After I finished looking at the Village of Lakewood’s documents concerning the SportsPlex and its Tax Increment Financing District documents, I asked bond analyst Steve Willson to do so, too.
Below are his comments:
Notes on the Lakewood TIF FOIA dump 5/27/15
1. Much of the information we want was not given. We got emails referring to documents that are not attached, including the RDA, the proposed agreement with the developer — the SportsPlex.
A prime example of this is the 3/2/15 email ([Tom] Zanck to [Catherine] Peterson) about Section 18 “by adding the words ‘as a condition of construction’ I think you have killed any ability to sell bonds.” What is Section 18?
What is the exact subject?
We don’t know.
2. Note the Village has sought to have the Upper Illinois River Valley Development Authority issue the bonds instead of having the Village issue the bonds. (2/10/15 email from James Snyder to Michael Smoron)
3. I don’t know for sure what an “ERP” is. Best to ask Catherine Peterson. My best guess is it will be the “Enterprise Revenue Fund” — the fund through which all the revenues of the project (the SportsPlex) will run.
This type of lockbox operation is typical where there is concern about keeping control of the cash flow. Payments must be approved by the trustee before disbursement, and the trustee is supposed to make sure there is enough money there for bond repayment, and to make sure only legitimate operational payments are made.
4. China Business Wise is a small firm that seeks to bring Chinese investors and American business people together. Check out their web site. They don’t have an extensive record of accomplishment.
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