City of Alexandria, Virginia
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MEMORANDUM
DATE: NOVEMBER 9, 2015
TO: THE HONORABLE MAYOR AND MEMBERS OF CITY COUNCIL
FROM: MARK B. JINKS, CITY MANAGER /s/
DOCKET TITLE:
TITLE
Public Hearing, Second Reading and Final Passage of an Ordinance Authorizing the Issuance of a Tax Revenue Bond in the Maximum Amount of $58,000,000 to the Virginia Transportation Infrastructure Bank to Finance, in Part, Construction of a New Metrorail Station and the Execution and Delivery of Certain Documents Related Thereto. [ROLL-CALL VOTE]
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ISSUE: Consideration of an ordinance to authorize the issuance of a tax revenue bond to the Virginia Transportation Infrastructure Bank for the purpose of financing, in part, the Potomac Yard Metrorail Station.
RECOMMENDATION: That City Council: (1) Authorize finalizing the Virginia Transportation Infrastructure Bank (VTIB) loan agreement by holding a public hearing and passing an ordinance (Attachment 1) authorizing the issuance of a bond in an amount up to $58.0 million to finance a portion of the Proposed Potomac Yard Metrorail Station, and (2) Direct the City Manager to obtain City Council authorization prior to requesting a drawdown of any of the $58,000,000 in loan proceeds from VTIB.
BACKGROUND: The proposed ordinance authorizes the issuance of up to $58.0 million in a tax revenue bond which will be sold to VTIB. Repayment of this revenue bond, will be supported by the Tier I Potomac Yard Special Tax District, as well as a subject-to-annual-appropriation support agreement of the City in the event such Tier I Special tax district revenues are insufficient. In December 2014, City Council ratified an application to the Virginia Transportation Infrastructure Bank (VTIB) for a $50 million loan to assist in funding a portion of the construction of the proposed Potomac Yard Metro Station. The VTIB loan is comprised of a $50...
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