HomeMy WebLinkAbout2023-27 Public Works OIFA Loan10
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RESOLUTION NO. 2023-27
A RESOLUTION AUTHORIZING A LOAN FROM THE SPECIAL PUBLIC WORKS
FUND BY ENTERING INTO A FINANCING CONTRACT WITH
THE OREGON INFRASTRUCTURE FINANCE AUTHORITY
A. The Recipient is a "municipality" within the meaning of Oregon Revised Statutes
285B.410(9).
B. Oregon Revised Statutes 28513.410 through 28513.482 (the "Act") authorize any
municipality to file an application with the Oregon Infrastructure Finance Authority of the
Business Development Department ("OBDD") to obtain financial assistance from the
Special Public Works Fund.
C. The Recipient has filed an application with the OBDD to obtain financial assistance for a
"development project" within the meaning of the Act.
D. The OBDD has approved the Recipient's application for financial assistance from the
Special Public Works Fund pursuant to the Act.
E. The Recipient is required, as a prerequisite to the receipt of financial assistance from the
OBDD, to enter into an Interim Financing Contract with the OBDD, number B2400 1,
substantially in the form attached hereto as Exhibit 1. The project is described in Exhibit C
to that Interim Financing Contract (the "Project").
F. Notice relating to the Recipient's consideration of the adoption of this Resolution was
published in full accordance with the Recipient's charter and laws for public notification.
NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF ASHLAND, OREGON,
RESOLVES AS FOLLOWS:
SECTION 1. Financing Loan Authorized. The Governing Body authorizes the City Manager
(the "Authorized Officer") to execute on behalf of Recipient the Interim Financing Contract and
such other documents as may be required to obtain financial assistance (the "Financing
Documents"), including a loan from the OBDD, on such terms as may be agreed upon between
the Authorized Officer and OBDD, on the condition that the principal amount of the loan from
the OBDD to the Recipient is not in excess of $4,839,751 and an interest rate of 3.05% per annum,
a percent deemed reasonable by the Authorized Officer and in the best interest of the Recipient.
The proceeds of the loan from the OBDD will be applied solely to the "Costs of the Project" as
such term is defined in the Interim Financing Contract.
RESOLUTION NO. 2023-27
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SECTION 2. Sources of Repayment. Amounts payable by the Recipient are payable from the
sources described in section 4 of the Interim Financing Contract and the Oregon Revised
Statutes Section 285B.437(3) which include:
(a) The revenues of the project, including special assessment revenues;
(b) Amounts withheld under ORS 28513.449 (1);
(c) The general fund of the Recipient;
(d) Revenues from the Recipient's Street Fund Revenues; or
(d) Any other source.
SECTION 3. Additional Documents. The City Manager of the City of Ashland is here
authorized to enter into any agreements and to execute any documents or certificates which in
be required to obtain financial assistance from the IFA for the Project pursuant to the Financi
Documents.
SECTION 4. Tax -Exempt Status. The Recipient covenants not to take any action or omit to take
any action if the taking or omission would cause interest paid by the Recipient pursuant to the
Financing Documents not to qualify for the exclusion from gross income provided by
Section 103(a) of the Internal Revenue Code of 1986, as amended. The Recipient may enter into
covenants to protect the tax-exempt status of the interest paid by the Recipient pursuant to the
Financing Documents and may execute any Tax Certificate, Internal Revenue Service forms or
other documents as may be required by the OBDD or its bond counsel to protect the tax-exempt
status of such interest.
SECTION 5. This resolution is effective upon adoption.
-a/ 1L, I '/ h 111
ADOPTED by the City Council this day of (� 6 � J -
L �1 ( �J4_, 2023.
I Reviewed as to form:
I Douglass McGeary, City Attorney
RESOLUTION NO. 2023-27
EVOWN
Alissa`k6lodzirisk!', City Recorder
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