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HomeMy WebLinkAbout2001-08-13 01-318 ORDERCOUNCILACIION Item No.01-318 Date: 8-13-01 Item/Subject: Other, Authorizing the Issuance of $3,655,800 Aggregate Principal Amount of General Obligation hands, Notes in Anticipation Tiered, and a Tax Levy Therefor. Responsible Department: Finance Throughout the budget process and throughout the laid several months, Council and staff have been revievang the proposed camtal plan her the coming year. 4 several recent 9annegic lama Committee meetings, we have doctored the vanous projects for which we aM'apate issuing bons this Fiscal year. While the Courcil still has several pmjec6 under wnsidvatlon, a number of projects have been approved M Committee level, and we are at the point where it s necessary to authorize these projects so Mat wont can begin on than. The atteEmd bard order detaib Mese pmjecs. The largest single items are Sewer Fund projects indudiig an emergency generator bar the plats ($1,100,000) which is pmjectetl W may for itself through energy savings and our on-going CSO projects ($500,000) which are mandated under comsat decrees from State an Federal Governments. In accordance with our adopted Fleet Replacement Policy, $517,644 is induced for vehicles and equipment Under the pdicy, debt service for this purpose is funded through Me existing vehicle replacement fun and an annual budge appropriation. The remaining $1,466,956 would be directly tax supported Approving the attached bond ori tices not commit the Ory to actually bormwi g these funds. We anticipate that bons will be issued In January. Between now and then, sane cost estimates may be refined and alternative funding sources far some projects may W identified, including any balances which may be available from prior capital projects. Pnorto issuance, we will reum M the Finance Committee and Council will final proposals and projections. I recommend your approval. CepartmeM ee] Narag n's Comments: Prior to voting on this tem, Me Counsel must Mid a public hearing. Aster the public hearing is closed, the Council may proceed to ad on this order. SN affirmative vola are required for approval. The allchW land order may be amended, but surn amendments are limited to reducing the amount to be Winnowed and no additional projects may be added. I would recommend your approval. F.nv,A.a. naa� allwilli / Ciry Manager Assotla[M IMormation: Other, Ruble Notice. ' budget Approval: Feen Ir¢C[ar Legal Approval: hCKv Sol door Intonation ter PaasOge. X First Reafing Palle_a Referral 01-318 �� AssigsW teCouncilor Palmer August 13. 2001 CITY OF BANGOR ,tea (TITLE.) ORDER, AUTHORIZING THE ISSUANCE OF $3,655,800 AGGREGATE PRINCIPAL AMOUNT OF GENERAL OBLIGATION BONDS, NOTES IN ANTICIPATION THEREOF AND A TAX L THEREFOR MAT PursuarR M 30-A MRSA 8528, Section 13 ofAmde W Otte Clry (Tarter (Private and Special laws of 1931, Chapter 54) and all amendments thereof and doth addN2nal Mambo, and all shier au8grity thereto eablin9, (here B hereby auMonzed Me issue and sale Mone time and ram time to Mme up W Three Million SM Hundred NByMe Thousand BgN Hundretl Does ($3,655,80(1) aggregate principal amount dgeneral oNgadon bolls d Me Oty d Bagw, Plus up M two Dement (2%) of Me prindpal amount aeadh now or sermsa fund ssu ram posts. The proceeds Marred Sam the sale of said bolls, irduding premium, Mary, shell be used! ant are hereby appropriated a pay a pwUm of Me cosh (as herein defined) dMe fdbwing pa)ecte (Me "Pajecrs"): EstimaMd Deccdstlan Amemrc lxe Was[ewder Treatment Pled- $1,100,000 20 years Emergency Generator Vehicle Replacement $W71W 12 years watedlort lmprovea nos $WOAW 20 years Vehicle Wadi System $325,000 12 years Bangor NurarW B Rehab Canner Building $250,000 20 years Rehebgaate tnlder Tack $2251956 IO years Motor Pod Building Impmrements $1161000 20 years RMbedge Road Relocation $501000 W years CSO Pro" $511.w 20 years $3,655,W0 THAT Me estimated weighted penotl of udlity for Me property csndiltud g the PaJeds M be fironced with the pr000nds d sad bonds k hereby determined M be the period of Mme bemused above fOreech dMe Projects. _ THAT Me Dare, maMrMies (rot M exceetl M yearsMann Me issue date), denominations, Interest late or rhea (mt M exceetl 8.M per annum), place of payment ant other decals death issue of said bo1Ms, Induding the timing and pren cion Par their sale antl award and the sNeclion of an underwater, shall be mined! by the Finance Director whin Me approval d Me Finance Committee and the Oadnan dBs Cray Council. 01-318 THAT the ponds hereby auModzetl may be made subjectto call for redemption, with or wAhout a prernium, before the data fixed for final payment of the Istria, as provided in 30�A M.R.SA. §5772(6), as amended, as shall be determined by the Finance Director with the approval of the Finaca Oammithee. THAT sant bolls shall he vines] by the Franco Director, munterslgnetl by the Mailman &the City Cannot, staled Who the seal orthe Oty, altemal by its aerk, and shall be In swJn form and captain sunt terms and promeians not inconsistent herewith as Mer may appmre, their approval to M mroludvely es'idenced by theirexeddMp thereof. Any issue d bonds may be misdated wllh and issued at the mace tlme as any other home of bonds authoMed priorto Meir Issuance, and the bonds may be dbided into multiple swig and Issued in separate plana of firerring, wIM the approval of the Finance fgmmlttee and bre Olarrman of the City Council. THAT pursuant N 30-A Klt. .§SnZS 15 of Article N of the Ory Charts and any other authority thereto enablbg, the Finance Dhafir, math approval of the Finance Condo Mee and the Onauman of one Oty Gould, is hereby adMnzed to issue ounihmary bonds or notes athe City in amcip ton of the forgoing brad Issue, mid bons to be signed by the Finance Director, muntersignes] by the Charman dthe City Coundl, sealed with the seal dame City, attached! by As clerk, and di ervnse to be In such form and contain such berms and provisom IndWing, without limitation, noturkes (rotto exced 3 years flan the Issue s]ate), denominators, Inherent rate or rata (not M emceed 8.00%per nam), place of payment, and other s]aniG as they shall approve, the4 approval to M conclusively evidenced by their somodan thereof. THAT am temporary bonds or nota (tnclus]hg bonds or robs In renewal thereof) authorises] to be ¢sued under this Oder may be issued in combination won temporary bonds or noes (indudhg bonds or nota in rerewal Owed) and hinds autlwnzed to be issues] by the City Council at any done pndr to the date of Metaroe d the temporary bonds w nota. THAT the Finance DlrcMr be and hereby is aulhonzed to select the registrar, paying agent, and transfer agent (the "Transfer Agenn for W bonds and notes and to execute and deliner such common and agreements as may M necessary or appropriate m secure Meir services. THAT the bonds and nota shall be bansfemble wet on the regstration books of the City hopt by the transfer deM, and said principal amount ofthe bonds antl rola of the same maturity (but nota ocher maturity), upon wrenches Hereof at the principal office dthe transfer agent, with a written Instrument atramfer satisfactory to the tower agent duly esecu ed by the regrstar d owner or his or her attorney duly auMprsed in writing. THAT the Finan Director and Oaimran ofthe Ory council from [Inas to time shall excuR such bonds a nota as may be recuired to provi le for exchanges or banters of bonds or nota as heretofore authorized. all such bonds or names M bear the original signature of the Mmns Director and Chairman of the Carry council, and in case am aaoar of W City whom signature appears on any bond or robe shall cease to be such officer before the tliber of sad hand or rote, such signature shall nevertheless M viol and sufficient: for all Wrposes, the same as trach officer had removed in Wds until delivery thereof. TIMT upon each exchange or transient of bonds or rola, the City and transfer anent shall make a Woe suf dent tocover any my, fee, w other govwnmenW charge requires] to be pals] wit respect W such transfer or excharge, and subseguentto the first exchange or tonsfer, the cost of which shall te borne by Me City, the curt of prepadna nen bolls on nota upon exchanges w transfers Magid WII he pis] by the person reguaMg the same. THAT the bonds and MIeS muss! In anticipation thereof to Issund an either taxable ora tax- exernpt bais, or a mmbinalbn thaeoh as detemdnetl by the Finance Director, with the approval of the Mance Committee. THAT, If the bolls or notes, or am part d than are Issued on a tax exempt basis, the odkers twaddling such bonds or nota be and Mreby are individually authorhM and directed to mlaant and cethhy on MMIf d the City that na part of the proceeds of the Issue and sale dame Winds or nota 01-318 embedded! to be ksued hereunder shall he used directly or Indirectly M acquire any sew ties or obligation, the acquisition of which would muse such boards or rotes M be"artstrsl bonds" within the meaning of Section 1% of Me Inte l Revonue Catle N IM, as amended (the "nide-). TrUIT, g the home or notes, or any part ahem, are issued an a tax esempt base, Her offices exewtirg such bonds or notes be am hereby are Imlvidmlly aulhoriaed te covenant am agree, m Word of Me City, far the benefit of the holders of such bonds or notes, Mat the Oty will file any required reports am take any order anion that may be necessary M ensure MM Interest on the bonds a notes will remaln exempt from federal income coal am Mat the City whit refraln from am action Mat would muse interest on Me home or nates to be subject to Federal income taxation. TIWT Me officers em cuteg Me ponds or notes he am hereby are Indindually, aMlmdzed M coheral many, and agree, an bcha8 of the Ory, for Me henent of the hoiden of such bonds or notes, MM the Ory wig file any required reports, make any annual finndal or material event disclosure, and take arty cover action that may he Mosel M enure Mat Me dayame requirements Imposed by Rule 15 -12 of Me Securities am Exchange Caramel if applicable, are met. THAT, VMe hands o notes, or any part Mem, are Issued on a tax exempt basis, Me Rude Director be am hereby a authorized am empowered to Mice all such action as may, be neossary M designate the bonds or notes as qualified tax-erempt obligations for purposes a Section 265M) of Me Cade; R being the City Qundrs intention Mao to the extent permitte! under the Cade, Mer bonds or notes be Section 265(b) designated and Mat the Finance Director with acham of bad comeal, make Me required SeQbn 265(b) election vMh respect to such boas M the Extent Mat the eMdan may be awitable and scramble as delemmnd by Me Finance MreQor. THAT the hnn°m or'coul as used herein and applied M Me Projects, or any portion their imudes, but a rot limited M: (1) Me purchase prim or acquisition cost of all or am portion of Interests, rights, easements, and utility exlenslons am am mprov date thereof, oder fes at THAT Me Ilwesbneat earnings on Me proceeds of the bons, g any, am the esus proceeds of Me boas, if any, be am hereby are appropriated for Me fallowing purposes, such succeeds to be held am applied In Me tollowirg older of priority: 1. To any same of the armada; in exams of the prindpal amount of the hams; 2. H the bonds or notes are is im on a Mx exempt bask, in accordance with applicable More; am provision or the AdsttaNe am Use of Proceeds Certificate delivered in automation with Me ax% of Me bonds or notes Including, M the extent pemnMd thermal M Me Cil General rued. THAT the France Director, Quantum of Me City munch, Oerk, and other plainer offia is ofMe City bC am hereby are, eMbariand and empowered In its name and an its bcaff M do or muse M be doe all such acts and Mhgs as may, be nmasmry or desiabie in older M effect the Issuance, role, and degaay a Me boards am notes as ha&nhe re aunorhed. 01-318 THAT If Me Finance Director, Uaeman done Cly Council, or Clark are for airy reason assumable to appreve and esende Me bonds or any related financing documents, Me person or persons Men acting in am such capacity, whether as an assistant, a deputy, or cMerwim, is authorizedl to ad for such official with Me same force and e8ect as if such Weal had himswif or herself pe formed such ad. THAT In each of the years dump Mich any of the bonds are outstanding, Mere stall be ledetl a tax in an amount Mat, with other revenues, If ane, avalable for MM purpou, shall be sufficient M pay, that interest on said bonds, payable in such years, and the principal of such bonds nwtumig in such years. IN CITY COUNCIL AVrr 3,3U01 First Heading cU�y� L CLNBH IN CITY COUNCIL August 27. 2001 Notion Cede and Seconded to Open Public Nearing. Public Hearing Opened. No a from the Public cane for ard. Notion Made and Seconded to Close Public Hearing. Public HearingClosed. Notion Made and Seconded for Passage Passed` (TITLE,) authorizing the Issuance of $3.655,800 Aggregate Prineipal nmmmL of General Obligation Bonds. Notes. in Anticipation hereof and a Tar Lea .. Therefor Assigneplo CouncSor ��zn ca PUBLIC HEARING City OF BANGOR General Obligation Binds Not to 6ceed $3,655,800 For Vame; Capital Pmjects The Bangor City Council will hold a Public Hearing at he Regular Meeting a[ 7:30 PM on Monday, August 27, 2001 in Me City Council Chamb&s, on the Mid A"a City Hall, 23 Harlow SheeL Bangor, Maine, for the Pum of hearing Public Comment on a proposed issuance of General Oblgabon Bands in Me principal amount not to exceecl $3,655,800 M be issued as oft of Me Citys M2 Capital bomowlng. Proceeds will be used to fund qm fallowing capital projects: ! Emeryency Generator Vehicle Replacement Waterfront Improvements Vehicle Wash System Bangor Mmng & Rehab Center Building Rehabilitate ladder Tmdc FMNr Pool Building Improvements Kittredge Road Reloratron CSO Projects The foreOng list of projects K a non -exhaustive lista Projects that will be considered by Me City Counoll at said Public hearing and may be expanded, reduced or revbed by the City Council at Said public hearing A copy, of Me entire oder a available M Me public in Me City CleWs Ofice at Bangor City Hall. The public is invited W address the Council on this proposed bond usue. August 13, 2001 Gail E. Campbell, City Clerk 01-318