HomeMy WebLinkAboutResolution No. 4807 COUNCIL RESOLUTION NO, 4807
A RESOLUTION AUTHORIZING INTERIM
AND LONG TERM FINANCING FOR LOCAL
IMPROVEMENT PROJECTS AND
TERMINATING THE AUTHORITY UNDER
RESOLUTION NO. 4602,
PASSED: 8~
REJECTED:
OPPOSED:
ABSENT:
CONSIDERED: September 13, 2004
RESOLUTION NO. 4807
A RESOLUTION AUTHORIZING INTERIM AND LONG
TERM FINANCING FOR LOCAL IMPROVEMENT
PROJECTS AND TERMINATING THE AUTHORITY
UNDER RESOLUTION NO, 4602.
The City Council of the City of Eugene, Oregon (the *'City") finds as follows:
A. The City is authorized under ORS 288.165 (the "Act") to obtain lines of credit and
issue obligations to provide interim financing for capital assets. The Act permits the City to
pledge its anticipated taxes, grants, other revenues, the proceeds of any bonds or other permanent
financing, or any combination of the foregoing to pay obligations issued under the Act.
B. The City adopted Resolution No. 4602 on September 13, 1999. It authorized
borrowings for in-City local improvement projects under the Act as it existed in 1999. In 1999
the Act limited obligations and refundings to a term of one year. In 2003 the Act was amended
to allow obligations to have a term of up to five years.
C. The City finds it will be advantageous to adopt this resolution, authorizing the city
to obtain and maintain interim financing for local improvement projects located inside and
outside the City in a maximum outstanding principal amount of not more than $4,000,000, and
with a maximum term of five years, as provided herein.
D. ORS Chapter 223 authorizes the City to issue bonds to provide permanent
financing for local improvement projects.
E. The City also finds it will be advantageous to authorize the issuance of bonds
under ORS Chapter 223 to provide permanent financing for local improvement projects that
receive interim financing under the authority of this Resolution or Resolution No. 4602.
NOW, THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF EUGENE, a
Municipal Corporation of the State of Oregon, as follows:
Section 1. Authorization and Limitation on Interim Financing. The City is hereby
attthorized to obtain and maintair~ one or more interim financings (the "Interim Financings")
pursuant to this Resolution and the Act for the costs of local improvement projects, including
street paving, sidewalks and storm sewers (the "Projects"), subject to the following limitations:
1.1. The maximum principal amount of Interim Financings that may be
outstanding at any time shall not exceed Four Million Dollars ($4,000,000);
1.2. Each Interim Financing shall have a term of not more than five
years, and shall comply with the limitations of the Act.
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Section 2. Security for Interim Financines. Interim Financings may be secured by a
pledge of:
2.1. All or any portion of the assessment payments for Projects, and any
amounts the City receives from foreclosing assessment liens;
2.2. The proceeds of any Bonds or other permanent financing for the
Projects; and,
2.3. The City's full faith and credit and taxing power within the
limitations of Article XI, Sections 11 and 1 lb of the Oregon Constitution.
Section 3. Authorization and Limitation on Bonds. The City is hereby authorized to
issue one or more series of bonds pursuant to this Resolution and ORS Chapter 223 (the
~Bonds") to provide permanent financing for Projects that receive Interim Financing or were
financed under the authority of Resolution No. 4602, subject to the following limitations:
3.1. The principal amount of each series of Bonds shall not exceed the
unpaid balance of all final assessments for the Projects that are refinanced by the
series, plus the amount of any debt service reserves for the series, plus the costs of
issuing the series; and
3.2. Each series of Bonds shall mature no later than one year after the
final scheduled assessment payment for the Projects that are refinanced by the
series, and shall comply with the limitations of ORS Chapter 223.
Section 4. Security for Bonds. Bonds may be secured by a pledge of:
4.1. All or any portion of the assessment payments for the refinanced
Projects and any amounts the City receives from foreclosing assessment liens for
the refinanced Projects; and,
4.2. The City's full faith and credit and taxing power within the
limitations of Article XI, Sections 11 and 1 lb of the Oregon Constitution.
Section 5. Deleeation. The City Manager or the person designated in writing by the City
Manager to act trader this Resolution (the "City Official") may, on behalf of the City and without
further action by the Council:
5.1. Circulate requests for proposals, obtain competitive bids, or select
banks or underwriters for each series of Interim Financings and Bonds, and enter
into agreements to sell Interim Financings or Bonds;
5.2. Establish the principal amounts, interest rates, security and all
other terms of, and execute and deliver, one or more series of Interim Financings
and Bonds, subject only to the limitations in this Resolution;
5.3. Renew, extend or replace any Interim Financings obtained under the
authority of this Resolution, and issue Bonds to refund any Bonds issued under this
Resolution;
5.4. Obtain bond insurance or other credit enhancements for Interim
Financings or Bonds, and enter into agreements with credit enhancers;
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5.5. Prepare and circulate any disclosure documents that are desirable to
facilitate the sale of Interim Financings or Bonds;
5.6. Provide that Interim Financings or Bonds shall bear interest which is
includable in gross income under the United States Internal Revenue Code;
5.7. Provide that Interim Financings or Bonds shall bear interest which
is excludable from gross income under the United States Internal Revenue Code,
and enter into covenants to protect that excludability;
5.8. Execute arid deliver Interim Financings and Bonds and pay or
prepay Interim Financings and Bonds; and
5.9. Execute any documents and take any actions which the City Official
reasonably determines are desirable to carry out this Resolution, or to obtain Interim
Financings and sell Bonds in accordance with this Resolution and the Act.
Section 6. Termination of Authority Granted by Resolution No. 4602~ The City shall
not issue any additional obligations under Resolution No. 4602 after the City obtains Interim
Financing under the authority of this Resolution.
Section 7. Effective Date. This Resolution shall take effect on the date of its adoption.
The foregoing Resolution adopted this 13th day of September, 2004.
City R~cbr~ler
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