A special meeting of the Board of Aldermen was held Monday, May 20, 2019, at 7:00 p.m. in the Aldermanic
Chamber.
President Lori Wilshire presided; Deputy City Clerk Judith Boileau recorded.
Prayer was offered by Deputy City Clerk Judith Boileau; Alderman Jan Schmidt led in the Pledge to the Flag.
The roll call was taken with 11 members of the Board of Aldermen present; Alderman Gidge, Alderman Klee,
Alderman Clemons and Alderwoman Kelly were recorded absent.
His Honor, Mayor James W. Donchess and Corporation Counsel Steven A. Bolton were also in attendance.
PUBLIC HEARING
R-19-136
AUTHORIZING THE FORMATION OF TWO VOLUNTARY NONPROFIT
CORPORATIONS UNDER RSA 162-G FOR THE PERFORMING ARTS CENTER
President Wilshire
| did hear that Alderman Gidge is still under the weather, he is hoping to rejoin us next week. Alderwoman
Klee will not be here this evening and neither will Alderwoman Kelly.
Tonight we have a public hearing on Resolution 19-136 Authorizing the formation of two voluntary nonprofit
corporations under RSA 162-G for the Performing Arts Center. | am going to invite Director Cummings and his
people up. You can give us an overview and introduce your guests as well. Thank you.
Attorney John S. Kaminski of Drummond Woodsum, Niel Cannon, the city’s Finance and Development
Consultant, Director Tim Cummings and Deputy Corporation Counsel Celia Leonard gave an overview of
R-19-136.
Tim Cummings, Economic Development Director
Again, my name is Tim Cummings for the record, | am the Director of Economic Development and thank you
for having me this evening. Joining me | have our tax consultant, our tax attorney, John Kaminski and Niel
Cannon our New Market Tax Credit Consultant and Celia Leonard from our Corporation Counsel’s Office to
help us with the conversation this evening. Thank you all for joining me.
So | did a quick PowerPoint presentation which I’d like to just quickly go through for you in very high level and
then open it up to questions as you may have them. Just a quick refresher and by the way, there is a Memo
with some back up material in your agenda that goes into more detail. This PowerPoint just picks out the
highlights of that communication mainly for the conversation this evening. In that Memo, and by the way there
was a typo, | apologize, it referenced a previous meeting we had as “December 11”, and technically that
meeting was on December 20" of 2018. These slides were all presented to you back then, so this is just a
little bit of a refresher for you.
Essentially, some key elements just to remind you, we are going to be needing a QALICB; QALICB is an
assistant to business corporation or partnership that exists for qualified area. It is referred to as a Qualified
Area Low Income Community Business. We refer to it as the acronym QALICB. The big thing here is the City
of Nashua, a municipal corporation cannot be a QALICB. But we can act as a lessee in the deal structure. So
again, that’s just something we have discussed previously and | wanted to just remind you of that.
Another issue that | wanted to just call out to your attention which is the leverage that we are striving for which
is we would be, for every million dollars we invest, we would be able to leverage 39% gross which yields a net
of somewhere between 25% and 30%. For this conversation we can say 28%. | also want to take a moment
and just remind you all that we are working on projections and modeled numbers; they are subject to change.
By no means is this definitive, but it gives you an idea of what we are looking at from an order of magnitude
