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HomeMy WebLinkAboutPR 19434: FUTURE TAX-EXEMPT OBLIGATIONS P.R. No. 19434 06/24/16 jd RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PORT ARTHUR, TEXAS, EXPRESSING INTENT TO FINANCE EXPENDITURES TO BE INCURRED TOTALING $2,000,000 FROM FUTURE TAX-EXEMPT OBLIGATIONS THE STATE OF TEXAS § COUNTIES OF JEFFERSON AND ORANGE § CITY OF PORT ARTHUR § WHEREAS, the City of Port Arthur, Texas (the "City"), is home rule city of the State of Texas, authorized to finance its activities by issuing obligations pursuant to the Texas Government Code and Texas Local Government Code, which may include obligations the interest on which is excludable from gross income for federal income tax purposes ("tax-exempt obligations"), pursuant to Section 103 of the Internal Revenue of 1986, as amended (the "Code"), or both; and WHEREAS, the City will make payments with respect to the acquisition of the project listed on Exhibit A attached hereto (the "Financed Equipment"), although no such payments have been made prior to the date hereof; and WHEREAS, the City desires to reimburse itself for the costs associated with the Financed Equipment and Improvements listed on Exhibit A attached hereto from the proceeds of tax-exempt obligations to be issued subsequent to the date hereof; and WHEREAS, the City reasonably expects to issue tax-exempt obligations to reimburse itself for the costs associated with the Financed Equipment and Improvements listed on Exhibit A attached hereto. HOU:3698417.1 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR: Section 1. That the City hereby declares its intent to reimburse itself for all costs that will be paid subsequent to the date hereof in connection with the acquisition of the Financed Equipment and Improvements listed on Exhibit A attached hereto from the proceeds of tax-exempt obligations to be issued subsequent to the date hereof. Section 2. That the City reasonably expects that the maximum principal amount of tax-exempt obligations issued to reimburse the City for costs associated with the Financed Equipment listed on Exhibit A attached hereto will not exceed $2,000,000. READ, ADOPTED, AND APPROVED, this day of , 2016 AD, at a Regular Meeting of the City Council of the City of Port Arthur, Texas by the following vote: AYES: Mayor: Councilmembers: , NOES: . Mayor ATTEST: Sherri Bellard, City Secretary 2 HOU:3698417.1 APPROVED AS TO FORM: Valecia R. Tizeno, City Attorney APPROVED FOR ADMINISTRATION: Brian McDougal, City Manager Jerry Dale, GFOA/CPA Director of Finance 3 HOU:3698417.1 EXHIBIT A DESCRIPTION OF EQUIPMENT Item or Fund - - Described by Amount — Described by Character, Type or Purpose Cost, Quantity or Size Refuse Vehicles and Equipment $2,000,000 4 HOU:3698417.1