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18-Deliberate and act on a resolution authorizing reimbursement for the South Collegiate Drive ProjectCITY COUNCIL AGENDA ITEM BRIEFING SHEET Submittal Date: Originating Department: Presented By: Agenda Item No.: 10/06/2009 Council Date: Finance Gene Anderson 18. 10/12/2009 RECOMMENDED MOTION: Move to approve a resolution for reimbursement of road improvement project expenses from certificates of obligation to be issued at a later date. POLICY ISSUE(S): Fiscal management The City Council has given its approval to proceed with the construction, expansion, and widening of South Collegiate Drive. The project is to be funded with certificates of obligation to be issued at a later date. It is necessary, however, for some project expenditures to be made prior to the issuance of the certificates of obligation. This resolution is necessary in order for the City to legally reimburse itself from the certificates of obligation for project related expenses made prior to the issuance of the certificates of obligation. BOARD/COMMISSION RECOMMENDATION: None EXHIBITS: Resolution ACTION: BUDGET INFO: ❑ Financial Report ❑ Minute Order Expense $NA ❑ Department Report Z Resolution Budgeted Amt. $NA ❑ Presentation ❑ Ordinance Y7'D Actual $NA ❑ Public Hearing ❑ Other Acct. Name NA Acct. Number NA FISCAL NOTES: None REVIEWED AND APPROVED BY: Z Administration Z City Clerk ❑ Community Development ❑ EMS/IT Z Finance ❑ Fire ❑ Municipal Court Z Legal ❑ Library ❑ Police Z Eng./Public Works ❑ Utilities City of Paris p Revised 2/04/08 w " " O I DRAFT attorney\reswork\current\s.collegiate dr project reimbursement RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS; EXPRESSING OFFICIAL INTENT TO REIMBURSE COSTS OF PROJECT FOR SOUTH COLLEGIATE DRIVE ROAD IMPROVEMENTS FROM CERTIFICATES OF OBLIGATION TO BE ISSUED BY THE CITY AND OTHER MATTERS RELATED THERETO, MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; AND DECLARING AN EFFECTIVE DATE. WHEREAS, the City of Paris, Texas (the "Issuer") is a municipality of the State of Texas; and, WHEREAS, the Issuer expects to pay expenditures for the construction, expansion and widening of S. Collegiate Drive (the "Project") prior to the issuance of the Issuer's Certificates of Obligation; and, WHEREAS, the Issuer finds, considers and declares that the reimbursement of the Issuer for the payment of such expenditures will be appropriate and consistent with the lawful objectives of the Issuer and, as such, chooses to declare its intention, in accordance with the provisions of Section 1.150-2 of the Treasury Regulations, to reimburse itself for such payments at such time as it issues obligations to finance the Project. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS: Section 1. The Issuer reasonably expects to incur debt, as one or more series of certificates of obligation, with an aggregate maximum principal amount not to exceed $2,650,000.00 for the purpose of paying the costs of the Project. Section 2. All cost to be reimbursed pursuant hereto will be capital expenditures. No tax-exempt obligations will be issued by the Issuer in furtherance of this Resolution after a date which is later than 18 months after the later of (1) the date the expenditures are paid or (2) the date on which the property, with respect to which such expenditures were made, is placed in service. Section 3. The foregoing notwithstanding, no tax-exempt obligation will be issued pursuant to this Resolution more than three years after the date any expenditure which is to be reimbursed is paid. Section 4. That this resolution shall be effective from and after its date of passage. PASSED AND APPROVED this 12th day of October, 2009. Jesse James Freelen, Mayor ATTEST: Janice Ellis, City Clerk APPROVED AS TO FORM: W. Kent McIlyar, City Attorney M v v v J~ V lJ