Item 2F: Resolution Authorizing EWEB Borrowing (electric system)

Home Browse Search

ATTACHMENT A RESOLUTION NO. A RESOLUTION AUTHORIZING THE ISSUANCE AND SALE OF WATER UTILITY SYSTEM REVENUE BONDS FOR THE PURPOSE OF FINANCING IMPROVEMENTS TO THE WATER UTILITY SYSTEM IN THE AGGREGATE PRINCIPAL AMOUNT OF NOT TO EXCEED TWENTY FIVE MILLION FIVE HUNDRED THOUSAND DOLLARS ($25,500,000); AND PROVIDING FOR RELATED MATTERS The City Council of the City of Eugene finds that: A. Oregon Revised Statutes (“ORS”) Section 287A.150 (the “Act”), authorizes the City of Eugene (the “City”) to issue revenue bonds payable from identified revenues of the City. The City, acting by and through the Eugene Water & Electric Board (“EWEB”), owns and operates a water utility system and related facilities and systems. B. On September 2, 1997, EWEB adopted a resolution authorizing and providing for the issuance, from time to time, of City of Eugene, Oregon Water Utility System Revenue Bonds to be equally and ratably secured by the pledge of revenues, funds and accounts thereunder (as amended and supplemented, the “Bond Resolution”). C. The Bond Resolution provides in part that the principal of, premium, if any, and interest on the bonds issued thereunder shall not be payable from any funds of the City nor constitute a general obligation of the City or create a charge upon the tax revenues or any other property or revenues of the City. D. EWEB has requested by resolution that the City Council adopt this Resolution in part to set the terms for the issuance of not to exceed $25,500,000 in aggregate principal amount of water utility system revenue bonds (the “Bonds”) for the purpose of financing the acquisition, design, construction, installation and equipping of certain capital improvements to the water utility purification, storage, transmission and distribution systems (collectively, the “Project”), to fund necessary reserves and to pay the costs of issuance of Bonds. E. The 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 Water Utility System which EWEB pledges to the payment of such Bonds pursuant to ORS Sections 287A.310 and 287A.325 and the resolution to be adopted by EWEB pursuant to this Resolution. F. EWEB has by resolution undertaken to cause to be prepared a plan showing that EWEB’s estimated Water Utility System revenues are sufficient to pay the estimated debt service on the Bonds authorized by this Resolution. G. The City and EWEB anticipate incurring expenditures (“Expenditures”) to finance the costs of the Project and wish to declare their official intent to reimburse themselves for 10842272.6