Dr ummec 1 i * John S. Kaminski 207.253.0561
ATTORNE A
YS AT LAW 84 Marginal Way, Suite 600
Portland, Maine 04101-2480
207.772.1941 Main
207.772.3627 Fax
April 17, 2019
VIA EMAIL ONLY
Celia Leonard, Esq.
Deputy Corporation Counsel
City of Nashua
229 Main Street
Nashua, NH 03060
Re: Performing Arts Center
Dear Celia:
MAY 20 PRESENTATION REVISED
NASHUA PERFORMING ARTS CENTER
TABLE 2: DEAL DIAGRAM/FLOW OF FUNDS
TOTAL PROJECT GOST: $ 19,217,500
"EQUITY":
[AMOUNT FINANCED VIA NMTC: 14,700,000
CITY OF NASHUA 15,900,009,
—————————__|[8_4517,500) [is 10,482,500 [Debt Service
BOND
| PURCHASER
Debt Sdrvice Paymants
|
| Loan
$ | 10,482,500
Enity "C"
execute on providing the financing for the NMTC transaction. This debt will take priority over other debt
and be in a superior position.
What is RSA 162-G
| THE CITY OF NASHUA
Office of Economic Development
"The Gate City"
To: Lori Wilshire, President of the Board of Aldermen
From: Tim Cummings, Director of Economic Development
Ce: Members of the Board of Aldermen
Date: May 15, 2019
Re: Operational Issues Surrounding New Market Tax Credit (“NMTC”) Program
Purpose
SPECIAL BOARD OF ALDERMEN
MAY 20, 2019
7:00 PM Aldermanic Chamber
PRESIDENT LORI WILSHIRE CALLS ASSEMBLY TO ORDER PRAYER
OFFERED BY CITY CLERK PATRICIA D. PIECUCH
PLEDGE TO THE FLAG LED BY ALDERMAN JAN SCHMIDT
ROLL CALL
PUBLIC HEARING
R-19-136
AUTHORIZING THE FORMATION OF TWO VOLUNTARY NONPROFIT
CORPORATIONS UNDER RSA 162-G FOR THE PERFORMING ARTS CENTER
Testimony in Favor
Testimony in Opposition
Testimony in Favor
Testimony in Opposition
ADJOURNMENT
Bond Purchaser
City of Nashua
SXX.XM (equity)
SXX.XM (Grant)
“Leveraged Lender”
SX.XXM Loan
SX.XM equity
Governance Structures
1. - Nonprofit (RSA 162-G)
2. - Nonprofit (RSA 162-G)
3.— Board of Trustees Entity
4. - 501 c. 3 Entity (Endowment)
CDE/Investment Fund
SX.XM_ Lev Lender
SX.XM NMTC Investment
High Level Overview
of Deal Structure
Equity Investor (“Private Entity”)
SX.XXM NMTC Credit
SX.XX Net NMTC Capital
SXX.XX Total
S$ XX
Additional Context
¢ These two entities are not permanent and are only being created to
effectuate the transaction. They will cease to exist after the seven
year NMTC compliance period concludes
¢ They are single purpose entities with 1 prescribed function
¢ Their roles and responsibilities will be prescribed in various closing
documents
What Does R-19-136 Do?
¢ Authorizes the City to form up to two (2) voluntary, nonprofit corporations
under the provision of RSA 162-G and pursuant to RSA 162-G:15 ordains
these two new entities as public corporations.
Why is this Important
¢ The City of Nashua cannot directly participate in the NMTC transaction as a
QALICB. Furthermore, the industry prefers municipal corporations to not
be the Senior Leverage Lender.
NASHUA PERFORMING ARTS CENTER
TABLE 2: DEAL DIAGRAM/FLOW OF FUNDS
TOTAL PROJECT COST: $ 19,217,500
"EQUITY": $ (4,517,500)
AMOUNT FINANGED VIA NMTC: $ 14,700,000
CITY OF NASHUA 4 —16.000.000 BOND
$ 4,517,500 | $ 10,482,500 | Debt Sernice PURC HASER
Bervice Payments
