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HomeMy Public PortalAboutResolution No. 577-23 07-10-2023 RESOLUTION NO. 577-23 RESOLUTION BY THE CITY COUNCIL OF THE CITY OF RICHLAND HILLS, TEXAS, DIRECTING PUBLICATION OF NOTICE OF INTENTION TO ISSUE CERTIFICATES OF OBLIGATION; DIRECTING THE PREPARATION OF A PRELIMINARY OFFICIAL STATEMENT AND RELATED MATERIALS; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City of Richland Hills, Texas (the "City") expects to pay expenditures in connection with the design, planning, acquisition and construction of the projects described in Exhibit A to this Resolution prior to the issuance of the Certificates hereinafter described; and WHEREAS, the City's City Manager, Director of Finance and Administrative Services, Financial Advisor and Bond Counsel are prepared to draft and distribute necessary documents for the sale on a competitive bid basis of the Certificates; and WHEREAS, the City Council hereby finds, considers and declares that the reimbursement of the payment by the City of such expenditures will be appropriate and consistent with the lawful objectives of the City and, as such, chooses to declare its intention, in accordance with the provisions of Section 1.150-2 of the U.S. Treasury Regulations, to reimburse itself for such payments at such time as it issues the hereinafter described Certificates; and WHEREAS, it is hereby officially found and determined that the meeting at which this Resolution was considered was open to the public, and public notice of the time, place and purpose of said meeting was given, all as required by Chapter 551, Texas Government Code. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF RICHLAND HILLS, TEXAS, THAT: SECTION 1. Attached hereto and marked Exhibit A is a form of notice (the "Notice"), the form and substance of which are hereby passed and approved. SECTION 2. The City Secretary shall cause the Notice to be published, in substantially the form attached hereto, in a newspaper of general circulation in the City of Richland Hills, Texas, for two (2) consecutive weeks.. the date of the first publication to be before the forty-fifth (45th) day before the date tentatively set for the adoption of the ordinance authorizing the issuance of the Certificates as shown in the Notice. Resolution No. 577-23, Page 1 of 6 SECTION 3. The City Secretary shall cause the Notice to be posted, in substantially the form attached hereto, continuously on the City's internet website for at least forty-five (45) days before the date tentatively set for the adoption of the ordinance authorizing the issuance of the Certificates as shown in the Notice. SECTION 4. The facilities and improvements to be financed with proceeds from the proposed Certificates are to be used for the purposes described in the attached Notice of Intention. No bond proposition to authorize the issuance of bonds for the same purpose as any of the projects described in Exhibit A to be financed with the proceeds of the proposed Certificates was submitted to the voters of the City during the preceding three (3) years and failed to be approved. SECTION 5. All costs to be reimbursed pursuant to this Resolution will be capital expenditures; the proposed Certificates shall be issued within eighteen (18) months of the later of(i) the date the expenditures are paid or (ii) the date on which the property, with respect to which such expenditures were made, is placed in service; and the foregoing notwithstanding, the Certificates will not be issued pursuant to this Resolution on a date that is more than three years after the date any expenditure which is to be reimbursed is paid. SECTION 6. The City Manager and Director of Finance and Administrative Services are hereby directed to cause the preparation of a Preliminary Official Statement for the Certificates, together with related materials, and the Director of Finance and Administrative Services and the Financial Advisor are authorized to distribute same among entities which would be interested in bidding on the Certificates and other interested persons. SECTION 7. The Director of Finance and Administrative Services and the Financial Advisor are authorized to apply to rating agencies for ratings on the Certificates and to make presentations to them and provide to such entities the information reasonably requested by them. SECTION 8. The Council hereby authorizes its advisors, the City Manager and the Director of Finance and Administrative Services of the City, and its members to do all things necessary to prepare for the sale of the Certificates. Resolution No. 577-23, Page 2 of 6 SECTION 9. This Resolution shall be effective immediately upon passage and adoption. APPROVED AND ADOPTED at a regular meeting of the Richland Hills City Council on July 10, 2023, by a vote of ayes, nays, and abstentions. APPROVED: GW ESTEP, MAYOR PRO TEM ATTEST: fei4N, LINDSAY RAWLINSON, CITY SECRETARY Tr. C):•:- 7)4 //////////111111 1•1111`���\\\\ Resolution No. 577-23, Page 3 of 6 EXHIBIT A NOTICE OF INTENTION TO ISSUE CERTIFICATES OF OBLIGATION NOTICE IS HEREBY GIVEN that it is the intention of the City Council of the City of Richland Hills, Texas, to issue one or more series of the interest bearing certificates of obligation of the City to be entitled "City of Richland Hills, Texas Combination Tax and Revenue Certificates of Obligation", for the purpose of paying contractual obligations to be incurred by the City, to-wit: (i) designing, equipping, and constructing streets, roads, sidewalks, including related drainage, utility relocation, signalization, landscaping, lighting and signage, and acquisition of land and rights of way therefor; (ii) designing, equipping, and constructing improvements to the City's water and wastewater system; and (iii) the payment of fiscal, engineering and legal fees incurred in connection therewith. The City Council tentatively proposes to authorize the issuance of said series (one or more) of Certificates of Obligation at its regular meeting place in the City Hall at a meeting to commence at 7:00 p.m., on September 11, 2023. The maximum amount of Certificates that may be authorized to be sold on said date for such purposes described above is $7,000,000. The City Council presently proposes to provide for payment of said series (one or more) of Certificates of Obligation from the levy of taxes and from a limited surplus revenue pledge (not to exceed $1,000) derived from the operation of the City's water and wastewater systems. In accordance with the provisions of Subchapter C of Chapter 271, Texas Local Government Code, as amended ("Chapter 271"), the following information has been provided by the City: (i) the principal amount of all outstanding debt obligations of the City is $23,755,000; (ii) the current combined principal and interest required to pay all outstanding debt obligations of the City on time and in full is $30,764,837; (iii) the maximum principal amount of the certificates of obligation to be authorized is $7,000,000; (iv) the estimated combined principal and interest required to pay the certificates of obligation to be authorized on time and in full is $8,992,938; (v) the maximum interest rate for the certificates of obligation may not exceed the maximum legal interest rate; and (vi) the maximum maturity date of the certificates of obligation to be authorized shall not exceed forty (40) years from the date thereof. CITY OF RICHLAND HILLS, TEXAS Resolution No. 577-23, Page 4 of 6 CERTIFICATE FOR RESOLUTION THE STATE OF TEXAS § COUNTY OF TARRANT § CITY OF RICHLAND HILLS § We, the undersigned officers of the City Council of the City, hereby certify as follows: 1. The City Council of the City convened in a REGULAR MEETING ON THE 10th DAY OF JULY, 2023, at the regular designated meeting place, and the roll was called of the duly constituted officers and members of the City Council, to wit: Edward Lopez, Mayor G.W. Estep, Mayor Pro-Tem Douglas Knowlton, Member Travis Malone, Member Theresa Bledsoe, Member Javier Alvarez, Member Roland Goveas, Member Lindsay Rawlinson, City Secretary and all of the persons were present except, L thus constituting a quorum. Whereupon, among other business, the ollowing was transacted at the Meeting: a written RESOLUTION BY THE CITY COUNCIL OF THE CITY OF RICHLAND HILLS, TEXAS, DIRECTING PUBLICATION OF NOTICE OF INTENTION TO ISSUE CERTIFICATES OF OBLIGATION; DIRECTING THE PREPARATION OF A PRELIMINARY OFFICIAL STATEMENT AND RELATED MATERIALS; AND PROVIDING AN EFFECTIVE DATE was duly introduced for the consideration of the City Council. It was then duly moved and seconded that the Resolution be passed; and, after due discussion, the motion, carrying with it the passage of the Resolution, prevailed and carried by the following vote: AYES: NAYS: ABSTENTIONS: Resolution No. 577-23, Page 5 of 6 2. That a true, full and correct copy of the aforesaid Resolution passed at the Meeting described in the above and foregoing paragraph is attached to and follows this Certificate; that the Resolution has been duly recorded in the City Council's minutes of the Meeting; that the above and foregoing paragraph is a true, full and correct excerpt from the City Council's minutes of the Meeting pertaining to the passage of the Resolution; that the persons named in the above and foregoing paragraph are the duly chosen, qualified and acting officers and members of the City Council as indicated therein; that each of the officers and members of the City Council was duly and sufficiently notified officially and personally, in advance, of the time, place and purpose of the aforesaid Meeting, and that the Resolution would be introduced and considered for passage at the Meeting, and each of the officers and members consented, in advance, to the holding of the Meeting for such purpose; that the Meeting was open to the public and public notice of the time, place and purpose of the Meeting as given, all as required by Chapter 551, Government Code. 3. That the Mayor of said City has approved and hereby approves the aforesaid Resolution; that the Mayor and the City Secretary of said City have duly signed said Resolution; and that the Mayor and the City Secretary of said City hereby declare that their signing of this Certificate shall constitute the signing of the attached and following copy of said Resolution for all purposes. SIGNED AND SEALED the 10th day of July, 2023. Lindsay Rawlinso f, City Secretary GW Estep, Mayor Pro em (SEAL) \\\\����� 0,111,,,„,00, v • / • \\\•••