HomeMy WebLinkAboutRES 1994-058 ��
RESOLUTION NO. 94-58
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A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS DECLARING OFFICIAL INTENT TO
REIMBURSE CERTAIN EXPENDITURES MADE PRIOR TO
THE ISSUANCE OF TAX-EXEMPT OBLIGATIONS;
DESCRIBING THE PROJECTS FOR WHICH THE
EXPENDITURES TO BE REIMBURSED ARE PAID; AND
PROVIDING AN EFFECTIVE DATE
WHEREAS, the City of Grapevine Ithe "Issuer"), anticipates the issuance of one
or more series or issues of obligations (the "Obligations"1, the interest on which will
be excludable from gross income under Section 103 of the Internal Revenue Code of
1986, as amended, in order to finance all or a portion of the properties, projects or
programs described below (the Projects");
WHEREAS, certain expenditures relating to the Projects will be paid prior to the
issuance of the Obligations;
WHEREAS, the Issuer hereby certifies that such expenditures have not been
`� `� made prior to the date of passage of this Resolution;
�- � WHEREAS, upon issuance of the Obligations, the Issuer desires to reimburse
these prior expenditures with proceeds of the Obligations;
WHEREAS, Section 1 .150-2 of the Income Tax Regulations provides that an
expenditure on the Projects may not be reimbursed from Obligation proceeds unless,
along with other requirements, the Issuer declares official intent to reimburse the
expenditure prior to the date that the expenditure to be reimbursed was paid; and
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS:
Section 1 . The findings, determination and certifications contained in the
preambles hereof are incorporated herein for all purposes.
Section 2. This Resolution is a declaration of official intent under Section
1 .150.2 of the Income Tax Regulations by the Issuer that it reasonably expects to
„�„ reimburse the expenditures described in Section 3 with proceeds of debt to be
incurred by the Issuer, such debt to be issued on or before eighteen (18) months after
the later of (i) the date the first expenditure is paid; or (ii) the date on which the
property is placed in service, but in no event three years after the first expenditure is
paid.
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Section 3. The following is a general function description of the Projects for
which the expenditures to be reimbursed are paid and a statement of the maximum
principal amount of debt expected to be issued for the purpose of paying the costs
of the Projects.
Project Description Debt To Be Issued
City Hall 53,500,000
Recreation Center 55,065,000
Swimming Pool $1 ,560,000
Section 4. Each of the expenditures described in Section 3 is a capital
expenditure under general Federal income tax principles or a cost of issuance.
Section 5. Except for proceeds of the Obligations, no funds are, or are
reasonably expected to be, reserved, allocated on a long-term basis, or otherwise set
aside by the Issuer or by any member of the same controlled group to pay for the
expenditures described in Section 3.
Section 6. That this resolution shall become effective from and after the date
of its passage.
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PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF
�-� GRAPEVINE, TEXAS on this the 20th day of December , 1994.
APPROVED:
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William D. Tate
Mayor
ATTEST:
Lind Huff
City Secretary
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RES. NO. 94-58 2
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APPROVED AS TO FORM:
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John F. Boyle, Jr.
City Attorney
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