header-left
Share to Facebook Share to Twitter Bookmark and Share
File #: 0175-2020    Version: 1
Type: Ordinance Status: Passed
File created: 1/10/2020 In control: Finance Committee
On agenda: 2/3/2020 Final action: 2/5/2020
Title: To appropriate and authorize the City Auditor to transfer $9,564,227.00 from the Special Income Tax Fund to the Franklin County Convention Facilities Authority Fund, for the purpose of providing secondary funding in the event that Franklin County Convention Facilities Authority cannot meet its debt obligations, to appropriate and expend up to $7,036,937.50 within the Special Income Tax Fund for reimbursement to the RiverSouth Authority to make lease payments, to appropriate and expend up to $1,841,500.00 to the RiverSouth Authority to make lease payments; and to declare an emergency ($18,442,664.50).
Attachments: 1. 0175-2020 DAX Financial Template
Explanation

Background: This legislation authorizes the appropriation and transfer of $9,564,227.00 from the Special Income Tax Fund, to the Franklin County Convention Facilities Authority Fund. The appropriation and transfer of $9,564,227.00 from the Special Income Tax Fund provides the backing, as stipulated in the City's lease agreement with the Franklin County Convention Facilities Authority (CFA). The actual transfer of these funds will only occur if the CFA is unable to meet its debt obligations as outlined in its lease with the City. The City provides fifty percent of this backing, while Franklin County is responsible for the other fifty percent. Since 1990, no such payments have been needed, nor are any anticipated.

In 2019, the City entered into a Lease Agreement and Sub-Lease Agreement with the CFA and Franklin County, Ohio (Ordinance No. 2815-2019) in connection with the issuance of the hotel expansion bonds. The agreement allowed the CFA to issue the 2019B Lease Appropriation bonds. These bonds are to provide additional funding for the downtown convention center hotel expansion. Interest on these bonds will be capitalized through 2022. No appropriation is required in 2020 for these bonds. The City along with Franklin County will provide the backing for these bonds. The City provides fifty percent of this backing, while Franklin County is responsible for the other fifty percent. The actual transfer of these funds will only occur if the CFA is unable to meet its debt obligations.

This legislation also authorizes the appropriation of $7,036,937.50 from the Special Income Tax Fund for lease payments to the RiverSouth Authority. The RiverSouth Authority issued bonds in 2004 and 2005 to purchase and rehabilitate the former downtown Lazarus Department Store and refunding bonds in 2012 and in 2014. The City entered into a Master Lease Agreement and a First Supplemental Lease Agreement with The RiverSouth Authority on June 21, 2004 (Ordin...

Click here for full text