HomeMy WebLinkAboutReso 95-194 - Declaration of Offical Intent of the City Council of the COR to incur taxable or Tax-Exempt indebtedness in order to reimburse Civic Center Project Expenditures ' ` ,.� .. . • •
t
`
RESOLUTION NO. �����
DECLARATION OF OFFICIAL INTENT OF THE CITY
COUNCIL OF THE CITY OF REDDING TO INCUR TAXABLE
OR TAX-EXEMPT INDEBTEDNESS IN ORDER TO
REIMBURSE CIVIC CENTER PROJECT EXPENDITURES.
WHEREAS, the City Council of the City of Redding (the "City") is a duly
constituted and existing municipal corporation of the State of California;
WHEREAS, the City intends to construct, equip, and improve certain facilities
consisting of the real and personal property more fully described as the Civic Center Project,
located in Shasta County, California (the "Project");
WHEREAS, the City expects to pay certain capital expenditures in connection
with the acquisition, construction, and development of the Project prior to the issuance of taxable
or ta�c-exempt indebtedness to finance such expenditures;
WHEREAS, the City is authorized by the law of the State of California to incur
or issue debt obligations or to enter into installment sale agreements (including indebtedness and
securities of any kind of class, the interest to be paid on which is either taxable or tax-exempt);
WHEREAS, the City intends to undertake an installment sale transaction with a
third party to be identified (the "Third Party") to issue taxable or tax-exempt obligations of the
City (the "Obligations") for the purpose of financing on a long-term basis the costs of the
Project;
WHEREAS, pursuant to the requirements of Section 1.103-1? i�f the Treasury
Regulations, the City must, among other things, express a reasonable official intent to reimburse
prior expenditures for the Project with proceeds of a ta�cable or tau-exempt borrowing; and
WHEREAS, the City wishes to declare its official intent to use proceeds of
taxable or tax-exempt Obligations in order to reimburse Project expenditures and to finance such
Project costs on a long-term basis with the proceeds of such Obligations;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Redding as follows: �
Section 1. The City Council of the City of Redding finds and determines that the �
foregoing recitals are true and correct. (�
1
�
�
. �
. • �
Section 2. This Resolution is adopted by the City Council of the City of Redding
solely for purposes of establishing compliance with the requirements of Section 1.103-17 of the
Treasury Regulations. Terms used herein, unless otherwise defined, shall have the meanings
set forth in the Internal Revenue Code of 1986 (the "Code") aild in Section 1.103-17 of the
Treasury Regulations. This Resolution does not bind the City to make any expenditures, incur
any indebtedness, or proceed with the Project.
Section 3. The City Council of the City of Redding expects the City will pay
certain capital expenditures in connection with the construction and/or development of the
Project prior to the City and the Third Party executing and delivering the Obligations for the
Project. The reimbursement of such Project expenditures is consistent with the City's previously
established budgetary and financial circumstances. As of the date hereof, the City Council of
the City of Redding reasonably expects that such Project expenditures shall be paid from the
lawfully available funds of the City's General Fund-Capital Projects Division and short-term
fund transfers. The City Council of the City of Redding does not expect that moneys in the
City's General Fund-Capital Projects Division fund and short-term fund transfers temporarily
used to pay such Project expenditures will be needed for purposes for which the City's General
Fund-Capital Projects Division funds are otherwise intended to be used prior to the anticipated
date of execution and delivery of the Obligations for the Project. Other than proceeds of the
Obligations to be issued for the Project and General Fund-Capital Projects Division fund, there
are no funds or sources or moneys which have been, or reasonably are expected to be, allocated,
reserved, or otherwise made available on a long-term basis pursuant to the City's budget to pay
costs of the Project.
Section 4. Project expenditures to be reimbursed shall not have been paid from
proceeds of any tax-exempt indebtedness.
Section 5. The City Council of the City of Redding hereby declares the City's
official intent to use proceeds of taxable or tax-exempt indebtedness to reimburse itself for future
Project expenditures. The City Council of the City of Redding reasonably expects that such
indebtedness will be secured by and payable from the General Fund-Capital Projects funds of
the City.
Section 6. This Resolution shall be continuously available for inspection by the
general public during the normal business hours at the offices of the City located at 760
Parkview Avenue, Redding, California, commencing on the date which is ten (10) days after the
adoption of this Resolution.
Section 7. This Resolution shall take effect immediately upon its adoption.
. _
, • •
4 ' � •
I HEREBY CERTIFY that the foregoing Resolution was introduced, read, and adopted
at a regular meeting of the City Council on the �5tn day of Au�ust , 1995, by the following
vote:
AYFS: COUNCIL MEMBERS: P. Anderson, R. Anderson, McGeorge, Murray and Kehoe
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: None
ABSTAIN: COUNCIL MEMBERS: None
l�`/
AVID A. HOE, Ma r
ATTES�f a FORM ROVED:
' � 1/��,^�',/ :�G" c�
�t� ,
CONNIE S aHMAYE City Clerk . EONARD W ATE, City Attorney