A bill for the Council of the City and County of Denver, sitting ex-officio as the Board of Directors of the Denver 14th Street General Improvement District, making certain findings and approving the issuance of $4 million principal amount of Refunding Revenue Notes; and approving and adopting a supplement to the Work Plan and Amended Budget for the 2017 fiscal year. Approves the issuance of $4 million principal amount of refunding revenue notes, imposes capital charges, and approves and adopts an amended budget for the 2017 fiscal year by City Council sitting in its capacity as the ex-officio Board of Directors of the Denver 14th Street General Improvement District in Council District 9. The Committee approved filing this bill by consent on 7-25-17.
Please refrain from profane and obscene speech. We don't like that. Direct your comments to the Council as a whole and refrain from individual or personal attacks. All right. Council is now convene as the board of directors of the 14th Street General Improvement District. Councilman Espinosa, will you please put Council Bill 809 on the floor? I move that council bill eight or nine be placed on the floor upon final consideration and do pass. It has been moved. And second, the public hearing for Council eight or nine is open. May we have the staff report? Good evening, board members. My name is Michael Kerrigan from the Department of Finance Special District Team. We are here. Today to take the necessary steps to accomplish the refunding of the district's existing debt. The steps include a public hearing on an amended workplan and budget, which includes the refunding. Transaction, followed by an action on the. Authorizing ordinance. The district filed. The district filed statutory requirements for advertising. And posting no notices for the public hearing. The Denver 14th Street Guide was created by council and approved by the electors in response to the 14th Street Initiative, a public private partnership between downtown Denver Partnership and the city and county of Denver to create Denver's Ambassador Street. The initiative visualized 14th. Street between Market. And Colfax as a promenade and a major gateway to the downtown area. The plan contemplated streetscape enhancements and related public infrastructure improvements. Stakeholders included private property owners, public officials and business organizations participating. In establishing. The conceptual design for the. 14th Street at a chamber election in 2009. A majority of the qualified electors of the district authorize. The issuance of indebtedness in an amount not to exceed $4 million. Subsequent to the TABOR election, the district issued. A $4 million bond in 2010. And used the debt proceeds to fund. A portion of the costs for the streetscape enhancements and infrastructure. Improvements to achieve the 14th. Street Initiative vision. In the spring of 2017, the District Advisory Board wanted wanting to explore a more efficient financial structure, engaged RBC Capital Markets LLC. As a bank solicitor, RBC obtained refunding proposals from six local lenders. After review, the District Advisory Board recommends. For approval. The proposal from Vector Bank, a division of Zions Bancorp. The proposal is expected. To generate approximately $692,000 in debt service savings, benefiting. The district property owners. The amended budget includes the appropriate. Adjustments to diffuse the current debt and. Issue the proposed debt issuance. The adjustments include accounting for the movement of debt, service reserves. Bond premium, principal and interest. The transaction sources and. Uses include the movement of four $4,306,000. City staff has reviewed the amended 2017 budget and work plan and recommends it. For approval this evening. Beth Moisi from the. Is here representing the district and Michael Persky is here representing. RBC and both are available to answer questions, any questions you may have. Thank you. All right. Thank you, Michael. We thank you for also doing my job and listening the speakers. First, is Michael Persichetti there? Right. I only got it because of him. And you have 3 minutes. Michael PRISCU with RBC Capital Markets. In California Street, Denver. Just here to answer questions. Great. Thanks. Next up, Beth Maskey Denton of Apprenticeship. Hi. Good evening I'm here that my whiskey as a representative for the downtown Denver partnership and I'm the. Executive director of the 14th Regional Permit District, and I'm here to answer questions. Great. All right. This concludes our speakers for this evening. Quick question for me to you, Ms.. Moisi. What are you guys what improvements are you guys working on on 14th Street? Right now, we're maintaining the improvements that were made with the capital investment for the $40 million investment. So we're doing the maintenance, and the maintenance constitutes about $250,000 a year. Okay. And but for the for you're doing a 4 million. So this is refinancing a bond. Got it. Got it. So existing bond. Capital bond. Yeah. Great. Thank you, Councilman Flynn. Thank you, Mr. President. What is the total amount of bonds that were issued for this? For me, it. Is 4 million. Okay, so this is the tote we're refunding. All of them were refinancing. Or refinance. And was the original maturity date 2034 also on the original, yes. So we're just we're just getting a lower interest rate about. Saving we're saving people money. I'm happy to be here tonight. Okay. Thank you. So same same term. Lower payments. Great. I like that. Thank you. Thank you. Councilman Flynn, Councilman Councilwoman Ortega. Thank you. Just a quick question about the annual contribution. How will that change with the new hotel project that will go on across the street that's on 14th Street. That is on 41. So what happens is the distribution gets spread across all properties. I want to say there's 3540 properties and so it it all gets spread across. I don't know if Michael can do a better job explaining that, but it's it stays at the same rate and we just spread the pain across. Okay. Thank you. All right. Thank you. This concludes a public hearing for 809 comments by members of council. This is represented in my district and this is a little shout out to Carla madison because I replaced her seat on this on this many years ago, six years ago. And so she was someone who was very influential on getting this passed through the bond. And this is a bond project from 2007 Bond and very innovative on 14th Street because you guys actually charge depending on what zone you're in, you get assessed more. And so 14th Street really transformed when we went through this. So I'm in favor of saving people money and continuing to keep up the maintenance of an incredible, incredible district. So. That's it. No other comments. Madam Secretary Roker. Clark. I. Espinosa, i. Flynn. I. Gilmore. Herndon. Cashman. Can each. Lopez. New Ortega I. Susman I black eye. Mr. President. I please cause voting in US results. I'm sorry you got in. 12 eyes. Yep. 12 eyes. Eight or nine has passed. Congratulations. Okay. Councils now convene, reconvene and will resume its regular schedule. Councilman Espinosa, will you please put Councilman 18 on the floor?