Item 2C - EWEB Revenue Bonds - Laserfiche WebLink

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G. As of the date of this Resolution, the aggregate principal amount of bonds issued pursuant to the 2001 URBA Authorization is $44,570,719.21, consisting of $37,570,719.21 of Electric Utility System Revenue Bonds, Series 200lB, and $7,000,000 of the 2003 New Project Bonds, leaving $5,429,280.79 of authorized but unissued debt remaining under the 2001 URBA Authorization. H. EWEB has by resolution requested that the City Council adopt this Resolution in part to set the terms for the issuance of not to exceed $5,400,000 principal amount of bonds (the "2005 New Project Bonds") for the purpose of financing capital improvements to the electric utility system which constitute Project purposes under the 2001 URBA Authorization (the "2005 New Project"), to fund necessary reserves for the 2005 New Project Bonds, and to pay the costs of issuance of the 2005 New Project Bonds. I. It is in the best interest of the City, acting by and through EWEB, to provide funds for the design, construction, installation, equipping and relicensing of certain capital improvements, including related acquisitions of land and relicensing of the Carmen-Smith Hydroelectric Project (herein referred to collectively as the "2005 Improvement Program"), to the Electric Utility System operated by EWEB, including structural and environmental enhancement facilities and facilities to improve the generation, transmission, distribution and operations of the Electric Utility System. J. The cost of the 2005 Improvement Program, including bond issuance costs and debt service reserves, is estimated not to exceed $10,000,000. K. EWEB has by resolution requested that the City Council adopt this Resolution in part to authorize and set the terms for the issuance and sale of not to exceed $10,000,000 principal amount of bonds (the "2005 Improvement Bonds"), which bonds will not be general obligations of the City, nor a charge upon its tax revenues, but will be payable solely from revenues of the Electric Utility System which EWEB pledges to the payment of such bonds pursuant to ORS 288.825(1) and the resolutions to be adopted by EWEB pursuant to this Resolution. L. EWEB has by resolution undertaken to cause to be prepared a plan showing that EWEB's estimated Electric Utility System revenues are sufficient to pay the estimated debt service on the 2005 Improvement Bonds authorized by this Resolution. M. The City and EWEB anticipate incurring expenditures ("Expenditures") to finance the costs of the 2005 New Project and the 2005 Improvement Program and wish to declare their official intent to reimburse themselves for the Expenditures made on the 2005 New Project and the 2005 Improvement Program from the proceeds of the 2005 New Project Bonds and the 2005 Improvement Bonds. To the extent that the expenditures and the use of proceeds of the 2005 New Project Bonds and the 2005 Improvement Bonds may qualify under federal tax law and regulations, the City, including EWEB, intends for the interest on such bonds to be excludable from gross income for federal income tax purposes under § 103 of the Internal Revenue Code of 1986, as amended (the "Code"). N. EWEB has by resolution requested that the City Council adopt this Resolution in part to authorize the publication of the Notice of Revenue Bond Authorization relating to the 2005 Resolution - 2