Butler Snow served as Bond Counsel and Disclosure Counsel in
connection with the issuance of $20,000,000 Mississippi Development
Bank Special Obligation Bonds, Series 2017 (Meridian, Mississippi
Arts & Entertainment Center General Obligation Bond Project) on
behalf of the City of Meridian, Mississippi (the "City").
The bond proceeds will fund a portion of the new $50,000,000
Mississippi Arts & Entertainment Experience museum (the
"MAEX"). This project is among Butler Snow's growing
list of projects around the country utilizing public-private
partnerships. The MAEX will be owned by the State of Mississippi
(the "State") and operated by a private non-profit
corporation organized as a 501(c)(3) to plan, build, operate and
maintain the MAEX and to seek and obtain private donations and
grants. The State also authorized $29,000,000 to support the MAEX
and its proceeds will be used to construct, furnish and equip the
MAEX as well.
The MAEX will see 150,000 visitors a year and will be located in
the heart of downtown Meridian at the intersection of
22nd Avenue and 2nd Street near the
City's historic Union Station train depot. The MAEX will be an
educational, entertainment and interactive state-of-the-art
facility which will include exhibits organized around five themes
– the land, the home, the community, the church and the
people. The MAEX will have a two story State-sanctioned Hall of
Fame rotunda. In this 360-degree exhibit, world-famous musicians,
actors, media personalities, visual artists, authors and
entertainment legends with Mississippi roots will come to life
through interactive touch screens. The MAEX will also have a
Hollywood-style Walk of Fame, auditorium, outdoor performance
plaza, and broadcast/recording facility. The MAEX will be
approximately 60,000 square feet. Construction of the MAEX began in
2016 and is expected to be complete in early 2018. The MAEX will be
in walking distance to Meridian's historic 16-story Threefoot
Building which is being proposed as a 120 room Courtyard by
The financing structure involved a cooperation agreement between
the City, non-profit corporation and the State, pursuant to which
the City and non-profit corporation agreed to create a reserve and
contingency fund along with a fund to operate the MAEX, a fund to
provide for capital improvements and other expenditures using a
special tax, authorized by a voter referendum on August 16, 2016 in
the City, equal to two percent (2%) of the gross proceeds of the
sales from prepared food and beverages from every person, firm,
corporation or other entity operating a restaurant in the City. The
non-profit corporation and the State also entered into a
Construction, Operation and Administration Agreement allowing the
non-profit corporation to construct, operate and administer the
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Lawyers are often asked to serve on Boards of nonprofit corporations and if they do so, they will often be asked by other directors about the potential individual liability of a director for actions of the nonprofit, for actions of the director and for actions of other directors. - See more at: http://www.wcsr.com/Insights/Articles/2017/March/Liability-for-Directors-of-Nonprofit-Corporations#sthash.fomRRxiJ.dpuf
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