HomeMy WebLinkAboutOrdinance No. 20468COUNCIL ORDINANCE NUMBER 20468
COUNCIL BILL NUMBER 5041
AN ORDINANCE ESTABLISHING A PROCESS
AND STANDARDS FOR ISSUING ECONOMIC
DEVELOPMENT PROJECT REVENUE BONDS AS
RECOVERY ZONE FACILITY BONDS.
ADOPTED: December 13, 2010
SIGNED: December 13, 2010
PASSED: 7/1
REJECTED:
OPPOSED:
Brown
ABSENT:
EFFECTIVE:
December 15,2010
ORDINANCE NO, 20468
AN ORDINANCE ESTABLISHING A PROCESS AND STANDARDS FOR
ISSUING ECONOMIC DEVELOPMENT PROJECT REVENUE BONDS
AS RECOVERY ZONE FACILITY BONDS.
The City Council of the City of Eugene finds that:
A. The City received an allocation of $11,083,000 of recovery zone facility bond
volume cap under the American Recovery and Reinvestment Act of 2009 ( "ARRA "). That
volume cap allows the City to issue tax - exempt bonds to finance privately owned depreciable
property.
2010.
B. ARRA requires that recovery zone facility bonds be issued by December 31,
C. The City is authorized by ORS 280.410 to 280.485 to issue economic
development project revenue bonds that qualify as recovery zone facility bonds under ARRA.
D. ORS 280.420 requires the City to adopt an ordinance approving standards and a
process for receiving and processing applications for economic development project revenue
bonds that are issued under ORS 280.410 to 280.485.
THE CITY OF EUGENE DOES ORDAIN AS FOLLOWS:
Section 1 . Purpose. The purpose of this ordinance is to provide procedures and
standards to carry out the powers granted to the City by ORS 280.410 to 280.485 with respect to
economic development projects that may be financed with recovery zone facility bonds that are
authorized by the American Recovery and Reinvestment Act of 2009 ( "ARRA "). ORS 280.410
to 280.485 authorize the City to issue revenue bonds to finance or refinance certain economic
development projects and to loan the proceeds of those bonds to private entities to provide for
the construction, substantial rehabilitation or permanent financing of those economic
development projects. The provisions of this ordinance are to be liberally construed in order to
carry out this purpose.
Section 2 . Applications. Applications for financing with economic development project
revenue bonds that qualify as recovery zone facility bonds may be filed with the City Manager
not later than two weeks prior to the last scheduled council meeting in calendar year 2010; or, if
the legislation authorizing issuance of recovery zone facility bonds is extended beyond
December 31, 2010, then not later than two weeks prior to the last scheduled council meeting
before expiration of the extended authorization deadline. Applications may be in the form of a
Ordinance - Page 1 of 2
letter addressed to the City Manager; the application shall describe the proposed project, the
amount of recovery zone facility bond financing that is requested for the project, and the
proposed purchaser of the recovery zone facility bonds.
Section 3 . Standards and Approval. The City Council may consider any relevant data
before approving a project for financing with economic development project revenue bonds that
qualify as recovery zone facility bonds. Before approving a project for that financing the City
Council shall consider the benefit to the community of the project, the availability of recovery
zone facility bond volume cap for the project, and the likelihood that applicant will be successful
in having the recovery zone facility bonds issued by December 31, 2010, or any later date
authorized by the federal gove for issuance of recovery zone facility bonds. The issuance
of economic development project revenue bonds that qualify as recovery zone facility bonds may
be approved by resolution of the City Council.
Section 4 . Effective Date. ARRA currently requires recovery zone facility bonds to be
issued by December 31, 2010. Therefore, this ordinance shall take effect immediately upon its
approval by the City Council.
Passed by the City Council this
13th day of December, 2010
Deputy C Recorder
Approved by the Mayor this
/7 da y of December, 2010
Ma Y29
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