HomeMy WebLinkAbout1993-06-14 93-311 ORDER..UUFIUII
Date 6-14-93 Item No.
V 93-311
ftro�: Aurthoriaing m issue of Up to $5,300,000
zg:pegate Pcisc4a114matt of Bootle awd a g8rz Ievy 9 fox
Item/Subject: City ilsinger
Responsible Department:
Commentary:
i2fox tv takLxJ action on this itan, the ¢ 11 Oust hold a public lewrin3. 1n
adtlitlon, please rete that approval xetpf a 2/3 vete of the IFanil. Attached
to the Otter' yms w 1 fL a ratite of public M1earfsg Much details the projects
TD be fwded ftp thin bo %tiug. In gen eval, the major purposes i lsx%a attest
xrc�xetnotton atd rnsrlay, sitlevslk xeconsttottwt, the local sham of stat
itutlei toad projects, clone est of the R£tttedtje fe�laMEill, The pssheae of
v epn arch equiprest, pod the centvwation of cur aacer separation projects.
Ln aitlit£on ani be have included^ puste ^ur'=ly
$200,000 £car t retia court inpmvmans and parric ivprovarenls in Un fes
mighborhnotl parlor Much ata not eligible for federal firdv .
Please rote Llai the boaadsg has beets at iRitiaed pod ressiced at the $5.3M
lash. Tim Cas may, reducas this amwst oc pope, tr for fiva@ between pmjaTa
iztc x to adopting the fitml bwvi codec. ib a px, the (bo A mal' rot ireaasse
this mwiK wlthwt ping back through the p •flat t.. route post puflA c hearing
process. (D 'D -PIC¢' PACE)
Depurtmem Omd
Manager's Comments:-mils ZFTC(/(( --�egw"s 114
f{ER£(Nfr `�
L
City Movvge,
Aeaciamed. IInnfGornmation: '�% (Wtau
Budget Apprmal:
Fwn�e Dare
Legal Approval:
city soi;eaor
Introduced For
C Passage
First floating Page _ of —
Referral
S9culd tlese boele be fssuei, we estimate t t fixer year debt service coat
to tl Geared i mill be appmmimately $75,000. mm:a may vary s®K.what based
upon the fired sT 4ne of the boxxvaiai m its omit. Pi=t } caeca
include one Principal payonly. Sssast year coat vpuld be alhumdimtely
$570,000. Please nota, haver, that a prep m of thin Lcxarse
w d fl offset since our existim3 deb[ service schedules call for a drip of
aplaromhmtaly $300,000 in debt service imJfta beNem M4 mH MS. In
o riem with rte rlpbt service anierLrle cue y in Placa for M4, debt
rre world
incin M5 by app...at=iy $275,000. 6y M6, nz would
return to alp p=ly M4 levels.
S9ie City = ralufred to po c with our C®hvad 5§ar Pusc£luv aep-fcation
projects• Ps 1 think we all agree, the City also ruedu to deuota significant
iesa:mee to street remetxuction aM overlay pro)e . FI.Ma mut la �
available to close out Kittredge d laMfill. In atldition, it f infvxtm¢
that we m s our vehicle zeFlacaoeR 1 Fes. Por tTaee reasons, l would
xexemeM L t the Caacdl approve all of ttese ii In the pxrposed b issue.
In regard to the tam;= t mid pssk lv¢� proJ , tlese projects axe
rot as essential. At tle emus time, war Um lmt few }ears, the City has
devoted signifl fa3erai resa¢ces as well w local to tlm darelrp
Of its park systan. lee xem:lted in eigniflcant i {^tet= in the
ma3oxity of ttu Cfty's larlu. Pae igFwM*m: patl amain to be fngmovedx
Little City, Pa x Gardens, Stillwater, mtl£'ai000mrc. Given the ®:r t of the
work flat nes been lore elsmtara in the pa& eystan, it wand be appropriate for
tte City to give stymy cssideration to ccffplet� our park xeimrw:rm pmgrmi.
lS9
Assigned to Cmuncilo, Scone, �mne 14, 1993
r CITY OF BANGOR
(TITLE.) (®rber, _-- Aucmrpminy. an Tssua. of.$5,300,000. fggregata Principal ---
By tM aer Cmuaail Of am atP OfBm :
ORDERED,
TWT portrait to 30 A M.e.S.A. $5772, 8ectlan 8 of Article W of the
City charter (Private mid Specs lame of 1931, Chapter 56) and all moviAmnts
thereof aM acts aiditional thereto, a:d all other authority ttemin enabImt,
there is hereby authorised the issue and sale at one ti:m and from time to time
of Five M liom Three [A,Mrai ataisaM Collars ($5,300,000) agtyegato prin:ipal
arounc of general mll9 tlom bands of the City of Bangor plus up to 3% thereof
for mats of iseuarce. The Pu>ceede derived from the sale of said bonds, lees
premium, if any, shall be used text are hereby appropriats3 to pry the costs (as
hereto defiled) of the following capiwl imprv+®ma:t projects:
Pmiect
estimated Cost
M Projeote 14th Street Separation
$ 798,000
tndxook Separation
446,000
Arctic Brook Separation
135,000
East Smmmr Street Soatetion
107,000
nneatmvR Plant empansia,
500.000
1bta1 SRP Projects
$10986,000
W Projects Street Ravatructia,
$1,748,650
Sideelk i+aotmtruction
102,500
hoa3 Projecbs
250,100
1.5dfill Closure
512,500
Vehicles
416,250
Parkviev Avenue
39,000
1trWs Cats lvpxoveientr
75,000
Pad® Svp[vesnCe
125.000
Rbtal Cn+ Project, a
$3,314,000
'he B Projects and the Cs Projects are mllmtfvaly refarnei to as the
..Projects ^
A[m rb rr the estLretei perimd of utility for the
property conetitut m the Projects to be financed with the paoceels of said bottle
is hereby deternibeel to be at levet:
Separation 20 yettra
fitnsat septratacta 20 years
IN CITY COUNCIL
June 14, 1993
Passed by the follovivg yes
and no votes. Councilors
Cacing yes: Blanchette. Bragg.
ohen, Frankel, Seal, Soucy
Stone and Sullivan.
Co la[ vu[ivg no: Shubert.
cl CLERK
s
93-311
O ROER
Title,
Apfhuripfpg, pp,?pppp. af. 35,5➢D, 009..
Aggregate Principal Amount of Bonds and
p. Te}x.LL.evy. M.e.r[ge/f ff.�../...........
Aosiped
WItN U �I v
.... lvt:rte......an
Councilman
m
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"CTP Projects" Street Reconstruction 12 years
Sidewalk Reconstruction 12 years
Road Projects 12 years
Landfill Closure 20 years
Vehicles 10 years
Parkview Ave. Reconstruction 20 years
Tennis Courts Improvements 10 years
Parks improvements 10 years
THAT, the date, maturities, denominations, interest
rate or rates, place of payment and other details of each
issue of said bonds, including provision for their sale and
award and the selection of an underwriter, shall be
determined by the Finance Director with the approval of the
Finance Committee and the Chairman of the City Council, and
said bonds shall be signed by the Finance Director, -
countersigned by the Chairman of the City Council, sealed
with the seal of the City, attested by its Clerk, and be in
such form and contain such terms and provisions as they may
approve., their approval to be conclusively evidenced by
their execution thereof. Any issue of bonds may be
consolidated with and issued at the same time as any other
issue of bonds authorized prior to their issuance, and the
bonds may be divided into multiple aeries and issued in
separate plans of financing, all as determined in the
discretion Of the Finance Director, with the approval of the
Finance Committee and the Chairman of the City Council.
THAT, the bonds hereby authorized may be made subject
to call for redemption, with or without premium, before the
date fixed for final payment of the bonds, as provided in
30-A M.RS.A., $5012(6), as amended, as shall be determined
by the Finance Director with the approval of the Finance
Committee and the Chairman of the City Council.
11IAT, in each of the years during which any of the
bonds are outstanding, there shall be levied a tax in an
amount which, with other revenues, if any, available for
that purpose, shall be sufficient to pay the interest on
said bonds, payable in such year, and the principal of such
bonds maturing in such year.
THAT, pursuant to 30-A M.R.S.A. 45712, Section 10 of
Article VI of the City Charter and any other authozity
thereto enabling, the Finance Director, with approval of the
Finance Committee and the Chairman of the City Council, is
hereby authorized to issue Lempor ry notes of the City in
anticipation of the foregoing bond issue, said notes to be
signed by the Finance Director, countersigned by the
Chairman of the City Council, sealed with the seal of the
City, attested by its Clerk, and otherwise to be in such
form and contain such terms and provisions, including
without limitation, maturities, denominations, interest rate
or rates, place of payment and other details as they shall
approve, their approval to be conclusively evidenced by
their execution thereof.
THAT, any temporary notes (including notes in renewal
thereof) authorized to be issued under this Order may be
issued in combination with temporary notes (including notes
inrenewal thereof) and bonds authorized to be issued by the
citCouncil at any time prior to the date of issuance Of
the temporary notes.
THAT, the Finance Director be and hereby is authorized
to prepare, or cause to be prepared, a Preliminary Official
Statement and an Official Statement for use in offering the
bonds, or any series of bonds, and any notes in anticipation
thereof, such preliminary Official Statement and Official
Statement to be ift such form and contain such information as
may be approved by the Finance Director and that the
distribution of the Preliminary Official Statement and the
Official Statement in the name of and on behalf of the City
in connection with the offering of the bonds and any notes
in anticipation thereof be and hereby is approved.
THAT, the Finance Director be and hereby is authorized
to appoint the registrar, paying agent and transfer agent
(the Transfer Agent-) for the bonds of the City.
THAT, the bonds issued hereunder shall be transferable
only upon registration books of the City kept by the
Transfer Agent, and said Bonds of one maturity may be
exchanged for aft equal aggregate principal amount of bonds
of the same maturity (but not of another maturity) in the
denomination of $5,000 or any multiple thereof, upon
surrender thereof at the principal office of the Transfer
Agent, with a written instrument of transfer eatisf actory to
the Transfer Agent duly executed by the registered owner or
his attorney duly authorized in writing.
THAT, upon each exchange or transfer of Bonds, the City
and the Transfer Agent shall make a charge sufficient to
over any tax, fee or other governmental charge required to
be paid with respect to such transfer or exchange, and
subsequent to the first exchange or transfer, the cost Of
which shall be borne by the City, the cost of repairing new
bonds upon cxchengcs or transfers thereof shall be paid by
the person requesting the Same.
THAT, the Finance Director and the Chairman of the City
council be and hereby are
authorized to undertake all acts
necesBary to provide fortheissuance and transfer of the
hands and any notes issued in anticipation thereof, in
book -entry form pursuant to the Depository Trust Company
THAT, the Finance Director be and hereby is authorized
and empowered to take all such action as may be necessary to
designate such of the bonds and/or temporary notes in
anticipation thereof as qualified tax-exempt obligations for
purposes of Section 265(b) of the Code; it being the City
Council's intention that the Finance Director, with advice
of bond counsel, make the required Section 265(b) election
with respect to such bonds and notes to the extent the
election may be available and advisable as determined by the
Finance Director.
THAT, the Finance Director be and hereby is authorized
to covenant and agree on behalf of the City and for the
benefit of all the holders of all bonds and notes issued
hereunder that the City will file any required reports and
take any other action that may be necessary to insure that
interest on the bonds and any notes issued in anticipation
thereof, will remain exempt from Federal income taxation,
and that the City will refrain from taking any action that
will cause interest on the bonds or notes to be subject to
Federal income taxation.
THAT, the term "Coat' or 'Coats" as used herein and as
applied to the Projects, or any portion of the Projects,
includes, but is not limited to (1) the purchase price or
acquisition cost of all or any portion of the Projects; (2)
coats of construction, building, alteration, enlargement,
reconstruction, renovation, improvement and equipping of the
Projects; (3) all appurtenances and other facilities either
above or under the ground which are used or usable in
connection with Projects; (4) landscaping, Site preparation
and remodeling of any improvements Or facilities; (5l the
cost of all labor, materials, building systema, machinery
and eguipm=nt; (6) the coat of all lands, structures, real
property interests, rights, easements and franchises
acquired in connection with the -projects; (7) the cost of
all utility extensions and site development, (P) the
specifications, surveys, engineering, feasibility studies,
legal and other professional services; (9) the cost of
environmental studies and assessments; (le) the cost of
financing charges and issuance costs, including premiums for
insurance, interest prior to and during construction,
underwriters 'fees and coats, legal and accounting fees and
costa, application fees and other financing fees, the cast
of reserves for payment of future debt service related to
the financing transaction; and (11) the cost of all other
expenses necessary or incident to the Projects and the
financing authorized hereunder.
THAT in order to effect the borrowing and issuance of
bonds, or any series thereof, authorized hereunder and to
finance the costs of the SRP Projects described therein, the
Finance Director, with the approval of the Finance Committee
and the Chairman of the City Council, is hereby authorized
and empowered in the name of and on behalf of the City to
borrow an amount not to exceed $1,986,OOD, plus up to 3%
thereof for coats of issuance, at any one time outstanding
from the Maine Municipal Bond Bank (the "Bank-) pursuant to
the State's Revolving Loan Fund program established under
30-A M.R.S.A. 96006-A and administered by the Department of
Environmental Protection and the Bank and to enter into a
Loan Agreement between the City and the Hank providing for a
loan from the Bank in a principal amount not in excess of.
$1,986,000, plus up to 3k for coats of issuance and the
Finance Director be and hereby is authorized and empowered,
in the name and on behalf of the City, to execute and
deliver, under the seal of the City attested by its Clerk, a
Loan Agreement between the City and the Bank providing for a
loan from the Bank to the City in an amount not to exceed
such amount said Loan Agreement to be in the usual and
ordinary form utilized by the Bank in connection with the
State Revolving Loan Fund which is hereby approved, and to
contain such other terms and provisions, not contrary to the
general tenor hereof, as the Finance Director may approve,
his approval to be conclusively evidenced by his execution
thereof.
TEAT the Finance Director and the Chairman of the
Council be and hereby are individually authorized and
empowered, in the name of and on behalf of the City, to
execute and file with the Maine MunicipalBand Bank and/or
the Department of Envixonimntal Protection an application
for the City to issue and sell up to $1,936,000, plus 3% for
cost of issuance aggregate principal amount of its bonds to
the Maine Municipal Bond Bank pursuant to the State
Revolving Loan Fund program.
THAT the following resolutions required by section 15E
of the State of Maine Revolving Loan Fund Rules Chapter 593,
Department of Environmental Protection and Maine Municipal
Bond Bank (the "ERP Regulations"), and governing the loan to
be made to the City under the State Revolving Loan Fund
Program be and hereby are adapted:
(1) That a Project Account shall be created for
the SRF Projects which shall be separate from all other
accounts of the City. if operating revenues are to be
Used to retire the debt, a sub -account will be
established.
(2) That the Project Account Shall be maintained
in accordance with standards eat forth by the Maine
Municipal Bond Bank and in accordance with generally
accepted government accounting standards.
(3) That a final accounting shall be made to the
Sank of the total cost or the project upon completion
of the Project performance certification as set out in
Section 35 of the SRF Regulations and the City
acknowledges that the Bank reserves the right at its
sale discretion to be crovidedewith ac ost
certification of the Project as built.
(a) That an annual audit of the City, prepared by
certified public accountant or licensed nublic
accountant be provided to the Bank for the term of the
loan.
(S) That the City shall maintain insurance
coverage on the Project in an amount adequate to
protect the Bank's interest for the term of the loan
with the Bank named as lose payee.
(6) That the City will comply with any special
conditions spacif ied by the Department of Environmental
Protection's environmental determination until all
financial obligations to the State have been
discharged.
(a) That the City certify to the Bank that it has
secured all permits, licenses and approvals necessary
and that it has a dedicated source of revenue for
repayment.
(8) That the City establish a rate:, charge or
assessment schedule in order to pay principal and
interest. Such rate charge or schedule shall provide
total operations and debt service coverage at a level
at which the coverage for the Bank is sufficient.
(9) That the City must demonstrate the ability to
pay reasonably anticipated costs of operating and
maintaining the financed Project.
(10) That the City abide by the ERB Regulations,
as revised and amended and relevant State statutes Of
the State of Maine.