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HomeMy WebLinkAboutResolution 4011-07-2011A Resolution NO. 4011 -07 -2011 RESOLUTION AUTHORIZING DEFEASANCE OF WATER AND SEWER SYSTEM REVENUE BONDS WHEREAS, the City of Fort Worth, Texas (the "City ") has outstanding the following obligations: City of Fort Worth, Texas Water and Sewer System Subordinate Lien Revenue Bonds, Series 2001 (the "Bonds "); and WHEREAS, the proceedings adopted by the City Council authorizing the issuance of the Bonds provide that the City may effect a defeasance of the Bonds prior to their scheduled maturities; and WHEREAS, City staff has determined and recommended to the City Council that effecting the defeasance of the Bonds in the manner described below will be the most beneficial use of available water and sewer system revenues, resulting in the reduction of the outstanding indebtedness secured by such revenues. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS: Section 1. That the City Council hereby authorizes the use of water and sewer system revenues for the purpose of effecting the defeasance of the Bonds maturing on March 1 in each of the years 2012 through 2021, aggregating $4,740,000 in principal amount (the "Defeased Obligations "). Section 2. That the City Manager is hereby directed to cause the Defeased Obligations to be redeemed prior to their scheduled maturities. The City Manager is hereby directed to determine the date the Defeased Obligations are to be redeemed, provided, that the date fixed for redemption shall occur no more than 90 days from the date this Ordinance is adopted. Notice of the redemption of the Defeased Obligations shall be in substantially the form attached to this Ordinance as Exhibit A, and shall be given in the manner provided in the proceedings authorizing the issuance of the Bonds. Section 3. That the City Manager is hereby directed to fund the defeasance of the Defeased Obligations from available water and sewer system revenues in an amount equal to the principal amount of the Defeased Obligations to be redeemed, plus accrued interest on the Defeased Obligations to the date fixed for redemption. Section 4. That this Resolution shall become effective immediately upon its adoption, in accordance with the provisions of Section 1201.028, Texas Government Code. FoPaWo T Resolution No. 4011 -07 -2011 Section 5. That this City Council officially finds and determines that the meeting at which this Resolution is adopted was open to the public, and that public notice of the time, place, and purpose of such meeting was given, all as required by Chapter 551, Texas Government Code. Adopted this 26th day of July 2011. ATTEST: B y: JA—A �L - - -- Marty Hendrix, City Secretary APPROVED CITY COUNCIL APPROVED AS TO FORM AND LEGALITY: ,JUL 2 6 2011 City Secretary of the City Attorn , City of Fort Worth, Texas City of Fort worth, Texas OUT WORT X VV rix