HomeMy WebLinkAboutOrdinance 18184-07-2008ORDINANCE NO. 18184-07-2008
DIRECTING PUBLICATION OF NOTICE OF INTENTION TO ISSUE
COMBINATION TAX AND LIMITED SURPLUS REVENUE CERTIFICATES
OF OBLIGATION, SERIES 2008; 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 in Exhibit A to this
Ordinance prior to the issuance of the Certificates of Obligation hereinafter described; and
WI~REAS, the City Council hereby fords, 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, in 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 it issues the hereinafter described Certificates of Obligation; and
WI~REAS, it 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 given, 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, 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 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 in 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 l 8 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 in accordance
with the provisions of Section 2 of Chapter 25 of the Charter of the City, and it is accordingly so
ordained.
PASSED AND APPROVED this the 15th day of July, 2008.
ATTEST:
City Secretary, City f
Fort Worth, Texas
APPROVED AS TO FORM:
G;~~u~
City Attorney, City of
Fort Worth, Texas
(SEAL)
EXHIBIT A
NOTICE OF INTENTION TO ISSUE
COMBINATION TAX AND LIlVIITED SURPLUS REVENUE
CERTIFICATES OF OBLIGATION
NOTICE IS HEREBY GIVEN that it is the intention of the City Council of the City of Fort
Worth, Texas, to issue one or more series of the interest bearing certificates of obligation of the City
to be entitled "City ofFort Worth, Texas Combination Tax and Limited Surplus Revenue Certificates
of Obligation", for the purpose of paying contractual obligations to be incurred by the City, to-wit,
the construction and equipping of a new fire station located in the Sendera Ranch area of the City of
Fort Worth; the design costs associated with, and the construction and equipping of, the Nashville
police station; the construction of street improvements (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 City; the acquisition of a telecommunications system for use by municipal
departments, including towers, software and associated equipment; the design and construction costs
of a municipal building for use in connection with the communications system; the reconstruction of
streets and related drainage and sidewalk improvements throughout the City; the construction costs
associated with the relocation of the Rosedale Evans fire station; the construction and equipping of
the Northwest public library; the construction of improvements to the City's public health center; the
construction of improvements to the ACCC Spay and Neuter Clinic owned by the City; the costs of
expanding the City's outdoor warning siren system; and the payment of fiscal, engineering and legal
fees incurred in connection therewith. The City Council tentatively proposes to authorize the
issuance of said series (one or more) of Certificates of Obligation at its regular meeting place in the
City Hall at a meeting to commence at 10 o'clock, a.m., on the 26th day of August, 2008. The
maximum amount of Certificates of Obligation indebtedness that may be authorized to be sold on said
date for such purposes described above is $64,000,000. 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
5. That this Ordinance shall be effective immediately from and after its passage in accordance
with the provisions of Section 2 of Chapter 25 of the Charter of the City, and it is accordingly so
ordained.
PASSED AND APPROVED this the 15th day of July, 2008.
ATTEST:
City Secretary, of
Fort Worth, Texas
APPROVED AS TO FORM:
~~~.~
City Attorney, City
Fort Worth, Texa
(SEAL)
THE STATE OF TEXAS
COUNTIES OF TARIZANT AND DENTON
CITY OF FORT WORTH
I, Marty Hendrix, 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 July 15, 2008, and
of the ordinance authorizing 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 15th day of July, 2008.
City Secretary the
City of Fort Worth, Texas
(SEAL)
Cifjo ®f F®rf VI/®r~h, Texas
Mayor and Council Communication
COUNCIL ACTION: Approved on 7/15/2008 -Ord. No. 18184-07-2008
DATE: Tuesday, July 15, 2008
LOG NAME: 1308C0 NOI REFERENCE NO.: G-16204
SUBJECT:
Adopt Ordinance Directing Publication of Notice of Intention to Issue in an Amount Not to Exceed
$64,000,000.00 Combination Tax and Limited Surplus Revenue Certificates of Obligation, Series
2008 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 an amount not to
exceed $64,000,000.00 Combination Tax and Limited Surplus Revenue Certificates of Obligation, Series
2008;
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 before the fourteenth 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 be used for Critical Capital needs and cost over-runs from the 2004 CIP Program
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
(C.O.s), 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
cost overruns on a general obligation bond-financed capital improvement and situations 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 Certificates of
Obligation to finance the capital improvement.
The proposed list of 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 $64,000,000.00.
After Council approves this M&C and ordinance, the City Manager shall publish the initial Notice of Intent no
later than July 26, 2008. The second Notice will be published the same day of the week following the first
notice.
Council will be asked to approve the sale of the certificates and adopt the related ordinance on August 26,
2008. The certificates will be sold on a competitive basis through placement with a local bank. It is
Logname: 1308C0 NOI Page 1 of 2
anticipated that the closing and delivery of the C.O. funds will occur on September 30, 2008.
FISCAL INFORMATION/CERTIFICATION:
The Finance Director certifies that funds will be available upon completion of the sale, closing and
delivery of the $64,000,000.00 Combination Tax and Limited Surplus Revenue Certificates of Obligation,
Series 2008 for the project.
TO Fund/Account/Centers
FROM Fund/Account/Centers
Submitted for City Manager's Office b~
Originating Department Head:
Additional Information Contact:
Karen Montgomery (6222)
Lena Ellis (8517)
James Mauldin (2438)
Logname: 1308C0 NOI Page 2 of 2