TITLE
Recommendation to adopt resolution approving proceedings by the Finance Authority of Long Beach for the issuance and sale of its Finance Authority of Long Beach Lease Revenue Bonds, Series 2022, to finance and refinance various capital projects, approving the form and authorizing execution of related documents, and approving related official actions. (Districts 1,4,5)
DISCUSSION
The Long Beach Bond Finance Authority (Authority) Lease Revenue Refunding Bond 2012 Series A (2012 Bonds) will soon be eligible for refunding. The refunding of the 2012 Bonds will reduce the annual debt service burden in various City of Long Beach (City) funds including the General, Fleet Services, and Towing Fund Groups. The 2012 Bonds were issued to refund the 1998 Series B Temple and Willow Bonds, 2005 Series A Temple and Willow Bonds, 2001 Plaza Parking Facility Bonds, 2002 Public Safety Facilities Bonds, 2003 Skylinks Golf Course Bonds, and 2004 Series A Long Beach Towne Center Bonds, thereby reducing annual debt service payments. As the 2012 Bonds have reached eligibility for refunding, the opportunity to achieve further debt service savings and reimburse the Fleet Services Fund Group for an interfund loan for the project management costs related to the Public Safety Garage in a cost-effective manner is now available.
The City proposes that the refunding of the 2012 Bonds be financed from the proceeds of the Finance Authority of Long Beach Lease Revenue Bonds, Series 2022 (2022 Bonds), to be issued by the Authority under the provisions of Article 4 (commencing with section 6584) of the JPA Act (Bond Law). To provide repayment of the Bonds, the City and the Authority will enter into a lease-leaseback arrangement on City-owned property. The proceeds from the Bonds will be used to refund approximately $41,520,000 of aggregate bond principal and issue $1,650,000 to fund the Public Safety Garage costs reimbursement and pay the cost of issuance. The Bonds will be structured wi...
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