Originally Posted by
andreahaxton
Who?
What?
When?
I still don't get all this......and never understood all the Laurent stuff. Again.....Why did Laurent get appointed, only to be removed, if they really wanted him there......and the Board NOT fight off Normie's moves to remove him within a month, I believe?
Why even do a search now, just keep the current ED who knows the job inside out. I know the money involved is BIG but if that Audit is correct then the LMHA appears to still be in deep doo-doo. When I was on the Council we voted to approve:
COUNCIL MEETING
November 9, 2009
Communications from Department/Division Heads:
LMHA – LEASE REVENUE CUSTODIAL RECEIPT BONDS
• To: Council Members
Communication from the Lackawanna Municipal Authority regarding Lease Revenue Custodial Receipt Bonds, Series 2009.
the Lackawanna Municipal Housing Authority wishes to issue lease revenue custodial receipt bonds in an amount which will not exceed $6,500,000 for the purposes more specifically described herein. The Authority has approved the issuance of the Bonds by its resolution dated October 27, 2009 and needs the approval of the City Council pursuant to Section 39 of the New York Public Housing Law, Chapter 8-808 of the laws of 1939, to issue bonds. Once approved, the City of Lackawanna will have no responsibility with respect to the administration or repayment of the Bonds. Neither the Bonds nor any of the obligations of the authority shall be debt of the City of Lackawanna nor shall the City of Lackawanna be liable thereon.
The Authority, with the approval of the U>S> Department of Housing and Urban Development, is utilizing the HUD Energy Performance Contracting procurement Program to make needed infrastructure improvements to its facilities which will result in significant energy conservation and improve the comfort of its residents and the value of the Authority assets. To utilize the EPC program and qualify for the resulting HUD program incentives, HUD requires that housing authorities borrow funds from the private sector to pay for the upfront capital improvement costs. The Authority received approval from HUD by letter dated 03/06/09 supplemented by letter dated 10/26/09 to proceed with energy services capital improvement with Johnson Controls, Inc. at a total contract cost of $6,100,302.00
The Authority has decided to finance the acquisition, construction and installation of the equipment and other conservation measurers related to the project pursuant to a lease agreement with Crews & Associates, Inc. an Arkansas investment banking corporation. The Authority will issue lease revenue custodial bonds which will be underwritten by Crew & Associates, Inc. and sold to investors. Pursuant to applicable treasury regulation, a portion of the bonds will be Federally taxable Build American Bonds and a portion of the Bonds will be Federally tax exempt.
The energy savings are generated from a contractual agreement between HUD and the Authority in which HUD agrees to continue to provide utility subsidies at the preimprovement consumption levels through the term of the repayment period. Additionally, the contractor performing the work is required to guarantee the system performance and thus the savings generation through the term of the repayment period. The Authority, through a competitive procurement process, entered into a contract with an energy services company to develop and implement a self funding energy conservation capital improvement program. Currently all qualified improvements have been identified and all required Authority and HUD approvals have been abstained. Funding for the project will
Be obtained by using private funds and leveraging the Build America Bond program available to the Authority which, in effect, provides the Authority with a 35% interest rate buy down through the U.S. Department of Treasury. The Authority has agreed to borrow $5,338,707 from Crews & Associates. The borrowed funds will be repaid over a 20 year period using the approved excess HUD subsidy funds.
The choice of the energy performance contracting program and the Build America Bonds methodology affords the Authority a viable option to complete the project which it would not otherwise have been able to do. It has been determined that the proposed financing will not negatively impact the Authority's ability to meet the existing and future physical needs of its public housing portfolio over the term of the Bonds.
City Council approval is the last step required prior to closing of the funding and commencement of construction of these needed energy related capital improvements.
THOMAS J. RADICH, EXECUTIVE DIRECTOR
Moved by Szymanski, seconded by Jaworski to table, and set a work session with HUD, City Attorney and Thomas Radich.
Yeas: Szymanski, Kulczyk, Schiavi, Jaworski
Nays: Haxton Tabled 4-1
Waive Rules:
Moved by Szymanski, seconded by Jaworski to waive the rules for a
new item to be presented.
Yeas: Haxton, Szymanski, Kulczyk, Schiavi, Jaworski Carried 5-0
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Is this the project that is in question? Again, by whom?
Some blanks seem to be missing somewhere.