A resolution to authorize a contract to secure and to approve the issuance of approximately $8.6 million in Downtown Savannah Authority tax exempt revenue bonds, Series 2019, for the following purposes:

1) Refunding of all outstanding principal amounts of the Downtown Savannah Authority Refunding and Improvement Revenue Bonds, Series 2009B, which were originally issued to help finance public infrastructure improvements in the City's tax allocation district located to the east of downtown; and,

2) Payment of the issuance costs related to the bonds.

The City will enter into a contract with the DSA under which it will pledge to pay all interest and principal for the bonds. As required by State statute, the Authority in turn has made application to the City requesting the City Council's expressed approval for the issuance of such bonds. The approximate amount of the Series 2019 bonds is $8.6 million.

The refinancing is anticipated to result in savings of $658,958 over the life of the refinanced bonds, which is a 6.8% reduction in debt service payments for the City.

Approval