city of San Antonio


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File #: 20-6465   
Type: Procedural
In control: City Council A Session
On agenda: 11/12/2020
Posting Language: Resolution approving and authorizing the execution of an amendment to the Indenture of Trust between the Corporation and U.S. Bank National Association, as Trustee, which authorized the issuance of the outstanding City of San Antonio, Texas Empowerment Zone Development Corporation Contract Revenue Empowerment Zone Refunding Bonds (Drury Southwest Hotel Project), Series 2013A and Series 2013B, primarily for the purpose of modifying the interest rate formula related to such bonds [Ben Gorzell, Jr., Chief Financial Officer; Troy Elliott, Deputy Chief Financial Officer]
Attachments: 1. Draft Ordinance
DEPARTMENT: Finance


DEPARTMENT HEAD: Troy Elliott


COUNCIL DISTRICTS IMPACTED: City-Wide


SUBJECT:

Approving and Authorizing the Execution of an Amendment to the Indenture of Trust


SUMMARY:

This resolution approves and authorizes the execution of an amendment to the Indenture of Trust between the Corporation and U.S. Bank National Association, as Trustee, which authorized the issuance of the outstanding City of San Antonio, Texas Empowerment Zone Development Corporation Contract Revenue Empowerment Zone Refunding Bonds (Drury Southwest Hotel Project), Series 2013A and Series 2013B, primarily for the purpose of modifying the interest rate formula related to such bonds.


BACKGROUND INFORMATION:

The City of San Antonio, Texas Empowerment Zone Development Corporation (the "Corporation") is a nonprofit local government corporation created and existing under the laws of the State of Texas, to act on behalf of the City of San Antonio (the "City") to accomplish certain governmental purposes of the City to include the administration of various federal tax incentives relating to the Empowerment Zone designated within the City, including the issuance of empowerment zone facility bonds on behalf of qualified businesses within the Empowerment Zone.

The Corporation, acting on behalf of the City, originally issued "Empowerment Zone Bonds" in 2005 and 2007 for the benefit of Alamo National Building Development LP, a Missouri limited partnership (the "Borrower"), in connection with its acquisition and renovation of the former Alamo National Bank Building into a "Drury Hotel." At the request of the Borrower, the original bonds were refunded in 2013 with proceeds of the outstanding City of San Antonio Texas Empowerment Zone Development Corporation Contact Revenue Empowerment Zone Refunding Bonds (Drury Southwest Hotel Project), Series 2013A and Series 2013B (collectively, the "Bonds").

The Bonds were issued pursuant to an Indenture of Trust between the Corpor...

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