05-08-07Little Rock Board of Directors Reconvened from May 1, 2007 Meeting — Minutes — May 8, 2007
MINUTES
BOARD OF DIRECTORS RECONVENED MEETING
City Hall — 500 W. Markham
May 8, 2007 - 4:00 PM
The Board of Directors of the City of Little Rock, Arkansas, met in reconvened session with
Mayor Mark Stodola presiding. City Clerk, Nancy Wood, called the roll with the following
Directors Present: Hendrix, Richardson, Cazort, Wright, Wyrick, Kumpuris, Fortson, Adcock,
Vice Mayor Hurst, and Mayor Stodola. Director Keck was absent.
Director Cazort, seconded by Director Hurst, made the motion to go into executive session for
the purpose of making appointments to various Boards and Commissions. By unanimous voice
vote of the Board members present the Board went into executive session at 6:35 PM.
1. ORDINANCE - Held on Second Reading - Authorizing the construction of betterments and
improvements to the sewer system of the City of Little Rock, Arkansas; authorizing the issuance
and sale of Sewer Construction Revenue Bonds, Series 2007A; providing for the payment of the
principal of and interest on the bonds; and prescribing other matters relating thereto. Staff
recommends approval. (1 st Reading held on May 1, 2007)
A motion was made by Director Cazort, seconded by Director Hurst, to suspend the rules and
place the ordinance on second reading. By unanimous voice vote of the Board Members present
being two - thirds in number, the rules were suspended and the ordinance was read the second
time.
Director Fortson previously recused from voting on Item 1, but was allowed to remain in the
room during the second reading because the item will be held on second reading per the request
of the Waste Water Utility.
2. RESOLUTION 12,513 - To Authorize the consent to assignment of certain properties from
Capitol City Hotel, LLC, to TB Little Rock, LLC, (the Doubletree Hotel); to authorize the
Mayor, City Manager, and City Clerk to execute any documents necessary to affect such consent
as those documents are approved by the City Attorney; to accept the recommendation of the
Little Rock Advertising and Promotion Commission to adopt this resolution; and for other
purposes. Staff recommends approval.
Director Fortson reported that the Doubletree Hotel is owned by the City of Little Rock and has
been under a long term lease with CCH who desire to sign their rights over to a new company
titled Trinity Capital (TB Little Rock). This action requires the approval of the Advertising and
Promotions Commission and the City Board. The proposed new company has indicated a desire
to invest $9 -$12 million for improvements.
Little Rock Board of Directors Reconvened from May 1, 2007 Meeting — Minutes — May 8, 2007
Tom Carpenter, City Attorney, clarified the item before the Board. He indicated that the City
has had a lease with CCH since 1994 that has been amended two (2) times in the past few years.
He reported that the issue before the Board presently was an agreement to consent, which would
not be signed until closing occurred between CCH and TB Little Rock. The new purchaser's
have indicated that they will remain a Doubletree and will have to go through the franchise
process, but the City will be protected during that time. There are six (6) items that the City is
concerned about that should be resolved in the next thirty (30) days. The six items included;
1) No major or material defaults in the current lease between the City and CCH;
2) Representation from CCH that they are not in default, so that TB Little Rock can
continue with it's financing;
3) All parties will agree to execute and deliver the third amendment to the lease, which is
the one that will be brought about by some of the problems with the Arkansas Riverview
Development (ARD) settlement;
4) All of the parties will properly engage in implementation with some of the settlement
terms of ARD settlement;
5) All parties agree to enter into the fourth amendment, which would clarify some terms
related to the ARD settlement, i.e. air rights
6) All appropriate documents agreed upon by the parties to the assignment and by the lender
to the assignment
The resolution was read. Director Fortson, seconded by Director Kumpuris, made a motion to
adopt Item 2. By unanimous voice vote of the Board members present, the resolution was
adopted.
Director Cazort, seconded by Director Hurst, made a motion to adjourn the meeting. By
unanimous voice vote of the Board members present, the meeting was adjourned at 4:15 PM.
ATTEST:
vJ ,
NaOcy Woo (y, CMC
City Clerk
2
APPROVED:
Mark Stodola
Mayor