From
Tannie Camarata
Title
Resolution authorizing publication of Notice of Intent to Issue Certificates of Obligation
Presenter
Tannie Camarata, Cash & Debt Manager
Recommended Action
Approve
Analysis
Staff is currently working on plans to issue debt in accordance with the approved capital improvement program for Fiscal Year 2013. Part of the debt issuance includes the issuance of approximately $11,750,000 of Certificates of Obligation (CO's) on March 19, 2013. In addition staff has been working on several refunding opportunities. The time line for the bond sale and the proposed refunding is attached.
State law requires that in order to issue CO's, a notice of intent to issue debt must be published once a week for two consecutive weeks in a newspaper having general circulation in the City. The first notice of intent must be published at least 31 days prior to the sale date. In this case the notices will be published in the Fort Worth Star Telegram on February 10 and February 17. The CO's will be issued for the following improvement purposes:
Public Safety Fire $3,794,170
Public Safety Police $1,727,509
Municipal Facilities $2,211,815
Streets $ 683,400
Library $ 426,765
TIF#1 $2,905,358
Rounding $ 983
Total $11,750,000
The City's bond counsel, Fulbright and Jaworski, prepared the resolution which authorizes the City to issue an amount up to $11,750,000 for City purposes.
Financial Consideration
The City Council was provided information on the capital projects within the capital improvement program, along with the proposed operating budget at the City Council Budget Workshop held on August 24, 2012. Funds to pay the debt service on these CO's will be available and appropriated in the GO Debt Service Fund and TIF#1 Debt Service Fund. The Finance and Government Committee reviewed the upcoming bond sale at their meeting on January 15 and recommends moving forward with the upcoming bond sale and refundings.
Body
A RESOLUTION OF THE CITY OF GRAND PRAIRIE, TEXAS, APPROVING AND AUTHORIZING PUBLICATION OF NOTICE OF INTENTION TO ISSUE COMBINATION TAX AND REVENUE CERTIFICATES OF OBLIGATION
WHEREAS, the City Council of the City of Grand Prairie, Texas (the “City”), has determined that certificates of obligation should be issued under and pursuant to the provisions of Texas Local Government Code, Subchapter C of Chapter 271, as amended, for the purpose of paying contractual obligations to be incurred for (i) constructing street improvements, including drainage, landscaping, curbs, gutters, sidewalks, signage, traffic signalization and street noise abatement incidental thereto and the acquisition of land and rights-of-way therefor, (ii) acquiring, constructing, improving and equipping municipal park and recreational facilities, police facilities, fire-fighting facilities, library facilities, a municipal animal shelter and the City Hall complex, (iii) acquiring vehicles for the police department and the fire department and (iv) professional services rendered in connection therewith; and
WHEREAS, prior to the issuance of such certificates, the City Council is required to publish notice of its intention to issue the same in a newspaper of general circulation in the City, said notice stating (i) the time and place the City Council tentatively proposes to pass the ordinance authorizing the issuance of the certificates, (ii) the maximum amount proposed to be issued, (iii) the purposes for which the certificates are to be issued and (iv) the manner in which the City Council proposes to pay the certificates; now, therefor,
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS:
SECTION 1: That the City Secretary is hereby authorized and directed to cause notice to be published of the City Council’s intention to issue certificates of obligation, in one or more series, in the principal amount not to exceed ELEVEN MILLION SEVEN HUNDRED FIFTY THOUSAND DOLLARS ($11,750,000) for the purpose of paying contractual obligations to be incurred for (i) constructing street improvements, including drainage, landscaping, curbs, gutters, sidewalks, signage, traffic signalization and street noise abatement incidental thereto and the acquisition of land and rights-of-way therefor, (ii) acquiring, constructing, improving and equipping municipal park and recreational facilities, police facilities, fire-fighting facilities, library facilities, a municipal animal shelter and the City Hall complex, (iii) acquiring vehicles for the police department and the fire department and (iv) professional services rendered in connection therewith; such certificates to be payable from ad valorem taxes and a limited pledge of the net revenues of the City’s Water and Wastewater System. The notice hereby approved and authorized to be published shall read substantially in the form and content of Exhibit A hereto attached and incorporated herein by reference as a part of this resolution for all purposes.
SECTION 2: That the City Secretary shall cause the notice described above to be published in a newspaper of general circulation in the City, once a week for two consecutive weeks, the date of the first publication to be at least thirty-one (31) days prior to the date stated therein for the passage of the ordinance authorizing the issuance of the certificates of obligation.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS, ON THIS THE 5TH DAY OF FEBRUARY, 2013.
EXHIBIT A
NOTICE OF INTENTION TO ISSUE
CITY OF GRAND PRAIRIE, TEXAS
COMBINATION TAX AND REVENUE CERTIFICATES OF OBLIGATION
TAKE NOTICE that the City Council of the City of Grand Prairie, Texas, shall convene at 6:30 p.m. on the 19th day of March, 2013, at the City Council chambers located at 317 West College, Grand Prairie, Texas, and, during such meeting, the City Council will consider the passage of an ordinance authorizing the issuance of certificates of obligation, in one or more series, in an amount not to exceed ELEVEN MILLION SEVEN HUNDRED FIFTY THOUSAND DOLLARS ($11,750,000) for the purpose of paying contractual obligations to be incurred for (i) constructing street improvements, including drainage, landscaping, curbs, gutters, sidewalks, signage, traffic signalization and street noise abatement incidental thereto and the acquisition of land and rights-of-way therefor, (ii) acquiring, constructing, improving and equipping municipal park and recreational facilities, police facilities, fire-fighting facilities, library facilities, a municipal animal shelter and the City Hall complex, (iii) acquiring vehicles for the police department and the fire department and (iv) professional services rendered in connection therewith, such certificates to be payable from ad valorem taxes and a limited pledge of the net revenues of the City’s Water and Wastewater System. The certificates are to be issued, and this notice is given, under and pursuant to the provisions of Texas Local Government Code, Subchapter C of Chapter 271, as amended.
Catherine E. DiMaggio, City Secretary
City of Grand Prairie, Texas