1974-08 CRA - Laserfiche WebLink

Home Browse Search

. .~, . . . -~:..- 8 8 Mr. Richard E. Goblirsch Community Redevelopment Agency of the City of Santa Ana April 18, 1974 Page 7 (n) If authorized, provide assistance in obtain- ing any supplemental or alternate financing through another public entity or entities. (0) Meet with Agency or its other advisors and con- sultants at reasonable times on any of the above. . For the services proposed under Task 3, we have proposed a fee sched- ule of one percent (1%) of the first $1 million of financing achieved, plus on-half percent (1/2%) of the next $1 million of financing, plus one-quarter percent (1/4%) of all financing in excess of $2 million. It should be noted that these fees are cumulative, so that once the Agen- cy's financing exceeds $2 million, subsequent fees will not exceed one-quarter percent of such financing (subject to the minimum fee of $12,500 for anyone sale of bonds), regardless of the number of series in which bonds are is sued. Moreover, any fees paid to Consultant under Task 1 and 2 will be deducted from the first fee due under Task 3 (following the first sale of bonds for the Agency, no additional fees would be charged for the type of services contemplated under Task 1 and 2). At present, we are not aware of the magnitude of financing in- volved in the overall project, but when such estimates are available the foregoing percentages may be readily applied to determine the cost of our services, Any fees for Task 3 services are payable only from, and subject to receipt of, bond proceeds. As specified in our April 2 proposal to the Agency, costs incurred in connection with the preparation and distribution of the Official Statement are to be borne by the Agency. Normally, the time required to accomplish the sale and delivezy of an authorized issue of bonds will range from 60 to 90 days, and we would expect to be able to accomplish the first sale of tax allocation bonds under Task 3 within this period of time. Some consolidation of time. may be pos sible. because parts of the Task 1 and 2 work are integral with Task 3. The foregoing should not be considered as limiting the scope of ser- vices enumerated in our original proposal of April 2, 1974. but is in- tended to provide additional detail and elaboration in the areas des- cribed in your letter of April 10. As financing consultants, we feel obligated to achieve the most economical and practical financing for a client, and will provide necessary service to accomplish this objective regardless of apparent contractual limitations. . LfÇl