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HomeMy WebLinkAboutResolution 00-182 N.C.S. 10/02/2000 1 Resolution No. 00-182 N.C.S. 2 of the City of Petaluma, California 3 4 DECLARING INTENTION TO CONDUCT 5 SPECIAL ASSESSMENT PROCEEDINGS AND TO REIMBURSE 6' EXPENDITURES UNDER FEDERAL TAX RULES 7 Assessment District 2000-1 (McDowell/E. Washington) 8 9 10 RESOLVED, by the City Council (the "Council") of the City of Petaluma (the "City"), 11 County of Sonoma, California: 12 13 WHEREAS, the City proposes to consider the undertaking of a project consisting 14 generally of installing street, bicycle and pedestrian improvements and related traffic 15 improvements to the McDowell Avenue and East Washington Street intersection in the City (the. 16 "Project"), to issue tax-exempt bonds, notes or other debt instruments (the "Obligations") to 17 finance the Project and to use a portion of the proceeds of the Obligations to reimburse 18 expenditures made by the City for the Project before the issuance of the Obligations; 19 20 WHEREAS, the City intends to consider the use of special assessment proceedings (the 21 "Assessment Proceedings") under the Municipal Improvement Act of 1913, Division 12 of the 22 California Streets and Highways Code (the "Act") and the Improvement Bond Act of 1915, 23 Division 10 of the California Streets and Highways Code (the "Bond Law") to secure such 24 financing; 25 26 WHEREAS, United States Income Tax Regulations, Section 1.150.2 (the "Regulations") 27 provide generally that proceeds oftax-exempt debt are not deemed to be expended when such 28 proceeds are used for reimbursement of expenditures made prior to the date of issuance of such 29 debt unless certain procedures are followed, among which is a requirement that (with certain 30 exceptions), prior to the payment of any such expenditure, the issuer declare an intention to 31 reimburse such expenditure, the issuer declare an intention to reimburse such expenditure; and 32 33 WHEREAS, it is in the public interest and for the public benefit that the City declare its 34 official intent to consider the conduct of the Assessment Proceedings, to appoint certain 35 consultants to assist the City in the Assessment Proceedings and to permit the City to reimburse 36 the expenditures referenced herein; 37 38 NOW, THEREFORE, it is hereby DECLARED and ORDERED, as follows: 39 40 1. Obligations. The City intends to consider the conduct of the Assessment 41 Proceedings under the Act and the Bond Law to issue Obligations, in the maximum principal 42 amount of approximately $300,000,000, within the meaning ofthe Regulations to finance all or a 43 portion of the costs of the Project. The appropriate officers and staff of the City are hereby 44 authorized and directed to prepare and file such documents, applications, certifications and other 45 instruments as may be necessary to commence the conduct of the Assessment Proceedings to 46 provide for the financing of a portion of the cost of the Project. 47 Reso. 2000-182 NCS Page 1 1 2 2. Reimbursements. The Council hereby declares that the City reasonably expects 3 to use a portion of the proceeds of the Obligations for reimbursement of expenditures for the 4 Project that are paid before the date of issuance of the Obligations. 5 6 3. Purposes. The adoption of this resolution shall be solely for the purposes of 7 evidencing the intention of this. Council to consider the undertaking of the Assessment 8 Proceedings under the Act and the Bond Law, complying with the provisions of the Regulations 9 and appointing certain consultants. The adoption of this resolution shall. not be deemed a final 10 approval of all or any part of the Project or a final commitment on the part of this Council to 11 complete the Assessment Proceedings, or to issue any or all of the Obligations under the Bond 12 Law or otherwise provide for financing. 13 14 4. Effective. This resolution shall be effective from the date of its adoption by the 15 Council. 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 Under the power and authority conferred upon this Council by the Charter of said City. 43 REFERENCE: I hereby certify the foregoing Resolution was inhoduced and adopted by the Approved as to 44 Council of the City of Petaluma at a Regular meeting on October 2, 2000 ; ""--fo 45 by the following vote: ' 46 Ci Attorney 47 AYES: Healy, Cader-Thompson, Maguire, Hanulton, Vice Mayor Torliatt, 48 NOES: Mayor Thompson 49 ABSENT: `Keller 50 ATTEST: -I ~ ~ 51 City Clerk M yor Reso. 2000-182 NCS Page 2