From
Cheryl Davenport
Title
Resolution declaring expectation to reimburse expenditures with proceeds of future debt to replace the radio tower and move it from the current location near the service center to the higher elevation near fire station 3.
Presenter
Diana G, Ortiz, CFO
Recommended Action
Approve
Analysis
This resolution provides the mechanism to issue bonds in FY 2017-2018 to reimburse expenditures incurred in the current fiscal year to replace the radio tower and move it from the current location near the service center to the higher elevation near fire station 3. The next council communication (17-6974) discusses the necessity of replacing and moving the radio tower and amending the current Capital Improvements Projects Budget for FY 2016-2017 in order to appropriate the necessary Funds.
Financial Consideration
Funding is available in the Municipal Facilities Capital Project Fund (405090) and the Capital Reserve Fund (402590) for a total amount not to exceed $2,500,000 which includes costs of issuance.
Body
A RESOLUTION DECLARING EXPECTATION TO REIMBURSE EXPENDITURES FOR REPLACEMENT OF RADIO TOWER WITH PROCEEDS OF FUTURE DEBT
WHEREAS, the City of Grand Prairie, Texas (the “Issuer”) intends to issue debt to replace a radio tower for the Issuer together with associated fiber optics, equipment and installation costs (the “Project”) and further intends to make certain capital expenditures with respect to the Project and currently desires and expects to reimburse the capital expenditures with proceeds of such debt;
WHEREAS, under Treas. Reg. § 1.150-2 (the “Regulation”), to fund such reimbursement with proceeds of tax-exempt obligations, the Issuer must declare its expectation to make such reimbursement; and
WHEREAS, the Issuer desires to preserve its ability to reimburse the capital expenditures with proceeds of tax-exempt obligations.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE ISSUER THAT the Issuer reasonably expects t...
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