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HomeMy WebLinkAboutOrdinance 19265-08-2010ORDINANCE NO 19265-08-2010 DIRECTING PUBLICATION OF NOTICE OF INTENTION TO ISSUE COMBINATION TAX AND REVENUE CERTIFICATES OF OBLIGATION SERIES 2010A, AND ORDAINING OTHER MATTERS RELATING TO THE SUBJECT WHEREAS the City of Fort Worth expects to pay expenditures in connection with the design, planning, acquisition and construction of the projects described m Exhibit A to this Ordinance prior to the issuance of the Certificates of Obligation hereinafter described, and WHEREAS the City Council hereby finds, considers and declares that the reimbursement of the payment by the City of such expenditures will be appropriate and consistent with the lawful objectives of the City and, as such, chooses to declare its intention, m accordance with the provisions of Section 1 150-2 of the U S Treasury Regulations, to reimburse itself for such payments at such time as rt issues the hereinafter described Certificates of Obligation, and WHEREAS rt is hereby officially found and determined that the meeting at which this Ordinance was considered was open to the public, and public notice of the time, place and purpose of said meeting was gYVen, all as required by Chapter 551 Texas Government Code. NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS Section 1 That attached hereto and marked 'Exhibit A is a form of notice, the form and substance of which are hereby passed and approved. Section 2 That the City Manager shall cause said notice to be published, in substantially the form attached hereto m a newspaper of general circulation m the Crty of Fort Worth, Texas, for two consecutive weeks, the date of the first publication to be before the thirtieth (30th) day before the day tentatively proposed for authorizing the issuance of the Certificates of Obligation as shown in said notice. Section 3 That the facilities and improvements to be financed with proceeds from the proposed Certificates of Obligation are to be used for the purposes described m the attached Notice of Intention. Section 4 That all costs to be reimbursed pursuant to this Ordinance will be capital expenditures, the proposed Certificates of Obligation shall be issued within 18 months of the later of (i) the date the expenditures are paid or (ii) the date on which the property with respect to which such expenditures were made, is placed in service; and the foregoing notwithstanding, the Certificates of Obligation will not be issued pursuant to this Ordinance on a date that is more than three years after the date any expenditure which is to be reimbursed is paid. 5 That this Ordinance shall be effective immediately from and after its passage m accordance with the provisions of Section 2 of Chapter 25 of the Charter of the City and rt is accordingly so ordained. PASSED AND APPROVED this the 10th day of August, 2010 ATTEST Crty Secretar Crty of Fort Worth, Texas APPROVED AS TO FORM Crty Attorney City of Fort Worth, Texas i~ 11 .- '4. ~ ti~~ ^ ~ ;' . . ~. . ~ F ~~ ~ ~ s ~ ~ !k Ty (SEAL)" ~"= ~` r +K ~ - ~ ~ +s ~ r ~~ ~ i• ~ ~ .. ~. ~ ~i. ~ t `*' .. ~¢r¢ ~F^ ~ ,1 rs s EXHIBIT A NOTICE OF INTENTION TO ISSUE COMBINATION TAX AND REVENUE CERTIFICATES OF OBLIGATION NOTICE IS HEREBY GIVEN that rt is the intention of the City Council of the City of Fort Worth, Texas, to issue one or more serves of the interest bearing certificates of obligation of the Crty to be entitled 'Crty of Fort Worth, Texas Combination Tax and Revenue Certificates of Obligation for the purpose of paying contractual obligations to be incurred by the Crty to-wit, the construction and equipping of improvements to fire stations and police stations located throughout the City of Fort Worth, the construction and reconstruction of streets (including freeway interchanges and arterial access) and related drainage and sidewalk improvements throughout the City and the acquisition of related traffic and communications equipment; the acquisition of equipment with respect to traffic safety programs of the Crty the acquisition of software and associated equipment for use m the management of City financial, construction and improvement projects, the acquisition and construction of improvements to street and off street parking throughout the City owned and maintained by the Crty including the acquisition of pay and display parking stations, improvements to the Commerce Street parking garage and the acquisition of equipment related thereto and the acquisition of security systems for the Commerce Street and Houston Street garages, the construction of a communications tower for City information technology communications, and the payment of fiscal, engineering and legal fees incurred m connection therewith. The City Council tentatively proposes to authorize the issuance of said serves (one or more) of Certificates of Obligation at its regular meeting place m the City Hall at a meeting to commence at 7 o clock, p.m., on the 14th day of September 2010 The maximum amount of Certificates of Obligation indebtedness that may be authorized to be sold on said date for such purposes described above is $50 000 000 The City Council presently proposes to provide for payment of said series (one or more) of Certificates of Obligation from the levy of ad valorem taxes and from a limited pledge (not to exceed $1 000) of surplus revenues derived from the operation of the City's water and sewer system. CITY OF FORT WORTH, TEXAS /s/ Mike Moncrief Mayor THE STATE OF TEXAS COUNTIES OF TARRANT AND DENTON CITY OF FORT WORTH I, Marty Hendnx, City Secretary of the City of Fort Worth, in the State of Texas, do hereby certify that I have compared the attached and foregoing excerpt from the minutes of the regular open, public meeting of the City Council of the City of Fort Worth, Texas held on August 10 2010 and of the ordinance authonzmg the publication of notice of intention to issue Certificates of Obligation, which was duly passed at said meeting, and that said copy is a true and correct copy of said excerpt and the whole of said ordinance. Said meeting was open to the public, and public notice of the time, place, and purpose of said meeting was given, all as required by Chapter 551 Texas Government Code, as amended. In testimony whereof, I have set my hand and have hereunto affixed the seal of said City of Fort Worth, this 10th day of August, 2010 ~~~ Crty Secretary o e ~ ~~.~,. Crty of Fort Worth, Texas ,~` a ,~ ~^ (SEAL) .• Y ~; ~~ ---_ ., •. - ,~~ ~,,-, .: '~ • ~ ~~ ='~1 ~ ~' .rF 1~iw.•~, rt ~~ •. ~w.*'' ti~ Id's ~ ~ ~~* r~ 'x City of Fort Worth, Texas Mayor and Council Communication ~~~ ~ ~ -- : __~- ~~ r~ ~.. n . COUNCIL ACTION:.Approved on 8110/2010 -Ord. No.'19265-08-2010 DATE Tuesday August 10 2010 LOG NAME 1310 CO NOI fi,~;. REFERENCE NO G-17007 SUBJECT Adopt an Ordinance Directing Publication of Notice of Intention to Issue Combination Tax and Revenue Certificates of Obligation Series 2010A in an Amount Not to Exceed $50 000 000 00 and Ordaining Other Matters Relating to the Subject RECOMMENDATION It is recommended that the City Council 1 Adopt the attached ordinance directing the publication of notice of intention to issue Combination Tax and Revenue Certificates of Obligation Series 2010A in an amount not to exceed $50 000 000 00 2. Approve the form of notice marked 'Exhibit A attached to the ordinance 3. Authorize the City Manager to cause said notice to be published in substantially the form attached hereto in a newspaper of general circulation in the City of Fort Worth Texas for two consecutive weeks the date of the first publication to be prior to the thirtieth day before the day tentatively proposed for authorizing the issuance of the Certificates of Obligation as shown in said notice and 4 Authorize the proceeds to be used for Critical Capital needs, Phase II of the Enterprise Resource Planning (ERP) system acquisition of and improvements to parking-related assets and the acquisition of fire equipment as described in the attached Notice of Intention DISCUSSION Under the laws of the State of Texas the City Council has the authority to issue Certificates of Obligation (COs) a form of debt, without prior voter approval The City however has established financial policies governing the issuance of such debt. C O s may only be used to finance public improvements in special circumstances and only after determining the City's ability to assume additional debt. These criteria include situations where it would be more economical to issue C O.s rather than revenue bonds and where the timing of the construction of a capital improvement and the expense of calling a bond election for a single proposition would in the opinion of staff and with the approval of the Council warrant the issuance of C O s to finance the capital improvement. The proposed projects described in the attached Notice of Intention qualifies to be eligible for C O financing The maximum amount of the C O s sold shall not exceed $50 000 000 00 Upon City Council approval the City Manager shall publish the initial Notice of Intention no later than August 14 2010 The second Notice of Intention will be published the same day of the week following the first notice The City Council will be asked to approve the sale of the C O s and adopt the related ordinance on Logname: 1310 CO NOI Page 1 of 2 September 14 2010 The C O s are intended to be sold on a competitive basis It is anticipated that the closing and delivery of the C O funds will occur on October 19 2010 FISCAL INFORMATION /CERTIFICATION The Financial Management Services Director certifies that funds will be available upon completion of the sale closing and delivery of the Combination Tax and Revenue Certificates of Obligation Series 2010A for the projects FUND CENTERS TO Fund/Account/Centers CERTIFICATIONS FROM Fund/Account/Centers Submitted for City Manager's Office by: Karen Montgomery (6222) Originating Depantment Head. Lena Ellis (8517) Additional Information Contact: James Mauldin (2438) Logname: 1310 CO NOI Page 2 of 2