ORDINANCE authorizing the issuance of City of Houston, Texas, Convention & Entertainment Facilities Department Hotel Occupancy Tax and Special Revenue Refunding Bonds, Series 2017; authorizing the Mayor and City Controller to approve certain terms thereof and certain other procedures relating thereto; providing for the payment thereof; authorizing the defeasance, final payment, and discharge of certain outstanding bonds; making other provisions regarding such bonds and matters incident thereto; awarding the sale of the Series 2017 Bonds; authorizing a continuing covenant agreement, an escrow agreement and a paying agent/registrar agreement; making other provisions regarding such bonds; and declaring an emergency

SUBJECT:  Approve an ordinance authorizing the issuance of City of Houston, Texas, Convention and Entertainment Facilities Department Hotel Occupancy Tax and Special Revenue Refunding Bonds, Series 2017.

RECOMMENDATION: (Summary)

Approve an ordinance authorizing the issuance of City of Houston, Texas, Convention and Entertainment Facilities Department Hotel Occupancy Tax and Special Revenue Refunding Bonds, Series 2017.

SPECIFIC EXPLANATION:

The City has identified approximately $11.7 million of certain outstanding Hotel Occupancy Tax and Special Revenue Refunding Bonds, Series 2011B that can be refunded for present value savings in the current interest rate environment. The recommended issuance of the City of Houston, Texas, Convention and Entertainment Facilities Department Hotel Occupancy Tax and Special Revenue Refunding Bonds, Series 2017 will refund these bonds and pay any associated costs of issuance.

The Finance Working Group recommends the Convention and Entertainment Facilities Department Hotel Occupancy Tax and Special Revenue Refunding Bonds, Series 2017 be issued through a direct placement structure with Regions Capital Advantage, Inc. Andrews Kurth LLP and Baker Williams Matthiesen LLP are recommended as co-bond counsel.

This transaction was presented to the Budget and Fiscal Affairs Committee on October 3, 2017.

The Finance Working Group recommends the approval of this item.

Melissa Dubowski                                  Phone: 832-393-9101