HomeMy WebLinkAboutR-80-0602RESOLUTION NO. 8 0- 6 U 2
i
A RESOLUTION PROVIDING THAT,,,/TO THE EXTENT
THAT THE CITY OF MIAMI DOES NOT RECEIVE FUNDS
FROM THE UNITED STATES DEPARTMENT OF HOUSING
AND URBAN DEVELOPME11T, UNDER THE TERMS ANT)
CONDITIONS OF A PRELIMINARY UDAG AGREEMENT
TO GRANT $4,994.000 FOR THE PURPOSE OF
FINANCING A PORTION OF THE CONSTRUCTION COST
OF THE CITY PARKING GARAGE, THE CITY OF MIAMI
SHALL FUND FROM MONIES LAWFULLY AVAILABLE
THEREFOR, ALL OR PART OF SUCH COSTS FOR 14HICH
THE UDAG PROCEEDS WERE INTENDED, TOGETHER
WITH THE ESTIMATED INVESTMENT EARNINGS THAT
SUCH LAWFULLY AVAILABLE MONIES WOULD HAVE
EARNED DURING ITS TIME ON DEPOSIT IN THE
CONSTRUCTIOP FUND.
WHEREAS. the City of Miami has renresented in its
Official Statement relating to its 560,000,000 Convention Center
and Parking Garage Revenue Bonds that a portion of the cost of the
parking garage (as defined in said Official Statement) will be
paid from the proceeds of the Department of Housing and I1rban
Development UDAG Grant and the expected investment earnings thereon;
and
WHEREAS, all the requirements contingent to the receipt
by the City of Miami of said UDAG Grant proceeds will not have been
complied with by the time of the closing of said Convention Center
and Parking Garage Revenue Bonds; and
WHEREAS, it is necessary to provide that sufficient
monies are available to pay the cost of the parking garage in the
event such UDAG Grant proceeds are not available;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE
CITY OF MIAMI, FLORIDA:
Section 1. To the extent that the City of Miami does
not receive funds from the United States Department of Housing and
Urban Development pursuant to a preliminary ITDAC agreement to grant
$4,994.000 to fund construction cost of the City parking garage;
"DOCUMENT INDEX
ITFFJ1 Nn y0
CITY COMMISSION
"SU PPORTIV MEETING OF
DOCUMENTS 1112 4 198':l
FO L LOW„ 11MUM N..g.......o
...........�...............
the City of Miami shall fund from monies lawfully available
therefor, all or part of such costs for which the UDAG Proceeds
were intended, together with the estimated investment earnings that
such lawfully available monies would have earned during its time
on deposit in the construction fund.
PASSED AND ADOPTED this 24 day of July , 1980.
ATTEST:
C—RATLPG. ONGIE
ITYITY CLERK
PREPARED AND APPROVED BY:
4 AVERC
AS ISTANT CITY ATTOR14EY
APPROVED AS TO -TOW AND CORRECTNESS:
CITY TORNEY �
MAURICE A. FERRE
C.A. FRRE, MA Y OR
-2-
"SUPPORTIVE
DOCUMENTS
FOLLOW"
80-602
Joseph R. Grassie
City Manager
Vincent E. Grimm, Jr.
Assistant City Manager
,:r*v 0F_ MIA -Ai, &'LONIDA7,
IN (!"il•O1"FICE "IEMON.ANDUM
July 17, 1980 E
Convention Center Closing
. I.
A
While Terry Percy and I were in New York going over the documents necessary
for closing which number in excess of 250, a problem cropped up regarding
the provisions of the UDAG grant. On page 5 of the official statement, it
is stated that the bonds are not secured by the proceeds of the UDAG grant
and the City may receive a letter of credit secured by the proceeds of the
UDAG grant upon compliance of certain conditions contained within the
agreement with HUD. Because these conditions cannot be met by the time •
of closing on August 5, 1980, the underwriter's attorneys are nervous.
They are requesting that the City adopt a resolution which will pledge
that in the event that the City does not receive the UDAG grant, the moneys
they would have received and the interest earned thereon Would be provided
by the City.
The City has a contract with HUD for a grant in the amount of $4,994,000.
There is no indication at all that the City will not receive these moneys.
The City has stated in the official statement that these funds will be
available and it is for this purpose that the underwriter's attorneys feel
that this resolution is necessary.
80-602
41 ,.ITV JC MIAMI, ' LU«IDA i
i
1h4 r-Tt-oFFICE "EMORANDU`I
Joseph R. Grassie July 17, 1980
City Manager
Convention Center Closing
Vincent E. Grimm, Jr.
Assistant City Manager
While Terry Percy and I were in New York going over the documents necessary
for closing which number in excess of 250, a problem cropped up regarding
the•provisions of the UDAG grant. On page 5 of the official statement, it
is stated that the bonds are not secured by the proceeds of the UDAG grant
and the City may receive a letter of credit secured by the proceeds of the
UDAG grant upon compliance of certain conditions contained within the
agreement with HUD. Because these conditions cannot be met by the time
of closing on August 5, 1980, the underwriter's attorneys are nervous.
They are requesting that the City adopt a resolution which will pledge
that in the event that the City does not receive the UDAG grant, the moneys
they would have received and the interest earned thereon vould be provided
by the City.
The City has a contract with HUD for a grant in the amount of $4,99.4,000.
There is no indication at all that the City will not receive these moneys.
The City has stated in the official statement that these funds will be
available and it is for this purpose that the underwriter's attorneys feel
that this resolution is necessary.
80-602