e|agenda.NET Sarasota County Schools |
THE SCHOOL BOARD OF SARASOTA COUNTY, FLORIDA Landings Administrative Complex 1980 Landings Blvd. 3:00 P. M. |
Agenda Item #41 Title APPROVAL OF CORPORATE RESOLUTION AND RELATED FINANCING DOCUMENTS Description On June 3, 2008, the Corporation approved the Corporate Resolution and related Financing Documents for the issuance of Certificates of Participation (COPs) in an amount not to exceed $96 million in connection with the design and construction of Elementary School I (North Port 5th Elementary) and Sarasota County Technical Institute Phases IA/II. In that the District was unable to issue the COPs within the time anticipated, the prior resolution and leasing documents have been updated and the Board must approve the revised documents that include the Corporate Resolution and related Financing Documents attached as Exhibits to the Resolution (Lease Schedule No. 2009, Series 2009 Supplemental Trust Agreement, Ground Lease Second Amendment to Assignment of Lease Agreement, and Certificate Purchase Contract). The changes between the Financing Documents approved in June to those presented today include maximum true interest cost, final maturity date, and method of sale. Due to current market conditions, the true interest cost ceiling was increased from 5.5% to 6%. Although it is anticipated that rates will come in close to or below the original cap of 5.5%, the additional .5% allows the District flexibility should rates become volatile prior to the time of closing. Since there was a delay in issuing the COPs, the final maturity date was changed from July 1, 2023 to July 1, 2024; thereby, adhering to the agreed upon term of 15 years. However, given today's turbulent market environment, the District has opted to borrow funds using the negotiated sale process to reduce issuance costs. Earlier the Board was presented and voted on the investment banking firms selected to be on the District underwriting team through the RFP process. Recommendation That the Financing Corporation approve the Corporate Resolution and related Financing Documents. Contact CORCORAN & HENEGAR
Financial Impact Revenue in the form of Proceeds of Certificates of Participation, along with any Premiums or Discounts on Certificates of Participation, in an amount not to exceed $96,000,000. Attachment: Corporate Resolution.pdf Attachment: Exhibit A Lease Schedule.pdf Attachment: Exhibit B Supplemental Trus.pdf Attachment: Exhibit C Ground Lease Agre.pdf Attachment: Exhibit D Second Amendmen 2.pdf Attachment: Exhibit E Certificate Purch.pdf |