COMMITTEE SUBSTITUTE
FOR RESOLUTION NO. 030322
Authorizing the development of a
financing by the Port Authority of Kansas City providing for the issuance of
one or more series of its revenue bonds in an approximate principal amount or
initial accreted value not to exceed $20,000,000.00 to purchase land owned by
the Kansas City, Missouri Aviation Department.
WHEREAS, the City
desires to proceed with the redevelopment of the former Richards Gebaur (R-G)
Airport facility as an economic development project in conjunction with the KC
Southern multi-modal facility; and
WHEREAS, the Aviation
Department desires to sell certain parcels of property located at R-G in
conformance with the laws, policies and requirements of the Federal Aviation
Authority (FAA) and other federal agencies as part of the closing of the
former airport facility; and
WHEREAS, the Port
Authority of Kansas City (Authority) desires to acquire and consolidate the
referenced property at R-G in order to facilitate the redevelopment of the
area; and
WHEREAS, the City has
passed Resolution No. 021453 directing the City Manager and the Authority to
develop an appropriate financing method for the acquisition of certain parcels
of property on the R-G facility from the City, held by the Aviation Department,
and directing the City Manager to report to the Council on the economic, legal
and regulatory feasibility of establishing an appropriate financing method;
NOW, THEREFORE,
BE IT RESOLVED BY THE
COUNCIL OF KANSAS CITY:
Section 1. That the
Council authorizes the development of financing by the Authority in order to
purchase land (Project) from the Aviation Department through revenue bonds of
the Authority in an approximate principal amount or initial accreted value not
to exceed $20,000,000.00.
Section 2. That such
purchase of land at R-G must comply with the Memorandum of Agreement dated
March 20, 2002, between the City and FAA which imposes conditions and
requirements on the disposition of R-G property, including the payment of fair
market value for the land supported by at least one independent appraisal
report, and determined acceptable by the FAA.
Section 3. That the
Council states that such Project is for the benefit of the public and
constitutes a public purpose.
Section 4. The City
expects to incur certain expenditures in connection with the Project made
within 60 days prior to or on and after the date of this resolution with
proceeds of the bonds and intends to reimburse itself for all or a portion of
such expenditures, to the extent permitted by law. The maximum principal amount
or initial accreted value of Bonds expected to be issued for the Project is
$20,000,000.00. This resolution constitutes a declaration of official intent
under Treasury Regulation Section 1.150.