City Beat: Council addresses Jordan Valley

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City Council settled some financial matters for Jordan Valley Park projects at its April 21 meeting.|ret||ret||tab|

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Arena financing|ret||ret||tab|

Council approved an emergency bill to refinance a portion of the Springfield Center City Development Corporation bonds to fund the Jordan Valley Park Arena. The city is extending a $1.1 million payment for the design of the arena until April 30, 2004, because designs aren't finalized.|ret||ret||tab|

"We're not going to finalize the design and therefore not going to have the full payment for the design until we complete the recommendation and get council approval to move forward," said City Manager Tom Finnie.|ret||ret||tab|

On May 1, 2002, bond anticipation notes were issued for $4.1 million to provide interim financing for demolition of existing structures in Jordan Valley Park and for the design of the exposition center, car park and arena.|ret||ret||tab|

The notes were issued with the expectation that permanent financing would be finalized for all of the projects within one year. Permanent financing has been secured for the exposition center and the car park, but the arena is not secured, the bill states. |ret||ret||tab|

Of the $4.1 million bond anticipation notes, $1 million was allocated for the design of the arena. The notes are for a one-year term and can be called anytime after July 30. This will allow the city flexibility to proceed with completing the permanent financing. The bond anticipation notes will be rolled into the permanent financing when the bonds are issued for construction of the arena.|ret||ret||tab|

Finnie said the bill held emergency status because the deadline to refinance is May 1.|ret||ret||tab|

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Ballpark lease|ret||ret||tab|

Council also passed the ground lease for the baseball stadium in Jordan Valley, giving developer John Q. Hammons the right to operate and maintain the baseball stadium on city-owned land for a term of 50 years. The city is leasing the land for $1 annually, Finnie said.|ret||ret||tab|

Hammons is constructing the baseball park for use by Southwest Missouri State University and a minor league ball club.|ret||ret||tab|

Approval allows Hammons to secure his construction financing. The city or its credit is not involved in securing the construction financing.|ret||ret||tab|

Under the terms of the lease, the city is not obligated "to make any repairs, replacements or renewals of any kind" to the stadium. It also reads that Hammons is responsible for all utilities and utility services.|ret||ret||tab|

The city has the right to use the stadium for community events at no cost, other than utilities and maintenance for the event.|ret||ret||tab|

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