Item 3: Resolution Authorizing HUD Section 108 Revenue Bonds

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2.Sources & Uses Preliminary Development Financing Plan for the Redevelopment Area Total SOURCES OF FUNDS Private Investment Total Private Investment $161,800,000 Public Investment HUD Section 108 Loan 7,895,000 BEDI Grant 2,000,000 Urban Renewal Revenue Bonds 6,600,000 Urban Renewal Cash 5,580,000 DRLP Funds 1,495,000 HOME Funds 800,000 City General Funds/Loan Guarantee 1,250,000 Total Public Investment 25,620,000 Total Sources $187,420,000 USES OF FUNDS Private Investment Land Assembly, Construction, Etc. $161,800,000 Public Investment Land Assembly, Utilities, Off-Site, Etc. 9,400,000 Public Parking (turnkey purchase) 13,500,000 Affordable Housing Loan 1,300,000 Other City Costs 1,420,000 Total Public Investment 25,620,000 Total Uses $187,420,000 For the KWG portion of the project, debt is anticipated to be at the lesser of 75% of fair market value or 85% of cost. For the Beam portion of the project, debt is anticipated to be 71% of the total cost. Urban Renewal Cash and Borrowings: The cash balances in the urban renewal funds, plus cash that becomes available over the next few years, would be used to pay for development costs. In addition, the URA is anticipated to finance a portion of the purchase of a turnkey public parking garage. Downtown Revitalization Loan Program: The Downtown Urban Renewal District has a loan program called the Downtown Revitalization Loan Program (DRLP). DRLP funds could also assist with the redevelopment. Specifically, once the project is complete, the DRLP can make loans to businesses within and around the area.A portion of a potential affordable housing loan to the developers could be made from the DRLP. The remainder of the DRLP funds could be used to assist with the cost of purchasing the turnkey garage.