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HomeMy WebLinkAboutRESO 8649RESOLUTION NO 8649 RESOLUTION OF THE COUNCIL OF THE CITY OF PALO ALTO DECLARING INTENTION TO REIMBURSE EXPENDITURES FROM THE PROCEEDS OF BONDS TO BE ISSUED BY THE CITY WHEREAS, the City proposes to undertake the project referenced below, to issue general obligation bonds or other obligations (the "Bonds ") to finance such proj ect, and use a portion of the proceeds of the Bonds to reimburse expenditures made for the project prior to the issuance of the Bonds; WHEREAS, United States Income Tax Regulations section 1.150-2 provides generally that proceeds of tax-exempt debt are not deemed to be expended when such proceeds are used for reimbursement of expenditures made prior to the date of issuance of such debt unless certain procedures are followed, one of which is a requirement that (with certain exceptions), prior to the payment of any such expenditure, the issuer declares an intention to reimburse such expenditure; and WHEREAS, it is in the public interest and for the public benefit that the City declares its official intent to reimburse the expenditures referenced herein. NOW, THEREFORE, the Council of the City of Palo Alto does RESOLVE as follows: SECTION 1. The Ci ty intends to cause the Bonds to be issued for the purpose of paying the costs of: 1) acquiring land located at 2747/2785 Park Blvd., between Sheridan and Page Mill Road, to be used as the site of a new public safety facility (the "Site"), and 2) designing and constructing on the Site a two story (with basement) building of approximately 49,600 square feet, to be used as a police station, and a parking garage (together, the "Project"). SECTION 2. The City hereby declares that it reasonably expects (i) to pay certain costs of the Proj ect prior to the date of issuance of the Bonds and (ii) to use a portion of the proceeds of the Bonds for reimbursement of expenditures for the Project that are paid before the date of issuance of the Bonds. SECTION 3. The maximum principal amount of the Bonds is expected to be $46,000,000. 060919 cjs 8260314 SECTION 4. The Council finds that this is not a project under the California Environmental Quality Act and, therefore, no environmental impact assessment is necessary. INTRODUCED AND PASSED: September 25, 2006 AYES: BARTON, BEECHAM, CORDELL, DREKMEIER, KISHIMOTO, KLEIN, KLEINBERG, MORTON, MOSSAR NOES: ABSENT: ABSTENTIONS: APPROVED AS TO FORM: ~~ O~~~City ~ttorney Services 060919 cjs 8260314