| | | | | | | |  | ITEM 20.
Economic Development - Consent |
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| | | | | | | | | DATE: | November 7, 2023
| | DEPARTMENT: | Economic Development
| | REQUESTER: | John Talmage
| | TITLE: | Approve Issuing IDA Bond to Lee County Community Charter Schools, LLC |
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| | | | | | | | | I. | MOTION REQUESTED | | | Adopt a resolution approving the issuance of a Lee County Industrial Development Authority Industrial Development Revenue Bond not to exceed $12,000,000.00 for the benefit of Lee County Community Charter Schools, LLC. |
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| | | | | | | | | II. | ITEM SUMMARY | | | Approves issuing Industrial Development Revenue Bonds by the Lee County Industrial Development Authority in the amount of $12,000,000 for the benefit of Lee County Community Charter Schools, LLC. The bonds will be used for the cost to construct, acquire, improve and equip Gateway Charter High School, Gateway Intermediate Charter School, Gateway Charter School, Six Mile Charter Academy, Mid Cape Global Academy, pay costs and fund necessary reserves associated with the issuance of the Bonds. The approval being given by the Board is limited, and the Board is not incurring any liability as a result of its approval. |
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| | | | | | | | | III. | BACKGROUND AND IMPLICATIONS OF ACTION |
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| | | | | | | | | | A) | Board Action and Other History | | | | Adoption of the resolution would provide the Board's limited approval to the issuance by the Authority of not to exceed $12,000,000 Industrial Development Revenue Bonds for the benefit of Lee County Community Charter Schools, LLC (the "Company") pursuant to a plan of finance in one or more series or tranches of tax-exempt and taxable bonds and the loaning of the proceeds thereof to finance the costs of the Project, finance any necessary reserves and pay all or a portion of the costs related to the issuance of the Bonds as described above under a loan agreement and other financing agreements which will provide that payments thereunder be at least sufficient to pay the principal of and interest and redemption premium, if any, on such Bonds and such other costs in connection therewith as may be incurred by the Issuer, will assist the Borrower and promote the public purposes provided in the Act, Chapter 159, Parts II and III, Florida Statutes, and such other provision or provisions of Florida law as the Issuer may determine advisable in order to accomplish the foregoing. The Project will be leased by the Company to Southwest Charter Foundation, Inc. f/k/a The Lee Charter Foundation, Inc., a Florida not-for-profit corporation. The Project will continue to be owned and operated by the Company. |
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| | | | | | | | | | D) | Analysis | | | | The approval of the County is limited and is required by Section 147(f) of the Internal Revenue Code and Part II, Section 159, Florida Statutes. In essence, these provisions provide that an elected public body must give its approval to the issuance of private activity bonds prior to their issuance. The Board's approval is given in accordance with Section (1)125.01(1)(z), Florida Statutes. Section 3 of the Board's resolution makes it clear that the approval being given by the Board is limited and, importantly, that the Board is not incurring any liability as a result of its approval. |
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| | | | | | | | | | A) | Current year dollar amount of item:
| No funding required. | | | B) | Is this item approved in the current budget? | N/A | | | C) | Is this a revenue or expense item? | N/A | | | D) | Is this Discretionary or Mandatory? | Discretionary | | | E) | Will this item impact future budgets?
If yes, please include reasons in III(D) above.
| No | | | F) | Fund:
Program:
Project:
Account Strings: | | | G) | Fund Type? | N/A | | | H) | Comments:
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| REVIEWERS: | | Department | Reviewer | Action | Date | | Economic Development | Talmage, John | Approved | 10/25/2023 - 9:52 AM | | Budget Services | Henkel, Anne | Approved | 10/25/2023 - 12:00 PM | | Budget Services | Winton, Peter | Approved | 10/25/2023 - 12:47 PM | | County Attorney | Wesch, Richard Wm. | Approved | 10/25/2023 - 1:30 PM | | County Manager | Mora, Marc | Approved | 10/30/2023 - 4:43 PM |
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