Res 1993 - Water Revenue Bonds COUNCIL BILL NO. 2863
RESOLUTION NO. 1993
A RESOLUTION OF THE CITY OF WOODBURN, OREGON, AUTHORIZING THE
ISSUANCE OF WATER REVENUE BONDS FOR A TOTAL OF NOT TO EXCEED $6.75
MILLION, AND PROVIDING FOR PUBLICATION OF NOTICE.
WHEREAS, The City finds that it is financially feasible and in its best interests
to refinance capital construction and improvements for the City's water system
(the "Projects ") previously financed through loans from the Oregon Economic
and Community Development Department (now known as the Oregon Business
Development Department and herein referred to as "OBDD "); and
WHEREAS, The City is authorized to finance the Projects by issuing revenue
bonds pursuant to Oregon Revised Statutes Section 287A.150 (the "Statute ");
and
WHEREAS, The estimated cost of refinancing the Projects, including bond
issuance costs and debt service reserves, is estimated to be approximately $6.75
million; and
WHEREAS, The City will cause to be prepared a plan showing that the
City's estimated net water revenues are sufficient to pay the estimated debt to
be incurred by the City under the revenue bonds issue authorized by this
resolution; NOW, THEREFORE,
THE CITY OF WOODBURN RESOLVES AS FOLLOWS:
Section 1. Revenue Bonds Authorized. The City is hereby authorized to
issue not to exceed $6,750,000 in aggregate principal amount of the City's
Water revenue bonds to refund one or more of the currently outstanding OBDD
loans previously executed by the City to finance improvements to the City's
water system. Prior to selling the bonds the City Council shall establish by
resolution:
(a) Whether the bonds shall be sold at public competitive bid
sale or private negotiated sale;
(b) The maximum discount to be allowed upon sale of the bonds;
(c) The schedule for bond principal repayment;
(d) The terms under which additional bonds may be issued;
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Resolution No. 1993
(e) The terms by which bonds may be redeemed prior to
maturity;
(f) The amount of any reserves to be established for the bonds
and the manner in which the reserves shall be funded;
(g) The covenants which the City will make with bondowners
regarding operation of the Project;
(h) The revenues to be pledged to payment of the bonds;
(i) Whether the pledged revenues shall be held by a trustee,
and if they are so held, the trustee's duties;
(j) Whether security interests should be granted; and
(k) Any other terms, conditions or covenants regarding the
bonds, the Projects or the revenues which are necessary or
desirable to effect the sale of the bonds.
Section 2. Notice; Procedure.
(a) No bonds may be sold, and no purchase agreement for the
bonds may be executed, until at least sixty (60) days after
publication of the Notice of Revenue Bond Authorization,
which is attached to this resolution as Exhibit "A" (the
"Notice "). The Notice shall specify the last date on which
petitions may be submitted, and shall be published in at least
one newspaper of general circulation in the City in the same
manner as are other public notices of the City.
(b) If petitions for an election, containing valid signatures of not
less than five percent (5%) of the City's electors, are received
within the time indicated in the Notice, the question of issuing
the bonds shall be placed on the ballot at the next legally
available election date. If such petitions are received, no
bonds may be sold until this resolution and the question of
issuing the bonds is approved by a majority of the electors of
the City who vote on that question.
(c) The bonds shall be issued and sold in accordance with the
Statute.
Section 3. Bonds Payable Solely from Revenues.
The bonds shall not be general obligations of the City, nor a charge
upon its tax revenues, but shall be payable solely from the City's
Page 1 - Council Bill No. 2863
Resolution No. 1993
f
legally available revenues which the City pledges to payment of
the bonds pursuant to the Statute and the resolution to be adopted
by the City pursuant to Section 1 of this resolution.
Approved as to form:
; s l 6/2.° i1
City Attorney Date
ie
Approve.: g ..i.4.
Kathry Figley, a •r (a 1%
Passed by the Council ,5/23/260
Submitted to the Mayor 5" /s15V?.oi/
Approved by the Mayor Sias* /
1
Filed in the Offi .f the Recorder 6 /p/Z6e/
ATTEST: , /', _ _0�_,
• ris i na Shearer, 0 Recorder
Page 1 - Council Bill No. 2863
Resolution No. 1993
EXHIBIT A
Notice of Revenue Bond Authorization
NOTICE IS HEREBY GIVEN that the City Council of City of Woodburn, in
Marion County, Oregon (the "City "), adopted Resolution No. 1993 on May 23, 2011, authorizing
the issuance of water revenue bonds. The bonds will be issued to refinance capital construction
and improvements for the City's water system that were originally financed with loans from the
Oregon Economic and Community Development Department (now the Oregon Business
Development Department).
The City Council may establish by subsequent resolution all terms, conditions and
covenants regarding the bonds and the revenues which are necessary or desirable to effect the
sale of the bonds.
The City estimates that the bonds will be issued in an aggregate principal amount
of not to exceed $6,750,000; bond principal and interest are expected to be paid from City
revenues. The bonds will not be general obligations of the City, nor a charge upon its tax
revenues, but will be payable solely from the revenues, including water system revenues, which
the City pledges to the payment of the bonds.
If written petitions, signed by not less than five percent (5 %) of the City's electors,
are filed at the Office of the City Recorder on or before , 2011 (the 61st day after
the date of publication of the notice), the questions of issuing the revenue bonds shall be placed
on the ballot at the next legally available election date.
The Office of the City Recorder is located at 270 Montgomery Street, Woodburn,
Oregon, 97071.
The resolution authorizing the bonds is available for inspection at the Office of
the City Recorder.
The bonds will be issued and sold pursuant to Oregon Revised Statutes Section
287A.150(4).
BY ORDER OF THE CITY COUNCIL OF CITY
OF WOODBURN, OREGON.
Exhibit A (Notice of Revenue Bond Authorization) I i:UaniceCl \Ol - AttorneyUtesolutions\201 IVvlay \Water Bond Exhibit A.doc