R2009-039 - 2009-03-16RESOLUTION NO. R2009-39
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
PEARLAND, TEXAS, DECLARING INTENTION TO REIMBURSE
PROJECT EXPENDITURES.
WHEREAS, the City Council of the City of Pearland, Texas (the "City") has
previously approved, and the City is proceeding with its capital program to make certain
capital improvements, including a natatorium and recreation center (the "Project"), for
which the City expects to spend a maximum amount of approximately $22,000,000.
WHEREAS, the City anticipates providing funds to permanently finance a portion of
the capital costs of the Project by issuing after the date hereof its General Obligation
Bonds, Series 2010 and Series 2011 (collectively, the "Bonds") which are currently
expected to have a maximum aggregate principal amount of approximately $27,000,000
and $19,000,000, respectively;
WHEREAS, no funds of the City (other than proceeds of its General Obligations
Bonds, Series 2009, Series 2010 and Series 2011) are, or are reasonably expected to be
allocated, reserved, or otherwise set aside in the City's budget to pay the costs of the
Project;
WHEREAS, the Bonds will be payable from debt service taxes levied, assessed
and collected by the City for the Bonds;
WHEREAS, the City anticipates that after the date hereof and prior to the issuance
of the Bonds, it will be obligated to pay certain costs constituting expenditures (the
"Expenditures") properly chargeable to capital account (under general federal income tax
principles) in connection with the Project;
WHEREAS, the money to be used to pay the Expenditures set forth in this
Resolution is in the City's General Fund, the general purpose and function of which is to
RESOLUTION NO. R2009-39
pay operating and maintenance expenditures of the City and other lawfully available funds
of the City, and such funds are not appropriated for any other purpose;
WHEREAS, the City reasonably expects that the City will be reimbursed for the
Expenditures with proceeds of the Bonds;
WHEREAS, after the issuance of the Bonds, the City will: (1) evidence each
allocation of proceeds of the Bonds to the reimbursement of the Expenditures with
separate entries in its books and records maintained with respect to the Bonds, and (2)
identify in such entries the actual prior Expenditures being reimbursed or the fund from
which the Expenditures were made, now, therefore;
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND
THAT:
Section 1. The City Council hereby adopts the findings set out in the preamble
hereof and declares its intent within the meaning of Treasury Regulation § 1.150-2, as
promulgated under the Internal Revenue Code of 1986, as amended, to issue
approximately $46,000,000 aggregate principal amount of the Series 2010 Bonds and the
Series 2011 Bonds, a portion of each series of Bonds of which will be used to pay the
costs of the Project and is expected to be used to reimburse the City for the Expenditures
paid in connection with the Project prior to the issuance of the Bonds.
Section 2. The City will maintain this Resolution at the office of the City at 3519
Liberty Drive, Pearland, Texas 77581 and make it continuously available for inspection by
the general public during normal business hours on business days beginning within 30
days after the date of this Resolution.
PASSED, APPROVED and ADOPTED this the 16th day of March, A.D., 2009.
2
RESOLUTION NO. R2009-39
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TOM REID
MAYOR
ATTEST:
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APPROVED AS TO FORM:
DARRIN M. COKER
CITY ATTORNEY