HomeMy WebLinkAbout2014-02-10 14-079 ORDERCOUNCIL ACTION
Item No. 14-079
Date: February 10, 2014
Item/Subject: Order, Reallocating Excess Proceeds from the City's Prior General Obligation
Bonds
Responsible Department: Finance
Commentary:
The attached Order would reallocate unexpended bond proceeds issued in 2013 to projects
authorized for bonding at the conclusion of the FY 2014 budget process.
The 2013 bond issue was based on estimated equipment costs. A number of purchases were below
estimates such as: chiller repairs, plow tucks, tach buggy and snow blower. In addition, the 2013
bond issue anticipated the replacement of the curbside recycling pickup vehicle. With the City
transitioning to a single -stream recycling contract, these funds will not be expended.
This reallocation of unexpended bond funds will reduce the amount of bonds that will be issued to
fund the FY 2014 projects authorized in August of 2013.
This Order will require a Public Hearing at the February 24th City Council Meeting
Department Head
Manager's Comments:
City Manager
Associated Information:
Order
Budget Approval:
Finance Director
Legal Approval:
licitor
Introduced for
Passage
x First Reading Page _ of _
x Referral — Finance Committee of February 19, 2014
Assigned to Councilor Gallant
CI`T'Y OF BANGOR
14-079
FEBRUARY 10, 2014
(TITLE.) Order, Reallocating Excess Proceeds from the City's Prior General Obligation Bonds
WHEREAS, on June 5, 2013, the City of Bangor issued its 2013 General Obligation Bonds
— Series A in the aggregate principal amount of $9,030,000 (the "2013 Bonds' pursuant to City
Council Order #12-248 (adopted August 13, 2012) (the "Prior Order', a portion of the
proceeds of which was authorized to be used to finance the acquisition of municipal equipment
and vehicles, including plow trucks, recycling truck, tach buggy, snow blower, sidewalk plow,
and Parks & Recreation Equipment, including a Zamboni and chiller (referred to as the "Prior
Equipment Projects"); and
WHEREAS, on June 5, 2013, the City of Bangor issued additional general obligation
bonds in the aggregate principal amount of $4,740,000 pursuant to City Council Order #13-250
(adopted August 12, 2013) (the "2013 CIP Order") to finance, among other things, municipal
equipment and vehicles, including plow trucks, low bed trailer and sidewalk plows (referred to
as the "New Equipment Projects"); and
WHEREAS, there remain excess proceeds of the 2013 Bonds, which excess proceeds the
City Council desires to reappropriate to be used for New Equipment Projects, thereby reducing
the amount of the City's general obligation bonds required to be issued under the 2013 CIP
Order;
NOW, THEREFORE, by the City Coundl of the City of Bangor, be it hereby ORDERED:
THAT the excess proceeds of the 2013 Bonds, in the amount of $303,562 be and hereby
are appropriated to finance a portion of the costs of the New Equipment Projects, as more
specifically specified in the 2013 CIP Order
THAT the Finance Director be, and hereby is, authorized and empowered in the name
and on behalf of the City, to do or cause to be done all such acts and things, and to execute
and deliver, all such financing documents, certificates, and other documents as may be
necessary or advisable, with the advice of counsel for the City, to carry out the provisions of
this Order, as may be necessary or desirable.
(W4088461.1)
IN CITY COUNCIL
February 10, 2014
First Reading and Referral to Finance Committee
MV5EPg of ru 19, 2014p
CITY CL RR
IN CITY COUNCIL
February 24, 2014
Motion made and seconded to Open the Public Hearing
Public Hearing Opened
Motion made and seconded to Close the Public Hearing
Public Hearing Closed
Motion made and seconded for Passage
Passe
CITY C