21-3223 - Declaration of Official Intent re capital expenditures

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RESOLUTION 21-3223 DECLARATION OF OFFICIAL INTENT OF THE CITY COMMISSION OF THE CITY OF CASSELBERRY, FLORIDA, TO REIMBURSE ITSELF FOR CERTAIN CAPITAL EXPENDITURES BY INCURRING DEBT; PROVIDING FOR NOT TO EXCEED TWENTY-FOUR MILLION DOLLARS OF DEBT; PROVIDING THE NATURE OF PROJECT COSTS; AUTHORIZING INCIDENTAL ACTION; REPEAL OF PRIOR INCONSISTENT RESOLUTIONS; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City Commission of the City of Casselberry, Florida (the "Issuer") expects to incur significant costs for the design, construction, acquisition and equipping of various capital improvements, including but not limited to, the cost of the parks and recreation improvements and facilities more particularly described in Exhibit A attached hereto (the "Project"); and WHEREAS, the Issuer has determined that it intends to finance the cost of the Project with the proceeds of obligations the interest on which is excludable from gross income for federal income tax purposes ("tax-exempt bonds"); and WHEREAS, no costs of the Project were paid more than 60 days prior to the date of this Resolution, other than preliminary expenditures (not exceeding 20% of the aggregate issue price of the tax-exempt bonds issued to finance the Project), provided that such preliminary expenditures shall not include costs of land acquisition or site preparation or other costs of construction or acquisition of the Project. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF CASSELBERRY, FLORIDA, AS FOLLOWS: Section 1. DECLARATION OF OFFICIAL INTENT TO FINANCE CAPITAL EXPENDITURES; MAXIMUM AUTHORIZED DEBT. The Issuer hereby declares its intention and reasonable expectation to use proceeds of tax-exempt bonds issued in one or more series (the "Reimbursement Bonds") to reimburse itself for expenditures for costs of the Project. The Issuer intends that the Reimbursement Bonds are to be issued, and the reimbursements made, by the later of 18 -months after the payment of the costs or after the Project is placed in service, but in any event, no later than three years after the date the original expenditure was paid. The Issuer anticipates that the maximum principal amount of Bonds issued in one or more series to finance the Project including Reimbursement Bonds, will not exceed $24,000,000. Section 2. NATURE OF PROJECT COSTS. The costs of the Project consist entirely of capital expenditures or cost of issuance of tax-exempt bonds, and no cost of the Project to be reimbursed with the proceeds of the Reimbursement Bonds is a cost of working capital. Section 3. INCIDENTAL ACTION. The appropriate officers of the Issuer are hereby authorized and directed to take or approve the taking of such actions as may be necessary