On December 21, the Council gave preliminary approval to the issuance of bonds in the amount of $20,000,000 to finance the renovation of the Northern Hotel by Zootist Hospitality LLC. 

After the public hearing, if the City Council determines that the project is in the public's best interest and satisfies the requirements of financing as Recovery Zone Facility Bonds, it will adopt a resolution allocating authority for Recovery Zone Facility Bonds.

The Council may:

• Approve the resolution; or
• Not approve the resolution 

Zootist Hospitality LLC will be responsible for all costs incurred by the City’s bond counsel. The Recovery Zone Facility Bonds will be special limited obligations of the City, payable solely from the loan repayments of the borrower and other security provided by the borrower. It will not give rise to any financial obligation of the City. Neither the City’s credit nor its taxing power will be pledged to the repayment of the Recovery Zone Facility Bonds.

Staff recommends approval of the resolution.