R-3138-2-13RESOLUTION NO. 3138-2-13(R)
' A RESOLUTION APPROVING A DATE FOR THE SALE OF GENERAL
OBLIGATION BONDS, AUTHORIZING APPROPRIATE PERSONNEL AND
CONSULTANTS TO PROCEED WITH ARRANGEMENTS AND THE
PREPARATION OF DOCUMENTS FOR THE ISSUANCE AND SALE OF SUCH
BONDS AND RESOLVING OTHER MATTERS INCIDENT AND RELATED
THERETO.
WHEREAS, based on capital improvement projects currently planned and authorized to be undertaken, staff
of the City has requested approval and authorization to proceed with the issuance and sale of general obligation
bonds to finance the costs thereof on or about May 14, 2013; and
WHEREAS, the City Council hereby finds and determines such approval and authorization to proceed with
the sale of such general obligation bonds should be given.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ALLEN,
COLLIN COUNTY, TEXAS, THAT:
SECTION 1. The Chief Financial Officer for the City, together with the City's financial advisor, Estrada
Hinojosa & Company, Inc. and bond counsel, Fulbright and Jaworski L.L.P., are hereby authorized and
directed to proceed on behalf of the City with the preparation of the documents and to make the appropriate
arrangements for the offering and sale of general obligation bonds in the approximate amount of $5,065,000.
The Chief Financial Officer and other appropriate officials of the City are hereby authorized and directed to
' assist and furnish said consultants with information and data, including the amount of bonds ultimately to be
offered for sale, necessary for the preparation of an official statement and other documents for a sale of such
bonds to occur and be approved by the City Council at a meeting to be held on or about May 14, 2013.
SECTION 2. It is officially found, determined and declared that the meeting at which this Resolution is
adopted was open to the public and public notice of the time, place, and subject matter of the public business
considered at said meeting, including this Resolution, was given, all as required by V.T.C.A., Government
Code, Chapter 551, as amended.
SECTION 3. This Resolution shall be in force and effect from and after its passage on the date shown
below.
DULY PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF ALLEN, COLLIN
COUNTY, TEXAS, ON THIS THE 26ru DAY OF FEBRUARY, 2013.
AP OVED: toorl
Step en Terrell, MAYOR
ATTEST:
' Shelley B. George, TRMC, CITY SECRETARY
(City Seal)
57024672.1/11301627
CITY COUNCIL AGENDA COMMUNICATION
AGENDA DATE: February 26, 2013
SUBJECT: Adopt a Resolution Authorizing the City's
Bond Counsel, the City's Financial Advisor,
and City Staff to Proceed with Arrangements
for the Sale of General Obligation Bonds,
Series 2013.
STAFF RESOURCE: Kevin Hammeke, Chief Financial Officer
ACTION PROPOSED: Adopt a Resolution Authorizing the City's
Bond Counsel, the City's Financial Advisor,
and City Staff to Proceed with Arrangements
for the Sale of General Obligation Bonds,
Series 2013.
Attached is a resolution prepared by the City's bond counsel, Fulbright & Jaworski L.L.P., that
authorizes the City staff, financial advisor, and bond counsel to proceed with all necessary
arrangements related to the sale of General Obligation Bonds, Series 2013. The bonds are for
the purpose of providing funds for construction, acquisition and improvements for projects that
were authorized in the 2007 bond election. The dollar amount for the 2013 bond issue is
currently estimated at $5,065,000.
The City will apply to Moody's Investors Service, Inc. and Standard & Poor's Corporation
(S&P) for ratings on the bond issue. Bond insurance will probably not be pursued since the
City's underlying bond rating is AAA from S&P and Aal from Moody's. Bond insurance
would most likely not be financial feasible.
The General Obligation bonds would be priced on May 13th and the bond sale information and
authorization to issue the bonds will be presented to the City Council at the May 14th City
Council meeting.
BUDGETARYIMPACT
Depending upon the final interest rates, the debt payment associated with the issuance of
$5,065,000 in bonds is expected to be an increase in the annual debt service amount of
approximately $341,000. The debt issuance will be structured to mature in 20 years. The debt
payments will begin in fiscal year 2014.
Staff recommends adopting a resolution authorizing City staff, the City's financial advisor, and
the City's bond counsel to proceed with the arrangements for the sale of General Obligation
Bonds, Series 2013.
MOTION
1 make a motion to adopt Resolution No. authorizing City staff, the City's
financial advisor, and the City's bond counsel to proceed with tire arrangements for the sale
of General Obligation Bonds, Series 1013.
ATTACHMENT
Resolution