The Resolution authorizes the issuance of Senior Tourist Development Tax Refunding Revenue Bonds (6^th Cent Contract Payments), Series 2017A (the “Series 2017A Bonds”), and Second Lien Subordinate Tourist Development Tax Refunding Revenue Bonds (6^th Cent Contract Payments), Series 2017B (the “Series 2017B Bonds”), in an aggregate principal amount not to exceed $320,000,000.

No new debt is being issued under this resolution.  The debt that is being issued and refunded is a limited obligation of the City and debt service payments are paid for by 6^th Cent Contract payments made by the County to the City from Tourist Development Tax revenues.  The purpose of this refunding is to take advantage of current market conditions to create a scenario where the bonds, originally issued in 2008 to fund the construction of the Amway Center, will be able to be paid off several years earlier than would be possible without the refunding.  The refunding is being done in accordance with the requirements of the Second Amended and Restated Orlando/Orange County Interlocal Agreement for the Amway Center, Performing Arts Center and Florida Citrus Bowl (now Camping World Stadium).

Proceeds of the Series 2017A Bonds will refund and defease all of the outstanding Senior Tourist Development Tax Revenue Bonds (6^th Cent Contract Payments), Series 2008A and Second Lien Subordinate Tourist Development Tax Revenue Bonds (6^th Cent Contract Payments), Series 2008B, and a portion of the Third Lien Subordinate Tourist Development Tax Revenue Bonds (6^th Cent Contract Payments), Series 2008C.  Proceeds of the Series 2017B Bonds will refund and defease a portion of the Third Lien Subordinate Tourist Development Tax Revenue Bonds (6^th Cent Contract Payments), Series 2008C.

The Series 2017A and Series 2017B Bonds will be issued with fixed interest rates. The issuance will be structured to achieve the highest level of debt service savings possible based on market conditions at the time of the sale.  The Resolution provides for the following parameters:

Maximum Bond Issue Size: $320,000,000

Term: Final maturity not later than the final maturity of the latest maturing refunded bonds

Minimum Net Present Value Savings: 5.00% of the principal amount of the refunded bonds

Minimum Purchase Price: 98% of par, subject to original issue discount or premium.

Optional Redemption: To the extent subject to optional redemption, first optional redemption date not earlier than five (5) years from date of issuance.

Due to the characteristics of the Series 2017A and Series 2017B Bonds, prevailing and anticipated market conditions, the need for flexibility in timing the sale and issuance of the bonds, and the need to allow for an expeditious sale, staff recommends that the method of sale be through a negotiated sale to J.P. Morgan; Jeffries, Blaylock Van, LLC; Citi; Samuel A. Ramirez & Co., Inc.; Stifel, Nicolaus & Co., Inc.; and Wells Fargo Securities (the “Underwriters”), upon the satisfaction of the conditions and terms set forth in the Resolution.

Along with the Resolution, the action will approve the form of and authorize the execution of a First Amendment to Senior Indenture of Trust, First Amendment to Second Lien Subordinate Indenture of Trust, First Supplemental Senior Indenture of Trust, First Supplemental Second Lien Subordinate Indenture of Trust, Bond Purchase Contract, Continuing Disclosure Commitment, Preliminary and Final Official Statements, and one or more Escrow Deposit Agreements.  The action will also authorize the Mayor to approve changes thereto and take other action necessary to complete the transaction.

Adopt the Resolution and authorize its execution by the Mayor or Mayor Pro Tem and the City Clerk or Deputy City Clerk.