HomeMy WebLinkAboutOrdinance 15010~ s
.~ =
An Ordinance
NO J`~
ORDINANCE AMENDING AN ORDINANCE AUTHORIZING
ISSUANCE OF EQUIPMENT TAX NOTES
THE STATE OF TEXAS
COUNTIES OF TARRANT AND DENTON
CITY OF FORT WORTH
WHEREAS, the City of Fort Worth, Texas (the "City") is a home-rule municipality having
a total population of at least 50,000 according to the last preceding federal census, and was
organized, created and established pursuant to the Constitution and laws of the State of
Texas, and
WHEREAS, the City Council is
Government Code, to issue anticipation
limitation, to pay a contractual obligation
materials, supplies, equipment, machinery,
authorized needs and purposes, and
authorized pursuant to Chapter 1431, Texas
notes for specified purposes, including, without
incurred or to be incurred for the purchase of
buildings, lands, and rights-of-way for an issuer's
WHEREAS, Section 1431 003, Texas Government Code, grants to the City Council the
ability to exercise the authority granted to the governing body of an issuer with regard to the
issuance of obligations under Chapter 1371, Texas Government Code, and
WHEREAS, on September 28, 1999, the City Council adopted Ordinance No 13954,
"Authorizing Issuance of Equipment Tax Notes", in an aggregate principal amount not to
exceed $20,000,000 at any one time outstanding (the "1999 Ordinance"), and
WHEREAS, all defined terms as used in this Ordinance shall have the meaning given
said terms in the 1999 Ordinance, and
WHEREAS, there are currently $3,297,619 05 in principal amount of Notes outstanding
under the terms of the 1999 Ordinance, and
WHEREAS, the 1999 Ordinance provides that a Note issued under the terms of the
1999 Ordinance must mature before the seventh anniversary of the date the Attorney General
of the State of Texas approved the Initial Notes issued pursuant to the 1999 Ordinance, and
I~~ Ili' ~" `~111~~7~~`
~ ~ ~
:.-.
WHEREAS, Section 8 of the 1999 Ordinance provides that the City at any time may
adopt an ordinance to extend the Maximum Maturity Date, provided, that any such ordinance
shall be submitted to the Office of the Attorney General of Texas for the approval thereby,
unless no longer required by law;
WHEREAS, the City Council deems it in the best interest of the City to amend the 1999
Ordinance to extend the Maximum Maturity Date
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
FORT WORTH, TEXAS
Section 1 That the definition of Maximum Maturity Date is hereby amended to mean
the later of (i) the date that is the day before the seventh anniversary of the date that the
Attorney General of the State approves this Ordinance amending the 1999 Ordinance or (ii)
such date as is established pursuant to Section 8 of the 1999 Ordinance
Section 2 The Director of Finance is hereby authorized to submit this Ordinance and
other relevant proceedings to the Public Finance Division of the Office of the Attorney General
for the purpose of obtaining an opinion approving this Ordinance and the extension of the
Maximum Maturity Date as herein provided
Section 3 That the 1999 Ordinance, as amended by this Ordinance, remains effective
in all other respects
Section 4 That it is officially found and determined that the meeting at which this
Ordinance was passed 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 All of the City Councilmembers were present when this Ordinance was passed,
and this Ordinance was approved by a vote of ~ Yeas, ~ Nays, ~ Absent When
Voting
Section 5 That this Ordinance shall take effect and be in full force and effect from
and after the date of 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
SIGNED AND SEALED THIS ~ DAY OF MARCH, 2002
,~ ~ ~~
Mayor,
City of Fort Worth, Texas
~~ ~~' ~
~Y
Cit~i Secretary
APPROVED AS TO FORM AND LEGALITY
,, s/ ~
~E%~'~ ~
City Attorney
1
w+Y a~
~ ^k ~
~
~
~ ~
\ n
~ J
i
1
n
~ ~' ~+ y
`~ h h .IF
M T
'~ w v;
~-- `~ (SEAL) ~=
y, ~~ „
J~. f (~ 4\~•W
City of Fort Worth, Texas
Mayor and Council
Communication
DATE REFERENCE NUMBER LOG NAME PAGE
3/19/02 **G-13549 13NOTES 1 of 2
SUBJECT ADOPT AMENDMENT TO ORDINANCE NO 13954 AUTHORIZING THE ISSUANCE
OF EQUIPMENT TAX NOTES
RECOMMENDATION
It is recommended that the City Council adopt the attached ordinance amending Ordinance No 13954,
which approved and authorized the Equipment Note Program and which was approved by the Public
Finance Division of the Office of the Attorney General, to re-establish the maximum maturity of the
notes to be issued under the Equipment Note Program
DISCUSSION
On February 9, 1999 (M&C G-12462), the City Council authorized setting forth the outline of an
Equipment Note Program to provide a vehicle for financing primarily the purchase of fire apparatus. On
September 28, 1999 (M&C G-12681), the City Council adopted Ordinance No 13954 authorizing the
establishment of an Equipment Note Program by identifying the paying agent/registrar for these notes
The City Manager, any Assistant City Manager, and the Finance Director were authorized from time-to-
time to sell notes secured by ad valorem taxes in a total amount not to exceed $20,000,000 Ordinance
No 13954 was submitted to the Public Finance Division of the Office of the Attorney General and
approved by that office, as required by law
Under the terms of Ordinance No 13954, any notes issued must mature before the seventh
anniversary of the date the Attorney General of the State of Texas approved the initial notes However,
Section 8 of Ordinance No 13954 provides that the City, at any time, may adopt an ordinance to extend
the maximum maturity date, subject to approval by the Attorney General Since the City has issued
notes in 2000 and 2001, this means that the City may only issue notes in 2002 with afive-year
maximum maturity, unless Ordinance No 13954 is amended to re-establish the maximum maturity of
seven years The City Council amended M&C G-12462 on December 11, 2001, and must now amend
Ordinance No 13954 for submittal to the Attorney General
Staff, in conjunction with the City's financial advisors, recommends that the maximum maturity be
extended to seven years to manage debt service needs more effectively
FISCAL INFORMATION/CERTIFICATION
The Finance Director certifies that upon adoption of the attached ordinance, funds will be available in
the General Debt Service Fund to make any debt service payments on equipment notes issued under
terms of the ordinance
CB k
Submitted for City Manager's FUND ACCOUNT CENTER AMOUNT CITY SECRETARY
Office by: (to)
GD06 551010 0132000
Charles Boswell 851 I GD06 552010 0132000
Originating Department Head:
-Jim Keyes 8517 (from) APPROVED 03/19/02
ORD.# 15010
Additional Information Contact:
Skipper Shook 8519