From
Mona Lisa Galicia
Title
Resolution approving the issuance of Dallas County Flood Control District No. 1 2015 Bonds in the approximate principal amount of $27,750,000 solely for the purpose of approving the issuance of bonds over $500,000 as required
Presenter
Donald Postell
Recommended Action
Approve
Analysis
The Dallas County Flood Control District No. 1 (the “District”), whose boundaries are located in both the Cities of Grand Prairie and Irving, currently has $27,750,000 of its Dallas County Flood Control District No. 1 Unlimited Tax Refunding Bonds, Series 2002 (the “2002 Bonds”) outstanding. The District expects to refund the 2002 Bonds for significant debt service savings through the issuance of its Unlimited Tax Refunding Bonds, Series 2015 (the “2015 Bonds”). The 2015 Bonds are being proposed to reduce the tax burden on taxpayers in the District and does not include any money for new projects.
Pursuant to the legislation that created the District, the District is required to send notice and to receive approval from both the of the Cities of Grand Prairie and Irving before the District can issue bonds. The District’s bonds are solely the responsibility of the District and neither of the Cities of Grand Prairie or Irving have any responsibility with respect to the payment of the 2015 Bonds or any other matters concerning the District’s 2015 Bonds or any other indebtedness of the District.
The Financial Advisor to the District has determined that the refunding market for the 2015 Bonds is very favorable and moving quickly to issue the 2015 Bonds and lock in the debt service would provide significant savings for the District. A similar resolution will be considered by the City of Irving at its September 17, 2015 Council Meeting.
The proposed Resolution below approves the issuance of the 2015 Bonds solely for the purpose of complying with the District’s creating legislation.
Financial Consideration
No financial cost to the City.
Body
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS RELATING TO THE ISSUANCE OF BONDS BY THE DALLAS COUNTY FLOOD CONTROL DISTRICT NO. 1; APPROVING THE ISSUANCE OF SUCH BONDS; AND MAKING CERTAIN FINDINGS IN CONNECTION THEREWITH
WHEREAS, Dallas County Flood Control District No. 1 (the “District”) is a governmental agency and body politic and corporate and exercises the powers, rights, and privileges, and functions as provided by Article XVI, Section 59 of the Texas Constitution, Chapter 57, Texas Water Code, as amended, and is currently governed by and operating pursuant to Chapter 1081, 68th Legislature, Regular Session, 1983, as amended by Chapter 600, 70th Legislature, Regular Session, 1987 (the “Act”); and
WHEREAS, in accordance with the above-mentioned legislation governing the issuance of the District’s indebtedness, the District is required to file with the City of Grand Prairie a written notice of intention to issue and deliver bonds and is required to obtain the approval of the City to issue bonds in an amount of more than $500,000; and
WHEREAS, the District has filed with the City a written notice of intention to issue and deliver its Dallas County Flood Control District No. 1 Unlimited Tax Refunding Bonds, Series 2015 (the “2015 Bonds”) in the approximate principal amount of $27,750,000 for the purpose of refunding a portion of the District’s outstanding bonds for debt service savings; and
WHEREAS, in connection with the filing of the above-mentioned Notice, the City Council has been requested by the District to approve the issuance of the 2015 Bonds by the District; and
WHEREAS, the above-mentioned legislation provides that the issuance of the 2015 Bonds by the District shall not be a lending or pledge of the credit of the City to the 2015 Bonds or other indebtedness of the District, and that the City is in no way obligated to pay any bonds, indebtedness or other debt of the District;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS:
Section 1: THAT the findings and determination found and made in the preamble hereof are hereby incorporated herein and made a part of this Resolution.
Section 2: THAT the issuance by the Dallas County Flood Control District No. 1 of its 2015 Bonds in the approximate principal amount of $27,750,000 is hereby approved solely for the purpose of approving the issuance of bonds over $500,000 as required by the Act. The 2015 Bonds may be sold at a discount from the principal amount thereof as may be determined by the Board of Directors of the District.
Section 3: THAT this Resolution shall be effective from and after its passage and approval.
Section 4: THAT it is hereby officially found and determined that the meeting at which this resolution is passed is open to the public as required by law and that the public notice of the time, place and purpose of said meeting was given as required.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS, ON THIS THE 15TH DAY OF SEPTEMBER, 2015.