HomeMy WebLinkAboutRES 2024-005RESOLUTION NO. 2024-005
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS, AUTHORIZING PUBLICATION OF
NOTICE OF INTENTION TO ISSUE CERTIFICATES OF
OBLIGATION; APPROVING THE PREPARATION OF A
PRELIMINARY OFFICIAL STATEMENT AND A NOTICE OF
SALE; AND PROVIDING FOR THE EFFECTIVE DATE
THEREOF
WHEREAS, the City Council (the "City Council") of the City of Grapevine, Texas
(the "City"), deems it advisable to issue certificates of obligation (the "Certificates") of the
City in accordance with the notice hereinafter set forth; and
WHEREAS, the City desires to approve the preparation of a preliminary official
statement (the "Preliminary Official Statement") and the preparation of a notice of sale
("Notice of Sale"), if any, in anticipation of its issuance of the Certificates; and
WHEREAS, the City Council has found and determined that a notice of intention
to issue certificates of obligation should be published in accordance with the requirements
of applicable law; and
WHEREAS, it is hereby found and determined that the meeting at which this
resolution is considered is open to the public as required by law, and public notice of the
time, place and purpose of said meeting was given as required by Chapter 551, Texas
Government Code; and
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF GRAPEVINE, TEXAS:
Section 1. The findings, definitions and recitations set out in the preamble to
this resolution are found to be true and correct and are hereby adopted by City Council
and made a part hereof for all purposes.
Section 2. The City Secretary is hereby authorized and directed to cause to be
published in the manner required by law and in substantially the form attached hereto as
Exhibit "A", a notice of the City's intention to issue the Certificates (the "Notice").
Section 3. The Notice shall be published once a week for two (2) consecutive
weeks in a newspaper which is of general circulation in the City, the date of the first
publication to be at least forty-six (46) days before the date tentatively set in the Notice
for the passage of the ordinance authorizing the issuance of the Certificates. In addition,
the Notice shall be posted continuously on the City's website for at least forty-five (45)
days before the date tentatively set in the Notice for the passage of the ordinance
authorizing the issuance of the Certificates.
Section 4. The Mayor, City Manager, Chief Financial Officer, City Secretary and
other appropriate officials of the City, the City's financial advisor, Hilltop Securities Inc.,
and bond counsel, Bracewell LLP, are authorized and directed to proceed with the
preparation of the Preliminary Official Statement and the Notice of Sale, if any, and to
make other necessary arrangements for the sale of the Certificates at a future meeting of
the City Council of the City.
Section 5. The City hereby authorizes the preparation and distribution of a
Notice of Sale and Preliminary Official Statement relating to the Certificates and
authorizes the Chief Financial Officer or City Manager to approve the final form of and
deem final such Preliminary Official Statement within the meaning and for the purposes
of paragraph (b)(1) of Rule 15c2-12 of the United States Securities and Exchange
Commission.
Section 6. The Mayor, City Manager, the Chief Financial Officer, 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.
Section 7. This resolution shall take effect immediately from and after its
passage by the City Council of the City.
INTRODUCED, READ AND PASSED by the affirmative vote of the City Council of
the City of Grapevine, Texas this 16th day of April, 2024.
APPROVED:
William D. Tate
Mayor
ATTEST:® r
@ 6
f
Tara Brooks
. co
City Secretary
APPROVED AS TO FORM:
n..
Matthew C.G. Boyle
City Attorney
Resolution No. 2024-005 2
EXHIBIT A
NOTICE OF INTENTION TO ISSUE CERTIFICATES OF OBLIGATION
NOTICE IS HEREBY GIVEN that the City Council of the City of Grapevine, Texas
(the "City"), will meet in the Council Chambers at the City Hall, 200 S. Main St., Grapevine,
Texas, the regular meeting place of the City Council, at 7:30 p.m. on the 18th day of June,
2024, which is the time and place tentatively set for the passage of an ordinance and
such other action as may be deemed necessary to authorize the issuance of the City's
certificates of obligation (the "Certificates"), in the maximum aggregate principal amount
not to exceed $36,700,000, payable from the levy of a direct and continuing ad valorem
tax against all taxable property within the City sufficient to pay the interest on this series
of Certificates as due and to provide for the payment of the principal thereof as the same
matures, as authorized by Chapter 271, Subchapter C, Texas Local Government Code,
as amended, and from all or a part of the surplus revenues of the City's waterworks and
sewer system, such pledge of surplus revenues being limited to $1,000, bearing interest
at any rate or rates not to exceed the maximum interest rate authorized by law, as shall
be determined within the discretion of the City Council of the City at the time of issuance
of the Certificates, and maturing over a period not to exceed twenty-five (25) years from
the date of issuance, for the purposes of evidencing the indebtedness of the City for all
or any part of the costs associated with the (i) designing, developing, constructing,
renovating, improving and equipping the City's water and wastewater system and
facilities; (ii) designing, developing, constructing, renovating, improving and equipping the
City's existing Municipal Services Center; (iii) designing, developing, constructing and
improving drainage and flood control projects; and (iv) professional services incurred in
connection with items (i) through (iii), and to pay the costs incurred in connection with the
issuance of the Certificates. The estimated combined principal and interest required to
pay the Certificates on time and in full is $54,615,569. Such estimate is provided for
illustrative purposes only, and is based on an assumed interest rate of 4.25%. Market
conditions affecting interest rates vary based on a number of factors beyond the control
of the City, and the City cannot and does not guarantee a particular interest rate
associated with the Certificates. As of the date of this notice, the aggregate principal
amount outstanding of tax -supported debt obligations of the City is $130,425,000, and
based on the City's expectations, as of the date of this notice the combined principal and
interest required to pay all of the outstanding tax -supported debt obligations of the City
on time and in full is $156,122,877.
WITNESS MY HAND AND THE OFFICIAL SEAL OF THE CITY, this 16th day of
April, 2024.
/s/Tara Brooks, City Secretary
City of Grapevine, Texas
Resolution No. 2024-005