From
Caroline Siskowic
Title
Resolution declaring expectation to reimburse expenditures with proceeds of future debt in the amount of $182,400 for expenses for the Fire Department ambulance replacement.
Presenter
Clif Nelson, Fire Chief
Recommend Action
Approve
Analysis
The purchase of an ambulance for the Fire Department is a planned expense for the FY 2012/2013 Fire Capital Improvements Project , however, the funding mechanism via bond sale will not occur until early 2013. Therefore, a reimbursement resolution is necessary. The total cost for this capital item is $182,400 comprised of $153,425 for the ambulance and $28,975 for tools and equipment.
A price increase of 10-20% is anticipated due to the new National Fire Protection Association (NFPA) 1917 requirements for orders placed after December 31, 2012. An exact increase is not known at this time, however, a minimum of 10%, or $15,343, is expected.
Financial Consideration
Interim funding is available from the unobligated fund balance in the Fire Capital Projects Fund (400591) WO #01300903 (Ambulance Replacement).
Body
A RESOLUTION OF THE CITY OF GRAND PRAIRIE, TEXAS, DECLARING EXPECTATION TO REIMBURSE EXPENDITURES WITH PROCEEDS OF FUTURE DEBT FOR AN AMBULANCE REPLACEMENT
WHEREAS, the City of Grand Prairie, Texas (the "Issuer") intends to issue debt for the purchase of one ambulance, (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 City of Grand Pra...
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