IN THE COUNTY LEGISLATURE OF JACKSON COUNTY, MISSOURI
Title
A RESOLUTION authorizing the Chief Financial Officer to execute certain documents in connection with the Jackson County Industrial Development Authority's Series 2002A Recreational Facilities revenue bonds to resolve certain tax matters with the U.S. Internal Revenue Service for the benefit of YMCA of Greater Kansas City.
Intro
RESOLUTION NO. 19219, July 25, 2016
INTRODUCED BY Dennis Waits, County Legislator
Body
WHEREAS, due to the loss of directors and failure to file required reports with the State of Missouri, the Jackson County Industrial Development Authority (the "IDA"), was administratively dissolved by the Missouri Secretary of State; and,
WHEREAS, pursuant to section 349.095 of the Revised Statutes of Missouri, as amended, following the dissolution of the IDA, Jackson County became the successor to all rights and properties of the IDA, provided that the County is not subject to any tax assessment or financial liability to any bondholder or creditor of the IDA; and,
WHEREAS, the IDA had previously issued $13,495,000.00 of Recreational Facilities Revenue Bonds (YMCA of Greater Kansas City Project), Series 2002A (the "Bonds"), in order to provide funds to loan to the Young Men's Christian Association of Greater Kansas City (the "YMCA"); and,
WHEREAS, the YMCA sold some of the facilities financed or refinanced with the Bonds in a manner that was not in compliance with the federal tax requirements that applied to the use of Bond proceeds; and,
WHEREAS, the YMCA has requested the County's assistance in self-reporting this violation to the Internal Revenue Service ("IRS") under the IRS Voluntary Closing Agreement Program ("VCAP"); and,
WHEREAS, self-reporting this violation to the IRS will allow this matter to be settled on terms more favorable than if the issue had risen in an audit and will also permit the YMCA to refinance on a tax-exempt basis the portion of the Bonds not attribu...
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