Title
TEFRA Hearing-TELRA Institute Project
Action
ACTION:
1) Open a TEFRA Public Hearing to receive comments on the proposed financing by the TELRA Institute
2) Close the Public Hearing and adopt a Resolution entitled Resolution of the Board of Commissioners of Mecklenburg County, North Carolina Approving the Issuance of Educational Facilities Revenue Bonds by the Public Finance Authority in an aggregate principal amount not to exceed $35,000,000 for the purposes state.
Staff Contact: Tyrone C. Wade, County Attorney
Presentation: No
BACKGROUND/JUSTIFICATION:
As more fully explained in the attached Resolution, TELRA supporting Organization, Inc. (the "Borrower") has requested that the Public Finance Authority (the "Authority") issue its Educational Facilities Revenue Bonds (TELRA Institute Project), to be issued as qualified Section 501 (c)(3) bonds under Section 145 of the Code in one or more series, issuance, or advances (the “Bonds”), in an aggregate principal amount not to exceed $35,000,000 for the following purpose:
(1) refinancing of all of the Authority’s outstanding Educational Facilities Revenue Bonds (Telra Institute Project) Series 2021A, originally issued in the aggregate principal amount of up to $14,820,000, the proceeds of which, together with the proceeds of the Authority’s Taxable Educational Facilities Revenue Bonds (Telra Institute Project) Series 2021B (collectively the “Series 2021 Bonds”), originally issued in the aggregate principal amount of $525,000 were used to (i) finance and refinance the acquisition, construction, renovation, improvement, and equipping of certain land and charter educational facilities of Telra Institute, Inc. (the “Corporation”), a North Carolina nonprofit corporation and an organization described in Section 501(c)(3) of the Code, and the Borrower located at 4150 McKee Road in Charlotte, Mecklenburg County, North Carolina 28270 (the “Series 2021 Facilities”); (ii) pay capitalized interest on the Series 2021 Bonds; and (iii) pay all or a portion of the costs of issuance of the Series 2021 Bonds;
(2) refinancing of all of the Authority’s outstanding Educational Facilities Revenue Bonds (Telra Institute Project) Series 2022A, originally issued in the aggregate principal amount of $3,915,000 the proceeds of which, together with the proceeds of the Authority’s Taxable Educational Facilities Revenue Bonds (Telra Institute Project) Series 2022B, originally issued in the aggregate principal amount of $245,000 (collectively the “Series 2022 Bonds”) were used to (i) finance the construction, renovation, improvement, and equipping of the Series 2021 Facilities, including the construction of traffic-related improvements adjacent to the Series 2021 Facilities and the renovation and build-out of third floor of classrooms at the Series 2021 Facilities (the “Series 2022 Facilities” and together with the Series 2021 Facilities, the “Existing Facilities”); (ii) pay capitalized interest on the Series 2022A Bonds; and (iii) pay all or a portion of the costs of issuance of the Series 2022 Bonds;
(3) financing or refinancing, including through reimbursement, the acquisition, construction, renovation, improvement, and equipping of certain land and charter educational facilities to be located on approximately 3.9 acres at 3130 and 3116 Campus Ridge Road, Matthews, North Carolina, 28105 (the “Series 2025 Facilities” and together with the Existing Facilities, the “Facilities”), including the construction of an approximately [18,000] square foot high school facility;
(4) funding a debt service reserve fund for the Bonds, if deemed necessary or desirable;
(5) paying capitalized interest on the Bonds, if deemed necessary or desirable; and
(6) paying all or a portion of the cost
PROCUREMENT BACKGROUND:
N/A
POLICY IMPACT:
N/A
FISCAL IMPACT:
N/A