Loading...
HomeMy WebLinkAboutResolution 95-16 03/06/1995 , .. CITY OF SPRINGFIELD LANE COUNTY STATE OF OREGON RESOLUTION NO. 95-16 . A RESOLUTION AUTHORIZING THE ISSUANCE OF REVENUE BONDS FOR THE ,PURPOSE OF FINANCING THE ACQUISITION, CONSTRUCTION, INSTALLATION AND EQUIPPING OF FACILITIES FOR THE CITY'S SEWERAGE SYSTEM; AND ESTABLISHING AND DETERMINING OTHER MATTERS IN CONNECTION THEREWITH. ADOPTED O't'l MARCH 6, 1995 EFFECTIVE ON MARCH 6, 1995 .' . . . . . T ABLE OF CONTENTS NOTE: TIllS TABLE OF CONTENTS IS PROVIDED SOLELY FOR THE CONVENIENCE OF THE READER. IT DOES NOT CONSTITUTE A PART OF THIS RESOLUTION. RECITALS ....................................................................................... (1) The City's Sewerage System. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (2) Need to Finance Project Costs. .........................:................................. 2 (3) Uniform Revenue Bond Act. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 2 (4) Development of System Revenue Bond Financing Prograrn. .................................... 2 '(5) Authorization of Bonds to Finance Project. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 2 Section 1. Definitions. ............................................................................ 2 Section 2. Authorization of Revenue Bonds to Finance Project and Related Matters. .......................... 4 (a) Principal Amount. ..................................................................... 4 (b) Limited Obligations. ................................................................... 4 (c) Issuance in Series. ..................................................................... 4 (d) Preparation of General Revenue Bond Master Resolution. ..................................... 4 SECTION 3. RIGHT OF ELECTORS TO REFER BONDS TO VOTE. ............................................4 (a) Petition to Refer Bonds to Vote. .......................................................... 4 (b) Signatures Required and Time for Filing Petition. ..........................................:. 4 Section 4. Publication of Notice. .................................:.................................. 5 SECTION5. REIMBURSEMENT OF PRE-IsSUANCE EXPENDITURES. ......................................... 5 SECTION 6. ADDmONAL ACTIONS AUTHORIZED. ...................................................... 5 Section 7. Governing Law. ....................................................................... 5 Section 8. Headings Not Binding. .................,................................................. 5 Section 9. Effective Date. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . _ _ . . . . . . . . . . _ . _ _ . . . . . . . . _ _ . . . . . . . _. 5 . . . . . CITY OF SPRINGFIELD LANE COUNTY STATE OF OREGON RESOLUTION No. 95-16 A RESOLUTION AUTHORIZING THE ISSUANCE OF REVENUE BONDS FOR THE PURPOSE OF FINANCING THE ACQUISITION, CONSTRUCTION, INSTALLATION AND EQUIPPING OF FACILITIES FOR CITY'S SEWERAGE SYSTEM; AND ESTABLISHING AND DETERMINING OTHER MATTERS IN CONNECTION THEREWITH. RECITALS: As the preamble to this Resolution, the City Council (the "Council") of City of Springfield, Oregon (the "City") hereby recites the matters set forth below. To the extent any such recital relates to a finding or determination which must be made by the Council in connection with the subject matter of this Resolution or any aspect thereof, the Council declares that by setting forth such recital such fmding or detennination is thereby made by the Council. The recitals, fmdings and detenninations set forth herein constitute a part of this Resolution. Terms used in the following recitals and not defmed therein shall have the respective meanings assigned thereto in Section 1 of this Resolution. (1) THE CITY'S SEWERAGE SYSTEM. The City currently owns and operates a sanitary and wastewater sewerage system (the "Sewerage System"). In connection with the continued operation of the Sewerage System, the City needs acquire, construct and install various capital improvements as part of the Sewerage System, which capital improvements generally consist of the following (collectively, the "Projects"): the construction of a 60 inch sanitary sewer interceptor from the inlet of the East Bank Interceptor through Island Park and on to the South A Street Bridge. (2) NEED TO FINANCE PROJECT COSTS. The City currently estimates that the Project Costs will be RESOLUTION NUMBER 95-16 PAGE 1 . . . approximately $4,200,000, exclusive of Bond financing costs and reserves. In order to proceed with the Projects, it is necessary for the City to issue and sell the bonds described herein (the "Bonds") to raise the moneys that will be needed to pay the Project Costs, which Bonds are currently estimated to be in an amount not to exceed the principal sum of $4,000,000. (3) UNIFORM REVENUE BONDAcr. Pursuant to and in accordance with the provisions of the Act and related provisions of the Oregon Revised Statutes, the City is authorized to issue and sell from time to time revenue bonds for any public purpose. Utilizing this authority, the City intends to issue and sell the Bonds in order to provide the moneys needed to pay the Project Costs. (4) DEVELOPMENT OF SYSTEM REVENUE BOND FINANCING PROGRAM. In connection with the issuance of the bonds, it will be in the long-term interest of the City to develop and adopt the Master Resolution described herein in order to provide a comprehensive framework for meeting the current and future financing needs of the Sewerage System. (5) AUTHORIZATION OF BONDS TO FINANCE PROJECT. The City is currently in the process of finalizing the arrangements for the acquisition, construction, installation and equipping of the Projects, including obtaining all necessary permits and approvals, and anticipates that it will be in a position to commence the acquisition, construction, installation and equipping of the Projects within the next few months. Therefore, it is appropriate for City to authorize the issuance of the Bonds under the Act for the purpose of financing the acquisition, construction, installation and equipping of the Project. (6) PRE-ISSUANCE EXPENDITURES ON PROJECT COSTS. The City has incurred, or will incur in the future, preliminary expenditures relating to the design, planning and feasibility of the Projects, all within the meaning of Treasury Regulations S1.103-18(i)(2), and will continue to incur from time to time additional costs of acquiring, constructing and installing the Projects (such preliminary expenditures together with such other costs of the Projects incurred and paid prior to the issuance of the Obligations being herein collectively called the "Pre-Issuance Expenditures"), which Pre-Issuance Expenditures, in accordance with the budget for the Projects and the City's operating budget, will ultimately be fmanced out of the proceeds of the Bonds as and when such bonds are issued. Pending the issuance of, and the availability of the proceeds derived from the issuance and sale of, the Bonds, the Pre-Issuance Expenditures have been and will be paid on an interim basis out of moneys which, in accordance with the City's budget and budgetary practices, are not and will not be available on a long-term basis to pay such costs (the "Advances"), with the expectation and intent that the City will be reimbursed for all such Advances out of the proceeds of the Bonds as and when the same are issued. Now, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF CITY OF SPRINGFIELD, OREGON, AS FOLLOWS: SECTION 1. DEFINITIONS. As used in this Resolution, the following terms shall have the respective meanings set forth in this Section I: "Act" means the Oregon Uniform Revenue Bond Act, being ORS 288.805 to 288.945, as amended. "Bonds" means the revenue bonds authorized to be issued under Section 2 of this Resolution for the purpose of financing the Project Costs, which bonds shall be issued under the Act, this Resolution and the Master RESOLUTION NUMBER 95-16 PAGE 2 . . . Resolution. "Charter" means the Charter of City as amended and currently in effect. "City" means the City of Springfield, a political subdivision duly organized and existing under the laws of the State of Oregon and the City Charter. "Master Resolution" means a resolution to be hereafter adopted by the City Council, which resolution shall supplement the terms and provision of this Resolution by providing a comprehensive framework for the issuance of the Bonds and any additional revenue bonds that may be necessary or appropriate to meet the future financing needs of the Sewerage System, all for the purpose of dedicating and pledging appropriate revenues of the City to the payment of such revenue bonds, establishing the necessary funds and accounts in connection therewith, and setting forth appropriate covenants, terms and conditions in order to enable all revenue bonds issued thereunder to be marketed and sold on the best possible terms. . "Petition" means a petition filed by the electors of the City asking to have the question of whether to issue the Bonds referred to a vote, all as permitted by ORS 288.815 and as more particularly set forth in Section 3 of this Resolution. "Projects" means the various capital improvements to the Sewerage System to be fmancedby the City from the proceeds of the Bonds, all as generally described in the Recitals to this Resolution and as more particularly described in the plans of the City as the same may be amended or modified from time to time. "Project Costs" means all costs and expenses incurred and to be incurred in connection with the design, engineering, acquisition, construction, equipping, permitting, testing and fmancing of the Projects, including all costs incurred in connection with the issuance and sale of the Bonds, capitalized interest on the Bonds or any interim financing obligations during the period of construction and initial operation of the Project, and the funding of any necessary reserves and contingency amounts. "Revenues" means: (i) the rates and charges paid by the users of the Sewerage System for the use of the facilities and services thereof; and (ii) any other revenues of the City which, pursuant to the Master Resolution, are pledged to the payment of the Bonds; all as the same shall be more particularly described in the Master Resolution. "Sewerage System" means the properties, interests in properties, facilities, structures, equipment and appurtenances constituting the sanitary and wastewater sewerage system owned and operated by the City. RESOLUTION NUMBER 95-16 PAGE 3 . . . SECfION 2. AUTHORIZATION OF REVENUE BONDS TO FINANCE PROJECT AND RELATED MATTERS. (A) PRINCIPAL AMOUNT. For the purpose of fmancing the Project Costs, the Bonds are hereby authorized to be issued pursuant to the Act in an aggregate principal amount not to exceed $4,000,000; provided that in the event any Bonds are issued and sold at an original issue discount, such original issue discount shall not, for purposes of the maximum principal amount of Bonds authorized to be issued hereunder, be deemed to be a part of the principal amount thereof, it being the intent hereof that the stated principal amount of the Bonds less any such original issue discount shall not exceed $4,000,000. The Bonds shall be issued pursuant to this Resolution and the Master Resolution, and shall be secured by and payable from the Revenues, and shall have such terms, conditions and provisions, all as shall be set forth in the Master Resolution. (B) LIMITED OBLIGATIONS. The Bonds and all obligations of the City under or with respect to the Bonds shall be and remain limited obligations of the City payable solely and only out of the Revenues and other assets and properties of the City hereafter pledged or mortgaged thereto pursuant to the Master Resolution (the Revenues together with such other assets and properties being herein called the "Trust Estate"). No recourse shall be had against any properties, funds or assets of the City (other than the Trust Estate) for the payment of any amounts owing under or with respect to the Bonds. Neither the Bonds nor the obligations of the City under or with respect thereto shall constitute or create an indebtedness of the City within the meaning of any Charter, constitutional or statutory debt limitation. No recourse shall be had for the payment of the principal of or interest on the Bonds or for any claim based thereon against any member, officer or employee of the City or any person executing the Bonds. (C) ISSUANCE IN SERIES. In order to accommodate the fmancing needs of the Project in the most efficient and cost effective manner possible under the circumstances, the Bonds may be issued in one or more senes. (D) PREPARATION OF GENERAL REVENUE BOND MASTER RESOLUTION. The City Manager, City Attorney, the Finance Director and the City's staff, fmancial advisor and bond counsel are hereby authorized and directed to prepare the Master Resolution as contemplated herein and to present such Master Resolution to the Council for consideration and adoption. SECTION 3. RIGHT OF ELECTORS TO REFER BONDS TO VOTE. Pursuant to and in accordance with the requirements of the Act, the issuance of the Bonds as authorized by this Resolution is subject to the following limitations and conditions: (A) PETITION TO REFER BONDS TO VOTE. The electors of the City may file a Petition with City asking to have the question of whether to issue the Bonds referred to a vote, as provided and required under ORS 288.815(3). (B) SIGNATURES REQUIRED AND TIME FOR FILING PETITION. If: (i) a Petition is filed within 60 days foll0wing publication of the notice described in Section 4 of this Resolution; and (ii) such Petition contains the valid signatures of electors of City totaling not less than five RESOLUTION NUMBER 95-16 PAGE 4 . . . percent of City's electors; then and in such event the question of issuing the Bonds shall be place on the ballot at the next legally available election date, and no Bonds may be sold until this Resolution is approved by a majority of the electors of City voting on such question. If no Petition meeting the requirements of (ii) above is filed with City within the 60-day time period referred to in (i) above, City may proceed with the issuance and sale of the Bonds at any time following the expiration of such 60-day time period. , SECTION 4. PUBLICATION OF NOTICE. The City Finance Director is hereby authorized, empowered and directed, for and on behalf of the City, to publish a notice in the form attached hereto as Exhibit A. Such notice shall be published in The Springfield News, a newspaper of general circulation within the jurisdictional boundaries of the City. ' SECfION 5. REIMBURSEMENT OF PRE-ISSUANCE EXPENDITURES. The City hereby declares its intent to finance all Pre-issuance Expenditures out of the proceeds of the Bonds as and when the same are issued, and to reimburse itself out of the proceeds of the Bonds for all Advances made for the purpose of paying on an interim basis all Pre-issuance Expenditures. The City acknowledges that such reimbursement from Bonds proceeds may be made only to the extent that all other applicable requirements of Treasury Regulations ~ 1.103-18 are met with respect to the Bonds, the Pre-Issuance Expenditures, the sources of funds used to make the Advances and such reimbursement from Bond proceeds, but intends, and hereby directs all City officials and personnel, to take such lawful actions as may be necessary or appropriate in order to ensure that the Advances may be reimbursed from Obligation proceeds to the fullest extent permitted by law. This resolution is intended to constitute an official declaration on the part of the City to reimburse itself out of the proceeds of the Obligations for all Advances made to pay Pre-issuance Expenditures, all within the meaning of and pursuant to Treasury Regulation ~1.103-l8. Within 30 days after the date of adoption of this resolution, the clerk of the Council shall make a certified copy of this Resolution available for public inspection at the main adIninistrative offices of the City, and shall keep such certified copy available for public inspection at said administrative offices until all series of Bonds described herein have been issued. SECfION 6. ADDITIONAL ACTIONS AUTHORIZED. The City Manager, the City Attomey and the City Finance Director, and such other City personnel as shall be directed by any of the foregoing, are each hereby authorized, empowered and directed, for and on behalf of the City, to take any and all actions necessary or appropriate in order to carry out the intended purposes of this Resolution. SECfION 7. GoVERNING LAW. This Resolution shall be interpreted, governed by and construed under the laws of the State of Oregon, including the Act. SECTION 8. HEADINGS NOT BINDING. The headings in this Resolution are for convenience only and in no way defme, limit or describe the scope or intent of any provisions or sections of this Resolution. SECTION 9. EFFECTIVE DATE. This Resolution shall become effective immediately upon adoption. RESOLUTION NUMBER 95-16 PAGE 5 . . . ADOPTED BY THE CITY COUNCIL OF CITY OF SPRINGFIELD AT A REGULAR MEETING HELD ON MARCH 6,1995 BY THE FOLLOWING VOTES: AYES: 6 NAYS: 0 G~~ ~YOR ATTEST: p; , } ~titc?~,~ CORDER RESOLUTION NUMBER 95-16 PAGE 6 . . . EXHmIT A FORM OF NOTICE CITY OF SPRINGFIELD, OREGON OFFICIAL NOTICE OF INTENT TO ISSUE REVENUE BONDS NOTICE IS HEREBY GIVEN that on March 6, 1995, the City Council of City of Springfield, Oregon (the "City") adopted Resolution No. 95~16 (the "Resolution"), a copy of which Resolution is available for inspection by any interested member of the public during regular business hours at the offices of City Recorder located at 225 N. 5th Street, Springfield, Oregon. BONDS AUTHORIZED: The Resolution authorizes the issuance of revenue bonds in one or more series in an estimated aggregate principal amount of not to exceed $4,000,000 (the "Bonds") for the purpose fmancing the costs of acquiring, constructing, installing and equipping various capital improvements to the sanitary and wastewater sewerage system of the City (the "Sewerage System"), which capital improvements generally consist of the following (collectively, the "Projects"): the construction of a 60 inch sanitary sewer interceptor from the inlet of the East Bank Interceptor through Island Park and on to the South A Street Bridge. The Projects will constitute a part of City's Sewerage System which serves the residential, commercial, industrial and business properties located within City. SOURCE OF PAYMENT OF BONDS: The City expects that the Bonds will be paid out of the revenues derived from the operation of the Sewerage System, such revenues consisting primarily of charges imposed upon and collected from the users of the facilities and services of the Sewerage System. The City may also' provide for the payment of the Bonds out of other legally available sources of revenue. No special property taxes or other taxes will be levied to pay the amounts owing on the Bonds. RIGlIT TO REFER ISSUANCE OF BONDS TO ELECfORS FOR APPROVAL: Under the provisions of ORS 288.815, the electors of the City have the right to file a petition with the City asking to have the question of the issuance of the Bonds referred to a vote. In order to have the question of issuance of the Bonds so referred to a vote, a petition asking for such a referral must be filed with the City Recorder not less than 60 days following the date of publication of this notice and such petition must contain the valid signatures of not less than five percent of the City's electors. If such a petition is filed with City Recorder within such 60 day period, the question of issuing the Bonds will be placed on the ballot at the next legally available election date and the Bonds may not be sold until the Resolution is approved by a majority of the electors of City voting on the Resolution at such election. If no such petition is filed with the City Recorder within such 60 day period, the City may proceed to issue the Bonds at any time thereafter without further notice or right of referral on the part of the electors of the City. . . . " This notice is being given and pub~~ b: o~der ~ th~ City Council of City pursuant to the requirementsofORS288.815(6). V y ~ ~- , MICHAEL KELLY, CITY 'MANAGER (:) DATE OF PUBLICATION: . . . ~ . STOEL R.IVES BOLEY JONES &CR.EY ATTORNEYS AT LAW SUITE 950 PORT OF PORTLAND BUILDING 700 NE MUL TNOMAH PORTLAND, OREGON 97232-4109 Telephone (503) 294-9100 Telecopier (503) 230-1907 Telex 703455 Writer's Direct Dial Number (503) 872-4838 March 8, 1995 VIA OVERNIGHT COURIER Mr. Robert Duey Finance Director City of Springfield 225 N. Fifth Street Springfield, OR 97477 Dear Bob: purposes. EDE:tcg Enclosure PORTLAND, OREGON Enclosed for your information is the final resolution for certification Please call me if you have any questions. V ery tru~r;:...n , ~~.~,.~. Edw, D. Einowski SEATTLE, WASHINGTON BELLEVUE, WASHINGTON VANCOUVER, WASHINGTON BOISE, IDAHO SALT LAKE CITY, WASHINGTON, UTAH DISTRICT OF COLUMBIA