HomeMy WebLinkAboutRES NO 001-07
RESOLUTION NO.
001=0'1
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
BAKERSFIELD, CALIFORNIA AUTHORIZING THE ESTABLISHMENT
OF A METHOD FOR THE CITY TO MAKE DECLARATIONS OF
OFFICIAL INTENT IN ORDER TO PERMIT THE CITY TO REIMBURSE
ITSELF FOR CAPITAL EXPENDITURES WITH PROCEEDS OF
FUTURE TAXABLE OR TAX-EXEMPT BORROWINGS IN
ACCORDANCE WITH THE REIMBURSEMENT REGULATIONS.
WHEREAS, the City of Bakersfield (the "City"), is authorized to issue revenue
bonds and short-term revenue certificates for purposes of the City; and
WHEREAS, the Internal Revenue Service has issued Treasury Regulation
Section 1.150-2, the final regulations with respect to the use of proceeds of tax-exempt
bonds for reimbursement purposes (the "Reimbursement Regulations"); and
WHEREAS, in order to comply with the Reimbursement Regulations, the City
finds it to be advantageous to establish a method whereby the City can document
reimbursement for capital expenditures with proceeds of future taxable or tax-exempt
borrowings.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Bakersfield as follows:
SECTION 1.
The City hereby designates the City Manager to act on behalf of the City in
declaring the City's official intent from time to time to reimburse capital expenditures of
the City with proceeds of future taxable or tax-exempt borrowings. The declaration of
official intent shall: (a) state that the City reasonably expects to reimburse the capital
expenditures from proceeds of a future taxable or tax-exempt borrowing within eighteen
(18) months of the date of the expenditures of moneys on the capital expenditures or on
the date upon which the project, if any, containing the capital expenditures is placed in
service or abandoned, whichever is later (but in no event more than three (3) years after
the date of the original expenditure of such moneys); (b) not be made later than sixty
(60) days after the date of the payment of the capital expenditure; (c) contain a general
functional description of the property to which the reimbursement relates; and (d)
indicate the maximum principal amount of debt expected to be issued for such
reimbursement. Each such declaration of official intent shall be noted prior to or within
sixty (60) days of the expenditure of any moneys on such capital expenditure (or such
later time as may be permitted by the Reimbursement Regulations) by the City
Manager, who is hereby authorized and directed to maintain a record of all declarations
of official intent, the capital expenditures to be covered by each such declaration and
the allocations of borrowing proceeds to reimbursement for such capital expenditures.
The City Manager, in consultation with the City Attorney and the City's outside bond
counsel, is further authorized and directed to take all necessary and desired actions to
implement this procedure for declaration of official intent.
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SECTION 2.
All prior acts and doings of the officials, agents and employees of the City which
are in conformity with the purpose and intent of this Resolution, and in furtherance of
such purposes and intent, shall be and the same hereby are in all respects ratified,
approved and confirmed.
SECTION 3.
All other resolutions of the City, or parts of resolutions, inconsistent with this
Resolution are hereby repealed to the extent of such inconsistency.
SECTION 4.
This resolution shall take effect immediately upon its passage.
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I HEREBY CERTIFY that the foregoing Resolution was passed and adopted by the City
Council of the City of Bakersfield at a regular meeting thereof held on JAN 1 , 2007,
by the following vote:
~
NOES:
ABSTAIN:
ABSENT:
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COUNCILMEMBER CARSON, BENHAM, WEIR, COUCH, HANSON, SULLIVAN, SCRIVNER
COUNCILMEMBER
COUNCILMEMBER
COUNCILMEMBER
CITY CLERK and EX OFFICI
Council of the City of Bakersfi
APPROVED
JAN 1 'l 2007
APPROVED AS TO FORM:
VIRGINIA GENNARO
City Attorney
By:
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EXHIBIT A
CITY OF BAKERSFIELD
REIMBURSEMENT ENTRY
The following is an official intent of the City of Bakersfield (the "City"), pursuant to
Treasury Regulation Section 1.150-2 (the "Reimbursement Regulations") and
Resolution No. of the City adopted on , 2006 (the
"Resolution"). Pursuant to the Reimbursement Regulations and the Resolution, the City
reasonably expects to reimburse itself for the following capital expenditures with
proceeds of a future taxable or tax-exempt borrowing within eighteen (18) months of the
date of the expenditure of moneys on the capital expenditure or on the date upon which
the project, if any, containing the capital expenditure is placed in service or abandoned,
whichever is later (but in no event more than three (3) years after the date of the original
expenditure of such moneys).
Reimbursement
Number:
Date of
Expenditure:
Amount to be Reimbursed: $
Functional Description of the Property to which the Reimbursement relates
City Manager
Date of this Reimbursement Entry:
City of Bakersfield, California
Exhibit "A"
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