8.a.
FPRA Regular Meeting Agenda
- Meeting Date:
- 07/16/2018
- Re
- Consideration of Agreement to Faciliate the Sale of Voluntary Cleanup Tax Credit (VCTC) Certificate by Fallbrook Credit Finance.
SUBJECT:
Consideration of Agreement to Faciliate the Sale of Voluntary Cleanup Tax Credit (VCTC) Certificate by Fallbrook Credit Finance.
SUMMARY:
Consideration of Agreement to Faciliate the Sale of Voluntary Cleanup Tax Credit (VCTC) Certificate by Fallbrook Credit Finance the recent Tax Certfiicate issued by the Floirda Department of Environmental Protection Certificate #741 in the amount of $174,147.43. These funds are from the 2016 Application cycle, in which the FPRA was approved for $500,000 in tax credits. As the State has run low on funds, they send the Certificates as funding becomes available. To date, there is a remaining $325,852 remaining to be paid.
Fallbrook is an experienced placement agent who will provide the FPRA with one or more prospective purchasers of the tax credit. The price will be no less than eighty-eight centers ($0.88) per dollar ($1.00) of tax credits. The agreement is for a period of one (1) year. The anticipated $153,249 in revenue will be utilized for reducing the cost of the revolving loan and other expenses associated with the costs of property remediation. The Tax Certificate was authorized for sale at the FPRA Meeting of April 16, 2018 via FPRA Resolution No. 18-02.
Fallbrook is an experienced placement agent who will provide the FPRA with one or more prospective purchasers of the tax credit. The price will be no less than eighty-eight centers ($0.88) per dollar ($1.00) of tax credits. The agreement is for a period of one (1) year. The anticipated $153,249 in revenue will be utilized for reducing the cost of the revolving loan and other expenses associated with the costs of property remediation. The Tax Certificate was authorized for sale at the FPRA Meeting of April 16, 2018 via FPRA Resolution No. 18-02.
RECOMMENDATION:
Approve the Agreement
ALTERNATIVES:
Seek different financial brokers; or
Do not approve
Do not approve
RESPONSIBLE STAFF:
Rebecca Grohall
COORDINATED WITH:
Nicholas Mimms, PE, City Manager
Jim Messer, City Attorney
Iola Mosley, Assistant City Attorney
Jim Messer, City Attorney
Iola Mosley, Assistant City Attorney
Fiscal Impact
- Budgeted Y/N:
- N
- Fiscal Year:
- 2018
OTHER INFORMATION:
Add an estimated ?$153,249 in revenue for costs associated with the remediation