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HomeMy WebLinkAbout2017-05-23 - RESOLUTIONS - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SA (2)RESOLUTION NO. 17-49 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA CLARITA, CALIFORNIA, DECLARING ITS INTENT TO REJMBURSE CERTAIN EXPENDITURES FROM TAX-EXEMPT OBLIGA'T'IONS IN CONNECTION WITH THE ACQUISITION, INSTALLATION AND CONVERSION OF CERTAIN STREETLIGHT IMPROVEMENTS WHEREAS, the City Council of City of Santa Clarita, California (City) expects to incur obligations relating to tax-exempt bonds (Obligations) to be issued by the City, a related entity, including the Santa Clarita Public Financing Authority, or a conduit issuer, to finance costs associated with the acquisition, installation and conversion of certain streetlight improvements (Project); and WHEREAS, certain expenditures with respect to the Project are expected to be paid by the City prior to the date of issuance of the Obligations (Reimbursable Expenditures); and WHEREAS, section 1.150-2 of the Treasury Regulations (Treasury Regulations) promulgated under the Internal Revenue Code of 1986, as amended, requires that for an allocation of proceeds of the Obligations to a capital expenditure paid prior to the issuance of the Obligations to be respected by the Internal Revenue Service, the City generally must no later than sixty (60) days following such payment have declared its reasonable official intent to reimburse itself for such payment out of proceeds of the Obligations; and WHEREAS, the City desires to facilitate the allocation of proceeds of the Obligations to the reimbursement for payment of the Reimbursable Expenditures for the Project. NOW, THEREFORE, the City Council of the City of Santa Clarita does hereby resolve as follows: SECTION 1. This Resolution is adopted for purposes of establishing compliance with the requirements of section 1.150-2 of the Treasury Regulations. This Resolution does not obligate the City to make any expenditure or proceed with the Project or obligate the City to cause the issuance of the Obligations. SECTION 2. The City hereby declares its reasonable official intention to reimburse the applicable Reimbursable Expenditures with respect to the Project from proceeds of Obligations that may hereafter be issued by or on behalf of the City. The maximum principal amount of Obligations expected to be issued for the Project is $17,000,000. It is intended that this Resolution shall constitute a declaration of "official intent" within the meaning of section 1.150- 2 of the Treasury Regulations. All of the Reimbursable Expenditures covered by this Resolution were or are to be made not earlier than 60 days prior to the adoption hereof, other than certain de rninimis amounts and preliminary expenditures as described in section 1.150-2(f) of the Treasury Regulations. The non-exempt Reimbursable Expenditures covered by this Resolution are eligible for reimbursement provided the reimbursement occurs not later than 18 months after the later of the date the original expenditure is made or the date the property is placed in service; but in no event more than three years after the original expenditure is made. SECTION 3. All actions heretofore taken by the officers, or their respective designees, and the employees and agents of the City in connection with the financing of the Project are hereby ratified and confirmed. The officers and their designees, the employees and agents of the City are hereby authorized to take any and all actions in connection with the financing of the Project and as may be necessary and consistent with the purposes of this resolution. SECTION 4. This resolution shall take effect immediately upon its adoption. SECTION 5. The City Clerk shall certify to the adoption of this Resolution. PASSED, APPROVED, AND ADOPTED this 23`d day of May, 2017. ATTEST: C TY CLERK DATE: (e t 13 1 Z STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF SANTA CLARITA ) I, Mary Cusick, City Clerk of the City of Santa Clarita, do hereby certify that foregoing Resolution was duly adopted by the City Council of the City of Santa Clarita at a regular meeting thereof, held on the 23`d day of May, 2017, by the following vote: AYES: NOES ABSENT: COUNCILMEMBERS: Miranda, Weste, McLean, Kellar, Smyth COUNCILMEMBERS: None COUNCILMEMBERS: None 2 L CITY CLERIC C 1