R-97-10-23-10C - 10/23/1997RESOLUTION NO. R- 97- 10- 23 -10C
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 $475,000 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
K:\ HPDOCS \RBSOLDTS \RS71031C.HPD /Bcg
respect to which such expenditures were made, is placed in service.
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.
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, and the Act.
RESOLVED this 23th day of October, 1997.
ATTEST:
City Secretary
2.
IV.
CHARLES CIILPEPP
C LR, Mayor
City of Round Rock, Texas
DATE: October 17, 1997
SUBJECT: City Council Meeting, October 23, 1997
ITEM: 10. C. Consider a resolution expressing official intent to reimburse costs of
acquiring certain vehicles and equipment.
STAFF RESOURCE PERSON: David Kautz
As discussed with the Council during the budget development process, the City plans to acquire
new vehicles and equipment during the course of the budget year which will be financed through a
sale - leaseback.
The equipment acquisition is to be financed with short -term notes or lease purchase obligations not
to exceed $475,000. This financing is also discussed in the budget document. The federal tax
code regulations require the City to first express its intent to reimburse any capital costs associated
with the equipment acquisition. That is the purpose of the attached resolution. The attached Exhibit
describes the equipment to be financed. Staff recommends approval of the resolution.
EQUIPMENT LIST
Possible equipment to be used for reimbursement of expenditures to acquire vehicles and equipment.
DEPARTMENT DESCRIPTION ESTIMATED COST
PARD 3/4 ton pickup $ 18,500
Street Backhoe 61,000
Street Riding mower 10,500
Street Mowing tractor 30,000
St reel Dump truck 42,125
Street Dump truck 44,000
Fire Utility vehicle 22,398
Police Ford Crown Victoria, Pursuit
9 each L $30,000 270,000
TOTAL $498,523