Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Music Concourse Bond topic
No spam. Unsubscribe anytime.
Committee approves forwarding $30M bond refinancing for Music Concourse parking to Board
Summary
Committee concurred with Controller and Office of Public Finance recommendation to permit the Music Concourse Community Partnership to issue up to $30 million in tax-exempt bonds (First Republic Bank purchaser) to refund 2005 notes for the Golden Gate Park Music Concourse parking facility; presenters said there is no fiscal impact to the City and roughly $55M could revert to the City when the ground lease terminates.
The Budget & Finance Committee advanced a resolution allowing the Music Concourse Community Partnership (MCCP) to pursue a tax-exempt revenue bond transaction of up to $30 million, to refund revenue anticipation notes issued in 2005 for the Golden Gate Park Music Concourse underground parking facility.
The presentation explained the MCCP intends to refinance short-term notes to secure a lower fixed interest rate (presented as 5.5%) and to take advantage of ARRA provisions requiring issuance by year-end. Staff advised that the transaction uses garage revenues to pay debt and would not create city liability; the committee packet and Controller's Office analysis indicated the existing notes bore interest near 6% and the refinancing would reduce that cost.
MCCP representatives (including Jan Burkfelt) confirmed a past theft/loss on garage operations of about $3.6 million with very limited recovery; they said that loss was not part of the bond transaction. The budget analyst recommended an amendment to the legislation to include notice of the public hearing and identified contractor and amount details; the committee accepted amendments and voted to forward the resolution to the full Board with recommendation.
The committee record shows the item will be considered by the full Board at its next calendar.
