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R-01-20 A RESOLUTION APPROVING AN AMENDMENT TO A COOPERATION AGREEMENT WITH THE INDUSTRIAL DEVELOPMENT AUTHORITY OF THE CITY OF PORTSMOUTH, RELATING TO A FINANCING FOR AN OUTDOOR PERFORMING ARTS CENTER AND RELATED FACILITIES. WHEREAS, the Industrial Development Authority of the City of Portsmouth (the "Authority") adopted on February 15, 2000, a resolution (the "Prior Resolution") authorizing (a) the issuance of revenue bonds (the "Bonds") in a principal mount not to exceed $10,000,000, including the issuance of a note in anticipation of such bonds (the "Note" and together with the Bonds, the "IDA Obligations"), (b) the construction of an outdoor performing arts center and related facilities on the downtown Portsmouth waterfront (the "Project"), and (c)after construction of the Project, the operation of the Project in the public interest through a long-term lease or operating agreement; and WHEREAS, the Council (the "Council") of the City of Portsmouth, Virginia (the "City"), adopted on March 14, 2000, a resolution authorizing a general obligation guarantee for the benefit of the Authority, in connection with the construction of the Project; and WHEREAS, in connection with the issuance of the Note on March 23, 2000. the City and the Authority have entered into a Cooperation Agreement dated as of March 23, 2000 (the "Cooperation Agreement"), reflecting the general obligation guarantee of the City to make payments under the Cooperation Agreement in amounts sufficient to enable the Authority to pay when due the principal of and premium, if any, and interest on the IDA Obligations; and WHEREAS, the Authority has determined that it will be in the best interests of the City and the Authority to delay the issuance of the Bonds and, in the interim, to extend the maturity of the Note at a new interest rate and has requested that the City consem to an amendment to the Cooperation Agreemem reflecting the amended terms of the Note (the "Amendment"); BE IT RESOLVED BY THE COUNCIL OF THE CITY OF PORTSMOUTH, VIRGINIA: 1t. The City Manager and the Chief Financial Officer of the City, or either of them, is hereby authorized and directed to execute the Amendment in a form acceptable to the officers, or either of them; provided, however, that the Amendment shall provide for payments under the Cooperation Agreement that are equivalent to an amended Note (a) having a principal amount not exceeding $10,000,000, (b) maturing no later than September 30, 2001, (c) having a "true" or "Canadian" interest cost not exceeding 9.0% per year, and (d) being subject to optional redemption at a premium not exceeding 3%. Following the execution of the Amendment, the City Manager shall file a certificate with the City Clerk setting forth the terms of the Amendment and the amended Note. The actions of