Common use of Background and History Clause in Contracts

Background and History. Surcharge parking fees collected by Metro are deposited in a reserve account and used to repay ▇▇▇▇ debt service. The surcharge fees were imposed on Metro's parking facilities within Prince George's County. Therefore, with the decision to pay off (i.e., defease) MDTA's bonds, the County and Metro wish to use any remaining reserve account fund balance on required parking pedestrian, bicycle, and other station access improvements at Metrorail stations in Prince George's County. The funds could also be used to establish a new Dedicated Account that supports a new parking fund agreement between the County and Metro. In December 2020, the Board approved defeasing the ▇▇▇▇ bonds and terminating the Surcharge Agreement (Resolution 2020-45). This action allows ▇▇▇▇ to defease their existing facility bonds. Consistent with the schedule presented to the Board in December 2020, the parties to the Surcharge Agreement are prepared to sign all required termination documentation before the end of April 2021. Additionally, Resolution 2020-45 approved the transfer of any fund balance remaining in the Surcharge Agreement's reserve account to a Dedicated Account. The current Fund balance is $23.7 million; the estimated settlement amount to defease MDTA's bonds is $18.0 million. The Fund balance of $5.7 million is available to be placed into a new Dedicated Account, which is the subject of a new parking fund agreement (Parking Fund Agreement) between Metro and Prince George's County. The County and Metro have negotiated a Parking Fund Agreement that sets forth the approved uses of such funds. Staff seeks Board approval of the Parking Fund Agreement between Metro and the County that will govern the use of approximately $5.7 million for parking and/or station access improvements in Prince George's County.

Background and History. Surcharge parking fees collected by Metro are deposited in a reserve account and used to repay ▇▇▇▇ debt service. The surcharge fees were imposed on Metro's parking facilities within Prince George's County. Therefore, with the decision to pay off (i.e., defease) MDTA's bonds, the County and Metro wish to use any remaining reserve account fund balance on required parking pedestrian, bicycle, and other station access improvements at Metrorail stations in Prince George's County. The funds could also be used to establish a new Dedicated Account that supports a new parking fund agreement between the County and Metro. In December 2020, the Board approved defeasing the ▇▇▇▇ bonds and terminating the Surcharge Agreement (Resolution 2020-45). This action allows ▇▇▇▇ MOTA to defease their existing facility bonds. Consistent with the schedule presented to the Board in December 2020, the parties to the Surcharge Agreement are prepared to sign all required termination documentation before the end of April 2021. Additionally, Resolution 2020-45 approved the transfer of any fund balance remaining in the Surcharge Agreement's reserve account to a Dedicated Account. The current Fund balance is $23.7 million; the estimated settlement amount to defease MDTA's bonds is $18.0 million. The Fund balance of $5.7 million is available to be placed into a new Dedicated Account, which is the subject of a new parking fund agreement (Parking Fund Agreement) between Metro and Prince George's County. The County and Metro have negotiated a Parking Fund Agreement that sets forth the approved uses of such funds. Staff seeks Board approval of the Parking Fund Agreement between Metro and the County that will govern the use of approximately $5.7 million for parking and/or station access improvements in Prince George's County.