Loading...
Item 4FCITY OF SOUTHLAKI Item 4F MEMORANDUM March 12, 2014 To: Shana Yelverton, City Manager From: Sharen Jackson, Chief Financial Officer Subject: Resolution No. 15-021, Authorizing a Notice of Intent to issue Certificates of Obligation Action Requested: Approval of Resolution No. 15-021 as initial step to issue certificates of obligation for capital improvement projects. Background Information: Approval of this resolution is the first step in issuing certificates of obligation. Once this Resolution is approved, the City may issue less than that amount, but cannot exceed it. The approval of the resolution does the following: • Establishes the maximum amount ($3,525,000) of the certificates the city can issue; • Authorizes the publication of a notice in the newspaper of the City's intent to issue certificates of obligation The certificates are issued and approved by the adoption of an ordinance; approval is scheduled for May 51". The City would receive funding early June. The proceeds from the bonds will be used for the construction of Water and Sewer capital improvement projects in accordance with the capital improvement plan approved on September 16, 2014. Financial Considerations: The debt will be repaid through the City's utility fund. All other projects included in the approved capital improvement plan will be cash funded. Strategic Link: C1 Achieve the highest standards of safety and security; F2 Invest to provide and maintain high quality public assets. Citizen Input/ Board Review: The Resolution is the first step in issuing certificates of obligation. Citizen input is not a requirement of the Resolution; however, the Public Hearing is scheduled for May 5, 2015 with the Ordinance. Honorable Mayor and City Council Page 2 of 2 Legal Review: The law firm Fulbright and Jaworski serves as the City's bond counsel, and as such has prepared the Resolution. Alternatives: In the absence of issuing the certificates, capital projects would be funded on a pay-as-you-go basis. Budgets and the timing of projects would be prioritized based on the amount of revenue projected by fiscal year. Supporting Documents: Resolution No. 15-021 Staff Recommendation: Approval of Resolution No.15-021 RESOLUTION NO. 15- 0?1 A RESOLUTION approving and authorizing publication of notice of intention to issue certificates of obligation. WHEREAS, the City Council of the City of Southlake, Texas (the "City"), has determined that certificates of obligation should be issued under and pursuant to the provisions of Texas Local Government Code, Subchapter C of Chapter 271, as amended (the "Act"), for the purpose of paying contractual obligations to be incurred for (i) the construction of public works, to wit: (a) improvements and extensions to the City's combined Waterworks and Sewer System, including the purchase of land, rights -of -way, and equipment therefor and (b) improvements to the City's municipal service center and (ii) professional services rendered in relation to such projects and the financing thereof; and WHEREAS, prior to the issuance of such certificates, the City Council is required to publish notice of its intention to issue the same in accordance with the provisions of the Act; now, therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SOUTHLAKE, TEXAS: SECTION 1: The City Secretary is hereby authorized and directed to cause notice to be published of the City Council's intention to issue certificates of obligation during a meeting scheduled to begin at 6:00 P.M. on the 51" day of May, 2015, which certificates of obligation shall be issued in one or more series, in a principal amount not to exceed $3,525,000 for the purpose of paying contractual obligations to be incurred for (i) the construction of public works, to wit: (a) improvements and extensions to the City's combined Waterworks and Sewer System, including the purchase of land, rights -of -way, and equipment therefor and (b) improvements to the City's municipal service center and (ii) professional services rendered in relation to such projects and the financing thereof, and shall be payable from ad valorem taxes and a limited pledge of the net revenues of the City's combined Waterworks and Sewer System. The notice hereby approved and authorized to be published shall read substantially in the form and content of Exhibit A hereto attached and incorporated herein by reference as a part of this resolution for all purposes. SECTION 2: The City Secretary shall cause the aforesaid notice to be published in a newspaper of general circulation in the City, once a week for two consecutive weeks, the date of the first publication to be at least thirty-one (31) days prior to the date stated therein for the passage of the ordinance authorizing the issuance of the certificates of obligation. SECTION 3: It is officially found, determined, and declared that the meeting at which this Resolution is adopted was open to the public and public notice of the time, place, and subject matter of the public business to be considered at such meeting, including this Resolution, was given, all as required by Texas Government Code, Chapter 551, as amended. 60520183.2/10510713 SECTION 4: This Resolution shall be in force and effect from and after its passage on the date shown below. PASSED AND ADOPTED, this March 17, 2015. CITY OF SOUTHLAKE, TEXAS Mayor ATTEST: City Secretary (City Seal) 60520183.2/10510713 2 EXHIBIT A NOTICE OF INTENTION TO ISSUE CITY OF SOUTHLAKE, TEXAS, CERTIFICATES OF OBLIGATION TAKE NOTICE that the City Council of the City of Southlake, Texas, shall convene at 6:00 P.M. on the 5t" day of May, 2015, at the City Hall, 1400 Main Street, Southlake, Texas, and, during such meeting, the City Council will consider the passage of one or more ordinances authorizing the issuance of certificates of obligation, in one or more series, in an amount not to exceed $3,525,000 for the purpose of paying contractual obligations to be incurred for (i) the construction of public works, to wit: (a) improvements and extensions to the City's combined Waterworks and Sewer System, including the purchase of land, rights -of -way, and equipment therefor and (b) improvements to the City's municipal service center and (ii) professional services rendered in relation to such projects and the financing thereof; such certificates to be payable from ad valorem taxes and a limited pledge of the net revenues of the City's combined Waterworks and Sewer System. The certificates are to be issued, and this notice is given, under and pursuant to the provisions of Texas Local Government Code, Subchapter C of Chapter 271, as amended. Lori Payne City Secretary City of Southlake, Texas 60520183.2/10510713