HomeMy WebLinkAbout54. 17-169 MARCH 28, 2017 17-169 RESOLUTION
(CARRIED 6-1 LOST LAID OVER WITHDRAWN )
PURPOSE: AUTHORIZE SORROWING FROM BOARD OF COMMISSIONERS
OF PUBLIC LAND (BCPL) STATE TRUST FUND LOAN
($1,500,000.00)
INITATED BY: CITY ADMINISTRATION
WHEREAS, pursuant to the provisions of Chapter 67 of the Wisconsin Statutes,
municipalities may borrow money for the acquisition, leasing, planning, design,
construction, development, extension, enlargement, renovation, rebuilding, repair or
improvement of land, waters, property, highways, buildings, equipment or facilitates;
and
WHEREAS, pursuant to the provisions of Chapter 24 of the Wisconsin Statutes, the
Board of Commissioners of Public Lands ("BCPL") is authorized to make loans from the
State Trust Funds to municipalities for such purposes, including Revenue Obligation
Loans secured by a pledge and assignment of the revenue that the municipality will
receive from moneys generated by that project; and
WHEREAS,the City of Oshkosh owns and operates the Oshkosh Convention Center
to facilitate local conferences, tradeshows, corporate meetings and other events; and
WHEREAS,the City of Oshkosh has imposed a Hotel and Motel Room Tax pursuant
to Wisconsin Statute 66.0615 equal to 10% of defined lodging gross receipts for the
purposes of payment of long-term debt obligations associated with Convention facilities,
funding obligations towards the maintenance and operations of the Oshkosh Convention
Center, and funding obligations towards the Oshkosh Convention and Visitors Bureau;
and
WHEREAS, the City of Oshkosh deems it necessary, desirable and in its best interest
to obtain a Revenue Obligation Trust Fund Loan from BCPL for financing improvements
to the Convention Center, and such Loan is to be payable from revenues generated by
the City of Oshkosh Hotel and Motel Room Tax.
Now, THEREFORE, BE IT RESOLVED that the City of Oshkosh is hereby authorized to
borrow from the Trust Funds of the State of Wisconsin in the sum of One Million Five
Hundred Thousand and 00/100 Dollars ($1,500,000.00) for the purpose of financing
MARCH 28, 2017 17-169 RESOLUTION
CONT'D
improvements to the Convention Center and for no other purpose. The loan will be
repaid in full on the 151h day of March, 2027 with interest at the rate of 4.50 percent per
year from the date of disbursement of the loan to the date the loan is repaid. Such loan
be prepaid before the maturity date in accordance with the limitations set forth in Chapter
24 of the Wisconsin Statutes. The City of Oshkosh shall pledge and assign Hotel and
Motel Room Tax revenues collected pursuant to City Ordinances to BCPL as security for
such loan. The City declares that such loan shall be deemed "long term debt" pursuant
to Wisconsin Statutes Section 66.0615.
BE IT FURTHER RESOLVED that all ordinances, resolutions, or orders, or parts
thereof which were previously enacted, adopted or entered, in conflict with the
provisions of this Resolution, are hereby repealed, and this Resolution shall be in effect
from and after its passage.
BE IT FURTHER RESOLVED, we acknowledge that should the City of Oshkosh
default on this loan, BCPL is required under Wisconsin Statute Section 24.70 to intercept
any state payments that may be otherwise due the City of Oshkosh.
BE IT FURTHER RESOLVED that if BCPL agrees to make such loan, that the City
Manager and Clerk of City of Oshkosh are authorized and empowered in the name of the
City to execute and deliver to BCPL, those Certificates of Indebtedness in such form as
required by BCPL, for the sum of money that may be loaned to City of Oshkosh pursuant
to this resolution. The City Manager and Clerk are authorized and directed to perform
all actions reasonably necessary to fully carry out the provisions of Chapter 24 of the
Wisconsin Statutes, and these resolutions.
BE IT FURTHER RESOLVED, that these recitals and these resolutions and the
votes by which they were adopted, shall be recorded, and that the Clerk of the City of
Oshkosh shall forward this certified record, along with the application for the loan, to
BCPL.
Exhibit 1
Oshkosh Convention Center Renovation Projects
Update: February 23,2017
OCC Renovations Funding Source: City is finalizing request for a $1.5M loan from the State of
Wisconsin Trust Fund Program for the OCC Phase 1 and Phase 2 renovations. Room tax revenue
would be applied to the Trust Fund Program payments. The $1.5M loan would be used to fund
Phase 1 renovations costs (est. $1M) with remaining amount (est. $500K) set aside for as reserve
for Phase 2 identified renovations and/or any other unplanned capital needs in coming years.
The$1.5M is a hard cap to the OCC renovations.
Phase 1 OCC Renovation Costs: Amount/Status
Boldt Construction Management $26,000.00
Moveable Walls Repairs $47,966.00
40 Ton Chiller Replacement $119,697.00
Carpet Replacement $239,090.00
Painting/Wallcovering Upgrades $65,877.00
Electrical Upgrades $37,800.00
AN Upgrades $165,000.00*
Hearing Loop Replacement $30,000.00*
DesignWise Interior Design Misc. Furniture Items $40,000.00*
Stacking Chairs $170,000.00
Phase 1 Subtotal $941,430.00
Phase 2 Additional Future Recommended Renovations: Amount/Status
Kitchen High Priority Equip. Replace $60,000.00*
Emergency Generator Replacement $85,000.00*
AHU Replacements Phase 1 $200,000.00
Ceape Island Reconstruction $75,000.00*
Moveable Walls Wallcovering Replacement $40,000.00*
IT replacement of wi-fi routers/equipment $5,000.00*
Contingency $93,570.00
Phase 2 Subtotal $558,570.00
*Costs are based on preliminary estimates, final figures will be determined after bidding