Background on Corporation
The Financing Corporation is the vehicle that is being used to facilitate the issuance of the debt on behalf of the County, and is a required intermediary in order to use Lease financing as a means of debt issuance.
The officers of the Financing Corporation are the Chair of the Board of Supervisors as Chief Executive Officer, County Administrator as the Secretary and the Chief Financial Officer of the County as Chief Financial Officer of the Yolo County Financing Corporation.
Transaction Details
In the transaction, the Corporation will lease from the County of Yolo the property located at 120 West Main (Woodland) in exchange for the Corporation paying to the County a one-time upfront lease payment equal to the borrowing amount (not-to-exceed $4.25 million). The Corporation will obtain these funds from the lender (Zions Bancorporation). The County will lease-back the facility from the Corporation and make lease payments equal to the payments required to repay the borrowing. The Corporation will assign its rights to these payments to the lender.
The recommended actions provide authority to the officials within the Corporation to complete the financing transaction.
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