HomeMy WebLinkAboutR-2006-142 Limited Tax General Obligation Bonds / Other Tax-Exempt ObligationsA
RESOLUTION NO. R-2006-142
A RESOLUTION BY THE CITY COUNCIL OF THE
CITY OF YAKIMA DECLARING THE CITY'S
INTENT TO ISSUE BONDS AND/OR OTHER
TAX-EXEMPT OBLIGATIONS AND TO
REIMBURSE PRIOR EXPENDITURES.
WHEREAS, the Internal Revenue Code of 1986 requires that a municipality declare its
intent to issue tax-exempt bonds or other tax-exempt obligations to reimburse the municipality
for prior expenditures before the expenditures are incurred;
Now, therefore, be it resolved by the City Council of the City of Yakima, as follows:
The City reasonably expects to reimburse the following expenditures with the proceeds of
limited tax general obligation bonds or other tax-exempt obligations to be issued by the City: the
River Road project, Downtown renovation project, both infrastructure projects and the W.V. Fire
Station Remodel project. The City expects to issue approximately $4.0 Million principal amount
of limited tax general obligation bonds for the River Road, the Downtown renovation and the
W.V. Fire Station Remodel projects. The expenditures to be reimbursed from bond proceeds or
other tax-exempt obligations will be made from the appropriate capital funds.
Adopted this 3rd day of October 2006.
CITY OF YAKIMA, WASHINGTON
ATTEST:
Deborah J. Moore,
K:\25739\00077\NMN\NMN_R31Q8
Clerk
David Elder, Mayor
BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
46 I e7
Item No.
For Meeting Of 10-3-2006
ITEM TITLE: Resolution declaring the City's intent to issue bonds or other tax exempt obligations for
Phase II of the Downtown Project, the River Road Project(s) and the W.V. Fire Station remodel project and
to use bond proceeds to reimburse the City for any expenditures that may be incurred prior to issuance of
the bonds.
SUBMITTED BY: Finance Department
CONTACT PERSON: Tim Jensen, Treasury Services Officer 575-6070
7
SUMMARY EXPLANATION:
Should the City incur expenditures on projects prior to the issuance of bonds or other tax exempt
obligations, the IRS Tax Code of 1986, as revised, requires that the intent to reimburse those expenditures
with bond proceeds be officially declared prior to the expenditures being made. The attached Resolution
satisfies this technical requirement. Adoption of this Resolution is a housekeeping measure and does not
bind the City to issue any bonds or other financing instruments, it merely states the intent to do so and
allows the City to be reimbursed from bond proceeds for any expenditures made prior to the issuance of
such bonds.
Resolution X Ordinance _ Other (Specify)
Contract Mail to (name and address):
Phone
Funding Source
APPROVED FOR SUBMITTAL:
City Manager
STAFF RECOMMENDATION: Adopt Resolution
BOARD/COMMISSION RECOMMENDATION:
COUNCIL ACTION:
Legal/BD
rev effective 7/21/92
Resolution adopted. RESOLUTION NO. R-2006-142