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DEVELOPMENT SERVICES MEMORANDUM <br /> April 18, 2016 <br /> TO: Honorable Mayor Julie Moore Wolfe and City Council <br /> FROM: Tim Gleason, City Manager <br /> Billy Tyus, Assistant City Manager for Development Services <br /> Patrick Hoban, Economic Development Officer <br /> SUBJECT: Ordinance Authorizing the Ceding of City's 2015 private activity bonding <br /> authority to the Central Illinois Economic Development Authority(CIEDA). <br /> BACKGROUND: Each year, Home Rule communities throughout the state receive a <br /> direct allocation of private activity bonding authority that allows a municipality to issue <br /> bonds on behalf of a private user for development projects. This year, Decatur has been <br /> authorized to issue a total of$7,401,000 in bonds as part of this allocation, an amount <br /> that has to be obligated by May 1, 2016 or it will automatically be returned to the State <br /> of Illinois for reallocation to other entities. <br /> In passing this item, the City would maintain control of this authority past May 1 as <br /> CIEDA would have to request permission to utilize it for economic development and <br /> housing projects within the region. The City has allocated its volume cap for the ASSIST <br /> homebuyer program in the past in a similar manner but staff believes that allocating <br /> funding to CIEDA provides more bonding flexibility should we need to bond for <br /> potential projects and ensures that the funding benefits the Central Illinois region. As an <br /> example the Crossing Healthcare project utilized CIEDA as part of its funding for the its <br /> new state-of-the-art facility in Wabash Crossing. <br /> POTENTIAL OBJECTORS: No known objectors <br /> INPUT FROM OTHER SOURCES: The Central Illinois Economic Development <br /> Authority <br /> STAFF REFERENCE: Contact Billy Tyus at 424-2727 or btyu�decaturil.�ov or <br /> Patrick Hoban at 217-424-2778 or phoban@decaturil.gov. <br /> BUDGET/TIME IMPLICATIONS: None <br />