Loading...
HomeMy WebLinkAboutCity Council Resolution 2003-082CITY OF PLYMOUTH RESOLUTION NO. 2003-082 ORDERING IMPROVEMENT AND PREPARATION OF PLANS AND SPECIFICATIONS 2003 STREET RECONSTRUCTION PROJECT AND ESTABLISHING COMPLIANCE WITH REIMBURSEMENT BOND REGULATIONS UNDER THE INTERNAL REVENUE CODE CITY PROJECT NO. 3101 WHEREAS, the City Council adopted a resolution on the 7th day of January, 2003, which fixed a date for a public hearing with respect to the improvements to that portion of Maintenance District 27 east of Clifton E. French Regional Park, west of Zachary Lane, and including 36th Avenue through 39h Avenue; and WHEREAS, the proposed project includes the reconstruction of streets by the installation of bituminous pavement, new curb and gutter on the north side of 36th Avenue, repair of concrete curb and gutter and all necessary appurtenances; and WHEREAS, ten days published notice of the hearing through three weekly publications of the required notice was given and the hearing will be held thereon the 11th day of February, 2003, at which time all persons desiring to be heard will be given an opportunity to be heard thereon; and WHEREAS, ordering this improvement requires a 4/5 vote of the Council (six votes) since the project has not been petitioned for by the benefiting owners; NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF THE CITY OF PLYMOUTH, MINNESOTA: 1. Such improvement is hereby ordered as proposed in the Council resolution adopted January 7, 2003. 2. The Plymouth Engineering Department is designated as engineer for the improvement. They shall prepare plans and specifications for the making of such improvement. Resolution No. 2003-082 Page 2 BE IT FURTHER RESOLVED by the City Council (the "Council") of the City of Plymouth (the "City"), as follows: 1. Recitals. (a) The Internal Revenue Service has issued Section 1.150-2 of the Income Tax Regulations (the "Regulations") dealing with the issuance of bonds, all or a portion of the proceeds of which are to be used to reimburse the City for project expenditures made by the City prior to the date of issuance of the bonds. (b) The Regulations generally require that the City, as issuer of the bonds, make a declaration of its official intent to reimburse itself for such prior expenditures out of the proceeds of a subsequently issued series of bonds within 60 days after payment of the expenditures, that the bonds be issued and the reimbursement allocation be made from the proceeds of such bonds within the reimbursement period (as defined in the Regulations), and that the expenditures reimbursed be capital expenditures or costs of issuance of the bonds. (c) The City desires to comply with requirements of the Regulations with respect to certain projects to be undertaken within the City. 2. Official Intent Declaration. (a) The City expects to make original expenditures with respect to the above described projects prior to the issuance of reimbursement bonds, and the City reasonably expects to issue reimbursement bonds for such projects in the maximum principal amount shown below: Maximum Amount of Bonds Project Expected to be Issued for Project Street Reconstruction (3 10 1) 1 $1,716,000 (b) Other than (i) de minimis amounts permitted to be reimbursed pursuant to Section 1.150-2(f)(1) of the Regulations or (ii) expenditures constituting preliminary expenditures as defined in Section 1.150-2(f)(2) of the Regulations, the City will not seek reimbursement for any original expenditures with respect to the foregoing projects paid more than 60 days prior to the date of adoption of this resolution. All original expenditures for which reimbursement is sought will be capital expenditures or costs of issuance of the reimbursement bonds. 3. Budgetary Matters. As of the date hereof, there are no City funds reserved, pledged, allocated on a long term basis or otherwise set aside (or reasonably expected to Resolution No. 2003-082 Page 3 be reserved, pledged, allocated on a long term basis or otherwise set aside) to provide permanent financing for the original expenditures related to the projects, other than pursuant to the issuance of the reimbursement bonds. Consequently, it is not expected that the issuance of the reimbursement bonds will result in the creation of any replacement proceeds. 4. Reimbursement Allocations. The City's financial officer shall be responsible for making the "reimbursement allocations" described in the Regulations, being generally the transfer of the appropriate amount of proceeds of the reimbursement bonds to reimburse the source of temporary financing used by the City to make payment of the original expenditures relating to the projects. Each reimbursement allocation shall be made within 30 days of the date of issuance of the reimbursement bonds, shall be evidenced by an entry on the official books and records of the City maintained for the reimbursement bonds and shall specifically identify the original expenditures being reimbursed. Adopted by the City Council on February 11, 2003.