HomeMy WebLinkAboutR2026-058 20260323RESOLUTION NO. R2026-58
A Resolution of the City Council of the City of Pearland, Texas, declaring
intention to reimburse project expenditures from proceeds of future tax-
exempt obligations.
WHEREAS, the City Council of the City of Pearland (the “City”) desires to finance the
costs of acquiring, constructing, reconstruction and/or equipping certain public facilities and
improvements, as provided in Exhibit A attached hereto and incorporated herein (the “Project”);
WHEREAS, the City intends to finance the acquisition, construction, reconstruction
and/or equipping of the Project or portions of the Project with the proceeds of the sale of
obligations the interest upon which is excluded from gross income for federal income tax
purposes (the “Obligations”); and
WHEREAS, prior to the issuance of the Obligations the City desires to incur certain
capital expenditures (the “Expenditures”) with respect to the Project from available moneys of
the City;
WHEREAS, the City Council has determined that those moneys to be advanced on and
after the date hereof to pay the Expenditures are available only for a temporary period and it is
necessary to reimburse the City for the Expenditures from the proceeds of the Obligations; now,
therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS:
Section 1. The City hereby states its intention and reasonably expects to reimburse
costs of the Project incurred prior to the issuance of the Obligations with proceeds of the
Obligations. Exhibit A describes the general character, type, purpose, and function of the
Project.
Section 2. The reasonably expected maximum principal amount of the Obligations is
$10,000,000.
Section 3. This resolution is being adopted no later than 60 days after the date on
which the City will expend moneys for the portion of the Project costs to be reimbursed from
proceeds of the Obligations.
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RESOLUTION NO. R2026-58
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Section 4. The City will make a reimbursement allocation, which is a written allocation
that evidences the City's use of proceeds of the Obligations to reimburse an Expenditure, no
later than 18 months after the later of the date on which the Expenditure is paid or the Project is
placed in service or abandoned, but in no event more than three years after the date on which
the Expenditure is paid.
Section 5. Proceeds of the Obligations to be used to reimburse for Project costs are not
expected to be used, within one year of reimbursement, directly or indirectly to pay debt service
with respect to any obligation (other than to pay current debt service coming due within the next
succeeding one year period on any tax-exempt obligation of the City (other than the
Obligations)) or to be held as a reasonably required reserve or replacement fund with respect to
an obligation of the City or any entity related in any manner to the City, or to reimburse any
expenditure that was originally paid with the proceeds of any obligation, or to replace funds that
are or will be used in such manner.
Section 6. This resolution is adopted as official action of the City in order to comply with
Treasury Regulation §1.150-2 and any other regulations of the Internal Revenue Service
relating to the qualification for reimbursement of City expenditures incurred prior to the date of
issue of the Obligations.
Section 7. All the recitals in this Resolution are true and correct and this City Council so
finds, determines and represents.
PASSED, APPROVED and ADOPTED this the 23rd day of March, A.D., 2026.
________________________________
J. KEVIN COLE
MAYOR
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RESOLUTION NO. R2026-58
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ATTEST:
________________________________
FRANCES AGUILAR, TRMC, MMC
CITY SECRETARY
APPROVED AS TO FORM:
______________________________
LAWRENCE G. PROVINS
CITY ATTORNEY
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RESOLUTION NO. R2026-58
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EXHIBIT A
The City of Pearland plans to construct the following projects: (i) Sportsplex Improvements &
Trails (PK2702), (ii) Parks Land Acquisition (PK2703), (iii) Bridge Replacement - Kingsley Drive
at Clear Creek (TR2605), and (iv) Broadway Street Expansion (Kirby Drive to Half Moon Bay)
(TR2606). The total cost of these projects is expected to be approximately $34,000,000,
including related architectural, engineering, and project management costs, and expenditures
for furniture, fixtures, equipment and other costs associated therewith.
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EXHIBIT A
Desctiption of Expenditures to be Reimbursed
Debt Type
Bond
Maturity
(Years)
Project Name Expect to
Reimburse
Certificates of Obligation 15 PK2702 - Sportsplex Improvements & Trails 10,000,000
Certificates of Obligation 20 PK2703 - Parks Land Acquisition 12,000,000
Certificates of Obligation 10 TR2605 - Bridge Replacement - Kingsley Drive at Clear Creek 4,000,000
Certificates of Obligation 15 TR2606 - Broadway Street Expansion (Kirby Drive to Half Moon Bay) 8,000,000
TIRZ Reimbursable Certificates of Obligation - Total 34,000,000
Total 34,000,000