THE FINANCE AND ADMINISTRATIVE SERVICES DEPARTMENT AND THE PORT EVERGLADES DEPARTMENT RECOMMEND APPROVAL OF THE ABOVE MOTION.
The County and Royal Bank of Canada (the “Bank”) entered into a Letter of Credit Reimbursement Agreement dated July 1, 2014 (“Agreement”), pursuant to which the Bank issued its Irrevocable Direct Pay Letter of Credit (the “Letter of Credit”) to provide credit and liquidity support to the County’s $35,735,000 Subordinate Port Facilities Refunding Revenue Bonds, Series 2008.
The Agreement requires that the County provide the Bank with Port Everglades’ unaudited financials for each quarter, due 45 days after the end of such quarter. In addition, the Agreement requires that the County provide the Bank with certain annual financial statements within 180 days of the Fiscal Year end close. The County and the Bank have determined that the County’s obligation to provide fourth quarter financials is unnecessary and duplicative because the Bank is already receiving such information via the annual financial statements. As a result, the County and the Bank would like to enter into this First Amendment and Waiver to the Agreement (“First Amendment”), which will eliminate the County’s obligation to provide the Bank with Port Everglades’ fourth quarter financials. In addition, the Bank, pursuant to the First Amendment, will waive the County’s obligation to provide the Bank with Port Everglades’ financials for the fourth quarter of 2017. In exchange for the waiver and for the removal of the fourth quarter reporting obligation, the County has made certain representations and warranties to the Bank, including a representation that the County has not defaulted under the Agreement. |