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SPECIAL BOARD OF ALDERMEN
SEPTEMBER 28, 2020

7:00 PM

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PRESIDENT LORI WILSHIRE CALLS ASSEMBLY TO ORDER

PRAYER OFFERED BY CITY CLERK SUSAN K. LOVERING
PLEDGE TO THE FLAG LED BY ALDERMAN LINDA HARRIOTT-GATHRIGHT

ROLL CALL

PUBLIC HEARINGS
R-20-071

AUTHORIZING THE MAYOR AND CITY TREASURER TO ISSUE BONDS
NOT TO EXCEED THE AMOUNT OF EIGHT MILLION DOLLARS ($8,000,000) FOR TWO
CONSTRUCTION PROJECTS, CONSISTING OF A PUBLICLY ACCESSIBLE GROUND LEVEL
PARKING GARAGE ($2,500,000) AND ADDITONAL FUNDING FOR THE PROPOSED
PERFORMING ARTS CENTER ($5,500,000)

Testimony in Favor

Testimony in Opposition

Testimony in Favor

Testimony in Opposition

O-20-030

ADOPTING A TAX INCREMENT FINANCING (TIF) DEVELOPMENT DISTRICT UNDER RSA 162-K
AND NRO 295-11, THE “SCHOOL STREET TIF” AND A TAX INCREMENT FINANCING
DEVELOPMENT PROGRAM AND FINANCING PLAN FOR THE NEW TIF

Testimony in Favor

Testimony in Opposition

Testimony in Favor

Testimony in Opposition

ADJOURNMENT

R-20-071

RESOLUTION

AUTHORIZING THE MAYOR AND CITY TREASURER TO ISSUE BONDS
NOT TO EXCEED THE AMOUNT OF EIGHT MILLION DOLLARS ($8,000,000) FOR
TWO CONTSRUCTION PROJECTS, CONSISTING OF A PUBLICLY ACCESSIBLE
GROUND LEVEL PARKING GARAGE ($2,500,000) AND ADDITONAL FUNDING
FOR THE PROPOSED PERFORMING ARTS CENTER ($5,500,000)

CITY OF NASHUA

In the Year Two Thousand and Twenty

WHEREAS, the Board of Aldermen passed R-18-001 “Authorizing the Mayor and City
Treasurer to issue bonds not to exceed the amount of fifteen million five hundred thousand
dollars ($15,500,000) for the Performing Arts Center located at 201 Main Street” on February
13, 2018.

WHEREAS, the Board of Aldermen passed R-18-092 on December 11, 2018, which
amendment allowed borrowing for the design of the project prior to the raising of $4,000,000 in
private funds, including New Market Tax Credits, for the new performing arts center.

WHEREAS, the Board of Aldermen passed R-20-001 on February 2, 2020, which
amended the time period on the expiration date of the Performing Arts Center project bonding
authority until August 31, 2021 as it is relates to the additional $4,000,000 to be raised.

NOW THEREFORE BE IT RESOLVED by the Board of Aldermen of the City of
Nashua that the Mayor of the City of Nashua and the City Treasurer of the City of Nashua are
hereby authorized to issue and sell general obligation bonds of the City in an aggregate principal
not to exceed two million five hundred thousand dollars ($2,500,000). The proceeds of said
bonds shall be used for the construction of a publicly accessible ground level parking garage to a
proposed 146 unit multi-family apartment project on a City owned parking lot, which would
include an area for parking (approximately 48-50 spaces), a minimum amount of lobby and
amenity space, fire stairs landing at grade from the building above, and mechanical spaces so
serve the building with power, water, and other infrastructure. The useful life of the
improvements is twenty-five years.

RESOLUTION R-20-071

FURTHER RESOLVED, by the Board of Aldermen of the City of Nashua that the

Mayor of the City of Nashua and the City Treasurer of the City of Nashua are hereby authorized
to issue and sell general obligation bonds of the City in an aggregate principal not to exceed five
million five hundred thousand dollars ($5,500,000). The proceeds of said bonds shall be used to
pay construction costs of the Performing Arts Center project, in addition to all other amounts
previously approved to be expended for that project. The stipulations approved by the Board of
Aldermen under R-18-001, R-18-092, and R-20-001 will apply to this bond resolution (R-20-
070). The useful life of the improvements is twenty-five years.

The amounts indicated above for each project are estimates and the Mayor may allocate
more funds to any one or more of such projects, and less to others, so long as, in the judgment of
the Mayor, each of the projects described above can be completed within the total appropriation
made by this Resolution.

It is intent that a new Tax Increment Financing (TIF) district will be created that would
fund the annual payments on this bond. The TIF will include certain properties on School Street
and surrounding streets.

Pursuant to Nashua City Charter §54-a, this resolution requires a “duly advertised public
hearing,” Also see N.H. RSA 33:9, which requires a 2/3 vote of all the members for passage of
this resolution.

The bonds shall be general obligations of the City of Nashua, payable as to principal and
interest from ad valorem taxes, which will be levied without limitation as to rate or amount on all
taxable property within the territorial limits of the City of Nashua.

The bonds shall bear the manual or facsimile signature of the City Treasurer and the
Mayor. In accordance with Chapter 91 of the New Hampshire Acts of 2005, bonds issued
pursuant to this resolution shall not require an authenticating certificate of a bank or trust
company doing business in the State of New Hampshire or The Commonwealth of
Massachusetts, or the Commissioner of Revenue Administration.

The bonds are to be issued in fully-registered form by means of a book-entry system or otherwise
and shall have such terms and conditions and be in such form, subject to the provisions of this
resolution and applicable law, as shall be determined by the Mayor and the City Treasurer.

FURTHER RESOLVED, that the Mayor is authorized to enter into the required
contracts therefor as well as any amendments to be made thereto or any other documentation
necessary for the receipt of said funds.

LEGISLATIVE YEAR 2020
RESOLUTION: R-20-071

PURPOSE: Authorizing the Mayor and City Treasurer to issue bonds not to
exceed the amount of eight million dollars ($8,000,000) for two
construction projects. The first being the construction of a publicly
accessible ground level parking garage to a proposed 146 unit
multi-family apartment project on a city owned parking lot, which
would include an area for parking 48-50 spaces. The second being
additional funding for the performance arts center. The new total
amount needed for the performance arts center project will now be
twenty one million dollars ($21,000,000) - R-18-001 authorized
$15,500,000 and this current resolution R-20-070 authorizes

$5,500,000.
SPONSOR(S): Mayor Jim Donchess
COMMITTEE
ASSIGNMENT:
FISCAL NOTE: It is anticipated that the bond would be sold in FY 21/22 for a term

of twenty five years. It is estimated the interest rate will be
approximately 2.5% (TAXABLE) and the total cost of the bond
will be approximately $10,664,225 including interest-level debt.
The average annual payment will be approximately $426,569.

At this time it is undeterminable if the TIF district will have
sufficient funds to cover the first 2 years of bond payments related
to the PAC. It is also anticipated the full or a portion of the
revenue derived from the sale of the air rights for the new
apartments building may be available for these projects in
anticipation of a supplemental appropriation request.

ANALYSIS

This resolution authorizes the City to issue and sell general obligation bonds up to $8,000,000
for the Parking Garage and Performance Art Center (PAC) The garage has not been through the
most recent Capital Improvements Program but it is scheduled for a meeting in September 2020.
Funding for this bond will be generated through a new proposed Tax Increment Financing
District (TIF). Pursuant to Nashua City Charter §54-a, this resolution requires a “duly advertised
public hearing”. Also see NH RSA 33:9, which requires a 2/3 vote of all the members for
passage of this resolution.

NEW BUSINESS — ORDINANCES
O-16-003
Endorsers: Mayor Jim Donchess
Alderman Ken Siegel
ADMINISTRATIVE ENFORCEMENT OF ORDINANCES
PERIOD FOR GENERAL PUBLIC COMMENT
REMARKS BY THE MEMBERS OF THE BOARD OF ALDERMEN

Committee announcements:

ADJOURNMENT

RESOLUTION

Approved as to account
structure, numbers and
amount:

Approved as to form:

R-20-071

Financial Services Division

By: /s/ David G. Fredette

Office of Corporation Counsel
By: /s/ Celia K. Leonard

Date: 9/2/2020

O-20-030

ORDINANCE

ADOPTING A TAX INCREMENT FINANCING (TIF) DEVELOPMENT DISTRICT

UNDER RSA 162-K AND NRO 295-11, THE “SCHOOL STREET TIF” AND A TAX

INCREMENT FINANCING DEVELOPMENT PROGRAM AND FINANCING PLAN
FOR THE NEW TIF

CITY OF NASHUA

In the Year Two Thousand and Twenty

The City of Nashua ordains that Part II “General Legislation,’ Chapter 295
“Taxation,” Article V “Development and Revitalization Districts,’ of the Nashua Revised
Ordinances, as amended, is hereby amended by adding a new section as follows:

Ҥ295-12.1 District identified.

A. The following properties shall constitute a tax imcrement financing

development district:
The property identified as Tax Map 79, Lot 35
The property identified as Tax Map 79, Lot 54

The property identified as Tax Map 79, Lot 129

The property identified
The property identified
The property identified
The property identified
The property identified

The property identified

as Tax Map 81, Lot 3

as Tax Map 81, Lot 16
as Tax Map 81, Lot 81
as Tax Map 81, Lot 95
as Tax Map 81, Lot 98

as Tax Map 81, Lot 104

ORDINANCE O-20-030

B. Such district shall also include any lots created out of or established from the
foregoing lots.”

And further, it is hereby RESOLVED by the Board of Aldermen of the City of
Nashua that the attached “Tax Increment Financing Development Program and Financing Plan”
is hereby adopted for the tax increment financing development district comprised of land
identified in NRO Section 295-12.1.

LEGISLATIVE YEAR 2020

ORDINANCE: O-20-030

PURPOSE: Adopting a Tax Increment Financing (TIF) Development
District under RSA 162-K and NRO 295-11, the “School Street
TIF” and a Tax Increment Financing Development Program
and Financing Plan for the New TIF

SPONSOR(S): Mayor Jim Donchess

COMMITTEE

ASSIGNMENT:

FISCAL NOTE: The proposed TIF district at this time does not have any direct

impact on the City’s budget. This legislation sets out the
governance process necessary to capture the future tax
increment within the district, which we do not know, but could
range from $1,400,000 to $1,500,000 based on a five year

timeline. This money would be used to make improve ments as
outlined om the plan.

ANALYSIS

RSA Chapter 162-K, adopted by the City in 1998, enables the City to establish economic
development and revitalization districts, in which enhanced property tax revenue is designated to
offset the cost of designated improvements, which may be financed by general obligation bonds.
NRO §295-11 adopts the general powers of RSA Chapter 162-K; this legislation adopts a new
development district comprised of the identified parcels situated on or around School Street and
adopts a development program and tax increment financing plan for the district.