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HomeMy WebLinkAbout2009-03-10 AGENDA Nantucket Land Bank Commission Regular Meeting of March 10, 2009 Land Bank Meeting Room, 22 Broad Street Nantucket, Massachusetts c; \.Q CALL TO ORDER , :J f""J '_J I A. EXECUTIVE SESSION B. CITIZEN BUSINESS/ANNOUNCEMENTS C. MINUTES OF THE REGULAR MEETING OF FEBRUARY 24, 2009 D. PROPERTY MANAGEMENT 1. Miacomet Golf Course - Monthly Report 2. 2008 Property Management Summary 3. 2009 Property Work Plan Review 4. Lily PondIBlair House Landscaping Planning 5. Burn Program - TNC Memorandum of Understanding 6. Ladies Beach - Use Request E. TRANSFER BUSINESS F. FINANCIAL BUSINESS 1. Monthly Transfer Statistics 2. Warrant Authorization - Cash Disbursements 3. 2009 Series A Refunding Bond Issue ADJOURNMENT iC.-/ 1 MINUTES Nantucket Land Bank Commission Regular Meeting of March lO, 2009 Land Bank Meeting Room, 22 Broad Street Nantucket, Massachusetts CALL TO ORDER: 4:02 P.M. PRESENT: Gardner, Johnson, Reinhard. ABSENT: Bartlett, Stackpole. A. EXECUTIVE SESSION: Upon a motion made and duly seconded, it was VOTED to go into Executive Session. Each member was polled individually. All members voted yes. The Chairman noted that the Commission would reconvene into regular session and that the purpose of going into executive session was to discuss matters related to the approval of minutes and real estate acquisition. RETURN TO OPEN SESSION B. CITIZEN BUSINESS/ANNOUNCEMENTS: None. C. APPROV AL OF MINUTES: Upon a motion made and duly seconded, it was VOTED to accept, approve and release the regular session minutes of February 24, 2009, as written. D. PROPERTY MANAGEMENT: 1. Miacomet Golf Course: a. Septic System Update: The Director reported that Miacomet Golf Course has received the following bids for installation of a new septic system: Toscana Corporation P & M Reis Trucking, Inc. Holdgate Partners, Inc. $167,821.10 $142,380.47 no estimate submitted After discussion, upon a motion made and duly seconded, the Commission VOTED to authorize Miacomet Golf to contract with the lowest responsive and responsible bidder subject to final review and approval of the system design by the Director and Golf Course Manager Alan Costa. b. Management Services Contract: Upon a motion made and duly seconded, it was VOTED to execute and authorize a contract with Nantucket Golf Management, Inc. for management services at Miacomet Golf for one year, with an annual compensation of$135,000 and renewal options for either one or two additional years at the Commission's discretion pursuant to Article 3.2 of the agreement. 2.2008 Season Review: Property Supervisor Jeffrey Pollock reviewed 2008 property management activities and accomplishments. The Commission praised property management staff for a job well done. Nantucket Land Bank Commission March 10, 2009 Page 2 3.2009 Draft Work Plan Review: Mr. Pollock presented the 2009 Property Management Task List which itemized and prioritized projects and goals for Land Bank properties. After a discussion, upon a motion made and duly seconded, it was VOTED to approve the task list as presented. 4. Lily Pond/Blair House Landscaping Planning: Assisant Property Manager Robert Earley presented plans showing Blair House landscaping concepts and public parking area improvements at the Land Bank's Lily Pond property. The Commission accepted the plans and asked Mr. Earley to obtain cost estimates for stonework and paving options for the parking area. 5. Bum Program - TNC Memorandum of Understanding: Upon a motion made and duly seconded, it was VOTED to execute a Memorandum of Understanding to facilitate cooperation between the Land Bank and The Nature Conservancy as partners in the Bum Program. 6. Ladies Beach Use Request: The Director presented a request on behalf of Jay and Rika Powers to use of the Land Bank's Ladies Beach property for a catered wedding reception on Saturday, June 27, 2009 from 6 p.m. to 9 p.m. including a 20' x 30' tent, table seating and amplified music for 40 people. Upon a motion made and duly seconded, the Commission VOTED to approve the use request at Ladies Beach without the tent or amplified music and asked the Director to recommend an alternate location for approval of the event with a tent. TRANSFER BUSINESS: 1. February 2009 Transfers - Record Nos. 29680 through 29732: a. Additional Information Not Provided: The Commission asked staff to request additional information and/or documentation to support the purchasers' claim to an exemption from the Land Bank fee for the following transfers: No. 29680 Richard E. Behrman Qualified Personal Residence Trust #2 No. 2968l Richard E. Behrman Qualified Personal Residence Trust #3 No. 29682 Richard E. Behrman Qualified Personal Residence Trust #4 No. 29693 Richard E. Behrman Qualified Personal Residence Trust #1 No. 29718 Karen L. Bopp and David Bopp No. 29731 Giles Realty Trust b. Purchase Price Explanation Required - No. 29691 Lisa WoWleib: The Commission asked staff to request additional information and/or documentation from the purchaser to support the stated purchase price on the above referenced transfer. 2. Transfer Update: a. Purchase Price Explanation Provided - No. 29629 LLD Nominee Trust: The Commission accepted the explanation and documentation provided to support the stated purchase price on the above referenced transfer. . Nantucket Land Bank Commission March 10, 2009 Page 3 3. "M" Exemption Update: a. Request for Notice of Lien Amendment - No. 27408 Travis Lombardi and Adriene H. Lombardi: Ms. Hunter explained that the purchasers (the "Lombardis") bought the property with another couple (the "Wheldens") with the agreement that they would create a condominium under the Nantucket Housing Needs Covenant ("NHNC") Program, and subsequent to its creation the NHNC Unit would be conveyed to the Lombardis and the market rate unit would be conveyed to the Wheldens. Ms. Hunter presented correspondence from Jessie Glidden, representative of the Wheldens, reporting on the newly created convenanted unit, subsequent transfer of the units out to each couple and requesting that the Wheldens be removed from the lien. Upon a motion made and duly seconded, the Commission VOTED to execute a Release of Lien to be provided to the Wheldens and authorized placing a new lien against the Lombardi's unit that will run with the property from the time of its original purchase until the requirements of the "M"exemption have been met. b. Request for Duplicate Release of Lien - No. 16030 Henry Preston and Renay Beldo-Preston: Based upon a previous vote, the Commission executed a duplicate Release of Lien to be provided to the purchaser's representative. c. Release of Lien / Payment Received - No. 2754451 Nobadeer Farm Road Realty Trust: Based upon receipt of the outstanding fee plus interest accrued since the date of the transfer in the total amount of $10,569.78, upon a motion made and duly seconded, the Commission VOTED to approve and execute a Release of Lien to be provided to the purchaser. F. FINANCIAL BUSINESS: 1. Monthly Transfer Statistics: The February 2009 transfer statistics were presented. 2. Warrant Authorization - Cash Disbursements: Upon a motion made and duly seconded, it was VOTED to approve and execute the March 10, 2009 warrant document in the amount of $76,879.82 to be provided to the county treasurer. 3.2009 Series A Refunding Bond Issue - Authorization and Resolution: Mr. Savetsky informed the Commission that the Land Bank has been offered an option to refinance the 1998 Series E Refunding Bond and the 2004 Nantucket Golf Course Mortgage through a private bond placement with Bank of America resulting in $1.4 million in gross budgetary savings. a. Resolution: Upon a motion made and duly seconded, the Commission VOTED in a roll call vote, five in favor, none opposed, to adopt the following Resolution (1) authorizing and directing the issuance, sale and delivery of 2009 Series A Refunding Bonds (full faith and credit issue) and (2) authorizing the execution and delivery of a supplemental trust agreement relating to such 2009 Series A Refunding Bonds and other action: WHEREAS, the Nantucket Islands Land Bank (the "Land Bank") a body politic and corporate and a public instrumentality established under Chapter 669 of the Massachusetts Acts of 1983, as amended (the "Act"), is authorized and empowered under the Act to issue its bonds and notes for the purpose of acquiring, holding and managing land and interests in land or to purchase, refund or renew bonds or notes previously issued, and to enter into any agreements necessary to effectuate and to secure any bonds or notes issued by it; and Nantucket Land Bank Commission March 10,2009 Page 4 WHEREAS, agreements entered into by the Land Bank to secure its bonds or notes may pledge or assign, in whole or in part, the revenues and other money held or to be received by the Land Bank and may provide, among other things, for the establishment of special funds and reserves; WHEREAS, pursuant to the Act, the Nantucket Islands Land Bank Commission (the "Commission") authorized the issuance of Refunding Bonds, 1998 Series E (Full Faith and Credit Issue) (the "1998 Series E Bonds") upon such terms and conditions as are contained in a Trust Agreement dated as of January I, 1991 as amended and supplemented by the Supplemental Trust Agreement dated as of July 15, 1998 among the Land Bank, the Town of Nantucket, Massachusetts (the "Town") and the Trustee (the "Trustee"); and WHEREAS, pursuant to the Act, the Commission authorized and issued a Golf Course Construction Bond dated February 1,2003 (the "2003 Bond") pursuant to a Loan and Security Agreement dated as of February 1,2003 between the Land Bank and Nantucket Bank; and WHEREAS, the Commission hereby finds that it is in the best interest of and financially advantageous to the Land Bank to refund the 1998 Series E Bonds and the 2003 Bond; NOW, THEREFORE, BE IT RESOLVED by the Nantucket Islands Land Bank Commission that: SECTION 1. Pursuant to the Act, the Commission hereby authorizes the issuance of $13, 175,000 2009 Series A Refunding Bonds (Full Faith and Credit Issue) (the "Bonds"), as Additional Bonds pursuant to the Trust Agreement, dated as of December 1,2007 (the "2007 Trust Agreement") among the Land Bank, the Town of Nantucket and the U.S. Bank National Association, as Trustee and upon such terms and conditions as are set forth below and as further contained in the 2007 Trust Agreement, as amended and supplemented by the Supplemental Trust Agreement dated as of March 13,2009 among the Land Bank, the Town and the Trustee (the "Supplemental Trust Agreement", and together with the 2007 Trust Agreement, the "Trust Agreement"). SECTION 2. Pursuant to the Act, the Land Bank shall issue, sell and deliver the Bonds for the purpose of refunding the 1998 Series E Bonds outstanding in the principal amount of$8,420,000 and the 2003 Bond outstanding in the principal amount of $4,446,407.47 and the payment of the costs of issuance of the Bonds. The Bonds shall be executed by the Chairman or the Vice Chairman of the Commission, shall be dated March 13, 2009, and shall otherwise have the terms and be substantially in the forms set forth in the Trust Agreement, with such variations, omissions or insertions as are permitted or required hereby or thereby; provided that the maturities, interest rates, and terms of the Bonds shall be as shown in Exhibit A to this resolution. SECTION 3, The sale of the Bonds to Bank of America, N.A. at a price of $13, 175,000 pursuant to the Bond Purchase Agreement (the "Bond Purchase Agreement") dated as of February 27,2009 is hereby ratified and approved. The distribution of an Official Statement dated March 13,2009 relating to the Bonds substantially in the form submitted to and filed with the records of this meeting, with such insertions and changes as such Chairman or Vice Chairman may approve, is hereby approved. SECTION 4. The Chairman or the Vice Chairman of the Commission is authorized to execute and deliver the Supplemental Trust Agreement dated as of March 13, 2009, and which Supplemental Trust Agreement shall be in substantially the form submitted to and filed with the records of this meeting, subject to such changes, insertions or omissions as such Chairman or V ice Chairman may approve, and the execution thereof shall be conclusive evidence of such approval. SECTION 5. In addition to the Supplemental Trust Agreement, the Bond Purchase Agreement, a refunding escrow agreement and other documents to be executed in connection with the issuance of the Bonds and ,the refunding of the 1998 Series E Bonds and the 2003 Bond, the Chairman or the Vice Chairman of the Commission is authorized to execute and deliver a Restated and Amended Agreement as to Working Capital Reserve Account between the Land Bank and the Town of Nantucket, dated as of March 13,2009, which agreement will amend, restate and replace the Restated and Amended Agreement as to Working Capital Reserve Account between the Land Bank and the Town of Nantucket, dated as of December 19, 2007, and which agreement shall be substantially in the form submitted to and filed with the records of this meeting, subject to such changes, insertions or omissions as the Chairman or Vice Chairman may approve, and the execution thereof shall be conclusive evidence of such approval. Nantucket Land Bank Commission March 10, 2009 Page 5 SECTION 6. The Chairman or the Vice Chairman of the Commission is authorized to covenant, on behalf of the Land Bank, that the Land Bank will pay any arbitrage rebate due to the United States in connection with the issuance of Bonds and that the Land Bank will take all lawful actions necessary to comply with all requirements of the Internal Revenue Code of 1986 relating to the use, expenditure and investment of the proceeds of the Bonds that must be satisfied subsequent to the issuance of the Bonds in order that interest on the Bonds be or continue to be excluded from gross income for federal income tax purposes and refrain from taking any actions that would cause interest on the Bonds to become included in gross income for federal income tax purposes, SECTION 7. Each of the officers, Commissioners and agents of the Land Bank and the Commission is to do all acts and things required of them by the provisions of the Bonds and the Trust Agreement for the full, punctual and complete performance and observance of all of the terms, covenants, provisions and agreements therein to be performed or observed by the Land Bank and the Commission and also to do all acts and things necessary or proper in connection with the execution and delivery of the Trust Agreement and the Bonds or otherwise required or appropriate to carry into effect the provisions of this resolution and the matters hereby authorized, and any such actions hereby taken for such purposes by any officer, Commissioner or agent of the Land Bank and the Commission are hereby ratified and confirmed. EXHIBIT A $13,175,000 Nantucket Islands Land Bank 2009 Series A Refunding Bonds (Full Faith and Credit Issue) 1. Date of Bonds - March 13, 2009 2. Date of Maturities - July 1 3. Years of maturities, principal amounts, and interest rates: Year of Principal Interest Year of Principal Interest Maturity Amount Rate Maturity Amount Rate 2009 $1,025,000 2.95% 2016 $1,060,000 2.95% 2010 975,000 2.95 2017 1,195,000 2.95 2011 1,015,000 2.95 2018 1,230,000 2.95 2012 1,040,000 2.95 2019 1,265,000 2.95 2013 1,065,000 2.95 2020 375,000 2.95 2014 1,090,000 2.95 2021 390,000 2.95 2015 1,130,000 2.95 2022 220,000 2.95 4. Optional redemption - The 2009 Series A Refunding Bonds shall not be subject to redemption prior to maturity. b. Authorizations: Upon a motion made and duly seconded, the Commission VOTED to authorize the Chairman and the Secretary of the commission to execute all documents necessary for delivery of the bonds. . Land Bank Commission March 10, 2009 Page 6 ADJOURNMENT: Upon a motion made and duly seconded, it was VOTED to adjourn at 6:l5 P.M. Attested to: Accepted, Approved, and Released by the VOTE of the Commission this 24th day of March 2009. ::MI~a~m::mBglil:B::IIllJ.$.;mJ.yl:::I:~II.:::mlg::IIII::::::::::.!:!:::::::::::::::!!!::::::::!:::!!::.::::!::::::::!:::::::::!::::!:::::!::::!!!:!!:::::::!:::.:::::::!::::::::!::::::::::::::::::::::::!::::::!!::::!!!:::::::::::!:!::::!:::::::!::.:::.:::::::: FY08 Total Exempt Taxable Total Gross Gross Revenue Month Transfers Transfers Transfers Value Value Taxable Received Jul-07 74 42 32 $51,678,861 $49,178,861 $987,577 Aug-07 120 73 47 $128,722,279 $120,670,279 $2,424,906 Sep-07 104 50 54 $1 1 1,793,300 $104,773,300 $2,099,466 Oct-07 105 56 49 $106,491 ,448 $101 ,741 ,448 $1 ,846,289 Nov-07 94 58 36 $72,763,084 $70,196,084 $1 ,404,462 Dec-07 87 70 17 $49,273,500 $46,623,500 $940,470 Jan-08 81 46 35 $71 ,587,030 $68,587,030 $1 ,389,068 Feb-08 68 44 24 $42,748,590 $42,348,590 $858,972 Mar-08 59 38 21 $40,306,700 $39,606,700 $794,934 Apr-08 61 37 24 $36,321 ,250 $35,921 ,250 $722,425 May-08 98 83 15 $22,986,126 $20,986,126 $466,722 Jun-08 68 41 27 $49,391,772 $46,394,550 $929,891 $~;g~2(H).....$@q4;j..1~,Q~g Average 85 53 32 $65,338,662 $62,252,310 $1,238,765 Low 59 37 15 $22,986,126 $20,986,126 $466,722 High 120 83 54 $128,722,279 $120,670,279 $2,424,906 !Mml*~~I:m~$,:f.tI8.!::$.!*ll~$.m~yl:::i~lll~rj1~.!:III~j!::!!:!!:::::::!:!:::::!!:::::::::!::!!::!:::!!!!::::!::.!.!:!::!:!!::::.:::!::!::!:::!::U::::::: .. .- .... ....'.............'.......'.............'............ :::::::::::::::;:::::::::::::::::::::::;:::;:::::::::::;::: ................. :::::::::::::::::::::::::::::::::::::::::;:::::::;:::::::;: ......... .. FY09 Total Exempt Taxable Total Gross Gross Revenue Month Transfers Transfers Transfers Value Value Taxable Received Jul-08 65 38 27 $47,229,858 $46,335,1 1 1 $928,702 Aug-08 63 38 25 $84,318,085 $83,708,085 $1 ,678,162 Sep-08 76 39 37 $55,282,900 $54,882,900 $1 ,097,658 Oct-08 68 39 29 $52,249,003 $51 ,846,781 $1 ,043,786 Nov-08 54 32 22 $41,932,496 $41,532,496 $846,650 Dec-08 105 74 31 $51 ,609,065 $50,799,065 $1 ,019,981 Jan-09 59 45 14 $21 ,784,925 $15,984,925 $319,787 Feb-09 53 37 16 $14,330,594 $12,538,233 $239,530 Mar-09 Apr-09 May-09 Jun-09 ~~g >$7;.. Average 68 43 25 $46,092,1 16 $44,703,449 $896,782 Low 53 32 14 $14,330,594 $12,538,233 $239,530 High 105 74 37 $84,318,085 $83,708,085 $1 ,678,162 MONTHL Y (UNAUDITED) TRANSFER BUSINESS Nantucket Land Bank Commission Regular Meeting of March 10,2009 1. February 2009 Transfers - Record Nos. 29680 through 29732: a. Additional Information Not Provided No. 29680 Richard E. Behrman Qualified Personal Residence Trust #2 No. 29681 Richard E. Behrman Qualified Personal Residence Trust #3 No. 29682 Richard E. Behrman Qualified Personal Residence Trust #4 No. 29693 Richard E. Behrman Qualified Personal Residence Trust #1 No. 29718 Karen L. Bopp and David Bopp No. 29731 Giles Realty Trust b. Purchase Price Explanation Required: No. 29691 Lisa Wohlleib 2. Transfer Update: a. Purchase Price Explanation Provided: No. 29629 LLD Nominee Trust 3. "M" Exemption Update: a. Request for Notice of Lien Amendment: No. 27408 Travis Lombardi and Adriene H. Lombardi b. Request for Duplicate Release of Lien: No. 16030 Henry Preston and Renay Beldo-Preston c. Release of Lien - Payment Received: No. 27544 51 Nobadeer Farm Road Realty Trust C: I WP60\MINDOCSITRANSFER BUSINESS 09 1 SI meeling.doc