Regular 2.
Regular City Council Meeting
- Meeting Date:
- 05/11/2020
- TITLE
- TEFRA Hearing for Airport Revenue Bonds
- PRESENTED BY:
- Andy Zoeller
- Department:
- Finance
Presentation:
Yes
PROBLEM/ISSUE STATEMENT
The City intends to sell tax-exempt private activity bonds to finance the remodel and expansion of the Airport terminal building. In order to sell tax-exempt bonds, the Internal Revenue Service (IRS) requires the governing body to hold a public hearing preceding the closing on the bonds.
A TEFRA (Tax Equity and Fiscal Responsibility Act of 1982) hearing is required by the IRS to provide an opportunity for the public to express their views on the issuance of bonds and the project for which the bonds will fund. However, no action is required by the governing body.
A TEFRA (Tax Equity and Fiscal Responsibility Act of 1982) hearing is required by the IRS to provide an opportunity for the public to express their views on the issuance of bonds and the project for which the bonds will fund. However, no action is required by the governing body.
ALTERNATIVES ANALYZED
No other alternatives were considered, as there is not action needed, other than to hold a public hearing
FINANCIAL IMPACT
Holding the public hearing has no financial impact
RECOMMENDATION
Staff recommends City Council hold a public hearing in compliance with 26 CFR § 1.147(f)-1.