HomeMy WebLinkAboutRESO 7740RESOLUTION NO. 77 40
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
PALO ALTO DECLARING INTENTION TO REIMBURSE
EXPENDITURES FROM THE PROCEEDS OF OBLIGATIONS TO
BE ISSUED BY THE CITY AND DIRECTING CERTAIN
ACTIONS
The Council of the City of City of Palo Alto does RESOLVE as
follows:
SECTION 1. Project Proposed. The Ci proposes to undertake
the construction, acquisition and improvement of public parking
structures for off street parking of vehicles (the IIProject II), to
issue debt for the Project and to use a portion of the proceeds of
such debt to reimburse expenditures made for the Project prior to
the issuance of the debt and is in the public interest and for
the public benefit that the City declare its offic 1 intent to
reimburse the expenditures referenced herein;
SECTION 2. Regulations. united States Income Tax
Regulations section 1.150-2 (the IIRegulations II) 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, among which is a requirement that (with
certain exceptions), prior to the payment of any such
expenditures, the issuer declare an intention to reimburse such
expendituresi and
SECTION 3. Intention Expressed. City intends to issue
obligations within the meaning of the Regulations (the
"0bligationsll ) for the purpose of paying the costs the Project
at some time after the adoption of this resolution, provided,
however, that by the expression of such intention, this City
Council shall not be committed or otherwise obligated to issue any
or all of such Obligations or actually begin or complete the
project.
SECTION 4. Reimbursement. The ty Council hereby
that the City reasonably expects to use a portion of the
of the Obli ions for reimbursement of expenditures
project that are paid before the date of issuance
Obligations.
declares
proceeds
for the
of the
SECTION 5. Amount. The maximum principal amount of the
Obligations is presently anticipated and estimated to be in the
principal amount of not to exceed $25,000,000.
* * * * * * * * * * * *
INTRODUCED AND PASSED: January 12 1998 --------~-------, .
AYES: EAKINS, FAZZINO, HUBER, KNISS, MOSSAR, OJAKIAN, ROSENBAUM, WHEELER
NOES:
ABSENT:
NOT PARTICIPATING: ABSTENTIONS:
APPROVED AS TO
JONES HALL,
SCHNEIDER
A Professional Law Corporation
By'-~ Stephe R. Casaleggio,
Bond Counsel
APPROVED:
Director of Public Works
~-ce~) ACtigDhector of
Adrninistrati ve Services
Senior Assistant. City Attorney
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