The Riverdale City Council authorized the issuance of $10,000,000 in conduit bond financing on behalf of the new Wellspire senior living community currently being built in Bettendorf (near Middle Road and 53rd Street). The bonds do not encumber the City’s future bonding capacity and there is not contingent, financial liability to the community or its taxpayers.
Interim City Administrator, Lisa Kotter, informed the Council that the City had received a legal opinion from legal counsel (Ahlers Cooney in Des Moines) that all of the paperwork was in good order and they saw no problems with moving forward. According to the email received from Jason Comisky at that office:
“The loan documents that bond counsel provided are substantially complete but will need some minor revisions and there are a few pieces of information missing. That being said, the resolution attached to bond counsel’s email dated December 2, 2019 provides that the City is approving documents in substantially the form before the Council. Meaning that there is still the opportunity to make changes.
“We have no objection to the Council adopting the resolution provided by bond counsel with the caveat that there will need to be some relatively minor tweaks to the documents before the City executes those documents. It probably wouldn’t hurt to make some record of those needed revisions on the record but we would not hold up the project or alter the resolution over what amount to relatively minor revisions.”
– Jason Comisky
All legal fees and preparation costs associated with this action taken by the City Council will be reimbursed by Wellspire and the City will receive an additional $10,000 fee as payment for providing the bonding assistance. The revenue will be put into the City’s General Fund reserve.