City of Milwaukee - File #: 100737

• File #: 100737
• Version: 1
• Type: Resolution
• Status: Passed
• File created: 10/12/2010
• In control: ZONING, NEIGHBORHOODS & DEVELOPMENT COMMITTEE
• Final action: 11/23/2010
• Title: Substitute resolution authorizing the execution of a Cooperation Agreement by and between the City of Milwaukee and the Redevelopment Authority of the City of Milwaukee for refinancing the Redevelopment Authority’s Series 2001 Revenue Bonds and for financing The South End capital improvements project of Milwaukee World Festival, Inc., in the 4th Aldermanic District.
• Sponsors: ALD. MURPHY, ALD. BAUMAN
• Indexes: AGREEMENTS, MILWAUKEE WORLD FESTIVAL BOARD, REDEVELOPMENT AUTHORITY, REVENUE BONDS

Date	Ver.	Action By	Action	Result	Tally
12/6/2010	1	MAYOR	SIGNED
11/23/2010	1	COMMON COUNCIL	ADOPTED	Pass	14:0
11/18/2010	1	COMMON COUNCIL	HEARING NOTICES SENT
11/16/2010	1	ZONING, NEIGHBORHOODS & DEVELOPMENT COMMITTEE	RECOMMENDED FOR ADOPTION; Minutes note: Individuals present: Tom Gartner - City Attorney's Office Frank Nicotera - World Festivals Bob Gossey - director of design and construction at World Festivals	Pass	4:0
11/15/2010	0	CITY CLERK	Sponsor added; Minutes note: Ald. Murphy and Ald. Bauman added as sponsors at the request of Ald. Murphy on 11/15/10 - LME
11/9/2010	0	ZONING, NEIGHBORHOODS & DEVELOPMENT COMMITTEE	HEARING NOTICES SENT
10/12/2010	0	COMMON COUNCIL	ASSIGNED TO

Number

100737

Version

SUBSTITUTE 1

Reference

Sponsor

ALDERMAN MURPHY AND BAUMAN

Title

Substitute resolution authorizing the execution of a Cooperation Agreement by and between the City of Milwaukee and the Redevelopment Authority of the City of Milwaukee for refinancing the Redevelopment Authority’s Series 2001 Revenue Bonds and for financing The South End capital improvements project of Milwaukee World Festival, Inc., in the 4^th Aldermanic District.

Analysis

This resolution authorizes the execution of a Cooperation Agreement with the Redevelopment Authority providing for the issuance by the Authority of tax exempt revenue bonds that will finance the implementation of the Milwaukee World Festival Inc., South End Project.  The Cooperation Agreement also expresses the City’s commitment to provide credit enhancement for the 2010 Redevelopment Authority of the City of Milwaukee Redevelopment Revenue Bonds by providing a moral obligation pledge to be responsible for debt service.

Resolution

Body

Whereas, City and Milwaukee World Festival, Inc. (“Festival”) have entered into a Lease Agreement effective as of the 1^st day of January 2001 as amended by a First Amendment dated as of February 1, 2005 and a Second Amendment dated as of January 6, 2010 (“Lease”) for real property commonly known as the Henry Maier Festival Grounds; and

Whereas, The Lease provided for financing of a portion of the costs of Festival’s Capital Improvements Program I through the issuance of tax-exempt bonds by the Authority in 2001; and

Whereas, The Lease also contemplates financing a portion of the costs of the South End Project through the issuance by the Authority of one or more additional series of tax exempt bonds (the “2010 Bonds”), and

Whereas, The Authority adopted Resolution No. 10243 on October 21, 2010 which was an initial resolution related to the issuance of the 2010 Bonds for the South End Project in an amount not to exceed $25 million; and

Whereas, The City and the Authority entered into a Cooperation Agreement dated as of the 21^st day of June, 2001 and a First Supplement to Cooperation Agreement dated as of October 1, 2001 in order to provide credit enhancement for the 2001 bonds pursuant to which City agreed to provide a moral obligation pledge; and

Whereas, In order to provide credit enhancement for the 2010 Bonds, City desires to provide a moral obligation pledge (“Pledge”) pursuant to the terms of the Cooperation Agreement attached to this file.  The Pledge is to be structured consistent with City’s budget process including a timetable for appropriation by City’s Common Council, the reporting of events of defaults, and legislative action by City’s Common Council.  The Pledge shall create only financial obligations of the City which are subject to annual appropriation; now, therefore, be it

Resolved, By the Common Council of the City of Milwaukee, that it hereby authorizes and directs the proper City officers to execute the Cooperation Agreement for Financing the Milwaukee World Festival, Inc. South End Project in the form attached to this file.

Requestor

City Attorney

Drafter

TOG:mll

November 15, 2010

1089-2010-2683:163306