HomeMy WebLinkAboutPR 15366: FINANCE EXPENDITURES TO BE INCURRED PERTAINING TO BONDS AUTHORIZED BY THE VOTERS AND TO BE ISSUEDMemorandum
City of Port Arth ur, Texas
Finance Department
To: Steve Fitzgibbons, City
From: Rebecca Underhill, Ass'
Date: July 8, 2009
Subject: Resolution # 15366
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ist t ger
Proposed Resolution 15366 allows the City to reimburse general funds for purchases and contracts
that are for activities related to bond projects. The City has $8 million in bond authorization
remaining from the 2007 bond election. Included in this authorization is $1.5 million for the
renovations at the police department. This contract is expected to be awarded soon. The bond
authorization also includes $1.6 million for drainage projects. In May 2009, the City Council
authorized the purchase of a Gradall at $315,000 to be used for these drainage activities. These
bonds are expected to be issued later this year.
P. R. NO. 15366
JJA 07/08/09
RESOLUTION NO.
A RESOLUTION EXPRESSING INTENT TO FINANCE
EXPENDITURES TO BE INCURRED AS IT PERTAINS TO
BONDS AUTHORIZED BY THE VOTERS AND TO BE
ISSUED
WHEREAS, the City of Port Arthur, Texas (the "City"), is a home-rule city of the State of Texas,
authorized to issue obligations to finance its activities pursuant to the Texas Government Code and other laws
of the State of Texas, 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 Code of 1986, as amended (the
"Code"); and
WHEREAS, the City will make, or has made not more than 60 days prior to the date hereof,
payments with respect to the acquisition, construction, reconstruction or renovation of the property listed on
Exhibit A attached hereto; and
WHEREAS, the City desires to reimburse itself for the costs associated with the property listed on
Exhibit A attached hereto from the proceeds oftax-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 property listed on Exhibit A attached hereto;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR:
Section 1. The City reasonably expects to reimburse itself for all costs that have been or will be
paid subsequent to the date that is 60 days prior to the date hereof and that are to be paid in connection with
the acquisition, construction, reconstruction or renovation of the property listed on Exhibit A attached hereto
from the proceeds oftax-exempt obligations to be issued subsequent to the date hereof.
Section 2. The City reasonably expects that the maximum principal amount of tax-exempt
obligations issued to reimburse the City for costs associated with the property listed on Exhibit A attached
hereto will not exceed $1,815,000.
Section 3. All resolutions and parts of resolutions in conflict herewith are hereby repealed to the
extent of the conflict only.
Section 4. If any word, phrase, clause, sentence, paragraph, section or other part of this resolution
or the application thereof to any person or circumstance shall ever be held to be invalid or unconstitutional by
any court of competent jurisdiction, the remainder of this resolution and the application of such word, phrase,
clause, sentence, paragraph, section, or other part of this resolution to any other person or circumstance shall
not be affected thereby.
READ, ADOPTED, AND APPROVED, this 14th day of July, 2009, AD, at a Regular Meeting of
the City Council of the City of Port Arthur, Texas by the following vote:
AYES: Mayor:
Councilmembers:
NOES:
Deloris Prince, Mayor
ATTEST:
Terri Hanks, City Secretary
APPROVED AS TO FORM:
Mark Sokolo ,City Attorney (tom BEHALF pl/~
APPROVED FOR ADMINISTRATION:
ve Fitzgibbons, City Manager
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Rebecca Underhill, Assistant City Manager
Z:\Finance\Resolutions\City of Port Arthur- Reimbursement resolution (2008).DOC
EXHIBIT A
DESCRIPTION OF PROPERTY
Item or Fund--Described by
Character, Type or Purpose
Public Safety Improvements
Purchase of Grade-all
Amount--Described by
Cost, Quantity or Size
$1,500,000.00
$ 315,000.00