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File #: 2018-0753   
Type: Program Status: Agenda Ready
File created: 11/15/2018 In control: Finance, Budget and Audit Committee
On agenda: 2/28/2019 Final action:
Title: CONSIDER: A. AUTHORIZING the Chief Executive Officer to renew and/or replace the direct-pay letters of credit ("LOC") and direct purchase revolving credit facility ("RCF") to be provided by the banks described below, finalize negotiations with the recommended banks and enter into reimbursement/credit agreements and related documents associated with such LOCs and RCF; 1. Replace the LOCs currently being provided by Sumitomo Mitsui Banking Corporation ("Sumitomo") and MUFG Union Bank, N.A. ("MUFG"), for the Proposition A commercial paper program with a LOC to be provided by Barclays Bank PLC ("Barclays") for a commitment amount of $200 million for a 3 year term at an estimated cost of $13.5 million including interest, legal fees and other related expenses. 2. Replace the LOC currently being provided by Bank of America ("BANA") of $75 million for the Proposition C commercial paper program with a revolving credit facility provided by Wells Fargo Bank, N.A. ("Wells Fargo") for an estimat...
Sponsors: Finance, Budget and Audit Committee
Indexes: Debt, Debt Service - Prop A Governmental (Project), Debt Service-Prop C - Governmental (Project), Debt Service-Union Station Acquisition (Project), Program, Proposition A, Proposition C, Request For Proposal, Resolution, Safety
Attachments: 1. Attachment A - Recommendation Summary, 2. Attachment B - Proposition A Authorizing Resolution, 3. Attachment C - Proposition C Authorizing Resolution, 4. Additional Documents
Related files: 2019-0137, 2019-0035
Date Action ByActionResultAction DetailsMeeting DetailsAudio
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Meeting_Body
REGULAR BOARD MEETING
FEBRUARY 28, 2019

Subject
SUBJECT: PROP A AND PROP C COMMERCIAL PAPER/SHORT-TERM BORROWING PROGRAMS

Action
ACTION: APPROVE RECOMMENDATIONS

Heading
RECOMMENDATION
Title

CONSIDER:

A. AUTHORIZING the Chief Executive Officer to renew and/or replace the direct-pay letters of credit ("LOC") and direct purchase revolving credit facility ("RCF") to be provided by the banks described below, finalize negotiations with the recommended banks and enter into reimbursement/credit agreements and related documents associated with such LOCs and RCF;

1. Replace the LOCs currently being provided by Sumitomo Mitsui Banking Corporation ("Sumitomo") and MUFG Union Bank, N.A. ("MUFG"), for the Proposition A commercial paper program with a LOC to be provided by Barclays Bank PLC ("Barclays") for a commitment amount of $200 million for a 3 year term at an estimated cost of $13.5 million including interest, legal fees and other related expenses.

2. Replace the LOC currently being provided by Bank of America ("BANA") of $75 million for the Proposition C commercial paper program with a revolving credit facility provided by Wells Fargo Bank, N.A. ("Wells Fargo") for an estimated amount of $150 million (Metro currently has $75 million outstanding with Wells Fargo) for a 3 year term at an estimated cost of $9.9 million including interest, legal fees and other related expenses

B. If unable to reach agreement with one of the recommended banks described above, AUTHORIZE the Chief Executive Officer to finalize negotiations with each successively ranked bank for LOCs and/or RCFs having 3 year terms and the estimated costs shown in Attachment A;

C. ADOPTING a resolution with respect to the Proposition A commercial paper and short-term program that approves the selection of Barclays or such other banks selected by the Chief Executive Officer for the Proposition A commercial paper program, and the forms of the reimbursement agreement, fee agreement an...

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