linwood Shopping Center Tax Increment Financing Plan (the “Linwood Plan”), approved the Linwood Plan and designated the Redevelopment Area for such Linwood Plan (the “Linwood Redevelopment Area”) pursuant to the Real Property Tax Increment Allocation Redevelopment Act, Sections 99.800 to 99.865, RSMo, as amended (the “TIF Act”); and

WHEREAS, one of the City Projects shown on Schedule I is the financing of project improvements for the Linwood Plan (the “Linwood Project Improvements”), and in connection therewith the City Council desires to provide additional financing for costs certified by the Commission related to the implementation of the Linwood Project Improvements (the “Linwood Certified Costs”) by committing, subject to appropriation and collection, in addition to the revenues available under the TIF Act, certain additional revenues from taxes which are imposed by the City and generated by economic activities within the Linwood Redevelopment Area, which are not subject to capture in accordance with the TIF Act and would otherwise be deposited into the City’s general municipal funds, to be used for payment of Linwood Certified Costs (the “Super-TIF”); and

WHEREAS, pursuant to Ordinance No. 160431, As Amended, passed by the City on July 14, 2016, the City approved Phase One of the plan to preserve and enhance the 18th and Vine Historic District within the City (the “18th and Vine Plan”), approved bond funding of Phase One of the 18th and Vine Plan in the amount of $7,000,000.00 (which will be financed with the proceeds of the Series 2017A Bonds as indicated on Schedule 1), and established Fund No. 3436, the Series 2017A Bond Fund, in the records of the City; and

WHEREAS, the City previously issued its Special Obligation Bond Anticipation Bonds (Streetcar System Expansion Project) Series 2014D, a portion of the proceeds of which were applied to finance certain capital costs associated with the creation by the City in conjunction with the State of Missouri (the “State”), of an Assessment Triage Center to serve people with a mental illness or substance use disorder, located in a building leased to the City by the State (the “Crisis Center Project”), which portion will be currently refunded with proceeds of the hereinafter-defined Series 2017B Bonds (the “Refunded Series 2014D Bonds”) to refinance the Crisis Center Project; and

WHEREAS, the City proposes to issue its Special Obligation Bonds (Kansas City, Missouri Projects), which shall be designated the Series 2017B Bonds or such other series designation as the Director of Finance shall determine (the “Series 2017B Bonds”), to provide funds: (a) to acquire, construct, reconstruct and/or improve certain projects within the City and to refinance the Crisis Center Project by the refunding of the Refunded Series 2014D Bonds with an estimated aggregate cost of $20,631,937.00 as set forth on Schedule II attached hereto and made a part hereof by reference (the “Tax‑Exempt City Projects”) and (b) to pay certain costs related to the issuance of the Series 2017B Bonds; and

WHEREAS, the Industrial Development Authority of the City of Kansas City, Missouri (the “Authority”) previously issued its Variable Rate Demand Tax-Exempt Revenue Bonds (Kansas City Downtown Redevelopment District), Series 2005A in the aggregate principal amount of $115,015,000.00 (the “Series 2005A Bonds”) to pay a portion of the costs of a downtown retail/entertainment district, together with necessary infrastructure improvements and the construction of public parking facilities within the retail/entertainment district (the “Kansas City Downtown Redevelopment District Project”); and

WHEREAS, on June 6, 2007, the Series 2005A Bonds were restructured and converted to a fixed rate of interest in the principal amount of $114,915,000.00; and

WHEREAS, pursuant to the authority of the Downtown and Rural Economic Stimulus Act, Sections 99.915 to 99.1060, inclusive, of the Revised Statutes of Missouri, as amended (the “DESA Act”), the City Council of the City previously approved the formation of the Downtown Economic Stimulus Authority of Kansas City, Missouri (“DESA”), and determined that in order to implement a portion of the Kansas City Downtown Redevelopment District Project, the City would utilize the statutory powers, functions and duties of certain statutory authorities including DESA; and

WHEREAS, the proceeds of the Series 2005A Bonds were used solely for authorized Development Project Costs within the meaning of the DESA Act; and

WHEREAS, the City and DESA previously entered into an agreement which set forth their cooperative agreement regarding the funding of the repayment of the Series 2005A Bonds and the use of revenues available under the DESA Act (“DESA Revenues”); and

WHEREAS, the City proposes to issue its Special Obligation Refunding Bonds (Kansas City Downtown Redevelopment District), which shall be designated the Series 2017C Bonds or such other series designation as the Director of Finance shall determine (the “Series 2017C Bonds”), to provide funds: (a) to refund all or a portion of the currently outstanding Series 2005A Bonds of the Authority (the “Refunded Series 2005A Bonds”) and (b) to pay certain costs related to the issuance of the Series 2017C Bonds; and

WHEREAS, at the request of the City, the Authority and the Commission assisted the City in refunding prior series of bonds issued by the Missouri Development Finance Board (the “Board”), and the Authority previously issued its $47,705,000.00 Infrastructure Facilities Revenue Bonds (Kansas City, Missouri − Uptown Theater and Midtown Redevelopment Projects) Series 2007A (the “Series 2007A Bonds”) to provide funds to refund two prior series of bonds issued by the Board, including its then outstanding Infrastructure Facilities Revenue Bonds (Kansas City, Missouri - Midtown Redevelopment Project) Series 2000A (the “Series 2000A Midtown Bonds”), which were issued by the Board to finance and refinance that certain redevelopment project (the “Midtown Redevelopment Project”) authorized by the Midtown Tax Increment Financing Plan dated April 1, 1993, as amended (the “Midtown Redevelopment Plan”); and

WHEREAS, the Authority, the City and the Commission previously entered into an agreement wherein, among other things, the Commission agreed to assign certain Incremental Tax Revenues (as defined therein) to the City in connection with that portion of the Series 2007A Bonds allocable to the Midtown Redevelopment Project; and

WHEREAS, the Board, the City, the Trustee, the Missouri Department of Economic Development (the “Department”) and the redeveloper under the Midtown Redevelopment Plan previously entered into an agreement wherein the Department authorized the use of State Sales Tax Revenues (as defined therein) for the Midtown Redevelopment Project; and

WHEREAS, the City proposes to issue its Special Obligation Refunding Bonds (Midtown Redevelopment Project), which shall be designated the Series 2017D Bonds or such other series designation as the Director of Finance shall determine (the “Series 2017D Bonds”), to provide funds: (a) to refund all of the currently Outstanding Series 2007A Bonds of the Authority (the “Refunded Series 2007A Bonds”) and (b) to pay certain costs related to the issuance of the Series 2017D Bonds; and

WHEREAS, the Series 2017A Bonds, Series 2017B Bonds, Series 2017C Bonds and Series 2017D Bonds are referred to collectively herein as the “2017 Bonds”; and

WHEREAS, the Series 2017A and Series 2017B Bonds shall be issued pursuant to a Trust Indenture (the “Series 2017A and 2017B Indenture”), by and between the City and UMB Bank, N.A., as Trustee (the “Trustee”); and

WHEREAS, the Series 2017C Bonds shall be issued pursuant to a Trust Indenture (the “Series 2017C Indenture”) by and between the City and the Trustee; and

WHEREAS, the Series 2017D Bonds shall be issued pursuant to a Trust Indenture (the “Series 2017D Indenture”) by and between the City and the Trustee; and

WHEREAS, the Series 2017A and 2017B Indenture, the Series 2017C Indenture and the Series 2017D Indenture are referred to collectively herein as the “Indentures,” the Refunded Series 2005A Bonds, the Refunded Series 2007A Bonds and the Refunded Series 2014D Bonds are referred to collectively herein as the “Refunded Bonds,” the Series 2017 Bonds issued on a tax-exempt basis are referred to collectively herein as the “Tax-Exempt Bonds” and the Series 2017 Bonds issued on a taxable basis are referred to collectively herein as the “Taxable Bonds”; and

WHEREAS, in order to enhance the security for the Series 2017 Bonds and achieve a lower cost of borrowing, it may be desirable for the City to arrange for a municipal bond insurance policy, letter of credit or other credit enhancement facility, insuring or guaranteeing the payment of the principal of and interest on the Series 2017 Bonds and/or a surety bond or debt service reserve fund policy for any debt service reserve fund, to be issued by a bond insurance company, commercial bank or other financial institution acceptable to the City; and

WHEREAS, the City has found and determined that the financing of the Tax‑Exempt City Projects and the Taxable City Projects and the refunding of the Refunded Bonds as described above will benefit the citizens of the City; and

WHEREAS, the City reserves the right to not refund the Refunded Bonds, in whole or in part, in the event that the Director of Finance determines that such refunding would not be of benefit to the City, for example, if such refunding would result in insufficient net present value savings; and

WHEREAS, it is expected that the Tax‑Exempt City Projects will be financed with the proceeds of Tax-Exempt Bonds, however, any such project may be financed with the proceeds of Taxable Bonds in whole or in part, and it is further expected that the Taxable City Projects will be financed with the proceeds of Taxable Bonds, however, any such project may be financed with the proceeds of Tax-Exempt Bonds in whole or in part, in each case if the Director of Finance determines that such issuance would be in the best interests of the City, acting upon the recommendation of co-bond counsel; and

WHEREAS, it is expected that each of the Series 2017B Bonds, Series 2017C Bonds and Series 2017D Bonds will be issued as Tax-Exempt Bonds, however, each such series may be issued as Taxable Bonds in whole or in part if the Director of Finance, acting upon the recommendation of co-bond counsel, determines that such issuance would be in the best interests of the City; and

WHEREAS, in order to accomplish the foregoing, it is necessary and desirable that the City approve the transactions described in this Ordinance and the execution and delivery of the financing documents and certain other matters in connection with the transaction, as herein provided;

NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF KANSAS CITY:

Section 1. Authorization of Bonds; Authorization and Execution of Bond Purchase Agreement and Certificates of Final Terms. The City hereby authorizes the issuance of its Series 2017 Bonds in the aggregate principal amount not to exceed $175,000,000.00. The City hereby authorizes the issuance of its Series 2017A Bonds for the purpose of providing funds for the following: (a) to finance the Taxable City Projects, (b) to fund a debt service reserve fund for the Series 2004B-1 Bonds, (c) to pay capitalized interest on a portion of the Series 2017A Bonds and (d) to pay certain costs of issuance of the Series 2017A Bonds. The City hereby authorizes the issuance of its Series 2017B Bonds for the purpose of providing funds for the following: (a) to finance and refinance the Tax-Exempt City Projects, including refunding the Refunded Series 2014D Bonds and (b) to pay certain costs of issuance of the Series 2017B Bonds. The City hereby authorizes the issuance of its Series 2017C Bonds for the purpose of providing funds for the following: (a) to refund the Refunded Series 2005A Bonds and (b) to pay certain costs of issuance of the Series 2017C Bonds. The City hereby authorizes the issuance of its Series 2017D Bonds for the purpose of providing funds for the following: (a) to refund the Refunded Series 2007A Bonds and (b) to pay certain costs related to the issuance of the Series 2017D Bonds. Each series of the Series 2017 Bonds shall be dated the date set forth in the applicable Indenture and applicable form of Bond. The Tax-Exempt Bonds shall bear interest at rates initially not to exceed a true interest cost of 4.75% and the Taxable Bonds shall bear interest at rates initially not to exceed a true interest cost of 5.75%. Each series of the Series 2017 Bonds shall have such other terms and provisions as shall be provided in the applicable Indenture and the Bond Purchase Agreement approved by the Director of Finance.

The Director of Finance is hereby authorized and directed to approve the purchase price for each series of the Series 2017 Bonds, the principal amounts by maturity, the interest rates, the terms of credit enhancement, if any, and the other final terms of the Series 2017 Bonds, including applicable redemption provisions, subject to the limitations set forth in this Section, and in that connection, to execute and deliver, for each series of the Series 2017 Bonds, the Certificate of Final Terms for and on behalf of and as the act and deed of the City, which approval will be conclusively evidenced by the Director of Finance’s execution of the Certificate of Final Terms. Upon execution, the Certificate of Final Terms for the Series 2017A Bonds will be attached to this Ordinance as Exhibit A-1, the Certificate of Final Terms for the Series 2017B Bonds will be attached to this Ordinance as Exhibit A-2, the Certificate of Final Terms for the Series 2017C Bonds will be attached to this Ordinance as Exhibit A-3 and the Certificate of Final Terms for the Series 2017D Bonds will be attached to this Ordinance as Exhibit A-4 and the City Clerk is hereby authorized to file each such Certificate of Final Terms with this Ordinance. The City is authorized to enter into a Bond Purchase Agreement for the Series 2017 Bonds in accordance with the Certificates of Final Terms. The Director of Finance is authorized to execute the Bond Purchase Agreement for and on behalf of and as the act and deed of the City.

Section 2. Limited Obligations. Each series of the Series 2017 Bonds and the interest thereon shall be special, limited obligations of the City payable solely out of Appropriated Moneys (as defined in the applicable Indenture) and moneys in the Funds and Accounts held by the Trustee under such Indenture (other than the Rebate Fund), and shall be secured by a transfer, pledge and assignment of and a grant of a security interest in the Trust Estate to the Trustee and in favor of the owners of the applicable Bonds. Each series of the Series 2017 Bonds and interest thereon shall not be deemed to constitute a debt or liability of the City within the meaning of any constitutional, statutory or charter limitation or provision, and shall not constitute a pledge of the full faith and credit of the City, but shall be payable solely from the funds provided for in the Indenture. The issuance of the Series 2017 Bonds shall not, directly, indirectly or contingently, obligate the City to levy any form of taxation therefor or to make any appropriation for their payment.

Section 3. Authorization and Approval of Financing Documents. The proposed documents relating to the financing (the “Financing Documents”) are hereby approved in substantially the forms submitted to the City Council, and the Director of Finance is authorized to execute and deliver the Financing Documents with such changes therein and additions thereto as the Director of Finance deems necessary or appropriate.

(a)                Indentures.

(b)               Tax Compliance Agreement between the City and the Trustee relating to the Tax‑Exempt Bonds, or any series thereof, which sets forth certain representations, facts, expectations, terms and conditions relating to the use and investment of the proceeds of such Tax-Exempt Bonds, to establish and maintain the exclusion of interest on such Bonds from gross income for federal income tax purposes, and to provide guidance for complying with the arbitrage rebate provisions of Section 148(f) of the Internal Revenue Code.

(c)                Continuing Disclosure Undertaking relating to the Series 2017 Bonds, or any series thereof, under which the City agrees to provide continuing disclosure of certain financial information, operating data and material events, for the benefit of the owners of such Bonds and to assist the Underwriters thereof in complying with Rule 15c2-12 of the Securities and Exchange Commission.

(d)               Bond Purchase Agreement relating to the Series 2017 Bonds, or any series thereof, between the City and the Underwriters of such Bonds, under which the City agrees to sell and the Underwriters agree to purchase the Series 2017 Bonds, upon such terms and conditions thereof as set in such Bond Purchase Agreement and the Certificates of Final Terms, as described in Section 1.

(e)                Financing Agreement, Cooperative Agreement or comparable agreement, relating to any series of Bonds that finances or refinances a project authorized under the TIF Act and/or the DESA Act, with the Commission, DESA, the Board, the Department or other applicable entity, including but not limited to:

(i) An agreement with the Commission whereby the City and Commission agree to utilize certain economic activity taxes, as defined by the TIF Act, for the debt service on the Series 2017A Bonds Linwood Project Portion.

(ii) An agreement with the Commission whereby the City commits to provide Super-TIF for the debt service on the Series 2017A Bonds Linwood Project Portion.

(iii) An agreement with DESA relating to the use of DESA Revenues for the Kansas City Downtown Redevelopment District Project and the Series 2017C Bonds.

(iv) An agreement with the Commission whereby the Commission agrees to assign certain Incremental Tax Revenues relating to the Midtown Redevelopment Project to the City in connection with the Series 2017D Bonds.

(v) An agreement with the Department relating to the use of State Sales Tax Revenues for the Midtown Redevelopment Project and the Series 2017D Bonds.

(f)                A Supplemental Financing Agreement or other agreement with the Authority relating to the refunding of the Refunded Series 2005A Bonds.

(g)                An Escrow Agreement or other escrow instruction between the City and the applicable Trustee or Escrow Agent relating to the refunding of the applicable series of Refunded Bonds.

The City Council further approves the execution and delivery by the City of any documents which may be required in connection with the execution and delivery by the City of the Indentures and issuance of the Series 2017 Bonds and of such other documents as the Director of Finance deems necessary or appropriate in connection with the transactions authorized by this Ordinance.

Section 4. Credit Enhancement. The City hereby authorizes the Director of Finance to obtain a bond insurance policy, letter of credit or other credit enhancement (“Credit Enhancement”) for some or all of the Series 2017 Bonds and the purchase or a surety bond or debt service reserve fund policy for any debt service reserve fund, if necessary or desired, from a credit provider with such credit rating that, in the opinion of the applicable Underwriters, the Financial Advisors and the Director of Finance, there will be achieved an economic benefit for the City if the Series 2017 Bonds are secured by such Credit Enhancement. The purchase of such Credit Enhancement and the entering into of such agreements with respect thereto as may be necessary or appropriate are hereby approved. Such credit enhancement may be such type, in such amount and provided by such entity or entities as the Director of Finance shall determine to be in the best interest of the City. The officials of the City are authorized and directed to execute all documents, agreements, instruments and certificates in connection with such credit enhancement.

Section 5. Official Statement. The City hereby delegates authority to the Director of Finance to prepare, approve and deem final any Preliminary Official Statement and any final Official Statement, with the signature of the Director of Finance thereon being conclusive evidence of the Director's approval and the City's approval thereof and to approve the final terms of each series of the Series 2017 Bonds, including any credit enhancement of a series of the Series 2017 Bonds. The City hereby consents to the use and public distribution of any Preliminary Official Statement and any final Official Statement in connection with the offering for sale of each series of the Series 2017 Bonds.

Section 6. Approval of Selection of Professionals.

(a)                The City approves the selection of FirstSouthwest, a Division of Hilltop Securities Inc., and Moody Reid Financial Advisors to act as Co-Financial Advisors in connection with the issuance of the Series 2017 Bonds. The City approves the selection of Kutak Rock LLP and the Hardwick Law Firm LLC to act as Co-Bond Counsel in connection with the issuance of the Series 2017 Bonds. The City approves the selection of Kutak Rock LLP and the Hardwick Law Firm LLC to act as Co-Disclosure Counsel in connection with the issuance of the Series 2017 Bonds.

(b)               The City approves the selection of J.P. Morgan Securities LLC or an affiliate thereof to act as senior Underwriter in connection with the issuance of the Series 2017 Bonds, and authorizes the Director of Finance to select the remaining members of the underwriting syndicate.

Section 7. Renaming of Fund No. 3436. That the name of Fund No. 3436 is hereby changed to the Special Obligation Series 2017 Taxable Bond Fund.

Section 8. Renaming of Fund No. 3437. That the name of Fund No. 3437 is hereby changed to the Special Obligation Series 2017 Tax-Exempt Bond Fund.

Section 9. Estimation of Revenue. That the revenue in the following account of Fund No. 3437, the Special Obligation Series 2017 Tax-Exempt Bond Fund, is hereby estimated in the following amount:

AL-3437-120000-590000 Bond Proceeds $6,000,000.00

Section 10. Appropriation. That the sum of $6,000,000.00 is hereby appropriated from the Unappropriated Fund Balance of Fund No 3437, the Special Obligation Series 2017 Tax-Exempt Bond Fund, to the following account:

AL-3437-707773-B-70155505 Museum Capital Maintenance $6,000,000.00

Section 11. Designating Authorities. The Director of Parks and Recreation is hereby designated as requisitioning authority for Account No. AL-3437-707773.

Section 12. Closing Project Accounts. The Director of Finance is hereby authorized to close project accounts upon applicable project completion and return the unspent portion of the appropriation to the Fund Balance from which it came.

Section 13. Declaration of Intent. The City hereby declares its official intent to reimburse itself for certain expenditures made within sixty (60) days prior to or on and after the date of this ordinance with respect to the improvements to the Kansas City Museum (the “Museum Project”) with the proceeds of bonds expected to be issued by the City. The maximum principal of amount of bonds expected to be issued for the Museum Project is not to exceed $6,000,000.00. The City also declares its official intent to reimburse itself for any expenditures made on any Taxable City Project, to the extent that the Director of Finance hereafter determines that any such project should be financed with proceeds of Tax-Exempt Bonds, with a maximum principal amount of $23,250,000.00 for such projects. This constitutes a declaration of official intent under Treasury Regulation Section 1.150-2.

Section 14. Further Authority. The officials of the City are further authorized and directed to execute such documents, instruments and certificates and to take such further actions on behalf of the City as shall be necessary or desirable to effect the terms and provisions of this Ordinance.

Section 15. Declaration of Accelerated Effective Date. This Ordinance is recognized as an ordinance with an accelerated effective date as provided by Section 503(a)(3)(C) of the City Charter in that it appropriates money, and shall take effect in accordance with that section.

_____________________________________________

 

I hereby certify that there is a balance, otherwise unencumbered, to the credit of the appropriation to which the foregoing expenditure is to be charged, and a cash balance, otherwise unencumbered, in the treasury, to the credit of the fund from which payment is to be made, each sufficient to meet the obligation hereby incurred.

 

 

___________________________________

Randall J. Landes

Director of Finance

 

Approved as to form and legality:

 

 

___________________________________

Sarah Baxter

Assistant City Attorney


SCHEDULE I

 

 

Taxable City Projects

 

 

Description of Project

Estimated Cost of Project*

 

 

Linwood Shopping Center

$ 16,250,000.00

18th & Vine, Phase 1

7,000,000.00

 

 

TOTAL

$23,250,000.00

 

 

 

 

* Estimated Project costs represent the estimates of the City as of the date hereof and are included for informational purposes only. Nothing contained herein shall limit or prevent the City from expending Series 2017A proceeds or proceeds of another series of Series 2017 Bonds (subject to satisfaction of the requirements of the applicable Tax Compliance Agreement) on any of the identified Series 2017A Projects in such amounts as the Director of Finance determines is necessary and appropriate.

 

 


SCHEDULE II

 

Tax-Exempt City Projects

 

Description of Project

Estimated Cost of Project*

 

 

Peoplesoft Upgrade

$ 5,099,736.00

Energov Permitting System

1,548,201.00

Kansas City Museum

6,000,000.00

Zoo Security Cameras

1,800,000.00

Refinancing of Crisis Center

1,510,000.00

Fuel Stations

4,674,000.00

 

 

TOTAL

$20,631,937.00

 

 

 

* Estimated Project costs represent the estimates of the City as of the date hereof and are included for informational purposes only. Nothing contained herein shall limit or prevent the City from expending Series 2017B proceeds or proceeds of another series of Series 2017 Bonds on any of the identified Series 2017B Projects in such amounts as the Director of Finance determines is necessary and appropriate.


EXHIBIT A-1
CERTIFICATE OF FINAL TERMS
SERIES 2017A BONDS

 

The undersigned Director of Finance of the City of Kansas City, Missouri (the “City”), in connection with the issuance of the City’s $_________ Taxable Special Obligation Bonds (Kansas City, Missouri Projects) Series 2017A (the “Series 2017A Bonds”), certifies pursuant to Section 1 of Ordinance No. ______ of the City (the “Ordinance”), as follows:

 

1. Original Principal Amount. The Series 2017A Bonds are issued in the original principal amount of $_________.

 

2. Maturity Schedule. The Series 2017A Bonds will mature on the dates and in the amounts and bear interest at the rates as set forth in the Trust Indenture dated as of March 1, 2017 (the “Indenture”) by and between the City and UMB Bank, N.A., as Trustee, and as summarized on Schedule __ to this Certificate.

 

3. True Interest Cost: The true interest cost of the Series 2017A Bonds is ______%, as shown on Schedule __ to this Certificate.

 

4. Purchase Price. The purchase price of the Series 2017A Bonds is $______, representing $_________ principal amount, less Underwriters’ discount of $______.

 

5. Optional Redemption. The Series 2017A Bonds are subject to optional redemption pursuant to the Indenture on the dates and in the amounts as set forth therein.

 

The terms set forth in this Certificate of Final Terms are within the limitations of Section 1 of the Ordinance.

 

Delivered this ____ day of March, 2017.

 

CITY OF KANSAS CITY, MISSOURI

 

 

 

By: _____________________________

Randall J. Landes

Director of Finance


EXHIBIT A-2
CERTIFICATE OF FINAL TERMS
SERIES 2017B BONDS

 

The undersigned Director of Finance of the City of Kansas City, Missouri (the “City”), in connection with the issuance of the City’s $_________ Special Obligation Bonds (Kansas City, Missouri Projects) Series 2017B (the “Series 2017B Bonds”), certifies pursuant to Section 1 of Ordinance No. ______ of the City (the “Ordinance”), as follows:

 

1. Original Principal Amount. The Series 2017B Bonds are issued in the original principal amount of $_________.

 

2. Maturity Schedule. The Series 2017B Bonds will mature on the dates and in the amounts and bear interest at the rates as set forth in the Trust Indenture dated as of March 1, 2017 (the “Indenture”) by and between the City and UMB Bank, N.A., as Trustee, and as summarized on Schedule __ to this Certificate.

 

3. True Interest Cost: The true interest cost of the Series 2017B Bonds is ______%, as shown on Schedule __ to this Certificate.

 

4. Purchase Price. The purchase price of the Series 2017B Bonds is $______, representing $_________ principal amount, plus net original issue premium of $______, less Underwriters’ discount of $______.

 

5. Optional Redemption. The Series 2017B Bonds are subject to optional redemption pursuant to the Indenture on the dates and in the amounts as set forth therein.

 

The terms set forth in this Certificate of Final Terms are within the limitations of Section 1 of the Ordinance.

 

Delivered this ____ day of March, 2017.

 

CITY OF KANSAS CITY, MISSOURI

 

 

 

By:_____________________________

Randall J. Landes

Director of Finance


EXHIBIT A-3
CERTIFICATE OF FINAL TERMS
SERIES 2017C BONDS

 

The undersigned Director of Finance of the City of Kansas City, Missouri (the “City”), in connection with the issuance of the City’s $_________ Special Obligation Refunding Bonds (Kansas City Downtown Redevelopment District) Series 2017C (the “Series 2017C Bonds”), certifies pursuant to Section 1 of Ordinance No. ______ of the City (the “Ordinance”), as follows:

 

1. Original Principal Amount. The Series 2017C Bonds are issued in the original principal amount of $_________.

 

2. Maturity Schedule. The Series 2017C Bonds will mature on the dates and in the amounts and bear interest at the rates as set forth in the Trust Indenture dated as of March 1, 2017 (the “Indenture”) by and between the City and UMB Bank, N.A., as Trustee, and as summarized on Schedule __ to this Certificate.

 

3. True Interest Cost: The true interest cost of the Series 2017C Bonds is ______%, as shown on Schedule __ to this Certificate.

 

4. Purchase Price. The purchase price of the Series 2017C Bonds is $______, representing $_________ principal amount, plus net original issue premium of $______, less Underwriters’ discount of $______.

 

5. Optional Redemption. The Series 2017C Bonds are subject to optional redemption pursuant to the Indenture on the dates and in the amounts as set forth therein.

 

The terms set forth in this Certificate of Final Terms are within the limitations of Section 1 of the Ordinance.

 

Delivered this ____ day of March, 2017.

 

CITY OF KANSAS CITY, MISSOURI

 

 

 

By:_____________________________

Randall J. Landes

Director of Finance


EXHIBIT A-4
CERTIFICATE OF FINAL TERMS
SERIES 2017D BONDS

 

The undersigned Director of Finance of the City of Kansas City, Missouri (the “City”), in connection with the issuance of the City’s $_________ Special Obligation Refunding Bonds (Midtown Redevelopment Project) Series 2017D (the “Series 2017D Bonds”), certifies pursuant to Section 1 of Ordinance No. ______ of the City (the “Ordinance”), as follows:

 

1. Original Principal Amount. The Series 2017D Bonds are issued in the original principal amount of $_________.

 

2. Maturity Schedule. The Series 2017D Bonds will mature on the dates and in the amounts and bear interest at the rates as set forth in the Trust Indenture dated as of March 1, 2017 (the “Indenture”) by and between the City and UMB Bank, N.A., as Trustee, and as summarized on Schedule __ to this Certificate.

 

3. True Interest Cost: The true interest cost of the Series 2017D Bonds is ______%, as shown on Schedule __ to this Certificate.

 

4. Purchase Price. The purchase price of the Series 2017D Bonds is $______, representing $_________ principal amount, plus net original issue premium of $______, less Underwriters’ discount of $______.

 

5. Optional Redemption. The Series 2017D Bonds are subject to optional redemption pursuant to the Indenture on the dates and in the amounts as set forth therein.

 

The terms set forth in this Certificate of Final Terms are within the limitations of Section 1 of the Ordinance.

 

Delivered this ____ day of March, 2017.

 

CITY OF KANSAS CITY, MISSOURI

 

 

 

By:_____________________________

Randall J. Landes

Director of Finance