HomeMy WebLinkAboutPR 23818: TAX AND REVENUE CERTIFICATES OF OBLIGATION CERTIFICATE FOR RESOLUTION
THE STATE OF TEXAS §
COUNT OF JEFFERSON §
I, the undersigned City Secretary of the City of Port Arthur, Texas (the "City"), hereby certify as
follows:
1. The City Council of the City convened in regular meeting on July 16,2024,at the place stated
in the notice of such meeting given as stated below,and the roll was called of the duly constituted official and
members of said City Council,to wit:
Thurman Bartle Mayor
Willie Bae Lewis,Jr. Councilmember,District 1
Tiffany Hamilton Everfield Councilmember,District 2
Doneane Beckcom Councilmember,District 3—Mayor Pro Tem
Harold Doucet, Sr. Councilmember,District 4
Thomas Kinlaw,III Councilmember,At Large Position 5
Donald Frank, Sr. Councilmember,At Large Position 6
and all of said persons were present, except , thus constituting a quorum. Whereupon,
among other business,the following was transacted at said meeting: a written
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PORT ARTHUR,
TEXAS, AUTHORIZING THE PUBLICATION OF THE NOTICE OF INTENTION
TO ISSUE CITY OF PORT ARTHUR, TEXAS COMBINATION TAX AND
REVENUE CERTIFICATES OF OBLIGATION IN A PRINCIPAL AMOUNT NOT
TO EXCEED $19,675,000 FOR THE CONSTRUCTION OF PUBLIC WORKS AND
ANY ITEMS RELATED THERETO AND FOR THE PAYMENT OF
CONTRACTUAL OBLIGATIONS FOR PROFESSIONAL SERVICES;
AUTHORIZING THE DISTRIBUTION OF A PRELIMINARY OFFICIAL
STATEMENT RELATING TO SUCH CERTIFICATES; AND CONTAINING
OTHER PROVISIONS RELATING THERETO.
Was duly introduced for the consideration of said City Council and read in full. It was then duly moved and
seconded that said Resolution be adopted;and,after due discussion„said motion,carrying with it the adoption
of said Resolution,prevailed and carried by the following vote:
AYES: voted"aye"
NOES: voted"No"
ABSTENTIONS:
2. That a true, full, and correct copy of the aforesaid ordinance adopted at the meeting
described in the above and foregoing paragraph is attached to and follows this certificate; that said
ordinance has been duly recorded in said City Council's minutes of said meeting; that the above and
foregoing paragraph is a true, full, and correct excerpt from the said City Council's minutes of said
meeting pertaining to the adoption of said ordinance; that the persons named in the above and foregoing
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paragraph are the duly chosen,qualified,and acting officers and members of said City Council as indicated
therein; that each of the officers and members of said City Council was duly and sufficiently notified
officially and personally, in advance, of the date, hour, place, and purpose of the aforesaid meeting, and
each of said officers and members consented,in advance,to the holding of said meeting for such purpose;
that said meeting was open to the public as required by law; and that public notice of the date,hour,place
and subject of said meeting was given as required by the Texas Open Meetings Act.
SIGNED AND SEALED this , 2024.
City Secretary
City of Port Arthur,Texas
(SEAL)
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IT
P.R. No. 23818
7/09/2024 DM/LB
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PORT
ARTHUR, TEXAS, AUTHORIZING THE PUBLICATION OF THE NOTICE
OF INTENTION TO ISSUE CITY OF PORT ARTHUR, TEXAS
COMBINATION TAX AND REVENUE CERTIFICATES OF OBLIGATION
IN A PRINCIPAL AMOUNT NOT TO EXCEED $19,675,000 FOR THE
CONSTRUCTION OF PUBLIC WORKS AND ANY ITEMS RELATED
THERETO AND FOR THE PAYMENT OF CONTRACTUAL OBLIGATIONS
FOR PROFESSIONAL SERVICES; AUTHORIZING THE DISTRIBUTION
OF A PRELIMINARY OFFICIAL STATEMENT RELATING TO SUCH
CERTIFICATES; AND CONTAINING OTHER PROVISIONS RELATING
THERETO.
WHEREAS, the City Council (the "City Council") of the City of Port Arthur, Texas (the
"City"), is authorized to issue certificates of obligation to pay contractual obligations to be incurred
for the construction of public works, any items related thereto, and for the payment of contractual
obligations for professional services pursuant to Subchapter C of Chapter 271, Texas Local
Government Code, as amended; and
WHEREAS, the City Council has determined that it is in the best interest of the City and
otherwise desirable to issue certificates of obligation in a principal amount not to exceed$19,675,000
(the "Certificates of Obligation") for the construction and renovation of public works, more
specifically, (1) the construction or reconstruction of City streets, sidewalks and other street and
sidewalk related improvements, (2) the construction of a City fire house, (3) the renovation and
equipping of City administrative buildings, and (4) the building, renovation and equipping of City
parks and recreation facilities and items related thereto; and
WHEREAS, prior to the issuance of the Certificates of Obligation, the City is required to
publish notice of its intention to issue the Certificates of Obligation(the"Notice")in a newspaper of
general circulation in the City stating(i) the time and place the City Council tentatively proposes to
pass the ordinance(s) authorizing the issuance of the Certificates of Obligation; (ii) the purpose for
which the Certificates of Obligation are to be issued; (iii) the manner in which the City Council
proposes to pay for the Certificates of Obligation; (iv) the then-current principal of all outstanding
debt obligations of the City; (v) the then-current combined principal and interest required to pay all
outstanding debt obligations of the City on time and in full, which may be based on the City's
expectations relative to the interest due on any variable rate debt obligations; (vi) the maximum
principal amount of Certificates of Obligation proposed to be authorized;(vii)the estimated combined
principal and interest required to pay the Certificates of Obligation to be authorized on time and in
full; (viii) the estimated interest rate for the certificates to be authorized or that the maximum interest
rate for the Certificates of Obligation may not exceed the maximum legal interest rate; and (ix) the
maximum maturity date of the Certificates of Obligation to be authorized; and
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WHEREAS, for purposes of providing for the sale of the Certificates of Obligation, the City
Council intends to authorize the preparation of a Preliminary Official Statement (the "Preliminary
Official Statement")to be used in the public offering of the Certificates of Obligation; and
WHEREAS, the City Council has been presented with and has examined the proposed form
of the Notice and finds that the form and substance thereof are satisfactory, and that the recitals and
findings contained therein are true, correct and complete; now therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR, TEXAS,
THAT:
Section 1. The facts and recitations contained in the preamble of this Resolution are hereby
found and declared to be true and correct.
Section 2. Attached hereto and marked "Exhibit A" is a copy of the Notice, the form and
substance of which are hereby adopted and approved.
Section 3. The Mayor or the City Secretary shall cause the Notice to be published, in
substantially the form attached hereto, (i) in a newspaper, as described in Section 2051.044, Texas
Government Code, of general circulation in the City for two consecutive weeks with the date of first
publication to be before the 45th day before the date tentatively set for the passage of the ordinance
authorizing the issuance of the Certificates of Obligation; and(ii) continuously on the City's website
for at least 45 days before the date tentatively set for the passage of the ordinance authorizing the
issuance of the Certificates of Obligation.
Section 4. The City Council hereby approves the preparation and distribution by the City's
financial advisor to prospective purchasers of the Certificates of Obligation of the Preliminary
Official Statement, as the same may be completed, modified, or supplemented with the approval of
the Mayor or other authorized officers and agents of the City.
Section 5. The Mayor, City Secretary and other officers and agents of the City are hereby
authorized and directed to do any and all things necessary or desirable to carry out the provisions of
this Resolution.
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Section 6. The following is a list of the outstanding self-supporting debt obligations of the
City, which is allocated to Port Arthur Economic Development Corporation and the City's Water
Works and Sewer System:
Bond Issue Self-Supporting Amount
$9,120,000 City of Port Arthur General Obligation Refunding $801,659
Bonds, Series 2019 (EDC portion)
$56,310,000 City of Port Arthur Certificates of Obligation, Series $55,755,000
2020B (Water)
$28,080,000 Combination Tax and Revenue Certificates of $7,625,000
Obligation, Series 2021 (Water portion)
$24,475,000 Combination Tax and Revenue Certificates of $4,060,000
Obligation, Series 2023
Total $68,241,659
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READ,ADOPTED AND APPROVED on this day of July A.D., 2024, at a Meeting
of the City Council of the City of Port Arthur, by the following vote: AYES:
Mayor:
Councilmembers:
NOES:
Thurman Bill Bartie, Mayor
ATTEST:
Sherri Bellard,City Secretary
APPROVED AS TO FORM:
J s M. Black, Interim City Attorney
APPROVED F l ' INISTRATION:
Ronald Burton,' ,1''ity Manager
-7 9.i i`C a&1.40"
Lynda Boswell, Director of Finatice
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NOTICE OF INTENTION TO ISSUE CERTIFICATES OF OBLIGATION
NOTICE IS HEREBY GIVEN that the City Council of the City of Port Arthur,Texas(the"City")will meet in
person at 9:30 a.m.on September 10,2024,which is the time and place tentatively set for the passage of one or more an
ordinances and such other action as may be deemed necessary to authorize the issuance of the City's certificates of
obligation,payable from ad valorem taxation and a limited(in an amount not to exceed$10,000)subordinate pledge of
certain revenues of the waterworks and sewer system of the City, in the maximum aggregate principal amount not to
exceed$19,675,000 for the purpose of evidencing the indebtedness of the City to pay all or any part of the contractual
obligations to be incurred for the purpose of the construction and renovation of public works,more specifically, (1)the
construction or reconstruction of City streets, sidewalks and other street and sidewalk related improvements, (2) the
construction of a City fire house,(3)the renovation and equipping of City administrative buildings,and(4)the building,
renovation and equipping of City parks and recreation facilities and items related thereto;and
The City proposes to provide for the payment of such certificates of obligation from the levy and collection of
ad valorem taxes in the City as provided by law and from a pledge of limited surplus revenues of the City's waterworks
and sewer system, remaining after payment of all operation and maintenance expenses thereof, and all debt service,
reserve,and other requirements in connection with all of the City's revenue bonds or other obligations(now or hereafter
outstanding),which are payable from all or any part of the net revenues of the City's waterworks and sewer system. The
certificates of obligation 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("Chapter 271").
The resolution designating certain outstanding debt obligations of the City as self-supporting for purposes of
Chapter 271 is available upon request to the City at the address noted above. The information included is based on all
debt outstanding and includes self-supporting debt.
Pursuant to Chapter 271,notice is further given of the following information:
Current principal of all outstanding debt obligations of the $53,203,294
issuer
Current combined principal and interest required to pay $73,872,690
all outstanding debt obligations of the issuer on time and
in full, which may be based on the issuer's expectations
relative to the interest due on any variable rate debt
obligations
Maximum principal amount of the Certificates to be $19,675,000
authorized
Estimated combined principal and interest required to pay $32,202,304
the Certificates to be authorized on time and in full
Estimated interest rate for the Certificates to be authorized 5.50%
of that the maximum interest rate for the certificates may
not exceed the maximum legal interest rate
Maximum maturity date of the Certificates to be August 15,2054
authorized
The resolution designating certain outstanding debt obligations of the City as self-supporting for
purposes of Chapter 271 is available upon request to the City at the address noted above. The information included is
based on all debt outstanding and includes self-supporting debt.
WITNESS MY HAND AND THE OFFICIAL SEAL OF THE CITY,this day of
2024.
Sherri Bellard,City Secretary
City of Port Arthur,Texas
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