Item A: Expenditure Review Panel FY11 Report

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Broadway Place Garages & Public Safety Improvements The Agency Board approved expenditure of funds to pay the principal of City obligations issued to finance the Broadway Place Garages, or of Agency obligations that are issued to refinance the City obligations. The Agency investment is in exchange for the City a) continuing to make the garages available for businesses and residents downtown and b) enhancing public safety in the Plan Area. Specifically, the Plan calls for spending no more than $4.9 million of tax increment 1 funds to pay the principal. starting in FY11.) The Broadway Place mixed-use project includes 170 apartment units, ground floor commercial space, and 740 structured parking spaces. (See Attachment 1 for excerpts from the Plan and Report related to this project. Information about public safety is in Attachment 2.) Expenditure Summary FY11 FY11 Authorized Amount Budget Expenditures by Plan Remaining $4,810,000 principal $5,261,000 $ 442,084 interest $4.9 million in principal $90,000 $5,252,084 The Agency made the principal and interest payments for FY11 and then refinanced the debt to attain a lower interest rate. In May 2011, the Agency issued $4.4 million in private placement bonds for the refinance. (Additional detail is in Attachment 3 The Plan Estimate and the excerpt from the Annual Financial Report fiscal year ended June 30, 2011.) Funding Sources Urban renewal was the only source of funds for the FY11 expenditures. In years prior, the Agency and City contributed to the project: The Agency assembled the two half-blocks that for the project; R The Agency contributed $2.5 million to the parking structure construction costs; and R The City sold development rights for the housing to be constructed on top of the parking structures. R 1 Interest expense does not count toward the spending limit (maximum indebtedness); no specific amount was authorized in the Plan. 10