HomeMy WebLinkAboutRES 4B 2013-04RESOLUTION NO. 4B 2013 -04
RESOLUTION NO. 2014 -08
A CONCURRENT RESOLUTION
PROVIDING FOR THE COLLECTION, HANDLING AND TRANSFER OF
SALES TAX REVENUES DUE AND OWING TO GRAPEVINE 4B
ECONOMIC DEVELOPMENT CORPORATION
Adopted Concurrently
By the BOARD OF DIRECTORS OF THE GRAPEVINE 4B ECONOMIC
DEVELOPMENT CORPORATION BOARD (the "Corporation ")
and
By the CITY COUNCIL OF THE CITY OF GRAPEVINE, TEXAS (the "City ")
as its
WHEREAS, the Grapevine 4B Economic Development Corporation (the "Corporation ")
is a non -profit industrial development corporation, governed by Chapters 501, 502 and 505 of the
Texas Local Government Code, as amended (collectively, the "Act "); and
WHEREAS, pursuant to the authority granted in the Act, the City has levied a one -half of
one percent sales and use tax for the benefit of the Corporation, to be used exclusively for its
lawful purposes; and
WHEREAS, under current policies and procedures established by the Comptroller of
Public Accounts of the State of Texas (the "Comptroller "), sales tax belonging to the City and
the Sales Tax belonging to the Corporation are collected, commingled and remitted directly to
the City in undivided interests and without allocation or notations of ownership as between the
City and the Corporation; and
WHEREAS, the Corporation proposes to issue its sales tax revenue bonds (the "Bonds ")
for its lawful purposes in accordance with the Act, the same to be authorized and issued under
and secured respectively by, the terms and provisions of a Bond Resolution (the "Bond
Resolution "); and
WHEREAS, in order to provide security for the Bonds, it is appropriate and necessary
that the Corporation and the City adopt formal procedures by which the revenues received from
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the Sales Tax (as defined in said Bond Resolution) are collected, deposited, held, identified,
allocated and transferred, to or for the benefit of the Corporation;
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF
GRAPEVINE 4B ECONOMIC DEVELOPMENT CORPORATION, AND BY THE CITY
COUNCIL OF THE CITY OF GRAPEVINE, acting concurrently, as follows, to -wit:
Section 1. Short Title Definitions of Terms. (a) This Resolution may hereafter be
cited in the Bond Resolution and in other documents and without further description as the
"Sales Tax Collection Resolution."
(b) All capitalized terms used herein, including the preambles hereof and not
otherwise, defined herein, shall have the meanings assigned to them in the Bond Resolution.
Section 2. Sales Tax Revenue Fund. (a) The Corporation, with the concurrence and
approval of the City, as evidenced by its concurrent adoption hereof, creates and orders that there
be established for the Corporations benefit a special fund to be named the "Sales Tax Revenue
Fund."
(b) The Sales Tax Revenue Fund shall be held and maintained by the City, on behalf
of the Corporation, at its official depository bank (the "Depository Bank ") in accordance with the
terms and provisions of the Bond Resolution. The monies from time to time on deposit in the
Sales Tax Revenue Fund, shall be transferred, used and applied as directed by the Bond
Resolution.
Section 3. Collection and Transfer of Undivided Sales Tax Receipts. (a) The City
hereby requires and orders that all remittances of commingled sales and use tax collections
belonging to the City and the Corporation in undivided interests (the "Undivided Sales Tax
Receipts ") shall be deposited as received, or transmitted by the Comptroller directly, to the
depository account of the City held and maintained by the City at the Depository Bank and the
City shall request the Comptroller to transmit such funds by the earliest available and feasible
means under the policies of the Comptroller in effect from time to time.
(b) Immediately upon receipt of Undivided Sales Tax Receipts from the Comptroller,
an Authorized Officer and the Director of Administrative Services or his designee, of the City
shall determine the share of the Undivided Sales Tax Receipts belonging to the Corporation, in
accordance with the Act.
(c) Within twenty -four hours, or during the next succeeding business day, whichever
is later, after receipt, the City, on behalf of the Corporation, shall transfer 1 /4th of the
Corporation's share of the Undivided Sales Tax Receipts into the Sales Tax Revenue Fund. The
monies from time to time on deposit in the Sales Tax Revenue fund, shall be transferred, used
and applied as directed by the Bond Resolution.
(d) The Depository Bank shall not have any responsibility to verify or determine the
accuracy of the amounts certified to it from time to time according to this Section.
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Section 4. Acceptance of Depository Responsibilities. (a) An Authorized Officer and
the Director of Administrative Services of the City are authorized and directed to develop
procedures to which the requirements of this Resolution are met, including the incorporation of
this Resolution by the City into and as a part of the bidding procedures by which the City
designates and selects its Depository Bank or Banks from time to time.
(b) Each Depository Bank, by its acceptance of its designation as depository of the
City, agrees to abide by the terms and provisions of this Resolution.
(c) All reasonable costs, if any, of the Depository Bank associated with the
administration of the terms and provisions of this Resolution shall be paid for by the Corporation
as an administrative expense under the Bond Resolution and shall be paid by the Corporation
upon receipt of statements therefore from the Depository Bank. Such costs, if any, shall never
constitute a cost, liability, or obligation of the City.
Section 5. Effect of Resolution. The City and the Corporation acknowledge that the
Bonds entered into the Bond Resolution will be purchased in reliance upon timely and diligent
compliance with the terms and requirements of this Resolution.
Section 6. Effective Date. This Resolution shall take effect upon and as of the last
date of adoption by either the City or the Corporation.
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ADOPTED this 17th day of December, 2013.
ATTEST:
63�bTL
Sevtary
[SEAL]
ADOPTED this 21 st
ATTEST:
JOW/C. Brown
City Secretary
[SEAL]
day of January, 2014.
CITY OF GRAPEV TEXAS
By:
�7&' AA
C. Shane Wilbanks
Mayor Pro Tem
y.
John F. Boyle, r.
City Attorney
Signature Page to Concurrent Resolution