Speaker 6: Motion carries a vote. Yes. Next item to report from financial management with a recommendation to adopt a resolution approving the issuance of revenue, refunding bonds and harbor sharp short term notes.
Speaker 1: So, quote, There's been a motion and a second. Any public comment on the item?
Speaker 0: Yes, sir.
Speaker 11: Yes, sir. Again, my name's John Voracek. I'm curious as to what these bonds are used for. I mean, a $90 million short term bond and a $350 million aggregate. You know what? It appears to me to be essentially a loan is something that I think that the people of the city need to know what that revenues are , what that those funds are going to be used for.
Speaker 1: What I just heard, Mr. West, just give us an update on that briefly. Vice Mayor, council members. We will have a quick report from our city treasurer Dave Nakamoto, as well as a.
Speaker 10: Representative from the Port David.
Speaker 11: Thank you, Mr. West, Honorable Vice Mayor and members of the City Council before you as a recommendation to approve the issuance by the Board of Harbor Commissioners of Harbor Revenue refunding bonds in amount not to exceed $90 billion and harbor short term notes in an amount not to exceed $350 million. These issuances are secured by harbor department revenues only. The purposes of these issuances are to lower the overall financing cost of the port and to finance a portion of the Gerald Desmond Bridge replacement costs. City's City Council's action is requested tonight to facilitate the Port Board excuse me to facilitate the port's forthcoming issuance of bonds. Port staff and bond counsel are available for questions. This concludes staff support.
Speaker 1: Conservatorship Scheme.
Speaker 8: Mr. West. Or actually, Mr. Nakamoto, if you could answer this, what would be the liability of the city of Long Beach by the Council making this action today? Should the port, for whatever reason, not be able to pay the the necessary obligation on this.
Speaker 11: Councilwoman ship scheme? We believe the port has a very high quality credit. In fact, today Fitch affirmed the port's Double-A rating. However, in the event something unforeseen did happen, the city is not liable for the for the debt repayment.
Speaker 8: And so then only the port would be liable. All right. I wanted to make that very clear. So it's not the city of Long Beach on the hook.
Speaker 6: Correct. I think.
Speaker 1: Okay. So no other questions from the council. There's a motion on the floor. Please cast your vote on this.
Speaker 6: Motion carries eight votes.
Speaker 1: Okay.
Speaker 6: Next item in 15 is a report from Long Beach Gas and Oil and Financial Management with the recommendation to initiate inspection of customer and sewer laterals in connection with the gas line pipe installation.
Recommendation to adopt resolution approving the issuance by the Board of Harbor Commissioners, on behalf of the City of Long Beach, of Harbor Revenue Refunding Bonds, in an aggregate principal amount not to exceed $90,000,000, and Harbor Revenue Short-Term Notes, in an aggregate principal amount not to exceed $350,000,000, secured by Harbor Department revenues.  (District 2)