City of Round Rock - File #: 2019-0143

• File #: 2019-0143
• Type: Resolution
• Status: Approved
• File created: 3/7/2019
• In control: City Council
• On agenda: 3/28/2019
• Final action: 3/28/2019
• Title: Consider a resolution approving the issuance of tax-exempt bonds by the Milford Higher Education Facilities Corporation for the benefit of Round Rock Christian Academy.

Date	Ver.	Action By	Action	Result
3/28/2019	1	City Council	approve	Pass

Title

Consider a resolution approving the issuance of tax-exempt bonds by the Milford Higher Education Facilities Corporation for the benefit of Round Rock Christian Academy.

Body

Round Rock Christian Academy, a private school for children in Pre-K through 12^th grade and located at 301 N. Lake Creek Drive, is seeking financing for the construction of a new campus in Round Rock. They are seeking tax-exempt financing in the amount of $7.5 million from Milford Higher Education Facilities Corporation, a special form of Texas corporation. 

While none of the new debt will be a liability of the City of Round Rock, the Internal Revenue Code requires that the City hold a public hearing for this type of financing.  Public notice for this hearing has been provided in the form required. Independent Bank will make the tax-exempt loan, which will have an interest rate which is less than a conventional loan, resulting in substantial interest savings.