HomeMy WebLinkAbout1993-131
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RESOLlJ'l'ImI NO. 93-131
RESOLO'J'IOI( RHLA1'DIG '1.'0 PIlUINCIllG OF CERrAIII PRDPOSBD
PROJEC'l'S m BE tJlwo<...r........ BY 1'BIl ern OF 5'l'ILLIIAmR;
ESDBLISIIIIIG ~ wrm "R1lTllRl1D~---z- BCJIU]
~ORS mmER 1'BIl ....u........L kKYJaiUE CXDE
Be It Resolved by the City Council (the COuncil) of the City of Stillwater,
Minnesota (the City), as follows:
1. Recitals.
a. The Internal Revenue Service has issued Section 1.103-18 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 reilnbursethe City for project expenditures made by the City prior
to the time for the issuance of bonds.
b. The Regulations generally require that the City make a prior
declaration of its official intent to reimburse itself for such prior
expenditures out of the proceeds of subsequently issued borrowing,
that the borrowing occur and the reimbursement allocation be made
from the proceeds of such borrowing within one year of the payment
of the expenditure or, if longer, within one year of the date the
project is placed in service, and that the expenditure be a capital
expenditure.
c. The City desires to cOlllply with requirements of the Regulations with
respect to certain projects hereinafter identified.
2. Official Intent Declaration.
a. The City proposes to undertake the following projects described on
Exhibit A attached hereto.
b. Other than (i) expenditures to be paid or reimbursed from sources
other than a borrowing or (ii) expenditures permitted to be
reimbursed pursuant to the transition provision of Section 1.103-
18(1)(2) of the Regulations or (iii) expenditures constituting of
preliminary expenditures as defined in Section 1.103-18( i) (2) of
the Regulations, no expenditures for the foregoing projects as
identified on Exhibit A have heretofore been made by the City and
no expenditures will be made by the City until. after the date of this
Resolution.
c, The City reasonably expects to reimburse the expenditures made for
the costs of the designated projects out of the proceeds of the debt
(the Bonds) to be incurred by the City after the date of payment of
all or apportion of the costs. All reimbursed expenditures shall
be capital expenditures as defined in Section 1.150-1(h) of the
Regulations.
d.
This declaration as a declaration of official intent adopted pursuant
to Section 1.103-18 of the Regulations.
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3.
Budqetary Matters. As of the date hereof, there are no City funds
reserved, allocated on a long-term basis or otherwise set aside (or
reasonably expected to be reserved, allocated on a long-term basis or
otherwise set aside) to provide permanent financing of the expenditures
related to the projects other than pursuant to the issuance of the Bond.
This Resolution, therefore, is determined to be consistent with the City's
budgetary and financial circwastances as they exist or are reasonably
foreseeable on the date hereof, all within the meaning and content of the
Regulations.
4. Fllinq. This Resolution shall be filed within 30 days of its adoption in
the publicly available official books and records of the City. This
Resolution shall be available for inspection at the office of the city
clerk at the City Hall (which is the main administrative office of the
City) during normal business hours of the City of every business day until
the date of issuance of the Bonds.
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 for
proceeds of the Bonds to reimburse the source of temporary financing used
by the City to make payment of the prior costs of the projects. Each
allocation shall be evidenced by an entry on the official books and records
of the City maintained for the bonds, shall specifically identify the
actual prior expenditure being reimbursed, or in the case of reimbursement
of a fund or account in accordance with Section 1.103-18, the fund or
account from which the expenditure was paid, and shall be effective to
relieve the proceeds of the Bonds from any restriction under the bond
resolution or other relevant legal documents for the Bonds, and under any
applicable state statute, which would apply to the unspent proceeds of the
Bonds.
Adopted this 20th day of July 1993.
Attest: k<
OA~"?n 7L~
Mayor
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city cle