Loading...
HomeMy WebLinkAboutResolution 5978-06-2024A Resolution NO.5978-06-2024 CONSENTING TO ISSUANCE OF TRADITION MUNICIPAL UTILITY DISTRICT OF DENTON COUNTY UNLIMITED TAX UTILITY BONDS, SERIES 2024 IN AN AMOUNT NOT TO EXCEED $7,925,000.00 OF NO.2B WILDFLOWER RANCH, PHASES 1A,1B, IC, 2A, 2B, AND 3A1 WHEREAS, Tradition Municipal Utility District No. 213 of Denton County (MUD or District) was created by special act of the Texas Legislature in 2007 to provide certain services to property within the extraterritorial jurisdiction of the City of Fort Worth; and WHEREAS, a MUD can generally impose a tax and issue debt to build infrastructure for the services it provides to property within the district; and WHEREAS, the District has authority to issue debt, but City consent is required per state law and the development agreement between the City and the MUD (the Agreement); and WHEREAS, debt issued by the District does not constitute City obligations or impact the City's debt capacity, even with City consent, but the existence of outstanding District debt does potentially impact the timing for property being fully annexed into the City; and WHEREAS, the MUD has requested City consent to the issuance of Unlimited Tax Utility Bonds, Series 2024 (Bonds) in an aggregate principal amount not to exceed $7,925,000,00 with the proceeds to be used to pay for (i) the costs associated with the construction, engineering, surveying, and City connection fees for utility -related improvements for Wildflower Ranch, Phases IA, 1B, 1C, 2A, 213, and 3A1; (ii) engineering testing and surveying associated therewith and developer interest; and (iii) certain costs associated with the issuance of the Bonds; and WHEREAS, the City has previously consented to similar bond issuances (M&Cs 23-0854, 23-0150, and 22-0534) for improvements for other areas within the MUD; and WHEREAS, the District certifies that it is not in breach of the Agreement and is in compliance through providing notice of its intent to submit its bond application; and WHEREAS, the MUD further certifies that it will comply with the bond requirements listed within the Agreement; and WHEREAS, the financial advisor to the District has certified that the Bonds will be issued within the economic feasibility guidelines established by the Texas Commission on Environmental Quality. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS, THAT: The City Council consents to the issuance of Tradition Municipal Utility District No. 2B of Denton County's Unlimited Tax Utility Bonds, Series 2024 in an amount not to exceed $7,925,000.00 for the uses described herein and in accordance with the Agreement. Adopted this 251h day of June 2024. ATTEST: By: Jannette S. Goodall, City Secretary