HomeMy WebLinkAboutResolution No. 2010-38 RESOLUTION NO. R2010-38
A RESOLUTION OF THE CITY OF FRIENDSWOOD, TEXAS,
EXPRESSING OFFICIAL INTENT THAT EXPENDITURES
PAID IN CONNECTION WITH THE DESIGN, PLANNING,
ACQUISITION AND CONSTRUCTION OF STREET
IMPROVEMENTS AND RELATED INFRASTRUCTURE IN
THE CITY OF FRIENDSWOOD (PROJECT) THAT ARE
MADE PRIOR TO THE ISSUANCE OF TAX-EXEMPT
OBLIGATIONS TO FINANCE THE PROJECT BE
REIMBURSED AT THE TIME OF ISSUANCE OF SAID
OBLIGATIONS.
* * * * * * * * *
WHEREAS, the City of Friendswood, Texas (the "Issuer"), is a home-rule city of the State of
Texas, authorized to issue obligations to finance its activities pursuant to the Texas Government Code and
other laws of the State, the interest on which is excludable from gross income for federal income tax
purposes("tax-exempt obligations")pursuant to Section 103 of the Internal Revenue of 1986, as amended
(the"Code"); and
WHEREAS, the Issuer expects to pay, or have paid on its behalf, expenditures in connection
with the design, planning, acquisition and construction of street improvements (sections of Blackhawk
Boulevard, Oak Vista Drive, Wandering Trail and other City streets) and related infrastructure in the City
of Friendswood (the "Project") prior to the issuance of tax-exempt obligations, tax-credit obligations
and/or obligations for which a prior expression of intent to finance or refinance is required by Federal or
state law(collectively and individually,the "Obligations")to finance the Project;
WHEREAS, the Issuer finds, considers, and declares that the reimbursement for the payment of
such expenditures will be appropriate and consistent with the lawful objectives of the Issuer and, as such,
chooses to declare its intention to reimburse itself for such payments at such time as it issues Obligations
to finance the Project;
THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FRIENDSWOOD,TEXAS,THAT:
Section 1. The Issuer reasonably expects to incur debt, as one or more series of Obligations,
with an aggregate maximum principal amount equal to $3,500,000 for the purpose of paying the costs of
the Project.
Section 2. All costs to be reimbursed pursuant hereto will be capital expenditures. No
Obligations will be issued by the Issuer in furtherance of this Statement after a date which is later than 18
months after the later of(1)the date the expenditures are paid or(2)the date on which the property, with
respect to which such expenditures were made, is placed in service.
Section 3. The foregoing notwithstanding, no Obligation will be issued pursuant to this
Statement more than three years after the date any expenditure which is to be reimbursed is paid.
Section 4. The foregoing Sections 2 and 3 notwithstanding, all costs to be reimbursed with
qualified tax credit obligations shall not be paid prior to the date hereof and no tax credit obligations shall
be issued after 18 months of the date the original expenditure is made.
Section 5. All resolutions and parts of resolutions in conflict herewith are hereby repealed to
the extent of the conflict only.
Section 6. If any word, phrase, clause, sentence, paragraph, section or other part of this
resolution or the application thereof to any person or circumstance shall ever be held to be invalid or
unconstitutional by any court of competent jurisdiction, the remainder of this resolution and the
application of such word, phrase, clause, sentence, paragraph, section, or other part of this resolution to
any other person or circumstance shall not be affected thereby.
PASSED, APPROVED AND ADOPTED, this 4th day of October, 2010 at a regular City
Council meeting of the City of Friendswood.
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' J. . Smith
Mayor
ATTEST: F R�ENp
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Melinda Welsh,TRMC * tt
City Secretary �,, y
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R2010-3 8 2