Broward County Commission Regular Meeting
Director's Name: Stephen Farmer (Acting Director)
Department: Finance and Administrative Services Division: Choose a Division.
Information
Requested Action
title
MOTION TO ADOPT Resolution, the title of which is as follows:
A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF BROWARD COUNTY, FLORIDA, APPROVING, SOLELY FOR THE LIMITED PURPOSES OF SECTION 147(F) OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED, THE ISSUANCE BY THE CAPITAL TRUST AUTHORITY OF ITS REVENUE BONDS, IN ONE OR MORE SERIES OF TAX-EXEMPT QUALIFIED 501(C)(3) BONDS OR TAXABLE BONDS, SENIOR AND SUBORDINATE, PURSUANT TO A PLAN OF FINANCE, AS SET FORTH HEREIN, FOR THE PURPOSE OF FINANCING OR REFINANCING THE FACILITIES HEREIN DESCRIBED; AND PROVIDING AN EFFECTIVE DATE.
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Why Action is Necessary
Formal approval by the Broward County Board of County Commissioners (“Commission”) is necessary for the adoption of a Resolution.
What Action Accomplishes
Enables the adoption of the Resolution.
Goal Related Icon(s)
N/A County Commission
N/A Go Green
N/A MAP Broward
Previous Action Taken
None.
Summary Explanation/Background
THE FINANCE AND ADMINISTRATIVE SERVICES DEPARTMENT RECOMMENDS APPROVAL OF THE ABOVE MOTION.
By letter dated July 30, 2026, attached as Exhibit 1, the Capital Trust Authority (“CTA”) requested that the Board adopt a resolution approving, solely for purposes of Section 147(f) of the Internal Revenue Code of 1986, as amended (the “Code”), CTA’s proposed issuance of revenue bonds in an aggregate principal amount not to exceed $210,000,000. CTA proposes to issue the bonds to loan the proceeds to MUNIficent USR, LLC, and certain related entities whose sole direct or indirect member is MUNIficent Foundation, a nonprofit organization described in Section 501(c)(3) of the Code.
The bond proceeds would be used to finance or refinance, including through reimbursement, the acquisition, construction, expansion, rehabilitation, renovation, improvement, and equipping of six substance use disorder treatment, behavioral health treatment, and sober living facilities, as well as related reserves, capitalized interest, working capital expenditures, and costs of issuance.
Three of the facilities are located within Broward County:
Ignite Recovery Center, an approximately 6,903-square-foot outpatient mental health treatment facility located at 4850 West Oakland Park Boulevard, Suite 257, Lauderdale Lakes, with a maximum expected bond allocation of $28,765,000;
Ignite Sober Living - Fort Lauderdale, an approximately 6,000-square-foot, 10-bed sober living facility located at 1501-1503 Northeast 12th Street, Fort Lauderdale, with a maximum expected bond allocation of $12,000,000; and
Ignite Sober Living - Oakland Park, an approximately 7,340-square-foot, 22-bed sober living facility located at 1286 Northeast 30th Street, Oakland Park, with a maximum expected bond allocation of $12,000,000.
The remaining three facilities are located in the City of Port St. Lucie, Florida. Although the aggregate principal amount of the proposed bonds may not exceed $210,000,000, no more than $52,765,000 of the bond proceeds will be allocated to the facilities located within Broward County.
Section 147(f) of the Code requires that tax-exempt private activity bonds be approved by the applicable elected representative of the governmental unit having jurisdiction over the area in which the financed facilities are located, following a public hearing held after reasonable public notice. Notice of the public hearing was published in the Sun-Sentinel on July 29, 2026, and CTA conducted the public hearing on behalf of the County on August 5, 2026.
The proposed Resolution, attached as Exhibit 2, accepts the service of CTA’s hearing officer and the hearing officer’s report and provides the limited approval required under Section 147(f) of the Code.
The County will not issue the bonds and will have no obligation, financial or otherwise, to repay the bonds or finance the project. The bonds will be limited obligations of CTA, payable solely from amounts received from the borrower and the security pledged by the borrower. The Board’s approval will not constitute an endorsement of the borrower’s creditworthiness or the project’s financial viability and will not constitute zoning, land use, permitting, or other regulatory approval of any facility.
Source of Additional Information
Stephen Farmer, Deputy Chief Financial Officer, 954-357-7246
Fiscal Impact
Fiscal Impact/Cost Summary
There is no fiscal impact.