HomeMy WebLinkAboutRes 1740 - Intent to Reimburse Bond Proceeds for Tukwila Urban Center Access (Klickitat)City of Tukwila
Washington
Resolution No. / r) y 0
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA,
WASHINGTON, EXPRESSING OFFICIAL INTENT, PURSUANT TO
TREASURY REGULATION SECTION 1.150 -2, TO REIMBURSE THE
CITY FROM THE PROCEEDS OF BONDS FOR CERTAIN ORIGINAL
EXPENDITURES PAID IN CONNECTION WITH CERTAIN ARTERIAL
STREET FUND PROJECTS; AND DESIGNATING AN AUTHORIZED
REPRESENTATIVE TO MAKE DECLARATIONS OF OFFICIAL INTENT
ON BEHALF OF THE CITY.
WHEREAS, the City of Tukwila, Washington (the "City ") intends to make
expenditures for the Project (identified below) from funds that are available but that are
not, and are not reasonably expected to be, reserved, allocated on a long -term basis, or
otherwise set aside for those expenditures, and reasonably expects to be reimbursed
for those expenditures from proceeds of local improvement district bonds or other
obligations issued to finance those expenditures; and
WHEREAS, it is the intent of the City to pay certain capital expenditures incident to
the acquisition and construction of the Project to be financed by the proceeds of the bonds
from other funds of the City pending the sale and delivery of the bonds and the receipt of
the proceeds thereof, and the City reasonably expects to reimburse the funds of the City
from the proceeds of such bonds;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA,
WASHINGTON, HEREBY RESOLVES AS FOLLOWS:
Section 1. Description of Project for Which Expenditures are to be Made. The
City intends to make, and /or not more than 60 days before the date of this declaration has
made, expenditures and reasonably expects to reimburse itself for those expenditures
from the proceeds of local improvement district bonds for the Tukwila Urban Center
Access Project, Project No. 98410419 (the "Project "), also known as the Klickitat project.
Section 2. Maximum Principal Amount of Obligations Expected to be Issued for
the Project. The City expects that the maximum principal amount of bonds that will be
issued to finance the Project will be twelve million dollars ($12,000,000).
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Section 3. Declaration Reasonable. The City Council has reviewed its existing and
reasonably foreseeable budgetary and financial circumstances and has determined the
City reasonably expects to reimburse itself for expenditures for the Project from proceeds
of bonds because the City has no funds available that already are, or are reasonably
expected to be, reserved, allocated on a long -term basis, or otherwise set aside by the
City for those expenditures on the Project.
Section 4. Limitations on Uses of Reimbursement Amounts. For one year after
the allocation of proceeds, the City will not use amounts corresponding to proceeds
received from bonds issued in the future to reimburse the City for previously paid
expenditures for the Project in any manner that results in those amounts being treated as
replacement proceeds of any tax exempt bonds, i.e., as a result of being deposited in a
reserve fund, pledged fund, sinking fund or similar fund other than a bona fide debt service
fund that is expected to be used to pay principal of or interest on tax exempt bonds. The
City will not use said amounts in any manner that employs an abusive arbitrage device to
avoid arbitrage restrictions.
Section 5. Designation of Authorized Representative. The Finance Director is
hereby designated as the authorized representative of the City to declare in writing, in
such form as may be approved by the City Council, the official intent of the City to
reimburse original expenditures for the Project from proceeds of debt to be issued for
purposes of and in accordance with Treasury Regulation Section 1.150 -2.
Section 6. Implementation. The Finance Director is hereby authorized to implement
such administrative procedures as may be necessary to carry out the directions of this
legislation.
PASSED BY THE CITY COUNCIL nOF THE CITY OF TUKWILA, WASHINGTON, at
a Regular Meeting thereof this (j.0 day of
ATTEST /AUTHENTICATED:
C
Christy O'Flaherty, CMC, City Cie
APPROVED AS T
BY:
She -y M. Kersl"e, City Attorney
, 2011.
an Ekberg, Council Present
Filed with the City Clerk:
Passed by the City Council:
Resolution Number: ) fi Q
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