R-04-10-26-15E3 - 10/26/2004 RESOLUTION NO. R-04-10-26-15133
WHEREAS, the City of Round Rock, Texas (the "Issuer") is a home-
rule City of the State of Texas, and
WHEREAS, the Issuer expects to pay expenditures in connection
with acquiring certain vehicles and equipment (the "Property") prior to
the issuance of obligations to finance the Property, and
WHEREAS, the Issuer finds, considers, and declares that the
reimbursement of the Issuer 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, in accordance with the
provisions of Section 1. 150-2 of the Treasury Regulations, to reimburse
itself for such payments at such time as it issues obligations to
finance the Property, Now Therefore
BE IT RESOLVED BY THE COUNCIL OF THE CITY OF ROUND ROCK, TEXAS,
I.
That the Issuer reasonably expects to incur debt, as one or more
separate series of various types of obligations, with an aggregate
maximum principal amount equal to $600, 000 for the purpose of paying
the costs of the Property.
II.
That all costs to be reimbursed pursuant hereto will be capital
expenditures . No tax-exempt obligations will be issued by the Issuer in
furtherance of this Resolution 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.
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III.
The foregoing notwithstanding, no tax-exempt obligation will be
issued pursuant to this Resolution more than three years after the date
any expenditure which is to be reimbursed is paid.
IV.
The City Council hereby finds and declares that written notice of
the date, . hour, place and subject of the meeting at which this
Resolution was adopted was posted and that such meeting was open to the
public as required by law at all times during which this Resolution and
the subject matter hereof were discussed, considered and formally acted
upon, all as required by the Open. Meetings Act, Chapter 551, Texas
Government Code, as amended.
RESOLVED this 26th day of October, 2004 .
L, May
City of Round Rock, Texas
A T:
CHRISTINE R. MARTINEZ, City Secretar
2 .
Eligible Capital Lease Items
y i FY 2004-2005
Capital Outlay AdcrI N ofI
Dept. Description Justification&Benefits Base Cost Costs items Budget Total This Item is Replacing Asset
Police Status Quo 6114-100-21002 Unmarked police vehicle All vehicles due for replacement t$25,000 $10,000 1 $ 35,000 '98 Unmkd Crown Vic 980846
Police Status Quo 6114-100-21002 Marked police vehicle --in all cases,car replacement dal 30,000 19,500 1 49,500 '97 Mkd Crown Vic 970545
Police Status Quo 6114-100.21002 Marked police vehicle --in all uses,car replacement dal 30,000 19,500 1 49,500 '98 Mkd Crown Vic:K-9 980854
Police Status Quo 6114-100.21002 Marked police vehicle --in all uses,car replacement dal 30,000 19,500 1 49,500 '98 Mkd Crown Vic 980904
Police Status Quo 6114-100-21002 Marked police vehicle --in all uses,car replacement dal 30,000 19,500 1 49,500 '98 Mkd Crown Vic 991697
Police Status Quo 6114-10421002 Marked police vehicle --in all cases,car replacement dal 30,000 19,500 1 49,500 '98 Mkd Crown Vic 980914
Police Status Quo 6114-10421002 Marked police vehicle --in all uses,car replacement dal 30,000 19,500 1 49,500 '98 Mkd Crown Vic 043628
Police Status Quo 6114-10421002 Marked police vehicle --in all uses,car replacement dat 30,000 19,500 1 49,500 '98 Mkd Crown Vic 011453
Police Total Capital Outlay-04-05 5381.500
Fire Status Quo 6114-10422000 Pickup 1/2 ton ext.cab-SI Replace our 1993 Chevy C1500 F $18,000 $ - 1 $18,000 1993 Chevy C150 Pickul 930085
Fire Status Quo 6114-100-22020 1/2 ton V 8 Expl.w/towinc Meets replacement criteria 22,000 - 1 22,000 1998 Chevy Tahoe 980859
Fire Total Capital Outlay-0405 $40.000
Parks&Recreation Status Quo 6114-100-23003 112 ton short bed-extende JR:Needed to for replacement pn$ 18,000 $ 300 1 $ 18,300 1993 GMC Vandura 930090
Parks&Recreation Status Quo 6114-10423003 3/4 ton Pickup Long Bed RV:Needed to for replacement pr 28,000 300 1 28,300 1993 GMC 3/4 Ton 930143
Parks&Recreation Status Quo 6114-10423003 1/2 ton V8 Long Bed Heap JR:Needed to for replacement pr. 18,000 300 1 18,300 1993 Chev 1/2 Ton 930101
Parks&Recreation Status Quo 6114-10423003 1/2 ton V8 Long Bed Hea,RV:Needed to for replacement pr 18,000 300 1 18,300 1995 Chev S-10 950921
Parks&Recreation Status Quo 6114-100.23003 3/4 ton Pick Up RV:Needed to for replacement pr 20,000 300 1 20,300 1996 Dodge 960051
Parks&Recreation Status Quo 6114-100.23003 1/2 ton RC MS:Needed to for replacement pi 17,000 300 1 17,300 1997 Chevy X-CAB 970602
Parks&Recreation Status Quo 6114-10423003 1/2 ton V8 Long Bed Hea,JR:Needed to for replacement pn 18,000 300 1 18,300 1997 F-250 970615
Parks&Recreation Total Capital Outlay.04-05 $139.100
Engin&Dev Svcs New Program#1 6114-10425003 3/4 ton Utility Bed For new Facility Techs $29,000 $ - 1 $ 29,000 New Program N/A
Engin&Dev Svcs Total Capital Outlay-04-05 $29.000
Street Status Quo 6112-10426000 72"Mower ROW Maintenance $14,500 $ - 1 $14,500 Dixie Chopper 981074 - -
Street Status Quo 6112-100.26000 72"Mower ROW Maintenance 14,500 - 1 14,500 Turf Blazer 970658
Street Status Quo 6114-100.26000 3/4 EC PU Truck w/towing Vehicle Replacement 22,000 - 1 22,000 1994 F-150 940250
Street Status Quo 6114-10426000 112 Ton EC HO Vehicle Replacement 18,000 - 1 18,000 1997 F-250 970537
Street Status Quo 6117-100.26000 Signalization Traffic Signal Synchronization 51,00 - 1 51,000 City Intersections N/A
Street Total Capital Outlay-04-05 $120.000
Transportation Svcs Status Quo 6114-100-2700 Pickup,1/2-Ton,Short Be Replaces a 1994 Pick-up,which is $22,00 $ 2,630 1 $24,630 1994 Chevy 5-10 Pickup 94005
Transportation Services Total Capital Outlay-0405 524,630
General Fund Eligible Capital Lease Grand Total $734,230
DATE: October 21, 2004
SUBJECT: City Council Meeting - October 26, 2004
ITEM: *15.E.3. Consider a resolution expressing official intent to reimburse
cost of acquiring certain vehicles and equipment.
Department: Finance Department
Staff Person: Cindy Demers, Finance Director
Justification:
In accordance with the operating budget, certain equipment is acquired with cash and
subsequently financed for three years through a tax-exempt leasing arrangement. Because
of the tax-exempt nature of the financing, Internal Revenue Service regulations require the
City to state its intentions before the transactions are completed. This type of financing
allows the City to acquire new equipment and replace equipment and rolling stock in a
timely manner as replacement criteria are met. For the current fiscal year, the equipment
to be financed is scheduled at $600,000.
Funding:
Cost: $600,000
Source of funds: Payment of principal and interest for the three-year amortization of
this obligation is funded from the debt service portion of the
property tax.
Outside Resources: N/A
Background Information:
With a three-year payback, the impact on any one operating budget is minimized.
Additionally, the tax-exempt lease rates offer a very favorable cost of capital to the City.
This program permits scheduled replacement of worn equipment on a revolving basis.
Public Comment: N/A