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HomeMy WebLinkAbout2017 Resolution No. 002-RESOLUTION NO. L SERIES OF 2017 A RESOLUTION OF THE CITY OF ENGLEWOOD, COLORADO, DECLARING ITS OFFICIAL INTENT TO REIMBURSE ITSELF WlTH THE PROCEEDS OF THE ISSUANCE OF MUNICIPAL BONDS FOR CERTAIN CAPITAL EXPENDITURES UNDERTAKEN OR TO BE UNDERTAKEN BY THE LOCAL GOVERNMENT; IDENTIFYING SAID CAPITAL EXPENDITURES; AND PROVIDING CERTAIN OTHER MA TIERS IN CONNECTION THEREWITH. WHEREAS, the City of Englewood, in the State of Colorado is a political subdivision duly organized and existing pursuant to the Constitution and laws of the State; and WHEREAS, the Englewood City Council is the governing body of the Local Government; and WHEREAS, the Englewood City Council has determined that it is in the best interest of the City of Englewood to make certain capital expenditures relating to the acquisition, construction and other associated expenses in the replacement of the City of Englewood Police Headquarters Building; and WHEREAS, the Englewood City Council intends and reasonably expects to participate in a tax-exempt financing, including an amount which is currently estimated not to exceed $27,000,000, to reimburse the City of Englewood for the portion of such capital expenditures incurred or to be incurred subsequent to a period commencing 60 days prior to the date hereof, and ending prior to the later of 18 months of the date of such capital expenditures or the placing in service of the replacement of the City of Englewood Police Headquarters Building (but in no event more than 3 years after the date of the original expenditure of such moneys); and WHEREAS, the Englewood City Council hereby desires to declare its official intent, pursuant to 26 C.F .R. § 1.150-2, to reimburse the City of Englewood for such capital expenditures with the proceeds of the City of Englewood municipal bond financing. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ENGLEWOOD, COLORADO, THAT: Section 1. Declaration of Official Intent. The City of Englewood, Colorado shall, presently intends, and reasonably expects to finance a portion of the Project with legally available funds. Section 2. Dates of Capital Expenditures. All of the capital expenditures covered by this Resolution were or will be made on and after the date which is 60 days prior to the effective date of this Resolution. Section 3. Issuance of Certificates of Participation. The City of Englewood presently intends and reasonably expects to participate in a municipal bond financing within 18 months of the date of the expenditure of moneys on the replacement of the City of Englewood Police Headquarters Building or the date upon which the City of Englewood Police Headquarters Building is placed in service, whichever is later (but in no event more than 3 years after the date of the original expenditure of such moneys), and to allocate from said financing an amount not to exceed the Advanced Amount to reimburse the City of Englewood for its expenditures in connection with the replacement of the City of Englewood Police Headquarters Building. 1 Section 4. Confirmation of Prior Acts. All prior acts and doings of the officials, agents and employees of the City of Englewood which are in conformity with the purpose and intent of this Resolution, and in furtherance of the replacement of the City of Englewood Police Headquarters Building, shall be and the same hereby are in all respects ratified, approved and confirmed. Section 5. Effective Date of Resolution. This Resolution shall take effect immediately upon its passage. ADOPTED AND APPROVED this 3rd day of January, 2017. ATTEST: I, Stephanie Carlile, Acting City Clerk for the City of Englewood, Colorado, hereby certify the above is a true copy of Resolution No. _L_, Series of 2017. 2 • COUNCIL COMMUNICATION Meeting Date: Agenda Item: Subject: Resolution for Reimbursement from General January 3, 2017 llcii Obligation Bond Proceeds for the Englewood Police Headquarters Building replacement Initiated By: Finance and Administrative Staff Source: Kathleen Rinkel, Director of Services Financ;e and Administrative Services PREVIOUS COUNCIL ACTION City Council approved an ordinance setting forth the ballot language and submitting to a vote of the registered electors a General Obligation Bond (GOB) for the construction of a new Englewood Police Department Headquarters. Ballot Issue No. 2C was passed by the voters on November 8, 2016. On November, 19, 2016, Council approved a Contract for Underwriter Services in support of the sale of General Obligation Bond sale . RECOMMENDED ACTION Staff recommends Council approve the Resolution to declare its intent to reimbursement spending of GOB bond proceeds prior to actual selling of the bonds. BACKGROUND, ANALYSIS, AND ALTERNATIVES IDENTIFIED Approving the resolution presented allows staff to continue activities to more fully define the plans for the the replacement of the Englewood Police Headquarters Building ahead of selling the bonds, providing a more accurate estimate of the actual funding needed. Some examples of costs expected to be incurred before actual bond sale would be: Pre- Architectural work to identify space needs and general criteria needed for bidding the Architectural and Construction work, rating agency costs, travel costs related to rating agency presentations, and legal costs to prepare documents. FINANCIAL IMPACT There is no financial impact for the City other than the potential cost of the construction increasing if we delay activities and supply/demand decreases availability of contractors. LIST OF ATTACHMENTS Resolution for Reimbursement from Bond Proceeds