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HomeMy WebLinkAboutResolution 6039-12-2024A Resolution NO.6039-12-2024 STATEMENT EXPRESSING OFFICIAL INTENT TO REIMBURSE EXPENDITURES WITH PROCEEDS OF FUTURE DEBT WHEREAS, the City of Fort Worth, Texas (the "City") is a home -rule municipality and political subdivision of the State of Texas; WHEREAS, renovation of the Fort Worth Convention Center and related infrastructure (the "Project") was designated as a venue project with a 2% venue hotel occupancy tax identified as the financing mechanism, as proposed by the City Council on January 9, 2024 (Resolution 5866-01-2024) and approved by City voters on May 4,2024 (Resolution 5946- 05-2024); WHEREAS, the City anticipates issuing an initial series of tax-exernI t revenue obligations in support of the Project in the first half of 2025 with one or more add it� anal series of obligations to follow at a later time; WHEREAS, prior to the issuance of such obligations, the City plans to utili�e available funds as interim payment for expenditures in connection with the design; planning, acquisition, construction and implementation of the Project and wishes to retain the ability to reimburse itself out of the obligation proceeds; and WHEREAS, the City finds, considers, and declares that the reimbursement lof the City for the payment 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 Treasury Regulations, to reimburse itself for such payments at such time as it issues obligations to finance the Project. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS THAT: Section 1. The City reasonably expects it will incur debt, as one or more! series of obligations, with an aggregate maximum principal amount not to exceed $700,000,000.00, for the purpose of paying the aggregate costs of the Project. Section 2. All costs to be reimbursed pursuant hereto will be capital expenditures. No tax-exempt obligations will be issued by the City in furtherance of this Statement after a date which is later than 18 months after the later of (1) the date the expenditures are paid or (2) the date on which the property, with respect to which such expenditures were made, is placed in service. Section 3. The foregoing notwithstanding, no tax-exempt obligation will be issued pursuant to this Statement more than three years after the date any expenditure which is to be reimbursed is paid. I i Adopted this 10 h day of December 2024. ATTEST: By: Jannette S. GoodalI, City Secretary