HomeMy WebLinkAboutReso 153-1996RESOLUTION NO. 153-96
CITY COUNCIL, CITY OF SOUTH SAN FRANCISCO, STATE OF CALIFORNIA
A RESOLUTION DECLARING INTENTION TO REIMBURSE EXPENDITURES FROM THE
PROCEEDS OF OBLIGATIONS TO BE ISSUED BY THE CITY AND DIRECTING CERTAIN
ACTIONS RELATED THERETO
WHEREAS, the city proposes to undertake the South San Francisco/ San
Bruno Water Quality Control Plant Improvement and Expansion Project referenced
below, to issue debt for such 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
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, BE IT RESOLVED by the City Council of the City of South
San Francisco that:
1. The City intends to issue obligations (the "Obligations") for the
purpose of paying the costs of Phase I of the City of South San Francisco /
San Bruon Water Quality Control Plant Improvement and Expansion Project (the
~Project").
2. The City hereby declares that it reasonably expects to pay certain
costs of the Project prior to the date of issuance of the Obligations and to
use a portion of the proceeds of the Obligations for reimbursement of
expenditures for the Project that are paid before the date of issuance of the
obligations.
3. The maximum principal amount of the Obligations is $35,000,000.
I hereby certify that the foregoing Resolution was regularly introduced
and adopted by the City Council of the City of South San Francisco at a
regular meeting held on the 23rd day of October , 1996 by the
following vote:
AYES:
Councilmembers Joseph A. Fernekes, Eugene R. Mullin, John R. Penna,
Robert Yee and M~yor Jack Drago
NOES: None
ABSTAIN: None
ABSENT: None
A:\WATERQC.RES
ATTEST: