Title
Ordinance in the Amount of $11,658,785 Amending the Performing Arts Center Project Fund
Body
Department: Financial and Administrative Services and Coliseum
Council District: 3
Public Hearing: N/A
Advertising Date/By: N/A
Contact 1 and Phone: Rick Lusk, Finance Director, 336-373-2077
Contact 2 and Phone: Matt Brown, Managing Director, 336-373-7400
PURPOSE:
Consider adoption of a budget ordinance amendment in the amount of $11,658,785 for the Steven B. Tanger Center for the Performing Arts ("Center") Fund to provide the necessary appropriation to account for the refinancing of land purchased for the Center and appropriating excess rent and other revenue collected to date to cover part of the cost of demolition of the Chamber of Commerce building.
BACKGROUND:
The City acquired various downtown properties for the Center and has been responsible for leasing and maintaining those properties until subsequently demolishing them, with the Chamber of Commerce building scheduled for demolition after September 2016. The City is also responsible for managing design and construction contracts for this project, funded from private donations solicited by the Community Foundation of Greater Greensboro ("CFGG") and from City financing. Project design contracts, funded in the amount of $5 million by CFGG, were awarded at the August 4, 2014 City Council meeting with design work estimated to be substantially completed before September 2016. On November 3, 2014, the City Council authorized City funding in the amount of $30 million via a short-term installment financing agreement with PNC Bank, under a construction draw program. This financing re-financed the $11.5 million land purchases initially borrowed from Bank of America and also provided for $18.5 million of the project construction costs. Project financing calls for the PNC Bank agreement to be paid off with long-term bonds issued by the City in 2017.
In December 2015, the City and CF...
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