Focus Area: Economy
Staff Contact: Jamie Robichaud/John Page
Subject: Consideration of Ordinance No. 24-39 authorizing issuance of the City's taxable industrial revenue bonds in an amount not to exceed $88,739,000 for the renovation and repurposing of two existing facilities to higher and better use on the Garmin campus.
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title:
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Consideration of Ordinance No. 24-39 authorizing issuance of the City's taxable industrial revenue bonds in an amount not to exceed $88,739,000 for the renovation and repurposing of two existing facilities to higher and better use on the Garmin campus.
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Summary:
Upon approval of Resolution No. 22-1057 on Aug. 2, 2022, the City expressed intent to issue an amount not to exceed $88,739,000 of the City’s taxable industrial revenue bonds (“bonds”) for the renovation and repurposing of two existing facilities to higher and better use on the Garmin campus.
The project will receive a 10 year, 75% tax phase-in in conjunction with the issuance of the industrial revenue bonds up to $88,739,000.
The Ordinance (Attachment B), prepared by the City’s Bond Counsel, Gilmore & Bell, P.C., will authorize the issuance of bonds not to exceed $88,739,000 for the Project. The bonds are a special obligation of the City, paid solely by revenues generated by the Project. The Ordinance also authorizes the approval and execution of various documents required to facilitate the transaction under Kansas law, including a bond indenture and lease agreement.
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Financial Impact:
All costs related to the issuance of the bonds will be paid by Garmin.
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Action Needed:
Approve Ordinance No. 24-39
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Attachment(s):
A: Resolution No. 22-1057
B: Ordinance No. 24-39