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HomeMy WebLinkAboutRES 10-45RESOLUTION NO. 10-45 RESOLUTION OF THE MAYOR AND COUNCIL OF THE CITY OF APACHE JUNCTION, ARIZONA, DECLARING, FOR PURPOSES OF SECTION 1.150-2 OF THE FEDERAL TREASURY REGULATIONS, OFFICIAL INTENT TO BE REIMBURSED IN CONNECTION WITH CERTAIN CAPITAL EXPENDITURES RELATING TO STREET AND ROAD IMPROVEMENTS. WHEREAS, the City of Apache Junction, Arizona, a municipal corporation of the State of Arizona (hereinafter referred to as the "City"), is authorized and empowered pursuant to law to issue or cause to be issued obligations to finance the costs of various capital facilities owned or to be owned by the City; and WHEREAS, it is contemplated that certain expenditures made by the City with regard to capital facilities owned or to be owned by the City with regard to constructing, improving, upgrading, and rehabilitating streets for the City will be reimbursed from the proceeds of the sale of obligations to be issued in the future by or on behalf of the City; NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF CITY OF APACHE JUNCTION, ARIZONA, that: Section 1.Definitions.The following terms shall have the meanings assigned thereto as follows: "official intent" means a declaration of intent of the City to reimburse an original expenditure with proceeds of an obligation. "original expenditure" means an expenditure for a governmental purpose that is originally paid from a source other than a reimbursement bond. "reimbursement bond" means the portion of an issue of obligations allocated to reimburse an original expenditure that was paid before the issue date of such issue. Section 2.Official Intent.This Resolution is official intent relating to reimbursement for the original expenditures indicated in Exhibit A hereto which are capital expenditures (being any cost of a type that is properly chargeable to a capital account (or would be so chargeable with a proper election) under general federal income tax principles). RESOLUTION NO. 10-45 PAGE 1 OF 3 Section 5.Public Record included as of the date official records of the supervised by the Clerk Section 3.Project Descriptions.The projects for which such original expenditures are to be paid are for those described on Exhibit A attached hereto and the maximum principal amount of obligations (including the reimbursement bonds for such purposes) to be issued for such projects will not exceed $10,000,000. Section 4.Reasonableness of Official Intent.On the date of this Resolution, the Mayor and Council of the City have a reasonable expectation (being that a prudent person in the same circumstances would have based on all the objective facts and circumstances) that it will reimburse such original expenditures with proceeds of such obligations.(Official intents have not been declared by the City as a matter of course or in amounts substantially in excess of the amounts expected to be necessary for such projects.Moreover, the City does not have a pattern (other than in extraordinary circumstances) of failure to reimburse actual original expenditures covered by official intents.) Public Record.This Resolution shall be hereof in the publicly available City, such records being maintained and of the City, being the main administrative office of the City, and shall remain available for public inspection on a reasonable basis. PASSED AND ADOPTED BY THE MAYOR AND COUNCIL OF THE CITY OF APACHE JUNCTION, PINAL AND RARICOPA COUNTIES, ARIZONA, THIS 7°DAY OF DECEMBER, 2010. SIGNED AND ATTESTED TO THIS 7m DAY OF DECEMBER, 2010. MN S. INSALACO Mayor ATTEST: KATHLEEN CONNELLY City Clerk RESOLUTION NO. 10-45 PAGE 2 OF 3 APPROVED AS TO FORM: .cf /2-1/Jo RICHARD J. STERN City Attorney RESOLUTION NO. 10-45 PAGE 3 OF 3 EXHIBIT A ORIGINAL EXPENDITURES INTENDED. TO BE REIMBURSED Description of Orignal Amount of Dates of Original Expenditures Expenditures Expenditures Feasibities studies,Not to September 8, 2010 appraisals, legal fees,exceed consultant fees, financial $10,000,000 advising fees, staff time, and other expenses related to constructing, improving, upgrading, and rehabilitating streets. EXHIBIT A-1