TITLE
Title
PUBLIC HEARING: APPROVAL OF $50,000,000 IN STUDENT HOUSING REVENUE BONDS (NCA&T UNIVERSITY FOUNDATION, LLC)
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SPONSOR
Sponsor
Robert A. Walsh, Attorney, Parker Poe
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BACKGROUND
Background
The Public Finance Authority (PFA) is a governmental unit of the State of Wisconsin created for the purpose of issuing tax-exempt and taxable conduit bonds for public and private entities nationwide. PFA is sponsored by the National Association of Counties, the National League of Cities, the Wisconsin Counties Association and the League of Wisconsin Municipalities. Any debt issued is not debt of the County or PFA, but rather is payable solely from debt service payments received from the borrowing entity.
PFA has been requested to issue student housing revenue bonds in an aggregate principal amount not to exceed $50,000,000 to the NCA&T University Foundation, LLC. The proceeds of the bonds will be used to: finance renovations and related capital improvements to student housing, the Alumni-Foundation Event Center and Childhood Development Laboratory; refinance prior bonds (North Carolina Capital Facilities Finance Agency's Student Housing Revenue Bonds Series 2004B and Series 2015A); fund a debt service reserve account for the benefit of the NCA&T University Foundation, LLC; and pay certain expenses incurred in connection with the authorization and issuance of the bonds. Please reference the following resolution for a full description of the projects to be financed or refinanced.
Federal law requires that tax exempt bonds issued to finance or, in certain circumstances, refinance facilities owned by nonprofit organizations be approved by the elected legislative body (or highest elected representative) of the governmental unit that has jurisdiction over the area in which the facility is to be located. Prior to this approval, Internal Revenue Code Section 147(f) required that a public hearing be held, at which hearing the public is given the opportunit...
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