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HomeMy WebLinkAbout2011-27 GO Bonds Fire Station No 2 RESOLUTION NO. 0 90ll-a7 A RESOLUTION OF THE CITY OF ASHLAND, JACKSON COUNTY, OREGON AUTHORIZING THE SALE OF $3 MILLION OF GENERAL OBLIGATION BONDS TO REPLACE FIRE STATION NO. 2. WHEREAS, on May 17, 2011, the voters of City of Ashland, Jackson County, Oregon (the "City") approved Ballot Measure 15-109, authorizing the issuance of up to $3 million of general obligation bonds to finance replacement of Fire Station No. 2, and on August 2, 2011, the Jackson County Circuit Court validated the legality and sufficiency of that authorization; and WHEREAS, the City now desires to sell the bonds described in Ballot Measure 15-109 (the "Bonds"); and, WHEREAS, the City Council also desires to permit bond proceeds to be used to reimburse qualifying City expenditures; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ashland, Oregon as follows: SECTION 1. Authorization. The City is hereby authorized to sell and issue the Bonds. SECTION 2. Security for Bonds. The Bonds shall be general obligations of the City. The City hereby pledges its full faith and credit to pay the Bonds, and the City covenants for the benefit of the Owners that the City shall levy annually, as provided by law, in addition to its other ad valorem property taxes and outside the limitations of Sections 1 1 and 11 b of Article XI of the Oregon Constitution, a direct ad valorem tax upon all of the taxable property within the City in sufficient amount, after considering discounts taken and delinquencies that may occur in the payment of such taxes, to pay the Bonds promptly as they mature. SECTION 3. Reimbursement. To use tax-exempt bond proceeds to reimburse qualifying expenditures the City makes before the bonds are issued, the Internal Revenue Code of the United States requires that the City declare its intent to use bond proceeds to reimburse itself. The City hereby declares its intention to reimburse expenditures for the purposes described in Ballot Measure 15-109 that the City makes before the Bonds are issued, in an amount that does not exceed $3 million. SECTION 4. Delegation. The City Administrator, the Finance Director, any person holding either title on an interim basis, or the person designated by the City Administrator or interim City Administrator to act as a City Official under this resolution (any of whom are referred to in this resolution as a "City Official') are each hereby authorized, on behalf of the City and without further action by the Council, to: 1. Issue the Bonds in one or more series. 2. Participate in the preparation of, authorize the distribution of, and deem final the preliminary and final official statements and any other disclosure documents for each series of the Bonds. Page I of 2 3. Establish the final principal amounts, maturity schedules, interest rates, sale prices, redemption terms, payment terms and dates, record dates and other terns for each series of the Bonds. 4. Either publish a notice of sale, receive bids and award the sale of that series to the bidder complying with the notice and offering the most favorable terms to the City, or select one or more underwriters or commercial banks and negotiate the sale of that series with those underwriters or commercial banks. 5. Undertake to provide continuing disclosure for each series of the Bonds in accordance with Rule 15c2-12 of the United States Securities and Exchange Commission. 6. Apply for and purchase municipal bond insurance or other forms of credit enhancements for each series of the Bonds, and enter into related agreements. 7. Prepare, execute and deliver one or more Bond Declarations for each series of the Bonds. The Bond Declarations shall specify the terms under which each series of the Bonds are issued, the administrative provisions that apply to each series of the Bonds and the form of each series of the Bonds. The Bond Declarations may also contain covenants for the benefit of the owners of each series of the Bonds and any insurers of the Bonds. 8. Appoint service providers for each series of the Bonds and enter into agreements with those service providers. 9. Determine whether each series of Bonds will bear interest that is excludable from gross income under the Internal Revenue Code of 1986, as amended, or is includable in gross income under that code. If a series bears interest that is excludable from gross income under that code, the Debt Manager may enter into covenants to maintain the excludability of interest on that series of the Bonds from gross income. 10. Prepare and execute declarations of intent to reimburse for other City projects that may be financed with tax-exempt bonds. 11. Execute any documents and take any other action in connection with the Bonds which the Debt Manager finds will be advantageous to the City. SECTION 5. Effective Date. This resolution was duly PASSED and ADOPTED this L day of Augu , 2011, and takes effect upon signing by the Mayor. Barbara Christensen, City Recorder SIGNED and APPROVED this A� day of August, H. jo n Strom berg, Mayor Reviewed as to forn• 4 - David Lohman, City Attorney Page 2 of 2